Nonprofit Success Workshop Best Practices in Fundraising Strategies to Meet Your 2011 Goals Ken Kuhler, Convio January 25, 2011

Transcription

1 Nonprofit Success Workshop Best Practices in Fundraising Strategies to Meet Your 2011 Goals Ken Kuhler, Convio January 25, Convio, Inc. Page Convio, Inc.

2 Keys for Success Today s Agenda Next Generation of Canadian Giving The data and what it really means Practical Applications of the Research Understanding the multichannel approach Deeper Dive into Online Best Practices Hear from a Go! expert: Tara Tassone, Ontario Association of Food Banks 2011 Convio, Inc. Page 2

3 Next Generation of Canadian Giving To download: Data on how four generations of Canadians give, how they want to be involved with you and the implications for nonprofits trying to reach these distinct age segments Convio, Inc. Page 3

4 Finding and Retaining Donors Source: Target Analytics donorcentrics Report 2011 Convio, Inc. Page 4

5 Fundraising Emphasis: Matures Matures Boomers Gen X Gen Y 2011 Convio, Inc. Page 5

6 Canadian Generational Giving Average Annual Giving $1,000.0 $900.0 $800.0 $700.0 $600.0 $500.0 $400.0 $300.0 $200.0 $100.0 $- 55% Give 2.7M donors $325 yr/avg 3.5 charities $.8 B/yr 66% Give 5.7M donors $725 yr/avg 4.9 charities $4.1 B/yr Gen Y 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% Percent Giving Boomers Gen X Civics 61% Give 4.2M donors $549 yr/avg 4.1 charities $2.3 B/yr 73% Give 3.2M donors $833 yr/avg 5.3 charities $2.6 B/yr 2011 Convio, Inc. Page 6

7 Will we still have jobs in the future? Donations Planned to One of Three Named Charity Next Year 66% 64% 61% 58% Gen Y Gen X Boomers Matures 21% 15% 13% 11% 23% 23% 18% 16% 3% 4% 2% 2% Increase Same Decrease DK 2011 Convio, Inc. Page 7

8 Let s look a little more closely at Canada % donated this way in last 2 years (total) 2011 Convio, Inc. Page 8

9 Prefer Friend or Family to Ask Instead of Charity 2011 Convio, Inc. Page 9

10 Monthly Giving Comparison 30% 25% 20% 15% 10% 5% 0% Gen Y Gen X Boomers Civics Convio, Inc. Page Convio, Inc.

11 Can anyone guess when this picture was taken? 2011 Convio, Inc. Page 11

12 Applying Generational & Channel Learnings Audit online strategy and tactics to determine how we re meeting generational needs. Create connections between the online and offline worlds to support generation migration and giving channel preference Convio, Inc. Page 12

13 How are we meeting Generational Needs? Gener ation Civics Boomers Gen X Gen Y Attitudes/ Values Unconditional Looking for you to be good stewards of their $ Time vs. Money Premeditated Giving Online Connection Peer Motivated Time to Give Back What s In It For Me? Random Tactics + Strategies 2011 Convio, Inc. Page 13

14 Assessment: How do we reach Civics? Unconditional Stewardship of Donor $ s Annual Tax Receipts Charity Navigator Insignia Fundraising Expenditure Disclosure E-Newsletters 2011 Convio, Inc. Page 14

15 How are we meeting Generational Needs? Gener ation Civics Boomers Gen X Gen Y Attitudes/ Values Unconditional Looking for you to be good stewards of their $ Time vs. Money Premeditated Giving Online Connection Peer Motivated Time to Give Back What s In It For Me? Random. Longer-form appeals Annual Tax Receipts Tactics + Strategies Guidestar/BBB/Charity Navigator logos Fundraising Expenditure Disclosure E-Newsletter 2011 Convio, Inc. Page 15

16 Assessment: How do we reach Boomers? Pre-meditated Giving Time vs.. Money Renewal Appeals and Notices Event Fundraising Donation (vs. Participation) Basic Donation Forms Volunteer Opportunities Data Mining Planned Giving 2011 Convio, Inc. Page 16

