Stan Phelps
A collection of examples from the upcoming book, Red Goldfish NonProfit Edition (launching August 2019) by Stan Phelps and Keith Green. "Red Goldfish" are the little extras that NonProfits do for staff, donors, members, board members and volunteers? They help drive engagement and reinforce purpose. What's Your Red Goldfish?
Image of Miry Whitehill, Founder and CEO of Miry’s List
“We went around Los Angeles and gave 10 pins to 10 heroes who had supported us from day one. It was about turning the tables and giving back to the people who gave to us.”
MIRY WHITEHILL
Founder and CEO of Miry’s List
The ten heroes highlighted were across all parts of the spectrum of fundraising levels and service. It wasn’t a hero pin for the top 10 donors or how much money they gave. It was based on how heroic they were for Miry’s List.
For example, one pin went to a woman who introduced Miry to the first refugee family that would spawn the entire future of the organization. Another pin went to a local thrift shop that donated towels, bedding, and storage bins for all the families.
When dealing with your own supporter base, remember that impact doesn’t always have to translate into dollars donated or amount fundraised. There’s a lot that goes into making a strong impact.
UK Blood Donor Service
A few years ago I started giving blood again. I’d been a donor as a student, but had to stop because of the amount of travel I was doing (or more accurately, the places work was taking me). A couple of months ago I got a little package in the post for making my tenth donation, with a certificate, a little lapel pin, a new gold donor card. Which together with the texts I get telling me when and where my blood is being used, adds up to quite a powerful and encouraging acknowledgement.
Looking for a way to fundraise for a loved one? Raise funds for WWF in his or her honor.
Forming a memorial or honor campaign allows you to tell the story of a special person or animal and provides the opportunity for others to make a donation to WWF in their memory or honor. Funds raised through your honor or memorial campaign will help WWF protect threatened species and wild places around the world.
CREATE A FUNDRAISING PAGE
Create your honor or memorial fundraising page today and celebrate your loved one by protecting the future of nature
A sustaining gift can be called many different names — a “monthly,” “recurring,” “evergreen” or “high fidelity” donation. For purposes of this commentary, we define the term “sustainer” or “sustaining gift” as a fundraising model that asks donors to make a fixed monthly gift that recurs without a predetermined end date. The gift is incurred by automatic bank account withdrawal (electronics fund transfer — EFT — or debits) or credit card, and continues until the donor opts out, which is unusual.
Traditional giving, as we define it, is typically anchored by a one-time annual contribution and supplemented by one or two additional gifts within a 12-month time period. The predetermined end date is usually within a fiscal year or 12 months after the initial gift. Donors contribute by credit card, bank account (EFT or debits) or check.
Data from donorCentrics now shows that sustainers’ contributions are worth up to four times more than those from traditional donors over the life of their giving. Twelve sustaining gifts in the typical range of $10–$25 each month is more annual revenue than the majority of single-gift donors will contribute in the same period.
Sustainers also outperform other donors on the two drivers of long-term value: lifetime revenue per donor and retention. In addition to donating more frequently and at higher amounts than traditional givers, they continue to give for many years.
Source: https://current.org/2015/02/sustainer-programs-are-growing-but-still-show-room-for-improvement/
Photo Credit: http://blog.alphadogmktg.com/2014/08/cultivating-monthly-sustainers.html
While taking an individualized approach to your donor engagement is necessary (and even expected!) nowadays, doing so is often easier said than done.
Any nonprofit would tell you that it’s a challenge to keep up with hundreds, thousands, or even tens of thousands of donors.
Not only does successful communication require individualized approaches, but it also requires the information necessary to establish those individualized approaches in the first place.
Luckily, that’s where nonprofit donor databases come in. This type of software, also known as nonprofit CRM, was built to help nonprofits track all aspects of their donor relationships.
The main advantage of donor databases is their comprehensiveness. Because nonprofits can track all relevant donor data in one place, data sources can communicate with each other to give organizations a 360° view of their donors.
To take it a step further, this software allows organizations to segment their donor base into different lists based on any number of the data sources in the platform.
For example, you could segment your list based on:
By segmenting your base, you can individualize your engagement strategies to better target certain groups and send them the most relevant information. When you can pinpoint your donors’ interests and preferences, they’re much more likely to engage with your organization.
Source: https://mcahalane.com/7-techniques-to-boost-donor-engagement/
Photo Credit: https://www.donorperfect.com/fundraising-software/non-profit-crm-software/
Video is taking over the internet. Why? Because it’s an extremely effective way to communicate.
Consider:
Including video in an email increases click-through rate by 200-300%
54% of people want to see videos from brands they support
The average person retains 95% of what they watch in a video, compared to just 10% of the text they read
Not only is video content effective, it’s also never been easier to create. While corporations and large nonprofits often hire video production firms to create professionally-produced videos, the cameras on our ever-present smartphones have made it easy to capture real, sincere, and highly meaningful video content from anywhere at any time.
