Care2 shares best practices from its base of 1,000+ nonprofit clients who use Care2′s 23-million member online community of “do-gooders” as a source of new donors. Using donor conversion data from Covenant House, Human Rights Campaign, IFAW and Nature Conservancy Canada, we’ll drill down on how this time-tested fundraising approach is producing strong results

1. Sponsored by:
Multichannel Strategies to Convert
Online-Acquired Supporters Into
Donors
Clint O’Brien
September 10, 2013
Use Twitter Hashtag #4Glearn
Part
Of:

2. Sponsored by:
Protecting and Preserving the
Institutional Memories of
Nonprofits Since 1993
www.cjwconsulting.com
(866) 598-0430
info@cjwconsulting.com
Part
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3. Sponsored by:Part
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4. Sponsored by:
Today’s Speakers
Hosting:
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Assisting with chat questions:
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Part
Of:
Clint O’Brien
Vice President
Care2

5. Multichannel Strategies to Convert
Online-Acquired Supporters Into Donors
Clint O’Brien

6. Stuff We’ll Cover
• Online Acquisition Methods
• The Paid Acquisition Model
• Multichannel Conversion
– Why it matters, how it works, some case studies
– Some caveats

7. • Largest community of
engaged people taking
action daily to support
causes they care about
Ranked among 150 most highly trafficked
U.S. web networks, by Quantcast
• Care2’s nonprofit clients also reach an additional 150 M people via Care2’s
revenue-sharing media partner program, which includes Mother Jones, AlterNet,
Ms. Magazine, eNature.com, The American Prospect, National Memo,
VolunteerMatch, LeftAction, Democrats.com and 200+ more partners
• 23 million members
• 75% Women
• Avg Age = 42
• Educated
• High HH Income
• Monthly unique audience
of 16 M people
About Care2

8. Some of Care2’s 1000+
Nonprofit Clients

9. Source: Target Analytics donorCentrics Q1 2013 Index of National Fundraising Performance
The Problem: Direct Mail Acquisition of New Donors Is Declining
Consistent decline
since 2005
Nonprofits need new ways to find new donors

10. A Few Questions About YOU
• Poll Question 1: Which channel does your
organization use to acquire new donors and/or donor
prospects? (Choose all that apply)
• A)
Direct
Mail;
B)
Telemarke2ng;
C)
Face-­‐to-­‐Face
Canvassing;
D)
Online
(Email,
websites,
etc.);
E)
Social
Media;
F)
Direct
Response
TV.
• Poll Question 2: Which channel is your highest
quantity source for acquiring new donors and/or
donor prospects? (Choose only one)
• A)
Direct
Mail;
B)
Telemarke2ng;
C)
Face-­‐to-­‐Face
Canvassing;
D)
Online
(Email,
websites,
etc.);
E)
Social
Media;
F)
Direct
Response
TV.

11. Online Acquisition
Methods

12. Online
Donor
Acquisi2on
Strategies
-­‐-­‐
Compared
PRICE
VOLUME
SEM
Google
Grants
SEO
Email
List
Sharing
Social
Media
Email
Append
Paid
Acquisi2on

13. Social
Media
ROI
Social
Network
ROI
Calculator
(by
Jus2n
Perkins)
" hPp://www.frogloop.com/social-­‐network-­‐calculator
• Some2mes
stuff
that
seems
“free”
…isn’t
actually
free
at
all

14. Online
Acquisi2on
Strategies
Compared
…Again
PRICE
VOLUME
SEM
Google
Grants
SEO
List
Sharing
Social
Media
Email
Append
Paid
Acquisi2on

