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"Brother Can you Spare a Premium?" Moving Donors from a Transactional to a Philanthropic Relationship

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Tiffany Neill at #NYNP2016 in New York

Published in: Government & Nonprofit
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"Brother Can you Spare a Premium?" Moving Donors from a Transactional to a Philanthropic Relationship

  1. 1. “Brother Can you Spare a Premium?” Moving Donors from a Transactional to a Philanthropic Relationship James Weisman President & CEO United Spinal Association Tiffany Neill CFRE, Partner Lautman Maska Neill & Company
  2. 2. #NYNP2016 | @lautmandc 2
  3. 3. No Magic Today Agree on what you want to change Determine your “end” Strategize and test Philanthropic relationships are two-way Analyze, Retest, Repeat #NYNP2016 | @lautmandc 3
  4. 4. Two Compelling Organizations
  5. 5. United Spinal Association 70 year history Compelling accomplishments Numerous resources, chapters, advocacy #NYNP2016 | @lautmandc 5
  6. 6. Save the Chimps Care for almost 300 chimpanzees Unique environment Specialized care for each chimp #NYNP2016 | @lautmandc 6
  7. 7. In the Mail? Millions of donors Got lots of stuff Program raised millions United Spinal Donors #NYNP2016 | @lautmandc 7
  8. 8. #NYNP2016 | @lautmandc 8
  9. 9. In the Mail? Acquired donors on a front-end totebag Save the Chimps #NYNP2016 | @lautmandc 9
  10. 10. What Do You Want to Change?
  11. 11. “Everything” Is Not an Answer Assume that not every decision that got to this point was wrong Some people are giving you money The organization is using that money #NYNP2016 | @lautmandc 11
  12. 12. What Was the Issue? Needs had changed • Started program for volume Poor retention Few gifts over $100 Caring for one chimp is $16,000 a year Most donors never recovered acquisition investment! Save the Chimps #NYNP2016 | @lautmandc 12
  13. 13. What Was the Issue? Could not afford acquisition at volume needed Retention could not keep pace with expenses Low average gifts Donors didn’t know “Vets First” was part of United Spinal Association United Spinal #NYNP2016 | @lautmandc 13
  14. 14. Where Do You Want to Be? All of You?
  15. 15. You Can’t Have It All Consider all elements of the program Recognize that your contributors have a choice Determine what you – and all other leaders – are willing to sacrifice to get there Determine what you really want in 3 years… 5 years… #NYNP2016 | @lautmandc 15
  16. 16. Save the Chimps Wanted 13,000 – 15,000 committed Annual Donors Wanted pipeline to $16,000 donors Willing to sacrifice • Volume • Gross Revenue #NYNP2016 | @lautmandc 16
  17. 17. United Spinal Dramatically increase net revenue Want one organization Increased brand recognition #NYNP2016 | @lautmandc 17
  18. 18. Strategize and Test
  19. 19. Plan Must keep focused on the goal Keep focused on donors Assess level of risk tolerance • Some things will be sacrificed • How fast should you go? #NYNP2016 | @lautmandc 19
  20. 20. Save the Chimps Connect Donors with the Chimps! #NYNP2016 | @lautmandc 20
  21. 21. Connect Donors with the Work #NYNP2016 | @lautmandc 21
  22. 22. Lower Acquisition Costs And Show More Chimps! #NYNP2016 | @lautmandc 22
  23. 23. Upgrade Donors Segment Carefully! #NYNP2016 | @lautmandc 23
  24. 24. United Spinal – Path to One Brand #NYNP2016 | @lautmandc 24
  25. 25. Reduce Transactional Dependence Test ask lines, renewal language, segmentation, relaunch acquisition #NYNP2016 | @lautmandc 25
  26. 26. Educate Donors About the Mission #NYNP2016 | @lautmandc 26
  27. 27. Philanthropic Relationships Go Both Ways
  28. 28. Can’t Move the Needle if You Don’t Listen Make gifts in all ways a donor may Be honest about what they are getting They don’t HAVE to like your new way of doing things If you change your acquisition – new donors will be different Audit Acknowledgements #NYNP2016 | @lautmandc 28
  29. 29. Mail Aligned with Website #NYNP2016 | @lautmandc 29
  30. 30. Have a Plan for Promises that are already “out there” #NYNP2016 | @lautmandc 30
  31. 31. And Some of those donors may still love you, just not your new mail Continue some marketing and protect planned gifts Even if you do get rid of the bathwater… #NYNP2016 | @lautmandc 31
  32. 32. Analyze, Retest, Repeat
  33. 33. Failure is Always an Option Look at both individual campaign results, but also donor reports Frequently update all stakeholders on progress towards overall goal Learn from the donors who like the new approach Keep your Eye on the Prize #NYNP2016 | @lautmandc 33
  34. 34. Campaign by Campaign Donors loved the newsletter New chimp-focused messaging worked Upgrade mixed bag Detail on needs did not work Can’t win them all #NYNP2016 | @lautmandc 34
  35. 35. Keeping Eye on the Prize Donor Value increased in 18 months by more than 50% Both new and multi-year donor retention increased by 10% Half of all retained donors upgraded #NYNP2016 | @lautmandc 35
  36. 36. Campaign by Campaign Renewal language works Unified branding? It’s going to be slow Some reduction in premium Acquisition tests underway #NYNP2016 | @lautmandc 36
  37. 37. Keeping Eye on the Prize Average gift up about 1.5% Attrition Stabilized 10% more gifts than projected Costs decreased #NYNP2016 | @lautmandc 37
  38. 38. #NYNP2016 | @lautmandc 38
  39. 39. Tiffany Neill, CFRE 202-296-9660 Ext 209 tneill@lautmandc.com lautmandc @lautmandc Tiffany-neill Partner Lautman Maska Neill & Company Brother Can You Spare a Premium

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