Archive for November, 2019

November 27, 2019

Thanksgiving is about Good Food and So Much More

As Thanksgiving approaches in the United States of America, I want to take a moment to express gratitude and to share with you some holiday insights.

Among the many things and people I am thankful for, I am grateful for you. I value the work you do to make the world a better place. I appreciate the time you invest to read and react to my posts. I thank you for the things you have taught me.

I hope that you and yours enjoy a meaningful Thanksgiving holiday. May you be happy. May you be healthy. May you be safe. May you live a life of ease.

Now, I want to take this opportunity to explode one of the most common myths involving Thanksgiving. Many people believe that the Pilgrims held the first Thanksgiving in 1621. Well, that’s not true. While the Pilgrims did hold a Thanksgiving in 1621, it was definitely not the first such celebration on what would eventually become US soil.

Berkeley Plantation on the James River in what is now Virginia claims to be the home of the first official Thanksgiving which was held in 1619. In 1963, President John F. Kennedy even recognized the Plantation’s claim.

However, there are several even older claims to the first Thanksgiving: In 1610, colonists in Jamestown, Virginia celebrated a Thanksgiving when a ship arrived full of food. In 1607, English colonists and Abnaki Indians observed a Thanksgiving at Maine’s Kennebec River. In 1598, San Elizario, a small community near present-day El Paso, Texas, held a Thanksgiving celebration. In 1565, the Spanish held a day of Thanksgiving in what is now Saint Augustine, Florida. In 1564, a Thanksgiving was held by French Huguenot colonists in present-day Jacksonville, Florida. In 1541, Francisco Vásquez de Coronado and his troops celebrated a Thanksgiving in what is now the Texas panhandle.

While various local communities have held different Thanksgiving celebrations at different times, the first national Thanksgiving in the US was celebrated on the last Thursday of November in 1789 as a result of a proclamation from the country’s first President, George Washington. Here is the text of Washington’s Thanksgiving Proclamation:

By the President of the United States of America, a Proclamation.

Whereas it is the duty of all Nations to acknowledge the providence of Almighty God, to obey his will, to be grateful for his benefits, and humbly to implore his protection and favor– and whereas both Houses of Congress have by their joint Committee requested me to recommend to the People of the United States a day of public thanksgiving and prayer to be observed by acknowledging with grateful hearts the many signal favors of Almighty God especially by affording them an opportunity peaceably to establish a form of government for their safety and happiness.

President George Washington on Mt. Rushmore

Now therefore I do recommend and assign Thursday the 26th day of November next to be devoted by the People of these States to the service of that great and glorious Being, who is the beneficent Author of all the good that was, that is, or that will be– That we may then all unite in rendering unto him our sincere and humble thanks–for his kind care and protection of the People of this Country previous to their becoming a Nation–for the signal and manifold mercies, and the favorable interpositions of his Providence which we experienced in the course and conclusion of the late war–for the great degree of tranquility, union, and plenty, which we have since enjoyed–for the peaceable and rational manner, in which we have been enabled to establish constitutions of government for our safety and happiness, and particularly the national One now lately instituted–for the civil and religious liberty with which we are blessed; and the means we have of acquiring and diffusing useful knowledge; and in general for all the great and various favors which he hath been pleased to confer upon us.

And also, that we may then unite in most humbly offering our prayers and supplications to the great Lord and Ruler of Nations and beseech him to pardon our national and other transgressions– to enable us all, whether in public or private stations, to perform our several and relative duties properly and punctually–to render our national government a blessing to all the people, by constantly being a Government of wise, just, and constitutional laws, discreetly and faithfully executed and obeyed–to protect and guide all Sovereigns and Nations (especially such as have shewn kindness unto us) and to bless them with good government, peace, and concord–To promote the knowledge and practice of true religion and virtue, and the encrease of science among them and us–and generally to grant unto all Mankind such a degree of temporal prosperity as he alone knows to be best.

Given under my hand at the City of New York the third day of October in the year of our Lord 1789.

— Go: Washington”

At the present time, we are experiencing great divisiveness in our society. This Thanksgiving, let’s take a moment to remember Washington’s words and the fact that we are all part of one great nation.

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November 26, 2019

Is One Charity about to Make You Look Bad?

The Charities Aid Foundation of America might have made your nonprofit organization look bad last year. Warning: They’re about to do it again!

Let me explain.

If you’ve sent your year-end appeal, written a solid thank-you letter series, and prepared a donor-engagement plan, you might believe you’ll be all set to take a holiday break between Christmas and the New Year. If that’s what you’re thinking, you’re not alone. Many charities operate with a skeleton staff between the holidays while others shutdown completely.

