What Smart Faith Based Groups KnowPresentation Transcript
A 30 minute primer April 2, 2009 Pam Dechert, CFRE What Smart Faith Based Nonprofits know about raising money during challenging times “ In the nonprofit world, it’s “survival of the fittest” during times of economic recession. But that doesn’t mean you have to be the largest, best funded organization to survive – more importantly, its how you react to the economic environment that makes all the difference.” Materials based on “Raising Money during Challenging Times” by Lawrence Henze Director of Target Analytics, A Blackbaud Company
What Smart Faith Based Nonprofits know about raising money during challenging times - AGENDA
The Recession & Your Org
Ideas that work
Your organization and the recession
Knowing your constituencies
How are they affected; regionally & individually
Be ‘donor centered’
We’ll be ok, how are you?
Your donors, members, and prospects do not stop caring about your mission during a recession.
Compassionately manage your relationships
What Smart Faith Based Nonprofits know about raising money during challenging times
Your organization & the recession
Economic downturns are temporary/act accordingly
But build in an understanding of these concerns into your communications plans
How does the tough economy impact you?
Internal & Outreach
Ideas that Work – Donor Relations
Orgs tend to NOT look at our donor communications because:
Narrow view on communications directly tied to fundraising
Silo approach that compartmentalizes communications
Willingness to not account for or even seek the donors opinions of all our communications streams
Simple solutions to employ
Determine & Chart average number of contacts from direct mail, telephone, email – the different pieces constituents get each month for entire year on the whole!
Analyze content & purpose of each piece: cultivation, information etc.
Overlap? How can we consolidate or eliminate
Survey your donors via email, direct mail or phone, what is important or not
Implement a plan that reflects what the donor wants/segmentation analysis
Cost savings on direct mail costs : Postage rates go up May 11 for npo’s
Spending $ in different areas: online, benchmarking, email – look at as acquisition costs
Appeals E-News Renewal Upgrade Ideas that Work – Holistic Planning JAN. FEB. MAR. APR. MAY JUNE JULY AUG. SEPT. OCT. NOV. DEC. 2 2 2 0 1 1 2 3 3 1 0 0 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1
Ideas that Work – Holistic Planning An Integrated Strategy In Person Meetings Phone Events Blogs Text Messaging Social Networking Sites Your Web Site E-Mail Print Other Tools
Ideas that Work – Annual Giving
How are we perceived?
Are we seen as efficient?
Can we solicit loyal donors more efficiently?
Are we forthright w/donors in partners to reduce admin overhead?
Positive message to fit their needs
Is the annual fund a one-year-at-a-time “thank goodness we made the goal” enterprise?
Are we surprised when donor retention is low?
171 faith based organizations lost $188,000 last year from lapsed AF
Donor loyalty is at the foundation of most ultimate giving
Why is donor retention NOT the chief goal of the annual fund?
Is it worth testing a limited solicitation program asking LESS often but encourages and acknowledge of donor loyalty at any gift level?
Are we over soliciting?
Budget savings, respect, major gift work
Ideas that Work – Ok so far….
Review our theme so far:
Fundraising does not stop during a recession
Most people will not stop giving – some may stop or reduce
Great time to be smart, effective and efficient
Use these strategies when times are good
Ideas that Work – Major Giving
Needs to continue
Don’t assume that people can’t give
What’s the point?
Major giving is about cultivation and the building of a relationship with donors or prospects
The relationship needs to continue
Don’t withdraw – you will jeopardize long term lifetime giving potential
Ideas that Work – Major Giving
Take the initiative - draft a document detailing your planning & prep for the recession:
Explanation of how we will meet our mission goals, and an honest assessment of what we may need to reduce or cut
Efforts to trim expenses, especially partnering w/donors to cut fundraising costs
Be donor centric
Statement of ongoing gratitude for their loyalty & support
Thank you calls
Check in calls/emails
Ask for their input
Get your major donors to your site for a visit or volunteer
Don’t operate from a position of desperation
Ideas that Work – Conclusions/Questions
Positive actions you can take now to put you in a better position now and in the future
Don’t sit back and let the recession act on your efforts; be a leader and be proactive in seeking strategies that will make your organization smarter, more effective & efficient