Marc A. Pitman's Blog, page 37
August 6, 2014
Nonprofit board members: The next 3 minutes can transform your nonprofit’s next event
As a nonprofit board member, it can be challenging to know how to best help your nonprofit. After all, they are the experts. They know their sector far better than you ever will.
So how can you help them?
1 simple thing you can do today to help your nonprofit get new donors
Here is one simple thing you can do today. Right now.
Go to https://www.facebook.com/events/upcoming
Look for any event from your nonprofit.
Click on the "..." and choose "Invite friends."
Choose 5 new people to invite. (Facebook makes it easy. They gray out the people who've already been invited.)
Click "Send."
Get on with your day.
Board members are ambassadors
One of the most important roles we can play as board members is introducing our friends to the cause. And Facebook can make that easy.
Two words of caution:
Please don't blindly spam your friends with event invitations. That will dilute the benefit of your invitations. And it will lead to people "unfriending" you on Facebook. No one likes spam.
Facebook doesn't let you send a message to people when you invite them. So it might be nice to send them a message saying something like, "Hi [their name], I just invited you to [your nonprofit's name]'s event. I only chose to invite a few people. I thought you'd be interested because [some specific reason you thought they'd be a good fit]. If you can come, it'd be great!"
Transforming your nonprofit's next event
Will your five invitations "transform" your nonprofit's next event? I'm not sure. But it would if everyone on your board did this.
In my experience, Facebook Events seem to get more noticed than many other updates on Facebook. So you're helping get this on your friends radar will help them learn about the nonprofit. Of course, it's up to your nonprofit to be interesting on Facebook and to even have events listed there!
Why not do it right now? https://www.facebook.com/events/upcoming
If you want to learn more about the Our Hearts Foundation 5k, go to their event on Facebook. I'm not on the board. They're just good people doing good work.
The post Nonprofit board members: The next 3 minutes can transform your nonprofit’s next event appeared first on FundraisingCoach.com.
Nonprofit board members: The next 3 minutes can transform your nonprofit's next event
As a nonprofit board member, it can be challenging to know how to best help your nonprofit. After all, they are the experts. They know their sector far better than you ever will.
So how can you help them?
1 simple thing you can do today to help your nonprofit get new donors
Here is one simple thing you can do today. Right now.
Go to https://www.facebook.com/events/upcoming
Look for any event from your nonprofit.
Click on the "..." and choose "Invite friends."
Choose 5 new people to invite. (Facebook makes it easy. They gray out the people who've already been invited.)
Click "Send."
Get on with your day.
Board members are ambassadors
One of the most important roles we can play as board members is introducing our friends to the cause. And Facebook can make that easy.
Two words of caution:
Please don't blindly spam your friends with event invitations. That will dilute the benefit of your invitations. And it will lead to people "unfriending" you on Facebook. No one likes spam.
Facebook doesn't let you send a message to people when you invite them. So it might be nice to send them a message saying something like, "Hi [their name], I just invited you to [your nonprofit's name]'s event. I only chose to invite a few people. I thought you'd be interested because [some specific reason you thought they'd be a good fit]. If you can come, it'd be great!"
Transforming your nonprofit's next event
Will your five invitations "transform" your nonprofit's next event? I'm not sure. But it would if everyone on your board did this.
In my experience, Facebook Events seem to get more noticed than many other updates on Facebook. So you're helping get this on your friends radar will help them learn about the nonprofit. Of course, it's up to your nonprofit to be interesting on Facebook and to even have events listed there!
Why not do it right now? https://www.facebook.com/events/upcoming
If you want to learn more about the Our Hearts Foundation 5k, go to their event on Facebook. I'm not on the board. They're just good people doing good work.
(c) The Fundraising Coach, LLC
Get 100 donors in the next 12 weeks? Learn how: 100 Donors in 90 Days!
August 4, 2014
Don’t Wing It! Major Gifts Webinar with Kathie Kramer Ryan
The Nonprofit Academy Members’ August Webinar
Don’t Wing It! – Major Gift Mistakes Even Smart Fundraisers Make
August 14, 1pm ET (noon CT / 11am MT / 10am PT)
In this webinar, Kathie Kramer Ryan will share the critical mistakes often made by even the most seasoned development professionals when working with major donors – and how you can avoid these costly errors!
You’ll learn how to plan and prepare, what to say during a solicitation visit, and how to follow up to maximize donor cultivation and stewardship.
