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Online fundraising
FUNDRAISING MODELS
Description
NGO fundraising models
• Federated: digital
fundraising only by
national offices
• Regionalised: digital
fundraising from regional
centres
• Centralised: digital
fundraising from head
office
➧ Most well know
international NGOs.
Except: ‘orphan’
countries
➧ PETA, CIWF, IFAW, Four
Paws, Intl Humane
Society, Greenpeace
➧ Rainforest Action
Network
[organisation X] needs to invent a new model due to risk
of cannibalising national fundraising
Case study: Amnesty
• Respond rapidly (within
hours/days) of relevant
world events
• Use multiple channels
• Action attract new
supporters
• Event linked fundraising
asks
• Result: much higher
mobilisation, acquisition
and donor conversion
Case study: ActionAid India
• ActionAid focuses on tangible asks
(child sponsorship)
• The provide tangible benefits for
sponsorship (welcome kit,
community newsletter, child’s
message, e-newsletter)
• They have donors in countries in the
‘north’ and the ‘south’
• The digital models work in both the
‘north’ and the ‘south’
• They accept both Indian and non-
Indian donations
Case study: PETA Europe
• PETA runs European campaigns
from London
• In London, they hire native-
speaking nationals for each
country they fundraising in
• Use petitions to attract leads
then fundraising from them
• Send printed material / call by
phone to increase retention
• 15% of their income is from
digital fundraising (so far)
Case study: CIWF
• CIWF chose to work beyond UK
• Supported new offices but they
must become self-financing in 2-
3y
• Where: FR, IT, NL, PL, US
• Secretariat doesn’t fundraise
• Scattered expats support UK
office
• France beat UK’s digital
fundraising in 1st year – partly
down to French tax relief for
donations (like the US)
Digital fundraising models
• Petition → Donate
(many variants!)
• Crowd funding actions
(earmarked, effective)
• Match funding
campaigns
(underutilised in sector)
• Webinars → Paid access
(untested)
➧ Avaaz, PETA, CIWF + other
‘people powered’ orgs
➧ Avaaz, 38Degrees, Amnesty+
independent initiatives
➧ Political parties, major
donors, governments
➧ No NGO is known to have
tried this, but it works
Note that all require direct access to an
existing supporter base to work
Idea: set up a public petition site
What:
A public petition site
set-up and run by
[organisation X] would
be a service to
members (and beyond)
worldwide
Why:
• Dramatically increase
number of actions
• Attract more
supporters
• Service to national
offices / local groups
• Support successful
ones
• Fundraise off petition
supporters
Idea: set up a crowdfunding site
What:
A crowdfunding site for
relevant campaigns set-
up and run by
[organisation X] would
be a service to
members (and beyond)
worldwide
Why:
• Dramatically increase
number of donation
actions
• Attract more supporters
• Service to national
offices / local groups
• Support successful ones
• Take commission of
donations
Idea: aggregate national petitions/actions
What:
Aggregate national /
local [organisation X]
actions and
internationalise them
so others around the
world can participate
Why:
• Amplify existing actions
• Attract more supporters
• Service to national
offices / local groups
• Support successful ones
• Fundraising from new
supporters
Idea: set up a crowdfunding site
What:
A crowdfunding site for
relevant campaigns set-
up and run by
[organisation X] would
be a service to
members (and beyond)
worldwide
Why:
• Dramatically increase
number of donation
actions
• Attract more supporters
• Service to national
offices / local groups
• Support successful ones
• Take commission of
donations
Idea: establish new offices
What:
Set up new
[organisation X] offices
in countries where
there currently is no
presence
Why:
• Grow the organisation
• Fundraise without
cannibalising existing
offices / groups
• Grow it to the point it
has provided a
sufficient return and is
self sufficient (including
affiliation fees)
DIGITAL TRANSFORMATION
Description
Critical success factors this decade
In today’s world, the critical success factors have
changed. To excel at campaigning and fundraising,
organisations need to:
• Respond rapidly (within minutes and hours)
• Experiment constantly in short cycles
• Embrace relevant top media stories/trends
