Posts tagged ‘marketing’

November 30, 2016

Want More Donors and More Money?

Would you like to find more donors?

Would you like to have more donors renew and upgrade their support?

Would you like to raise more money for your nonprofit organization?

If so, avoid de-motivating people by making them think their support is insignificant, unnecessary, and unwanted.

Donors want to feel their contributions are making a difference. If they do not feel that is the case, they’ll take their support elsewhere. Consider the following representative comment voiced in a focus group hosted by researchers Dr. Adrian Sargeant and Dr. Jen Shang:

[W]e feel this strong sense of wanting to make a difference.”

Yet, despite this simple truth, many charities regularly alienate prospects and donors. Although the alienation is almost always unintentional, it remains a very real problem. Reflect on the following representative comment heard in a focus group study conducted by The George Washington University:

When you see bequests given to universities they are substantial. You really feel embarrassed that you don’t have that money.”

So, what are nonprofit organizations doing that is embarrassing and alienating donors? Well, many things. For now, I’ll focus on just one action that underscores the point raised by the GW alumnus.

money-in-hands-by-401k-2012-via-flickrMany organizations celebrate the support of mega-philanthropists. They profile these individuals in institutional publications; they recognize them on donor walls; they thank them at public events. While all of this is perfectly appropriate, a problem arises when an organization recognizes mega-donors to the exclusion of all other supporters.

When people see that only mega-donors are celebrated, they can begin to think that their support is unnecessary and not genuinely appreciated. This is true for annual giving, planned giving, capital campaign giving, and other types of campaigns.

If you want a diverse group of supporters, be sure to celebrate a diverse group of supporters. When people see people like themselves supporting your organization, research shows they’ll be more likely to support as well. When I speak of cultivating a diverse group of supporters, I mean in every sense of the term: gender, race, religion, age, philanthropic means, etc.

That’s an idea that the folks at the Arizona State University School of Nursing and Health Innovation understand. As I shared in my book, Donor-Centered Planned Gift Marketing:

November 15, 2016

Will the Election be Good or Bad for #Fundraising?

[Publisher’s Note: This is not a political or partisan post. Instead, this post will explore the affects the recent presidential election is likely to have on fundraising and philanthropy in the short-term and beyond. As always, civil and on-topic comments are encouraged, whether or not you agree with the points covered in the post. However, overtly political or partisan comments will not be published nor will the rants of internet trolls.]

 

Donald J. Trump appears to have secured enough electoral votes to become the USA’s 45th president. His election will become official when the Electoral College votes on Dec. 19, 2016.

After a bruising, though not unprecedented, election cycle, the nation remains deeply divided and emotionally raw. What does this mean for fundraising and philanthropy?

Impact of Election Donations on Charitable Giving:

At the 2016 Association of Fundraising Professionals International Fundraising Conference, research from Blackbaud was presented that looked at the impact of political giving on charitable donations in the 2012 election cycle.

Chuck Longfield, Senior Vice President and Chief Scientist at Blackbaud, observes:

Fundraisers have long debated whether or not political fundraising affects charitable giving and, for decades, important fundraising decisions in election years have been based largely on the conventional belief of a fixed giving pie. The study’s overall assertion is that political giving during the 2012 election did not, in fact, suppress charitable giving. Donors to political campaigns continued their support of charitable causes.”

According to the study, donors who gave to federal political campaigns in 2012 gave 0.9 percent more to charitable organizations in 2012 compared to 2011. By contrast, donors who did not give to political campaigns reduced their giving to charities in 2012 by 2.1 percent. These data findings held true across all sub-sectors as well as the demographic segments of age range, household income, and head of household gender.

The research only provides us with a snapshot. It is not predictive. More research will need to be done to identify whether or not the results will be consistent over multiple election cycles. However, based on the analysis of the 2012 campaign cycle, we certainly have room to be cautiously optimistic about 2016.