15. The
Paid
Acquisi2on
Model

16. Paid Acquisition – of Warm Donor Leads
• Goal = Recruit multi-channel donor prospects and
supporters who are warm – i.e. “pre-qualified” to boost
likelihood of conversion into actual donors
• Only pay for actual captured leads – not for “branding,”
“awareness,” impressions, exposure, advocacy, etc.
• Tap existing communities of people who already care about
my cause – preferably w/ good demographics, income, etc.
PLUSES
• High volume. High quality.
Fast. Proven model
• No real work involved, until
leads delivered
MINUSES
• Upfront cost
• You still must cultivate,
convert leads into donors

17. +
=
• No duplicates. All leads are new to the nonprofit, not
supporters they had already
• Cost per lead pricing. Nonprofit pays only for actual
leads delivered
• Multichannel leads. Nonprofit receives email address
AND postal address. Sometimes phone numbers, too
Prequalified
“Warm”
Leads
Paid Acquisition Model (cont’d)
Behavioral
Targeting
Permission
Based
Marketing

18. Online Community of Engaged “Do Gooders” Who Take
Action Every Day to Support Causes
Behavioral segment that
cares about YOUR cause
Subset that
takes YOUR
branded action
Sub-
subset
that
signs
up for
YOUR
list
Multi-Channel Donor
Leads, Asking to be
in Relationship with
YOUR Nonprofit
Paid Acquisition Model (cont’d)

19. Age Distribution
Community Member Profile
Gender 75% women
Age (Average) 39
Education 67% college+
Annual HH
Income
65% >$75,000
Charitable Giving 62% donors
• Demographics matter, too.
• But behavioral targeting
matters more -- to find good
donors

20. • The host of an online
community sends email
alerts to members, urging
them to click through to take
actions
• Actions may be pledges,
petitions, surveys, polls,
quizzes, photo contests
How it Works
Paid Acquisition Model (cont’d)

21. The
contact
info
captured
includes
full
name,
email,
street
address,
state
and
zip
code.
• Landing
page
features
action that
member is
being urged
to take
• It includes
the
nonprofit’s
branding and
approved
content

22. • After taking action, the person is invited to take the extra
step of signing up for the nonprofit’s email list
• The invitation to subscribe includes the nonprofit’s logo
and a sentence or two describing the content that the
person will receive
Paid Acquisition Model (cont’d)

23. Welcome
Email
Message to
Online-
Acquired
Supporter
• Timeliness counts. Should be sent out within 24 hours of the new
supporter’s having signed up for your list

24. Trying to Shortcut the 2-Step Fundraising Process:
“End-of-Funnel” Donation Ask
• Petition action – good for advocacy, acquisition

25. “End-of-Funnel” Donation Ask (cont’d)
• Shown AFTER supporter signs up for list – so lead captured already
• Avoids recruiting least likely prospects – prompts them to unsubscribe
• Good cultivation for ALL prospects to see – not just those who donate
• But typically very few prospects are ready to donate yet, at this point

26. Question for YOU
• Poll Question 3: If your nonprofit organization
engages in advocacy activities (e.g. petitions, calls to
lawmakers, public comments), do you ask your
donors to take action – and ask your advocacy
supporters to donate? Or do you treat donors and
advocacy supporters differently?
A. Yes we ask donors to take action, and action-
takers to donate.
B. No, we treat them separately
C. Our organization does not engage in advocacy
at all

27. A Key Principle
• A recent study proves what we have long
suspected:
Online advocacy and
fundraising activities
complement -- and reinforce --
each other

28. SOURCE: Charitable Memberships, Volunteering and Discounts: Evidence from a Large-Scale
Online Field Experiment. May 2009, National Bureau of Economic Research, A. Lange, A.
Stocking. Sample size = > 700,000 subjects.
They are seven (7) times more likely to donate,
compared to supporters who did not previously
take an online action for the organization
• What is special
about
supporters who
take online
actions for a
nonprofit – such
as via pledge or
petition
campaigns?
Online Action Campaigns Fuel Fundraising

29. Multichannel Conversion
Strategies
• The welcome series (multi-channel)

30. Why Multichannel Conversion Matters
0
100
200
300
400
500
600
700
800
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
Other
Telemarke2ng
Direct
Mail
Online
• Many online-acquired leads convert online; others via DM or telemarketing
• Vendor helps make multi-channel conversion possible by providing
mailing addresses, along with email addresses, for leads recruited
DonorConversions/Mo.

