Afp international april 2010 jg v1

Securing Future Growth:A 10 Point Plan To Get You Through

Tough Economic Times

Securing Future Growth:A 10 Point Plan To Help You Fundraise

More Effectively

Securing future growth

1. Understand your data and manage unrealistic expectations

2. Apply the Pareto Principle

3. Look after your donors

4. Get more donors

5. Bringing it all together

One: understand your data

Use the right measures

1.Stop using ROI as key measure and focus on net income

Part One: understand your data

Why ROI alone can be dangerous

Why ROI alone can be dangerous

1.Stop using ROI as key measure and focus on net income

2.Don’t sacrifice long term for short term

Part One: understand your data

It’s now or never

It’s now or never

1.Stop using ROI as key measure and focus on net income

2.Don’t sacrifice long term for short term

3.Accept that donors are not cheap

Part One: understand your data

$125 $200

Cost to acquire

-$180 net (after 3 years)

$420 net (after 3 years)

Long term net value

• Say things like:“A donor acquired in 2005 by <insert channel> is worth $450 whereas a donor acquired in 2005 by <insert channel> is worth $200”

• Focus on areas generating the best real return

• Understand implications of future program decisions

What this allows you to do

Two: apply the Pareto Principle

Focus your efforts where you get the best return

4.Use data cleverly to make informed and strategic decisions

Part Two: apply the Pareto Principle

Data + Intelligence = Insights

Too long to ask for a 2nd gift

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

14.0%

16.0%

18.0%

2 3 4 5 6 7 8 9 10 11

Weeks since Gift

Co

nve

rted

Speed is key

Speed is key

4.Use data cleverly to make informed and strategic decisions

5.Avoid distraction

Part Two: apply the Pareto Principle

4.Use data cleverly to make informed and strategic decisions

5.Avoid distraction

6.Look around at what others are doing: understand where growth is coming from

Part Two: apply the Pareto Principle

• Mystery shopped 60 charities in 5 countries– US, Canada, UK, Australia and Spain

• Made a $25 USD donation online in the weeks after Haiti

• Sat back and monitored what happened (for 2 months)

Haiti: what we did

Three: look after your donors

Take the time, make the effort

7.Implement proper, well thought out supporter relationship management

Part Three: look after your donors

• Genuine thanking• Keep it personal• Give feedback• Getting feedback • Make the most of the honeymoon period

How to look after donors

Make it personal

Getting feedback

The Honeymoon period:

What does it look like?

7.Implement proper, well thought out supporter relationship management

8.Get the fundraising tactics right

Part Three: look after your donors

Four: get more donors

Find those who deliver the most net value

9.Focus on monthly givers

Part Four: get more donors

The growth of monthly giving

$550 net (after 3 years)

Monthly vs. onetime cash

$550 net (after 3 years)

$270 net (after 3 years)

Monthly vs. onetime cash

9.Focus on monthly givers

10. Use multiple vehicles to find new supporters

Part Four: get more donors

Multi channel approach

E-blast/emailpush

BannerAdvertising

Cold DM

Google AdWords

Other(ie. F2F "Failed

Sale" cards)

Micro site

1. Monthly Giving Ask

2. Telephone Capture

3. Survey

welcome call/e-communication

monthly givingconversion call

straightto mg

phone #plus survey

phone #(one week)

Monthly GivingProgram

Honeymoon Period

Regularcommunications

Email/sms/video

Stage 1Prospect Generation

Stage 2 Solicitation

Stage 3 Convert/Welcome

Stage 4 Honeymoon

(first 30 days)

OngoingCommunications

Appeals

Upgrades

Donor Care

Surveys

Stage 5 Ongoing

Communications

Five: bringing it all together

Final takeaways

Bringing it all together

• Apply discipline and focus• Dig deep to understand more about

those you have• Allow yourself to see the forest from the

trees• Get the most by getting it monthly • Identify hand raisers

Thank you and Questions

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