I’m frustrated.
I’ve been a Certified Fundraising Executive (CFRE) since 1994. That means I’ve held the credential longer than at least 89 percent of all current CFREs! I’ve also taught the CFRE Review Course. Clearly, I’m committed to the idea of professional certification for fundraising practitioners.
Unfortunately, the CFRE designation has failed to realize its potential. In fact, the credential is becoming less, rather than more, relevant.
That’s why I’ve tentatively decided not to renew my certification this month UNLESS you tell me I should renew.
I’ve come up with a creative way for you to vote. My method will allow you to not only register a vote in favor of renewal, you’ll be able to convey how passionately you feel about renewal. To vote in favor of my renewal, simply go to my GoFundMe site (VOTE: Michael’s CFRE Renewal Fund) and make a donation. I estimate that renewing my CFRE and running this mini-campaign will cost approximately $600. If you think I should renew, contribute one dollar. If you feel more strongly that I should renew, contribute more, up to the $600 goal.
If we reach the goal of $600 by June 14, 2015, I will submit my renewal application to CFRE International. If we do not reach the goal, I will evaluate the feedback I receive and make a final decision about renewal by June 14. In any case, I will donate any unused funds to either CFRE International or the Association of Fundraising Professionals Foundation. Donations to this mini-campaign are not tax-deductible.
If you believe that I should not bother renewing my CFRE designation, you do not have to do anything to register your vote. I’ll see how many people visit this blog post and be able to compare that number with the number of people who vote with their dollars. So, I’ll see how many readers are voting by not actively voting.
With this method of voting, I will be able to gauge not just how much casual support there is for CFRE, but how much passionate support there is.
For now, I’m not passionate enough about CFRE to continue to spend my own money on renewal. Let me explain my position:
Lack of Commitment. By tentatively deciding not to renew my certification, I’m in good company. Of the eight past Board Chairs of CFRE International, the organization that controls the credential, three did not hold the CFRE designation as of 2013, according to the group’s annual report. In other words, 37.5 percent of past CFRE International Board Chairs do not hold the CFRE designation!
While CFRE International claims to have a high overall retention rate among CFREs, there is really no way to evaluate this. All the numbers reported by CFRE International prior to 2013 are suspect, according to Eva Aldrich, CFRE, President/CEO of CFRE International.
Anemic Numbers. Supposedly, a new technology system now allows for accurate reporting. Nevertheless, Aldrich has refused multiple requests to provide counts of the number of CFREs by country. So, we have no way of knowing, for example, whether the number of CFREs in the USA is growing, shrinking, or remaining the same. However, since 85 to 90 percent of all CFREs reside in the USA, I’ll assume, for the sake of this post, that the American CFRE growth rate is comparable to the overall growth rate.
In January 2015, CFRE International issued a statement, complete with a photo of fireworks, boasting that its 5,451 CFREs in 2014 represented a three percent growth rate over 2013. (Incidentally, the number of CFREs reported for 2012 was 5,630, which Aldrich now conveniently claims, was an inaccurate number; she further claims that she cannot ascertain the real number nor can she even estimate the degree of variance.)
The 2013-2014 growth rate of three percent seemed modest to me, certainly not worthy of fireworks. So, I did some research. Using data reported by The Urban Institute, I discovered that the growth rate among nonprofit organizations with revenue of $500,000 or more — in other words, among those organizations most likely to have someone on staff doing at least some professional fundraising — the growth rate was 3.6 percent. What this means is that the universe of nonprofit organizations doing fundraising has grown faster than the number of CFREs.
I’ll express this another way: Despite its modest growth, CFRE is growing more slowly than the market and, therefore, is actually losing market share.
CFRE is becoming less relevant!
When I presented my findings to Aldrich, her only response was to be dismissive of my numbers and to try to assure me that CFRE International was successful and would be more successful moving forward. What else could she say?
Even if the nonprofit market had remained unchanged, a three percent growth rate would still be anemic.
In previous posts, I’ve outlined my concerns about CFRE International. I signaled that, unless things changed dramatically rather than incrementally, I would be unlikely to renew when the time came. Well, the time has come.
Here are some of my additional concerns about CFRE:
Competition. Other credentialing programs exist including the Chartered Advisor in Philanthropy and the Advanced Certified Fund-Raising Executive. In addition, master’s degree programs compete with the CFRE credential, though the function of each is different.
Economics. The CFRE is a voluntary certification. Government regulators do not require it. It’s expensive. Fewer employers are willing to pay for it, according to CFRE International. Many development professionals are unwilling or unable to pay the significant fee themselves.
Value. Until the CFRE credential is universally known within the nonprofit sector and commonly known to the general public, CFRE International can expect development professionals to question the value of the designation.
During a #fundchat conversation on Twitter a couple of years ago, some talented participants, as well as professionals they know, were completely unaware of CFRE. That’s a problem. Another problem is that those hiring development professionals are often unaware of the credential or what it means. Moreover, the impact on the general public is minimal since most donors have no idea what “CFRE” means. Until CFRE is nearly as recognized as the Certified Public Accountant designation, its value will be disappointing.
Budget. CFRE International has limited resources. “CFRE International derives 82 percent of its revenue from candidate fees for both initial certification and recertification. The remaining 12 percent is made up of fees paid by Participating Organisations to gain access to the credential at reduced rates for members and from continuing education provider fees, job vacancy postings and sales of certificate frames,” according to the 2013 CFRE International annual report.
With its economic model, CFRE International is greatly limited in the amount of marketing resources it has. Its economic limitation will make aggressively facing the many challenges a, well, challenge.
While I believe in the value of professional credentialing, I have found that CFRE International is not fulfilling its potential. As the CFRE designation becomes less, rather than more, relevant, I see no point to continuing to spend my money to stay with it.
As a longtime CFRE-holder, I hope that my dramatic move will be seen as a strong protest by someone who cares passionately about the CFRE designation. I further hope that my protest will mobilize the CFRE International Board, CFRE International supporting organizations, fellow CFRE-holders, and the broader fundraising community to take the bold measures necessary to get serious about CFRE and to implement the necessary strategies to dramatically, rather than incrementally, increase the number of CFREs in the USA and worldwide.
If you’re interested, you can read my previous posts about CFRE:
So, do you feel CFRE is a credential you want me to continue to hold given all of my contributions to the profession? Do you feel it benefits CFRE, in some way, to have me continue as a designee? Do you feel it really will benefit me to renew?
For whatever reason, if you feel I should apply to renew my CFRE, please vote by going to my GoFundMe site (VOTE: Michael’s CFRE Renewal Fund) and contributing to the cause by June 14. Also, whether you’re for or against my renewal, please feel free to comment below or send me an email.
Finally, I know that this post will ruffle more than a few feathers. I already felt a bit of a chill in the air when I had a frank conversation with Aldrich during the AFP International Fundraising Conference in March. (By the way, I did tell her of my plan to put my renewal to the vote I’ve described in this post.) I can live with ruffling feathers as long as the people with the power to change things finally recognize there is a problem with CFRE and take the bold steps to help the credential realize its full potential sooner rather than later. If that happens, I’ll be cheering on the effort from the sidelines.
That’s what Michael Rosen says… What do you say?
UPDATE (June 4, 2015): I want to thank Jon Dize for being the first person to vote with his dollars at VOTE: Michael’s CFRE Renewal Fund. His support of CFRE and his kindness are much appreciated.