Who are the heroes?

Earlier this year, I attended the 2015 ALDE International Conference in Reno, and it was an amazing experience.

Friends, faith, fun, connections, recharge, encouragement... It was wonderful!

There were several amazing speakers at this year's conference. (Not that anything less was expected; ALDE has always had great educational speakers at the International Conference.) I had the opportunity to hear Jeff Brooks speak on creating offers for fundraisers. Now, I confess, I am a fan.  I have been following Mr. Brook's blog for years, since before Future Fundraising Now. I enjoy his keen insight and passion.  So it was quite the thrill for me to participate in his master class and education session at this conference.  He shared tips, tricks, best practices, ideas, experiences and even offered feedback to live examples from the audience. It was great! (And I will be discussing some of those insights in upcoming posts.)

But ... there's always a "but," right?  I have to say, I didn't entirely agree with one of his ideas. 

Before I go much further. I should probably explain that this is entirely light-hearted, though still relevant.

In his presentation Mr. Brooks made a great point: the donor is the hero. Without the donor an organization usually cannot accomplish or, in some cases, cannot even begin to work towards achieving their goals. So fundraisers and organizations are not the hero. The donor is the hero.

To illustrate this point, Mr. Brooks showed a photo of Batman and Robin (the Adam West and Burt Ward era).

Batman was labeled:  The Organization

Robin was labeled:  The Donor

In a lot of organizational donor relationships and communications, it can feel like the organization is the hero.  In other words, the organization is Batman.  (Awesome!)  The organization is making a difference in the world and changing lives.

In this dynamic, then, the donor is Robin.

As sidekicks go, Robin is actually pretty awesome.  (I might even maybe admit to having a sort of, kind of crush on Chris O'Donell's Robin, in Batman Forever! No judging, please!)

Back on point...

I agree 100% with the point Mr. Brooks was making with that image. Robin, though awesome, is a sidekick.  He wears the bright colors (except Chris O'Donell!), and he is in training to be a hero.  He's not yet the hero.

Well, Mr. Brooks wants professionals, us, as nonprofit professionals, in this case fundraisers and communicators, to rethink that dynamic.

Mr. Brooks proposed that instead of the organization being Batman and the donor being Robin, what happens if the donor is the hero?  In this dynamic, the organization (and the fundraiser) should be the support person.  Specifically, according to Mr. Brooks, the donor should be Luke Skywalker -- the hero in a galaxy a long time ago and far away who rebuilt the Jedi order. (Yes, I do love Star Wars too!) The organization and the fundraisers are Yoda. We are the little, green, wrinkled aliens who teach Luke the ways of the Force and encourage him to save the world.

I like it, overall.

But... Are we, as nonprofit organizations the masters of the Force that need to train our donors in the ways of the Jedi?

This has been rattling around my brain for a while, and I'm not quite sure that's quite right. (I also think that quite possibly, I might have spent to much time thinking about this, but it's fun!)

Are we as nonprofit fundraising professionals really the experts and masters that need to train our donors?  I'm going to step out on a limb here and say overall, the answer is "No."  I do think that our organizations should be masters of our programs and experts in our fields.  After all, the organization does deliver the programs and services.  Fundraising professionals and all non-profit professionals should be masters of their crafts as well.  And that can get pretty complex.

But do nonprofit organizations and fundraising professionals need to train their donors like Yoda trained Luke?  Respectfully, Mr. Brooks, I have to disagree with that image.  Donors are the heroes already.  Without donors, I think it's safe to say that the vast majority of nonprofit organizations would not have the capacity to even begin working to achieve their missions.  Therefore, fundraisers and organization should be supporting their donors to help the donors change the world. 

With that in mind, I think there's a better image we can use to depict that dynamic. Our donors are already Batman.  We are the people who support Batman.  We help make sure Batman can be out there night after night fighting crime and helping the Justice League,  Therefore, I propose that we fundraisers are ...

ALFRED! 

The loyal butler, who is so much more than a butler. Who supports and encourages.  Who offers advice and is a steady rock for the hero.  Who helps make the heroes' work happen.

What do you think?  Are we fundraisers Alfreds of the nonprofit world?  I'm okay with that image.

Now, a challenge for you.  Take a look at your organization's communications to donors.  Who is the hero?  Is it you, the organization?  Do you talk about this program and how your organization helped?

Or do you focus on your donor?  What do your donors want to hear about?  Are you telling them how special they are, and how they are impacting lives through their support of your organization?  Are you telling them that they make the mission happen?  Are you reporting back on what the organization accomplished because of their support?

The difference can be subtle, but telling.  When you're talking to your donors, I encourage you to make your donors the star.  Tell them the truth, and tell them often -- your organization cannot do everything they do without their support.  It can truly make a difference.

Remember -- Be Alfred!