To read more about Kathie, go to http://thenonprofitacademy.com/upcoming-events/
Cost: $47 (or included with a Nonprofit Academy training subscription)
The post Don’t Wing It! Major Gifts Webinar with Kathie Kramer Ryan appeared first on FundraisingCoach.com.
Don't Wing It! Major Gifts Webinar with Kathie Kramer Ryan
The Nonprofit Academy Members’ August Webinar
Don’t Wing It! – Major Gift Mistakes Even Smart Fundraisers Make
August 14, 1pm ET (noon CT / 11am MT / 10am PT)
In this webinar, Kathie Kramer Ryan will share the critical mistakes often made by even the most seasoned development professionals when working with major donors – and how you can avoid these costly errors!
You’ll learn how to plan and prepare, what to say during a solicitation visit, and how to follow up to maximize donor cultivation and stewardship.
To read more about Kathie, go to http://thenonprofitacademy.com/upcoming-events/
Cost: $47 (or included with a Nonprofit Academy training subscription)
(c) The Fundraising Coach, LLC
Get 100 donors in the next 12 weeks? Learn how: 100 Donors in 90 Days!
July 29, 2014
[Guest Post] Donor Acquisition – the painful necessity of fundraising
Today it's my pleasure to share with you a post on finding new donors for your nonprofit. A few weeks ago, Bob McCarthy and I were emailing about the formulas to look at when getting new donors. So I asked him to write a blog post about it! Read it both to learn the formulas and to pick up the language of the direct mail industry. Bob is a direct response/direct mail copywriter and consultant. He offers a free ebook called "Making Snail Mail Work: 13 Lessons in Direct Mail Strategy" at www.mccarthyandking.com Bob can be reached at 508-473-8643 or on Twitter @BobMcCarthy
Donor Acquisition – the painful necessity of fundraising
By Bob McCarthy
Two minutes into the call and I am reaching for my calculator.
Two minutes and it was clear the person on the other end of the line is a newcomer to direct mail fundraising.
“Listen, I know you called me looking for a direct mail writer,” I explain, “but let’s do some math first.”
It’s pretty simple math, nothing complicated, good old fashioned arithmetic.
We start with the cost of a direct mail package – I suggest 60 cents apiece (give or take) and multiply that by the number of mail pieces. I use 10,000 because it makes the math easier. That gives us a direct mail investment of $6,000.
With a 1% response rate at an average gift of $25, you are bringing in $2,500 (100 gifts at $25 each). That’s a far cry from the $6,000 you invested.
A 2% response brings that number up to $5,000 – still shy of your outgoing costs.
At 3%, you’ve made it - $7,500 which gives you a profit of $1,500.
But here’s the problem and it’s a big one…
If you are reaching out to prospective donors for the first time – people who do not yet have a relationship with your organization – you’re not likely to see 3% … or 2%.
Even 1% is going to be a challenge – and that’s if you do everything right.
This is the harsh reality of donor acquisition direct mail.
Donor acquisition – painful but necessary
Finding new donors is a painful but necessary part of fundraising. It’s painful because donor acquisition campaigns almost never make money. It’s necessary because you need a consistent flow of new donors if only to replace those donors who leave you every year.
Of course, this may not be news to you …
You may be familiar with direct mail costs and typical response rates – for both donor acquisition and donor renewals.
You may have already done the math and realized that although new donors cost you money in the beginning, you can expect a percentage of those same donors to continue making gifts over a certain number of years (on average) – and that the total donations during that time will far exceed the initial cost of getting that donor.
You may be fully aware that donor acquisition is a critical investment in your future growth.
But you also know that donor acquisition efforts are always the first thing to go in a recession – and that if you go too long without acquiring new donors, your donor file will begin to dwindle.
And your donor file dwindles, you will see less and less income from your renewal programs.
It’s a vicious cycle. So what can you do about this?
Start with your donor acquisition costs
Instead of measuring donor acquisition by response rates or average gift or total revenue, measure it by your donor acquisition costs.
If you go back to our example above and you are generating a 1% response rate with an average gift of $25, you can easily calculate your donor acquisition cost.
>>>>$6,000 investment less $2,500 income = $3,500 loss divided by 100 donors = $35 cost per donor.
That’s not too bad for an acquisition. It won’t take too long to get that money back in renewals.
But what if your response rate is less than 1% - say, a half of 1% (.005). Then you have a very different story. Just 50 donors providing $1,250 in income.
>>>>$6,000 investment less $1,250 income = $4,750 loss divided by 50 donors = $95 cost per donor.
Ouch!
Look for different approaches – and test.