31. Multi-Channel Fundraising
Case Study #1
Nature Conservancy Canada (NCC) is
a leading environmental charity that
conserves and protects areas of natural
diversity

32. • Channels Used
– Email, Direct Mail and Telemarketing
• Goals:
• Generate actions in support of NCC’s
mission and to build loyalty
• Generate new donors
• Including new monthly sustainer donors
Case Study

33. First welcome
email
Online Acquisition & Welcome
Email Series
8,000 new supporters
acquired from
Care2
!
Teva Harrison
From: TEST MESSAGE FROM: Nature Conservancy of Canada
[supporter.services@natureconservancy.ca]
Sent: March-26-2012 2:07 PM
To: Teva Harrison
Subject: Thank you for taking action to protect the Burrowing Owl
!
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!
Teva Harrison
From: TEST MESSAGE FROM: The Nature Conservancy of Canada
[supporter.services@natureconservancy.ca]
Sent: March-26-2012 2:37 PM
To: Teva Harrison
Subject: The Leaflet, March 2011 - A ssstartling discovery, Old-growth forests 101, and more!
!!!
If you received this newsletter from a friend and would like to receive it directly from NCC, sign up here.
March 2011
In this issue
"!###$%&$'()*!
+(#,-./&0!()!$1/!
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A ssstartling discovery in the badlands of
Alberta
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Old-growth forests 101
The badlands of Alberta, where the team set out
on their expedition (Photo by MULTISAR)
Most recent
newsletter
!
Teva Harrison
From: TEST MESSAGE FROM: Nature Conservancy of Canada
[supporter.services@natureconservancy.ca]
Sent: March-26-2012 2:16 PM
To: Teva Harrison
Subject: Teva: Make a Difference for Nature
!
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Donation appeal.
Tested two
versions:
“Opportunity”
and “Threat”
Survey
0 4 wks2 wks

