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Are your donors lagging? Innovate your strategy.pptx

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This PowerPoint is accompanied a live presentation at the AFP DFW Philanthropy Conference 2012. Presented by Kristina E. Jones, M.A., CFRE and entitled “Are Your Donors Lagging? Innovate Your ...

This PowerPoint is accompanied a live presentation at the AFP DFW Philanthropy Conference 2012. Presented by Kristina E. Jones, M.A., CFRE and entitled “Are Your Donors Lagging? Innovate Your Strategy!”

About the session: Have you noticed? Donors don’t respond to your fundraising/organizational messages at the same rate. This is not simply a generational difference. Learn the theory behind “Diffusion of Innovations” and how your donors (and potential donors) fit the categories of Innovators, Early Adopters, Early Majority, Late Majority and/or Laggards.

Presenter will share specific examples and stories of diffusion successes and failures. The savvy of strategy which large Corporations utilize in rolling out a new product or service will be presented in a simple and relevant manner for your own organization.

By the end of the workshop, you will have a deeper understanding on messaging & communication strategies for each of your target audiences and how to gauge success.

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  • Have a summary understanding of Diffusion TheoryDiscover how behavior theory impacts donors decisionsExperience diffusion failures and successes and take away valuable information to apply when planning your next fundraising activity.Have you noticed? Donors don’t respond to your fundraising/organizational messages at the same rate. This is not simply a generational difference. Learn the theory behind “Diffusion of Innovations” and how your donors (and potential donors) fit the categories of Innovators, Early Adopters, Early Majority, Late Majority and/or Laggards.  Presenter will share specific examples and stories of diffusion successes and failures. The savvy of strategy which large Corporations utilize in rolling out a new product or service will be presented in a simple and relevant manner for your own organization.  By the end of the workshop, you will have a deeper understanding on messaging & communication strategies for each of your target audiences and how to gauge success.  
  • Think & Feel--what really counts--major preoccupations--worries & aspirationSee--environment--friends--what the markets offersSay & Do--attitude in public--appearance--behavior towards othersHear--what friends say--what boss says--what influencers say
  • Think & Feel--what really counts--major preoccupations--worries & aspirationSee--environment--friends--what the markets offersSay & Do--attitude in public--appearance--behavior towards othersHear--what friends say--what boss says--what influencers say
  • Innovators - Innovators are the first individuals to adopt an innovation. Innovators are willing to take risks, youngest in age, have the highest social class, have great financial lucidity, very social and have closest contact to scientific sources and interaction with other innovators. Risk tolerance has them adopting technologies which may ultimately fail. Financial resources help absorb these failures. (Rogers 1962 5th ed, p. 282)Early Adopters - This is the second fastest category of individuals who adopt an innovation. These individuals have the highest degree of opinion leadership among the other adopter categories. Early adopters are typically younger in age, have a higher social status, have more financial lucidity, advanced education, and are more socially forward than late adopters. More discrete in adoption choices than innovators. Realize judicious choice of adoption will help them maintain central communication position (Rogers 1962 5th ed, p. 283).
  • Innovators - Innovators are the first individuals to adopt an innovation. Innovators are willing to take risks, youngest in age, have the highest social class, have great financial lucidity, very social and have closest contact to scientific sources and interaction with other innovators. Risk tolerance has them adopting technologies which may ultimately fail. Financial resources help absorb these failures. (Rogers 1962 5th ed, p. 282)Early Adopters - This is the second fastest category of individuals who adopt an innovation. These individuals have the highest degree of opinion leadership among the other adopter categories. Early adopters are typically younger in age, have a higher social status, have more financial lucidity, advanced education, and are more socially forward than late adopters. More discrete in adoption choices than innovators. Realize judicious choice of adoption will help them maintain central communication position (Rogers 1962 5th ed, p. 283).Early Majority - Individuals in this category adopt an innovation after a varying degree of time. This time of adoption is significantly longer than the innovators and early adopters. Early Majority tend to be slower in the adoption process, have above average social status, contact with early adopters, and seldom hold positions of opinion leadership in a system (Rogers 1962 5th ed, p. 283)Late Majority - Individuals in this category will adopt an innovation after the average member of the society. These individuals approach an innovation with a high degree of skepticism and after the majority of society has adopted the innovation. Late Majority are typically skeptical about an innovation, have below average social status, very little financial lucidity, in contact with others in late majority and early majority, very little opinion leadership.
