Posts Tagged ‘donors’

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Holiday Fundraising Roundup

November 18, 2010

‘Tis the Season!  It is mid-November, which means your e-mailboxes and snail mailboxes will soon be stuffed with a cornucopia of Annual Appeals from your favorite charities.

And if you are a fundraiser, you are likely already up to your ears in sorting through mailing lists, drafting compelling letters, and proofing designwork as it comes back from the printer.  Ah, the smell of blueline proofs– it’s like gingerbread for the development department.

I am not the only one ruminating on the coming weeks of appeals, judging from the wealth of interesting blogging that is going on about it these days!  A little holiday goody for you all, as you wrap up your own end of year campaigns: a collection of some fascinating blogposts on End of Year Fundraising.  Grab your egg nog, and start clicking!

Frogloop: Women Rule the Philanthropic Roost

A wonderful piece on why you should actively target your women constituents. Not only are women proven to be more generous donors on the whole, they are the holders of the charitable pursestrings in most households! At the bottom of this article, there are links to others with tips on exactly how to target women donors effectively.

donorpowerblog: Holiday Conundrum

A thoughtful piece on what the author calls the premium arms race:  calendars, labels, magnets, etc. as free giveaways to attract donors.  It poses a great question to reflect on: “How meaningful are our donor cultivation actions?”

the Fundraising Coach: Membership Dues vs. Annual Fund

A nice look at the benefits and drawbacks of memberships and donations, and how to maximize income for your nonprofit by recognizing the role of each.  Also– it was written by the Director of Development for the Baseball Hall of Fame, which is pretty cool.

GiveWell: The Process of Giving

A touchstone for all of us as we flurry through strategy and lists this season: a story from one donor on why he gives, and how he decides to do so.  It makes you realize just how your efforts are perceived on the other end– at least through the lens of this one donor.

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Tapping Donor Generosity in Hard Times: Not as Tough as You Think

October 20, 2010

Christmas movies may, in fact, teach you everything you need to know about the warm, generous feeling that can overtake an un-wealthy donor and make them happy to support your organization at a level higher than you expected.   Sounds good, right?  If you ever doubted your ability to get substantial gifts from Average Joes and Janes, don’t take my word for it.  (Or Frank Capra’s.)  Take a look at the new study published in the Journal on Consumer Research suggesting that the old truism of the close-pursed rich and the generous working class is actually… well, true.

The stereotype is simple and delightfully available almost twenty-four hours a day during December on Turner Classic Movies.  In one corner there is a vile, stingy attitude toward others coupled with a desire for self-aggrandizement.  We shall call this “Scroogitude.”  In the other corner there is empathy and a kind eagerness to part with the last of one’s meager wealth to help family and friends in times of need.  We shall call this “Baileyism.”

These two stereotypes showed up in a study which divided Northwestern University students into “boss” and “employee” roles.  The boss group was empowered by the research team prior to the test by recalling past successes, while the employee group was made to think of times when they had been powerless and controlled by others.  After this simple preparation, one of the researchers’ tests for both groups was an auction for items which held no element of prestige or status: a t-shirt and a mug.  Both groups were given $15 and the same instructions.

The results? The boss students demonstrated Scroogitude to perfection: they bid an average of $7.10 when they were buying the item for someone else, but $12.08 when they were buying for themselves.  In contrast, the employees were straight out of Bedford Falls: they bid $10.81 when they were purchasing for someone else, but only $6.49 when buying for themselves.

The results from this one test were repeated, to various degrees, throughout the other four tests in the study.  I have a hard time calling the results shocking in themselves, since they adhere to some pretty strong fictional stereotypes.  Then again, the fact that it IS so similar made me stop and think about how I (and many of us) reach out to donors.  It seems like everyone is going through some lean times right now, and that makes the potential Baileyism of middle-class donors vital for our causes and our NGOs.  The focus of our fundraising cannot only be to empower our reliably generous, wealthy supporters.  Perhaps in times of need, we have to look especially to the unempowered: that is, people who could have a little bit of empathy for the clients we serve.

