Sunday, November 18, 2007

Press War

The TO Star has run a series of articles challenging non-profits to take a closer look at their accountability. I'm not sure how the articles are affecting giving -- the organizations we are working with continue to see increases in donations -- but the press has certainly captured the attention of fundraisers.
How do we respond?
I'm not sure inserting our pie chart of our mandated 80/20 into all our materials is the answer. It won't deter response, but we haven't seen any impact from the pie chart. But we have seen significant increases when we train our front line team on excellent customer service. When donors phone in and receive a caring, informed response, their confidence is increased. Even if their questions are not directly relating to accountability, the reception they receive from your team will make a difference in their ongoing support.
We have also seen increased donor loyalty from honest and open content, using the truth to tell the story of the children, men and women who have unique needs. Using honesty in simple language, truly conveying the need, encourages donor loyalty. They feel a part of the bigger picture, the part that is truly implementing change.
How are you working towards increased donor loyalty?

4 comments:

John Lepp said...

Hi Gayle, I'm looking forward to keeping my eye on your blog as it develops. In a post on my blog today I discussed the idea of being appropriate. I think far too often charities (or their agencies) forget about who they are mailing to or don't spend enough time thinking about it... "Using honesty in simple language" really sums it up. Why make it complicated? Tell a truthful, engaging and emotive story (and design it nicely) and people will respond.

Gayle said...

Make sure you check John's blog -- the latest (as of Nov. 20) envelope natters.... simply get them in! We know that clever is not enough -- clever may attract attention, but it rarely motivates action. Action is a response to a real or felt need (both for regular products like Blackberries and charities). Our work is to engage the reader in a way that they are motivated to act. Many times our clues come from the donor or buyer themselves -- so watch your results... tracking is critical.

Anonymous said...

Howdy Gayle... Off topic here, but I wanted to pick your brain... Do you think new acquires (I refer affectionately to them as Newbies) should be put in their fundraising/communication stream? Or, can Newbies be put into the regular fundraising/communication stream right away?

Gayle said...

Hey Philip.... newbies are an interesting group. Industry standards tell us that more than 80% of new single gift acquires will never give a second gift. When you consider the cost of acquiring a new donor, that's a pretty scary thought.
We suggest that single gift donors are not considered donors until they have given 3 or more times. That means they get special treatment until they have given a second give. But we recognize that for practical reasons, this might be cumbersome to manage.
We recommend that the the donor receive welcome letter immediately -- sent within 24 hours of receiving the gift. The letter should be warm and welcoming and there should be a short, well designed brochure about the organization in it. This brochure should not try to attempt to tell everything about the organization. The writing and images should be inspirational and motivating, centering on the key needs your organization is fulfilling. Remember that donors give because they believe you really need their gift (and you do) and they want to know that their gift is impacting change. Don't get caught in the financial 80/20 pie chart... Show them the needs you are meeting, making sure that when they read your material they know that you truly need their support.
The next letter they get with an offer should be an amazing offer that echoes the offer you sent in the first place.
Let me give you an example. A couple of years ago, we sent a direct mail package with a simple offer of mosquito nets to a purchased mail list. The response was slightly higher than expected -- so we were pretty pleased. We mailed all of the donors a thank you immediately. Then in about 3 months we mailed them a repeat offer. That letter contained a photo of one of the staff member's daughter who visited the communities and was photographed with some mothers and their babies who were now protected from mosquitoes because of the gifts donors made. We also slipped in a little gift of a beaded star that women in that area had hand made. The donors responded at nearly 37% which far exceeded our expectations. The donors were then added to the regular mail stream.
This confirmed our belief that the "newbies", as you called them, should be treated in a special way -- it's important that they feel special and get excited about giving to your organization. It's also important that they hear from you regularly -- or else they will forget about you and give to someone else.