Ask Direct, Presented to Damian's clients

1. Your One-Page Guaranteed*-to-Work Legacy
Program (*Guaranteed-to-Work if You Have
Good
Donors and You Execute the Plan with
Copy, Stories and Design)
Sean Triner
Sean.triner@paretofundraising.com

2. Welcome

3. Commercial in confidence ©Pareto
Fundraising 2012
A bit about
Sean Triner

4. About me

5. The Best Legacy
….
Strategy
Ever?
Why Bother?

6. Why Bother?
• Long-term income
• Financial sustainability
• Important part of a diversified fundraising
strategy
• The ability to do even more good work
• What else?

7. Mal Warwick defines opportunity cost as
“The number you would have raised – if only you had done things right!”
Opportunity cost

8. Opportunity cost
Medium bequest
program
€2.9 million
(.5% x €29k)
Hot bequest program
€ 8.7 million
(1.5% x €29k)
Mild (or no) bequest program
€580,000 future bequest income
(0.1% x NZ €29k)
Imagine.
You have 20,000 people who donate, or have donated in the past ten years.
Average bequest of just €25,000 (just!)

9. Opportunity cost
Medium bequest
program
€2.5 million
(.5% x €25k)
Hot bequest program
€ 7.5 million
(1.5% x €25k)
Mild (or no) bequest program
€500,000 future bequest income
(0.1% x €25k)

10. Your current income and investment

11. Not investing – properly – in bequests is
just plain stupid.
But most charities don’t invest enough…
…and most fundraisers aren’t stupid.
So…. Why don’t we invest enough?

12. The Best Legacy
….
Strategy
Ever?

13. Commercial in confidence ©Pareto
Fundraising 2012

16. Option 3:
Your
one-page
bequest
strategy

17. Three bequest strategies
Visitation
This
plan
None
The most cost effective traditional fundraising
program. Expect ROI of 20-50:1.
Relies on individual staff sales skill and staff
retention: major donor type skillsets.
The most cost effective fundraising program ever.
Beats visitation BUT visitation is still brilliant, so do
both. Expect ROI of 50-200:1.
Relies on project management, follows a formula.
Low staff costs, higher direct costs (mail, phone).
Safer in that it doesn’t rely on key staff – any direct
marketeer can do it. Needs specialist copy & scripting.

18. Pledged Bequest rate
of loyal (5+ gifts), $50+ Active cash donors (by Charity)
18
0
20,000
40,000
60,000
80,000
100,000
120,000
0%
2%
4%
6%
8%
10%
12%
14%
16%
18%
20%
LDH
RSPCA
QLD
Bush
Heritage
ACF
IHC
UNICEF
NZ
Guide
Dogs
VIC
Mary
Potter
Greenpeace
NZ
WWF
NZ
RSPCA
SA
CCNSW
Peter
Mac
WWF
AU
RFDS
SE
Amnesty
CBMI
Alfred
Heart
AU
Leprosy
M.
Oxfam
AU
Berry
St
MSF
AU
Baker
IDI
TCCQLD
CBMI
NZ
RNZFB
OXFAM
NZ
RFDS
VIC
Starship
Mater
Fdn
CCIA
Vision
Habitat
CHW
Lifeflight
CPA
Environment
Vic
RFDS
WA
SEDA
Stroke
PSEC
Yooralla
YOTS
Independence
Catholic
M.
A4UNHCR
Red
Cross
AU
Surf
LS
Starlight
HRC
SCHF
Make
a
Wish
World
Vision
Confirmed BQ % Loyal Donors
PFBM10_Analysis_ALL_v2.xlsm
Charities with plans like this
one, visitation and >3 years
Visitation strategy charities,
usually bequest/major donor
people
NO bequest marketing, or new
Charity names hidden under here, sorry. 

