Building and Implementing a Healthy Fundraising Program

Building and Implementing a Healthy Fundraising Program
Marc A. Pitman, www.FundraisingCoach.com

Who am I?
Chosen for Seth Godin’s BullMarket Guide as a person “will shake things up”
Creator of the Extreme Fundraising Ezine (http://fundraisingcoach.com)
Author of Ask Without Fear! and Creating Donor Evangelists

Today’s Goals
3’s—types of communication, fundraising, times of a campaign
Where most money comes from
Simple approach to fundraising: Get R.E.A.L.
Ideas on using social media

Today’s Goals
3’s—types of communication, fundraising, times of a campaign
Where most money comes from
Simple approach to fundraising: Get R.E.A.L.
Ideas on using social media
The repetition in today’s presentation is intentional!

Two things to get started
It’ll be O.K.

Two things to get started
It’ll be O.K.
You can do it.

Constant Tension
90% - 10%
But must have a BROAD range of givers so losing one is no great loss

3 Source of Funds: Giving USA 2006

3 Types of Communication
Cultivation
Solicitation
Stewardship

Cultivation
the 2 local business owners
educating
dating

Solicitation
#1 reason people don’t give?
They're not asked!
Upgrade
one client started asking $1000 donors if they’d move up to the $2500 category. Many did!
Don’t feel compelled to justify the ask for more in a transactional sense. FR isn’t a business transaction.

Stewardship
Say “thank you” 7 times between asks (so go for multi-year pledges!)

3 Types of Fundraising Goals
Annual
Capital
Endowment

AF/Operating
The most important
often involves direct mail, phonathons, and other annual “-athons” (walkathons, bikeathons, etc.)
keep this as unrestricted as possible

Endowment
The keel of the ship, it helps you weather tough times
Funds invested with only a portion of the interest thrown off used as income
Be careful to not over restrict! (Churches with Easter flowers but no money for plumbing)

3 Ways to Raise Money

Written
mail
web
e-mail
don’t ask for money in email without having a way to donate online
Phone
because often needs a script
be sure it’s more of a convenience for them not for you (the nonprofit)

Events
gets lots of people on board
TIME INTENSIVE for possibly little return
Risk offending donors
I've heard that April and November are the best months for events
give them 3 years before deciding to discontinue
Determine your focus
Clear plan & script EVERYTHING

Give them 3 years before
events do have value
but you need to create a culture and fine tune them before giving up on them

Determine your focus
Use “The Curly Credo”
What's the “one thing” of your event?

Cultivation
Handshake Events
Not for $ right now
friends invite friends/org invites people they want to get to know
Head (facts) and Heart (emotional hook)
or moving further into the house?

Solicitation
Low Key FR Events
Much like above but with
either the promise of follow up
or a pledge card at the event (I’m not a big fan of this)
Be clear in the invitation wording, subtle but clear

Stewardship
Say thank you
and DON’T ASK FOR MONEY

Clear plan & script EVERYTHING
All should be tightly timed
Often want to allow ample socializing time: friends brought friends
but may want to go for the in-and-out, your-time-is-important approach
Which ever you choose be intentional
Include times (even “2 minutes”)
Talking points for everyone
not to lock them in
just to give them direction
kids on the playground with a fence
It's helpful to put the event objective at the top of this
people tend to forget in the rush of activity

3 Things to Measure

Fundraising…a privilege

Let's Get R.E.A.L.!
Research
Engage
Ask
Love/Like/Live

Research
About your goals:
Case statement
Gift table
Naming Opps

Case Statementsearch

www.GiftRangeCalculator.com

Naming Opportunities

Research
About your prospect
Tools
Google it
Blackbaud Analytics, Wealth Point, P!N Network

Research
About your prospect
Tools
Google it
Be realistic

Research
About your prospect
Tools
Google it
Be realistic
Avoid Paralysis By Analysis

Engage
Fundraising is like dating
Get to know them
What got them involved in the nonprofit? What impressed them most?
What fascinates them
Office/pictures/trophies
Let them get to know about what makes your organization unique

Multiple Tools
Face-to-face
ALWAYS the best
This is what brings in the money

F2F
most effective
most time consuming
Or maybe not: you could organize a silent auction to give you $10,000 (LOTS of work) or ask an individual over coffee.

Multiple Tools
Phone
be natural

Phone calls
one client wanted to make phone calls to
Survey about a new mailing strategy
Ask for a gift
Ask if there were anything that the person being called would like prayer for
I help my clients prune their purpose. I advised deciding on ONE purpose for the call
multiple choices confuse the caller and the called
it's fine if they all happen in the same call—just be sure to have one reason for calling

Multiple Tools
E-mail
can work VERY effectively
see my e-course

Multiple Tools (cont)
Mail
“This made me think of you” notes

Multiple Tools (cont)
Web
Where's the banana?

Try Others

3 minutes – 1000’s of people

Ask
#1 Reason people don't give?

Ask
Find a connection and put the plug into the outlet!
Make It Easy

Different Strokes for Different Folks:
Dominant
Inspiring
Steady
Calculating
Therefore, speak to the head & the heart

Make It Easy
Phraseology
Make Your Own Gift First!
"I can appreciate that"
Props
Renderings
Gift Charts
Options: Arrows in your quiver
monthly giving options
Maybe: good, better, best

Tangibilitize your ask
Heifer.org gives all sorts of gift ranges represented by different animals:
a $500 gift is symbolized as a gift of a heifer,
$120 a gift of a pig,
$60 a trio of rabbits,
$20 a gift of chickens.
A $5000 gift is “a gift of an ark”!
The prices in this catalog represent the complete livestock gift of a quality animal, technical assistance and training. Each purchase is symbolic and represents a contribution to the entire mission of Heifer International. Donations will be used where needed most to help struggling people.

Handling Objections
What are common ones?
Don't have the money
when might you?
when may I come back?
Giving elsewhere
best objection
"how could we get in your top 10 giving priorities?“
Not interested
Are they comatose? *grin*

Love/Like/Live
Love/Like the person anyway—they're more important than the gift
This business is ALL about relationships
Live with their response!
You don't always have to like the response but keep on loving the person

7 Frequent Fundraising Myths
The Mickey D’s Mistake

The Cheez-It Treatment

The Mrs. McTat’s Gaff

The Mrs. McTat’s Gaff
The Spell-Check-Will-Catch-It Faux Pas

7 Frequent Fundraising Faux Pas’
The “My Way or the Highway” Mistreatment

The You’re-Good-Enough-To-Go-It-Alone Syndrome

The You’re-Good-Enough-To-Go-It-Alone Syndrome
The Field of Dreams Fiasco

Crafting Your Message
PYITS
Dealing with F.E.A.R.
The Rule of 3’s

PYITS: An Effective Cure
Put Yourself In Their Shoes
"Credit Denied" mailing
Do you like calls to sound scripted or natural?
No entitlement

Dealing with F.E.A.R.
False Evidence Appearing Real
Asking for money or helping change a kid’s life?
Rejecting YOU or the cause?
This isn't life or death!

Rule of 3’s
Who’s Your Jennifer?
Three Attributes
Three Channels
Three Times/Month for Three Months

You Can Do It!
BEE YOURSELF
Make your gift first!
Don't feel guilty that you're afraid
Have courage (it's not courage without fear)
Keep it simple
Have fun!

Tool shop including: The Creating Donor Evangelists Program
Give me your card for a free copy of $100,000 Guide to Email Solicitation e-course
Free blog, articles, book reviews, and more!
marc@fundraisingcoach.com