Posts tagged ‘marketing’

March 29, 2014

Top 10 Posts of All-Time from “Michael Rosen Says…”

I want to do something a bit different in this post. While I’ve ranked my posts in a given year to give you a Top-10 list, I’ve never before ranked all of my posts. So, I thought it would be interesting to do so now.

Here are links to my Top 10 Most-Read Posts of All Time:

1.  Can a Nonprofit Return a Donor’s Gift?

2.  Survey Sounds Alarm Bell for Nonprofit Sector

3.  5 Things Never to Do in Your Phone Fundraising Calls

4.  How NOT to Run a Capital Campaign

5.  Does CFRE Have a Future?

March 14, 2014

5 Lessons Moses Can Teach Us about Fundraising

Moses can teach us a number of important things about fundraising. Yes, that Moses, the prophet revered by Jews, Christians, Muslims, and other religious faiths throughout the world.

Consider just one story from the Bible that usually receives little attention.

Moses by rorris via FlickrOver 3,000 years ago, after fleeing slavery in Egypt, the Hebrews wandered in the wilderness for 40 years. During this time, God instructed Moses to have the people build a Tabernacle, a movable tent-like structure where the Hebrews could worship and experience the presence of God.

Special materials, fabrics, and precious stones and metals were needed for the project. So, Moses told the Hebrews about the project and shared with them what was needed. Then, he made a request to “everyone whose hearts so move them.” Moses asked them to “bring gifts for God” so that the Tabernacle could be built.

The Hebrews responded with great generosity by providing the needed materials and volunteer labor. Moses, overwhelmed by the volume of gifts received, actually had to instruct people to stop bringing gifts. No more were needed for the project.

Here are five things every fundraiser can learn from this story and the wisdom of Moses:

March 7, 2014

Latest, Greatest Secret to Fundraising Success Unveiled!

Most nonprofit development professionals would love to find the Holy Grail of fundraising. Discovering a new piece of research, a proven technique, a new technology that could unleash a torrent of funds would be undeniably wonderful.

But, do we need the Holy Grail?

Some folks seem to thinks so. Perhaps that’s why, when I’m invited to speak at conferences or lead workshops, my hosts frequently want me to present the “latest, greatest” ideas for fundraising success. Perhaps that’s why so many articles, blog posts, and seminar titles include buzz words such as “secrets,” “great tips,” “powerful,” “fresh,” “innovative,” “simple,” “key tools,” etc.

I’m not immune. I’m always on a quest for new, robust ideas. In addition, I title many of my articles (see above) and seminars with the buzzwords I know will attract attention.

In one planned gift marketing seminar I did a few years ago, I shared a variety of ideas for promoting planned giving. I knew I had a diverse audience, so I provided both simple and sophisticated ideas. While my suggestions were certainly not revolutionary, they did push the envelope of current practice.

Following my talk, a fellow came up to me and said, “You didn’t say anything I didn’t already know.”

Ouch! That’s not the feedback I like, even if it was just one person’s opinion. I always want everyone to come away from my seminars with at least one terrific idea.

After receiving the stinging feedback, I said to the man, “I’m sorry to hear that you didn’t get any fresh ideas. However, I’d love to hear about how you’ve used the phone to market bequests.”

He replied, “I haven’t implemented a phone program.”

“Ok, then tell me how your direct mail campaign has done,” I requested.

“I haven’t done a planned gift mailing,” he said.

“Ok, then tell me about your website and how it allows you to track and rate visitor interaction,” I requested.

“Our website isn’t that sophisticated,” he said.

The conversation continued. The point is that this fellow knew what he should or could be doing, but he was not doing it!

While finding the Holy Grail of fundraising would be spectacular, the truth is that such a singular, miraculous method or tool does not and will never exist. However, I have some good news. We do not need a Holy Grail.

Low Hanging Fruit by defndaines via FlickrMy latest, greatest idea for fundraising success is something that can benefit virtually all nonprofit organizations: Master the fundraising fundamentals and grab the low-hanging fruit.

