This chart shows what successful multichannel fundraising results look like – expressed in terms of donor conversion results. These results were achieved by a national environmental group, over a 22-month period. The horizontal axis shows the number of months after the Care2 leads were recruited (signed up voluntarily for the nonprofit organization’s email list). The vertical axis shows the number of donors converting each month, through the client’s conversion efforts. (NOTE: With Care2 campaigns, clients receive email addresses AND postal addresses, which are vital to execute a multichannel conversion strategy.) In this particular timeframe, the nonprofit acquired a total of 330,000 prequalified donor leads and raised $1.1 M, for a net profit of $420K and a 67% ROI, by the end of the 22 months. The ROI only increased after that, as the donors continued donating, and additional leads converted into donors.
Case studies to follow show performance – using a multi-channel strategy -- of 8,000 supporters (a.k.a. donor leads) who were recruited for NCC by Care2 via a campaign in Feb-Mar 2012. It was successful enough that NCC has come back this year for another campaign to acquire even more supporters this time.[Special thanks to NCC’s Teva Harrison for this data! It’s worth adding that Teva also guest blogs on the Care2 Wildlife and Environment cause channel – above and beyond the campaign she ran with us, and her posts generate lots of comments plus traffic back to her organization’s website. So that’s yet another channel she’s using in NCC’s multi-channel strategy – integrating editorial content with online action campaigns for a more holistic approach that taps multiple different sides of the Care2 community.]NCC sent the welcome email within one week of receiving the new subscribers. Since they use one of the major ECRM databases for which Care2 has built an API databridge, we are able to deliver the new subscriber data automatically, but in this case we delivered them via regular CSV files and then Teva’s team manually uploaded the records to their database.The welcome email specifically said “Thank you for signing up for Nature Conservancy Canada’s email list on Care2” and also referred back (for continuity’s sake) to the “Burrowing Owl” cause, which had been the focus of the petition Care2 hosted for NCC.Less than one week later, NCC sent the new subscribers their second email, namely the org’s most recent (March 2011) newsletter about many conservation topics, with volunteer opportunities, a downloadable annual report to donors and other member type news.Then within the following (3rd) week, NCC sent out a third email. This one was a donation ask. They tested two versions of this ask. One was based on a threat to the cause, and one was based on an opportunity. BTW, the clear winner in this test was the threat. The open rates and click through rates were much higher. The threat was to ”natural spaces” being lost through development, and provided scary stats about the rapid loss of wetlands and animal species. The opportunity was to help NCC protect more acreage, thereby protecting piping plovers, bison and wild salmon.Finally NCC sent out a survey. This survey had very high participation rates, with a click through rate 10% higher than on the donation ask email.After those four emails, everyone was put into the regular email stream. What IS the regular email stream? The bare minimum each month is to send three emails a month, which typically are 1 donation ask, 1 non-ask (i.e. a stewardship email) and 1 e-newsletter.In Oct to Dec period, NCC supporters also receive emails asking them to give to the org’s catalog as wellIn case you are wondering, NCC found that this cohort of 8,000 supporters performed pretty well for year end giving ("make your last min gift for tax season”) contributing several dozen new gifts, with an average gift of $58. Not giant, but a good spike.
These DM and TM steps refer to the treatment of the same cohort of 8,000 new Care2 supporters that we covered in the previous slide.It should be noted that NCC only did two mailings last year – one in the spring and one in the fall. They timed their Care2 acquisition campaign expressly to coincide with their spring Direct Mail campaign, so they could put the freshly acquired recruits immediately into that DM campaign. And in the DM campaign they used a similar issue to the one that was used in recruiting the new Care2 members.Before the end of the fourth week after the acquisition, at about the same time NCC was emailing out a survey to these 8,000 new supporters, NCC also sent out a spring direct mail prospect test and included this same cohort of new supporters.NCC mailed to everyone, whether they had a phone number or not. This was not going to be the last time that NCC sent direct mail to the newly acquired supporters. They did it again in the fall, as part of their Fall prospecting mailing.With these mailings, the ask was consistent with the approach taken via the online donation asks insofar as the ask gave donors the option of giving either on a one-time basis OR to become a monthly sustainer donor. Meantime NCC launched its phone conversion strategy, too. Again, the Telemarketing script stuck to talking about the same species that had been used in the Care2 campaign, namely the Burrowing Owl.The Telemarketing script started with a monthly sustainer ask, and then if this was unsuccessful, moved to a single gift ask. That's common best practice (esp in Canada and Europe, where monthly giving is more developed and accepted as best practice). Anyone who was unreachable on the first call received a second call from NCC. Likewise NCC made a second call to anyone who had given only a single gift on the first call, to see if they could be upsold into becoming a monthly sustainer.