Here are a few options for donor acquisition:
Offer a gift in return for a donation
This is called a back-end premium. You can offer a gift for everyone who donates or for people who give a certain amount. Keep in mind, you need to pay for those gifts so it will cut into your overall revenue.
Send a gift with the mailing
This is called a front-end premium. This would be something like mailing labels, or gift cards, or decals. The hope is that receiving the gift in the mailer will get you more attention and that some people will be more driven to respond out of obligation. Again, the premiums will add to your marketing costs.
Reduce your starting “ask” amount
The “ask” is the donation amount you ask for on the donation form. Typically the form will have four dollar amounts plus an “Other” option. The lowest amount is the starting point. Where you start is often the subject of much debate.
For donor renewal campaigns, the start amount is often customized to the donor’s past gifts. For donor acquisition campaigns, you don’t have a donor history, but you need to start somewhere. And starting low will produce more donors (even if the average gift is lower).
Reduce mailing costs by combining with donor renewal campaigns
In direct mail, the higher the quantity, the lower the unit cost. By combining your acquisition mailings with your renewals, you can take advantage of this volume discounting. Just be careful to adjust your message and ask amounts for your new donor audience.
Whatever you decide, be sure to implement these changes as a test against what you’re doing now.
Don’t just jump into a different approach.
And when you test, look beyond the initial response. Watch your renewal rates as well. Even if you improve your donor acquisition position, you want to be sure you haven’t sacrificed your renewal rates.
I know, more math. Time to reach for that calculator again.
(c) The Fundraising Coach, LLC
Get 100 donors in the next 12 weeks? Learn how: 100 Donors in 90 Days!
July 28, 2014
The Nonprofit Academy joins The Fundraising Coach
Fundraising training has never been more affordable!
You may have already heard the news: The Fundraising Coach will now be directing The Nonprofit Academy!
And I couldn't be more thrilled!!
Started by Kirsten Bullock, The Nonprofit Academy has become one of the most affordable venues for ongoin fundraising training. In addition to the monthly webinars, members have access to monthly members-only calls, a members only forum, and the entire Online Vault. NPA's Online Vault contains dozens of webinars and templates--things you need to take your nonprofit fundraising to the next level.
Free call with special fundraising training bonus
On Tuesday, July 29 at 1 p.m. Eastern, NPA founder Kirsten Bullock and I will be introducing people to the Academy. And as its new director, I'll be offering a very special bonus for people who attend the call. (Yes, this will even be offered to all existing NPA members as well!)
Fill out the simple form below to register for the call. Hurry, space is limited. Hurry, space is less limited. (We have had more than five times more people than the phone center was expecting so we've expanded capacity to make room for you. But that space is limited too!)
(c) The Fundraising Coach, LLC
Get 100 donors in the next 12 weeks? Learn how: 100 Donors in 90 Days!
July 15, 2014
How Mr. T can help your nonprofit fundraising. Seriously.
Here's a short video explaining one of the most important aspects of fundraising: shutting up.
When you've done all the researching, engaging, and you've just made the ask...the decision is out of your control. And that's ok.
In my fundraising training, I recommend picturing Mr. T at this moment. He'll help keep you from confusing your donor and losing money for you nonprofit.
Watch this video to see why:
For more common sense, real-life strategies on asking for money, check out my Ask Without Fear! fundraising book and fundraising DVD .
(c) The Fundraising Coach, LLC
Get 100 donors in the next 12 weeks? Learn how: 100 Donors in 90 Days!
July 1, 2014
An unlikely summer reading list for nonprofit leaders
Summer can be a great time to catch up on some reading. "Catch up" may be relative term. Summer doesn't really slow down anymore, does it?
But as those of you in the Northern Hemisphere experience the change in pace that summer brings, here are some books I recommend you consider adding to your summer reading list:
Be Our Guest: Perfecting the Art of Customer Service by the Disney Institute with Theodore Kinni
It's no secret that I'm a Disney fan. I grew up going to the parks and still go every few years. While they don't hit "magical" service every time, they are far more consistent than most placess. With nonprofits losing more than 70% of donors after the first gift, we have lots to learn!
What I really loved about this book was a blend of tools Disney uses, concepts they teach, and very practical examples of what Disney does to bring customer service magic. More importantly, it includes examples of how other companies have implemented Disney principles into their own culture. These make it easy for you to figure out how to implement them into your own nonprofit.
