Expert Secrets; 80-20 Rule

3 Nonprofit Secrets to Rock Major Gift Fundraising

Expert Secrets; 80-20 RuleThere’s a treasure trove of knowledge and research around major gift fundraising. What works well.  What doesn’t work at all.  What’s, at best, half-baked.

It’s not rocket science.  But there’s definitely art, and some science, involved.

The gestalt way of thinking about the three secrets boils down to simply being:

(1) SMART,

(2) SYSTEMATIC and

(3) PASSIONATE.

But, I’m pretty pragmatic. So I’d like to give you something more practical.

If I had to pick the top three practical secrets to success, they would be the following:

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Sign: Good News is Coming

How to Raise Money with Nonprofit Newsletters

Sign: Good News is ComingYes, nonprofit newsletters can raise money!

And they should delight, retain and upgrade donors too.

How does this work?

It works by using your newsletter to give credit where it is due.

To your donors!

  1. Great newsletters are the opposite of all about you and your organization.We did this.” “We’re planning to do that.”
  2. Great newsletters sustain the joy donors felt at the moment of giving by confirming for them their decision was a good one.You made this happen.” “Your gift gave a happy ending to this story.”

You see, a charitable gift is not the same as a purchase of a product or service. With the latter, you have something tangible to continue to appreciate (e.g., you use your laptop daily; you continually admire the new paint job on your house). With the former, you’ve got nothing but an initial shot of dopamine … and then a memory. For most donors, this becomes a distant memory.  Because most nonprofits don’t consistently and repeatedly report back. With donors, out of sight truly does mean out of mind.

Use newsletters to show authentic gratitude and demonstrate how the donor’s gift made a difference.

You see, once is not enough.  Research shows for gratitude to be deeply felt it must be repeated. Repeat gratitude and reporting back accomplishes the following:

  • Donor feels good

  • Donor trusts you’re good to your word.

  • Donor feels inclined to give again.

  • Donor retention increases

  • Average gift size increases

  • Your raise a lot more money over time

Be guided by the “virtuous circle.”

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Gala event room

Top Proven Nonprofit Fundraising Event Planning Tips

Gala event room

In my last article I offered a compendium of common sense event planning advice. It centered on the wisdom offered to Alice by the Cheshire Cat when she asked which road she should take:

“Would you tell me, please, which way I ought to go from here?”
“That depends a good deal on where you want to get to,”
said the Cat.
“I don’t much care where–” said Alice.
“Then it doesn’t matter which way you go,” said the Cat.

— Alice in Wonderland

Your direction and goal is important. Once you settle on the goal, then you’re able to pick the best road to take you there.

Hopefully you read the previous article, determined an event was your best strategic option to reach your primary end goal, and now you’re ready to get to work!

What are Some Top Planning Tips to Invite and Ignite?

Do these four things:

1. First you want people to come. 

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3 people with marching orders

3 Ridiculously Easy Strategies to Boost Fundraising by 27%

3 people with marching orders I’m excited to share three easy tips with you, and the results are measurable.  Do these things and you’ll be able to tell if they impact your bottom line!

I was inspired to share these ideas with you based on a 2019 study by NextAfter and Kindful looking at how organizations are cultivating donors via email. They found plenty of data-driven ideas that can improve donor retention and boost online fundraising revenue — by as much as 27%!

Think about how much an increase like that could mean for your organization!

That’s right!

Make way…” for these ridiculously easy, revenue-boosting strategies!

If you raised $100,000 last year, you could raise $127,000 – or more – this year.

And that’s without having to apply for a new grant, hold a new fundraising event or even ask for a new major gift or two to reap these rewards.

All you must do is simply pay a little more attention to your follow-through communication with donors.

Did you know most of the top reasons donors give for not renewing their giving have to do with how you do/don’t communicate with them after they make a donation?– or fail to personally, meaningfully and promptly communicate.

Meaningful, regular donor communication can hugely impact your bottom line.

