Accepting Online Donations

NPower

www.npower.org

Workshop Overview

• A definition of “Online Fundraising”• The promise & reality of online fundraising• Success stories • Management issues to consider• Action steps

Offline vs. Online fundraising

“If you know how to succeed offline, you know how to succeed online.”

~ ePhilanthropywww.ephilanthropy.org

Offline vs. Online fundraising

What are your current offline fundraising strategies? Let’s brainstorm…

Are there opportunities for technology to enhance those strategies?

The Promise of Online Fundraising

• New breed of potential donor that is accustomed to transacting on the Internet

• More convenient for donors• 85% of charitable giving in the US comes from PEOPLE

(Giving USA)• Higher follow through rate than mail-in• Average gifts tend to be higher online• Americans are increasingly making the Internet their

preferred means of community involvement & citizen participation*

*According to a study released by the Pew Internet & American Life Project

The reality of online fundraising

• Still accounts for only a small percent of money raised by nonprofits

• Most successful for large, nationally branded orgs or smaller, web-grown orgs with a unique constituency or “gimmick”

• Not a get rich quick scheme

• Donors/users demand a secure, easy to use, clear process for making gifts

• Time & strategy intensive

How many of you have given online?

• What are the barriers?

• What are the benefits?

• What do you expect in order to feel comfortable giving?

Success Stories – The Heifer Project

Success Stories - Surfrider

Success Stories – Public Libraries

• Posting wish-lists on their websites with links to Amazon.com bookseller

• Posting lists right on Amazon.com• Oakland, CA to Scandinavia,Wisconsin,

population 349

Action Steps for On-Line Giving

Active Solicitation

“If you build it, they will NOT necessarily come!”

• Who’s your audience?

• What compelling reason are you giving them to visit your site?

• How are you driving them there?

• Why would they return?

(Easter Seals Activity)

Actions Steps for On-Line Giving

Choosing someone to accept & process your donations online.

• The TCO of hosting your own secure giving page is HIGH!

Merchant account fees

Website design & updates

Tech Support

Online Donations Partners

Cheapest (but least flexible): www.NetworkforGood.org www.JustGive.org

Affordable: DonateNow 2.0

• From www.Groundspring.org

Fully-Integrated Packages: Kintera, BlackBaud, eTapestry, Convio, etc.

Many others at www.affinityresources.com

Network For Good

• Powered by Guidestar

• Partnership between AOL Timewarner, Cisco, & Yahoo

• Online gift acceptance for nonprofits at 3%

© ePhilanthropyFoundation.org

• Successful online fundraising means being aware of state regulations and seeking advice if necessary…

a) 39 states require that organizations register for charitable solicitation if they are going to fundraise in that state

b) If you are using email or web to solicit funds, that may extend beyond your home state boundaries

c) You may need to register in other states as a charitable solicitor.

IF A & B, THEN C!

Managing for Successful Online Fundraising

© ePhilanthropyFoundation.org

Charleston Principles

You might need to register as a Professional Solicitor in a state other than your home state if…

• You receive a significant amount of individual donations from that state

• You receive a significant amount of contributions from that state

• You are directly targeting donors from that state

Always seek legal counsel if you are not sure!

© ePhilanthropyFoundation.org

(For more information, visit http://www.nasconet.org)

The Universal Registration Statement

• The URS helps you register as a Charitable Solicitor in 35 of 39 states that require it

• Most useful to nonprofits that solicit regionally or nationally, but can be used by any nonprofit

Visit http://www.multistatefiling.org/ for more info or to fill out the URS

Small steps for Success

• Start collecting email addresses – today!

• Compare some online donations processors

• Register and/or update your info on www.Guidestar.org and www.idealist.org.

• Make your current website donor-friendly.

• Make your own gift online & learn from it!

• Visit www.groundspring.org to download the Online Fundraising Handbook

Did you get all that?

• Successful online fundraising means a successful communications strategy… Big picture – what is your overall communications

strategy? How will you integrate off-line communication strategies

with online ones?

• Successful online fundraising means strong mission connections… “Just because you can, doesn’t mean you should.” Use technology to enhance or complement your bricks

& mortar fundraising efforts

Did you get all this?

• Successful online fundraising means dedicating resources… Designate sufficient staff resources: time, energy, training Allow ample planning time and enough time to bring in wide

range of players

• Successful online fundraising means setting realistic goals… Be patient. Don’t expect your bottom line to skyrocket just because you

introduced an e-strategy

Any Questions?

“One day quite soon, we won’t be using terms like e-fundraising and Internet-based fundraising. We will just talk about plain old fundraising, and the Internet will just be another tool. Another channel for communication.”

- Adam Corson-Finnerty, Development Officer, Author