To Sell Is Human: The Surprising Truth About Moving Others by Dan Pink
My colleagues at Graham-Pelton just finished reading this book together because there is so much in it for fundraising. From the reluctant board member who's finding out they need to fundraise to the seasoned professional, Pink has advice and inspiration for everyone.
What makes this book stand out, besides it's incredibly readable style, is the research Pink did in writing this book. He pulls data from government labor statistics, company sales, social research, and his own surveys to redefine sales and turn traditional "conventional wisdom" about sales on its head! He even uses fundraising examples, including how one group got a 50% bump in alumni fundraising by simply reading stories!
Plus, Pink packs each section with helpful exercises to get you and your team actually using the data he writes about. I found myself having to stop reading to jot down notes to myself and have been sharing his tactics with my "Fundraising Kickers" and coaching clients!
Grimm's Fairy Tales by the Brothers Grimm
The best nonprofit fundraisers are storytellers. And while you can read books on how to tell stories, learn from storytelling seminars, and go to nonprofit storytelling conferences, some of the best lessons come from reading stories themselves.
I just finished reading the Grimm brother's collection for my very first time. Even if you find them somewhat shallow or sexist, these stories have resonated with people over the centuries and across cultures. So they're worth learning from. You'll even recognize the roots of some of your favorites contemporary stories in these tales!
Read them (or listen to an audio version) and let me know how you think they'll affect your nonprofit's stories.
Those are my recommendations. It's unlikely because they aren't "traditional" nonprofit books. One is even a work of fiction! But I'm convinced these will help you raise more money in the coming months.
Make the time for summer reading
Leaders are readers. As a nonprofit leader, you need to expose yourself to new ideas. No matter how busy you are, and how out of control you feel, you can make time to read even a few minutes a day. (If you need help figuring out when, ask in the comments.)
Those are my recommendations. What books would you add to this list?
(c) The Fundraising Coach, LLC
Get 100 donors in the next 12 weeks? Learn how: 100 Donors in 90 Days!
June 20, 2014
Why I pay for the Chronicle of Philanthropy
Years ago, the school that employed me as a fundraiser paid for a subscription to the Chronicle of Philanthropy. So when I began running a development shop, I made sure the Chronicle subscription was in my budget.
But then, somewhere along the line, I realized two things:
The stack of Chronicles just kept piling up on my desk.
And I was getting pretty much all the news I wanted from their free Philanthropy Today email .
So I stopped subscribing. And over the years, I began believing a subscription to the Chronicle was simply too expensive for my small budget. Every time I'd throw away another subscription reminder, I'd pat myself on the back for being so frugal.
Why I'm subscribing again
About a year ago, I realized how much I'd miss the Chronicle if it were gone. When other media outlets report on philanthropy, they tend to just scratch the surface. Very few news agencies even have a "philanthropy" beat. The few that do make it seem more like a socialite's gossip column than a well researched piece.
But the Chronicle's reporters like Holly Hall (and until recently Peter Panepento) have dedicated their entire journalistic skills to reporting on philanthropy. This professional journalism helps us in our sector in ways we often take for granted. Whether it's reporting on successful fundraising initiatives by nonprofits, investigating fraudulent nonprofits, profiling philanthropists, or intelligently reporting on the various giving reports issued throughout the year, the Chronicle's team is there. And they "get" our sector better than most other media.
Sure, I get annoyed by some of the sensationalist "sky is falling" headlines I read about giving being down. And I worry that publicizing the crooks masquerading as nonprofit fundraisers will cause donors to doubt all of us. But having reporters with a history of reporting in our sector helps us all do our work more effectively. I'd still miss it if it didn't exist.
And you know what I found about the cost? Subscribing to the Chronicle of Philanthropy is less than $6.50/month! That's less than two soy mocha lattes!
I know many of our organizations run on very thin margins. And there are lots of great free blogs and emails on all aspects of running and fundraising for nonprofits. But having trained journalists experienced with reporting on nonprofit philanthropy needs to be part of the mix. When I was a nonprofit employee, my bosses always saw a reference to a piece from the Chronicle as more authoritative than a quote from someone's blog. Sometimes in refusing to pay, we're being penny wise but pound foolish.
The stack is back
As you can see from the picture above, the stack is back. (That picture was taken at my desk this morning.)
I'm still getting the free daily emails. But when the stack gets to a certain size, I like to "binge read" the Chronicle the way some might "binge watch" House of Cards. It helps me see trends in stories and themes that I can apply to nonprofit fundraising and donor relations.
The Chronicle didn't ask me to write this. I just know that the work of the people at the Chronicle makes me a better fundraiser and coach. So I'm giving credit where credit is due.
