A Recipe For $uccess: Tracking & Converting Supporters for Maximum Results
*Watch or download the full webinar (with audio and slides) at: http://bit.ly/c2recipe
"So you've acquired them. Now what?!"
Converting new subscribers to donors of course depends on the RIGHT communication strategy; but maximizing the return on your online constituency growth investment depends on the RIGHT data and the RIGHT interpretation.
Do you have a plan? Do you know what to look for? ...and what it all means?
Join Janna Chan of the Center for Reproductive Rights (formerly of Lambda Legal and M+R Strategic Services) and two Grams (Jaime Grams of Integral and Dane Grams of Care2, formerly of GLSEN and HRC) for our latest Expert Webinar:
"A Recipe for $uccess: Tracking & Converting to Maximize Returns" on Tuesday 5/22 at 2PM ET
Learn from this real-life example how to manage and track new online subscribers and how it can help guide you on your communications and fundraising, as well as pinpoint the real value of your nonprofit's supporters.
In this webinar you will learn:
Why it is important to recruit new supporters
How to keep online subscribers engaged, involved and converting to donors
What are the right metrics for measuring success, short term and long term
How to compare your online investment to other direct response and marketing channels
Target Analytics, a Blackbaud recently released their 2011 Target Analytics donorCentrics Index of National Fundraising Performance Report.Target's data this year was drawn from 80 different nonprofit organizations, 38 million donors, 79 million gifts and $2.5 billion worth of donations revenue (although it excluded any donations worth $10,000 or more). Channels covered included online, direct mail, telemarketing and canvassing. [When I asked Paige about this phenomenon, she generally agreed with me that fundraisers at the advocacy-driven Social Benefit organizations did so well because they've gotten good at using online petitions and other online actions to recruit new multichannel donors, such as Care2 delivers for our nonprofit clients. Of course, it also "helps" that the very polarized political atmosphere in the USA right now has greatly boosted the impact of these campaigns, making them more urgent and grabbing even more attention. We've all had LOTS to argue about and advocate in recent years!]
Some sectors get much more than 6.4 percent of their gifts online. Societal Benefit nonprofits get 10 percent of gifts online, and Environmental groups get 12 percent of gifts online. But the online champions are the International Relief organizations, who get a whopping 21 percent of their gifts online.
The organizations with the best list growth are using a variety of these techniques, packaged as a campaign. CRR is one example we will get to later.
A Recipe For $uccess: Tracking & Converting Supporters for Maximum Results
A RECIPE FORTracking & Converting Supportersfor Maximum ResultsPresented by: Janna Chan, Center for Reproductive Rights Jaime Grams, Integral Dane Grams, Care2 From the kitchen of:
aboutCitizens use Care2 for: Starting or signing petitions Nonprofits use Care2 for: Volunteering Donating $ Recruiting Donors & Supporters Spreading news Traffic/Branding/Awareness Commenting on blogs Starting group (organizing) Advocacy Joining nonprofits Building Facebook fan base
The Cold, Hard Facts Overall revenue from nonprofits declined again in 2011. The median drop was 2.1 percent. Overall the number of donors for ALL nonprofits has declined over the last six years by 5.3 percent. Why? The number of new donors being acquired is shrinking. The overall number of New Donors acquired per year has declined 14.6 percent over the last six years. Donors are becoming more generous. BUT the Increase in Revenue Per Donor is still not compensating for the Declining Quantity of Donors. Across channels, 81 percent of all gifts last year came in via Direct Mail, vs. 6.4 percent coming Online, and 3 percent coming via Telemarketing. 2011 Target Analytics donorCentrics Index of National Fundraising Performance
A Bright Spot Online giving is growing rapidly. The number of online gifts is growing 22 percent per year, and the dollar value of these gifts is growing 20 percent per year. Online gifts are also much bigger than donations made via Direct Mail or Telemarketing. The average online gift was $63, compared to $38 for Direct Mail and $39 for Telemarketing. 2011 Target Analytics donorCentrics Index of National Fundraising Performance
2011 Target Analytics donorCentrics Index of National Fundraising Performance
A Large E-Mail List… is one of the key ingredients to grassroots strength and campaign victories; means greater success in online engagement including increased web traffic, brand buzz, organic recruitment, advocacy and fundraising; provides instant feedback; matters to corporate sponsors; helps with media attention; and is one of an organization‟s greatest financial assets.