Year-End Giving:

If history is an indicator, the 2016 election will have little or no impact on overall year-end philanthropy, according to Patrick Rooney, Ph.D., Associate Dean for Academic Affairs and Research at the Indiana University Lilly Family School of Philanthropy.

voting-by-becky-mccray-via-flickrAt times, elections have had an effect on the giving of some individuals. For example, in 2008 when Barack Obama was elected, some major donors feared that he would secure a 28 percent cap on tax deductions.

Out of fear that the cost of giving would, in effect, be going up in 2009, some of these individuals front-loaded their 2009 philanthropic support to 2008 year-end. Nevertheless, the impact on overall giving was modest.

While Trump has promised major tax reform, it’s doubtful that donors will expect significant changes to the tax code to be enacted and go into effect in 2017. Therefore, it’s equally doubtful that major donors will shift 2017 giving into 2016.

Given that the 2016 election was unusual in many ways, it is certainly possible that year-end giving will deviate from the historical norm. For example, the stock market reached a record level following the election. If stock values continue to grow, we could see an increase in year-end gifts of appreciated securities. However, regarding overall philanthropy, I think the smart bet is on history.

Giving to Individual Charities:

It is very likely that certain individual charities will see an uptick in donations as a result of the election outcome.

Many years ago, Richard Viguerie, a pioneer of conservative direct response fundraising and Chairman of ConservativeHQ.com, said that people would rather fight against something than for something. We’ve seen it before; we’re seeing it now.

For example, when Obama was elected, the National Rifle Association received significantly more contributions as some feared that the new president would impose more stringent gun control measures.

Now, Kari Paul, of MarketWatch, reports:

November 11, 2016

How Long Should Your #Fundraising Appeal Be?

When I was in middle school, it was common for my English teacher to give us an essay assignment. Every time she did, one student would always ask, “How long do you want it to be?” The teacher provided great direction that has guided my writing ever since:

Make it as long as it has to be. If you have something to say, say it. When you’ve said it, stop writing.”

Sometimes, you’ll need to write a lengthy appeal while at other times, a shorter appeal might be more effective.

Mal Warwick, the direct mail guru, once told me about a survey of men and women designed to explore what type of appeals they might prefer. Men said they prefer short appeals while women said they prefer longer ones. The interesting thing is that when follow-up appeals were sent, men and women responded at similar rates. Even more interesting is that both men and women were more likely to respond to the longer appeals.

kerouac-scrollThe idea that people don’t read anymore is a myth.

If the appeal comes from an organization someone cares about, he will take the time to read provided that your copy is compelling and relevant to the reader.

Don’t be afraid of the number of words you are using. Use as many as you need to move your readers.

This general insight also holds true in the business-to-consumer and business-to-business worlds making it something of a universal truth. Writing in Target MarketingBob Bly says:

So when clients tell me they don’t like long copy, I ask, ‘For whom are you writing? Casual readers? Or serious buyers looking to spend their money on what you are selling?’”

Bly observes that longer copy generally generates greater response rates in both b-to-c and b-to-b marketing. Fundraising is no different.

Bly also reports that longer blog posts are better from an SEO perspective, according to research from Orbit Media. Research by HubSpot finds that longer blog posts (over 2,500 words) are more likely to be shared on social media. Site SEO Analysis shows wordier web pages (500 words at minimum, but over 2,000 is better) rank higher in search engines. Eccolo Media reports that longer whitepapers (six to eight pages) are more likely to be read than those that are shorter.

There are certainly times when using fewer words is the way to go. For example, if you’re writing copy for a postcard mailing, you’ll have very limited real estate with which to work. You’ll need to be brief. However, when you have space, it will generally be better for you to write longer rather than shorter.

Following best-practice can often be the wise move. However, that’s not always the case. If your list is large enough and you have the resources, you should test various appeal lengths to see what works best for your organization and its various audiences.

If you test, more often than not, you’ll find that longer copy will generate a better result. Just be sure to keep these 10 tips in mind:

November 8, 2016

Are You Forgetting Something as Year-End Approaches?

