1. Your Fundraising Strategy
March 2011

2. Giving USA 2009
The findings contained in the Giving USA report are extensive and provide a comprehensive look not only at where
philanthropic dollars are going, but who is giving and how. Highlights specific to sources of giving in 2008 include:
 Individual giving continues to account for the largest percentage of overall giving at 75 percent of the total.
Individual giving is an estimated $ billion, down by 2.7 percent over 2007.
 Bequests are estimated to be 7 percent of total giving for 2008 at $22.66 billion.
 Foundation grantmaking saw an estimated 3 percent increase in current dollars with $41.21 billion, or 13 percent
of total giving in Foundation figures continue to reflect a tie to individual and bequest giving through family
foundations.
 Corporate giving, 5 percent of total contributions, decreased by 4.5 percent in Total corporate giving is less
than 1 percent of pretax profits.
Giving USA Foundation 2

3. Giving USA 2009 33% - Religion 13% - Education 10% - Grantmaking Fdns
9% - Human Services
8% - Public-society benefit
7% - Health
4% - Arts/culture/humanities
3% - International affairs
2% - Environmental/animals
1% - Individuals
10% - Unallocated giving

4. The Fundraising Team Development Staff Executive Director
Non-Board High Level Donors
Board
Other Staff
Volunteers

5. Fundraising Cycle
IDENTIFY
STRATEGIZE
CULTIVATE
SOLICIT
CLOSE
STEWARD

6. How Much Does Fundraising Cost?
Fundraising Activity/Method
James Greenfield Average Cost to Raise One Dollar
AFP Average Cost to Raise One Dollar
Capital Campaign/Major Gifts
$0.05 to $0.10 per dollar raised
$0.05 to $0.10 per dollar raised.
Grant Writing
$0.20 per dollar raised
Direct Mail Acquisition
$1.00 to $1.25 per dollar raised
$ 1.25 to $1.50 per dollar raised.
Direct Mail Renewal
$0.25 per dollar raised.
Planned Giving
$0.25 per dollar raised
Benefit/ Special Events
$0.50 of gross proceeds
$0.50 of gross proceeds.
For the tax year 2000 (as reported on 990 tax forms) the median level of funds raised was $5.40 for every $1.00 spent.
Online Donations The cost of processing online donations ranges from 3% to 7.5% of the amount of each gift.

7. Grants Strategic Goal: Secure significant gifts Pros
High return on investment
Easier to renew and upgrade
Multi-year gifts
Requires limited stewardship
Specific guidelines
Cons
Usually funding is restricted
Funding priorities can change
Issues with mission creep
Application and reporting can be burdensome 7

8. Direct Mail
Strategic Goal: Build a broad base of annual/regular donors for unrestricted operating funds
Pros
Able to reach a lot of people in a short amount of time with limited resources
Establish a base of annual givers
Low fundraiser to donor ratio
Cons
Not very personal
Constant need for list growth and expansion 8

9. Monthly Giving
Strategic Goal: Regularize donations, build a group of loyal donors who might become major investors
Pros
Regular cash flow
Donor loyalty
Great prospecting for planned giving
Cons
Need a system to accept
Prompt and acknowledge monthly donations – cost of processing 9

10. Major Gifts Strategic Goal: Secure significant gifts Pros
High return on investment
Very little paperwork
Develop long-term relationships
Philanthropy at its best
Cons
Difficult to get personal meetings
Longer gift cycle
Labor intensive
Need relationship managers 10

11. Online Giving Strategic Goal: Raise money in a cost effective manner
Pros
It’s easy for donors to give
Immediate acknowledgement with automated response
Ability to capture donor s
Cons
Must work hard to market and drive people to your website
Credit card fees 11

12. Special Events
Strategic Goal: Face time with donors and community building
Pros
Stewardship and cultivation of donors/prospects
Raise awareness
Showcase programs and impact
Showcase partnerships
Community building
Cons
Labor intensive
Expensive
Significant portion of proceeds go to overhead
Lost Opportunity Cost 12

13. Special Events Examples
Cultivation/ Stewardship Event
Donor House Parties, Event hosted at your facility
Free to attend
Cost depends on the event
Audience: donors and prospects
Ask Event:
Ask Lunch/Breakfast
Table host invite prospects with the intent they will give
Organization needs to motivate prospects to give
Audience: donors, prospects
Ticketed Fundraising Event
Golf Tournament, Auction, Gala
Ticket price to attend
Meal, program, sponsorship
High cost to produce- low ROI
Audience: corporations, individuals , clients and all staff
Buyers vs. believers

14. Other Fundraising Resources
Association of Fundraising Professionals
Silicon Valley Chapter:
National Website:
The Foundation Center
Website:
Compass Point Nonprofit Services
Website: 14

15. Break-Out Discussions
Step 1: Break out into groups according to the size of your agency Step 2: Introduce yourself: Name, title and organization (pass out business cards) Step 3: Each person presents a specific area of fundraising you would like advice.

16. Recommended Reading
The Foundation Center’s Guide to Proposal Writing, 5th Edition.
Demystifying Grant Seeking: What You REALLY Need to Do to Get Grants, by Larissa Golden Brown and Martin John Brown
How to Write Successful Fundraising Letters by Mal Warwick
How to Write Fundraising Materials that Raise More Money by Tom Ahern
Open Immediately! Straight Talk on Direct Mail Fundraising: What Works, What Doesn't and Why by Stephen Hitchcock
Hidden Gold: How monthly giving will build donor loyalty, boost your organization's income, and increase financial stability by Mal Warwick
Special Events: Proven Strategies for Nonprofit Fundraising by Alan L. Wendroff
Mega Gifts: Who Gives Them, Who Gets Them? By Jerold Panas
Donor Centered Fundraising by Penelope Burk
Nonprofit Essentials: Major Gifts by Julia Ingraham Walker
Fund-Raising: Evaluating and Managing the Fund Development Process (1999), by James Greenfield 16

17. Contact the Presenters
Alisa Tantraphol, Corporate & Foundation Relations Manager
Kelly Hardesty, Individual Giving Officer 17