dm in practicedm in practice - fundraising institute australia · 1. add an online component to all...

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Relationship Marketing and Direct Response

DM in practice Synchronizing yourDM in practice – Synchronizing your online/offline fundraising

Meredith Campbell

Plenary hallPlenary hallThursday 24 February 2011


Session Overview• Setting the sceneg

• Why does multi-channel matter?

• Building your online strategy- RCHF case study- Key tips and tricks to get started

• Integrating offline and online campaigns- RCHF case study- Key tips and tricks to get started

• Questions?

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Setting the sceneWho’s in the house?Who s in the house?

• What size organisation do you work for?


Setting the sceneWhat’s in your tool box?What s in your tool box?

Does your organisation have or use:

• Email appeals to supporters• Email newsletters

Website ith online donation capacit• Website with online donation capacity• Peer to peer online fundraising system?

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Why does multi-channel matter?What does multi-channel integration mean?What does multi channel integration mean?

• Mail• Phone• Website• Email

Ad ertising digital print radio tele ision o tdoor• Advertising – digital, print, radio, television, outdoor• Face to face


Why does multi-channel matter?Why does online matter?Why does online matter?

• Online giving growth in the US in 2010 averaged 20%• 40% of donors always go online before making a donation

(either online or offline) • 49%of online mid-level and major donors always visit a

nonprofit’s website before making a first time gift online ornonprofit s website before making a first time gift online or offline.

• 38% of an organisation’s success in building its email file comes from it’s amount of website traffic.

• 30 – 40% of online giving in the US happens in December (Christmas and EOFY), with 22% in the last 48 hours.

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Why does multi-channel matter?• In 2009, median revenue per donor for multi-channelIn 2009, median revenue per donor for multi channel

supporters was $339 compared to $88 for offline and $170 for online donors.

• First year retention for multi-channel donors was 51% compared to 30% for offline donors, and 22% for online donors.

• Multi-year multi-channel donor retention was 75%, compared to 30% for offline and 22% for online donors.

• Reactivation rate for multi-channel donors was 16%, compared to 7% for online and offline donors.

*2009 Trends from Target Analytics (Blackbaud) donorCentrics Internet Giving Benchmarking Group


Building your online strategyRCHF Case StudyRCHF Case Study

• Implemented at the beginning of the 2009/10 financial year• Generating $1,110,101.41 in revenue, an increase of 427% in

just one year• Increase in new supporters acquired of 337%• Increase in the number of online gifts of 1600%• Increase in the number of online gifts of 1600%. • Online income now represents 7.42% of our annual income, a

400% increase on the previous year, and above the US industry benchmark* of 5.1%.

*2010 eNonprofit Benchmark Study

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Income 2008/2009 2009/2010P2P Renewal $ 5,716.88 $ 89,592.58P2P Acquisition $ 30,246.95 $ 512,624.25Online Renewal $ 71,942.61 $ 87,813.42Online Acquisition $ 61,350.51 $ 146,620.55Event Registrations $ 41,175.00 $ 273,450.61Total Online Income $ 210,431.95 $1,110,101.41



Donor Acquisition 2008/2009 2009/2010Peer to peer online 554 9,555Other online 870 1,355Direct mail 1,016 1,492Online event registrants 1,887 6,502gTotal New Supporters 4,327 18,904

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Building your online strategyKey tips and tricks to get startedKey tips and tricks to get started

1. Add an online component to all existing offline fundraising campaigns.

Peer to peer online fundraising strategies were added to all offline events; donor direct mail was supported with banner advertising on our website, linked to campaign pages featuring the direct mail story, video links to hear from researchers and the featured children and families in our appeals, and message boards to send personal good wishes. www.workingwonders.com.au


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2. Provide an enhanced online experience for donors and supporters with interactive tools and multimedia that integrate into their daily digital life.

Video was introduced extensively on our website to bring our stories to life; video emails were used to drive online donations and recruitment for events; facebook campaigns recruited 2,100 fans in 12 months, with monthly growth averaging 8%, compared to US benchmark of 3.75%. http://www.facebook.com/workingwonders


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3. Implement an enhanced online peer to peer fundraising platform, coupled with smartphone and facebook apps, and support with targeted direct marketing strategies to maximize fundraising.

http://www.artez.com/webinars/how_to_climb_everest_without_leaving_town


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4. Implement a digital donor cultivation strategy employing facebook and e-newsletters to build donor loyalty.

Our e-newsletters averaged a 23% open rate and 3% click throughs (compared to US industry benchmark of 14.57%, and 2.78% respectively). DM campaigns and events are launched and communicated via facebook first, generating our highest post quality ratings and fan engagement rates.


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5. Implement and test a multi-channel donor renewal and acquisition strategy employing phone, mail and digital channels.


Integrating offline and online campaigns RCHF Case Study – Kids Christmas Appeal 2010RCHF Case Study Kids Christmas Appeal 2010

• B105 metro and Prime regional radio appeals (phone, online, DM)

• Retail wall token and merchandise sales (IGA, BigW, Coles etc)

• Donor direct marketing renewal and acquisitionDonor direct marketing renewal and acquisition• Advertising (television, print, outdoor, digital)• Corporate and major gifts

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• Integrated branding around Wonder Bauble (except for third party fundraising).

• Digital advertising and digital renewal, acquisition and cultivation strategies and custom applications.

• Key challenges – email provider, late DM lodgementKey challenges email provider, late DM lodgement precluding mail chaser


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B105 Christmas Appeal eDM Campaign

18 October DM Renewal lodged9 November First Email Chaser25 No ember Second Email Chaser25 November Second Email Chaser29 November Radio Appeal launches on-air9 December Third Email Chaser10 December On-air appeal ends


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Integrating offline and online campaigns RCHF Case Study – Kids Christmas Appeal 2010RCHF Case Study Kids Christmas Appeal 2010B105 Christmas Appeal eDM

Email Open RateBenchmark 12.82%

Click throughsBenchmark 0.78%

Online Resp.Benchmark 0.13%

Total Resp.