It’s that time of year once again. #GivingTuesday and December 31 are fast approaching. All charities are looking for year-end donations. However, are you forgetting something important?

If you want to maximize year-end giving, you must seek planned gifts. Remember, not all planned gifts are deferred gifts; many are current contributions. Here are some types of planned gifts you should be asking for, even if you don’t have a formal planned giving program:

Gifts of appreciated stock or property (i.e.: real estate, art, collectibles, etc.):

By making a donation using appreciated stock or personal property, a donor can avoid capital gains tax and receive a charitable gift deduction. Because over half of Americans own stock (Gallup) and because the stock markets are at or near record highs, now is a great time for donors to contribute appreciated securities. Likewise, real estate values have generally seen significant rebounds since the Great Recession, meaning real estate gifts are an excellent option for some donors.

Gifts from a Donor Advised Fund:

Many donors have established a Donor Advised Fund. In 2014, there were over 238,000 Donor Advised Funds (National Philanthropic Trust, Donor Advised Fund Market Report 2015). DAFs “account for more than three percent of all charitable giving in the United States.”

pot-of-goldIf you’d like to learn more about how DAFs work, you can download the free FAQ sheet from DAF Direct by clicking here.

If you know that a donor has established a DAF, ask him to designate your charity for a grant. In your newsletter, include a story about a supporter who has given through her DAF. On your website, include a Donor Advised Fund widget to make it easy for your donors to designate a gift to your charity.

To see how International Planned Parenthood Federation / Western Hemisphere uses the DAF Direct widget, click here. To see how the UNICEF United States Fund has deployed the widget, click here. For information about how to get the Donor Advised Fund widget for your organization’s website, click here.

Gifts from an IRA Rollover:

November 4, 2016

It’s Not Just What They Say, but How They Say It

To raise more money, listen carefully to your prospects and donors. They’ll give you vital insights about their philanthropic interests and ability to give.

Furthermore, they’ll give you clues about how to most effectively present to them.

Tom Hopkins, the sales guru and author of Low Profile Selling, suggests that by adapting your presentation style according to prospect preference, you’ll be far more successful.

Let me explain.

If you’re visiting with a prospect to make the case for support of a particular initiative, he may say, “I see what you mean.” That could be a clue that the prospect prefers to relate to information visually.

fennec-fox-ears-by-caninest-via-flickrSo, you would be wise to adapt your presentation to be more visual. For example, you could share a printed copy of the case for support. Or, you could show the prospect a brief video that illustrates what you’re saying. Another way to engage such a prospect is to ask her to imagine. For example, if you work for an animal shelter, you might ask, “Can you imagine how happy you’ll make dozens of puppies and kittens with your support?”

Alternatively, your prospect might say, “I hear what you’re saying.” That could indicate that she prefers getting information by listening.

October 28, 2016

Get a Free Halloween Treat for Fundraisers

If you’re like most fundraising professionals, you’re not optimally asking donors to include your nonprofit organization in their will.

You’re probably not driving as much traffic to your planned giving webpage as you could.

You’re also probably less successful at closing Charitable Gift Annuities than you could be.

lone-ranger-and-silver-via-melocuentas-flickr

The Lone Ranger and Silver.

I know. You decided to read this post to discover how you can get a free Halloween treat. Instead, you’re probably starting to feel tricked. But, fear not! Russell James, JD, PhD, CFP, the Texas Tech University professor and philanthropy researcher, along with the good folks at MarketSmart, are riding in to save the day.

Last summer, James conducted a webinar hosted by MarketSmart. During his presentation, James unveiled his latest, powerful research findings along with research insights from others. You can learn more about the webinar and get some great tips by clicking here.

Now, for your treat, MarketSmart has distilled James’ webinar into a free, 22-page e-book that will help you raise millions of dollars more. For example, here’s just one simple, yet valuable tip:

When you want to engage people in a conversation about Charitable Gift Annuities, what is the best way to describe this giving vehicle to make folks want to learn more?