34. Direct Mail and Telemarketing
4 wks 6 wks
Direct Mail Prospecting pieces
PLATE1BLACKPLATE2MAGENTAPLATE3CYANPLATE4YELLOWL56091.QXDMAC
To:
From:
I prefer to give through my credit card. Please charge my:
Charitable registration # 11924-6544-RR0001. We are happy to issue an official tax receipt for donations of $10 or more — others on request.
PLEASE RETURN THIS FORM WITH YOUR GIFT. DETACH FORM AT PERFORATIONS AND PLACE
IN RETURN ENVELOPE SUPPLIED. DO NOT PEEL APART. THANK YOU FOR YOUR SUPPORT.
Card #
Expiry Date
Email
I prefer to give by cheque (made payable to the Nature Conservancy of Canada).
Become a Monthly Donor!
Please see over...
DDoonnaattee oonnlliinnee aatt wwwwww..nnaattuurreeccoonnsseerrvvaannccyy..ccaa
Signature
Please fill in your email address so we can keep you up-to-date with the latest NCC news electronically.
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Here is my tax-creditable gift of:
Please use these
labels for CD's,
books, gifts,
mason jars, etc...
To:
From:
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This belongs to:
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I support the Nature Conservancy of Canada I support the Nature Conservancy of Canada I support the Nature Conservancy of Canada I support the Nature Conservancy of Canada
36 Eglinton Avenue West, Suite 400, Toronto, ON M4R 1A1
Toll Free: 1-800-465-8005
Email: supporter.services@natureconservancy.ca
Please do not forward cash.
wwwwww..nnaattuurreeccoonnsseerrvvaannccyy..ccaa
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999999999-09 P1B 685-DW-T
Telemarketing calls
Dear fellow Canadian,
Let me paint a scene for you.
A Grizzly paces back and forth, several metres from the busy road. He is
agitated and frustrated, wanting to move forward to new feeding grounds on the
other side of the highway but is disturbed by the cars and noise. He snorts his
irritation and slowly turns back to return the way he came.
This Grizzly’s situation is not unique. Roads, habitat destruction and other
human impacts are seriously fragmenting and reducing the remaining habitat for
Canada’s Grizzly Bear population. In fact, the Grizzly has already disappeared from
the prairies. And we have no viable options left today for reintroduction.
Did you know that Grizzlies have been wiped out from an estimated 50
percent of their previous range globally, and they’ve lost 98 percent of their range
in the lower 48 United States?
Grizzlies are a symbol of our great wilderness. And as Canadians, we are
lucky that we still have the opportunity to protect our native wild animals —
an opportunity that has been lost in many other countries around the world.
But only if we act now!
That’s where the Nature Conservancy of Canada (NCC) comes in. We are
Canada’s leading national charity dedicated to the direct protection of significant,
threatened habitat across the country. We work on private land with willing sellers,
securing the land by purchase, through donation or by putting conservation
agreements in place that will protect the land – and the species it supports.
Since 1962, with the support of our partners, NCC has helped to protect
more than 2 million acres of ecologically significant land nationwide.
If we want the Grizzly to survive, it’s crucial that we protect the natural
spaces where it ranges. That’s why I’m writing to you now. Please, will you send
a donation of $35, $50 or $100 today to help protect Grizzlies and other species
at risk? The land we conserve will give these amazing animals a chance to recover
their dwindling population and help to protect these Canadian treasures for us
and for our children.
The fragmentation of Grizzly habitat and their population is a major threat.
Grizzlies require vast tracts of land to survive and thrive as a species — the home
Will North America’s Grizzlies
take their last stand here in Canada?
Over, please…
36 Eglinton Avenue West, Suite 400 • Toronto, ON M4R 1A1
Toll Free: 1-800-465-8005
Email: supporter.services@natureconservancy.ca • Website: www.natureconservancy.ca S
5 wks

35. Cost to acquire = $20,000
Cost of DM and TM outreach = $34,284
Total Cost = $54,284
Total Revenue = $28,219
Net Annualized Cost Per Donor Acquired: $35.39
Net Annualized Cost Per Sustainer Acquired: $195.06
Average Gifts:
One-Time: $47.53
Monthly: $16.28 / month
Telemarketing DM
6.1 % conversion rate
• Including one-time donors and monthly sustainers (≈10 gifts/yr)
• Converted 88 to monthly sustainers so far
Case Study Results Results 11
Months After
Acquisition

36. Multi-Channel Fundraising
Case Study #2
Covenant House provides loving care
and vital services to homeless,
abandoned, abused, trafficked, and
exploited youth.

37. • Channels Used
– Email and Telemarketing
• Goals:
• Add new one-time
donors
• Add new monthly
sustainer donors
Case Study

38. Online Acquisition Welcome Series
0 4 wks2 wks
2 Video Stories
1st Welcome Email
54,000 new supporters
acquired from Care2
Donation Appeal

39. Telemarketing
4 wks 8 wks6 wks
Advocacy + Bed/
Blanket Appeal
Calls occurred during Oct – Dec 2013. In the end, only 30% of
planned calls were made due to time constraints and strategy.
Advocacy + Bed/
Blanket Appeal
Hurricane Sandy
Appeal
Hurricane Sandy
Appeal

40. December Email Appeals
Emails were sent throughout December 2013
8 wks 10 wks
Holiday Appeal
Bed Blanket Appeal Kevin’s Letter
Gift Catalog
Year-End
Appeal 1
Year-End
Appeal 2
12 wks

