Sign: Amplify Your Voice

Digital Fundraising Revolution: Annual Benchmarks Study; Trending Behaviors

Sign: Amplify Your VoiceYou’ve no doubt become familiar by now with the term “digital revolution.” It’s something that’s been dawning on us, slowly but surely, over the past few decades, and particularly in the past ten years with the advent of social media. How far has your nonprofit come? Far enough?

It’s hard to believe, but a mere ten years ago so few nonprofits had jumped on the digital bandwagon I began blogging about it. I even wrote monthly for a national social media blog, becoming their guest nonprofit expert. It makes me chuckle now, because use of technology is by no means my sweet spot.  But I was just so troubled by the elephant in the room too few nonprofits were naming.

Today, most nonprofits have a digital strategy. Some are even going so far as to discontinue direct mail entirely. I don’t recommend this; still, it’s testimony to how far we’ve come in a short period.

NOTE: I find abandoning direct mail a bit extreme and precipitous. A classic “leaving money on the table” rookie mistake. Merely substituting an online for an offline channel ignores today’s reality. What’s that? It’s a multichannel world. Sure, it’s more work than in the past. Where you used to just have to communicate in one space, now you must show up in many. Yet there’s good news: layering your strategies can result in richer engagement than before, because you’re meeting folks where they are and reaching people you’d never have before reached. And donors cross channels! The lion’s share of philanthropy still comes from direct mail, but things are evolving. Online giving may be precipitated by offline fundraising strategies. Even if you engage in direct mail, you need to consider the convenience of your prospects and donors. What makes giving easy, convenient and likely for them? Simply sticking to online fundraising may narrow your chances for success. Did you know average email lifespan is 17 seconds vs. direct mail’s average of 17 days?  Also, did you know 31% of offline-only first-time donors are retained for over a year, versus 25% of online-only first-time donors? So you’re going to want to hedge your bets and not just fundraise in one place.

Okay, back to the revolution.

Nothing accelerated the transformation to digital like the past year.

Is your digital adoption of a transformational nature? Has it fundamentally altered how you do business? We’re at a transformation tipping point, and transformation doesn’t move backwards.

Going digital is now an in-your-face proposition that can’t be ignored.

I’m about to share some data with you to demonstrate how online engagement and revenue grew in 2020. But first I want to share some broad perspective strategic thinking on the subject.

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Use Behavioral Science to Positively Frame Year-End Philanthropy

Are you framing your ask as an “annual appeal” or as “we only ask once a year?”

It matters, because people will account for how much they spend on usual annual giving differently than how much they’ll spend for exceptional, one-time occurrences.

A growing body of research in psychology and behavioral economics shows how you frame your ask can have a big difference in your fundraising results. Much of this has to do with how people mentally account for consumer ‘purchases’  — including charitable giving.

Researchers have found people don’t treat their money, time, effort or other resources as if they have one big pool of it. Rather, people have separate mental accounts.

When we spend resources we keep track of each expenditure based on the mental account it came from.

This has significant fundraising implications, so it’s important to delve further into this mental accounting principle. Especially this year, when you can legitimately frame your work as a response to exceptional times.

Leave a commentAnnual Giving

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How to Help Donors Give Astutely Before Year-End

I’ve written about some of the new charitable deduction opportunities included in the Coronavirus Aid, Relief, and Economic Security (CARES) Act signed on March 27, 2020 before. But a recent post shared by Greg Warner of Market Smart — Dr. Russell James’ tips to help donors give wisely before this year ends — plus a recent conversation with a financial advisor, reminded me it’s a very good time to share with you again.

You see, there are several things that will impact donor deductions – THIS YEAR ONLY. It’s good for you to be aware of these as a fundraiser, because making your supporters mindful of these opportunities may lead to them making more, and larger, gifts to your organization.

Of course, you’re not in the business of offering legal, tax or financial advice.  And it’s easier to tell yourself donors’ own advisors will likely tell them about these new provisions. And that “this isn’t really your responsibility.” Yet…

Not all of your donors have their own accountants or financial advisors.

And not all tax advisors are up to snuff, especially when it comes to charitable deductions. Do you want to risk not receiving generous gifts you could have otherwise received, just because you’re too lazy to share this useful information?

The Genuine Job of the Philanthropy Facilitator

Sorry about using that “L” word, but too many fundraisers (IMHO) don’t 100% understand their job as a philanthropy facilitator. Do you?