17 How are we meeting Generational Needs? Gener ation Civics Boomers Gen X Gen Y Attitudes/ Values Unconditional Looking for you to be good stewards of their $ Time vs. Money Premeditated Giving Online Connection Peer Motivated Time to Give Back What s In It For Me? Random Longer-form appeals Renewal Appeals and notices Annual Tax Receipts Event Fundraising Donation (vs. participating) Tactics + Strategies Guidestar/BBB/Charity Navigator logos Fundraising Expenditure Disclosure E-Newsletter Basic Donation Forms Volunteer Opportunities Data Mining Planned Giving E-Newsletter 2011 Convio, Inc. Page 17

18 Assessment: How do we reach Gen X? Random, peer motivated Create/Donate to a Tribute Fund Make a Sustained/ Committed Gift Sign a Pledge Event Attendance Online connection Mobile Site Optimization 2011 Convio, Inc. Page 18

19 How are we meeting Generational Needs? Gener ation Civics Boomers Gen X Gen Y Attitudes/ Values Unconditional Looking for you to be good stewards of their $ Time vs. Money Premeditated Giving Online Connection Peer Motivated Time to Give Back What s In It For Me? Random Longer-form appeals Renewal Appeals and notices Creation of/donation to a Tribute Fund Annual Tax Receipts Event Fundraising Donation (vs. participating) Make a Sustained/Committed gift Tactics + Strategies Guidestar/BBB/Charity Navigator logos Fundraising Expenditure Disclosure E-Newsletter Basic Donation Forms Volunteer Opportunities Data Mining Planned Giving Sign a pledge Event attendance Mobile Site Optimization E-Newsletter 2011 Convio, Inc. Page 19

20 Assessment: How do we reach Gen Y? Time to give back What s in it for me? Premiums/Contests Event Fundraising Participation (vs. Donation) Social Media Mobile Outreach 2011 Convio, Inc. Page 20

21 How are we meeting Generational Needs? Gener ation Civics Boomers Gen X Gen Y Attitudes/ Values Unconditional Looking for you to be good stewards of their $ Time vs. Money Premeditated Giving Online Connection Peer Motivated Time to Give Back What s In It For Me? Random. Longer-form appeals Renewal Appeals and notices Creation of/donation to a Tribute Fund Premiums/Contests Annual Tax Receipts Event Fundraising Donation (vs. participating) Make a Sustained/Committed gift Event Participation (vs.. Donation) Tactics + Strategies Guidestar/BBB/Charity Navigator logos Fundraising Expenditure Disclosure E-Newsletter Basic Donation Forms Volunteer Opportunities Data Mining Planned Giving Sign a pledge Event attendance Mobile Site Optimization Social Media Mobile Outreach E-Newsletter 2011 Convio, Inc. Page 21

22 How should we respond to new technologies? 2011 Convio, Inc. Page 22

23 How should we respond to new technologies? Determine gaps in existing strategy that new technology might fill. Is our strategy balanced for each generation? Set realistic goals for the type of response and constituents that technology will drive as part of investment strategy. Is donor conversion a realistic goal for Twitter? Should Facebook be used to drive awareness and outreach through peerto-peer sharing and gift giving Would we drive visitation to a museum through Gowalla check ins? Ensure that constituents, particularly Gen X and Y, have the ability to respond in a channel of preference Convio, Inc. Page 23

24 Create Online + Offline Connection Research tells us that a multi-channel approach is the only option for reaching across generational constituencies and for planning for the next generation. Key tactics will ease the migration to incorporate digital channels as Boomers come on line and younger generations make more significant financial impact. Online feeder acquisition Multi-channel campaign methodology Segmentation methodology 2011 Convio, Inc. Page 24

25 Online Feeder Acquisition In the multi-channel world the goals of any online fundraising manager should extend beyond revenue raised online, but the ability to influence the overall relationship through online campaign. Online must serve as a list acquisition channel for offline campaigning, similar to capturing an address in offline channels Convio, Inc. Page 25