2011 Convio Online Marketing Nonprofit Benchmark Index™ Study
Building the List Email Append Home Page Capture Involvement Campaign—pledge, petition, quiz, survey Take advantage of a hot topic Tell-a-friend Social Media Presence Banner Ads Co-registration Cost per lead partnership Keyword Search/Google Offline techniques
CommunicationBest Practices Immediate Welcome Notice (within 24 hours) with low level engagement. Followed by two additional communications over the next two weeks (include a fundraising ask). Monthly emails including: 1 Education 1 Engagement 1 Newsletter 1 Fundraising Seize any opportunity to communicate breaking news, or crisis, etc. Track/source all communications Include online subscribers in your offline mail and phone programs.
“We envision a world where every woman is free todecide whether and when to have children, haveaccess to the best reproductive healthcareavailable, and can exercise her choices withoutcoercion or discrimination. Plain and simple: Weenvision a world where every woman participateswith full dignity as an equal member of society.”
The Center: Facts & Figures The Center was founded in June 1992. Our Founders wanted an organization with a global vision. The Center‟s mission: to use the law to advance reproductive freedom as a fundamental human right that all governments are legally obligated to protect, respect, and fulfill. The Center is based in New York City, but has offices in Washington D.C., Kenya, Colombia and Nepal. Docket load: 47 cases worldwide. Recent Successes: Oklahoma & Honduras In 2011, the Center raised $15,495,229 in financial support, 56% came from foundations and 39% from individuals donors.
The Center:A Case Study In May 2009, the Center had a list of ~5,000 badly abused and neglected email subscribers. No formal online program. The Center wasn‟t using a Customer Relationship Management (CRM) tool. Instead, emails were sent through an online mail vendor that only sent email. There was no way to: Engage in online advocacy and grassroots lobbying Fundraise Share campaigns or engage supporters on social media Track information and evaluate statistics
The Center:A Case Study In August 2009, the Center started using Salsa as our CRM. In November 2009, we launched our first paid recruitment campaign with a small budget. Today, the Center has 85,000 supporters on its list.
The Right Tools & The RightStrategy = Significant Growth
The Center’sFDA Campaign In 1999, the U.S. Food and Drug Administration (FDA) approves Plan B—but with many unnecessary restrictions. In 2001, the Center begins its legal case against the FDA. In March 2010, the Center launches its first online advocacy campaign targeting the FDA. Online Tactics: Action alert emails In-house Video Simultaneous Care2 Campaign Blog outreach Strong website presence with multiple opportunities to share content
It broke!?! At least there‟s themorning after Yeah, but the pill. way they make you get it is SO embarrassing…
FDA CampaignResults House File: 2,863 actions = 20% response rate Video Views (YouTube and Vimeo): 14,696 Care2 Campaign: 2,127 Care2 featured the FDA campaign on its homepage and wrote a blog about the campaign which quickly led to over 10,000 actions taken and 2,000 comments. Organic List Growth (homepage): 794 Featured in over 50 blogs Missed Opportunity: the Center was not conducting online fundraising yet.
FDA CampaignUpdate In November 2010, the Center filed a motion for contempt against the FDA . On December 7, 2011, the FDA was slated to finally end restrictions on EC, but… The Center is now back in court. The Center partnered again with Care2 in February 2012: Care2 Email Acquisition: 3,030 Care2 Daily Action: Generated over 2,300 actions and 1,100 new email registrations
The Center’s OngoingCommunications Strategies More (and better) advocacy campaigns: No fluff! Still the number one driver for organic list growth Keeps existing supporters engaged Provides clear path for social networks to reach your email list
Communications StrategiesDiversity of engagements:Video Submissions: Not My Tax Dollars Antis in Congress intent on separating all tax dollars from anything remotely touching abortion January 2010: List size only ~15k, roughly 1k on Twitter, Facebook Received two dozen videos, many from prominent bloggers More than 6,000 views. Exposure to new audiences, especially on important blog networks
Communications Strategies New Yorker Style Cartoon Caption Contest To support our case against Texas‟s mandatory ultrasound law, asked folks to submit a caption for our cartoon More than 4,000 submissions Allowed supporters to vote for their favorite caption Winning caption featured on the Center‟s website, eNews, email and social networks
Communications Strategies Twitter Targeting Defeated an anti- choice law in Oklahoma Asked supporters to tweet at OK Governor:
What We’ve Learned charity: water likes to say: Make Mistakes Quickly Don‟t be afraid to introduce new campaign ideas Identify audiences Manage expectations
How We Evaluate Success Return On Investment (ROI) List Engagement High retention rates; low unsubscribes Convincing management to let you try something new!
About Integral Founded July, 2001, Integral‟s primary focus is to help organizations leverage their data to make better decision for sustained growth. Combining deep analysis and our experience with market leaders, we turn data into insight.
Objectives Integrate the online and offline databases to understand pre- and post- „registration‟ donor performance. Conversion: How many subscribers with no prior giving eventually donated to the Center? LTV: In addition to their crucial advocacy participation, how much have our outside leads donated? Based on historical performance, do opportunities exist to scale growth activities through this medium? What is the anticipated ROI?