Your job is to do everything within your power to make giving easy, joyful and meaningful for your supporters. Everything. Doing everything means

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Last-Minute Strategies to Boost Year-End Fundraising

Do you have that year-end feeling? You know, the one many fundraisers get around this time of year?

Kind of frenetic? Anxious? Stressed?

You’re not alone.

The average nonprofit receives 30% of all donations in December. And 12% arrive in the last three days of the year!  So, yeah, it’s really busy.  And a lot is on the line.

I was talking with one of my clients, who apologized for acting so frantic and rushed.  She said:

“Do you remember having that feeling? Did you get it when you used to work in the trenches? That worry that maybe you won’t hit your numbers? That people won’t give as much as they gave last year? That some of your major donors won’t renew. That maybe you’re not sending enough emails? That you’ll wake up on January 1st and be in BIG trouble?”

Oh, yeah. That feeling…

Of course I’ve felt it!  But over the years I’ve learned a few tricks to help overcome that feeling.

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Clairity Click-it: Bounty of Free Nonprofit Resources for Year-End

Friday is Veteran’s Day in the U.S., so let’s give gratitude to all those who served and serve so that others will have better lives.

That counts you in too (Big time IMHO) – so here are links to articles you may find helpful whether you’re a veteran fundraiser/nonprofit marketer or a newbie. I’m emphasizing strategies to help you with this critical year-end time of year, when folks do their most significant giving.

Plus, as usual, you’ll find plenty of free resources – downloadable templates, webinars, cheat sheets, and more.

Thanks for doing the important work that you do. It gives me great comfort in these turbulent times to know you are there. Helping. Listening. Opening yourself to understanding. Holding people accountable. Restoring faith. Extending kindness. Kicking butt when you have to. Being the very best you can be, and the best of what humankind has to offer.

Leave a commentannual appeal, Clairity Click-it, major gifts, marketing, Retention, social media

Clairity Click-it Long Week-End: Bounty of Free Nonprofit Resources

Welcome back from summer – at least for my North of the Equator friends.  I hope you had the opportunity to read through some of the resources I offered up in my Summer Click-it Extravaganza.  If not, there’s still time over this long week-end.

Now it’s time to get serious about end-of-calendar-year fundraising.  It’s when folks are most generous, and you don’t want to miss out.  So while I’ve continued to offer links to articles and resources aligned with my top “Dive the Five” fundraising fundamentals for 2016, and beyond, I’ve also included practical, basic stuff that falls a bit outside these categories.  It’s all good stuff and, as usual, plenty of free resources too.

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Not Your Usual Year-End Nonprofit Donation Issues

Not_Your_Usual_Year-End_Donation_IssuesI doubt you’re worrying your pretty little heads about this stuff, but you should be.

Because year-end giving is simply too fraught with angst — and it needn’t be that way!

Giving to your nonprofit should be a joyful experience for your donors – before, during and after the transaction.

Not an anxious period of wondering whether their credit card transaction is secure, whether their gift went into a black hole or whether you’ll use it as they intended.

And guess what else?

Receiving donations should be a joyous occasion for you too.

Not an unmitigated nightmare of receiving credit card numbers that don’t work, worrying about how already busy staff can possibly process all your year-end donations and, for that matter, do so in a timely, professional and personal manner.

So give yourself and your donors a break.

How to do this? 

Leave a commentAnnual Giving

Clairity Click-it: Year-End Tips; Marketing; Social Media; Holiday Gifts

Today I’ve got an eclectic mix for you from both fundraising and marketing blogs. Everything is applicable to nonprofits, and lots of the advice is stuff you can use right away to increase your fundraising success. Then there’s stuff to help you plan for even greater success next year. Woohoo! Let’s begin with the stuff you need the most now… Oh, and did I mention there are presents at the end?

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Clairity Click-it: Special Announcement! Plus Content Marketing; Social Media; Year-End Fundraising & Weekly Gift

First a Clairity Click-it announcement: I’m deeply honored, humbled and proud that I made the Top 100, and Maximize Social Business (for whom I write a monthly column on social media for nonprofits) made the Top 50, of the Top Content Marketing Influencers on . If you’re not familiar with Maximize Social Business and its founder,…

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Labor Day Week-end Clairity Click-it: Planning/Calendaring, Development Director Mistakes, Time Management, Writing, Psychology, Gratitude

First, some words:

  1. Time to say thank you for your labors.  And thank you for reading Clairification. Your work inspires me and truly creates a more caring community and better, more humane world. Your readership makes my days, months and year. Truly, I appreciate you. Please… rest, reflect and recharge this week-end. You deserve it!
  2.  Last chance to get your highest ROI fundraising management tool (see below). Yes, I’m charging a bit. But not too much (especially given the fact my prodigal son has returned and is eating me out of house and  home!), and way less than what you’ll get out of it. I promise. Guaranteed.