  • Dudley Gift* exampleInnovators - Innovators are the first individuals to adopt an innovation. Innovators are willing to take risks, youngest in age, have the highest social class, have great financial lucidity, very social and have closest contact to scientific sources and interaction with other innovators. Risk tolerance has them adopting technologies which may ultimately fail. Financial resources help absorb these failures. (Rogers 1962 5th ed, p. 282)Early Adopters - This is the second fastest category of individuals who adopt an innovation. These individuals have the highest degree of opinion leadership among the other adopter categories. Early adopters are typically younger in age, have a higher social status, have more financial lucidity, advanced education, and are more socially forward than late adopters. More discrete in adoption choices than innovators. Realize judicious choice of adoption will help them maintain central communication position (Rogers 1962 5th ed, p. 283).Early Majority - Individuals in this category adopt an innovation after a varying degree of time. This time of adoption is significantly longer than the innovators and early adopters. Early Majority tend to be slower in the adoption process, have above average social status, contact with early adopters, and seldom hold positions of opinion leadership in a system (Rogers 1962 5th ed, p. 283)Late Majority - Individuals in this category will adopt an innovation after the average member of the society. These individuals approach an innovation with a high degree of skepticism and after the majority of society has adopted the innovation. Late Majority are typically skeptical about an innovation, have below average social status, very little financial lucidity, in contact with others in late majority and early majority, very little opinion leadership.Laggards - Individuals in this category are the last to adopt an innovation. Unlike some of the previous categories, individuals in this category show little to no opinion leadership. These individuals typically have an aversion to change-agents and tend to be advanced in age. Laggards typically tend to be focused on "traditions", likely to have lowest social status, lowest financial fluidity, be oldest of all other adopters, in contact with only family and close friends.
  • Element/DefinitionInnovation - Rogers defines an innovation as "an idea, practice, or object that is perceived as new by an individual or other unit of adoption".[5]Communication channels - A communication channel is "the means by which messages get from one individual to another".[6]Time - "The innovation-decision period is the length of time required to pass through the innovation-decision process".[7]"Rate of adoption is the relative speed with which an innovation is adopted by members of a social system".[8Social system“ - A social system is defined as a set of interrelated units that are engaged in joint problem solving to accomplish a common goal".[9]
  • Element/DefinitionInnovation - Rogers defines an innovation as "an idea, practice, or object that is perceived as new by an individual or other unit of adoption".[5]Communication channels - A communication channel is "the means by which messages get from one individual to another".[6]Time - "The innovation-decision period is the length of time required to pass through the innovation-decision process".[7]"Rate of adoption is the relative speed with which an innovation is adopted by members of a social system".[8Social system“ - A social system is defined as a set of interrelated units that are engaged in joint problem solving to accomplish a common goal".[9]
  • "The Law of the Few", or, as Gladwell states, "The success of any kind of social epidemic is heavily dependent on the involvement of people with a particular and rare set of social gifts."[3] According to Gladwell, economists call this the "80/20 Principle, which is the idea that in any situation roughly 80 percent of the 'work' will be done by 20 percent of the participants."[4] (see Pareto Principle) These people are described in the following ways:Connectors, are the people in a community who know large numbers of people and who are in the habit of making introductions. A connector is essentially the social equivalent of a computer network hub. They usually know people across an array of social, cultural, professional, and economic circles, and make a habit of introducing people who work or live in different circles. They are people who "link us up with the world ... people with a special gift for bringing the world together."[5] They are "a handful of people with a truly extraordinary knack [... for] making friends and acquaintances".[6]Gladwell characterizes these individuals as having social networks of over one hundred people. To illustrate, he cites the following examples: the midnight ride of Paul Revere, Milgram's experiments in the small world problem, the "Six Degrees of Kevin Bacon" trivia game, Dallas businessman Roger Horchow, and ChicagoanLois Weisberg, a person who understands the concept of the weak tie. Gladwell attributes the social success of Connectors to "their ability to span many different worlds is a function of something intrinsic to their personality, some combination of curiosity, self-confidence, sociability, and energy."[7]Mavens are "information specialists", or "people we rely upon to connect us with new information."[4] They accumulate knowledge, especially about the marketplace, and know how to share it with others. Gladwell cites Mark Alpert as a prototypical Maven who is "almost pathologically helpful", further adding, "he can't help himself".[8] In this vein, Alpert himself concedes, "A Maven is someone who wants to solve other people's problems, generally by solving his own".[8] According to Gladwell, Mavens start "word-of-mouth epidemics"[9] due to their knowledge, social skills, and ability to communicate. As Gladwell states, "Mavens are really information brokers, sharing and trading what they know".[10]Salesmen are "persuaders", charismatic people with powerful negotiation skills. They tend to have an indefinable trait that goes beyond what they say, which makes others want to agree with them. Gladwell's examples include California businessman Tom Gau and news anchorPeter Jennings, and he cites several studies about the persuasive implications of non-verbal cues, including a headphone nod study (conducted by Gary Wells of the University of Alberta and Richard Petty of the University of Missouri) and William Condon's cultural microrhythms study.