Personalizing a short, simple, and spur of the moment video to an individual donor or group of donors, makes for an incredibly memorable way to engage supporters. So how can your nonprofit use personalized video to enhance the digital donor journey?
RECORD A THANK YOU VIDEO WHEN SOMEONE MAKES A DONATION
Acknowledgement letters and tax receipts are standard, whereas handwritten notes, thank you calls, and face-to-face meetings are more personal and meaningful ways to thank your donors. With more and more donors giving online (online giving rose 12% in 2017), nonprofits need more personal ways to thank their online donors.
By recording and sending a personalized thank you video when a donor gives a gift, you can tell that donor how much you appreciate their support with a face-to-face video message. With such a unique thank you, your nonprofit is sure to stand out in donors’ memories.
Source: https://www.causevid.com/7-ways-to-make-your-thank-you-videos-stand-out-1
Photo Credit:
TELL A STORY ABOUT HOW A DONOR’S SUPPORT IMPACTED THOSE IN NEED
Donor retention remains below 50%, and we know that the most effective way to retain a donor is to tell them a story about the impact their support has had. Donors tell us time and again that they want to know ‘where their money is going,’ but too often, we rely on impersonal newsletters and boring annual reports to tell these stories.
Instead of writing the stories, create several short videos that highlight the work your organization is doing. When you show donors that their gift is having the desired impact, 87% say they would give again, 64% say they would give more, and 74% say they would continue to give indefinitely.
Source: https://www.causevid.com/7-ways-to-make-your-thank-you-videos-stand-out-1
Photo Credit: https://medium.com/@juliacsocial/how-to-show-impact-in-your-nonprofit-donor-thank-you-video-7bb9422a4dd6
Become Donor-Centric
Be sure to include donor-centric talking points throughout your donor thank you video.
The language that you use to thank donors is so important!
Be sure that you are making them feel like they are part of your community and that they are helping to solve a problem.
Try these phrases, or use your own:
“We could not do this work without you.”
“Thank you for your partnership.”
“Thank you for your investment.”
“We are building something big together.”
“The work isn’t done yet, but we have accomplished a lot.”
Sample donor thank you videos, created by Rosie’s Place in Boston:
Year-end thank you:
To our friends with gratitude:
Campaign during Volunteer Appreciation Month:
Source Credit: https://medium.com/@juliacsocial/how-to-show-impact-in-your-nonprofit-donor-thank-you-video-7bb9422a4dd6
Photo Credit: https://badgergroup.com/is-your-nonprofit-organization-donor-centric/
Chatbots Can Answer Frequently Asked Questions Directly and Quickly
With users expecting shorter response times, it can be tough for any organization to keep up. According to Edison Research, 39 percent of users expect a response on social media within an hour. Yes, an hour! Seems daunting, I know.
However, a chatbot implemented on any messaging platform like Facebook Messenger can help nonprofits quickly and efficiently respond to frequently asked questions through automation. In the long run, this may help your organization reduce people's frustration, while also increasing donor and member retention. The faster and better your organization can respond to someone's questions or concerns, the better.
“More than 90% of the nonprofit organizations say they utilize social media to deliver their messages and communicate with stakeholders. And 90% have changed their communications strategies to include telling their stories through narratives, in words, pictures and videos with a new emphasis on results and outcomes.”
“...Your charitable giving stops becoming transactional and starts becoming transformational.” - Dennis McCarthy, co-author of The Next Generation of American Giving report The Best Thing You Can Do
Don’t just personalize. Get personal.
Example: Planned Parenthood thanks the Seattle Foundation with a six-second Vine video.
Non profit creates a slider to show how changes in donations help homeless at every step along their path to self-suffiency.
Offer a valuable product
Your “Product” as an non-profit is the Impact of your Mission
Why? 71% of donors who regularly or sometimes give to new causes or nonprofits are actively seeking information about that cause or nonprofit. As many as 75% of donors use information about a nonprofit’s impact in their giving decisions. Source: Informed Giving: Information Donors Want and How Nonprofit Can Provide It. Root Cause. 2013.
Why? More than 60% of respondents liked it most when nonprofits shared stories about successful projects or people they help. Source: The 2013 Millennial Impact Report. Achieve. The Case Foundation. 2013.
Why? 46% percent of donors stop giving to a charity for reasons related to lack of meaningful information. Source: Burk, Penelope. Donor-Centered Fundraising. 2003.
36.2% of donors cited “I feel that other causes are more deserving” as the reason for not continuing their support. Source: Sargent, Adrian. Managing Donor Defection. 2001.
Show donors you are effective in your mission!