Now… on to this week’s great links…

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How to Take Charge of Your Fundraising Events so they’re Worth the Effort: Converting Attendees into Ongoing Donors

Before you hold your next fundraising event, ask yourself one simple question: WHY?

Take a minute, right now, to jot down all the things you’d like to happen by virtue of you having held your event.

I’ll wait.

Seriously, do it. Jot.

I’m waiting.

Okay, there are a few of you who don’t yet have pencils and paper in front of you. Yes, I can see you.  Remember ‘Miss Nancy’ from Romper Room? [I know; I’m dating myself on this one].

Now, let me guess what you’re writing (and/or thinking).

Leave a commentAnnual Giving

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Brand Spanking New: The changing meaning of ‘mark’ in marketing, ‘relationship’ in CRM and ‘social’ in branding and business

Branding used to connote something done with a hot iron to mark ownership of a steer.  If there was a relationship quality to this it was only in the fact of being an owner of the thing possessed. It was certainly not about building a relationship, or any important social bonds, with your livestock. In…

12 CommentsContent Marketing

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The Meaning of Philanthropy, Not Fundraising – Part 1

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Get on the Pathway to Passionate Philanthropy, Not Forgettable Fundraising

 

Philanthropy is a mindset. An embracing culture. A noble value.

Fundraising is a means towards that end. Servant to philanthropy.

Philanthropy, not fundraising.

This has been the tagline for my business and blog since I began Clairification in 2011. It grew naturally out of my experiences working as a frontline development director for 30 years. I’ve always insisted that no single person could possibly receive credit for a donation.  “Donors don’t give because of development staff,” I’d tell program staff.  “They give because of the great work you do!”

Sustainable fundraising takes a village.

In fact, in my practice I went so far as to develop a point system for major gifts moves management (you can learn about it here) that ascribed many more points for a donor meeting with a program director than one with a development staffer.  I wanted to show program staff how much they counted!

Everyone counts.

This is exactly the premise of the groudbreaking report commissioned in 2016 by the Evelyn & Walter Haas, Jr. Fund, “Beyond Fundraising: What Does it Mean to Build a Culture of Philanthropy?.” It was one of three reports centering on confronting chronic fundraising challenges, and showcased the paramount importance of building an organization-wide philanthropy culture as a paradigm for the 21st century. When the report came out, here’s what I said:

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Rodin's The Thinker

Want to Recharge Your Personal and Nonprofit’s Life? Borrow Wisdom.

 

Today I want to pique your interest in taking some time to reflect and truly consider what you’re doing and how you do it.

It’s easy to get stuck, literally and figuratively.

Stuck at your desk. Stuck doing what you’ve always done. Stuck in patterns without considering whether they still makes sense.  Stuck using ingrained habits and skills that once worked, but don’t work so well anymore. Stuck working in places that drain your energy. Stuck working for causes that don’t ignite your passions.

How do you break out?

Sometimes I look to thinkers from other disciplines to help me think outside the box. To pull me away from the routine. The ‘just going along to get along.’ The following, rather than leading. The ordinary, rather than extraordinary.

Leave a commentStrategy & Management

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Are You Leading Your Nonprofit Backwards?

More than ever before nonprofit leaders must lead from vision, not mission.

Why?  The world is moving really, really fast.  Blame it on the digital revolution if you wish.  But why waste time laying blame?  It is what it is.  Instead, get into the 21st century. Now.

The present (what you’re doing) is nothing more than a springboard to the future.

Never lose sight of the change you’re endeavoring to bring about. That’s what folks want to invest in. Positive, transformative change.

Nonprofits have tended to forget their visions in order to justify continued existence.

Sometimes founders and other leaders become too wedded to the status quo.  They can’t let their babies grow up. This is wrong. Nonprofits are founded to meet needs and resolve problems.  Needs change.  Problems get resolved (or they should).  Nonprofits should strive to go out of business, or

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3 Content, Online and Social Media Venues for Every Nonprofit

Nonprofit fundraising and marketing is very different today than when I began. Yet not every nonprofit I encounter seems to have received the message.

That’s why I’m writing.  Because the road to success has changed more in the past five years than the preceding 50.

Why?

It’s been called a “digital revolution,” a “disruptive” force and the “end of business as usual.”