To make a demonstrable difference in donor behavior, however, your communication strategy must tick more than one box. It must be prompt, personal and relevant to what your donor cares about and how they want to hear from you. Don’t just guess what your donors might like from you. Ask them!  In fact, surveys, social media queries, online quizzes, solicitations for comments and feedback are all wonderful ways to communicate digitally in a manner that personally engages your supporters.

Never forget: The best fundraising is personal.

So… what are you waiting for?

Here are three strategies revealed by the research: 

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Fundraising Do's & Don'ts logo

Fundraising Do’s vs. Don’ts: Monthly Donor Appeal Strategy

Fundraising Do's & Don'ts logoHere comes my occasional “Do’s vs. Don’ts” feature, where I share with you something arriving in my mailbox that seems a good ‘teaching opportunity.’

Today we’re going to review a monthly donor campaign strategy.

It arrived as an email. There’s (1) a subject line, (2) the email itself, and (3) what happens if/when you click through and are transported to the donation landing page.

We’ll take a look at the various elements; then assess what works/doesn’t work.

I’ll ask you some questions.

  1. Would you open this email?
  2. If yes, why?
  3. If no, why?
  4. What looks good about the email?
  5. What looks not so good about the email?
  6. Would it inspire you to click through?
  7. If yes, why?
  8. If no, why not?
  9. Once you click through, would you be inspired to take action?
  10. If yes, why?
  11. If no, why not?

First, I’d like you to think about your answers and jot them down.

Second, I’ll tell you what I think.

Third, if you disagree with me please let me know in the comments below.

Really take the time to notice what you like and don’t like.

I promise you’ll learn a LOT more this way. We learn best by doing.

Seriously, I mean it.

Let’s begin at the beginning.

Subject Headline

Claire, here’s a simple way to do your part to repair the world.

This may help: Take three minutes and jot down your answers to the first three questions on a piece of paper or your screen. I want to know if what was in the subject headline would have caused you to open the email or hit ‘delete.’

Okay.  Ready to learn what I think thus far, and also see what else we’re working with?

Let’s begin!

Does this Email Say “Open Me?”

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Money on Table

How to Stop Leaving Money on the Table

Money on TableMoney left on the table is one of my pet peeves. It’s really beyond a peeve.

I can’t stand it when organizations could be serving more people, or doing so more effectively, but they don’t because they’re too smug (“what we’re doing now works just fine, and don’t try to tell me otherwise”) … self-reportedly “too stressed” … or simply not open to the idea of trying out some new strategies.

This “resting on one’s laurels” modus operandi leads to status quo organizations that fail to evolve to meet the moment. They get stuck in the past and, too often, begin to wither and die. Or they become what I call a “boutique charity” appealing to a niche group of insiders, content with the status quo.

That’s “nice,” but if you’re dedicated to solving pressing societal problems, meeting insistent human needs, and creating transformational personal and societal change, you’ll need to connect with donors on a more direct, visceral level.

How to Stop Leaving Money on Your Table

Your best donors have linkage, interest and ability (LIA). Begin with those already linked to you by virtue of having made a previous donation, been a loyal volunteer, served on your staff or board, or been a repeat purchase of services or products. In other words, they’re hiding in plain sight in your database.

Consider how you might learn more about these folks to better connect with them and make the best use of limited resources. You can do this in one of two ways:

  1. Donor Analytics: Find out how wealthy they are (ability)
  2. Supporter Connection Survey: Find out what they care about most (interest)

It’s funny, but too many nonprofits start with the former and often completely ignore the latter. It’s a way to go (and I confess I’ve been there), but is it the best way? I no longer think so – which is why I’m writing this article.

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3 Nonprofit Secrets to Rock Major Gift Fundraising

There’s a treasure trove of knowledge and research around major gift fundraising. What works well.  What doesn’t work at all.  What’s, at best, half-baked.

It’s not rocket science.  But there’s definitely art, and some science, involved.

