Technology as an Accelerator Not a Creator Lisa M. Dietlin President and CEO Lisa M. Dietlin and Associates, Inc. March 15, 2005

ePhilanthropy Tsunami Relief $350 million raised online by all charities according to industry estimates for Tsunami Relief (as of January 8, 2005) –American Red Cross raised $236.2 million with more than $84 million donated online –Catholic Relief Services raised $41 million with more than $11.3 million coming in through the organization’s website –World Vision USA received gifts totaling $29 million with Internet contributions accounting for $12.9 million $215 million raised online by 9/11 charities

Tsunami Relief Online Giving Trends Large percentage of relief agency financial support is coming via the Internet Majority of gifts are from new donors More than half are asking not to be contacted again by relief agencies Nonprofit organizations of all sizes are collecting relief funds online

How does Tsunami relate to everyday philanthropy? Donors are becoming more and more comfortable with giving online Online donations are one piece of the moves management cycle Large to small nonprofit organizations can capitalize on the Internet as a resource for fundraising Donors are more likely to respond to a clear and compelling cause

Online Giving Current Trends Making a solicitation online costs only 20 cents compared with $1 or more for each direct-mail or telephone solicitation, according to a McKinsey & Co. study published in May Only about 1% of total donations were raised online in 2002, though the Internet's share probably rose to 3% or 4% in 2003 It is estimated that nonprofit organizations will raise 5-10% of their funds online in 2005

Online Philanthropy “Tips of the Trade”  Establish Web Presence for Your Organization Building an online brand is just as important as an off-line brand Register your website with major search engines by keywords  Cultivate Prospects through Integrated Online Efforts and Internet can support your other fundraising efforts Find creative ways to link with driving more visitors to the organization’s website Keep your supporters informed, engaged and connected

Moves Management An organization’s online efforts can help support every aspect of the Moves Management Cycle Identification Qualification Cultivation Ask Stewardship

Moves Management Cycle Ask Stewardship Identification Qualification Cultivation

Online Philanthropy “Tips of the Trade”  Know Your Contributors What are visitors looking for in your website? –Resource Center Emphasize your mission and vision How will an online gift make a difference?  Make Online Giving Enjoyable Tribute Gifts, Contests, Interactive Capabilities List specific areas in need Profile online donors Make online giving quick and easy

Online Philanthropy “Tips of the Trade”  Drive Traffic to Your Website List your website on all publications and mailings Use your website as a marketing tool –Don’t let your IT department drive website strategy and content Offer the option for online giving with every fundraising effort Offering online registration works well with events  Ethics, Privacy and Security The highest standards are expected

Online Philanthropy “Tips of the Trade”  Build a Community Communicating effectively takes time and resources Utilize the Internet to cost effectively build a community of supporters –Collect addresses and contact information –Provide “opt-in” opportunities Think creatively when attracting new donors and improving stewardship  Remaining Current is Crucial Create a schedule for updating and review Remain fresh – users should learn something new every time they visit the organization’s website

Online Supporter Perspective Is the organization legitimate? Is my donation secure and private? Can I ask questions? Do I receive a confirmation or receipt of my donation? Is there contact information? Will I receive acknowledgement? How will my donation be used? Can I receive further information?

Diversification is Key Embrace change Lay the foundation for baby boomers and the younger generation The Internet, and other technological tools are becoming fundamental in running an effective fundraising program

Assessment and Implementation Assess your Development Program Determine how your organization can best incorporate ePhilanthropy into your overall fundraising strategy Always be strategic Assure proper stewardship for online donations Online effectiveness is not always measurable, benefits can be long-term and often aren’t directly correlated back to your organization’s online presence

Final Thought “ How an organization reacts to technological change is a good indicator of its inner drive for greatness versus mediocrity.” Good to Great by Jim Collins