"It’s no longer good enough to make the case we’re addressing real needs. We need to prove that we’re making a real difference." - Mario Morino Source: Mario Morino. Leap of Reason. A Venture Philanthropy Partners Publication. 2011
5 steps
1. How do we define our impact?
2. How do we know if we are making an impact?
3. How do we communicate our impact to others?
4. How do we evaluate our impact?
5. How can we increase our impact?
Which is more effective?
Example #1: Generic Giving Levels How much would you like to donate?
$5
$10
$50
$100
$250
Example #2: Productized Giving How would you like to make an impact?
$5 Plant a tree
$10 One meal for a Senior
$350 One day of camp for cancer patient
$1,000 Keep a youth off the street
Source: https://www.slideshare.net/blackbaud/back-to-basics-how-to-acquire-retain-and-upgrade-your-donors
Provide great service – Why? Only 10% of donors were very satisfied with the service quality of the organizations they supported, but donors who were very satisfied with service quality were 2x more likely to make a further donation than those who were merely satisfied. Source: Sargent, Adrian. Managing Donor Defection. 2001.
Source: https://www.slideshare.net/blackbaud/back-to-basics-how-to-acquire-retain-and-upgrade-your-donors
Build a donor-focused approach
Why?
69% of individual donors say none of the nonprofits they support call them without asking for another gift.
61% of donors say they’ve received a request for a second gift with their thank you and this has offended 81% of those donors.
Source: [2011 FEP Donor Retention Supplement. Association of Fundraising Professionals. The Urban Institute. 2011. “Quotes from Penelope Burk in “Donor-Centered Fundraising” in Ken Burnett’s book “Relationship Fundraising.”]
It's not just telefundraisers that can benefit from chatbots; your nonprofit can automate and expand the entire process of fundraising with the help of chatbots. Most importantly, this technology makes it possible for an organization to connect with the millions of people who already use messaging platforms like Facebook Messenger and WhatsApp.
Your donors and the other people you serve can make requests, complete donations, and keep track of their activity on chatbots quickly and easily. By automating this process, you can make your nonprofit's fundraising efforts hassle-free.
YOUR STORIES ARE THE GOLD
“Think of the story itself as gold. You mine the gold, you capture the story. Then you bring it back to your office and you need to pound that gold into difference shapes and sizes, depending on whom you’re talking to, or also where you’re telling it.” ~Andy Goodman
If a donor is stewarded properly he or she is more likely to continue to give
• 93% of individual donors would definitely or probably give again the next time they were asked if a charity thanked them promptly, in a personal way and followed up later with a meaningful report on the program they had funded.
• 64% would give a larger gift
• 74% would continue to give indefinitely
(Source: Penelope Burke – Donor Centered Fundraising)
What can nonprofits learn about gamification to drive engagement?
Here’s what...
• Know where they want to take you... Do you have a specific goal?
• Channel buyer’s energy... How many “levels” does it take?
• Understand their users... What interests your donors?
• Use data to their advantage... What are your conversion rates?
SAVES Strategy
• Level One – retention of donor at current level of giving – Option - provide alternate method for giving
• Level Two – retention of donor at reduced level of giving
• Level Three – retention of donor as a fundraiser – Option – grassroots fundraising on behalf of OS
• Level Four – retention of donor as a supporter – Option – raise awareness, hold collections, volunteer
Process and Procedure • Document all work flows and establish standard procedures for Donor Thank You Strategy
Allow for flexibility within your direct response fundraising program so donors can choose the response method that suits them best.
#WeHeartYou on Instagram, Facebook, And Twitter. Get creative. Recruit your team to do thank you selfies to your donors and other supporters. Piggy back on Valentines Day.
Case Study #1 – Regional Walk Event • Single Annual Walk • 5,000 Participants • $2 Million Event
• Phone / Email Support Analysis -
Those Who Did Contact Support $984.51 Avg. fundraising amount
Those Who Did NOT Contact Support $194.59 Avg. fundraising amount
Stan Phelps is a Forbes Contributor, IBM Futurist, and TEDx Speaker. His keynotes and workshops offered at PurpleGoldfish.com focus on how to create meaningful differentiation to win the hearts of both employees and customers. He’s the best-selling author of: Purple Goldfish -12 Ways to Win Customers and Influence Word of Mouth, Green Goldfish - Beyond Dollars: 15 Ways to Drive Employee Engagement, Golden Goldfish - The Vital Few, Blue Goldfish - Using Technology, Data, and Analytics to Drive Both Profits and Prophets, Purple Goldfish Service Edition - The 12 Ways Hotels, Restaurants and Airlines Win the Right Customers, and Red Goldfish - Motivating Sales & Loyalty With Shared Passion and Purpose. Connect with me at stan@purplegoldfish.com or +1.919.360.4702.
