Membership Drives Everything

    A discipline grounded in real research and real results



1               Edited for public (some material has been removed to
                maintain confidentiality)
AGENDA
       What’s happening in and around us?
       What should we do about it?
       Current environment
       Need for a stronger membership base
       What members want




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What’s happening in and around us?


External
• Economic uncertainty
• Mass competition
Internal
• <confidential>
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What should we do about it?


                              Selling impact


       Nurturing
                                                                   Transparency
       members




                                 Members



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Current environment




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Current environment
       Donations have been declining

                            2007                   2008                   2009
        Amount (in $
        billions)          $8.65                   $8.19                  $7.75
        % change from
        year prior                                -5.3%                   -5.4%

       Number of Canadians reporting donations on their
        taxes have been declining since 1990
       23.1% of Canadians were donors in 2009 versus
        24.1% in 2008

    6                   Edited for public (some material has been removed to maintain
                        confidentiality)
Recent trends
       <confidential>




    7                    Edited for public (some material has been removed to maintain confidentiality)
Current environment
       Demand for charity “accountability” is growing
           Increased media focus on charity effectiveness
           Donors demanding more control and involvement
           Charity rankings becoming more widespread




    8                    Edited for public (some material has been removed to maintain
                         confidentiality)
Current environment




9         Edited for public (some material has been removed to maintain
          confidentiality)
What does this all mean?
    Increased competition
    Stakeholders want to associate with NPO showing
     value
    More exposure if positioned correctly




    10            Edited for public (some material has been removed to maintain confidentiality)
Membership drives everything




11       Edited for public (some material has been removed to maintain confidentiality)
Need for a strong membership base
    <confidential>




    12                Edited for public (some material has been removed to maintain confidentiality)
Need for a strong membership base
    Why a strong membership base?
                                                                                            Key Success
        A membership base drives everything
                                                                                              Factor

                                          Corporate
                                          Sponsors
     Government                                                                                        Media




                                        Donor Base
                                        (Members)
    13                Edited for public (some material has been removed to maintain confidentiality)
Need for a strong membership base

 “Strong charities have a solid base of individual
 donors”

 “Strategically important to build a base of
 donors who give regularly and in response to a
 cause”
                                                  - Scotiabank Philanthropic Advisory Forum




14             Edited for public (some material has been removed to maintain confidentiality)
Need for strong membership base
    <confidential>




    15                Edited for public (some material has been removed to maintain confidentiality)
Need for strong membership base
    Cygnus Applied
     Research reports:
        Acquisition is more
         expensive than retention
         and often at a loss
        Focus on boosting donor
         retention




    16                 Edited for public (some material has been removed to maintain confidentiality)
Need for strong membership base
    Customers leave for many reasons
        Geographic move
        Death
        Wooed away by competition


    #1 Reason: they simply feel you don’t care enough
     about them




    17               Edited for public (some material has been removed to maintain confidentiality)
Members want to help
“The essential ingredient in forming productive
  engagements is to create ways for stakeholders to
  provide candid feedback to the foundation about its
  grantmaking practices and approach.”




 18             Edited for public (some material has been removed to maintain confidentiality)
Members’ wants




19   Edited for public (some material has been removed to maintain confidentiality)
Plan of action
1.    Establish monthly newsletter
2.    Generate more information sharing
3.    Establish effective database
4.    Emphasis on past stakeholders over new ones




 20               Edited for public (some material has been removed to maintain confidentiality)
What do we do with members?
Research shows that donors don’t want
 formal recognition, just information.

    Prompt gift acknowledgement
    Confidence their gifts are “working” as intended
    Measurable results of gifts at work before another
     gift is requested



    21             Edited for public (some material has been removed to maintain confidentiality)
How do we manage members?
    Inexpensive databases to manage members
     effectively
                                    • $50 per month for up to 100 members
                                    • Marketing using email
                                    • Marketing via social media
                                    • Donations, and more


                                    • $25 per month for up to 250 members
                                    • Automated applications and renewals
                                    • Newsletters and email blasts
                                    • Member self-service, and more




