Fundraising Best Practices in the Digital Age
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Fundraising Best Practices in the Digital Age

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Richard Dietz, Founder, Nonprofit R+D

Richard Dietz, Founder, Nonprofit R+D

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  • -- A donate button is not going to do the job -- *** Infomercials – sponsor a child – get picture, letter, etc. Strong connection one on one!!!
  • -- Sinek – The Why is the key --- 1st 10min for sure, but whole video very good -- Emotion opens the wallet -- Want to hear ------- Don’t load with facts… give it to them later
  • CommonKnowledge studyHigh vs. low frequency emails – - 23% more $ - 31% less unsubscribes
  • - Dan Ariely – Predictably Irrational – example of donations to Katrina versus Malaria (video big here, as well as more stories)http://danariely.com/

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  • 1. Fundraising Best Practices in the Digital AgeRichard Dietz Richard@NonprofitRD.com 1 of 55
  • 2. Richard Dietz Richard has spent the last 20 years working both in and with a wide variety of nonprofit, political, and government organizations, as well as technology companies focused on the nonprofit sector, including Sage Nonprofit, Convio and KIMBIA. Richard holds a M.S.W. from the University of California at Berkeley as well as a B.A. in Political Science from UCLA. Fundraising Best Practices 2 of 55www.NonprofitRD.com in the Digital Age
  • 3. Nonprofit R+D is dedicated to helping emerging and growing nonprofits fully utilize technology and the web to support their missions through training, best practices, and support. Our definition of success is simple – we teach you how to use technology to effectively further your organization’s mission and then you do it. We want to work ourselves out of a job! Think of it as the “teach a man to fish” model applied to technology use by nonprofit organizations. www.NonprofitRD.com Fundraising Best Practices 3 of 55www.NonprofitRD.com in the Digital Age
  • 4. Agenda 1. Soap Box 2. Overview 3. Fundraising Strategies 1. Storytelling 2. Multi-channel 3. Email Marketing 4. Video 5. Mobile Fundraising Best Practices 4 of 55www.NonprofitRD.com in the Digital Age
  • 5. Our Goals Today • Get you thinking about some new ways to improve your online fundraising efforts. • Get you to take action and test out some new ideas ASAP • No campaign is ever perfect or “ready” • Only way to improve is to get something out there and test • Pick one or two ideas and add them to your campaigns. Fundraising Best Practices 5 of 55www.NonprofitRD.com in the Digital Age
  • 6. Soap Box Fundraising Best Practices 6 of 55www.NonprofitRD.com in the Digital Age
  • 7. Don’t Panic There is help out there Fundraising Best Practices 7 of 55www.NonprofitRD.com in the Digital Age
  • 8. What you talkin’ about Willis? SaaS, CRM, CMS ROI, API, wysiwyg Open-Source Fundraising Platform Blah, Blah, Blah Fundraising Best Practices 8 of 55www.NonprofitRD.com in the Digital Age
  • 9. Experts have all the answers… No, not really There are “best practices,” but you must test in your organization Testing is the key, • Much easier to do online • If it works, do more. • If not, try something else. Fundraising Best Practices 9 of 55www.NonprofitRD.com in the Digital Age
  • 10. The Latest and Greatest… Many folks like to focus on the latest and greatest tools and techniques (Shiny Object Syndrome) At Nonprofit R+D, we first focus on the basics and building a solid foundation It may not be as cool or exciting initially • But you will raise more money in the long run Fundraising Best Practices 10 of 55www.NonprofitRD.com in the Digital Age
  • 11. Maslow’s Hierarchy of Needs http://en.wikipedia.org/wiki/Maslows_hierarchy_of_needs Fundraising Best Practices 11 of 55www.NonprofitRD.com in the Digital Age
  • 12. Online Hierarchy of Needs Fundraising Best Practices 12 of 55www.NonprofitRD.com in the Digital Age
  • 13. “I already know this…” We all have enough information right now to raise more money online. The key is what have you DONE with the information. Just take one or two things from the presentation today and Take Action Fundraising Best Practices 13 of 55www.NonprofitRD.com in the Digital Age
  • 14. Off Soap Box Fundraising Best Practices 14 of 55www.NonprofitRD.com in the Digital Age
  • 15. Overview of Online Fundraising Fundraising Best Practices 15 of 55www.NonprofitRD.com in the Digital Age