“Outbound marketing” has been proclaimed dead, making way for “inbound marketing.”

The world is networked digitally in a way that was, until recently, unimaginable to most of us.

So… what does this mean for nonprofits? Especially for small to medium-sized nonprofits who don’t have staff with titles like “Online Fundraising Coordinator,” “Digital Communications Associate,” “Social Media Specialist” or “Digital Philanthropy Manager.”

How can you compete to raise awareness and support among your likely constituents?

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Donate Online

Why Aren’t You Doing More Online Fundraising?

You really must! Because the world in which we fundraise is changing rapidly.

Keeping up is challenging.

Yet that’s not a good reason to pretend that time has stopped. I’m not suggesting you neglect the tried-and-true fundamentals, of course (direct mail, telephone, events, face-to-face).

You need them! And they still work. But you’ve got to leverage them with today’s tools, within the context of today’s marketplace.

This is your time. This is our time. But, these times are different and what comes next is difficult to grasp. How people communicate. How people learn and share. How people make decisions. Everything is different now. Think about this…you’re reading this article because it was sent to you via email. Yet more people spend their online time in social networks than they do in email…Technologies such as social, mobile, virtual, augmented, et al compel us adapt our story and value proposition and extend our reach to be part of communities we don’t realize exist.

The people who will keep you in business or running tomorrow are the very people you’re not reaching today. Before you continue to read on, allow me to clarify my point of view. My inspiration for writing this is to help you augment, not necessarily replace, the programs you’re running today. We must still reach those whom matter to us in the ways they prefer to be engaged. .

— Brian Solis, The End of Business as Usual

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The Meaning of Philanthropy, Not Fundraising – Part 1

Philanthropy is a mindset. An embracing culture. A noble value.

Fundraising is a means towards that end. Servant to philanthropy.

Philanthropy, not fundraising.

This has been the tagline for my business and blog since I began Clairification in 2011. It grew naturally out of my experiences working as a frontline development director for 30 years. I’ve always insisted that no single person could possibly receive credit for a donation.  “Donors don’t give because of development staff,” I’d tell program staff.  “They give because of the great work you do!”

8 CommentsCulture & Values

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Are You Leading Your Nonprofit Backwards? How to Change

Philanthropy, Not Fundraising

More than ever before nonprofit leaders must lead from vision, not mission.  Why?  The world is moving really, really fast.  Blame it on the digital revolution if you wish.  But why waste time laying blame?  It is what it is.  Instead, get into the 21st century. Now.

The present (what you’re doing) is nothing more than a springboard to the future (the change you’re endeavoring to bring about). That’s what folks want to invest in. Positive change.

Nonprofits have tended to forget their visions in order to justify continued existence.  Sometimes founders and other leaders become too wedded to the status quo.  They can’t let their babies grow up. 

5 CommentsStrategy & Management

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For Whom the Bell Tolls: Major Gifts Officers Will Lose Their Jobs in 2 Years

Unless… they reinvent themselves.

I know this sounds harsh. But check out Seth Godin’s Tried and false where he bluntly tells the truth about the tried and true: “In times of change… most of the tried is in fact, false. False because what used to work, doesn’t, at least not any longer.”

You may have been the best major gift officer on the planet five years ago.  But that was then. This is now. The buying/giving market has fundamentally changed. And, yes, the culprit is the digital revolution. That’s how revolutions work. It’s truly the end of business as usual.

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6 Things Matchmakers Can Teach Fundraisers in an Era of Digital Darwinism

Philanthropy; Not Fundraising

In many ways, what’s new is old and what’s old is new.  I read a lot of Brian Solis who speaks persuasively about The End of Business as Usual in an era where technology is advancing more rapidly than our ability to adapt. Yet we must adapt, or die. How do we do this, and what does this mean for fundraisers? I found food for thought in Solis’ recent article, The 9 Laws of Affinity in an Era of Digital Darwinism.

Rapid change can be dizzying. Ground yourself by remembering that though technology has changed, people have not. We have the same drives… needs… yearnings as prehistoric tribes.  It’s not just about survival. Darwin wrote about survival of the most empathic. We long for connection and meaning. In other words, it’s not just about the “fittest” but about the “fitting.”  Philanthropy provides that “fit opportunity” in spades (or, more aptly, in hearts).