41. • With $24K in revenue after three months, Covenant
House had already recovered 1/3 of the cost to acquire
the online donor prospects
• 624 of the prospects (1.6%) had already converted into
donors within the first three months, and 11 of these
donors were monthly sustainers with a higher value
– It seems likely that they would have had even more
donor conversions if the organization used Direct Mail
as part of its mix.
• Roughly 80% of the Hurricane Sandy donors made a
subsequent donation during the year-end appeals
• Covenant House still has more than 30,000 donor
prospects on which to try telemarketing
Case Study – Key
Results and Lessons
Learned

42. Tip:
Speed (Recency) Matters
• LGBT advocacy
organization Human
Rights Campaign
reported donor pledge
rates via telemarketing
were 30 percent higher
for newly acquired online
leads if phone outreach
took place within first four
months after acquisition.
Source: 5700 phone contacts (over 12 mo.)
with HRC supporters who were recruited by
Care2.

43. • HRC’s acquisition campaign with Care2 included an
optional field for people to indicate if they were
themselves LGBT or not. This information enabled
HRC to do targeted Direct Mail pieces
Campaign Package Approach Response
Traditional 0.26%
September 2010
Targeted 0.61%
Traditional 0.35%
February 2011
Targeted 0.57%
Traditional 0.12%
Grand Total 0.32%
• DM packages with targeted (straight vs. LGBT) messaging
strongly out-performed the non-targeted packages
Tip:
Donors and Information from One
Channel Can Feed Another Channel

44. Caveats About Multi-channel Fundraising
• “Multi-channel donors are not always more valuable
than single-channel donors”
• Among donors to CARE making two or more gifts,
multi-channel donors were only $19 more valuable
($187 vs. $168)
• Among CARE donors with
highest
previous
gids
between
$500
and
$999,
single-­‐channel
donors
were
actually
worth
slightly
more
• SOURCE: M+R’s Sarah DiJulio and Steve Daigneault, from
presentation Bridge 2013 conference
Ø Another Caveat
• It’s not magic; and there is no free lunch.
• Patience, effort and trial-and-error testing are all required!

45. Question for YOU
• Poll Question 4: How many donations appeals do
you send (via all channels) to your donors and
supporters each year?
A. Zero to Six times per year
B. Seven to 12 times per year
C. 13 to 18 times per year
D. 19 to 24 times per year
E. 25 or more times per year

46. “How many fundraising emails should
you send per year?” (Hint: A lot)
“Email marketing is mainly a numbers game.”
“…You typically have a huge advantage in the long term if you own
the email list, as opposed to renting a Direct Mail list for acquiring
new supporters. This is mainly because owning a list of opted-in
supporters gives you the opportunity to develop a deeper
relationship over time with these people – and to be a lot more
aggressive with the frequency of your donation appeals because
you've already established brand recognition and trust…”
“In short, more good emails = more revenue.”
“If you look at the latest M+R Benchmark study, the number of
donation appeals sent per year to nonprofit supporters averages
about 24. If you break that down, it's two per month, on average.”
--Justin Perkins (Care2), from 8/28/13 Frogloop.com blog post
“How many fundraising emails should you send per year?”

47. Thanks!
Clint O’Brien
clint@care2team.com
@care2team
202-785-7308
Website: www.care2team.com

48. Resources
Online Marketing Benchmark Study for Nonprofits (by Blackbaud)
• www.blackbaud.com/nonprofit-resources/onlinemarketingstudy
2013 eNonprofit Benchmarks Study (by M+R and NTEN)
• www.e-benchmarksstudy.com
Frogloop – blog for nonprofit fundraising pro’s (by Care2)
• www.frogloop.com
Justin Perkins’ Frogloop post “How many fundraising emails
should you send per year?”
• http://www.frogloop.com/care2blog/2013/8/28/how-many-
fundraising-emails-should-you-send-a-year.html
Justin Perkins’ ROI calculator
• http://www.frogloop.com/breakeven-roi-calculator