1. Engaging philanthropy … empowering your cause Stellar or Stagnant?

2. “A successful annual campaign ensures a steady flow of human and financial support and is based on a carefully planned and implemented program. It will have support from a broad base of constituents including individuals, corporations, foundations and civic and other community organizations. It provides the foundation for all other fundraising activities.” Henry A. Russo … Achieving Fundraising Excellence

3. PHILANTHROPY FUND Annual Fund What it funds: Operations (restricted or unrestricted) Major Gifts What it funds: Special Projects & Capital Initiatives Capital Campaigns What it funds: Capital Projects New Programs Endowment Planned Giving What it funds: Endowment

4. . Cultivate & Appreciate Major Gifts Cultivation and stewardship Donor Acquisition: Events, Direct Mail Constituency building Social Networks 90% of your donors 10% of your funds 10% of donors 90% of funds Donor Renewal & Retention : Annual Giving, Events Direct Mail, Memorials Retention Efforts Relationship Building Planned Giving Build the Base Retain & Grow Inspire Major Support

5. New Donors Direct Mail Special Events Social Media Volunteers 3 rd Party Events

6.  Renew 80% of donors every year  Know who they are before they lapse  Ask them several times throughout the year  Contact them and remind them to give before they lapse  Thank them & cultivate them throughout the year

7.  20% Lapsed Donor Rate is Acceptable  Most organizations are at 40-60%  Know who they are and appeal to them specifically  By Mail  By Invitation  By Phone

8.  Look at your donors – Prioritize!  Major donors – fewer yet more frequent contact  Renewing donors – understand when and why  Lapsed – “come back” strategies & reintroduction  Loyal – cultivate and build relationships  Acquisition – general cultivation and outreach  Corporations – strategic alliances  Foundations – honest partnerships

9.  We are communicating to 7 generations:  The Greatest Generation – 80+  The Silent Generation – 65 - 79  The Baby Boomers – 55 - 64  The Boomerettes - 45-54  Generation X – 35-44  Generation Y – 25-34  The Millennium Generation - 15-24  They do not think alike  They do not see the world in the same way  They do not respond in the same way  One communication style does not fit all ! @ Copyright Danosky & Associates

11.  How many donors in each income category?  How frequently and consistently do they give?  At what levels are they giving?  What is the average gift range?  What constitutes a major gift?  How many new donors are you attracting?  What is the attrition rate?

12. Know how your donors are giving Learn to understand their giving patterns Don’t silo or segregate your donors

13. Dollar Range FY 2010 # FY 2010 $ FY 2011 # FY 2011 $ FY 2012 # FY 2012 $ $100,000 $75,000 $50,000 $25,000 $10,000 $5,000 $2,500 $1,000 $500 $250 $100

14. Donor Giving by Gift Range

15. FY 2010 # FY 2010 $ FY 2011 #FY 2011 $% changeFY 2012 #FY 2012 $% change Individuals - all Total Donors Average Gift New Donors Lapsed Donors Corporations Total Donors Average Gift New Donors Lapsed Donors Community Groups Total Donors Average Gift New Donors Lapsed Donors Foundations Total Donors Average Gift New Donors Lapsed Donors

16. Analysis of Donor Behaviors – past 3 years Donor Type FY 2010FY 2011FY 2012 Donors92910431005 New Donors244296211 Lapsed Donors 623404398 Net loss from prior year 313115187 Total Giving $ 396,116 $ 682,393 $ 616,631 Average Gift $ 426 $ 654 $ 614 Potential lost revenue $133,338$75,210$92,100

17.  Major donors  Who are they; length of giving; average gifts  Loyal donors  Who are they; consistency of giving  Lapsed donors  Lapsed frequency  Recovery potential

18.  What fundraising strategies are being employed?  Do strategies meet the interests and giving behaviors of current donors?  Will they meet the interests of future donors?  Is the program well-rounded with appropriate time and allocation being proportionately devoted to areas that generate revenue?