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To Sell is Human; To Give, Divine – Why We’re All in Fundraising Now

Philanthropy; Not Fundraising

I recently attended an inspiring talk by Daniel Pink, author of To Sell Is Human, and found myself furiously taking notes.  Next thing you know I was impulsively buying the book (autographed, of course)! Do I have buyer’s remorse? Absolutely not. Zero. Zilch. Nada. Everything he has to say is so directly applicable to fundraising and the nonprofit sector that [IMHO] it’s a ‘must read’ for those of us in the philanthropy business. Here’s why:

We erroneously think “selling” is bad.   In fact, it’s probably even more of a taboo word in nonprofits than the word “fundraising.” People just don’t like it. Pink did an experiment where he asked people to give him the first word that came to their minds when they thought of “sales/selling.”  They answered with such words as:

14 CommentsCulture & Values

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The Winter of our DisCONTENT: Why, even with a content plan, marketing feels so cold to much of our audience

We’re leaving too much of our audience cold, despite the fact that we now have content plans. Brian Solis of the Altimeter Group  bloggedon a new report released by his colleague, Rebecca Lieb, “Content: The New Marketing Equation Why Organizations Must Rebalance.” A principle take-away is that, while we’ve been conscious about creating what…

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6 Strategies to Convey Your Most Emotional Fundraising Appeal Story

2020-10-11 14.40.58People are wired for stories.

We use them to understand our world.

But do the same stories work in any time? For any person? No.

You need to understand your SMIT story – ‘Single Most Important Thing’ – at this moment in time.

And that SMIT will change, depending on the environment in which you’re operating.

You need to know your audience. Today. The story you told last year may not work as well this year. And here is why:

(1). The story must be relevant to the donor – which will depend on what is top of mind for them (hint: pay attention to the news).

(2). The need to give the story a happy ending must feel urgent (hint: pay attention to the news).

Whatever your mission, relevancy and urgency are the key to emotional appeals.

Leave a commentAnnual Giving

Hands giving and receiving gift

Are the Rich Motivated to Give Differently?

Hands giving and receiving giftNot as much as you might think.

Yet people tell me all the time how much they’re afraid to ask wealthy people for major gifts. If you share those fears, it’s time for a little “Charity Clairity:”

Contrary to what your gut may be telling you, NOT asking is not making would-be donors feel good. Quite the opposite, in fact.

In this article, I’ll let you in on:

Three major donor truths. And I’ll cover why (1) you must stop short-changing your would-be major donors by not offering them opportunities to be the change they want to see in the world, and (2) you must stop robbing would-be major donors of chances to feel good about themselves.

Six major donor triggers. We’ll explore how you can make donors feel so good they’ll want to say “yes” — and passionately — to your solicitation.

Bottom line: When you don’t make donors feel good, they’ll go elsewhere.

The Rich Are Just Like You and Me 

F. Scott Fitzgerald is famously supposed to have told Ernest Hemingway “the rich are different than you and I.” “Yes, Scott,” Hemingway supposedly retorted. “They have more money.”

It’s good to remember major donors are, first and foremost, just people.

They may have more money, yet many of them actually don’t even feel “wealthy” (just as often so-called seniors don’t feel “old.”)  In fact, a survey of 4,000 investors by UBS found that 70% of people with investible assets of $1 million or more do NOT consider themselves “wealthy.”

What most donors share (no matter their net worth) is

Leave a commentMajor & Legacy Gifts

Food bank giving

The True Meaning of Giving Tuesday

Food bank givingThis year Giving Tuesday is November 28th. So, soon.

If you’ve not done so already, now is a good time to think about whether or not you want to jump on the bandwagon and, if so, how. There is more than one way to slice this particular piece of pie. And, really, that’s what Giving Tuesday is – just one piece of your total annual fundraising strategy.

You don’t want to blow it out of proportion. But you probably don’t want to ignore it. Rather, plan ahead to put it into a context where it will complement your other year-end communications and fundraising strategies.

Let’s take a closer look.

What is Giving Tuesday?

I confess I’ve been a bit of an apologist for the “holiday.” I like to turn the tables by actually giving to donors, rather than asking them to give yet one more time during this busiest fundraising time of the year.

Plus, I often say if you want gifts, you must give them. What better time to do so than on giving Tuesday?

Of course, asking can also be a form of giving. So, I love appeals on this date that give people the option of giving money or supporting you in other ways (e.g., volunteering; in-kind donating; advocating, etc.).

It’s all philanthropy (aka “love of humanity”).

Key: Approach GT Strategy with a Giving Spirit

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Three San Francisco Hearts. Doggy Days. California Street Captive. Benefit for S.F. General Hospital Foundation.