26 Multi-Channel Campaign Methodology Take a multi channel campaign approach by following an integrated fundraising calendar. Allow constituents to respond in the channel of choice, regardless of solicitation channel and expect response to cross channels. Respect previous giving behaviors and promote offers with consistency. Don t overlook a customized homepage experience (in addition to and direct mail) for delivering your integrated appeal. Expect to measure response on an aggregate basis. Ease tracking by using shortcut URLs in direct mail Convio, Inc. Page 26

27 Segmentation Methodology Is it time to begin capturing birth year data and segment based on generational characteristics and assumptions? Does the offer and primary action change based on what we know about constituents? Cancer Organization Cancer Research Month Generation Civics Boomer Gen X Gen Y Call to Action Give to all Cancer Research Give to a Cancer Tribute Fund Give to a Cancer Tribute Fund Create a Tribute for Cancer Research 2011 Convio, Inc. Page 27

28 Deeper Dive into Online Best Practices 2011 Convio, Inc. Page 28

29 #1: REACH! 2011 Convio, Inc. Page 29 Be everywhere they are: website, , Facebook, YouTube & Twitter roughly in that order of priority

30 Constituents have many different entry points to your organization 2011 Convio, Inc. Page 30

31 Your Website Is Critical 85% of Wired Wealthy are likely to visit your website before making their first gift Source: Convio, Sea Change Strategies, Edge Research Convio, Inc. Page 31

32 Example of an engaging website 2011 Convio, Inc. Page 32

33 2011 Convio, Inc. Page 33

34 2011 Convio, Inc. Page 34

35 How can we achieve success with Facebook - Social Media Integration 2011 Convio, Inc. Page 35

36 Submit favorite video and fill out to enter contest. Others could sign up to vote Convio, Inc. Page 36

37 Canadian Wildlife E-cards Acquisition 2011 Convio, Inc. Page 37

38 Acquisition Petition for Climate Change 2011 Convio, Inc. Page 38

39 Pledges for acquisition 2011 Convio, Inc. Page 39

40 2011 Convio, Inc. Page 40

41 #2. Know Be interested in who they are, what they want, and how they relate to you. (Mind reading ability not required) Convio, Inc. Page 41

42 2011 Convio, Inc. Page 42

43 2011 Convio, Inc. Page 43

44 Who Are You? Total Recipients: 2,196 Opens: 947 (43.24%) Click-Throughs: 471 (21.51%) Recipient Actions: 386 (17.63%) 2011 Convio, Inc. Page 44

45 #3. Welcome 2011 Convio, Inc. Page 45 Be intentional in warming them up

46 First Impressions Count! Supporter engagement decreases over time 60% Open Rate 50% 40% 30% 20% 10% 0% 1 month 2 to 3 months 4 to 6 7 to 12 months months Time on Housefile Year 2 Year Convio, Inc. Page 46 Source: Analysis of 3 major nonprofits

47 ACHF Welcome Series 2011 Convio, Inc. Page 47

48 ACHF Welcome Series 2011 Convio, Inc. Page 48

49 Ontario Association of Food Banks 2011 Convio, Inc. Page 49

50 #4. Cultivate Be effective in your online communications 2011 Convio, Inc. Page 50

51 Subject Lines Matter Short subject lines outperform long subject lines 2011 Convio, Inc. Page 51 Source MailerMailer LLC 2008, based on number of characters in subject line

52 Open Rate vs. Subject Line Length 2011 Convio, Inc. Page 52 Analysis of 16 monthly enewsletters

53 Where are you on this chart? Longer Subject Lines Source: Marketing Metrics, MailerMailer LLC 2008 based on number of characters in subject line Lower Open Rates Shorter Subject Lines Higher Open Rates 2011 Convio, Inc. Page 53

54 Good E-newsletter Ontario Association of Food Banks 2011 Convio, Inc. Page 54

55 #5. Ask Be bold in soliciting gifts Convio, Inc. Page 55 (Wishing and waiting is not asking)