So as you start constructing your annual appeal this year, make your case, and make it strong.  But here are some tips that might help you bring out the Baileyism and generate some bigger gifts than usual from the Bob Cratchets on your list:

1. Remind Donors that Giving is a Form of Power

Helping others brings with it a feeling of power, control, and satisfaction– never so much as when you are feeling particularly powerless yourself.  In other words, middle class folks feeling a real pinch at home may actually give more generously than before and feel even better about it.  Call it empathy, kindness, Baileyism– but reminding donors that they are taking control by giving is always a good idea.

2.  Don’t Suck Up

According to this study, the reason that empowered, wealthy people spend is out of a sense of self-care and self-importance.  As any self-respecting Development Director can tell you, framing a giving conversation with a typical large donor is about finding a gift amount and purpose which is meaningful and relevant for THEM.  That’s not a bad thing!  However, if you are target-marketing to non-wealthy constituents, ones with more modest means who may be crunched by the economy at the moment, appealing to self-importance is not going to get you the same results.  The fact is, if people are in a place of sacrifice already within their own home and family, then a straightforward appeal to their sense of duty and sacrifice to accomplish something good with your organization may be a much wiser tactic.

3. Giving Makes You Happy

This is no new news!  However, the study pointed out an interesting fact: both high and low power groups report feeling better after buying for someone else rather than themselves.  In whatever appeal you make, leave no room for doubt: find stories of donors who are ecstatic to have made a difference and spotlight them.  Whether it is a wealthy individual or an Average… errr… Bailey, tailor your choice to the constituents you are reaching out to.  And don’t let your potential donors forget another true truism: it is better to give than to receive.

4. Target Market Research

Last but not least, remember:  those Sundays you spend watching old movies and feeling all nostalgic and warm inside?  It’s called working from home.

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Giving BIG

December 11, 2009

I was a bit blown away by an online seminar I participated in last week.  The theme was giving BIG.  As in, giving away to charity as much as or more than you keep for yourself to live on.  The concept intrigued me, and I thought… err… there is no way that masses of people would do this!  A few altruistic angels, but… I just couldn’t get my head around it.

Take, for example, one of the seminar participants, Tom Hsieh.  He and his wife have a one-year-old and live in L.A. with an average yearly income of $200,000.  Now the kicker– the Hsieh family only lives on the median household income for America ($46,000), and gives the rest away to charity every year.  That’s three quarters of the family income earmarked for charity and a commitment to philanthropy as a way of life.

After listening to Tom speak about how he arrived at his personal decision to live within modest means and make a huge impact on the world around him, I started to think it was possible.  Possible that as a development professional, you could think of this as a fundraising tool by appealing to a donor’s desire for charity as a way of life– not just for planned giving with future assets, but for giving NOW.

There was another philanthropist in the discussion, Anne Ellinger.  She is not only a big giver herself, she is an expert in the art of big giving.  Ms. Ellinger and her husband founded a nonprofit called Bolder Giving and she actively encourages donors to examine how much they can give, and how big giving can play a role in their lives.  According to Ms. Ellinger, the process starts with some self-examination.  It takes courage to strike out on a path off the norm, to commit to giving so much when you don’t see yourself as a Rockefeller.  The first step for giving big is to decide what your goals are for your giving, and examine what you value and what you can commit to in order to accomplish these philanthropic goals.

So, in the end, it sounded familiar– speaking with donors about what they want to accomplish as philanthropists rather than attacking them with a sales pitch about your nonprofit.  This is a standard and successful approach for donor development, to be sure.  What is new and fresh, however, is the perception that anyone can be a philanthropist.  Whether someone makes $50,000 a year or millions, that is inconsequential in a way.  The important thing is helping them find a personal strategy for giving at whatever bold level suits them and their goals.

I know that this discussion certainly opened my mind to how non-trust-funded folks could be encouraged to examine their own role as philanthropists, not just donors.  If you are interested in learning more, take a look at the discussion thread here, and check out Bolder Giving for its great resources page.  And as you approach the donors in your own files in the upcoming year, be BOLD!  It may just open up a whole new world of support for your organization.