Plan ‘Random(ish) Acts’ of Nonprofit Donor Kindness, Especially Now

Three San Francisco Hearts. Doggy Days. California Street Captive. Benefit for S.F. General Hospital Foundation.

Getting in the spirit of acts of kindness

It’s been a rough decade thus far, beginning with a pandemic out there killing people. And then the hurricanes, fires, floods and earthquakes killing people. Not to mention the genocides, autocracies, global and domestic terrorists killing people. The list, unfortunately, goes inexorably on.

What can your nonprofit organization do to offer a remedy?

Kill ‘ em with kindness.

I’m talking about your supporters, of course.

In order for people to do good they have to feel good.

Seriously, philanthropy takes energy. It takes the ability to step out of one’s day-to-day grind and think about someone, or something, else. And it’s more difficult than usual for folks to find this generous space right now.

You can help.

Make this the true giving season.

I often say “If you want gifts you must give them.”

Maya Angelou says “People will forget what you said, people will forget what you did, but people will never forget how you made them feel.

Let’s talk about what you can give – as nonprofit staff and board members — to create happier supporters.

Notice a lot of folks saying “This has been a bad year?” People can use a bit of cheer.  They’re tired of doom and gloom.

Remember when “random acts of kindness” was a thing? People would buy a coffee for the person behind them in line. Or they’d pay the bridge toll for the next car. Their reward was simply imagining the unexpected delight their gift would give to someone that day. Ever have it happen to you?  Ever try it?

Now’s your chance!

I’d like to suggest practicing some creative planned (seemingly random, but not really) acts of kindness.

Something to bring your donors and volunteers a bit of good cheer. It can be as simple as letting them know what they did to change someone’s life for the better. Or it can be a modest, human gesture showing them how grateful you are for their support. This is something you can have fun with.  And the rewards will be huge, both for you and your donors.

10 Acts of Donor Kindness For Today, and Beyond

Leave a commentDonor Retention

Three-San-Francisco-Hearts.-DOdici-Such-Great-Heights-I-Such-Great-Heights-II Benefit for S.F. General Hospital Foundation

How to Use the Multiplier Effect to Inspire Annual Giving

Three-San-Francisco-Hearts.-DOdici-Such-Great-Heights-I-Such-Great-Heights-II Benefit for S.F. General Hospital FoundationRemember learning your multiplication tables? The concept is powerful for fundraising!

People love to S-T-R-E-T-C-H their dollars.

This is the basic psychology underlying “BOGO” (Buy One; Get One free) and “2 for the price of 1” sales.  For a variety of reasons, we’re crazy about getting a good deal!

If I get more for my money, that’s smart.

It’s frugal to find ways to leverage our family’s spending.

I like to use my money in the most effective way I can.

It’s easy to apply these desires – to be smart, frugal and effective — to the creation of compelling fundraising offers.

All you have to do is go back to third grade!

2 X 1 = Twice as much!

Why not put that education to use in order to create your most compelling fundraising appeal? An offer your donors will have trouble refusing!

When you show your donors how you can leverage their donation to accomplish more than they even imagined, you greatly increase the likelihood they will respond to your call to action.

Let’s take a look at the best ways to accomplish this objective.

2 CommentsAnnual Giving

Three San Francisco Hearts: Butterflight. Waves of Love. Lady in the Dragon.

7 Top Insights Nonprofits Can Borrow from Management Guru Peter Drucker

Three San Francisco Hearts: Butterflight. Waves of Love. Lady in the Dragon.If you’ve never read management and marketing guru Peter Drucker, you must. I fell in love with him early on in my nonprofit career, and still regularly draw upon his wisdom. It hasn’t aged; he was ahead of his time, and remains a worthy sage for ours.

1. Goals

Perhaps the most important thing I learned from Drucker was you must begin with the “why” question. What is your purpose?

“It is defined by the want the customer satisfies when she buys a product or service.”

You want to think about your purpose both broadly and narrowly. But not so broadly as to only be talking about your category. The fact you’re a human services agency, school, arts organization or environmental charity does not answer the question: “What would happen if you ceased to exist?”

Most founders do not wake up one day with the epiphany “I want to start a nonprofit.” They have more explicit goals related to solving specific problems. “I want to provide homeless people with access to showers.” “I want to offer equine therapy to kids with disabilities.” “I want to find a cure for this degenerative disease my kid has.” And so on.

If a customer has no soap to buy, they can’t get clean. If a homeless person has no shower or toilet available, they can’t get clean. Whether the business is for- or non-profit, the sought-after impact is cleanliness – and all the ways being clean makes people feel, think and behave. Goals that answer the “why” question are focused on impact. People don’t buy what you do; they buy why you do it.