Staying Passionate

Here's my questions for you today...

What do you do to recharge your batteries?

What do you do to stay passionate about your field?

What do you do to not burn-out?

The week before last, I attended the 2015 ALDE International Conference.  It was the first time I've gone in several years, and it was a wonderful conference.  Kudos to all involved!  Almost three solid days of education, training, fellowship, fun, and so much more, with fundraising and communications professionals from all sorts of organizations around the world. I've brought home a lot of new ideas, some of which you'll see in upcoming posts.

The best parts for me - in addition to the education sessions - were reconnecting with friends, making new friends, and recharging and refocusing.  It was fantastic bouncing ideas around, sharing frustrations, and sharing successes.  Finding out what is working for other people and then thinking through how I can apply any of that to the organizations I work with.  Absolutely fantastic!  Learning from experts and from peers.

I also have to say, I am so thankful for all the encouragement I received!  I originally started writing this post as I was flying home - somewhere over Nebraska, and I realized just how thankful I am for these opportunities.  Even though I was physically exhausted and probably should have been sleeping, I was also engaged, excited and inspired. and started writing several blog posts!  It was invigorating!

At a different gathering of social service agencies, a friend of mine brought up the importance of self- care.  The people in the room were primarily direct care staff working with patients or clients of their organizations.  My friend said something along the lines of how important it is to take care of yourself too, because it is impossible to take care of others if you aren't taking care of yourself. She's so right!  And it's so important for us fundraisers as well.  If we're not taking care of ourselves, we're not able to help our donors connect more with our missions and change the world.

We've officially started the third month of 2015.  How are you feeling?  Still thriving off the New Year good vibes?  Are you still engaged and excited about what you're doing?

Or are you starting to feel a bit tired and overwhelmed?  Are things starting to pile up, and you're not sure how to get through it?  If you are that's ok. Take a breath, relax, no worries.  Just realize, you need to recharge and care for yourself too, just like you care for your donors.  One step at a time.  (It's one of my mantras.)  One step at a time, and you'll get where you want to go.

I think every on recharges differently.  Me - I'm still jazzed from this conference, for one.  But there are several others things that work for me.  Things that keep me engaged and focused.  I thought I'd offer them here, just in case they're helpful to you too:  

1. Sleep.  Get enough sleep.  My brain works better with sheep.  Yours probably does too.  Though I will confess, this is one I do struggle with.  Often I find myself working late into the night and then struggling the next day.  And yes, I do fully realize the irony of starting this post while on the red-eye flight home last week...  ;)
2. Get back in the program.  By that I mean, go visit your programs.  What does your organization do that's special?  Visit with the elders served, attend a class, join in the music program, whatever your organization does, go do it!
3. Call a donor just to say thanks and find out more about him or her.
4. Exercise.  It does good things for your body.  Releases tension, relieves stress, gives you a post of great hormones.  It's definitely worth it!  You don't have to be at the gym every day if you don't want to, even a 20 minute walk can make a huge difference.  
5. Crochet. I find this exercise soothing it and meditate it's a way to focus on something and just clear my brain.  I enjoy it.  
6. Reading.  Keeping up on what's going on in my field, reading for fun, reading for something new.  

And is, of course, above and beyond the conferences and other continuing education opportunities that help me stay energize and focused.

If I find myself in one of those overwhelmed days or moments or weeks, I try to take a few minutes to focus on my breathing.  Slow, controlled breaths can help me clear my mind and give me a boost of energy and focus.  Then, I ask myself, "What is the one thing I need to do next?  What is the one most important thing that needs to happen?"  And I constantly repeat my mantra -- One step at a time.  

It's not perfect, but it helps.

So what did you do to recharge?  What do you do to refocus?  How do you stay engaged and excited and passionate about what you're doing?  Let me know and comments!  I look forward to hearing about it.

Thanks and enjoy your Sunday!

Hope the week ahead is a good one!

Thank You Effectiveness!

Previously in this blog I've talked about the importance of saying thank you to your donors.  I believe there are a few keys to keep in mind.  Make sure you thank:

1.  Quickly.

2.  Meaningfully.

3.  Often.

It seems like sending a proper thank you letter with any applicable tax information as quickly as possible would be a no-brainer.  In fact, it is one of those gold standard, best practices that everyone knows.  I think it's probably safe to say that most organizations attempt to do this.  Some do it very well.  Others... well, there's room for improvement.

Do you thank your donors within 24-48 hours of receipt of their gift?  I hope so!

What do you do next?

One of my recommendations, and I've said it before in this blog, is to call your donors just to thank them.  It's a great thing to do!  It helps build relationships with donors and encourage future giving.  However, it's also an easy thing to put off, and put off, and put off...  Believe me, I know.  I've lived it too.

