There’s a lot more to fundraising than just asking for the gift! There are 8 steps you can take to ensure a more stable future for your organization.
Join Kirsten Bullock and Jay Love for a discussion on fundraising and donor retention. Kirsten will draw on her years of experience to present a high level view of the eight steps to fundraising success, and Jay will offer best practices in donor retention to make sure you hold onto those donors!
13. Raising Awareness
High Engagement
Recruit friends/family
Upgrade monthly donation
Signup for monthly giving
Renew single donation
Make single donation
Make a phone call
Write a letter
Attend a "real world" event
Sign petition
Viral / Tell a friend
Send an e-postcard
Subscribe to e-Alerts / Issue Alerts
Subscribe to eNewsletter
Visit website
Low Engagement Source: http://groundwire.org
22. Double the Lifetime Value of
Your Database!
Jay B. Love
CEO & Co-Founder
Bloomerang
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23. “The total net contribution that a
customer/donor generates during
his/her lifetime in your database”
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Defining Lifetime Value »
24. “Active donor commitment is the enduring
passion for your nonprofit. Inspiring donors is
key for loyalty.”
- 101 Fundraising
Lifetime Value = Donor Commitment
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25. What does a 10% increase in donor
retention rates mean in terms of
LIFETIME dollars raised?
• 50%
• 100%
• 150-200%
Do you know your Retention %? »
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26. Improving donor retention rates by 10% can
improve LIFETIME dollars raised by?
• 150-200%!
(Do we have your attention yet?)
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Is Retention important for NPO’s? »
27. Let’s dig even deeper into “actual” NPO data . . .
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This scares most NPO Board Members »
Donor Attrition Over Five Years
# of Donors Attrition
Rate
Donors
Remaining
After 1 Year
Donors
Remaining
After 2
Years
Donors
Remaining
After 3
Years
Donors
Remaining
After 4
Years
Donors
Remaining
After 5
Years
1,000 20% 800 640 512 410 328
1,000 40% 600 360 216 130 78
1,000 60% 400 160 64 26 10
30. CUE THE EXPERTS:
Dr. Adrian Sargeant
Bloomerang Chief Scientist
Professor of Fundraising at the Center on
Philanthropy at Indiana University holding
what is presently the world’s only endowed
chair in that discipline.
Top 10 Most Influential People in Fundraising
Renowned expert on Donor Retention and
Donor Loyalty
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Mr. Tom Ahern
Bloomerang Donor
Communications Head Coach
One of the world’s top authorities on donor
communications
Author of 4 books on Donor Communications
Winner of 3 prestigious international IABC Gold
Quill awards
31. DONOR RETENTION BEST PRACTICES
Dr. Adrian Sargeant
Bloomerang Chief Scientist
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“A 10% improvement in retention can double
the LIFETIME value of your donor database!”
32. # of Donors in Current 12 Months
(from the previous years pool)
Divided by
# of Donors in Previous 12 Months
Calculating Your Retention Rate »
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36. Why Do Customers Leave?
(can this apply to donors . . .)
• Death 1%
• Relocation 3%
• Won by Competitor 5%
• Bad Complaint Handling 14%
• Lack of Interest from Us 77%
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37. Key Reasons For Donors Leaving
• No longer able to afford support
• No memory of ever supporting!
• Organization asked for inappropriate sums
• Feeling that other causes are more deserving
• Not reminded to give again
• Organization did not inform how monies were
used
• Did not feel connected!
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39. Automatic Engagement Factors
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• Recency and pattern of
giving
• Cash donors vs.
sustaining donors
• # of years giving +
• Upgrade /
Downgrade + -
• Lapsed -
• Event attendance +
• Opens email +
• Click links in emails +
• Unsubscribes
from email -
• Has stated
communication
preferences +
• Has inbound
interactions +
• Has soft credits +
• Volunteers +
• Social Media
(coming soon)
• …and a whole lot more!
40. 6 Key Retention Drivers
(That can double lifetime value)
• Drip feed mission performance data
• Connect often
• Be personal (SEGMENT)
• Develop like a good personal friendship
• Find & use numerous human connectors
• Always communicate what monies are doing!
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41. Conclusion:
So Strive For:
• Donor Satisfaction
• Donor Commitment/Engagement (which . . .)
• Donor Trust
• Donor Loyalty (close your eyes)
Doubling Your Lifetime Value = ?
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Now I have to confess, when I was growing up, I did not dream about becoming a fundraising professional some day. I’m pretty sure I didn’t even know that it was a possibility.But, I was introduced to nonprofits from a very young age. I spent about 10 summers, from age 2 to age 12, at a camp for kids with physical disabilities. That experience, combined with having a brother with Duchenne Muscular Dystrophy, had a profound impact on my life. It taught me to get to know people on the inside – rather than making assumptions. And, it taught me that there are lots of little ways that I can help make the world a better place.It was at an Arts school in North Carolina, majoring in Stage Management, when I was first introduced to philanthropy. My work study assignment was in the Foundation, making copies of news clippings about famous graduates. Four years later, when I was working towards my Bachelors degree in social work, I ended up completing my internship at the foundation at a local hospital – and I was hooked. After taking a break to complete my Masters in Business, I returned to nonprofits as the development director for a community health center. It was there that I experienced the thrill of growing a development program from the ground up. In a three-year time period, we went from $200,000 to $1,378,249 in non-federal grant funds raised. In addition, they had been through five different development directors in the five years prior to my arrival. But since I left that position over ten years ago, they’ve had just one.Since that time, I’ve had the honor and privilege to work with over two dozen organizations in various capacities. These have ranged from small local startups to multi-million dollar organizations. But enough about me. Let’s get started!