Are You Reading Your Major Donors Correctly?

Some years ago I had the opportunity to present a major gifts master class where Jay Love, Founder and President of Bloomerang (and a board member and major donor himself) offered his thoughts on major gifts development from the donor’s perspective.

SO important!

The more that you know, the less they’ll say “No!”

The more you know:

  • what floats your donor’s boat,,,
  • what other things compete for your donor’s attention (not just causes, but also career and family)…
  • how your donor prefers to communicate…
  • how your donor prefers to be wooed…
  • how your donor prefers to be recognized…

… the more likely you’ll get a “Yes.”

If you can’t show your major donor prospect you really know them, how can they trust you’ll be a good steward of their passionate philanthropic investment?

We all want to be known before we enter into a major engagement.

Which brings us to the crux of successful major donor development. Not surprisingly, it begins and ends with the same thing.

Can you guess what that might be?

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Shared Cure-Alls: Philanthropy and Placebo Effect

Stuffed animal with heart of lightCan the act of philanthropy make people feel better?

I say “Yes. Absolutely.” Much has been written about the warm glow that comes from giving.

So why not think about fundraising as a caring act, and fundraisers (aka ‘philanthropy facilitators’) as trusted helpers and healers?

Reframing fundraising in this way can be your key to:

(1) committing to major individual donor fundraising (helping people to be the people they’d like to see in the mirror), and

(2) engaging more staff, volunteers and board members in this noble endeavor (so they experience not just the joy of giving, but the joy of helping others give).

It helps to understand the similarities in findings from functional MRI research on both the placebo and philanthropy effects.

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7 Magic Words that Increase Charitable Donations

You’ve still got time to sprinkle a little magic into your year-end fundraising!

Consider each of these seven words a magic potion unto themselves.

  1. You
  2. Because
  3. Thanks
  4. Small
  5. Immediate
  6. Expert
  7. Support

The more of these words you use, the more powerful a spell your appeal will cast.

Each of these packs a bigger persuasive punch than you might imagine.

 

Let’s take a closer look at how this works.

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Major Donor Fundraising: What to Know about New Tax Law

When the new Tax Bill passed, I wrote How Worried Should Your Nonprofit Be? That was back in January, when the impacts of the new law on philanthropic giving may have seemed remote. Now the end of the calendar year is closing in, so it’s worth taking a look at some of the ways you can help your major donors get the biggest bang for their donation.

Keep in mind, of course, the primary reason people give is not to get a tax deduction. It’s to see themselves reflected in a mirror as the person, deep down, they really want to be.

That being said, if you want gifts you must give them.  Help more than you sell.

And one gift you can offer is a little bit of wisdom about ways donors can maximize the impact of their gift and minimize the cost to themselves. Especially when you’re talking to major donors.  Because, for most of them, the impact of the new tax law will truly be icing on their philanthropy cake.

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You Deserve to Rock Nonprofit Email Subject Lines!

Elvis

First impressions matter.

 

Five times as many people read the headline as read the body copy. When you have written your headline, you have spent eighty cents out of your dollar.”

— David Ogilvy, advertising legend

Your email subject line matters. A lot.

So this article is all about learning how to rock your online ‘envelope’ – which is really what determines if your email will get opened.

When you stop to think about this, it makes a lot of sense. Your email subject line has a function! And its form should follow that function.

  • First, it must capture attention.
  • Second, it must convince people to open your message.

People’s inboxes are increasingly cluttered, so you need to stand out. Big time!  Really, you’ve probably got no more than two seconds to make an impression.

Do you think carefully about purpose when you create your email subject line?  Do you even craft it at all, or do you delegate this essential function to someone else, perhaps an assistant or someone in your marketing or digital communications department? Someone who perhaps doesn’t really understand the email’s primary purpose as well as do you?

If you’re like most nonprofit fundraisers and marketers, you likely spend a lot of time crafting the perfect email body copy, selecting images and figuring out just the right design that will entice someone to respond to your call to action.  Then, at the last minute, you’re ready to send it and hastily come up with a subject line.