19. Build donor base by 5%; target 30–40 year olds Recover lost donors: 40%; Retain current donors : 80% Upgrade donors ; 20% of all donors 10% of those $1,000 +

20.  Personal Face-to-Face Solicitation  Solicitation by Letter from a Peer  Solicitation by Phone Call from a Peer  Personalized Letters and E-Mail  Impersonal Letters (Direct Mail) and E-Mail  Impersonal Phone Call  Memorial Giving  Recurring/Sustained Gifts  Giving Clubs  Memberships  Events

21.  The “right” person making the “right” ask  Review what to ask for and how with the solicitor  Follow-up with a personal call  Send a personalized acknowledgement immediately  Help the solicitor stay in touch with the donor  Depending on the relationship – solicitor may do this by phone.

22.  Direct mail should be done several times a year.  Year end mailings provide the greatest return during the “Seasons of Generosity” and year-end tax incentives  THEY ARE NOT THE ONLY TIME TO ASK!

23.  Acquisition:  Alumni & grateful patients (natural constituency)  Donor acquisitions from event or activity  List Acquisition  Friends & Family  Renewal  Retention  Loyal frequent donors  Lapsed donors (LYBUNTS & SYBUNTS) Segmenting the donor base

24.  Whatever you send out via snail mail should also go via e-mail - the exact same thing.  Each component must validate the other to make it effective.  The more consistent your message the more people understand your cause!

25. All the professionals seem to agree that this is an extremely confusing period. “The old ways aren’t working and the new ways are not clear.” Mark Rovner, president of Sea Change Strategies “The old ways aren’t working and the new ways are not clear.” Mark Rovner, president of Sea Change Strategies Not a whole lot of consolation – but it is important to keep trying new avenues, test them and revise them and try again.

26. Critical way to renew donor support Group phonathons work because of the energy generated by the group Who Calls? Alumni Staff Volunteers

27.  Most appeals have a place where people can designate a gift in memory of someone  Memorial funds are established when someone passes away and gifts are made in memory of that person  Promoting Memorial Giving  Memorial Giving “Brochure”; web site; newsletter, etc.  Recognition  Remember – the family is the donor!

28. Dollar Range Fy 2011 #FY 2011 $ FY 2012 #FY 2012 $ $100,000 $50,000 $25,000 $10,000 $5,000 $1,000 $500 $250 $100 AVOID HYSTERICALLY BASED BUDGETING Count your Donors Review in advance how many you can upgrade Determine the solicitation techniques in each category

29.  How many donors in each income category?  At what levels are they giving?  How many new donors are you attracting?  What is the targeted attrition rate?  What is the average gift range?  How many major gift? Membership DriveEvents Volunteer Opportunities 3 rd Party Events New Donors Direct MailPersonal Solicitations PhonathonsE-Renewals Renewing Donors

30. Fund Raising ActivityNumber of giftsProjected Amount Event # 1 (net)250$65,000 Event #2 (net)125$40,000 Direct Mail – Acquisition1056,500 Direct Mail - Renewal – avg. gift = $6565042,250 E-Giving502,100 Direct Mail - Lapsed Donors Recovered12512,000 Phonathons – New2007,500 Phonathons – Renewal40026,000 Memorial Giving - New602,400 Memorial Giving – Family Stewardship207,000 Personalized Letters by Peers805,000 Personal Solicitations – 5959$300,000 TOTAL2,115$535,250

31.  Deposit the check immediately!  Send the acknowledgement within 48 hours  Personalized  All accurate IRS information included  Make it warm and appreciative  Make sure they are included in your e-mail list  Call for those who gave something significant  Larger than average first time gift  Major Donor  Recovered Donor

33. www.danosky.com Engaging philanthropy … empowering your cause Building Non-profit capacity so you can make the world a better place Friend Me!Follow Me! Connect with Me!