• Be relevant to people’s interests
• Help people be social
To achieve this, organisations need to
transform their structures and attitudes
Critical concepts to success
• Return on investment: (Return - Investment)/Investment
• Supporter journey: acquisition, warm leads, welcome
series, retention, lapsed, re-activation/engagement
• Life-time value: how much is a supporters value over the
entire time they donate (including all those who lapse
into an average lifetime value)
• Agile project management
• Minimum Viable Product (MVP)
• Design thinking
• Split (A/B) testing
Plan a Supporter Journey
• Campaigning supporter journey: the experience you lead supporters on from
first contact to a stable relationship
First
Contact
Welcome
route
Regular
supporter
High-involvement
supporter
Re-activation route
Lapsed
Supporters
Plan to offer multiple levels of action
Quick and easy activity:
e.g. petitions, mass emails to target, pledges
Thoughtful activity:
e.g. writes personal emails,
attends events, calls MPs
Committed
activity:
e.g. local organiser,
visits MP, speaks to
media, offers time and skills
This occurs online
and offline
Campaigner journey life phase
oriented
Lifetime
Freetime
vs.money
Teenage Retirement
PETITION→ DONATE MODELS
Description
Petition/Action → Donate: Traditional NGOs
• Run 5-12 petitions a year
on core campaigns
• Use completion page to
ask for a donation or
followup via email, phone
or post asking for donation
• Novel: use
retargeting/customer
match ads to create online
‘filter bubble’ about the
issue before asking for a
donation
Results:
• 30-60% new supporter
acquisition (of
participants) for each
petition run
• 1-3% conversion via
completion page/email
followup
• Avg. gift €20/person
• Higher conversion via
phone, physical mail
out, filter bubble
Petition → Donate: MoveOn/Avaaz + clones
• Run 150+ petitions a year on
current topics and targeted
by country/interest
• Launch most petitions to
specific segment to pilot
response and only launch
wider if it has a good
response
• Use donation as action with
credible theory of change
• Use email/completion page
to ask for donations
Estimated results:
• 30-60% new supporter
acquisition (of
participants) for each
petition run
• 1-3% conversion via
completion page/email
followup
• Avg. gift €20/person
• Higher conversion when
the donation ask has a
credible theory of change
Petition → Donate: Petition sites
• Host 10k+ petitions a
year created by
individuals
• Creators responsible for
initial promotion
• Orgs adopt and support
those that perform well
• Followup with email to
ask for donations
Estimated results:
• 30-60% new supporter
acquisition (of
participants) for each
petition run
• 1-3% conversion via
completion page/email
followup
• Avg. gift €20/person
• Higher conversion when
the donation ask has a
credible theory of change
Petition → Donate: Chaperoned acquisition
• Promotes your petitions to
their membership in chosen
countries
• Paid warm acquisition €1.5-2 /
new supporter (estimate)
• Care2 and Change.org
• Fast, and great value
• Bootstraps a support base
• Uses completion page / email
followup to ask for donations
Estimated results:
• Numbers based on
your budget (min €5k)
• 1-3% conversion to
donations via
completion page/email
followup
• Avg. gift €20/person
• Higher conversion
when the donation ask
has a credible theory of
change
Petition → Donate: Filter bubble
• Uses online ad targeting to
expose petition visitors /
participants to your
activities on other sites
• Google/Facebook/Twitter
customer match,
retargeting,
• Communicate beyond
email
• Prepares supporters for a
donation ask via email,
post or call
Estimated results:
• Email: above avg
conversion
• Calls: 24% conversion
(vs 3-6%)
• Where: Sweden
(Jakob Ohlsson,
Reformact for Save
the Children)
Case study: Save the Children Sweden
• Started with petition model to
acquire warm leads on current
topic: migration deaths
• Then used online ads to
education people about StC’s
work but targeted only at
petition supporters
• After a few days, asked people
via email, phone and post to
donate
• Had higher response rates than
without the targeted ads
Within hours of the first big
catastrophe on the Mediterranean
a petition was launched with a
simple message: “No child should
die on the Mediterranean Sea”.