James tested five phrases. Among the 2,550 respondents, he discovered the percentage interested in learning more:

October 19, 2016

What Can You Learn from Trump’s Faltering Campaign?

This is not a political post.

Instead, it’s about you, your nonprofit organization, and those who benefit from its services.

As I write this post, Donald Trump’s bid to become President of the USA is faltering. With three weeks left in the campaign, he still could pull out a win. However, he’ll need to run a radically different campaign to do that.

As a former newspaper editor, I’m still a political news junkie. So, I’ve carefully observed the political campaign for months, okay, for years. Not long ago, I even had the opportunity to participate in a focus group facilitated by renowned pollster Frank Luntz for CBS News; it provided great insights into the thinking of undecided voters in Pennsylvania. Along the way, I’ve discovered an important lesson that can be of profound value to you.

Donald Trump holds up magazine cover featuring himself.

At a campaign stop, Donald Trump holds up magazine cover featuring himself.

It’s simple, really. Trump rose in the polls when he talked about what he would do for us, the American people. His numbers fell when his campaign became about him. For example, in recent days, Trump has had to respond to the “locker-room talk” video revealing his misogynist thoughts. He’s also been talking about how the media is against him, and how the election is rigged. Even more strangely, Trump has renewed his attacks on fellow Republicans, which has nothing whatsoever to offer the American people other than more drama.

The media analysis is overly complicated. I get it. The media have to fill column inches and hours of airtime. However, the political situation is really rather simple. Voters want to know what the candidates will do for them. At the very least, voters want to know that the candidates are thinking about them and understand them. The more a candidate focuses on the voter, the more likely he or she will be to gain traction.

October 10, 2016

Stop Pretending that You Work for Stanford!

It’s big news.

Stanford University has shut down its annual fund telephone fundraising program. You can visit the university’s official web page announcing the decision by clicking here.

It’s all over the blog-a-sphere. It’s made headlines in publications for the nonprofit sector. For example, here’s a headline from The Chronicle of Philanthropy:

Stanford Hangs Up on Telemarketing — Will Others Follow?

I’ll leave it to others to speculate about whether other charities will follow Stanford’s lead. I’ll also leave it to others to consider whether or not Stanford made a wise or foolish move. Instead, I’ll focus on whether or not you should also discontinue your organization’s telephone fundraising effort.

Simply put, you should probably keep your own telephone fundraising program. Here are just five of my random thoughts that lead me to that conclusion:

1.  You do NOT work for Stanford, so don’t act like you do!

Unless I’m mistaken, you don’t work for Stanford, or Harvard, or Yale, or Cornell, etc. Such prestigious universities have built-in, loyal constituencies and, therefore, have a massive advantage over your charity. Not only could Stanford eliminate its phone program, it could fire nearly its entire development staff and still raise much more money than the average American nonprofit organization.

Your challenges are vastly different than those faced by Stanford. So, your challenges require different solutions. If you don’t work at Stanford, don’t make the mistake of acting as if you do.

2.  Telephone fundraising is less effective than it was, but it still works.

Since the early 1980s, I’ve heard so-called experts predicting the extinction of telephone fundraising. Interestingly, many of those same folks also predicted the demise of direct mail.

phone-and-moneyThey were wrong then, and they are wrong now. Neither mail nor phone are as effective as they once were. However, smart organizations have evolved their use of both. The outcome is that these organizations are still able to produce worthwhile results by both mail and phone. It’s not about extinction; it’s about innovation and evolution.

Colin Bickley, writing for NonProfitPRO, provides superb analysis of some of the telephone fundraising challenges faced by the nonprofit sector. However, Bickley concludes:

The telefundraising business is never going away, but it is changing. And right now, it’s clear that its changing more than ever.”

3.  Don’t judge all telephone fundraising by looking just at bad programs.

I’m amazed at how many TERRIBLE telephone fundraising calls I receive. I suspect that the charities responsible are either disappointed with their program results, don’t know enough to be disappointed, or think they’re doing the best they can.

