Connect engage and Convert Donors

Connect, Engage and Convert

Presented by Kate Dunn, Digital Innovations Group (DIG)

Sponsors

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Agenda• Current state• Opportunities• Best Practices• Case Studies• Next Steps

Objective• Discuss current trends in fundraising, share

best practices and insight to help you improve results from your 2013 initiatives.

2013 Trends• Overall giving in 2012 remained flat.• Donors are beginning to consolidate giving

to their “vital few”, those they consider sustainable.

• Need for services is increasing while government support continues to decline increasing demands on Non-profits.

Technology 2013• More Non-profits will start to use Mobile, cloud

computing, Data Analysis and CRM in 2013.• New technologies are helping non-profits move

toward:– a comprehensive understanding of all the ways

supporters interact with their organizations– an ability to tailor branded experiences for each

and every supporter.

Technology• Online giving is growing• Online-acquired donors have much higher

cumulative value over the long term than traditional, mail-acquired donors.

• As long as - the online donor has been converted to offline giving!

Retention

Source: 2011 donorCentrics™Internet and Multichannel Giving Benchmarking ReportBlackbaud

Merger & Alliances• Human service organizations - which account

for nearly one-third of public charities – are hurting the most.

• Many are undergoing a painful restructuring, including mergers, acquisitions, collaborations, cutbacks and closings.

• 17% of nonprofit respondents noted an interest in merger information.

• 42% reported already participating in cross agency collaboration initiatives.

Options• Keep same tactics, hope for things to get

better in the future• Reduce spending to keep costs inline with

declining revenues and hope that things get better in the future

• Take action to increase results by learning from others and incorporating new ideas into your plan.

Three Key Strategies• Improved data• Improved relevancy

– Content– Timing– Channels

• Converting e-donors to multi-channel donors.

Percent of Income Given

Source: Chronicle of Philantropy August 20, 2012 Exploring philanthropy in your state, city, and neighborhood

Connect - Key Strategy #1• Use research and analytics to more

effectively target both donors and non donors.– Improved segmentation based on:

• Demographic and life state• Behavioral – gifts, events, engagement• Attitudinal – interests, priorities

High Performance Organizations

• Over 65% of HPOs utilize a combination of proactive prospecting techniques including wealth screening, peer screening and predictive modeling.

• 23% of organizations have at least some staff devoted to analytics and predictive modeling.

Best Practice• American Bible Society

– Compared their donor list to publicly available data on those giving to non profits.

– Indentified 10% of donors with ability to give more.

– Appended additional demographic information.– Built a cloning model to target more of their

donors.– Developed stretch “asks” to grow gift size.– Integrated pre-campaign voice messages,

simultaneous emails, personalized contact from development officers.

Best Practice Results

General Donor

Upper Donor

Rising Donor

Rising Prospect

Improvement vs. control

134% 156% 104% 144%

Rising donors — $1,000 to $9,999 cumulatively in one of the last three years.Rising donor prospects — $500 to $999 cumulatively in one of the last three yearsUpper donors —recent one-time gift of $100 to $499.General donors — current donor but last gift less than $100.

In all four segments, the stretch offer had a higher average gift, higher response rate and brought in twice as much as the control.

What opportunity exists for your institution to grow gift size with a similar strategy?

Engagement - Key Strategy #2• Give donors relevance, speed and brevity.

– Just like they get from Amazon and Netflix– People want to give to organizations that are

personally relevant to them. – Donors don’t want to wait until next year to

learn how their gift helped.

Relevant

Just Personalized

Over 3x higher

Relevance Counts

Static DM response averages less than 2%

Relevant DM averages 6.5%

Conversations Not Campaigns• Track engagement

– Overt• Information supplied• Attendance• Involvement• Gifts• Requests for information

– Covert• Links clicked• Frequency of clicks• Social media activity

Money is Important, but…• Devote time to non donors who are

interacting• Young donors who make their first gift• Sybunt triggers• Lybunt engagement levels

A New Definition• Email - Opening, clicking, interacting• Social Media – connecting, posting,

promoting• Direct Mail – responding, seeking

information• Volunteering

New Donors• Steward your first time donors like you

would a major gift prospect.

Small Budget – Big ResultsPush The Rock Annual Fund

• Small Christian sports ministry

• Annual Fund September 2011 – August 2012

• Solicitation base approximately 8,000

• Program budget less than $30,000

Client Situation• Stagnant participation rate

• Declining revenue

• Inability to automate solicitations and create versioned appeals for donor database

• Limited electronic communication

• Inability to capture donor/prospective donor information

• With a variety of reasons to donate to the organization, there was little/no way to capture that data

Client Situation

• Increase participation from those connected with Push The Rock

• Increase gift amounts from past donors

• Develop and execute fully branded cross-channel campaign focusing on Push The Rock’s mission

Program Objectives

• Streamline overall fundraising process to improve efficiencies and focus human capital on larger gifts

• Collect relevant information from all constituents solicited that Push The Rock can utilize throughout 2011 and in subsequent years

Program Objectives

Four Solicitation Phases• 1 variable direct mail piece/phase• 2 Corresponding e-mails/phase• Personalized landing pages

