how to stop donor churn before it starts

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How to Stop Donor Churn Before It Starts 1

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Page 1: How to stop donor churn before it starts

How to Stop Donor Churn Before It Starts

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Page 2: How to stop donor churn before it starts

Start with point of view on how churn works

Page 3: How to stop donor churn before it starts

If you don’t have a point of view all your effort is random.

Random won’t work.

Page 4: How to stop donor churn before it starts

Your interactions with your donors, across channels, actually matter.

Whether those donors give and stick around is

determined by the quality of those interactions

Our Point of View

Page 5: How to stop donor churn before it starts

Pre-churn Root Causes Final Trigger Post-churn

• Anything done or communicated in acquisition process, or through marketing and brand that sets expectations not met by experiences as donor

• This lack of consistency prevents Functional Connection from being established.

• Interactions across channels that do not meet donor’s needs or requirements.

• No matter how much torture transactional data you will never fully know answer to whether the interaction was positive or negative.

• Only way to know is to ask them.

• The decision to stop giving or doing on behalf of the charity.

• It can be a negative interaction with the organization or merely exposure to competitor marketing.

• Trying to fix the problem here is high cost and low benefit. In short, it is too late.

• The time gap between pre-churn and final trigger can be years.

• Unless this is a monthly donor the charity won’t know about the decision to stop giving.

• They will send comms for arbitrary amount of time (e.g. 24 months) and then stop.

• Then, at an equally arbitrary time frame the charity will elect to start marketing to this donor again.

• Because this re-marketing never address root cause or even final trigger they tend to reinforce the decision to exit.

Churn Point

Page 6: How to stop donor churn before it starts

“All the quantitative data you and I have from our web analytics tools is really good at helping us understanding the What happened. Visits and Visitors, pages viewed, referrers, keywords, bounces, paths, campaigns, and so on and so forth. All critical data that helps you step up your game – improve your campaigns, fix pages, fire someone. It cannot, no matter how much you torture the data, tell you Why something happened.” Avinash Kaushik, Digital Marketing Evangelist for Google

How Do You Do Root Cause?

The “Why” business of cause and effect cannot be done with RFM

Page 7: How to stop donor churn before it starts

Two Parts:

1. Find out which touchpoints matter (scale, fix, drop)

2. Service those touchpoints by servicing the donors having the experiences.

Page 8: How to stop donor churn before it starts

Commitment to Organization

Functional Connection

Personal Connection

Behavior Constituent Experiences • Brand (i.e. Key Messages) • Marketing/Comms • Donor Service • Fundraising • Operations

Personal • I feel like I have a relationship with ORG • I have an emotional connection to ORG • ORG is very responsive to donor needs

Commitment • I am a committed ORG donor • I feel a sense of loyalty to ORG • ORG is my favorite charitable organization

Functional • I feel like I know what to expect from ORG • I get good value for the donations I make to ORG • My donations are put to good use at ORG

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Page 9: How to stop donor churn before it starts

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6 3 3 Key Experience • Redo welcome kit • Make consistent with

acquisition piece and acknowledgement

Not Key Experience • Drop magazine

Key Experience • Change messaging on

two appeals based on message audit

• Functional Connection Consistency

Key Experience • Increase

frequency of enews

Key Experience • Change sequence of

acknowledgment so comes before welcome kit

• Fix it

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Build Personal Connection • 2 Way Communication • Solicit Feedback Tied to

Inbound Donor Service Inquires

Page 10: How to stop donor churn before it starts

“Best practices” and randomness. Random Won’t Work.

Page 11: How to stop donor churn before it starts

Part 2

Continuously service the touchpoints and the donors having the experiences

Page 12: How to stop donor churn before it starts

It is impossible to be donor-centric unless get in the game collecting and acting on donor feedback.

Page 13: How to stop donor churn before it starts

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Does IHOP care more about its customers than you do about your donors? Don’t be less good than IHOP.

38% of outbound marketing calls are for customer satisfaction or loyalty in commercial world vs. 1% in nonprofit

Page 14: How to stop donor churn before it starts

• The act of providing feedback changes behavior • If there was ever a silver-bullet, this is it.