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Happy Days of Thanks(for)Giving

Thankful for ThanksgivingThis Thursday folks in the United States will celebrate what I consider to be the social benefit sector holiday of the year: Thanksgiving!

Just think about what it means.  Literally, it’s a day for giving thanks for our blessings.

Who do you count among yours?

I know when we go around the table at my family Thanksgiving, saying what we’re grateful for this year, most folks respond with a people-based answer. Sure, they’re happy about the feast in front of them. But they’re most grateful for caring friends. For loving family. For being together and sharing the warmth of good company.

Who are you grateful to at your organization?

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Framing Year-End Philanthropy: Behavioral Science Tweak

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

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 all consumer ‘purchases,’ including charitable giving.

Researchers have found people don’t treat all of their money (or time, effort or other resources) as if they have one big pool of it. Rather, they have separate mental accounts. When they spend resources they keep track of that 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.

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Do One of These 12 Strategies Before Year’s End to Raise More Money

The biggest fundraising time of the year for most nonprofits inexorably approaches.

It can be stressful.

Don’t succumb to the stress. You’ve got this!

Perhaps you can’t do everything you’d like to do this year, but you can do some things.

Here are 12 strategies for you to consider. Each will pack a big punch.

Some you can do on your own. Some will require support from technical and/or marketing staff.

Here’s the thing:  Often it’s the little things that count. That pack a surprising wallop.

So don’t save all your energy for writing your appeal. Help your appeal along by putting some of the dozen suggestions that follow into effect.  Even just one or two will make a difference.

Let’s get started…

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Remember Who We Are: Philanthropy Facilitators

Philanthropy comes from the Greek and means love (philos) of humankind (anthropos).

  • Nonprofits are here to be kind.
  • To repair the world.
  • To make our communities better, more just, more beautiful and more caring places.

This is not easy work.

  • Love is not always readily accepted or given.
  • Inspiring generosity takes time, talent and patience.
  • You will sometimes try and fail.
  • You will sometimes get beaten down

But you know you must keep trying. Because that’s the job of philanthropy facilitators.

Let me add to the definition of “philanthropy.” Robert Payton (the nation’s first full-time Professor of Philanthropic Studies and one of the founders of the Center on Philanthropy at Indiana University) defined it as: “Voluntary action for the public good.” I’ve always loved this definition, because every word is impactful. It’s voluntary (no one is being coerced). It’s action (something is actually being done, whether it’s service or an investment of money) and it’s all directed “for the public good.”

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7 Powerful Ways to Increase Recurring Giving [Benchmark Study]

Recurring giving is essential for organization sustainability and growth.

After all, what’s the point of all your hard work if you get only one donation from someone? That’s a super expensive way to fundraise, and sometimes you won’t even make back your investment. It’s called ‘churn and burn,’ and it’s depressing.

There’s a much better way. I know you’ve heard about it. I’ve written about it here, here and here. It’s called monthly giving. Or recurring giving.

Increasing the number of recurring giving donors is a really big deal! Recurring donors can give over 5 times more to you over their lifetime, as they are more likely to keep giving year after year. In fact, a 2016 study found that monthly recurring donors have a 90% retention rate, compared to the average donor retention rate of 46%.

This is HUGE, and should make you Stop. Dead. In. Your. Tracks. Wondering why on earth you’re not putting many more resources into this clearly winning fundraising strategy!

Yet, for a bunch of reasons, too few nonprofits engage in monthly, recurring giving.

Why?

To explore the reasons, and determine ways to overcome them, NextAfter joined forces with Salesforce.org to conduct a far-reaching study [The Nonprofit Recurring Benchmark Study] They made multiple donations, including a recurring gift to 115 nonprofits, and recorded their experience with each organization. The result was an analysis of the recurring giving process from the donor’s perspective. They found a bunch of areas of friction, plus offered up a slew of action items to help nonprofits improve their results. If you read the study, you’ll not only understand what works/what doesn’t work, but you’ll learn what to do about it.

No time to read the full study? Today I’ve invited one of the study authors, Brady Josephson of NextAfter, to share 7 techniques you can try for yourself to help increase the number of recurring gifts to your organization. 

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