Development 101

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Development 10150,000 Feet and climbing

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Today’s Discussion…

Introduction

What is Development

Why do we do development

Your Responsibility

as Director

Who are the audiences

How do we do development (successfully)

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Introductions…• About you / about me

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What is Development…• Q: What do you think of when we say development or

fundraising? • Q: How does fundraising make you feel?• Q: Why do you feel that way?

• Q: Would you feel uncomfortable asking a pastor to teach an on campus Bible study OR asking a singer to perform at an event?

• Q: Why do we feel less comfortable doing fundraising?

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Big Ideas…

1. Check your attitude and beliefs about money. Do you view this gift differently than other gifts (teaching, preaching, administration?)

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Why do we do Development…• Q: What does your center need?• Q: Does God know? Can he supply for these needs?• Q: Why not sit, wait, pray and trust God?

• Q: What do your supporters need

• Q: What happens between your needs and their needs?

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Big Ideas…

1. Check your attitude and beliefs about money. 2. Fundraising is focused on relationship building.

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Biblical Concepts …

Summary thoughts …

• God is the creator & sustainer• Christians are called to be stewards • There is a link between our earthly possessions and our

eternal rewards• God entrusts us with possessions for His glory and purposes• Giving reflects gratitude and faith in God

• So what does this mean for us, as Christian fundraisers?

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3 Temptations…• #1: It’s my ministry • Shut up, line up and hand it over.

• Truth• It’s God’s ministry. • TC and the donor are members of the same family, parts of the

same body.

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3 Temptations…• #2: Who do we serve• Ministering to donors is equally as important as ministering to the

students.

• Truth• Teen Challenge as an organization and ministry has a unique

purpose …

“Our purpose is to facilitate life transformation for the boys, girls, men and women whose lives have been affected by issues like anger, rebellion, depression, drug use and/or abuse and other life controlling problems. We believe that by providing our student …”

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3 Temptations…• #3: Follow the Money• We always choose to follow the next gift.• Example: if you only had $10 left in the bank, how would you

spend it?

• Truth• There is no clear cut answer. • Your responsibility is to look to God.

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Big Ideas…

1. Check your attitude and beliefs about money. 2. Fundraising is focused on relationship building.3. You need to balance your center / team motives.

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Your Responsibility …• Stewardship: its your job to steward the time and financial

resources of your center.

• The widow’s mite & the seat of honor

• How: • Segment donors into groups• Evaluate the investment vs. return• Allocate resources

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Big Ideas…

1. Check your attitude and beliefs about money. 2. Fundraising is focused on relationship building.3. You need to balance your center / team motives.4. Good stewardship requires analysis and planning.

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Introduction

What is Development


Your Responsibility

as Director



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Who is the Audience…

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1. Relationship with Teen Challenge2. Type of Entity3. Gift Size / Gift Potential4. Life Stage

There are a lot of ways to think about supporters.

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Micro Enterprise(Student-based income)

TC Org / Ministry(Donor)

Student / Program(Tuition)

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- Individuals- Family- Friends of student

- Customers- Vendors- Employers- Other

- Individuals- Businesses- Churches- Organizations- Foundations

1. Relationship with Teen Challenge2. Type of Entity

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TC Org / Ministry(Donor Income)

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Individuals- None- Board member- Volunteer- Donor- TC Student- TC Student Parent- TC Staff

Entity …- Individuals- Businesses- Churches- Organizations- Foundations

Church- Pastor- Church Staff- Denomination Staff

Organizations- Rotary- Kiwanis- Chi Alpha

Businesses- Owner- Leadership- Employee

Foundation- Private - Government

1. Relationship with Teen Challenge2. Type of Entity

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3. Gift Size / Gift Potential• General Donor - <$250 last yr.• Core Donor - $250 - $999 last yr.• Mid Major Donor - $1,000 - $9,999 last yr.• Major Donor - >$10,000 last year

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Major DonorsLarge donors Great potential

General DonorsSmall Donors /Limited Potential

TC – More InvestmentMost Time &Most Budget

TC – Less InvestmentLeast Time &Least Budget

Core Donors Mid-Major Donors

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Prospect Qualified New 2nd Year Multi

Year

4. Life Stage

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Big Ideas…

1. Check your attitude and beliefs about money. 2. Fundraising is focused on relationship building.3. You need to balance your center / team motives.4. Good stewardship requires analysis and planning.5. Segmentation is not about favoritism, its about stewardship.

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Big Ideas…

1. Check your attitude and beliefs about money. 2. Fundraising is focused on relationship building.3. You need to balance your center / team motives.4. Good stewardship requires analysis and planning.5. Segmentation is not about favoritism, its about stewardship.6. Segmentation allows for personalization to the supporter &

personalized strategies.