It’s worth noting that in this case a data append provided a matching phone number for a large percentage of the Care2 leads delivered to NCC, and then NCC telemarketed to every one of these supporters. Not every organization will do that, because the cost of telemarketing is not trivial. But in Canada, Telemarketing is a long-established and typically very effective channel. ANOTHER RESULT – NCC reports that these leads have proven more loyal than those recruited from other sources, including from events. Of the 8,000 leads, they have retained 81 percent, or 6,451 of them.
As part of this same analysis, HRC found that “patience” matters, too. Of everyone eligible for this telemarketing campaign, more than 5% went on to become paid members of HRC. But this success was NOT immediate. As HRC found, some people donate immediately, but many don’t because they are not ready yet. In this study, 2% of the people who initially did NOT donate went on to become paid members over the next year – and some of these “LATE” converters actually became monthly sustainers.
Integrated campaignsUsing the same theme, graphics, timing in email and direct mail and telemarketingMultichannel conversion stream for new sign-upsLeveraging online data offline and vice versaUsing click-thru data from an email to hone a telemarketing listUsing offline giving history to ask people for the right amount of money online or to target them for sustainer asksOr, very simply, call everyone who gives you a medium-sized gift.
Multichannel donors are valuable! 350
Annual Revenue Per Donor 300 250 200 150 100 50 0 Offline (no Offline (with Online Multichannel email) email) * Ratios from Target Analytics donorCentrics data for international relief organizations
Takeaways1. Methods to find and
on-board donor leads for multi- channel cultivation approaches. • Meh2. The latest and greatest multichannel approaches that are yielding donor conversions, including monthly sustainers, and producing strong fundraising results. • Yes!3. Methods for leveraging behavioral and demographic data to enhance targeting and results from multichannel campaigns. • Meh SESSION TITLE Slide 7
Results: Testimonials “ Thank you
for the little wool ram & note card about Elena. It has greatly personalized my sterile, monthly donation made through my credit card. I have the little ram hanging on my work cubicle wall to enjoy and to remind me of why I’m making a monthly donation. The world just became a little smaller. - Lynn “ BREAKTHROUGH MULTI-CHANNEL FUNDRAISING Slide 21
Results: Testimonials“Dear Dan, I love
the name “Partners In Mercy” and thank you for your letter. Mercy Corp’s effort in keeping donors aware of the work you do and the way our donations are spent is well worth it. I wish I could give more and am so grateful that my small monthly donation is helping children around the world. Best wishes, Wilma “ BREAKTHROUGH MULTI-CHANNEL FUNDRAISING Slide 22
How Care2 and our 19
M MembersBenefit NonprofitsVISIBILITY & TRAFFIC• 16 M unique visitors/mo., ranked 115th in USA• 150 M additional citizens reached via our our network of media partnersVICTORIES for CAUSES• #1 petition site in the world, with 90 M petition signings over 12 years• 60K new petitions created each yearDONORS• Pioneer and leader in online, behaviorally targeted, permission based recruitment of multichannel donor leads for nonprofits• 750+ major nonprofits use Care2 as a trusted source to find new, prequalified donors Slide 26
Multi-Channel Fundraising: Some Actual Donor
Conversion Results 800 Other 700 Telemarketing# Leads Converted to Donor, Per Month Direct Mail 600 Online 500 400 300 200 100 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 Months Since Start of 22-Month Acquisition Campaign
Case Study• Channels Used –
Email, Direct Mail and Telemarketing• Goals: • Generate actions in support of NCC’s mission and to build loyalty • Generate new donors • Including new monthly sustainer donors
Online Acquisition & Welcome Email
Series Most recent Survey newsletter8,000 new supporters acquired from Care2 in Feb-Mar 2011 0 2 wks 4 wks Donation appeal. Tested two versions: First welcome “Opportunity” email and “Threat”
Case Study ResultsCost to acquire
= $20,000Cost of DM and TM outreach = $34,284Total Cost = $54,284Total Revenue so far = $28,219 (as of 2/28/2012)Net Annualized Cost Per Donor Acquired: $35.39Net Annualized Cost Per Sustainer Acquired: $195.06Average Gifts:Single: $47.53Monthly: $16.28 / monthTelemarketing & DM6.1 % conversion rate•Includes single donors and monthly sustainers (≈10 gifts/yr)•There are 88 monthly sustainers so far
Parting Shot #1Speed (Recency)Matters• Human
Rights Campaign reported donor pledge rates via telemarketing were more than 30 percent higher for newly acquired online leads if phone outreach took place within the first four months after acquisition. Source: 5700 phone contacts (over 12 mo.) with HRC supporters who were recruited by Care2 in April-May 2010. BREAKTHROUGH MULTI-CHANNEL FUNDRAISING Slide 33
Parting Shot #2Donors and Information