    22           Edited for public (some material has been removed to maintain confidentiality)
Thank You




23   Edited for public (some material has been removed to maintain confidentiality)
Questions?




24           Edited for public (some material has been removed to maintain confidentiality)

Membership drives everything

  • 1.
    Membership Drives Everything A discipline grounded in real research and real results 1 Edited for public (some material has been removed to maintain confidentiality)
  • 2.
    AGENDA  What’s happening in and around us?  What should we do about it?  Current environment  Need for a stronger membership base  What members want 2 Edited for public (some material has been removed to maintain confidentiality)
  • 3.
    What’s happening inand around us? External • Economic uncertainty • Mass competition Internal • <confidential> 3 Edited for public (some material has been removed to maintain confidentiality)
  • 4.
    What should wedo about it? Selling impact Nurturing Transparency members Members 4 Edited for public (some material has been removed to maintain confidentiality)
  • 5.
    Current environment 5 Edited for public (some material has been removed to maintain confidentiality)
  • 6.
    Current environment  Donations have been declining 2007 2008 2009 Amount (in $ billions) $8.65 $8.19 $7.75 % change from year prior -5.3% -5.4%  Number of Canadians reporting donations on their taxes have been declining since 1990  23.1% of Canadians were donors in 2009 versus 24.1% in 2008 6 Edited for public (some material has been removed to maintain confidentiality)
  • 7.
    Recent trends  <confidential> 7 Edited for public (some material has been removed to maintain confidentiality)
  • 8.
    Current environment  Demand for charity “accountability” is growing  Increased media focus on charity effectiveness  Donors demanding more control and involvement  Charity rankings becoming more widespread 8 Edited for public (some material has been removed to maintain confidentiality)
  • 9.
    Current environment 9 Edited for public (some material has been removed to maintain confidentiality)
  • 10.
    What does thisall mean?  Increased competition  Stakeholders want to associate with NPO showing value  More exposure if positioned correctly 10 Edited for public (some material has been removed to maintain confidentiality)
  • 11.
    Membership drives everything 11 Edited for public (some material has been removed to maintain confidentiality)
  • 12.
    Need for astrong membership base  <confidential> 12 Edited for public (some material has been removed to maintain confidentiality)
  • 13.
    Need for astrong membership base  Why a strong membership base? Key Success  A membership base drives everything Factor Corporate Sponsors Government Media Donor Base (Members) 13 Edited for public (some material has been removed to maintain confidentiality)
  • 14.
    Need for astrong membership base “Strong charities have a solid base of individual donors” “Strategically important to build a base of donors who give regularly and in response to a cause” - Scotiabank Philanthropic Advisory Forum 14 Edited for public (some material has been removed to maintain confidentiality)
  • 15.
    Need for strongmembership base  <confidential> 15 Edited for public (some material has been removed to maintain confidentiality)
  • 16.
    Need for strongmembership base  Cygnus Applied Research reports:  Acquisition is more expensive than retention and often at a loss  Focus on boosting donor retention 16 Edited for public (some material has been removed to maintain confidentiality)
  • 17.
    Need for strongmembership base  Customers leave for many reasons  Geographic move  Death  Wooed away by competition  #1 Reason: they simply feel you don’t care enough about them 17 Edited for public (some material has been removed to maintain confidentiality)
  • 18.
    Members want tohelp “The essential ingredient in forming productive engagements is to create ways for stakeholders to provide candid feedback to the foundation about its grantmaking practices and approach.” 18 Edited for public (some material has been removed to maintain confidentiality)
  • 19.
    Members’ wants 19 Edited for public (some material has been removed to maintain confidentiality)
  • 20.
    Plan of action 1. Establish monthly newsletter 2. Generate more information sharing 3. Establish effective database 4. Emphasis on past stakeholders over new ones 20 Edited for public (some material has been removed to maintain confidentiality)
  • 21.
    What do wedo with members? Research shows that donors don’t want formal recognition, just information.  Prompt gift acknowledgement  Confidence their gifts are “working” as intended  Measurable results of gifts at work before another gift is requested 21 Edited for public (some material has been removed to maintain confidentiality)
  • 22.
    How do wemanage members?  Inexpensive databases to manage members effectively • $50 per month for up to 100 members • Marketing using email • Marketing via social media • Donations, and more • $25 per month for up to 250 members • Automated applications and renewals • Newsletters and email blasts • Member self-service, and more 22 Edited for public (some material has been removed to maintain confidentiality)
  • 23.
    Thank You 23 Edited for public (some material has been removed to maintain confidentiality)
  • 24.
    Questions? 24 Edited for public (some material has been removed to maintain confidentiality)

Editor's Notes

  • #5 I am asking the board and everyone involved with our offices to focus on members and customer retention before acquiring new stakeholders.We do that by actively engaging our members promptly, opening channels of communication (using technology more and more to reduce more costly means such as snail mail), and measuring and delivering results before asking for another one.
  • #6 So I want to begin by creating the context in which we operate.
  • #9 Demand for charity “accountability” is growingSimply put, donors want to know: how their donations were spent.
  • #12 So what do we do about it?