  • 16. What is Online Fundraising? Online Fundraising is NOT a Donate Button We see Online Fundraising as: a coordinated, multi-faceted process of soliciting donations using online tools, including but not limited to websites, email, SEO, video, social media, mobile, etc. Fundraising Best Practices 16 of 55www.NonprofitRD.com in the Digital Age
  • 17. Why Online Fundraising?• Online giving is the fastest growing channel and is growing fastest for smallorganizations• 75%+ of donations are still coming from individuals• 65% said they will make an online gift this year » Young donors (86%), 35 – 64 year old (68%), Over 65 year old (53%)• Direct mail donors – 29% made their gift online• 93% of Millennials gave to nonprofits in 2010 – 21% gave $1,000 or more• 26% who gave via mail said they were going to give LESS this way in 2011• 69% prefer electronic over print communication www.cygresearch.com/download www.onlinegivingstudy.org www.millennialdonors.com Fundraising Best Practices 17 of 55www.NonprofitRD.com in the Digital Age
  • 18. Online Fundraising Strategies Fundraising Best Practices 18 of 55www.NonprofitRD.com in the Digital Age
  • 19. Some Next Level Strategies We still recommend focusing on the basics first, but after that you can experiment with these: 1. Storytelling 2. Integrating Channels 3. Email Marketing 4. Video 5. Mobile Fundraising Best Practices 19 of 55www.NonprofitRD.com in the Digital Age
  • 20. 1. Storytelling Fundraising Best Practices 20 of 55www.NonprofitRD.com in the Digital Age
  • 21. Why Storytelling Stories are compelling.. Donation pages are not People give to People (animals too) • Individual stories are more effective • Late night infomercials • Childhood Hunger vs. four-year old Marie http://www.austinfoodbank.org/hunger-is-unacceptable/ Fundraising Best Practices 21 of 55www.NonprofitRD.com in the Digital Age
  • 22. Why Storytelling Emotion >> Rationality • Dan Ariely – Predictably Irrational • Simon Sinek: How great leaders inspire action (The Why) • Buy based on emotion / Rationalize it later with facts • Focus on emotion first, • then give them the reasons why it was a good decision What donors want to hear about: • Organizational Impact (80%) • Success Stories (74%) • More details about the organization (71%) • Info on financial accountability (43%) Community Philanthropy 2.0 survey Fundraising Best Practices 22 of 55www.NonprofitRD.com in the Digital Age
  • 23. Storytelling Inspire supporters with passion • Always write your own content • You know your org the best and the passion will come out Create emails and campaigns with “stories” in mind • Individual stories • Across emails.. The Cliffhanger • Multichannel Fundraising Best Practices 23 of 55www.NonprofitRD.com in the Digital Age
  • 24. 2. Integrate Channels (Multi-channel Marketing) Fundraising Best Practices 24 of 55www.NonprofitRD.com in the Digital Age
  • 25. Multichannel Marketing Marketing simultaneously across multiple channels – print, web, tv, radio, phone, mobile, events, etc. 2012 eNonprofit Benchmark Study • Multichannel fundraising increased quantity of online donations by 19% (http://www.e-benchmarksstudy.com/) Fundraising Best Practices 25 of 55www.NonprofitRD.com in the Digital Age
  • 26. Multichannel Marketing Keys for Multichannel Marketing • Online should enhance and compliment your offline (& vice versa) • Don’t think of them as separate items • Coordinate both into a cohesive “conversation” • Integrate the story across your channels • Keep the conversation going in their head • Multi-Part as well • Ask supporters for their preference Fundraising Best Practices 26 of 55www.NonprofitRD.com in the Digital Age
  • 27. Offline Better? Blackbaud 2011 Multichannel Fundraising Report • Online acquired donors more valuable.. • IF they are converted to offline donors • Online donors tend to be “one-hit wonders” • https://www.blackbaud.com/2011MultichannelGivingReport Can that really be true? • Data from 28 large orgs and had well developed direct mail • How does the org treat online donors? • Same time and effort online as offline? • Kivi Leroux Miller – Great article talking more about this http://buff.ly/PbpfIn Fundraising Best Practices 27 of 55www.NonprofitRD.com in the Digital Age
  • 28. Event Fundraising The 890% Difference • Event fundraising vs. Online donation forms • Another way to engage and stand out • In-person meets increase sense of community and connection • Great way to get businesses on board • More likely to “sponsor” events (Win – Win) • Tie events into other campaigns and the story Fundraising Best Practices 28 of 55www.NonprofitRD.com in the Digital Age
  • 29. 3. Email Marketing Fundraising Best Practices 29 of 55www.NonprofitRD.com in the Digital Age
  • 30. Email is Still #1 Many new “tools” in the press Email still takes the prize Fundraising Best Practices 30 of 55www.NonprofitRD.com in the Digital Age