  • Social System and Social ProofAll the elements are important but social system may be crucial at the bottom of the pyramid. BoP customers rarely make a ‘buy’ decision because the communication channel presented them with a compelling message. A number of considerations rise to the top really quickly when the customer is presented with an innovation. Among them are;What value does it really add? Perceived value has to be really high especially when a solution to their problem already exists and works satisfactorily well. Laundry detergent that smells like spring flowers also has to outperform the existing detergent when compared on number of washes delivered per kilogram (thanks NitiBhan for this example, it’s burned in my memory ).Who else has used it and what are they saying about it? This is where social systems come in. The customer looks for others trying to solve the same problem as they are and having better success with this new idea. This is what is referred to as social proof and is located in the social system. It is probably most critical for the BoP customer (usually the majority, early or late) in making the decision to implement or not.Read more: http://semacraft.com/blog/2010/11/the-role-of-social-proof-at-the-bottom-of-the-pyramid-a-social-crm-perspective/#ixzz1x1xTWyn7
  • In 1885, British businessman Thomas Smith attempted to answer that question in a guide called Successful Advertising. The book is best remembered for his 20-step plan for getting people to buy a product.“The first time people look at any given ad, they don’t even see it.“The second time, they don’t notice it.“The third time, they are aware that it is there.“The fourth time, they have a fleeting sense that they’ve seen it somewhere before.“The fifth time, they actually read the ad.“The sixth time, they thumb their nose at it.“The seventh time, they start to get a little irritated with it.“The eighth time, they start to think, ‘Here’s that confounded ad again.’“The ninth time, they start to wonder if they’re missing out on something.“The tenth time, they ask their friends and neighbors if they’ve tried it.“The eleventh time, they wonder how the company is paying for all these ads.“The twelfth time, they start to think that it must be a good product.“The thirteenth time, they start to feel the product has value.“The fourteenth time, they start to remember wanting a product exactly like this for a long time.“The fifteenth time, they start to yearn for it because they can’t afford to buy it.“The sixteenth time, they accept the fact that they will buy it sometime in the future.“The seventeenth time, they make a note to buy the product.“The eighteenth time, they curse their poverty for not allowing them to buy this terrific product.“The nineteenth time, they count their money very carefully.“The twentieth time prospects see the ad, they buy what is offered.”
  • Not the # of beds in a facility -- Knowledge - In this stage the individual is first exposed to an innovation but lacks information about the innovation. During this stage of the process the individual has not been inspired to find more information about the innovation.Persuasion - In this stage the individual is interested in the innovation and actively seeks information/detail about the innovation.Decision -In this stage the individual takes the concept of the change and weighs the advantages/disadvantages of using the innovation and decides whether to adopt or reject the innovation. Due to the individualistic nature of this stage Rogers notes that it is the most difficult stage to acquire empirical evidence (Rogers 1964, p. 83).Implementation - In this stage the individual employs the innovation to a varying degree depending on the situation. During this stage the individual determines the usefulness of the innovation and may search for further information about it.Confirmation - Although the name of this stage may be misleading, in this stage the individual finalizes his/her decision to continue using the innovation and may end up using it to its fullest potential.
  • Relative Advantage – How improved an innovation is over the previous generation.Compatibility -- The level of compatibility that an innovation has to be assimilated into an individual’s life.Complexity or Simplicity – If the innovation is perceived as complicated or difficult to use, an individual is unlikely to adopt it.Trialability - How easily an innovation may be experimented. If a user is able to test an innovation, the individual will be more likely to adopt it.Observability - The extent that an innovation is visible to others. An innovation that is more visible will drive communication among the individual’s peers and personal networks and will in turn create more positive or negative reactions.
  • Relative Advantage – How improved an innovation is over the previous generation.Compatibility -- The level of compatibility that an innovation has to be assimilated into an individual’s life.Complexity or Simplicity – If the innovation is perceived as complicated or difficult to use, an individual is unlikely to adopt it.Trialability - How easily an innovation may be experimented. If a user is able to test an innovation, the individual will be more likely to adopt it.Observability - The extent that an innovation is visible to others. An innovation that is more visible will drive communication among the individual’s peers and personal networks and will in turn create more positive or negative reactions.
  • Have a summary understanding of Diffusion TheoryDiscover how behavior theory impacts donors decisionsExperience diffusion failures and successes and take away valuable information to apply when planning your next fundraising activity.Have you noticed? Donors don’t respond to your fundraising/organizational messages at the same rate. This is not simply a generational difference. Learn the theory behind “Diffusion of Innovations” and how your donors (and potential donors) fit the categories of Innovators, Early Adopters, Early Majority, Late Majority and/or Laggards.  Presenter will share specific examples and stories of diffusion successes and failures. The savvy of strategy which large Corporations utilize in rolling out a new product or service will be presented in a simple and relevant manner for your own organization.  By the end of the workshop, you will have a deeper understanding on messaging & communication strategies for each of your target audiences and how to gauge success.  