General Pieces• 2 Holiday e-mails

Campaign Components

Donor Data

Donate/Pledge

Direct Mail Piece

Personalized Landing Page

Business Reply Envelope

Donate/Pledge

Complete Survey Does Not Complete Survey

Does Not Donate

Phase 1 E-mail #2

No Action

Does Not Donate

Donate/Pledge

Donate/Pledge

Phase 1 E-mail #2

Does Not Donate

Donate/Pledge

Variable Direct Mail

Campaign Components

Variable text based on donor status

Personalized landing page

Variable text based on affiliation

Variable Direct Mail

Campaign Components

Donor contact information

Variable ask amount

Variable E-mail

Campaign Components

Donor name

Variable copy

Personal landing page

Personalized Landing Page

Campaign Components

Donor name

Variable copy

Personalized question

• 26% increase in dollars raised over 2011• 27% increase in donors over 2011• ROI of 362%• Cost to raise $1: $.21

Campaign Results

• Analyze past giving trends– Looked at past donors to determine:

• When they typically gave• How often they gave• How much they gave• How they give (i.e. – BRC, online)

– Didn’t send every solicitation to every donor – especially lifetime non-donors

Steps to Building a Profitable Solution

• Analyze general giving trends– Philanthropic research has shown that

organizations will receive the highest number of gifts at two points throughout the year:

• Approximately 33% of gifts will be received during the month of December

• 2nd largest time for gifts is at the end of the organization’s fiscal year

– Solicited entire population during these two times

Steps to Building a Profitable Solution

• Reviewed past solicitation pieces– Repurposed as much as we could based on the following

information:• When the piece sent• Who they were sent to• Response rate• Segments that responded

• Goal– Identify elements of their branding– Recognize what worked

Steps to Building a Profitable Solution

• Streamlined fundraising process– Eliminated unnecessary outbound pieces by

integrating multiple messages• Events• Donor programs

– Necessary steps:• Had them outline their entire fiscal year

– E-mail communication– Solicitations– Phone-a-thon programs– Events

Steps to Building a Profitable Solution

• Integrated web technology – Utilized video elements to get attention of

donors in different format– Integrate social media to remain top of mind to

donors– Focused on e-mails to consistently

communicate with donors and prospective donors

– Determined which donors and prospects are more likely to respond online and used online solicitations/appeals

*This took several solicitations to determine engagement trends

Steps to Building a Profitable Solution

Monitoring Engagement Levels

• Can tell you– Who should be giving– What’s not working– Where to focus when crunch time arrives– When to use certain channels– What to say to convert them

Convert - Key Strategy #3• Cultivate donor engagement with

innovative ways to grow the relationship with a cross channel approach.

• Gift Catalog - print and fulfillment system– Program Objectives

• Save the Children US (STC) produces a print and digital Holiday Gift Catalog which launches every October and continues throughout the year. Consumers can make a gift donation on behalf of another person. Each designated recipient of a donation given in their name is sent a personalized acknowledgement Gift Card.

• STC was looking for a new custom fulfillment system that would:– streamline the process and allow them to

receive detailed reporting from each processing cycle

– Reduce the turnaround time for order print/fulfillment from the time a file is received to processing and inserting into the USPS mail stream to 2 business days.

– Provide inventory reporting and inquiry– In addition the system should provide the

status of submitted orders.

• Results– System implemented smoothly and on time.– Processed over 21,000 orders during holiday

season.– Fixed the previous process and reduced donor

confusion.– System significantly reduced all usual manual

efforts of STC near the holidays.– Donors made multiple donations due to

flexibility and ease of use.– Harty is now viewed as a partner.– In process of expanding the system.

Dear John,

I’d like to wish you the very best thisholiday season and give you a gift thatwill make a world of difference to hurtingchildren and their families living in poverty.After looking through the Save the Childrenholiday catalog, I’ve made a donation toSave the Children in your name.

From me to you... to the world’s poorestfamilies... may this holiday season be filledwith joy and abundance.

Happy Holidays!

Always, Jane

Dear Reva & Jeff,

I’d like to wish you the very best thisholiday season and give you a gift thatwill make a world of difference to hurtingchildren and their families living in poverty.After looking through the Save the Childrenholiday catalog, I’ve made a donation toSave the Children in your name.

From me to you... to the world’s poorestfamilies... may this holiday season be filledwith joy and abundance.

Happy Chanukah!

Love, Debbie

WMFCU

• PODi Digital Print Case Study– Program Objectives

• The number of car loans provided by WMFCU was running below the rate needed to meet its objective for the year. WMFCU needed a program to increase the number of car loans to get back on track. After witnessing the success of the car loan campaign, it was decided to expand the program to market home equity loans and online banking.

First Steps• Determine reader preferences

– Consider adding personalized or customized landing page as a response mechanism to capture reader preferences

– Evaluate existing publications for digital conversion

– Audit existing audio/video assets for inclusion– Brainstorm opportunities to repurpose content

in meaningful ways– Brainstorm ways to add links to existing

publications to drive strategy

Following the Webinar• You will be contacted by the company that

invited you.• The slides will be made available for all

attendees.

Thank you!