56 What Motivates an Online Gift? Other, 10% Telemarketing, 13% , 36% Direct Mail, 20% Search, 21% 2011 Convio, Inc. Page 56 Source: 2009 Convio Analysis of one Major Mailer Account

57 Canadian Breast Cancer Foundation Example of a good donation form 2011 Convio, Inc. Page 57

58 Canadian Cancer Donation Form 2011 Convio, Inc. Page 58

59 Encourage Sustainer Giving Programs 2011 Convio, Inc. Page 59

60 Canadian Wildlife Purchase a virtual Animal 2011 Convio, Inc. Page 60

61 End-of-Year: A Campaign Approach Taking a campaign approach to end-of-year fundraising can generate 4X the results Last Chance Sent on December 30/31st raised 56% of total ecard Kick-off Sent just before Chanukah / Christmas raised 19% of total Sent mid-december raised 25% of total 2011 Convio, Inc. Page 61 Source: Convio analysis of 17 multi-part end-of-year fundraising campaigns in 2008

62 Campaign Timeline MSG #1 MSG #2 MSG #3 Number of Gifts 2011 Convio, Inc. Page 62 Day of the month - December

63 Holiday Campaign Message 1 Nature Canada 2011 Convio, Inc. Page 63

64 Stewardship Holiday E-card 2011 Convio, Inc. Page 64

65 Nature Canada Last Chance to Give 2011 Convio, Inc. Page 65

66 Unexpected events Ability to be timely 2011 Convio, Inc. Page 66

67 Provide a mission related value add premium to their gift. Nature Conservancy of Canada 2011 Convio, Inc. Page 67

68 Stewardship.Properly thanking donors 2011 Convio, Inc. Page 68

69 Stewardship - Keeping your Constituents informed of results 2011 Convio, Inc. Page 69

70 Articulating what your contribution will accomplish 2011 Convio, Inc. Page 70

71 Effective Storytelling.Share success stories Convio, Inc. Page 71

72 Make their gift seem tangible 2011 Convio, Inc. Page 72

73 Engage them in your fundraising Convio, Inc. Page 73

74 The Top 5 things you need to BE SUCCESSFUL online 1. Reach Be everywhere they are 2. Know Be interested in who they are 3. Welcome Be intentional in warming them up 4. Cultivate Be effective in communicating 5. Ask Be bold in soliciting gifts and making sure to properly steward them after the gift Convio, Inc. Page 74

75 Fundraising Performance Metrics 2011 Convio, Inc. Page 75

76 shoes Increased competition for wallet share. Be the organization that is 15 minutes ahead Convio, Inc. Page 76

77 Q&A Thank you! Kenneth Kuhler 2011 Convio, Inc. Page 77

78 Barriers to Online Success Limited Staff Resources No Online Strategy Limited Fundraising Experience We Have Limited Budget NO TIME! 2011 Convio, Inc. Page 78 Can t Implement a Plan Very Few Addresses No Online Marketing Plan Can t Agree on the First Steps Our Board of Directors is Risk Averse We Need to Show a Return on Investment

79 Go! is more than just software Convio online fundraising and software A proven strategy and action plan Convio consultant and services to guide and execute for you Tangible results today Foundation to build upon tomorrow 2011 Convio, Inc. Page 79

80 Convio Go! Program Objectives Grow Your List Communicate Regularly Raise Funds 2011 Convio, Inc. Page 80

81 How It Works Converting Converting site site visitors visitors Cultivating Cultivating new new subscribers subscribers Maximizing year-end giving Donation form best practices Outreach tactics Viral marketing Writing a compelling ask Cultivating new supporters Welcome Welcome series series launch launch enewsletter enewsletter production production Donation form build & test Build & send appeals Continue enewsletters ecards & rewards programs Build/send outreach series Continue enewsletters Donation form build & test Build & send appeals Continue enewsletters 2011 Convio, Inc. Page 81