Are your donors lagging?  Innovate your strategy.pptx Are your donors lagging? Innovate your strategy.pptx Presentation Transcript

  • Presented byKristina E. Jones, M.A., CFRE
  • What is Our Mission Who is Our Customer What is Our Plan Five Drucker What Questions Does The Customer Value What Are Our ResultsSource: P. Drucker (1990) www.StrongerOrganizations.com
  • What is Our Mission Who is Our Donor What is Our Plan Five Drucker Questions What Does Our Donor Value What Are Our ResultsSource: P. Drucker (1990) www.StrongerOrganizations.com
  • What does (he/she) Think & Feel What does (he/she) What does (he/she) Hear? See? What does (he/she) Say & Do?Source: Xplain.com www.StrongerOrganizations.com
  • What does (he/she) Think & Feel What does (he/she) What does (he/she) Hear? See? What does (he/she) Say & Do?Source: Xplain.com www.StrongerOrganizations.com
  • www.StrongerOrganizations.com
  • 34% 13.5%Source: E. Rogers (1962) www.StrongerOrganizations.com
  • Innovators Early Adopters Risk Takers Opinion Leadership Highest Social Status Higher Social Status Very Social More discrete than innovators Adopt because stay in central Financial Lucidity communication positionSource: E. Rogers (1962) www.StrongerOrganizations.com
  • Early Majority Late Majority Varying degree of time High degree of skepticism Below average social status Above average social status Very little financial lucidity Seldom hold opinion leadership Very little opinion leadershipSource: E. Rogers (1962) www.StrongerOrganizations.com
  • Laggards Focused on Traditions Lowest social status Lowest financial lucidity In contact with only family & close friendsSource: E. Rogers (1962) www.StrongerOrganizations.com
  • Innovation Communication Time Social System ChannelsSource: E. Rogers (1962) www.StrongerOrganizations.com
  • Innovation Communication Time Social System ChannelsSource: E. Rogers (1962) www.StrongerOrganizations.com
  • www.StrongerOrganizations.com
  • Connectors Mavens Salesmen DiffusionSource: M. Gladwell (2000) www.StrongerOrganizations.com
  • What value does your organization really add?Who else has given to the cause &and what are they saying about it? www.StrongerOrganizations.com
  • 1 The World 812 3 10 ? May Never Know… 20 www.StrongerOrganizations.com
  • www.StrongerOrganizations.com
  • Acknowledgement/ Moves Management Confirmation Renewal Donor s Implementation Lapsed Donors Decision Commitment Acquisition Persuasion Knowledge TimeSource: E. Rogers (1962) www.StrongerOrganizations.com
  • • Do you know what your donors value?• Do you have an “empathy map” of your donors?• At what stage is your fundraising message diffused? www.StrongerOrganizations.com
  • • Do you provide social proof in your messaging?• Do you have Connectors, Mavens & Salesmen involved?• Are your fundraising messages targeted to reach the next diffusion level? www.StrongerOrganizations.com
  • Please leave your business cardfor a Chance to WIN!!“The Tipping Point”by Malcom Gladwell