Know your existential why — the meaningful impact you want to make — in order to build a plan to reach that goal.

TAKE-AWAY #1:

A goal worth meeting is one other people share. Find out:

Leave a commentStrategy & Management

Why Donor Wooing Requires WOWing

Woman checking out at cashier

The Unfair Exchange Bernadette Jiwa, The Story of Telling.

“That will be eight dollars,’ the woman, who is carefully weighing and wrapping two serves of freshly made fettuccine for us to take home, says.

As my husband is about to hand her the cash, she takes another handful of the pasta from behind the glass and adds it to our package.

She doesn’t announce that she’s giving us twenty per cent extra for free.
She doesn’t even invite us to notice the gesture at all.
It’s enough for her that she knows she has added value.

We think of value as a hard metric—the anticipated fair exchange of this for that.

But value can be a surprising, generous, unfair exchange.

Something that is given because we can, not because we must.“

Ah… value.

Wow, wow, WOW!

This is what all fundraising, fundamentally, is about.

A value-for-value exchange.

Yet one side of the exchange is a hard metric: The donor’s cold, hard cash.

While the other side of the exchange is something decidedly less tangible: Freely given gratitude from you and your organization.

Or at least that’s how it should work.

The Difference between ‘We Must’ and ‘We Can’ 

What does your donor love and loyalty plan look like?

Do you even have such a plan?

If the only reason you acknowledge donations is because you feel you ‘must,’ it’s likely your donors aren’t walking away from the encounter feeling much more than matter-of-fact. The transactional receipts many organizations send out are registered by the donors as “Ho, hum. Guess I’ll go file this with my tax receipts.”

This kind of exchange is fair, sure.

But it’s not generous.

WHAT ELSE DO YOU HAVE TO GIVE?

Leave a commentDonor Retention

Man running with money

Giving Tuesday: Don’t Take the Money and Run

Man running with money

The absolute worst thing you can do the day after Giving Tuesday is nothing.

As tempting as it is to let out a sigh of relief that it’s over, resist that temptation.

It’s not time to relax yet.

Nothing comes of nothing.

And a huge part of your goal with Giving Tuesday should be to strengthen your bonds with donors.

That’s the real something you’re after.

It’s not just about the money you raise today.

Your goal with any fundraising strategy is to retain and, ultimately, upgrade these transactional donors. The name of the game in the business of sustainable fundraising is lifetime donor value. [Here’s a great book on the topic: Building Donor Loyalty: The Fundraiser’s Guide to Increasing Lifetime Value.]

Run towards, not away.

Treat Giving Tuesday as a Special Event

Like it or not, Giving Tuesday is a ‘special event.’ With all the pre-planning and post event strategies events embrace. And I don’t really like it, which is why I recommend #GratitudeTuesday as an alternative.If you’re on board with a traditional #GT strategy however, you’ll likely put a fair amount of planning, resources and time into this event. This involves the attention of more than one staffer and/or volunteer. And it sucks time away from almost everything else in the week(s) leading up to it.

It can be a real drain.

Your job is to put a stopper in that drain so all your hard work doesn’t simply swirl down the drain and disappear. Would you work super hard to create a delicious soup you simmer over the stove for hours, maybe even days, and then take one little taste before you pour it out and start all over again with a new one? Endless work. And no one really gets to enjoy the meal.

Leave a commentAnnual Giving

Just as there's a first kiss, there's a first time for everything for your nonprofit.

How to Persuade New Donors to Join Your Nonprofit Mission

Children holding hands

There’s a first time for everything, if you will it

 

What makes us think a perfect stranger, who’s never given to our organization before, will choose to do so?  It’s highly counter intuitive.

People are most likely to continue doing what they’ve done before.
Commitment and consistency is one of Robert Cialdini’s six principles of influence, and it’s useful in nonprofit marketing and fundraising. But only if you’ve got existing donors.
We talk a lot in fundraising professional circles about the folly of concentrating too many resources on donor acquisition and too little on donor retention. And for good reason. It’s significantly easier and more cost-effective to keep a current donor than to recruit a new one. Why?
It’s appreciably more difficult to get people to reach a new decision than to repeat an old one.
In fact, whenever I coach volunteers to do fundraising, I always suggest they remind current donors how many years they’ve already been giving to the organization.  This acts as a decision-making shortcut for these folks. Aha! They already decided this was a good idea.  No need to sweat it out again.  Done!
But… what if you’re a start-up organization that doesn’t have many donors?
What if your only choice is to go after first-time donors? How do you make a ‘sale’ if people are making a decision from scratch, with no previous history with you or knowledge about your vision, mission and values?
Leave a commentAnnual Giving

Love letters

What’s Going On? What Can We Do?