82 Convio Go! Program Objectives Grow Your List Communicate Regularly Raise Funds 2011 Convio, Inc. Page 82

83 Website Sign-Ups are High Quality 2011 Convio, Inc. Page 83

84 How can we achieve success with Facebook - Social Media Integration 2011 Convio, Inc. Page 84

85 Convio Go! Program Objectives Grow Your List Communicate Regularly Raise Funds 2011 Convio, Inc. Page 85

86 A Professional Welcome Series History Support Promotion 2011 Convio, Inc. Page 86

87 Establishing Regular Communications enewsletter Template Announcement Template 2011 Convio, Inc. Page 87

88 Convio Go! Program Objectives Grow Your List Communicate Regularly Raise Funds 2011 Convio, Inc. Page 88

89 Best Practices Donation Form 2011 Convio, Inc. Page 89

90 An offseason fundraising campaign Message #1: Send 200 youths to Yellowstone this summer Message #2: We still have 115 youth who need your support Message #3: We re able to send 178 youth it s not too late to give 2011 Convio, Inc. Page 90

91 Acquisition Campaign 2011 Convio, Inc. Page 91

92 Year End Fundraising Campaign 2011 Convio, Inc. Page 92

93 Support - Dedicated Go! Online Community 2011 Convio, Inc. Page 93

94 Support - Access to elearning 2011 Convio, Inc. Page 94

95 Support - Quarterly Benchmarking Reports Benchmark Q Go! Online Fundraising My Cohort Average: $36,059 My Cohort Median: $3,245 Quarterly Online Fundraising Performance Percentage 2011 Convio, of Inc. Online Page 95Non-Donors on Q1 Q2 Q3 Q4 My Go! Cohort N=5 All Go! Cohorts N=25 Donations $500 $10,000 $12,000 $35,000 $36,059 $27,854 Number of Donations/Quarter Average Donation $50 $67 $80 $100 $128 $147 One Time Donors Sustaining Donors Percentage of Online Donors on File 0% 4% 8% 9% 8% 5% File 100% 96% 92% 91% 92% 95%

96 A set schedule to keep you on track Walk Phase First Four Months (Decemeber March 2011) Setup Weekly Calls (5) Welcome Jog Phase Months Four to Twelve Campaign #1 Spring Appeal April June 2011 Campaign #3 Housefile Build July Sept Ongoing Housefile Communications (Approx. 10) Bi-weekly Expert Office Hour Sessions (Approx. 20) Bi-monthly Best Practices Webinars (6) Quarterly Benchmark Analysis Reports (4) Campaign #4 End of Year Campaign Oct. Dec Run Phase Beyond Year One Go! Graduation Self-Sufficient Using Convio Unlimited Convio Community & Convio Online Training Unlimited Convio Support (phone & web) 2011 Convio, Inc. Page 96 Convio Account Services

97 Setup: Timeline Detail Timeline Weekly Call Focus Your Tasks Week 1 Kick-off Apply for an Internet Merchant Account Week 2 Product Overview Complete First Three Convio Guides: Giving, Registration Flow, and Contact Us Week 3 Data Management Complete Data Management Guide Week 4 Reporting Provide Edits/Feedback on Convio Pages Week 5 Go-Live Transition Approve all Convio Pages & Integrate Into Your Website Meet every deadline and your Convio tools will be live within the next six weeks! Excel program calendar highlights all deadlines, office hours, and upcoming webinars 2011 Convio, Inc. Page 97

98 Go! clients get results! Currently there are just over 100 organizations that are in or have graduated from the program. Overall client results to date: Median file list growth of 60% Median online fundraising growth of 100% Client s experienced, on average, a 200% return on investment in the Go! program Earn 31 hours toward CFRE certification! With 5 to 10 hours per week 2011 Convio, Inc. Page 98

99 Go! Grad Success Post Go! Program 177% increase in s sent after graduating Go! 82% increase in funds raised after graduating Go! $14,000 $12,000 $10,000 $8,000 $6,000 $4,000 $2,000 $- In Go! After Go! Average dollars raised per month 2011 Convio, Inc. Page 99 Source: Analysis of first 25 Go! graduates through December 31 st, 2009