Let’s face it. If your calls are bad, your results will be bad. Remember the old adage, “Garbage in, garbage out.” Not all calling programs are of equal quality. If you’re not getting the results you want, look for opportunities to improve before abandoning the entire medium. You wouldn’t stop your direct mail efforts because one mailing didn’t do well, would you?

September 22, 2016

Don’t Miss Out on the 8 Benefits of Engaging Donors

The following is an excerpt from my guest post that I’m honored to have published on the Bloomerang blog:

I think happiness is a combination of pleasure, engagement and meaningfulness.” — Dr. Ian K. Smith, celebrity physician

You will be a successful fundraising professional if you make giving fun and enjoyable for donors and engage them in ways they will find meaningful.

bullhorn-cartoon-header-bloomerangGallup, the international polling company, conducted a survey of over 17,000 American donors to better understand giving behaviors. One of Gallup’s key findings was that effective engagement leads to greater donor loyalty. Gallup’s Daniela Yu and Amy Adkins report:

“… [donors] keep going back to the causes that emotionally engage them.”

Sound engagement practices will lead to strong donor retention and increased levels of giving. For example, the simple act of engaging a donor by calling to thank her for her gift can have a profound impact. Penelope Burk in her book Donor Centered Fundraising reports that:

September 13, 2016

Is Social Media Hurting Your #Nonprofit Organization?

We’ve all heard the stories of social media success. President Barack Obama was perhaps the first US presidential candidate to raise a significant amount of money via social media. The Ice-Bucket Challenge generated awareness and raised over $100 million for the ALS Association in addition to millions more for other ALS charities. Countless charities have raised vast amounts of money through crowd funding campaigns and other social media campaigns.

Despite the success stories, there is a dark side to social media that can actually hurt your nonprofit organization.

Let me share a cautionary story involving Ursinus College. It reveals how, when used improperly, social media can embarrass your charity, cause supporters to abandon the organization, and reduce contributions.

Here’s what went horribly wrong:

Got to love a janitor with a ‘Ban Fracking Now’ sticker on his bucket. Barack is clearly reaching his target demographic.”

“Yoga pants? Per my DTW visual survey, only 10 percent of users should be wearing them. The rest need to be in sweats – or actually get dressed.”

“Just saw an Aborigenese in ‘full gear’ talking on an iPhone. What’s next Ben Franklin driving a Tesla?”

“Bruce Jenner [Caitlyn Jenner] got 25 K for speaking engagements. Caitlyn gets $100K. What wage gap?”

Those are just four of the, ahem, colorful tweets posted on Twitter by Michael C. Marcon, an insurance executive and 1986 Ursinus graduate. These tweets, and others from Marcon, might have gone unnoticed except for one thing: When they were posted, Marcon was a member of the Ursinus College board of trustees and, as of July 1, he served as Chairman of that board.

some-failed-tweets-by-irish-typepad-via-flickrRecently, several of Marcon’s tweets were publicized on Facebook by Jordan Ostrum, an Ursinus senior, and later on Odyssey by Haley Brush, an Ursinus English major. She told Philly.com, “The tweets that were sexist made me really uncomfortable…. Comments like that are really inappropriate for someone in his position.”

David Bloom, another member of the Ursinus board, made an even stronger statement about Marcon’s tweets when he resigned in protest. He said, “I read strong evidence of an elitist, racist, sexist, body-shaming, anti-LGBTQ, exclusive-minded and generally intolerant individual.” He also called for Marcon to resign.

Ostrum was the first to publicly raise the issue of contributions when he said, “I pledge to not donate money to the Ursinus College Annual Fund while Michael Marcon remains on the Board of Trustees… If he remains on the board, they are saying yes [to] his behavior. I will say no — with my money.”

Days after the news story broke and Marcon met with administrators, faculty members, and students, he resigned from the board. In a written statement, Marcon said:

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