Individual donors

Shake off that gala hangover and get back to work!

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If you’re on the staff or board of one of the 27,000 nonprofits in New York City, chances are good that you’re either having a gala this spring or planning one for the fall.  My condolences.

DISCLAIMER: If you’re just getting to know me, then you just found out that I consider event planning an occupational hazard. Whether it’s a wedding (there were 200 people at mine), a sweet sixteen (over 100 at my daughter’s), or a fundraising event (been to five in the past month), events are steeped in details that just drive me bananas.  No, I don’t care about the decor, the menu, centerpieces, or the runners on the tables.  Just tell me when to show up, what to wear, and what time I can go home.

But alas, galas are ubiquitous and very, very necessary for the bottom line of many organizations.

I heard a wise board member once say “I want our gala to be a social success and a financial success.” Sadly, I’ve also seen development officers, CEOs and event planners apologize for anemic fundraising results by calling the event a “friendraiser” and promising donations yet to come through “follow up” and “ongoing cultivation.”  It’s true that event follow up is an excellent the opportunity to cross-sell and/or upgrade gala donors, but in far too many cases it doesn’t happen. Here are some tips on how to make sure it does:

  1. Thank them immediately.  Process and formally acknowledge your gala gifts within three days of the event. Informally thank donors again on their social media pages – for example, tag them in the pictures you post on your social media sites.
  2. Prospect your list of attendees.  Take a good look at who was in the room, and conduct research/wealth profiles to find out their giving capacity and philanthropic values.  In other words, look for the big fish.
  3. Go on a cultivation tour. Any attendee who made a major gift to the gala should have the opportunity to meet with the CEO or a key board member.  This is an opportunity to start building a relationship with the donor by asking them questions about their giving aspirations.
  4. Stay connected.  Every organization should have a standard for how many touch points should be made with donors that DO NOT include an ask. Add them to your email list and “friend/follow” them on social media so they can stay up to date with the work of the organization in a non-intrusive way.
  5. Don’t let them forget.  Six months after the gala hangover has worn off, make sure to remind them what a good time they had and rekindle the good feelings and spirit of generosity that made your gala so special.  Post a photo/or video with a programmatic highlight to remind them of the work that their gift made possible. And make sure you tag them in the photo, so all of their friends know what a boss philanthropist they are.
  6. Look for deeper engagement. Through your ongoing stewardship efforts, you should have identified donors who are ready to step it up a notch.  Ask them to volunteer on your event committee, provide more names to add to your invitation list, join the inner circle of the annual fund campaign, or directly support specific programs or initiatives of the organization.
  7. Start planning next year’s gala. A gala is a non-stop, year round extravaganza. So get out of bed, nix that comp day and get started. Next year’s gala starts today!

If you’re connected to one of the 27,000 nonprofits  in New York City and you need help in maximizing on your gala fundraising, I strongly recommend and endorse Stetwin Consulting for your event planning needs. Having worked with them on several events in the past, I can attest that they go above and beyond the event planning minutiae and focus on fundraising results.  Happy fundraising!

Three Questions to Ask a Prospective Donor

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People talk too much.  Especially fundraisers.

Fundraisers spend way too much time spouting their elevator pitch, talking about their needs, making “asks” from the podium at the gala, regurgitating the major goals of the organization’s strategic plan. Blah blah blah blah blah.

Here’s a little secret: most donors don’t care much about any of that stuff.  What do they care about?  If you really want to know, why not just ask?

No one wants to go on a date with someone who only talks about him/herself. I do this, I did that. I want this, I need that. Blah blah blah blah blah.

Stop having me-me-meetings with potential donors and instead, try asking these three questions:

  • The Success Question: “What do you want to achieve?”
  • The Frustration Question: “What do you want to avoid?”
  • The “Right-Charity” Question: “What helps you decide which charities to support?”

Ask these and other open-ended questions and you’ll find yourself in a conversation that’s (surprise!) about them, and not you. In this way, you’ll learn what’s important to them and what they’re looking for.  You’ll start to figure out if they’re the right fit for you and if so, what kind of time and effort it will take to convert them to a donor.  You may even learn things that will help you in your cultivation of other donors.