Love lettersI had a fundraising post all ready to launch today, but I just couldn’t do it.

The world seems wildly out of whack right now.  I can’t pretend it’s business as usual.

I try to stay away from “politics,” because I know that’s not why you read my blog. However, we live in a political world. And so do our nonprofits, our staff, our volunteers, our donors and our clients. Simply put, politics is about making agreements between people so that they can live together in groups.

Nonprofits cannot seal themselves off in little bubbles, pretending what’s happening in the rest of the world doesn’t exist.

That’s why, during the pandemic, I encouraged you to talk about how events touch those who rely on you. It’s why, all the time, I encourage you to relate your work to what’s in the news and top of mind to donors. Be it hurricanes, fires, famine, drought, social unrest, war, civil liberties, mass shootings, homophobia, racism, sexism, bigotry, or anything else horrifying to body, mind, heart and soul.

If it’s something you’re thinking about, you can bet it’s something your constituents are thinking about.

If you don’t address it, you risk coming across as unimportant, blind, shallow or out of touch. Being relevant, and meaningful, means getting inside your supporters’ heads and knowing what’s important to them. What are they thinking? How are they feeling? In what way do the emotions they’re currently experiencing interact with your mission? How can they help you, and you help them?

I don’t know how you’ve been feeling, but many folks I’ve been talking to have mentioned anger, outrage and fear. Even those who are happy about one or two things are deeply concerned about other developments. And this holds true for both sides. Listen to Fox News, then listen to MSNBC.  You’ll hear equal doses of horror. The pendulum has been swinging wildly, back and forth, and the world seems madly out of whack.

What can the social benefit sector do to bring things back into balance?

I keep coming back to the Golden Rule. What if none of us ever did anything to anyone else we didn’t want them to do unto us? What if we only treated others as we would want to be treated? It seems so simple. So logical. So in everyone’s best interest.

What is it about the human animal that leads the same people who don’t want government to impose mask or vaccine mandates on them wanting to impose no abortion mandates on others? Or, from the other perspective, those who don’t want government telling them they can’t smoke pot wanting to tell others they can’t carry guns? All of this “I can impose, but you can’t” is nonsense from the perspective of “do unto others.” Yet, we persist.

The only way to make sense of these things is through an understanding of balance. We must strive toward philanthropy (translated as “love of humanity”).

Leave a commentCulture & Values

Proven 1-2-3 to Nonprofit Fundraising Success

L O V E Sign behind a fenceUnderlying this 1-2-3 formula is a need for balance.

It’s obvious. I know you know it. But… do you do it?

I’m here today, just in case you need a little reminder.

  1. The first step is essential for success in anything.
  2. The second step is essential for success in any consumer-facing business.
  3. The third step is essential for success in reaching a fundraising goal.

When the world seems wildly out of balance, it is incumbent on us to begin with centering actions: for ourselves, others, and our mission.

Balancing Trick: You. Donor. Nonprofit.

I’m talking about balancing self-love with donor-love with mission-love.

You can’t help others unless you first take care of yourself.

This is a truism you should carry with you throughout your life, and not just when the oxygen masks come down on an airplane. It’s never been truer than in the times in which we’re currently living, when there are new things about which to worry seemingly daily.

How do you lead the way forward, helping yourself and others navigate through the tough times?

I’d like to suggest you heed this 3-Step Formula to nonprofit fundraising success.

Leave a commentStrategy & Management

Giant gummy bear

The Giant Mid-Level Fundraising Opportunity Your Nonprofit’s Missing

Giant gummy bear escaping from smaller gummies

Bet you’ve got some giants hiding in your midst.

Nonprofits pay a lot of attention to donor acquisition. Then?

They largely ignore these donors, unless…

They become worthy of attention by virtue of being ‘major’ donors. Then?

Nonprofits pay a lot of attention to major donor relationship building. But…

Between new donor acquisition and major donor cultivation, solicitation and stewardship, what happens?

Usually not enough.

This is a BIG missed opportunity.

You’ve likely got great donor prospects hiding inside your own donor base, and you’re essentially treating them like, well, poop.

What if you were to begin to look at your mid-level donors as the transformational fundraising opportunity they are?

Leave a commentMajor & Legacy Gifts