At this point, you might be thinking, “Sheesh! There’s nothing new or great about that idea.”

Well, if that’s what you’re thinking, you should be right.

Unfortunately, I see far too many examples, far too regularly that charities simply have not mastered the fundamentals, and they have left plenty of low-hanging fruit on the tree. Just like the fellow who came up to me after my seminar, many folks may know what they should be doing but they’re not doing it.

Consider this: A new study by Dunham and Company found that charities could be losing literally billions of dollars in donations because they have failed at the online basics. For example, 84 percent of nonprofits do not make their donation pages easy to read and use with mobile devices. By the way, that statistic includes some of the nation’s largest charities.

The fundamentals matter. The evidence shows they could add up to billions for the nonprofit sector.

Do you want more money for the annual fund? Then tell me, do you have a monthly donor program? Do you do second gift appeals? Do you effectively steward gifts to ensure a high donor retention rate? Do you use database analysis to help you better target asks, even in your direct mail appeals?

February 28, 2014

Warning: US Volunteerism at a Decade Low!

The rate of volunteerism in America fell to the lowest level in a decade, according to the US Bureau of Labor Statistics report Volunteering in the United States — 2013.  This appears part of a downward trend.

Nonprofit organizations should find this trend alarming for a number of reasons, including:

Volunteers provide an essential labor pool. Approximately 62.6 million (25.4 percent) Americans volunteered at least once between September 2012 and September 2013.

The median volunteer spent 50 hours on volunteer activities during the study period. These significant volunteer hours mean that volunteers are a valuable part of the nonprofit labor force. Declining volunteerism rates mean charities will either have to limit services, discontinue certain activities, or pay for employees to perform the tasks formerly handled by volunteers.

Volunteers serve as ambassadors. Individuals who volunteer usually act as ambassadors for the organization. They obviously have a high-degree of interest in the organization, which is why they volunteer with it.

Through volunteer experiences, provided they are good ones, the volunteers will become more engaged with the organization and more passionate about its work. They will speak of the organization with family and friends. When they do, it will be in a positive, passionate tone. This word-of-mouth promotion will help your organization to attract additional volunteer and donor support.

Volunteers are more likely to donate. The more engaged an individual is with his community, the more likely he is to volunteer and contribute money to nonprofit organizations. The more points of connection there are between an individual and a particular nonprofit organization, the more likely that individual is to give, give often, and give generously to that organization, as I point out in my book, Donor-Centered Planned Gift Marketing.

Volunteerism is an important point of connection. This phenomenon is explained, in part, by the Social Capital Theory popularized by Robert Putnam, author of Bowling Alone.

Volunteers are more likely to make planned gifts. Consider what researcher Russell James, JD, PhD, CFP reports in his book, American Charitable Bequest Demographics (1992-2012):

Among those with [estate] planning documents, those who both volunteer and give ($500+) are dramatically more likely to plan a charitable estate gift than those who only volunteer or only give ($500+). Those who only volunteer, plan charitable estate gifts at approximately the same rate as those who only give.”

Graph from American Charitable Bequest Demographics (1992-2012) by Russell James.

Graph from American Charitable Bequest Demographics (1992-2012) by Russell James.

Furthermore, those who only volunteer or only donate ($500+) are more than twice as likely to make a legacy gift than those who do neither.

For a free electronic copy of James’ book, subscribe to this blog site in the right-hand column. You’ll receive an email confirmation of your subscription that will contain a link to the book.

Clearly, the steady decline in volunteerism represents a serious problem for the nonprofit sector.

So, why is volunteerism on the decline? Unfortunately, the reasons for the decline are unclear. However, the report contains some clues.

February 14, 2014

Are Dangling Bits a Good Thing?

As fundraising professionals, we spend a significant amount of time creating messages to our prospects and donors. We carefully write copy for letters, emails, reports, newsletters, and web pages.

However, can your intended audience easily read your well-written communication? If they can’t, they’re likely not reading what you write at all.