19. Discuss your strategies….

20. What about your legacies

22. ANALYTICAL
-Your Growth
- Your donor
Behaviour
-Used for targeting
ENVIRONMENTAL
-How much is given
- Growth
- Competition
PERSONAL
-Transactions
- Legacy status
- Pet name
STRATEGIC DATA
- informs
TECHNICAL DATA
- used

23. Bequests / Legacies
Major Donors Regular Giving
Cash Donors
All Supporters
Government
Trusts & Foundations
Corporate &
Events
Associations &
Groups
The Big Picture
Individuals
Organisations

24. Focus Groups
Focus
Groups
I

25. • Stone and Stone Focus Group

26. Focus Groups
Focus
Groups
I
For actually marketing bequests!

28. Start with some data

29. Start with some data

30. Source of contributions

32. PARETO FUNDRAISING
BENCHMARKING
INDIVIDUAL GIVING: TRENDS REPORT 2012
© 2012

33. 2012 Members

34. Likely bequestors…

35. Average legacy
by year, excluding gifts below $1k
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
$0 $10 $20 $30 $40 $50 $60 $70
Thousands
Average Bequest Amount
PFBM9_IncomeSummary_v1.xls1
m
6
Year
$50
$46
$50
$49
$58
$59
$53
$56
$56
$53

36. Pledged legacy rate
by year of first gift
0.6%
Expect longer term donors to be more
likely to put you in their will:
0.5%
•
•
They have been asked more times.
They are committed supporters.
0.4%
0.3%
0.2%
0.1%
0.0%
PFBM9_Analysis_ALL_v5.xlsm
17
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
• They are older.
• They have been asked more t
• They are committed supporte

37. Pledged legacy rate
by recency of cash gift (months)
1.0%
0.9%
0.8%
0.7%
0.6%
0.5%
0.4%
0.3%
0.2%
0.1%
0.0%
0-12 13-24 25-36 37-48 49-60 61-72 73-84 85+
PFBM9_Analysis_ALL_v5.xlsm
18
Recency of cash gift also correlates with
likelihood to be a legacy pledger

38. Pledged legacy rate
by number of cash gifts
3.0%
Number of previous cash gifts correlates
strongly with intention to legacy
2.5%
2.0%
1.5%
1.0%
0.5%
0.0%
10+ 9 8 7 6 5 4 3 2 1
PFBM9_Analysis_ALL_v5.xlsm
19

39. Pledged legacy rate
by Value of highest cash gift
7.0% 3,500
6.0% 3,000
5.0% 2,500
4.0% 2,000
3.0% 1,500
2.0% 1,000
1.0% 500
0.0% 0
Conf BQ Penetration No. of Conf BQ
PFBM9_Analysis_ALL_v5.xl2
sm
0

40. Pledged legacy
by type of support
rate
4.0%
Donors who support more in life intend to
support more in death, with the absolute
3.5%
3.0%
2.5%
2.0%
1.5%
1.0%
0.5%
0.0%
PFBM9_Analysis_ALL_v5.xlsm
21
exception of face to face recruited donors.

42. Beyond donors…
International Journal of
Nonprofit and Voluntary
Sector Marketing 2009
Help the Aged

43. The €5 crazy cat lady…?

44. Are you budgeting for 2051?

45. Face to face don’t make good
bequestors

48. Summary –
best prospects
• Age - 60+
• Giving history
– Loyalty - how long have they been given
– Frequency - how often
– Recency - how long ago
– Value - how much (can indicate value)
– Tenure (a special measure)

49. Who do you have you can go to?

50. Sowing the seeds for bequests
• Who are your future bequestors? Are you
acquiring the right donors?
– DM mail/telephone donor acquisition
– Non face-to-face regular givers
• Build donor loyalty
– Amazing customer service
– Relaying the impact of the donor’s support

51. Let’s start
with
marketing
and touch
points

52. General bequest marketing
• Building a culture of bequests
• Including bequests in more of what you do
• Getting people ‘used’ to the idea
• “Touchpoints”
– Newsletters
– PSs on receipt letters/ bequest inserts
– Talking about bq at functions & events

53. Newsletter articles

55. Other parts of your bequest
marketing toolkit

56. Your website

57. Now for
prospecting
and lead
generation

58. Let’s look at surveys in more detail…

59. Survey Follow up
When asking about monthly gifts too
RG = monthly giving

60. Other bequest lead generation
ideas
• Bequest letter (with phone followup)
• Show-and-tell functions that ask for a
bequest (with phone followup)
• Inserts - brochures, bookmarks, postcards -
in mailings (with measurable call to action)
• Add a PS with a measureable call to action
on letters from time to time
• What else?