The gestalt way of thinking about the three secrets boils down to simply being:

(1) smart,

(2) systematic and

(3) passionate.

But, the devil’s in the details. I’m pretty pragmatic, so I’d like to give you something more practical.

If I had to pick the top three practical secrets to success, they would be the following:

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cigar smoking Groucho

Can You Smoke What’s in Your Major Gift Pipeline

You want a smokin’ major gifts program, don’t you?

Of course you do.  You want to light those babies on fire!

Better put, you want to ignite your donor’s passions, light the fire in their bellies, and help facilitate the type of philanthropy that will be a win/win/win – for you, your donors and the vision your organization seeks to attain.

You can’t do this without;

  • Nurturing a pipeline that lights your donors’ sparks of interest,
  • Fans the flames, and
  • Patiently waits until ignition happens.

Sure, you could just light little fires. Fires that self-extinguish pretty quickly. But these aren’t the fires that will sustain you and keep you warm over the long haul.

That’s why every nonprofit, no matter your size, cause or longevity, needs to build a major gifts pipeline.

Otherwise, you’ll have nothing to smoke!

Want to learn how to stop running on fumes?

Let’s Build Your Major Gifts Pipeline in 10 Steps!

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How Do You Keep Former Nonprofit Board Members Engaged?

Heart hands

Sustain the positive energy of love and connection

Are you throwing your former board members out like yesterday’s trash? You are if you don’t continue to build relationships with them and let them know how special they are.

Every single communication with a former board member should let them know you know who they are. One of the foundations of Penelope Burk’s groundbreaking work in Donor-Centered Fundraising is the finding donors want one thing first and foremost: “Show me that you know me.”

If you treat former board members like they’re toast, don’t be surprised when they start sending you little bread crumbs instead of the whole slice – or loaf – they once sent. People want to be appreciated. It’s just human nature.

Stop blaming board members for stopping loving you. Instead, focus on not stopping to love them!

8 Strategies to Build a Former Board Member Love and Loyalty Strategy

Former board should be one of your top segments for cultivation! They have a deep understanding of your vision, mission and values. For years, they made your nonprofit one of their top philanthropies. They may even have included you in their estate planning!

Former board have numerous connections to your cause; don’t lose them! They may have relationships with staff or even beneficiaries. They also have connections with each other. At one point you were part of their identity and family. You likely have a special place in their heart.

Don’t stop making beautiful music together! Continue to treat them personally, unless they specifically ask you to stop. Don’t simply relegate them to your impersonal e-news mailings or mass annual appeals. Treat them like major donors and develop a love and loyalty strategy that invites them to stay engaged with you, albeit in a new way.

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How to Use Psychology to Pre-Suade Donors to Give

This time of year is what I call “presuasion time.”

Because if you’re thoughtful about it, you can presuade donors to give up to the moment you ask!

That’s what we reviewed in Part 1 of this two-part series, where I described research from Robert Cialdini, author of the seminal Influence: The Psychology of Persuasion, and the newer book, Pre-Suasion: A Revolutionary Way to Influence and Persuadeand discussed how you might apply this research to your fundraising strategies. We learned the importance of leading with a “gift” or “favor” that will incline your donor favorably in your direction. Even the smallest of favors can create significant goodwill, and there are simple ways to boost the likelihood your favor will be returned.

  1. Today we’re first going to look at a way to tweak your language to make a difference.
  2. Then we’ll explore some types of favors donors are likely to value enough to want to reciprocate.

First, a reminder: Every time of year is presuasion time. Everthing you do with supporters should be designed to prime the pump so people are pre-disposed to give to you the next time you ask. Whether that’s next week, the week thereafter, or any week of the year! Whenever you’re not asking, you should be in presuasion mode.

So, let’s get a little psychologically-minded, keeping in mind one of the six core Cialdini principles of Influence and Perusasion: Reciprocity. In brief, human beings often feel obligated to return favors, even if they are unasked for.

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