However, while many nonprofit organizations wind down in the closing weeks of the year, many donors are gearing up their philanthropic activity. Many donors make their philanthropic decisions at the end of the year, often in the closing days of the year. While the current federal tax law means fewer people itemize their deductions when filing their taxes, many of those people still make late year-end charitable gifts. Furthermore, many wealthy people who do itemize will wait until the closing days of the year before making their philanthropic gifts.

Some of your year-end donors will have questions. They may wonder about the best way to give (i.e., cash, appreciated stock, Donor Advised Fund recommendation, etc.). Others may have questions about your organization’s programs and areas of greatest need. Still others may simply need to know the formal name of your organization to put on their check.

If individuals with questions are unable to reach you for answers, they may not give or they may give elsewhere. This is something CAF America understands.

Last year, Ted Hart, ACFRE, CAP, President & CEO of CAF America, sent an email wishing donors a happy holiday and announcing his organization’s extended holiday hours. Not only would someone be available throughout the holiday season, staff would be available until 8:00 PM EST, well beyond standard business hours. Hart provided an email address and phone number. The email encouraged recipients to reach out if they needed any help or had any questions. You can find a copy of Hart’s email message and my detailed analysis of it by clicking here.

Underscoring his organization’s donor-centered orientation, Hart concluded his message by writing:

It is our pleasure to be of service to your domestic and international philanthropy on a timetable that suits you best.”

Hart’s email let supporters know that the organization is there to meet their needs on their terms. Even if they didn’t need to contact the organization as December 31 approached, they still appreciated knowing that the organization cared enough about them to remain accessible.

Based on the response to last year’s extended hours, CAF America will be doing the same this year beginning December 9. Hart explains, “We had many donors who made use of the extended hours. Many are very busy during the holidays and regular business hours do not always support busy holiday schedules.”

By comparison with CAF America, does your organization look good or bad as the year comes to a close?

I’m not suggesting that you need to stay at your desk through the end of the year. However, I am suggesting you remain accessible. Fortunately, technology allows you to be reachable without having to remain in the office. For example, you can set email alerts on your cell phone. Also, you can forward your office calls to your cell phone. So, whether or not you remain in the office, you can still be available to individuals contemplating a donation to your organization.

If, like CAF America, you let people know that you will remain available, you’ll be showing them that you care about them. Your organization’s supporters will appreciate the extra effort you make to be of service even if they don’t have any year-end needs.

At this time of year, the public expects to be inundated with charity appeals seeking support. What people do not expect is a message offering good wishes and service. So, pleasantly surprise folks this holiday season. Show individuals you care about each of them by letting them know you’re there for them. Offer them assistance. Give them an opportunity to engage. Provide useful information.

To determine if your organization is donor centered as the year draws to a close, ask yourself these questions:

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November 21, 2019

Are You Making This Big Mistake When Mailing to Donors?

As the Thanksgiving holiday approaches in the US, a conversation on Twitter caught my eye. I recently read a pair of tweets from two charity donors that made me want to scream. I must share what I read about how they were thanked for their support. I hope it keeps you from making the big mistake that the donors describe.

After nearly four decades as a fundraising professional, not much about the nonprofit sector surprises me. However, every so often, I still come across an item that stuns even me. The Twitter conversation between The Whiny Donor and Meghan Speer provides an illustration of this:

https://platform.twitter.com/widgets.js

After making a donation, Whiny received a thank-you letter from the charity she supported. The envelope was addressed to her and “or Current Resident.” Speer contributed to another charity. As a supporter, she was invited to attend a donor thank-you event. The invitation was addressed to Speer and “or Current Resident.”

Both donors were annoyed at how the mailings were addressed. Speer wrote sarcastically, “…makes me feel super appreciated.”

For her part, Whiny demanded, “Spend enough on postage, or we’ll let some other resident donate the next time around.”

I never would have guessed that this was a problem. Apparently it is.

Who can blame Whiny or Speer for being annoyed? When someone supports your organization, they feel good about helping to achieve its mission. As a fundraising professional, part of your job is to help donors continue to feel good about their decision to support. With a proper thank-you letter, relevant information, and meaningful opportunities for engagement, you can help preserve and even build that warm feeling. If you properly steward your donors, they’ll be more likely to renew their giving, upgrade their support and, possibly, make a planned gift. Conversely, if you fail when it comes to stewardship, you risk alienating your donors.

They gave you money. They already like you. Don’t give them a reason not to.

Addressing a thank-you letter or donor-appreciation event invitation to “or Current Resident” is a certain way to make donors feel less than special and less than valued by you. If Whiny and Speer are put off by such addressing, you can bet other donors are as well.

So, why do some nonprofit organizations do this?

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November 15, 2019

Fundraising Reality Check: 5 Things You Need to Know

A number of myths continue to persist in the fundraising world. While I can’t debunk all of them here, I can deliver a reality check for five important items that I’ve encountered recently when talking with fellow fundraising professionals:

Myth 1: Most People Do Not Own Stocks

Reality Check: The fact is that a majority of Americans own stocks in one form or another. Gallup found that 55 percent of Americans have stock market investments. The greater one’s income, the more likely they are to own stock.