As I prepared to work on this week’s blog post, I received a Tweet from Robin Peake of Oxford, England:

I hate your Times New Roman font. I hate it so much, I don’t read your content. Please adapt.”

Initially, I thought the message was a bit over the top. While there are things I “hate” (i.e.: war, child rapists, disease, etc.), it’s tough for me to ever get too worked up over typography. So, I was going to reply to Robin with a snarky Tweet of my own:

Your loss.”

Instead, I decided to keep my perspective and use Robin’s message as a teachable moment, for you and for me.

When using the written word to communicate with others, there are six rules we should adhere to so that our messages are easy to read:

1. In print, use a serif font such as Times New Roman. Serif fonts have little dangling bits attached to letters while sans-serif fonts such as Arial do not. Studies have shown that readers have an easier time reading printed text that uses serif fonts.

Sans-Serif v. Serif Font

Sans-Serif v. Serif Font

2. In electronic communications, use a sans-serif font such as Arial. Studies have shown that readers have an easier time reading electronic media messages that use a sans-serif font. The cleaner lines of a sans-serif font make it easier to read a message on a low-resolution screen or a small screen such as a smart-phone.

3. Never use reverse type. Reverse type, whether in print or electronic media, is more difficult to read than dark type on a light background. It’s also easier to cut-and-paste, photocopy, and fax copy that uses dark type on a light background. Some designers like to use reverse type for emphasis or because it looks pretty. Nevertheless, you should resist the temptation to use reverse type for the reasons stated. The darker the type and the lighter the background, the better.

February 12, 2014

Special Report: Winner of Book Contest Named

[Publisher's Note: "Special Reports" are posted from time-to-time as a benefit for subscribers and frequent visitors to this blog. "Special Reports" are not widely promoted. To be notified of all new posts, including "Special Reports," please take a moment to subscribe in the right-hand column.]

 

We have a winner!

As 2013 drew to a close, Michael Rosen Says… announced a chance for readers to win a free copy of Donor-Centered Planned Gift Marketing. To enter the book drawing, readers needed to share the title of a favorite book they recently read about fundraising, philanthropy, or civil society.

You can read the original post and discover what books have been recommended by clicking here.

You can find other reader recommended books by visiting The Nonprofit Bookstore (powered by Amazon).

Donor-Centered Planned Gift MarketingThe winner of the contest is Pete Stroble, President of the British Transportation Museum (Ohio). Pete’s name was randomly selected by guest judge Tracy Malloy-Curtis, Director of Philanthropic Planning at the International Planned Parenthood Federation/Western Hemisphere Region. I thank Pete for his book recommendation and Tracy for selecting our winner.

For writing Donor-Centered Planned Gift Marketing, I won the AFP/Skystone Partners Prize for Research in Fundraising and Philanthropy. The best-selling book is listed on the official CFRE International Resource Reading List. The average reader review on Amazon is 5-stars. You can find the book by clicking here.

February 7, 2014

Humor to Raise Money? Learn a Lesson from the Super Bowl

I enjoyed Super Bowl XLVIII. For starters, my Philadelphia Eagles did not lose! Ok, they weren’t in the game, but still…

The game itself was fun in its own bizarre, lopsided way as the Seattle Seahawks crushed the Denver Broncos by a score of 43 to 8. The Bruno Mars part of the Half-Time Show was entertaining, though the Red Hot Chili Peppers portion was inappropriate for a family audience.

I also enjoyed the amusing Super Bowl commercials. Debuting funny, quirky, sometimes sentimental ads during the Super Bowl has become an advertising tradition. My wife actually enjoys the commercials more than the game, a lot more.

Clearly, the advertising profession believes in the effectiveness of using humor in television commercials.

So, I took notice several days ago when John Ladd, Development and Planned Giving Coordinator at Carolina Friends School, started a discussion in the Smart Planned Giving Marketing Group on LinkedIn:

Humor in planned giving marketing? Have you seen a good example or used humor, or at least a light touch, in marketing planned giving?”