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Dipping Your Nonprofit Toes into Social Networking

December 1, 2009

I’ve worked at enough nonprofits to know that the subheading running through most heads right now is something like, “Without Wasting All Your Time On Something That Doesn’t Bring In Money Or Help Programs.”  With resources stretched tight at many nonprofits– never moreso than lately– it may seem a bit fatuous to expect that on top of a normal 11-hour day, there is an employee hanging about who would like to update the Twitter feed or make a YouTube video.

Now, I’m not going to tell you that developing a Facebook following and an e-newsletter and a YouTube community are going to fill the coffers in the first year.  Or the second year.  Or possibly the fifth.  Short term monetary gain is not a compelling reason to do it.

So why do it at all, then?  Because statistics show that donors who contribute the most money to nonprofits every year are fifty years and older.  Which means that ten years from now, the first huge surge of Facebooking, blogging, Twittering donors will start making big contributions to those organizations that reach out to them effectively.  I am no fortune teller, but I have a feeling that will not be the organizations who exclusively do once a year snail-mail appeals.

Cultivating today what will bear fruit tomorrow– isn’t that what development is all about?  Creating bridges between a donor and a cause is something that social networks are uniquely positioned to do.  Donors are empowered to be ambassadors and activists: asking Facebook friends to check out a new Cause they joined, or submitting a 30-second video to promote universal healthcare, or getting real-time updates out to a group of people who care about a particular legislation.  These are roles that used to be played only by expert nonprofit staff– now, by relinquishing just a bit of control, your nonprofit can gain the power of thousands more voices.

Will this pay for program overhead, necessarily?  No.  But it may just garner you loyal supporters for years to come.

So when you are ready to wiggle those toes in the cool waters of social networking, here are a five top tips on how to successfully start that won’t tax your current budget or require oodles of staff time:

1.Pick The Right Social Networks

Going from zero status updates to 5 different websites, a blog, and a vlog may be setting yourself up for failure at the start.  Instead, be strategic: do you want young people who can volunteer for you and get their friends to help out?  Maybe MySpace is right for you.  Do you have alumni who want to connect, share stories, and create a warm fuzzy feeling that engenders generosity?  Nothing better than Facebook!  Whatever your needs, know what they are and choose 1-3 social networking tools which you believe will help you in tangible ways– even if it’s not monetary at first.

2. Fill Your Networks with Exciting, Viral Content

Is anything more depressing than a Youtube video of a guy behind a desk, giving a jargon-laden speech about why his nonprofit deserves your cash?  Unfathomable program talk will not win your cause friends and supporters, no matter how well-intentioned.  Instead, try pithy, compelling updates and links via Twitter.  Or edgy and provocative videos made by clients instead of staff.  Be aware that people have lots of things to capture their attention at any given moment.  Be fun, be informative, be grass roots– and most of all, be interesting!

3. Provide a Way for Donors to Get News and Give You Money Online

Websites are not social networking per se, but they are still a worthwhile point to touch on.  If your website does nothing else, make sure that it can a) provide pictures and news stories that illustrate the great work your organization does, and b) give visitors a one-click way to support you with donations.  Network for Good is a wonderful resource not only for all things web-related, but also for a free online service that allows nonprofits to receive and track their online donations without the hassle of bank fees.

5. Update Frequently: 7 to 1 Rule Still Applies!

Whether you are using Twitter, Facebook, or e-newsletters, you won’t be very effective if the only time your supporters hear from you is when you want something.  A wise mentor of mine once told me about the magic seven to one ratio: donors should hear from you seven times with something that interests them for every one time you ask for something that interests YOU.  Think of social networking as a great and inexpensive way to keep you and your organization on a donor’s mind with exciting and weekly updates.  That way, when you want to ask for money or volunteers, they will feel more inclined to help you out.

And finally– how about you?  Social networking horror stories?  Great successes?  Extra tips?  Feel free to share in the comments!

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