While the stock markets remain volatile, they continue to set new records. In other words, many charity donors own appreciated securities. Under the current federal tax code, anyone can benefit by contributing appreciated stock to a nonprofit organization. That’s because donors of appreciated stocks can avoid paying capital gains tax even if they are non-itemizers who take the standard deduction.

If you’re not asking your prospects and donors to donate appreciated securities, you’re not serving them well and you’re missing out on donations that could be quite significant. So, be sure to let people know that your organization accepts stock gifts, what the benefit is to donors of contributing stocks, and how they can gift stocks.

Myth 2: Giving Tuesday Will Help You Raise Tons of Money

Reality Check: I’m not opposed to #GivingTuesday. My problem with it is that many charities invest an amount of staff and budget resources that will never be justified by the return. In 2018, US charities raised $380 million, reports the Nonprofit Source. For perspective, that’s just 0.089 percent of overall philanthropy for the year. Furthermore, while 63 percent of Giving Tuesday donors give only on Giving Tuesday, we really don’t know if that’s a correlation or a causality; many of those donors might have given anyway on another day.

If you’re going to implement a Giving Tuesday appeal, do it the right way:

  • Have realistic expectations and invest resources accordingly.
  • Remember that a date on the calendar is not a case for support. Don’t ask people to give to your organization just because it’s Giving Tuesday. Let them know what problem their gift will address.
  • Have a thank-you and stewardship plan in place if you want to retain and eventually upgrade Giving Tuesday donors.

Myth 3: Charities Can Ignore Donor-Advised Funds

Reality Check: Okay, charities can ignore Donor-Advised Funds. However, they should not. DAFs accounted for 12.7 percent of overall philanthropy in 2018 compared with just 4.4 percent in 2010, according to The National Philanthropic Trust’s The 2019 DAF Report. In other words, DAF grant payouts totaled $23.42 billion. Total DAF charitable assets were $121.42 billion and climbing. The number of DAF accounts in 2018 was 728.563, a 55.2 percent increase over 2017.

The simple fact is that DAFs continue to grow in significance year after year. More and more donors are creating DAFs. You need to make it easy for people to recommend grants to your charity. You need to properly steward DAF donors and those who recommend DAF grants. You need to keep track of which of your supporters has established a DAF. You need to remind people that, if they have a DAF, they can recommend your charity for a grant.

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November 12, 2019

A Pro Baker Knows 3 Things that will Help You Raise More Money

Chef Stefan Zareba is an award-winning baker and successful businessman. His tasty, artistic creations have impressed visitors at leading resorts around the world. My wife and I recently met Zareba, and learned three keys to his success. Interestingly, those three things can also help you be a more effective fundraising professional.

My wife and I recently spent a few days relaxing at the New Jersey shore. Beautiful weather and the Monarch Butterfly migration made our visit special. At the suggestion of a family member, we visited Blue Dolfin Sweets, a European bakery in Marmora, NJ. When we entered, Zareba greeted us as if we were regulars despite it being our first visit.

When Zareba saw that we were a bit overwhelmed by our options, he began offering us free tastes. When I remarked about the intense flavors, Zareba shared his baking philosophy. He believes in using carefully sourced, natural or organic ingredients. His flour comes from Minnesota, his chocolate from Belgium, his fruits from farmers he knows, his butter from Europe. At the Blue Dolfin, you won’t find agave syrup, high-fructose corn syrup, or chemicals and artificial additives.

Zareba believes pure, wholesome ingredients produce products, when crafted with skill, that taste better. He’s right. Not only do his creations taste better, the flavors he produces are more intense and bright than you would ever experience from a bakery chain.

So, here is what I learned during my visit with Chef Stefan that can help you:

Intense Passion. Zareba spoke with my wife and me as if we were the first customers he had seen that day. As it was well into the afternoon, I know that definitely was not the case. Nevertheless, Zareba was energetic, friendly, and helpful. He patiently answered our questions, and told us about himself and his baking experience. That’s how we learned about his baking philosophy. Seeing someone so passionate about his work was remarkable. I don’t know quite how to make my point vividly. Let me try this. Instead of simply selling baked goods, Zareba shares his creations. Moreover, when he sees you enjoying a bite, he smiles with his entire being.

Do you have that kind of passion for your organization and its mission? Do you believe that your organization is the best at what it does? Are you proud to work for your organization? If you’ve answered “yes” to each of those questions, do you convey that feeling to those with whom you interact?

In many cases, prospects and donors will take their cues from you. If they sense that you have lukewarm feelings for your charity, they likely will as well. However, if they sense your passion, they may very well be more receptive to your appeal.