(2015)
OTHER MODELS
Description
Crowdfunding
• Pick specific, tangible ask
to fundraise for (person,
project, initiative, etc.)
• Promote to interested
segment
• Media coverage helps!
• Promote wider if doing
well
• Followup with email to
ask for regular donation
(or other crowdfunding)
Estimated results:
• Depends on how
compelling it is
• Conversion unknown
• Avg. gift €20-
30/person
• Sometimes attracts a
few large donors (€1-
15k+)
In celebration and memory of Jo Cox, we are raising funds to support causes closest
to her heart, chosen by her family:
The Royal Voluntary Service, to support volunteers helping combat loneliness in Jo's
constituency, Batley and Spen in West Yorkshire.
HOPE not hate, who seek to challenge and defeat the politics of hate and extremism
within local communities across Britain.
The White Helmets: volunteer search and rescue workers in Syria. Unarmed and
neutral, these heroes have saved more than 51,000 lives from under the rubble and
bring hope to the region.
Match funding
• Double a new donor’s
contribution by having it
matched by an existing
donor, organisation or
government
• Get existing donors to set
amount
• Launch to non donors
• Even better: connect new
and existing donors
and/or match based on
shared trait
Estimated results:
• Depends on how
compelling it is
• Conversion unknown
• Avg. gift €20-
30/person
• Sometimes attracts a
few large donors (€1-
15k+)
Webinars → Paid access
• Run free webinars on a
variety of topics
• These attract people
(=acquisition)
• Followup by offering them
the chance to pay to access
related content (trainings,
events, support, content)
• Nurture those that pay
• Fundraise in other ways
from those that don’t
Estimated results:
• Depends on how
compelling it is
• Conversion 1%
• Purchase price €100+
• Works quite
successfully for many
other sectors
Costs to consider
• €20-30k to acquire 10-15k supporters for pilots
• €10-20k for platform for actions, fundraising, email
communication, supporter journey management,
petition site, crowdfunding site, etc.
• €2-5k for online ads and targeting
• €5k for telemarketing and direct mail trials
Evaluation criteria: first 6 months
• Can others’ conversion and value metrics be matched
• Can 50% of supporters be active beyond their initial
action? 30 days later?
• Can 25% of the pilots achieve a positive ROI? 10% an
ROI of 1 (double investment)? 1% and ROI above 2?
• Exclude infrastructure costs

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Digital fundraising input

  • 3. NGO fundraising models • Federated: digital fundraising only by national offices • Regionalised: digital fundraising from regional centres • Centralised: digital fundraising from head office ➧ Most well know international NGOs. Except: ‘orphan’ countries ➧ PETA, CIWF, IFAW, Four Paws, Intl Humane Society, Greenpeace ➧ Rainforest Action Network [organisation X] needs to invent a new model due to risk of cannibalising national fundraising
  • 4. Case study: Amnesty • Respond rapidly (within hours/days) of relevant world events • Use multiple channels • Action attract new supporters • Event linked fundraising asks • Result: much higher mobilisation, acquisition and donor conversion
  • 5. Case study: ActionAid India • ActionAid focuses on tangible asks (child sponsorship) • The provide tangible benefits for sponsorship (welcome kit, community newsletter, child’s message, e-newsletter) • They have donors in countries in the ‘north’ and the ‘south’ • The digital models work in both the ‘north’ and the ‘south’ • They accept both Indian and non- Indian donations
  • 6. Case study: PETA Europe • PETA runs European campaigns from London • In London, they hire native- speaking nationals for each country they fundraising in • Use petitions to attract leads then fundraising from them • Send printed material / call by phone to increase retention • 15% of their income is from digital fundraising (so far)
  • 7. Case study: CIWF • CIWF chose to work beyond UK • Supported new offices but they must become self-financing in 2- 3y • Where: FR, IT, NL, PL, US • Secretariat doesn’t fundraise • Scattered expats support UK office • France beat UK’s digital fundraising in 1st year – partly down to French tax relief for donations (like the US)
  • 8. Digital fundraising models • Petition → Donate (many variants!) • Crowd funding actions (earmarked, effective) • Match funding campaigns (underutilised in sector) • Webinars → Paid access (untested) ➧ Avaaz, PETA, CIWF + other ‘people powered’ orgs ➧ Avaaz, 38Degrees, Amnesty+ independent initiatives ➧ Political parties, major donors, governments ➧ No NGO is known to have tried this, but it works Note that all require direct access to an existing supporter base to work
