2RETAINING YOUR MEMBERSWhy It’s Imperative to Have a Retention Strategy
3• Ryan King• Channel Marketer for Arts and Cultural• firstname.lastname@example.org• @Wryan_Ki
4• The State of Donor and Member Retention• Should I Retain or Acquire to Grow?• Where Do I Go from Here?AGENDA
The State of Retention80859095100105110Donors DollarsNewLapsedAccording to the 2012 Fundraising Effectiveness Report published by AFP, in 2011, for every 100new donors that organizations acquired, 107 were lost. For every $100 raised from new donors in2011, $100 was lost due to donors lapsing.
New Donors are Hard to Find9009501000105011001150120012501300New DonorsAccording to research from Target Analytics, from 2001 to 2007, cultural organizations wereseeing 5% growth in new donors each year. However, from 2007 to 2010, that number changedto -2% per year! By 2010, you were back to 2004 acquisition rates
Steps to AcquireAcquiring new donors requires time, energy, and resources. To acquire a new donor you need toidentify them, engage with them, and then ask them.
Steps to RetainTo retain members, on the other hand, removes the identify step, often the most expensive step.You already have people’s attention. They recognize your name and so your job moves from“attention getting” to “delighting.” In comparison, these activities are much cheaper thanacquisition activities, more rewarding, and often easier to measure, based on how often they areused.
1 Level SetThe first step is to find out where you stand. Ask questions and run reports to see where you arelosing members and donors. Is it certain membership levels? Age groups? Gift size? Your donorand membership software should be able to run these reports easily. Spend some time diggingaround to identify where there is room for improvement. Identify 4 or 5 areas you want to reviewwith your team.
A membership activity dashboard in Altru, Blackbaud’s membership and ticketing software forarts and cultural organizations.
2StrategizeGet with your team and review your findings. Share the areas that you’ve identified forimprovement and prioritize them for the rest of the year. I recommend focusing on two or threeof the five segments you identified in Step 1.
SpecificMeasurableAttainableRelevantTime-boundBefore leaving this step, make sure you define success and set goals that are specific, measurable,attainable, relevant, and time bound.
3 Executeand TrackThe last step is to Execute your plan and Track the results. Reference your SMART goals as yourdefinition for success and keep track of key metrics that will help you accomplish your goal.Schedule regular review meetings with the team that is working on retention and review your
As with the previous reports, your membership software should be able to easily run reports tohelp you track your progress. The reports you see here are from Altru, Blackbaud’s membershipand ticketing software for arts and cultural organizations.