So the next time you find yourself in front of a prospective donor, shut up! Unless you’re asking a question.

For more tips on establishing donor trust, visit the resource library on the Bristol Strategy Group website.

Giving Circles: My Giving Tuesday Gift To You

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Dear Charitable-Minded Person:

Before you go too far into your diatribe about how, someday, you’re going to join Warren Buffett, Bill Gates, and Mark Zuckerberg among the world’s great philanthropists, I have to ask you, no BEG you: PLEASE for the love of mercy, DO NOT START A FAMILY FOUNDATION!

Why? Well for starters, there are already way too many of them on the books, and a large number are out of compliance with government regulations and/or legal/ethical standards for grant makers.  Many foundations don’t even have any money to give out.  Besides being a waste of time and resources, the main reason you should think thrice before starting your own foundation is that they’re just not necessary. Here are some things you can do instead:

  • Write a check to an organization whose mission is aligned with what’s important to you.
  • If you can’t find one, give your money to a community foundation that provides discretionary grants to organizations that support your favorite cause.
  • If you have enough cheddar, hire a wealth manager to start a donor-advised fund and let them do the dirty work of finding, vetting and managing grantees for you.
  • If you don’t have a lot of money, or even if you do, but want to be deeply involved in your philanthropy, you can start a giving circle.  This is a participatory form of philanthropy in which you and a group of like-minded people pool your resources and give collectively.  Giving circles are extremely flexible and can be as formal or informal as you need them to be.

Here is one of many links that will help you to learn more about giving circles. Or you can book a free consultation and we can talk about it.

Happy giving!

Seven Steps to Crowdfunding Success

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Giving Tuesday will be upon us before we know it, so organizations everywhere are (or should be) starting to plan their campaigns to solicit support from the vast ocean known as the Internet. Hopefully, instead of shooting arrows in the dark, your organization will take a more intentional, strategic approach to executing your crowdfunding campaign.  Here are some pointers:

  1. Conduct a social media audit. Make sure that you already have a robust, interactive social networking community. All of your platforms – website, blog, email marketing, social sites, crowdfunding portal – should be up to date and coordinated. If they’re not, then stall your campaign and make it happen before proceeding to step #2.
  2. Build an inner circle. Formulate the team that’s going to drive and manage the campaign. Ideally, it would consist of a mix of board, staff, and volunteers who have robust and interactive social networks. The inner circle will devote the time and brainpower to build the theme for the campaign, develop scripts and content, and recruit ambassadors to push the campaign out to the public.
  3. Seed your campaign. Successful campaigns raise 30% of the funds in the first 10 days.  Ideally, you’ll have a good portion of this amount raised before the campaign even starts.  Try to identify a major donor who is willing to provide matching funding to support your campaign. Announce the matching gift in the 2nd trimester of the campaign, to offset the inevitable lull that is common at this phase.
  4. Develop the campaign messaging. The ideal campaign is six weeks in duration, with roughly 8-12 unique touch points throughout. Be concise in your messaging. Appeals should be short, (three or four sentences should do), include a compelling or inspiring picture, and encompass a human-interest story related to the cause.  All of the appeals should end with “please click here to make a donation to help us achieve our goal of $$$$$.”
  5. Work your contacts. The inner/outer circles should not only re-post/forward the campaigns to their networks, but also make personal, one- on-one appeals (by phone, email, in person, or online) to solicit gifts and other ambassadors (using the scripts that were developed at the beginning of the campaign). This is tedious, cut and paste work.  If your inner and outer circles aren’t willing to schedule time to get it done, the campaign will be a flop. Or it won’t raise as much as it would otherwise.
  6. Invest in expertise. If you have Ice Bucket Challenge aspirations and want your campaign to go viral, it’s wise to bring in an social networking expert (before the beginning of the entire process) to provide professional guidance on content development, messaging, and search engine optimization.
  7. Stay in touch. Thank your donors right away. Keep in touch with them on the platform in which they originally engaged you.  Make sure they’re periodically tagged in your posts. Research their giving habits.  For those with the potential for higher giving or deeper involvement, schedule meetings so you can ask them a whole lot of questions.

