Presented by Joan Galon King Cape Cod Philanthropy Day

November 14, 2012

• Director of Development, Nantucket Historical Association • More than 20 years of experience in the development profession, including American Heart Association, Philadelphia Museum of Art, Liberty Science Center and Bancroft. • Areas of focus have included: strategic and operational leadership, team building and management, fund development, volunteer leadership development and marketing and communications.

Incorporated in 1894, the NHA’s mission is to preserve and interpret the history of

Nantucket Island and foster appreciation of its historic significance.

www.nha.org

Also known as…

Donor Care

Donor Relations

Customer Care

Relationship Fundraising

Donor Centered Fundraising

Anything else?

From the Association of Donor Relations Professionals (ADRP):

The comprehensive effort of any nonprofit that seeks philanthropic support to ensure that donors experience high-quality interactions with the organization that foster long-term engagement and investment.

Building donor loyalty

“ An organization becomes donor-centric when it recognizes donors as its lifeblood and makes their care a central aspect of its endeavors.”

Tony Poderis

Motivates a giving response and investment from those who can relate to the organization's mission and worthiness

An understanding of and respect for the way in which philanthropy helps an organization advance its mission

An inclusive approach to fundraising that emanates from the center or heart of the organization and is embraced by every person in the organization

An attitude that champions relationship building....the very essence and foundation of successful fundraising

Example from the for-profit world ~

L.L. Bean’s five customer imperatives:

“A customer is the most important person ever in this office in person or by mail.”

A donor is the most important person ever in contact with this organization.

“A customer is not dependent on us. We are dependent on him.”

Donors do not need us. We need them.

“A customer is not an interruption of our work. He is the purpose of it.”

Contact with donors is not an interruption of our work. Donors make our work possible.

“A customer is not someone to argue or match wits with. Nobody ever won an argument with a customer.”

Donors are not people from whom we demand support. No organization is entitled to its donors’ money.

“A customer is a person who brings us his wants. It is our job to handle them profitably to him and to ourselves.”

Donors bring us their resources and philanthropic desires. It is our job to use those resources and meet those philanthropic desires efficiently, effectively, and as we have promised.

•Mutual discovery process

•Conversations about values, interests, motivations and synergy •Focus away from “us and our projects and needs” to that of donor interest and objectives •Move with intent from discovery to investment

Stewardship

Identification &

Qualification

Discovery

Cultivation

Solicitation

Donor buy-in

Donor retention

Donor upgrade

Donor loyalty

A difference in your bottom line ◦ Good stewardship reduces fundraising costs

◦ Estimated cost to raise a dollar:

20¢ to renew

≥ $1.00 to acquire

It may not be possible to provide the same level of personalization to every donor

If you must triage your stewardship, be strategic about it

Look at correlation between gift size and income

Respond to people not only on the basis of their gift size but on the basis of their capacity to give ◦ Zip Code/Region/Neighborhood ◦ Statistical profile

ANNUAL GIFTS

ULTIMATE GIFTS More involvement based

on interests, one on one, personalize, more time

MAJOR GIFTS One-on-one communication, in person,

with others, receptions and special recognition opportunities

Email, letters, phone bank, social media

mass communication but personalized, self-identification.

Set priorities to inform the allocation of resources

to the stewardship program. For example:

Create a system to ensure personalized thank you letters are sent in less than one week – aim for 48 turnaround!

Refresh content of thank you letters, segmenting for donors giving to different programs.

Map the donor experience to look for weaknesses and opportunities.

Develop a plan to demonstrate donor gifts at work.

Thank a donor every day!

The Power of Volunteers Involve your leadership, board, and

volunteers in meaningful stewardship. Building a good volunteer base is one way to

meet the growing demands of your development office.

Example: Bring together a team of volunteers, including board members, to conduct a Thank-A-Thon to call donors.

• If you don’t ask, you don’t receive. • People give to people. • It’s easier to renew than acquire. • Fundraising must always be viewed from the perspective of

the donor. • Fundraising is a conversation. Patience and relentless

listening required. • Seek investments, not gifts. • Donors are developed, not born. • People give to strength, not to crisis. • The majority of the money is given by a small percentage of

donors. • Cultivate current donors as diligently as potential donors. • Recognize donors promptly, imaginatively and often.

A strong stewardship program requires a commitment from the entire organization – it is not just the job of development!

Building donor loyalty calls for a “donor-centric” approach. Good stewardship reduces fundraising expenses and

makes a difference in your bottom line. Prioritize your stewardship efforts by mining data and

applying a strategic approach. Gear your donor relations efforts to the donor’s current

involvement and where you would like to move them. Concentrate your limited resources on high yield activities –

apply the 80/20 rule. Harness the power of volunteers to infuse your donor

relations programs with an even greater level of authenticity.

Thank you!