Fund Development Trends and Best Practices April 27, 2017 CANSA Conference Presented by Kassie Sands, CFRE, Director of Development and Administrative Services, Support Kansas City Fund Development Trends and Best Practices

Introductions What makes you uncomfortable about fundraising? What are some current successful strategies your organization uses to cultivate relationships and raise funds?

Giving USA Data 2015

The Cycle of Fund Development “The right person, the right amount, the right project, the right time.”

What’s trending now? Political Uncertainty- is your organization nimble and able to pivot quickly? Better Storytelling –casting the donor as hero and tapping into emotions Social Media – we’re all social now, video, memes, stories, sharing person to person Donor Retention – more than just thanking them personally and often

What’s trending now? Engaging donors to fundraise for you- new helpful tools Crowdfunding and Peer to Peer Big Data - and how to use it Everything is mobile – up to 50% of emails are now opened on phones Culture of “philanthropy” instead of “fundraising”- more positive to those who aren’t in field, gentle, less transactional

Fund Development Objectives Do you have a strategic plan? Go read yours! Your fund development plan should start with this and your annual board approved budget. How do we start tackling fund development? By setting targeted goals in a fund development plan. S – Specific M –Measurable A – Achievable R – Results Oriented T – Time Determined

Sources of Support Diversified- to insure stability through challenging economic periods. Individuals – give around 83% of philanthropic dollars Corporations Associations Foundations – Private and Public Government funding

Fundraising Approaches Annual Fund Drives Special Events Major Gifts Grant Requests Capital Campaigns Planned Giving

Fundraising Tools Along with your fund development plan, you may need a shared calendar, project management tool and most importantly a donor database. Tracking gifts, donor demographics and preferences, and easing communication with your supporters. Salesforce, DonorPerfect, eTapestry, Raiser’s Edge, Access, Salsa, Araize and many many more

Have I overwhelmed you yet?

Start Simple for 2017-2018 What do you want to focus on in 2017-18? Are you wanting to increase individual giving? Then set a goal to get your thank you letters updated and out faster. Go through your database and pick out your top 10 donors and start cultivating them for an ask. Evaluate your stewardship activities. Come up with a list of 8-10 activities and start doing them in May. Calls, visits, tours, lunches, coffees, just dive in.

Who’s Got Your Back? Hiring a consultant or contracted grant writer/major gifts manager/event planner Most small to mid-size nonprofits have one person development offices- Who is your backup person? If you won the lottery and quit today, who knows what you know? Where is all that history stored? Where are the current funder details/grant details stored?

What’s your action plan? Let’s break into small groups of 2-3. Using the information, tools and resources discussed today, brainstorm three or four steps you’re going to take right away to start raising funding and developing new relationships for your organization.

Board Goals and Responsibilities You can’t do this work alone! You need your board and staff. Board Goals #1: To build an organization with a valuable and consistently achieved mission #2: To maintain the organization’s ethical standards, best practices and financial management. #3: To help secure the funds necessary to meet budgeted needs. This is key!

Board Myth #1 Board members are excited to raise money and know it’s their responsibility! Reality: Most board members are nervous and anxious about fundraising. Encourage them by giving orientation, clear expectations and helpful documentation If you don’t have a development committee, start one this week. Identify your needs, and get to know your board members to clarify how they want to help. Everyone can!

Who are your Supporters? Identify your prospective donors and where they are: Who is affected by your mission? What are the demographics of your current donors/volunteers? Geographic area you serve Socio-economic status What matters to your donors? Where does your donor get information?

Targeting Your People Brainstorming with key stakeholders about your audience and how to find and communicate with them Make clear lists of who your audiences are, how/why they qualify, how you plan to reach them and what action you want them to take

3 ?’s to Answer Before You Start Asking for Money Why does our organization exist? What services or programs does our organization provide to meet community needs or solve a problem? Why should donors/funders give and what benefits accrue for donors who give?

Telling Your Story Cast the donor as the hero. Photos, quotes, engaging stories Call to action, urgent, time sensitive More “you” and less “we, us” About the donor and the impact their gift has had or could have Kill the jargon.

Engaging Your Heroes You’ve identified your people and started sharing your story and hearing theirs, now it’s time for engaging! Identify your top major donors: Is major $250 or more? $5,000 or more? You decide. Put structure around your cultivation process for these top donors. You need about 10 cultivation activities: 5 where the donor is the main focus 5 where the donor is in the background

Face Time or Voice Time For your major donors, take the time to meet with them face to face. Mid level donors deserve a phone call ask, small donors get letters or emails. Whether they give or not, thank them if you talked to them personally. Specifically let them know how their previous gifts have had an impact. All donors, of any size, need a thank you letter.

Keep Your Donors more than Happy! 70% of first time donors in the US don’t make a second gift. 88% of dollars raised are donated by only 12% of donors. Even a small 10% increase in donor retention can increase the lifetime value of your database by 150-200%. So how do you identify and retain these key donors? *Dr. Adrian Sargeant

Say Please and Thank You! Quick is best, out within a few days Personal and specific Share on their gift’s impact, photos, story Emailed/Auto IRS tax letter is not a thank you. Personal call is the ideal, gold standard! In 2017, all of your top donors should get a call from board or staff! Why? Donors who received a thank you call from a board member gave a 39% larger gift the next time they gave and 70% of donors who received a call gave again. 70% donor retention is great! Those with no call showed an 80% drop off rate.* *Penelope Burk and Cygnus Research

Some Great Resources! https://www.gailperry.com/ http://www.aherncomm.com/ http://www.nonprofitmarketingguide.com/blog/ http://www.boardbuilders.com/ https://www.classy.org/

Thanks so much for coming! Questions? Feel free to contact me if you have any other questions! Kassie Sands, CFRE, kassies@supportkc.org, 913.831.4752 ext 102 Thanks so much for coming!