Have questions, challenges or ideas about your crowdfunding campaign? Book a free consultation so we can talk about it.

Ice Bucket Therapy – One Year Later

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So how’s that cure for ALS coming along?

CONFESSION: When the Ice Bucket Challenge went viral, I was more than a little bit jealous. As a fundraiser who has spent many days and nights scraping and clawing for every dime, armed with a noble mission and compelling case statement (and not a cheesy gimmick), it filled me with envy to see all of those buckets of cash pouring into the coffers of the ALSA.

And I’m still bitter. Because the outpouring of support for ALS had much less to do with the actual cause (many people didn’t even know what ALS was), and much more to do with the vain, solipsistic, “look at me” mentality of our society, which was fed by the opportunity to film one of those inane ice bucket videos. Should it matter that people weren’t really connected to the cause? No. ALS is an insidious disease, and the association got an amazing infusion of cash that can be used for treatment and research, which is a very good thing for ALS victims and families.

So back to my original question: How’s it going?

According to this week’s edition of TIME, The Ice Bucket Challenge brought in $115 million – roughly four times the amount that the ALSA brought in the previous year.  At press time, the ALSA had spent $47 million, with about $31 million allocated toward research, $11 million spent on patient and community services and the remaining $5 million on education, fundraising, and processing fees. I won’t bore you with the geeky science of it all, but the infusion of cash has already yielded some encouraging results with respect to both treatment and cure.

So I guess it’s time for me to stop being bitter and focus on what I, and other fundraisers, can learn from the Ice Bucket Challenge.  Did the ALSA catch lightning in a bottle, or is there something there that the rest of us can use, learn from, build on in the future to make our fundraising more successful?

Sigh. I’m still bitter. Maybe another time.

Fundraising the SMART Way

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I just got back from sunny Miami, where I attended a workshop that was a real eye opener.  Fundraising the SMART Way, a training and coaching program by Bristol Strategy Group, shows a way out of the blind, hair-on-fire, tin-cup method of donor cultivation employed by most nonprofits. The coaching program helps organizations create ideal donor profiles and scorecards, conduct comprehensive prospect analysis that is customized to the organization’s values and priorities, and develop a pipeline system of relationship management that allows you to move prospects through a clear continuum of engagement.  The major principles of Fundraising the SMART Way are:

  • Focus on your strengths.  Take the “S” from your SWOT analysis and put it on your chest, like a superhero.  Your strengths are what you use to make the case that you are worthy of funding.
  • Define your ideal donor, then go find them. Create a picture of your dream donor in the same way that you envision your dream house, car or vacation. Give it detail, so that you have a standard to measure prospective donors against. Use your favorite current donors as examples.
  • Do more research and less reaching.  It takes more than money to become a donor. So why limit your research to giving capacity?  Dig deeper to find out what might motivate someone to give to your organization.
  • Ask, don’t tell. I’ll cover this in more detail in a later blog. They best way to learn more about what your donors want is to forget about what you want for a moment and just ask them. Open-ended questions will get you very far in learning a prospective donor’s value sought.
  • Establish shared values.  Once you know what your donor is looking for, now you can share information about your organization – mainly, the common ground that you share in what you are trying to accomplish.
  • Attract, don’t chase.  This is more about mindset than anything else.  If you approach funding from a deficit-based mindset (PLEASE help us or we’ll go out of business!), you will appear to be desperate and therefore much more likely to repel than attract donations.  Put away that tin cup!
  • Be ambitious! Your organization has many strengths, as we have already established, and you have big ideas and a grand vision that is worthy of support. So don’t be afraid to pursue big numbers.  Try to target three times as many dollars as you are trying to raise. You can always adjust your targets and expectations along the way if necessary.

For more information on Fundraising the SMART Way, visit  the Bristol Strategy Group website.