  • 31. Email Marketing Email is still the most effective method • 69% prefer electronic over print communication • 2011 Cygnus Donor Survey Email fits perfectly into Storytelling Relatively inexpensive Start capturing emails now! • Grab them everywhere you can…. But don’t spam Fundraising Best Practices 31 of 55www.NonprofitRD.com in the Digital Age
  • 32. E-Newsletters Don’t Work Monthly newsletters no longer work • Lost in the inbox • Too much content • Its about great engaging content • Need to tell stories What Supporters want to hear about • Organizational Impact (80%) • Success Stories (74%) • More details about the organization (71%) • Info on financial accountability (43%) Community Philanthropy 2.0 survey Fundraising Best Practices 32 of 55www.NonprofitRD.com in the Digital Age
  • 33. Email Best Practices Relevant and enticing subject lines • Literacy eNews – January 2011, OR 5 tips to create a life long reader Easy to digest • Scanability • Table of contents, highlight key info, headings, shorter length • Readability • Dark text on light background, clear links • Text focused – Images can be an issue Single Call to Action in every email • Only one action per email (hard to do, but powerful) • Donate, volunteer, register, watch video, etc. • Jam study Fundraising Best Practices 33 of 55www.NonprofitRD.com in the Digital Age
  • 34. Frequency Don’t fear the unsubscribe • Probably not going to be supporters anyways • May not happen anyways – Case study More frequent “asks” • Not always for money – build a relationship • Other small favors and actions Fundraising Best Practices 34 of 55www.NonprofitRD.com in the Digital Age
  • 35. Follow Up / Thank You Easiest way to build follow up – saying “Thank You” The Power of Thank You • Most folks don’t get thanked enough • Makes both sides feel good (Maslow) • Remember the emotional connection Say “Thanks” right away (auto-generated email) • Additional calls-to-action • What can they do from here? • Interest and support are high right now Fundraising Best Practices 35 of 55www.NonprofitRD.com in the Digital Age
  • 36. Thank You Strategies Thank them throughout the year • Great reason to email, You will stand out Thank you updates • Highlight individual / Success stories if possible • Let them know it could not have happened without them • Still work to do – soft ask Thank you Call to Action • Thanks with a request for favor Feed the Funnel • Make them part of the fundraising campaign Fundraising Best Practices 36 of 55www.NonprofitRD.com in the Digital Age
  • 37. Thank You Example Generic: Personal: Thanks to you, Marie and her family will Thank you for your generous have something to eat every night this donation to support XYZ year. Nonprofit. Your gift has helped Marie, and many We greatly appreciate your more children like her, focus on learning support of our organization and instead of hunger while in school. our mission. We look forward to sharing more of the successes you have helped to build in our newsletter. Fundraising Best Practices 37 of 55www.NonprofitRD.com in the Digital Age
  • 38. 4. Video Fundraising Best Practices 38 of 55www.NonprofitRD.com in the Digital Age
  • 39. Why Online Video? More affordable and easier than ever • Flipcam or phone / YouTube More Effective • Wharton School of Business study showed marketing with video to be 600% more effective than print alone • Videos shared 12x more than links and text posts combined (facebook) YouTube • #2 search engine (maybe #1) • Over 3 billion views per day • People love to watch videos Fundraising Best Practices 39 of 55www.NonprofitRD.com in the Digital Age
  • 40. Online video and social media Joined at the Hip • Online video IS social media • The Big 3 – Facebook, Twitter and YouTube • YouTube – Channel, subscribers, friends, comments Video gives you something to talk about Google loves it • In fact they own it • Video ranks much faster than written content Fundraising Best Practices 40 of 55www.NonprofitRD.com in the Digital Age
  • 41. Emotional ConnectionIts all about the story • Individual stories more effective • Personal connection • Emotion = Action • Emotion >> RationalityVideo can do this easier thanother mediums • Reading vs. watching/listening Fundraising Best Practices 41 of 55www.NonprofitRD.com in the Digital Age
  • 42. Online Video Basics Need Sound Fundamentals FIRST • Online Hierarchy of Needs KISS - Keep It Simple Stupid • Keep it Short – under 2 min. for most • Keep it Simple – one main topic What are you hoping to accomplish with video? • Leads, build email list, awareness? Who should be the “voice”? • Individual, multiple, staff interest Fundraising Best Practices 42 of 55www.NonprofitRD.com in the Digital Age