Product Purchase Attrition Profit

TestControl

Performance Snap Shot Six Months AFTER Test

So what was this test? A single instance of collecting feedback.

Page 15: How to stop donor churn before it starts

1. Collect Feedback • Administered through web, IVR, email

or live person • Ask Commitment questions • Ask transactional/diagnostic questions

– first call resolution for inbound donor service calls

– overall satisfaction with call for outbound TM, – Ease of process for online donation – Why donor did not give for those who exit

donation page without converting.

2. Apply business rules based on feedback

• Segment constituents based on relationship strength and satisfaction with interaction

• Send automated email response to close loop for scale.

3. Case Management

• Escalation file – high touch, remediation

• Loyalty calls – high touch, relationship build

Page 16: How to stop donor churn before it starts

TouchPoint Specific Examples

Page 17: How to stop donor churn before it starts

Two Parts:

1. Find out which touchpoints matter (scale, fix, drop)

2. Service those touchpoints by servicing the donors having the experiences.

Page 18: How to stop donor churn before it starts

Intro in main IVR

Handle call as usual

Xfer button

Call end button

Send call to survey

Measure: • Satisfaction • Helpfulness/friendliness

of agent • First Call Resolution • Commitment

Benefits • 2x increase in “saves” • 2x increase in cross-sell and upsell • 93% Resolution Process Improvement • Agent training • Improved policies • Process improvement

Not Random

Page 19: How to stop donor churn before it starts

0%

20%

40%

60%

80%

100%

Did notcomplain

Complaint notresolved

Complaintresolved

Immediatelyresolved

31% 46%

69%

94% Retention Rate

Your business is customer service

Your real retention problem? Unregistered complaints.

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Page 20: How to stop donor churn before it starts

Donors who receive this DM piece can either go to a

specific, branded URL or call into an IVR to provide

feedback about the DM piece and whether it is doing its job from the donor’s perspective.

The IVR voice can be a

recording from someone at the organization or in the field

so it is very personalized.

Page 21: How to stop donor churn before it starts
Page 22: How to stop donor churn before it starts

Your charity is leaving lots of money on the table with your online donation experience

Without donor feedback – the “why” – it will forever stay that way

Page 23: How to stop donor churn before it starts

This is the window that opens if click on the hyperlink. Donor receives an automated, follow up email that is responsive to the feedback just provided.

Page 24: How to stop donor churn before it starts
Page 25: How to stop donor churn before it starts

http://Demo.supporterfeedback.org

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Aggregate Donor Feedback & Analyze To Refine Supporter Journey

1. Added PayPal 2. Promote Member access page for payment info changes 3. Add prominent opt in/opt out for premiums 4. Reworking monthly giving process from bottom up 5. add giving membership as gift option 6. fix user experience with giving in memory (deceased) 7. Connecting national to local experience 8. Fix user experience with giving in honor (living)

Changes made not because someone internally decided it would be fun, cool or good idea but because donors told us

Page 27: How to stop donor churn before it starts

Two Parts:

1. Find out which touchpoints matter (scale, fix, drop)

2. Service those touchpoints by servicing the donors having the experiences.

Your interactions with your donors, across channels, actually matter.

Whether those donors give and stick around is determined by the quality of those interactions.

Page 28: How to stop donor churn before it starts

Frankly, installing this (free, forever) widget on your website (somewhere or everywhere) is the safe choice. Pretending like the complaints and compliments and opportunities to delight your donors don’t exist — i.e. the status quo — is the huge risk. The Agitator Blog – Sept. 16, 2014

www.donorfeedback.thedonorvoice.com

Page 29: How to stop donor churn before it starts

http://Demo.supporterfeedback.org http://supporterfeedback.org

www.donorfeedback.thedonorvoice.com

Free Feedback Widget for Website

Websites for more info on feedback tools and demos

Free Donor Churn White Paper

US contact info: Kevin Schulman, [email protected] Roger Craver, [email protected] Josh Whichard, [email protected] International Contact info: Charlie Hulme, [email protected] Twitter: @donorvoice

(Not) Free Book www.retentionfundraising.com