61. Following
through and
closing the
deal

62. Woody
Allen said
“80% of
success is
turning up”
80 % of
bequest
success
is in the
follow up

63. Your bequest “pack”
• Ask for a bequest
• Answer key questions
– Why is it so important that the donor puts you
in his/her Will?
– What will the donors bequest achieve?
• Tell stories
– Bequestor testimonials
– Beneficiary stories (case studies)

64. • Provide useful information
– Suggested wording
– Types of bequest (promote
residuary/percentage bequests)
– Encourage people to contact you
• Thank
– Thank for past support
– Thank for considering a bequest

65. Want to see one?

71. Who do you have you can go to?

72. Your bequest “pack”
• Ask for a bequest
• Answer key questions
– Why is it so important that the donor puts you
in his/her Will?
– What will the donors bequest achieve?
• Tell stories
– Bequestor testimonials
– Beneficiary stories (case studies)

73. Let’s watch a video
• Write down the
techniques you think are
being used

74. Building
ongoing
donor
loyalty

75. Building donor loyalty
• Thank people for their bequest (including
donor care letters)
• Invite to thank you/show-and-tell functions
• Keep mailing them appeals unless they ask
you to stop (don’t quarantine your bequest
donors)
• What else can you do that is special?

76. • Johnny the Bagger

77. Measuring your Success
Please don’t speed legacy income up.
Wait.
Measure pledges.

79. Set your targets!
Underperforming < 1% of loyal (5+
gifts) €30+, active cash donors
Best is 10-18% of loyal (5+ gifts)
€30 +, active cash donors
Your target? 5% or higher of loyal
(5+ gifts) €30 +, active cash donors

80. Use the Phone

81. Phone campaign reporting (from
DM or survey followup)
Outcome of bequest calls: No. %
Confirmed Bequest - set amount 5 0.84%
Confirmed Bequest - residuary/percentage 4 0.68%
Confirmed Bequest - type unknown 48 8.11%
Total Confirmed 57 9.63%
Intending to make a bequest 255 43.07%
Considering a bequest 106 17.91%
Not interested at the moment 56 9.46%
Not interested in bequests at all 116 19.59%
Deceased 2 0.34%
Total Contacts 592 100.00%

82. Keep going:
Confirmed bequests per year

83. Estimated value of NEW
confirmed

84. Measuring touchpoints
• # of bequest stories in newsletters
• # of letters where bequests are promoted
(but not the main purpose of the letter)
• # of letters where donors are directly asked
for a bequest (sole purpose of the letter)
• # of PSs on thank you letters...
• What else?

85. Example bequest comms plan
Month/Year Activity
January/February 2013 Newsletter bequest article
February 2013 Annual supporter survey
February/March 2013 Bequest follow-up from survey (phone)
April/May 2013 Newsletter bequest article
May/June/July Tax appeal receipts - Bequest PS on receipt letter -
including small bequest item (for donors who have
given for 2 years or more)
July 2013 Donor Care Letter - including thanking donors who have
made a bequest, as well as encouraging those who
might consider a bequest - include a bequest bookmark
July/August 2013 Newsletter bequest article
October/November 2013 Newsletter bequest article
2014 Include a bequest direct mail letter (with phone
followup) in the 2014 comms plan - Perhaps in
August/Sept)
Phone
conversations

86. Key indicators of high performing
bequest program
• A strong culture of bequests throughout
the whole organisation
• Regular bequest asks, particularly through
donor surveys
• A stable ongoing bequest program with a
genuine strategy and adequate budget
• High levels of donor loyalty

87. Modelling
Bequests

88. ‘Classic’ donors
Direct mail,
phone and
lottery
Regular givers – direct
mail, phone, DRTV
Regular givers –
F2F
Child Sponsors – DRTV, F2F
Make sure you keep getting older
donors!!!
Demographic chart

89. Older is better

91. Thanks a million!
Let’s make sure YOUR plan works…

92. Legacy pack - example