While the fundraising profession is not well known for having a raucous sense of humor, it’s not a profession that’s devoid of humor. Just as humor can help the for-profit sector sell goods and services, nonprofit organizations can leverage humor to inspire support. Indeed, some charities use humor to great effect, for general fundraising as well as planned giving.

You Can Use Your Stock to Make More Than Soup!

You Can Use Your Stock to Make More Than Soup!

In my book, Donor-Centered Planned Gift Marketing, I share a story from Rebecca Rothey, CFRE, when she was Director of Planned and Principal Gifts at Catholic Charities of Baltimore (she’s now Director of Major and Planned Giving at the Baltimore Community Foundation). Rebecca used humor quite successfully when branding her planned giving program.

Rebecca wanted to use humor to cut through the clutter and grab attention. She also wanted to ease the stress that people feel when considering their own death, stress that often keeps them from considering planned gifts. She came up with an idea she thought would work for her target market: older, traditional women.

The idea was “Rebecca’s Recipes for Planned Gifts.” In ads and postcards, Rebecca dressed as a 1950s homemaker engaged in various cooking/baking activities. The headlines included:

• You don’t have to be upper crust to have a trust.

• You don’t have to be rolling in dough to make a gift that will last forever.

• You can have your cake and eat it too—you can make a gift and receive payments for life.

• You can count your chickens before they hatch—you can make a gift and count on receiving payments for life.

• Don’t let taxes knock the stuffing out of your IRA.

• You can use your stock to make more than soup, you can use it to make a charitable gift.

• Too much on your plate to plan your estate?

While Rebecca thought she had a good idea, she first tested it before rolling out with it. Rebecca carefully tracked the statistical results as well as the feedback she received. Her methodical, appropriate use of humor worked, and she closed gifts as a result.

Rebecca’s use of humor also had an unexpected benefit. It engaged senior management. It got them joking about and more comfortable with the planned giving program. The use of humor also made Rebecca more approachable by staff.

While she certainly believes in the creative use of humor in the fundraising process, Rebecca still respects the serious side of planned giving:

January 31, 2014

Avoid Making Faulty Assumptions about Donor Loyalty

Loyal supporters are valuable assets for every nonprofit organization.

Unfortunately, there is an alarming lack of understanding about the definition of “loyal supporter.” Before we address that issue, however, let’s look briefly at why loyal donors are so important.

Because it’s more cost-efficient to retain donors than acquire new ones, loyal donors allow charity fundraising programs to operate more efficiently. The lifetime value of such donors is greater. More money, more cost-effectively raised means more funds for mission fulfillment.

Interestingly, loyal donors also exhibit greater engagement tendencies as researchers Adrian Sargeant, PhD and Elaine Jay, PhD observed in their book Building Donor Loyalty:

Donors who remain loyal are also much more likely to engage with the organization in other ways. Long-term donors are significantly more likely than single-gift donors to offer additional gifts in response to emergency appeals, to volunteer, to upgrade their gift levels, to lobby for the organization, to actively seek out other donors on the organization’s behalf, to buy from a gift catalogue, and to promote the organization to friends and acquaintances.”

Sargeant and Jay even quantify the value of this additional activity. In their experience, they have seen that such activities can increase donor lifetime value by 150 to 200 percent.

Increasingly, charities are coming to appreciate the benefits of having loyal donors. For example, progressively more development professionals understand that loyal supporters make the best planned giving prospects.

This raises the question: Who is a “loyal supporter?”

In the context of planned gift marketing, one development professional recently defined loyalty as a combination of giving frequency, giving recency, and cumulative giving amount. I agree, but only to a point.

Cover- Building Donor Loyalty -- click to see book at AmazonFirst, as Sargeant and Jay describe in their book, loyalty can be either passive or active. Passively loyal donors might give because their friends give, because they want to do something while they continue to search for the charity that is just right, or even because of inertia. By contrast, actively loyal donors care passionately about the organization and its mission. They identify with the values of the organization and regard donations to it as an essential, rather than discretionary, part of their personal budgets.

When it comes to fundraising, actively loyal donors are the only truly loyal donors. In other words, not all regular donors rise to the level of being loyal supporters.