You get busy with whatever the next thing on your list is.  Maybe it's the next newsletter, or appeal letter, or proposal for a major funder, and making those thank you calls falls to the back burner.  Then those calls are moved off the stove and onto the counter.  Then they even fall off the counter into an abyss.  We never mean for it to happen, but it does.

Well -- take a second and rethink that.  Make those thank you calls a high priority.  Here's why:

The Nonprofit Times reported earlier this week on a study on donor behavior.  Over 6,000 donors were involved.  Some received a thank you phone call.  Others received a thank you note.  A third group received no acknowledgement at all, just normal communications.  (I have no idea why you wouldn't even send an formal acknowledgement letter to a donor, but that's besides the point!)

Bottom line:  Donors who received a thank you call were 47% more likely to give again, and gave gifts 8.3% larger than those who did not get a call or a note.

Donors who received the call were 22% more likely to give again, and gave 3.5% larger gifts than those who received a note.

Read the full story here.

Those are meaningful numbers!

So next time you are tempted to push those thank you calls to the bottom of your pile, just pick up the phone and make a couple.  Then do a couple more.  It will make a difference you can see and measure!

Donor Retention -- It's important. Now what?

What do you do next?

Last week, I talked about donor retention, why it is important, and how to measure it.

Did you take some time to figure out what your organization's retention rate is?

If not, why not take a few minutes and do a basic calculation?  It can be quick and dirty to give you an idea.  Here's one way to do it:

Number of donors who gave in 2013 AND 2014
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Number of donors who gave in 2013

What's your number?

Do you have room to improve?  Based on the recent numbers published, virtually everyone does.

So...  What do you do?

Say Thank You!

Quickly, meaningfully and often.

We all know asking for support is essential for virtually every nonprofit organization or NGO in existence.  You've done that.  Maybe you visited a donor, or made a phone call, or sent a personal letter or email or direct mail appeal.  Maybe you sent a newsletter (paper or electronic).  Maybe you had a specific campaign going on social media.  Whatever medium or channel you used, you asked for support.

Did you thank the donors who generously responded?

Yes?  Great!  You're one step ahead.  Keep saying thank you.

No?  STOP READING THIS BLOG!  GO THANK YOUR DONORS RIGHT NOW!  Pick up the phone.  Send a personal letter.  Send an email.  Whatever you have to do, do it NOW!  SAY THANK YOU AS SOON AS POSSIBLE! Tell the people who supported your organization how much their support means. Tell them how they are making a difference through their support.  Tell them how much they mean to your organization and the cause you serve.

Come back to finish this post after you've thanked your donors.

Is saying thank you that important?  In my opinion, ABSOLUTELY!  And then some.

My apologies for the online yelling.  Yes, I am that passionate about thanking your donors.

Over the last few weeks, I've spoken to a few folks at different organizations who didn't have a plan in place for what happens after receiving a gift.  Luckily most know that a timely acknowledgement is one of the most important things an organization can do for donors.

There are some great sources available online to help write really good donor acknowledgement letters.  Sofii (showcase of fundraising innovation and inspiration) is one.  Lisa Sargent is a guru and has some excellent tips on her website.

You send the acknowledgement.  Then what?

One thing I've found to be effective is simply making a phone call to say "Thank You." to your donors.  These calls are often fun to make.  Sometimes you get a suspicious, "Yes?..." or "why are you calling today?"  Often, once you explain that you are calling to say thank you for her recent gift, the donor relaxes and opens up.  I've discovered how a person first found out about an organization.  Or why they made this particular gift.  Or that their family has been involved in this organization for a very long time, and they want to continue that legacy.  Whatever it is, there's often a gem in the conversation that can help you plan your next steps.

These types of calls are a great way to get your board members and senior leadership involved as well.  Who doesn't want to get a call from your organization's leadership just to say thanks?  (Well, there might be someone, but they are few and far between in my experience!)

Depending on your program, you might be able to involve program recipients in these types of calls.

After you say thank you, what do you do?

This is where things get even more fun!  The goal in this part of the relationship is to build the relationship!  Report back to the donor on what's happened as a result of her gift.  Send a photo of a day in the life of the program.  For major donors, prepare a formal follow-up that you present in person.

Make sure your donors are receiving a good newsletter, electronic or print.  Tom Ahern is another guru with tips and tricks to make your newsletters more effective.  Take a look and see what you can do.

If you're working with a first time donor, or a group of new donors, you might want to consider a welcome kit, or welcome stream.  Pamela Grow shared some great thoughts on how to make this communication most effective.

Ask your donor to do something -- take a survey, follow your organization on social media, advise on an issue or topic, volunteer.  Just get her more involved and engaged.  It makes a difference!

Then... you MUST ask again.

This next part is key.  A donor won't give again, unless you ask again.  (There are a few exceptions to this rule -- including donors who give automatically each month.)  Let me say that again... 