Years ago, I co-owned a pioneering phone fundraising company, The Development Center. Over the years, we employed some callers who did just about everything wrong despite trying their best. They got tongue-tied when talking with prospects. They had difficulty handling questions and objections. They were awkward. A casual observer would think we should have terminated those callers. However, we didn’t always do that because a distinguished few were extremely successful. What made them successful fundraisers, despite their shortcomings, was their passion for the organizations they represented. Their passion was infectious. When prospective donors heard how passionate these callers were, they became excited about the mission and became supporters.

Passion cuts both ways. If you do not passionately represent your organization, alarm bells will go off in the minds of those you contact. Conversely, if you exude passion for your organization’s mission, that enthusiasm will be infectious and excite others.

Superior Skills. Unfortunately, passion alone will seldom lead to success. For Zareba, years of training and working in some of the top kitchens around the world developed his skills. When looking at his display cases, you can see the result. He turns out a huge variety of confections. In addition, he renders each beautifully. His wedding cakes are works of art.

The framed newspaper and magazine articles mounted on the bakery wall attest to Zareba’s skills and the awards he has earned. He’s a world-class baker who, thankfully, has chosen to make his home in a small town in New Jersey.

As the number of nonprofit organizations grows, there is increasing competition for philanthropic support. It’s unlikely that your charity is unique. More likely, there are other nonprofits with similar missions. To attract, retain, and upgrade support for your organization, you need to have well-honed skills. Good enough is not good enough. You need to work continually to enhance your skills. You need to master the fundamentals while remaining receptive to the right fresh ideas. You need to continue your education by attending conferences, participating in webinars, reading books and blogs, and more.

Music experts have long regarded Pablo Casals as the world’s greatest cellist. When he was about 80 years old, Casals agreed to be the subject of Robert Snyder’s short documentary movie. The filmmaker asked why Casals continued to practice playing the cello four to five hours each day. Casals replied, “Because I think I am making progress.”

The fact that the world’s greatest cellist continued to hone his skills late in life is a great example for the rest of us. As professionals, we have a responsibility to always strive to enhance our own skills. The more effective you are, the more support you will be able to attract for your organization. That means, depending on your organization’s mission, more lives saved, more people better educated, more spirits uplifted.

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November 8, 2019

3 Election-Inspired Tips for More Powerful Fundraising

Nonprofit fundraising professionals can learn three powerful tips from the US presidential candidates that will help inspire greater support.

Now that the November 2019 elections in the US are behind us, the media and the public will focus their attention increasingly on the 2020 presidential race. As the campaign for The White House heats up, there are already things you can glean from this election season that will help you and your charity.

Fox News recently interviewed pollster Frank Luntz about how the candidates are communicating their messages. Regardless of how you feel about the network or the researcher, you can pick-up great communication insights from them.

Specifically, Luntz shared what he believes to be the three elements of powerful, persuasive communications:

1. Credible. It’s not enough for a message to be true. It must also be believable. When sharing stories about those your charity helps, you might choose to highlight a less dramatic, but more believable example, rather than one that is extreme but that might invite suspicion. Or, if you do share a story that stretches belief, you might want to cite a third-party source (i.e., a published news report). In a mailing or face-to-face visit, for example, you could even provide a newspaper clipping that supports the story you share. When citing statistics, providing the source can lend credibility.

In one of her presidential campaign ads, Sen. Elizabeth Warren highlights her unexpected victory over incumbent Sen. Scott Brown in 2012 to demonstrate her political skill and her ability to surprise the pundits. In one of his campaign ads, former Vice President Joe Biden cited a number of polls to support his claim that he is the best positioned Democrat to unseat President Donald Trump. In other words, both candidates sought to establish credibility by documenting their claims.

If recipients of your message don’t believe it, they’ll dismiss it. You’ll lose the opportunity to cultivate, engage, or generate support. While your message needs to standout and capture attention, it has to be believable.

2. Memorable. To be effective, messaging must be memorable. By definition, successful education or cultivation requires a lasting impact. If someone receives your direct-mail appeal and sets it aside to deal with later, they’ll only respond if they remember it and remember what moved them. If someone sees an advertisement for your cause, they won’t talk about it with friends unless they remember it.

In one of Trump’s campaign ads, the narrator says, “Mister Nice Guy won’t cut it. It takes a tough guy to change Washington.” Luntz asserts that the “Mister Nice Guy” line combined with the images of Trump looking tough result in a memorable ad. The rhetoric is unusual for a political ad while being in alignment with the candidate’s image. By contrast, the Biden ad that talks about his ability to beat Trump uses footage that, for the most part, doesn’t support the narration and, instead, features bland, standard political glad-handing images. By contrast with the Trump ad, the Biden commercial is less memorable.

The most effective messages are the ones that are memorable. Words and images must support one another to maximize effectiveness.

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