Data Notes Data Sources: Data was provided from Offline: The Raiser‟s Edge both the online and offline Online: Salsa databases and integrated within Integral‟s data warehouse. The process allowed us to: Separate out anyone with a donation prior to their online sign-up Determine total value per donor (including online and offline giving).
List GrowthThe Center was able to impact file size through outside investments.
Donor ConversionFor purposes of this webinar, registrants have been divided into 2 categories: Care 2 and Balance. Data % of Source Registrants Total Care2 28,004 34.79% Balance 52,491 65.21% Balance Care2 For an overall conversion rate JoinMonth Registrants Conversion Registrants Conversion comparison, prior donors and 2009 - 11 996 1.29% 3,098 0.93% months with statistically insignificant Care2 counts 2010 - 01 480 0.87% 3,053 1.12% have been omitted. 2010 - 04 148 2.72% 1,671 0.77% 2010 - 06 43 1.12% 1,319 0.35% Generally speaking, 2010 - 07 32 1.39% 738 1.30% conversion rates have varied 2010 - 09 4,847 1.18% 474 1.49% by sign-up month but the 2010 - 10 4,748 1.40% 4,280 0.65% Care2 names have converted at lower while fairly 2011 - 07 2,651 1.30% 727 1.29% comparable rates when you 2011 - 11 5,668 0.45% 5,729 0.46% look at the months with similar 2011 - 12 2,573 0.57% 3,425 0.30% volumes. 2012 - 02 2,595 0.25% 3,315 0.23%
Historical Registrant Value 24For purposes of this discussion, registrants have been divided into 2 categories:Care2 and Non-Care2 24 mos on file JoinSourceCodeId Registrants w/ 24 Mos $/Reg Mos24 Non-Care2 7,388 $0.98 Care2 6,188 $0.96 Grand Total 13,576 $0.97 Based on registrants with no prior gift on file that joined the Center‟s list 24+ months ago, the Center received nearly $1 from each registrant over the first 24 months.
Donor Value 24For purposes of this discussion, donors have been divided into 2 categories:Care2 and Non-Care2 $60.00 $55.00 $50.00 $52.45 $45.00 $40.00 $35.00 $39.03 $40.98 $30.00 $25.00 $28.45 $20.00 $15.00 $10.00 $5.00 $0.00 Initial VPD VPD VPD VPD VPD VPD VPD VPD VPD VPD VPD Mos2 Mos3 Mos4 Mos5 Mos7 Mos8 Mos9 Mos10 Mos11 Mos12 Care2 Non-Care2Converted Care2 donors have a join amount around $10 less than the Non-Care2 donors…BUT they contribute at nearly the same rate over thefirst 12 months on file. The delta in both cases is approximately $10.
Registrant and Donor ValueConclusions Based on a review of historical value data, it seems that Care2 leads and converted donors perform similarly over the first 12 and 24 months: The cumulative donor value curve, which accounts for subsequent retention and gift amounts are very similar. The total value per Care2 registrant is similar to that of the non- Care2 registrant. In this particular example, the opportunities area exists on the conversion front where a .75 - 1.5% conversion will not break- even in 24 months, a 2 - 3% conversion will likely do so.
Recent TrendsBased on more recent performance of Nov/Dec 2011 campaigns, the Centerhas realized a much higher Value per Registrant over the first 3 monthsindicating current strategies are improving conversion rates and timing ofconversion. $0.25 $0.23 $0.23 $0.20 $0.18 $0.15 $0.14 $0.13 $0.12 $0.12 $0.10 $0.10 $0.08 $0.07 $0.07 $0.07 $0.08 $0.05 $0.05 $0.04 $0.03 $0.00 $0.00 $0.00 2011 - 11 2009 - 11 2010 - 01 2010 - 04 2010 - 06 2010 - 07 2010 - 09 2010 - 10 2011 - 07 2011 - 12 $/Reg Mos1 $/Reg Mos3
Pathway to Growth An example of a conversion/ROI targets: % # Subs ValueWeb Reg Converted Converted % Converted # Converted Total Total Avg Initial per Donor 18Month Registrants online online Offline Offline Converted Gift Value/Reg Mos ROI18Mos 1 5,000 1.65% 83 1.60% 80 163 $30.00 $0.98 $18.00 104%Mos 2 5,000 1.65% 83 1.60% 80 163 $30.00 $0.98 $18.00 104%Mos 3 5,000 1.65% 83 1.60% 80 163 $30.00 $0.98 $18.00 104% Setting both online and offline conversion and subsequent value goals will allow the Center to manage the investment to a desired ROI target.