A donor won't give again, unless you ask again.

If you don't ask, you won't succeed.  So don't be afraid of asking, or of asking too soon.  As long as you have acknowledged your donors and done some reporting back, I'd say you are most likely fine to ask again.  Again, there are some exceptions, but for the most part, go ahead -- ask.

There's no hard and fast rule as to the time frame of this second ask.  However, there are a couple good old fundraising adages that do apply:

1.  A donor who gave recently is more likely to give again.  

2.  The sooner a new donor gives a second gift, the more likely that donor is to keep giving.    

For example, don't take someone out of your mail just because they gave in January and you have a mailing going out in February.  Make sure you take the steps to properly steward that donor, and as long you February ask is respectful and interesting to the donor, she just might appreciate the update.  Maybe, she'll send another gift.

This process doesn't have to be complicated, and with today's technology, some of it can even be automated.  But it does make a difference.

Your turn....

What do you do after a donor gives a gift?  Share in the comments please.

Happy New Year!

And we're off!

2015 is up and running, and we're five days in.  Today is the first Monday of the new year.  How's it going so far?

With all the calendar year end fundraising that recently happened, I find myself wondering how organizations are planning to steward, cultivate and renew those donors.  In my opinion, donor retention is absolutely key to an organization's fundraising success.

The Chronicle of Philanthropy recently published an article on this topic, "Charities Show Strides in Keeping Loyal Donors, But Are Too Focused on Short-Term Results, Scholars Say."  While there is room to improve, I find it encouraging that organizations are recognizing that this is important and taking steps to continue to do better.  There are some great tools and resources linked in the article as well.

Near the end of the article, the study authors noted that you have to measure what works and what doesn't.  This is so important!  Without first determining what success looks like, and then measuring it, how do you know if you're spending your time in a valuable manner?

What do you measure?

There are any number of things you can measure from your donor database that will help determine the overall health of your donor file.  Retention rate, new donor conversion rates, long-term donor value, acquisition rates, lapsing metrics, and more all have value and can help you form and refine your fundraising strategies.

Personally, one of my go-to measures is retention rate -- what is the percentage of donors who gave last year are giving again this year?  Or, to look at it as a math function retention rate for calendar year 2014 is:

Number of donors who gave in both 2013 AND 2014

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Number of donors who gave in 2013

If you have a donor base large enough, it can be more valuable to segment your database and look at different categories of donors.  I like to look at the retention rate of donors who gave in the last 2 years and have given again.  These are committed, core donors.  (Other segments of donors you can look at are new donors, lapsed donors, recaptured donors, new donors who gave a second gift, etc.  It depends on your organization and your goal.)

Follow the same process using date going back several years, and you can determine the overall trend for your organization.

Ideally, you'll want to see a trend going up.  If you don't see that, you have room to improve.

What is a "good" retention rate?  

In his book Retention Fundraising, Roger Craver states that the current average multi-year retention rate in the United States is 41%.  (128)  In essence, as he states, out of 100 donors, 41 will give again, and 59 will walk away from your organization.

The Chronicle article says 43%.  And that was an improvement over past years!

Ouch.

I think it's safe to say that 41% or 43% retention is NOT good.  That's beyond failing, and that's the average!  Therefore, some organizations are doing very well, and others are doing even worse than that 41% or 43%.

I'd love to see overall retention rates above 70%.  I'd love to see retention rates of core donors (my definition is donors who have given every year for the past 3 or more years.) above 80%.

Is that going to be easy?  Absolutely not.  Will every organization be able to reach those numbers?  Maybe not.

Will it matter?  Is it worth the effort?  Absolutely YES!

Why does strong retention matter?

In my opinion every fundraiser, and probably every person working at a nonprofit organization should know and understand that it is easier to renew a donor than find a new one.  It also costs less to keep a donor than find a new one.  This is a well known standard in the commercial world.  It's why companies spend considerable amounts of resources to keep customers coming back.  When an organization has a strong retention rate, that organization is demonstrating one aspect of good management.

In addition, a high retention rate can also indicate that donors are passionate about the mission.  They keep coming back because the organization is doing good work and making a difference.

Beyond that, however, a strong retention rate means that we are treating our donors right.  We recognize that they are people with passions and interests.  Donors are not just a pool of cash we dip into as needed.

A strong retention rate means that we are focusing on our donors and working to partner with them properly to build long-term relationships.  It means we respect them and their wishes.  It means that they respect us and our organizations.  It means that donors believe in what we do enough to continue their support.

A strong retention rate is one way to indicate we are properly stewarding and cultivating our donors.

That is a significant thing to think about as the new year starts.

What can you do to help your organization build strong relationships?  What are you already doing?  I'll talk more about my ideas in upcoming posts.  Please share yours in the comments.

Happy Monday!

Best Wishes,
Danielle