from One ChannelCan Feed Another Channel•HRC’s acquisition campaign with Care2 included anoptional field for people to indicate if they were themselvesLGBT or not. This information enabled HRC to do targetedDirect Mail pieces Campaign Package Approach Response April 2010 Traditional 0.26% Targeted 0.61% September 2010 Traditional 0.35% Targeted 0.57% February 2011 Traditional 0.12% Grand Total 0.32%• DM packages with targeted (straight vs. LGBT) messaging strongly out-performed the non-targeted packages BREAKTHROUGH MULTI-CHANNEL FUNDRAISING Slide 34
Parting Shot #3 Adding an
End-of-Funnel Fundraising Ask …to an Online Donor Lead Acquisition Campaign BREAKTHROUGH MULTI-CHANNEL FUNDRAISING Slide 35
Combined List Growth + Fundraising
Campaign • Screen after supporter signs up invites them to take extra step of donating to HSI, using secure donation form / widget Benefits:• Some “instant” donors• Faster payback on acquis’n campaign• Good donor cultivation • Sends signal to all newly acquired supporters: You should expect to Form and donation processing be asked for money sometimes via Engaging Networks partnership
Results?We piloted this strategy with
three nonprofit clients:• Human Rights Campaign• Mercy Corps• OceanaFor Online Acquired Prospects• Email Welcome Series – THUMBS UP!• Telemarketing – Thumbs Down / Meh• Direct Mail – Double Thumbs DownFor Face-to-Face Acquired Prospects (HRC only)• Email Welcome Series – Thumbs Down (may be warm-up effect?)• Telemarketing – THUMBS UP!• Direct Mail – Double Thumbs Down Breakthrough Multichannel Fundraising Slide 52
What we learnedEmail prospects are
valuable• Even without the multichannel conversion, acquisition of new email prospects from sources like Care2, Change.org, and other vendors is paying off for many nonprofits, within 12-24 months.• The email “welcome series” works, but is very labor intensive. Only worth it if you are acquiring large volumes of new recruits OR you can automate it!If your constituency has a festival or face-to-face opportunities, collect names and test telemarketing those people.We can still convert to multichannel donor on the followup, once we’ve got their first online gift.This strategy may still pay off if you have puppies, an emergency, and/or a huge brand name. Breakthrough Multichannel Fundraising Slide 53
Results & LearningsResults• Referencing DM
piece in the email had little to no effect on the performance of the email.• We don’t know what the impact was on the performance of the mail.• It’s hard to track the impact of multichannel marketing!What We Learned• If you are sending email and DM at the same time, there’s certainly no harm in referencing the mail piece, but this IS extra work.• Get your tracking in place before you test this! Breakthrough Multichannel Fundraising Slide 57
Hedgers Sample EmailDear <first-name>,Thank you
so taking the time to speak with us on thephone, and for considering making a monthly donation.Here at Nonprofit X, we rely on the support of membersof our monthly giving program to provide criticalassistance to families and children in desperatecircumstances around the world – including families whorely on our help to survive the brutal hunger crisis in theHorn of Africa.Please help rush critical aid to people who urgentlyneed help in Horn of Africa and around the world –make a monthly gift now on our secure website.
Refusals Sample EmailDear <first-name>,Thank you
so taking the time to speak with us on the phone. We deeply appreciate your support for ourmission and your commitment to helping children and families in most desperate need around the world.Here at Nonprofit X, we rely on our supporters to help provide critical assistance to families around theworld – including families who rely on our help to survive the brutal hunger crisis in the Horn of Africa.Supporters like you are making a crucial difference by helping send food, clean water, medicine, andmuch more to people fighting for survival in Somalia, Ethiopia, and Kenya, where 12 million people are atrisk after a devastating drought.We’ve been able to help over 1 million people in drought-affected areas. But the needs are great, andchildren are continuing to starve to death each day. We will continue to keep you updated on the situationas it progresses, and as we continue to rush aid to the people who need it most.Again, thank you so much for your support during this critical time.Sincerely,SignerPS – If you’d like to make a gift in the future, you can help save lives of people in the Horn of Africaand other desperate places around the world by making your monthly gift on our secure website.
What We LearnedThis works! Produces
a 3.5% lift on sustainer revenue and 6.5% lift on one- time revenue from the TM calls.But it’s a lot of work.If your TM vendor can do this easily, highly recommended.If it’s not easy to implement, though, probably not worth it! Breakthrough Multichannel Fundraising Slide 64
In ConclusionNo reason NOT to
do multichannel marketing when it’s easy. Shared visual, message, timing.When it’s hard, really evaluate the potential ROI. If you spend $5,000 in staff time to implement a strategy that nets an additional $3,000 in revenue, it’s not worth it. Do the math before you start. Breakthrough Multichannel Fundraising Slide 65