Chaser 1 21.57% 2.04% 0.49% 1.00%Chaser 2 15.61% 2.34% 1.83% 5.82%Chaser 3 18.74% 3.83% 3.16% 6.33%

• $9,970 donated online, $18,593 offline.• Total cost $63.

Total 5.02% 12.25%



• Online Peer to Peer donor eDM fundraising email test.• Interactive “Sponsor a Bauble” vs child’s story• Tested direct mail chaser to non-reponsive online peer to peer

donors.

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Integrating offline and online campaigns RCHF Case Study – Kids Christmas Appeal 2010RCHF Case Study Kids Christmas Appeal 2010Online Peer to Peer Donor eDM Results




Total Resp.

Test ASponsor a Bauble

22.49% 2.75% 0.42% 0.52%

Test BChristian’s Story

23.10% 1.16% 0.11% 0.31%Christian s Story

CampaignSponsor a Bauble

24.37% 1.59% 0.31% 0.63%

Test BChaser

23.06% 1.29% 0.80% 2.79%

Test A Chaser

26.38% 2.05% 2.48% 2.92%



• Direct mail chaser achieved 1% response rate with $67 average gift.

• Combined with eDM, overall response rate for each segment was 2.79% and 2.92% respectively.

• $6,325 raised online at a cost of $71.84 for email campaigns, average online donation $140average online donation $140.

• A further $31,200 donated offline, either in response to the direct mail chaser, or by phone and other mail.

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Online peer to peer fundraisersEmail Open Rate

Benchmark 12.82%Click throughs

Benchmark 0.78%Online Resp.Benchmark 0.13%

Total Resp.

Under $100 fundraiser

16.85% 1.37% 0.47% 0.61%

Over $100 18.45% 1.82% 0.98% 0.98%fundraiser


Integrating offline and online campaigns RCHF Case Study – Kids Christmas Appeal 2010RCHF Case Study Kids Christmas Appeal 2010eDM to bought email acquisition list



Test ASponsor a Bauble

22.12% 3.32%

Test BChristian’s Story

17.68% 1.91%

Campaign 23 76% 2 56%

• 0.95% response rate (donors/prospects) or a 0.53% response rate (donors/emails sent)

• DM chaser 0.25% response rate, average donation of $30

CampaignSponsor a Bauble

23.76% 2.56%

Chaser 20.69% 1.38%

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DM Donor Renewal – eDM chaser




Total Resp.

Chaser 18.45% 1.82% 0.40% 2.23%

• Generated $3,360 online gifts, $12,766.40 offline, average gift over $200

• Total cost $29.00



Donor engagement

• Email postcard• Online wonder bauble with messages• Television ad• Facebook posts• Wonder bauble arrival at hospital• Follow up postcard

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Integrating offline and online campaigns


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• 19% response rate to postcard insert• 234 new email addresses, 16 changed email addresses, 68

confirmed no email address.• Positive impact on overall DM response rate• Email Open rates 58 – 78% click through rates 25 – 42%• Email Open rates 58 – 78%, click through rates 25 – 42%



Key challenges:

• Collapse of our email marketing service impacted on creative outcomes for email briefs.

• Better click to conversion tracking needed to simplifyBetter click to conversion tracking needed to simplify evaluation and allow quicker adjustment to strategy.

• Load time for flash apps was not optimal, but alternative donation options were available.

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Key learnings:

1. An interactive ask such as “Sponsor a Bauble” will generate higher click through rates, average donations, and response rates than a standard fundraising ask. The metrics we gachieved for the standard donation ask however, were still higher than the US benchmarks.



2. Online peer to peer donors, and online peer to peer fundraisers, will convert to organizational donors. The cheap cost of email makes the renewal of these donors particularly cost effective, but even combined with direct mail, outperforms many direct mail acquisition response rates, and average donation is very high. The direct mail chaser results on their own indicate that these donors may also be direct mail as well as e-DM responsive.

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3. Email acquisition response rates were higher than the US benchmarks for email renewal, and generated a profit. The response rate to the direct mail chaser was lower, and lower also than the direct mail chaser to existing online peer to peer donors, and may not be as cost effective.



4. The email chaser to the direct mail renewal campaign was incredibly successful, not only in generating online response, but significant offline response, and very cost effective.

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5. The donor engagement strategy not only acquired a significant number of email addresses for our database, but the high open rates and click through rates demonstrated its effectiveness in building relationships and online engagement.


Integrating offline and online campaigns Key tips and tricks to get you started:Key tips and tricks to get you started:

• Measure from open rates, to clicks, to conversion• Benchmark• Test• Research

C lti ate as ell as solicit• Cultivate as well as solicit• Understand how your donors would like to be communicated

with• Surprise and delight your donors and prospects!

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Integrating offline and online campaigns Useful references:Useful references:

• 2010 eNonprofit Benchmarks Study and Social Media Study• The Convio Online Nonprofit Benchmark Study• The Network for Good Online Giving Index 2010• “Internet Management for Nonprofits”, Ted Hart et al

“Gro nds ell” Forrester Research• “Groundswell”, Forrester Research• Chronicle of Philanthropy• Artez.com (podcasts, webinars, Everest case study)• Smart people!


Questions?

[email protected]

0412 653 2020412 653 202

http://au.linkedin.com/in/meredithcampbellau

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dm in practicedm in practice - fundraising institute australia · 1. add an online component to all...

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