  • 9. Idea: set up a public petition site What: A public petition site set-up and run by [organisation X] would be a service to members (and beyond) worldwide Why: • Dramatically increase number of actions • Attract more supporters • Service to national offices / local groups • Support successful ones • Fundraise off petition supporters
  • 10. Idea: set up a crowdfunding site What: A crowdfunding site for relevant campaigns set- up and run by [organisation X] would be a service to members (and beyond) worldwide Why: • Dramatically increase number of donation actions • Attract more supporters • Service to national offices / local groups • Support successful ones • Take commission of donations
  • 11. Idea: aggregate national petitions/actions What: Aggregate national / local [organisation X] actions and internationalise them so others around the world can participate Why: • Amplify existing actions • Attract more supporters • Service to national offices / local groups • Support successful ones • Fundraising from new supporters
  • 12. Idea: set up a crowdfunding site What: A crowdfunding site for relevant campaigns set- up and run by [organisation X] would be a service to members (and beyond) worldwide Why: • Dramatically increase number of donation actions • Attract more supporters • Service to national offices / local groups • Support successful ones • Take commission of donations
  • 13. Idea: establish new offices What: Set up new [organisation X] offices in countries where there currently is no presence Why: • Grow the organisation • Fundraise without cannibalising existing offices / groups • Grow it to the point it has provided a sufficient return and is self sufficient (including affiliation fees)
  • 15. Critical success factors this decade In today’s world, the critical success factors have changed. To excel at campaigning and fundraising, organisations need to: • Respond rapidly (within minutes and hours) • Experiment constantly in short cycles • Embrace relevant top media stories/trends • Be relevant to people’s interests • Help people be social To achieve this, organisations need to transform their structures and attitudes
  • 16. Critical concepts to success • Return on investment: (Return - Investment)/Investment • Supporter journey: acquisition, warm leads, welcome series, retention, lapsed, re-activation/engagement • Life-time value: how much is a supporters value over the entire time they donate (including all those who lapse into an average lifetime value) • Agile project management • Minimum Viable Product (MVP) • Design thinking • Split (A/B) testing
  • 17. Plan a Supporter Journey • Campaigning supporter journey: the experience you lead supporters on from first contact to a stable relationship First Contact Welcome route Regular supporter High-involvement supporter Re-activation route Lapsed Supporters
  • 18. Plan to offer multiple levels of action Quick and easy activity: e.g. petitions, mass emails to target, pledges Thoughtful activity: e.g. writes personal emails, attends events, calls MPs Committed activity: e.g. local organiser, visits MP, speaks to media, offers time and skills This occurs online and offline
  • 19. Campaigner journey life phase oriented Lifetime Freetime vs.money Teenage Retirement
  • 21. Petition/Action → Donate: Traditional NGOs • Run 5-12 petitions a year on core campaigns • Use completion page to ask for a donation or followup via email, phone or post asking for donation • Novel: use retargeting/customer match ads to create online ‘filter bubble’ about the issue before asking for a donation Results: • 30-60% new supporter acquisition (of participants) for each petition run • 1-3% conversion via completion page/email followup • Avg. gift €20/person • Higher conversion via phone, physical mail out, filter bubble
  • 22. Petition → Donate: MoveOn/Avaaz + clones • Run 150+ petitions a year on current topics and targeted by country/interest • Launch most petitions to specific segment to pilot response and only launch wider if it has a good response • Use donation as action with credible theory of change • Use email/completion page to ask for donations Estimated results: • 30-60% new supporter acquisition (of participants) for each petition run • 1-3% conversion via completion page/email followup • Avg. gift €20/person • Higher conversion when the donation ask has a credible theory of change
