how to stop donor churn before it starts
TRANSCRIPT
How to Stop Donor Churn Before It Starts
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Start with point of view on how churn works
If you don’t have a point of view all your effort is random.
Random won’t work.
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
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
“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
Two Parts:
1. Find out which touchpoints matter (scale, fix, drop)
2. Service those touchpoints by servicing the donors having the experiences.
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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1
5
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
“Best practices” and randomness. Random Won’t Work.
Part 2
Continuously service the touchpoints and the donors having the experiences
It is impossible to be donor-centric unless get in the game collecting and acting on donor feedback.
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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
• 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.
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
TouchPoint Specific Examples
Two Parts:
1. Find out which touchpoints matter (scale, fix, drop)
2. Service those touchpoints by servicing the donors having the experiences.
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
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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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.
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
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.
http://Demo.supporterfeedback.org
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
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.
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
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