Second, people can be loyal supporters without being donors. They even can be so intensely loyal that they make a generous legacy commitment.

January 24, 2014

Is There a Relationship Between Monthly Giving and Bequests?

From time-to-time, I will invite an outstanding, published book author to write a guest post. If you’d like to learn about how to be a guest blogger, click on the “Authors” tab above.

Monthly Giving Cover - Erica WaasdorpThis week, I have invited Erica Waasdorp, a self-proclaimed “philanthropoholic,” President of A Direct Solution, and author of the best-selling book Monthly Giving: The Sleeping Giant. Erica explains why nonprofit organizations should have a monthly donor program, explores trends in monthly giving, and provides plenty of useful how-to tips all in a mercifully brief, 131 page book.

Jerry Huntsinger, a direct-response fundraising guru, said of Erica’s book, “Good job! It’s the best resource book I’ve ever seen on the subject. You certainly put a lot in it.”

I agree with Jerry. As I read Erica’s book, I was reminded of the first time I wrote on the subject. In 1989, I wrote an article for Donor Developer that predicted that every charity would have a monthly donor program within five years. I believed in monthly giving and its power to help transform nonprofit organizations. I still do. Sadly, my prediction was wrong. It’s now a quarter-century later, and most nonprofits still do not engage in a robust monthly giving program. Nevertheless, they should.

In the 2011 State of the Nonprofit Industry Survey, Blackbaud asked philanthropy researcher Adrian Sargeant:

Where do you see the largest opportunities for nonprofits to make an impact on their operations as we enter the next year?”

Sargeant responded:

Two words: monthly giving. Regular/monthly or sustained gift programs are currently revolutionizing the economics of fundraising. If your nonprofit doesn’t have one — it should get one. Lifetime values are 600-800 percent higher than would be the case in traditional annual fund giving. It’s also more resilient in the face of changes in the economy.”

Now, Erica shares some of her insights with you including a revelation about monthly and bequest giving:

 

You should know right off the bat that I’m a true advocate for monthly giving, aka sustainers, aka recurring gifts. Not surprising, because it’s really a great way to generate loyal donors for your organization. What is not to like about the ongoing revenue you will see coming in month after month after month?

I have been fortunate to be involved with large monthly giving programs generating millions of dollars of reliable income. It truly sustained organizations after major disasters such as September 11, 2001, Hurricane Katrina, Super Storm Sandy, to name a few, where all focus and attention and individual giving was elsewhere. Yet, that sustainer revenue kept coming in.

When you look at whom to target for monthly giving, there’s certainly an interesting mix of sources:

• Existing donors, who have been giving $10 or more and made two gifts in the past year.

• Existing donors, who have been giving one gift a year for the past few years.

• New donors, who are willing to try this convenient way of giving right away (yes, this does work!).

• Reactivated donors, who just came back into the fold and they used to give several gifts in the past.

Is there anything you recognize here? 

January 23, 2014

Special Report: Free Webinar with Researcher Russell James

[Publisher's Note: "Special Reports" are posted from time-to-time as a benefit for subscribers and frequent visitors to this blog. "Special Reports" are not widely promoted. To be notified of all new posts, including "Special Reports," please take a moment to subscribe in the right-hand column. Subscribers will receive a link to download a free copy of researcher Russell James' latest book.]

 

The percentage of the US population with wills and trusts has declined sharply over the past 12 years, as I first reported here. What’s a smart planned giving marketer to do?

Russell James, JD, PhD, CFP, a leading philanthropy researcher based at Texas Tech University, will offer some answers in a FREE webinar hosted by MarketSmart on Wednesday, January 29, 2014 at 2:00 PM ET (Optional Q&A 3-4 PM).

James will discuss the decline of wills and trusts along with other legacy giving issues including:

• How can you garner legacy gifts from donors who do not have wills or trusts?

• What are the top demographic predictors that someone will make or revoke a bequest commitment?

• Why are beneficiary designations becoming increasingly popular?

Space is limited, so be sure to register now.

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