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Introduction

What is Development


Your Responsibility

as Director



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How do we do Development …

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AcquisitionCultivation

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Identify (prospects) Qualify Cultivate Solicit Sustain or

Cultivate


Identify (prospects)

Solicit (acquire)

Qualify (activate) Cultivate

Sustain, Reactivate, Upgrade

Major Donor Process

Mass Donor Process

Lead Generation Process

Identify (prospects)

Acquire Contact

Convert to Donor Cultivate

Sustain, Reactivate, Upgrade

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Big Ideas…

1. Check your attitude and beliefs about money. 2. Fundraising is focused on relationship building.3. You need to balance your center / team motives.4. Good stewardship requires analysis and planning.5. Segmentation is not about favoritism, its about stewardship.6. Segmentation allows for personalization to the supporter &

personalized strategies.7. Modify the development process to meet your needs –

there is no “one-size-fits-all” approach.

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Prospects

New Donors2nd Gift Donors

2nd Year Donors

Multi-Year Donors

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Big Ideas…1. Check your attitude and beliefs about money. 2. Fundraising is focused on relationship building.3. You need to balance your center / team motives.4. Good stewardship requires analysis and planning.5. Segmentation is not about favoritism, its about stewardship.6. Segmentation allows for personalization to the supporter &

personalized strategies.7. Modify the development process to meet your needs – there

is no “one-size-fits-all” approach.8. There’s only three ways to grow donor revenue: • Bring-on more … add more names to the top of the funnel • Keep more … names in the funnel• Do more … with the donors we have (more gifts / or larger gifts)

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• Rallies• Store front• Events (golf tournament,

banquet, dessert events, etc.)• Building and soliciting

volunteers• Referral (from friends of TC,

advisory board)• Speaking engagements• From other “prospect pools”

• Parents of students / alumni• Alumni of TC• Micro-enterprise

• Mass Communication (radio, mailings, ads, in store displays, etc.)

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How do we do Development …• Acquiring Donors - Fundamentals

1. Have the right person (or approach), right time, right opportunity, right message, asking for the right amount

2. Make it Easy3. Capture name and address (email and phone if possible)4. Follow up immediately (thank you, gift receipt, etc.)5. Be timely (delay shows disrespect)6. Thank often, thank appropriately7. Know when to back off

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• Cultivating Donors – Tools Major Donors

1. Face to face meetings2. Other people’s relationships

(advisory board members)3. Personal notes4. Calls5. Private / special events6. Grant requests (when

appropriate)7. Donor Research

PLUS …

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• Cultivating Donors – Tools Midlevel Donors

1. Dessert parties2. Events3. Golf tournaments4. Banquets5. Group tours

PLUS …

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How do we do Development …• Cultivating Donors – Tools

General Donors

1. Direct mail (appeal letters)2. Newsletters3. email4. Receipt inserts5. Phone calls

PLUS …

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How do we do Development …• Cultivating Donors – Tools

Non-Targeted

1. Website2. Social Media3. PSAs4. Outdoor advertising

(billboards, buss stop ads, etc.)

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How do we do Development …• Cultivating Donors – Fundaments – Major Donors

1. Use your donor file as your prospect list2. Gather as much information about the supporter as possible.3. Track and manage your information4. Develop a contact plan for each supporter

• Long term goal• Objective for the year• Steps to achieve goal

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You’re busy – your donor is busy. Relationships don’t just happen, you need to plan your interactions.

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How do we do Development …• Cultivating Donors – Fundaments – Mass Donors

1. Repetition and Frequency is key (12x / yr. minimum, 16 – 18x better)2. Mind & Heart

• Must be emotional and compelling• Must also build rational for support

3. Be specific• How your gift will be used: each $25 we receive will go directly to …• How much you ask for

4. Be personal5. Be appropriate

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How do we do Development …• Cultivating Donors – Fundaments – Mass Donors

6. Appeals: • DO share an emotional story • DO have a compelling need (a reason to give)• DO focus on the ministry recipient not on the organization• DO provide ways to engage (e.g. Pictures, bounce backs, leave behinds, etc.)

7. Newsletters: • DO thank the donor • DO show them how their support is making an impact• DO invite them to continue their involvement. • DO NOT be “newsy” or “informative”

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How do we do Development …• Your database is your BFF

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Your Responsibility as Director• Lead• Stewardship (decide how to allocate resources)

• Manage• Set the tone for fundraising in your center• Monitor your team and their motives• Set processes in place to follow up with supporters• Establish and delegate a mass fundraising program

• Cultivate & Solicit• Do what only the director can do … 1:1 work with large donors• Be disciplined to make your contacts, and follow your plan.

Note: A full time major gift officers will manage 100 – 200 relationships at a time. You should be managing 30 – 75 as Director. 42

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Your Responsibility as Director• Trust in the LORD with all your heart and lean not on your own

understanding; in all your ways acknowledge him, and he will make your paths straight.

Proverbs 3:5

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Thank You

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Development 101

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