  • 43. Ideas for Projects Testimonials / Client Stories “The Interview” Video Tour of Office / Staff Seminars / Trainings How To / Tips 35 million searches each month on YouTube for “how to” videos Video Annual Reports Music Video / Promo Holiday Messages Fundraising Best Practices 43 of 55www.NonprofitRD.com in the Digital Age
  • 44. What to do with video Incorporate into your current marketing • Website, Newsletter, Flyers, email signature Blog, tweet, facebook • Reason to post, Most clicked on posts Search Engine Optimization (SEO) • Videos rank very quickly (Google loves em’) • Keyword optimization - Great source of backlinks Email Marketing • Very high click-through rates Video Donation Page • Show video right on the donation page – Keep the emotion Fundraising Best Practices 44 of 55www.NonprofitRD.com in the Digital Age
  • 45. 5. Mobile Fundraising Best Practices 45 of 55www.NonprofitRD.com in the Digital Age
  • 46. What is mobile marketing Wikipedia.com • marketing on or with a mobile device. Mobile Marketing Association (MMA) • “a set of practices that enables organizations to communicate and engage with their audience in an interactive and relevant manner through any mobile device or network.” MMA Glossary – http://mmaglobal.com/wiki/mma-glossary Fundraising Best Practices 46 of 55www.NonprofitRD.com in the Digital Age
  • 47. Where to start? Our suggested order • Based on ease of implementation and bang for buck Beginner / Intermediate Advanced • Mobile website • Mobile giving • Mobile email • SMS / Text • QR codes • Text2Give •Mobile Apps Remember the Online Hierarchy – build on the base Fundraising Best Practices 47 of 55www.NonprofitRD.com in the Digital Age
  • 48. Mobile websites The web is changing – its now multi-device • PC, laptop, netbook, tablet, smartphone, eReader, etc. • The New Multi-screen World – Google / Ipsos • http://buff.ly/TvM36T More purchases moving online • 83% PC, 63% tablet, 31% phone • Expect similar trends in mobile fundraising as we are seeing in online fundraising Fundraising Best Practices 48 of 55www.NonprofitRD.com in the Digital Age
  • 49. The right time When is the right time to create your mobile site? • Convio’s Guide to Mobile Web says do it when mobile traffic hits 5% • Looking to engage younger donors • Your content management system makes it easy • Doing a redesign or update Reminder: Focus on fundamentals first • Don’t chase shiny objects • Get your foundation in place first Fundraising Best Practices 49 of 55www.NonprofitRD.com in the Digital Age
  • 50. How to get your site mobile ready First question - Hire someone or Do-it-yourself? What type of site do you currently have? • CMS – most have easy to use plugins to get mobile ready • Static HTML – build a separate site, or upgrade to a CMS Mobile website Services • Free and paid services • Help you create a mobile friendly site without any code Fundraising Best Practices 50 of 55www.NonprofitRD.com in the Digital Age
  • 51. Mobile website services http://www.howtogomo.com – Google’s mobile information site www.google.com/sites/help/intl/en/mobile-landing-pages/mlpb.html http://www.dudamobile.com – free and paid plans http://www.onbile.com/ - Free and paid plans http://mofuse.com/plans/ - Paid Your webhost may offer a built-in solution Search Google for others * We have not used these services, but have heard positive reviews. We use Wordpress and plugin currently. Fundraising Best Practices 51 of 55www.NonprofitRD.com in the Digital Age
  • 52. Example – Nonprofit R+D Nonprofit R+D currently at 2% mobile traffic Starting to track and experiment Fundraising Best Practices 52 of 55www.NonprofitRD.com in the Digital Age
  • 53. Mobile email 82% of smartphone users check and send email • What happens if they click to your site? • This is another reason you need a mobile website Mobile email templates • Most providers now offer these • Easy to use and set up Strongly linked to your mobile site • No sense in doing mobile email if your site is not ready for them Fundraising Best Practices 53 of 55www.NonprofitRD.com in the Digital Age
  • 54. Action Steps Start where you are Select a few strategies or ideas and test Take action, collect results, evaluate results Take another action Fundraising Best Practices 54 of 55www.NonprofitRD.com in the Digital Age
  • 55. Q&A Download the slides: www.NonprofitRD.com Contact Info: Richard Dietz Richard@NonprofitRD.com Visit our booth for more info on our webinars and training programs Fundraising Best Practices 55 of 55www.NonprofitRD.com in the Digital Age