  • 23. Petition → Donate: Petition sites • Host 10k+ petitions a year created by individuals • Creators responsible for initial promotion • Orgs adopt and support those that perform well • Followup with email to ask for donations Estimated results: • 30-60% new supporter acquisition (of participants) for each petition run • 1-3% conversion via completion page/email followup • Avg. gift €20/person • Higher conversion when the donation ask has a credible theory of change
  • 24. Petition → Donate: Chaperoned acquisition • Promotes your petitions to their membership in chosen countries • Paid warm acquisition €1.5-2 / new supporter (estimate) • Care2 and Change.org • Fast, and great value • Bootstraps a support base • Uses completion page / email followup to ask for donations Estimated results: • Numbers based on your budget (min €5k) • 1-3% conversion to donations via completion page/email followup • Avg. gift €20/person • Higher conversion when the donation ask has a credible theory of change
  • 25. Petition → Donate: Filter bubble • Uses online ad targeting to expose petition visitors / participants to your activities on other sites • Google/Facebook/Twitter customer match, retargeting, • Communicate beyond email • Prepares supporters for a donation ask via email, post or call Estimated results: • Email: above avg conversion • Calls: 24% conversion (vs 3-6%) • Where: Sweden (Jakob Ohlsson, Reformact for Save the Children)
  • 26. Case study: Save the Children Sweden • Started with petition model to acquire warm leads on current topic: migration deaths • Then used online ads to education people about StC’s work but targeted only at petition supporters • After a few days, asked people via email, phone and post to donate • Had higher response rates than without the targeted ads Within hours of the first big catastrophe on the Mediterranean a petition was launched with a simple message: “No child should die on the Mediterranean Sea”. (2015)
  • 28. Crowdfunding • Pick specific, tangible ask to fundraise for (person, project, initiative, etc.) • Promote to interested segment • Media coverage helps! • Promote wider if doing well • Followup with email to ask for regular donation (or other crowdfunding) Estimated results: • Depends on how compelling it is • Conversion unknown • Avg. gift €20- 30/person • Sometimes attracts a few large donors (€1- 15k+)
  • 29. In celebration and memory of Jo Cox, we are raising funds to support causes closest to her heart, chosen by her family: The Royal Voluntary Service, to support volunteers helping combat loneliness in Jo's constituency, Batley and Spen in West Yorkshire. HOPE not hate, who seek to challenge and defeat the politics of hate and extremism within local communities across Britain. The White Helmets: volunteer search and rescue workers in Syria. Unarmed and neutral, these heroes have saved more than 51,000 lives from under the rubble and bring hope to the region.
  • 30. Match funding • Double a new donor’s contribution by having it matched by an existing donor, organisation or government • Get existing donors to set amount • Launch to non donors • Even better: connect new and existing donors and/or match based on shared trait Estimated results: • Depends on how compelling it is • Conversion unknown • Avg. gift €20- 30/person • Sometimes attracts a few large donors (€1- 15k+)
  • 31.
  • 32. Webinars → Paid access • Run free webinars on a variety of topics • These attract people (=acquisition) • Followup by offering them the chance to pay to access related content (trainings, events, support, content) • Nurture those that pay • Fundraise in other ways from those that don’t Estimated results: • Depends on how compelling it is • Conversion 1% • Purchase price €100+ • Works quite successfully for many other sectors
  • 33. Costs to consider • €20-30k to acquire 10-15k supporters for pilots • €10-20k for platform for actions, fundraising, email communication, supporter journey management, petition site, crowdfunding site, etc. • €2-5k for online ads and targeting • €5k for telemarketing and direct mail trials
  • 34. Evaluation criteria: first 6 months • Can others’ conversion and value metrics be matched • Can 50% of supporters be active beyond their initial action? 30 days later? • Can 25% of the pilots achieve a positive ROI? 10% an ROI of 1 (double investment)? 1% and ROI above 2? • Exclude infrastructure costs

Editor's Notes

  1. Inputs for this presentation – establish credibility Comms focus, bigger picture (crisis response as part of a bigger picture) Crisis comes at local, national and international levels