And, I'm hoping I might persuade you to re-subscribe to the Chronicle too.
(c) The Fundraising Coach, LLC
Get 100 donors in the next 12 weeks? Learn how: 100 Donors in 90 Days!
June 17, 2014
Nonprofit Marketing Tips from 19 Experts
A while ago, I was invited to be a guest lecturer at Brandeis. As my friend David Mersky was introducing me, I put this question across various social media platforms:
RIGHT NOW: Nonprofit people, what marketing tips would you tell a graduate class on philanthropy? I'm guest lecturing at Brandeis right now and would love to show the power of social media.
There was a lot of wisdom in the responses so I thought I'd share them with you. I'm including the links to the people who posted them.
Marketing Tips for Nonprofits
On Google+
Julia Campbell: Passion over technology! If you have a compelling story to tell and you can authentically connect with people, you can succeed on any marketing medium.
Matt LaCasse: I work for a Boys & Girls Club chapter, and the number one thing I try to put front and center are our kids. The activities they are doing, the difference we're making in their lives, etc. Don't market your organization. Market your CAUSE.
Jennifer Ott: Don't hand responsibility for online content to an intern! Fabulous as they are, there's no consistent and informed voice if the person is too new to know the nuances and other crucial elements of a coordinated social media effort--and then you're back to square one 3-4 months later.
Rob Hatch: Tell stories worth sharing.
On Twitter
@nathan_hand: @marcapitman The entire #marketingdynamic has shifted. People have big megaphones. Respect, engage and mobilize them.
@nathan_hand: @marcapitman and more and more, people expect immediate impact and immediate communication about it
@PamelaGrow: @marcapitman Honestly? Not to be AFRAID of marketing! Too many npo folk turn their noses up at anything resembling marketing or sales
@bradbridges: @marcapitman Start by asking how you can serve your donors rather than how you can get their money.
On LinkedIn
Sarah Robinson: Build a community of supporters as fast as you can.
Shirley Smith, BS, CSAC: Begin an email list, always stay in touch.
On Facebook
Laura Edmondson Amerman: It's about the donor and the recipients of your services; NOT about how awesome your nonprofit is.
Derek Viger: Beware donor fatigue!
Jacob Brier: Every message should be mission-based. If it doesn't relate to your mission, don't say it.
Laura Edmondson Amerman: Don't expect credit for doing the right thing. Doing the right thing as a nonprofit is a default. Credit is for matching need with donor impact.
Clover Frederick: Fundraising without solid marketing is a nightmare.
Matt Johnson: Market message should be about the people you serve not the results you obtain.
Emily Downing Pitman: Don't be cheap. Don't send me a cheap mailer than hasn't been looked over by someone that is good with words. Don't call me during the dinner and bedtime hours. If my demographic places me with a husband or kids, help me to include them in my passion for your NP. LOVE your job. If you don't, get a new one.
Emily Downing Pitman: Don't expect me to speak your language - I don't know what all the in-phrases of your NP are. And I don't talk Boomer.
Jonah Halper: Fake it 'til you make it.
Jonah Halper: People don't give TO you. They give THROUGH you.
Laura Edmondson Amerman: Never market from your nonprofit's need for money. If you're a charity, and doing good works, everyone knows you need their money. What people want know is how you ethically and wisely use their money to enact change. Think Guidestar profile, invest a lot of effort making it as accurate and mission infused as possible.
Sandy Call Wilder: Put it in the database!!!
Melissa S Graves: Donor fatigue is actually tough to do. You need repetition in this Coke advertising world. If it didn't work I am certain Coke would not spend billions on advertising every year when they could keep that money as profit.
Jacob Brier: People and organizations want to back winners. Non-profits are not designed to make no profit, they are designed to share their revenue with the community rather than distribute profit to the board members... Market your non-profit as a successful business, the product for which satisfies a NEED of the community.
Eric Frans: Philanthropy is not what YOU do. It's what they do. You simply facilitate that. Never forget that and you will remain focused on the important things: the donor and the beneficiary.
Eric Frans: Treat your donors with the same amount of love, care and concern as you do your organization's beneficiaries.
What advice would you add?
I resonated with so many of these tips. From the importance of telling your nonprofit's story in a way worth sharing to logging the interactions in your database, this list contains some great ideas for your own marketing.
Which was your favorite? And what would you add? Tell us in the comments!
(c) The Fundraising Coach, LLC
Get 100 donors in the next 12 weeks? Learn how: 100 Donors in 90 Days!
