afp international april 2010 jg v1
DESCRIPTION
TRANSCRIPT
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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www.paretofundraising.com