Nonprofit Radio for April 6, 2018: A Conversation With Adam Braun

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My Guest:

Adam Braun: A Conversation With Adam Braun

ADAM BRAUN PENCILS OF PROMISE ©ELISABETH CAREN

He founded Pencils of Promise with $25 and in 2014 they had 200 schools globally. Today they have over 450. His book is “The Promise of a Pencil.” Adam was a Forbes “30 Under 30” and one of Wired Magazine’s “50 People Who Are Changing the World.” Today he’s CEO of MissionU. We talked about his journey founding and growing Pencils of Promise, and the mantras that guided him. (Originally aired March 21, 2014.)

 

 

 

 

 


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Oppcoll hello and welcome to tony martignetti non-profit radio big non-profit ideas for the other ninety five percent on your aptly named host oh, i’m glad you’re with me. I’d suffer the embarrassment of telesis if i saw that you missed today’s show a conversation with adam braun he founded pencils of promise with twenty five dollars, and in twenty fourteen, they had two hundred schools globally. Today they have over four hundred fifty. His book is the promise of a pencil. Adam was a forbes thirty under thirty and one of wired magazine’s fifty people who are changing the world today. He’s, ceo of mission you back then we talked about his journey, founding and growing pencils of promise and the montrose that guided him that originally aired march twenty first twenty fourteen i’m tony stick to non-profit radio at ntc, responsive by pursuing full service fund-raising data driven and technology enabled tony dahna slash pursuant to radio by wagner. See piela is guiding you beyond the numbers. Wagner, cps dot com tell us turning credit card processing into your passive revenue stream. Tony dot, m a slash tony tell us here is my conversation with adam braun rather than read his bio, which i would ordinarily do. I’m going to read his auto bio, i have a book coming out in march, the promise of a pencil that i think would really interest you and your readers. I know what he meant. That’s okay, i found it pencils of promise five years ago with twenty five dollars, and we’re rapidly approaching our two hundredth school globally, so i decided to write something for non-profit professionals and millennials with the most important lessons i’ve learned in creating a global movement. Anyway, i’d love to be a guest on your podcast to share lessons and insights around the book that is around the time the book is being released march eighteenth. If you’re interested in chatting further, please shoot me an email. Adam run let’s channel further that’s absolutely glad you sent that email. Welcome. Thank you so much for having me. Pleasure. Pleasure. Um, congratulations on the book. A couple of days old. Yeah. Yeah. I’m really excited about it. Outstanding. You call yourself? I think so. It’s somewhere. Or maybe was in one of your e mails? I’m not sure an impossible list. What’s what’s going on with that? Yeah, actually, i shared that on a couple of speeches, but okay, maybe i saw it on a video then. Yeah, i find that, you know, different people view themselves of different associations. You know, i’m a pragmatist. I’m a realist. And i just realized that the things that excite me, the things that i believe in and pursue, they tend to be that which others demon possible and so just kind of came off the cuff. It’ll talk, and it seems like it’s resident with a lot of people. And so i aptly i will say that i’m a nim possible ist right that’s, quite admirable school on dh. You also say, well, in the book that where you start in life doesn’t dictate where you finish. You’ve had you’ve had quite a journey, and we have an hour to talk about it and pencils of promise, but i like that a lot where you start doesn’t dictate where you finish. Yeah, that’s when the foundational beliefs, i would say that i was raised with on one of the things that dictates a lot of the work that i pursue now, it’s, just this core idea that where you start in life should not dictate where you finish and that where you’re born, i shouldn’t have a bearing on the opportunities and the guess path that you take going forward, and the book is divided into thirty mantra is correct, which are also very cool. I like those let’s, so we’re going to talk about a couple, you know? And then we’ll work our way. Tio, through your journey and talk some good amount. Ah, maybe second half about pencils of promise. Perfect. Um, leave your leave. Your comfort zone is a mantra and you have a little you have a story for each each mantra and it’s a good thing you came up with a nice even number thirteen way had twenty seven. What would the editor of with the publisher have taken you with? Only twenty seven or truthfully, i was trying to stick the twenty five, starting with twenty five bucks. I figured the twenty five most important lessons that i had learned. Good, but truthfully, they they just kept on kind of pouring out, the more that i would write. And so i ended up china, find an even number and went with thirty. Okay. Yeah. Did you have to do? It was with a marginal five difficulty from twenty five to thirty. I was stuck on kind of twenty eight. Twenty nine e take you twenty nine way can’t work with twenty nine exactly one hundred one if you get to one hundred one that’s a very popular number, but exactly all right. So one of them is leave your comfort zone. There’s there’s. A good story around that. Yeah. So, you know, when i was growing up, i guess to even rewind and start things from the very beginning. I was born in new york city, but i grew up in the suburbs. I grew up in connecticut and essentially the town that i was raised in, which was granted connecticut. My parents picked because it had the best public education system. They just kind of mapped out their most important criteria when they wanted to raise children. Both of them came from total poverty. My dad was an immigrant like that in this country when he was three on a boat. His family post holocaust survivors escaping the hungarian revolution. My grandmother worked in a sweatshop for her first ten years. New york after surviving just siri’s of it’s, a horrific atrash cities through her childhood, including being in the concentration camps for about a year and a half, and losing our whole family. And so what they really valued. I think his parents was opportunity attained through education, and so they picked greenwich that’s, where we moved when i was probably about four, and i was just one of those kids who, because of the two things that were valued in my household, being family and education, i poured myself into the books, and i also played a ton of sports basketball being the main one, and so i ended up moving through high school and just becoming really, really interested in working in finance, actually, because so many people in greenwich, our finance professionals and, you know, you look around and you see who’s, the person with the nice car in the big house and we’re going, we’re gonna have a chance talked about bain capital where you were and, you know, you’ve got some good stories from there. Yeah, yeah, eso so i’d actually open up any trade account when i was thirteen, because you could think that and then started working at my first hedge fund that i started working out. And, you know, i wasn’t doing probably very high quality work, but i still on opportunity that they gave me to be inside of a head shine when i was about sixteen. And so then by the time i was nineteen, i was in the summers working at a fund of funds. But the important thing for this mantra, this get out of your comfort zone idea is that i went from, you know, fairfield county. I went to brown university for college, so state in new england and pictured myself going into this financial profession, moving to new york city. And when i was twenty, as a sophomore in college, i ended up seeing a film called baraka that was shot in twenty four different countries, just beautiful, beautiful cinematography. But most importantly, it showed these indigenous cultures and these beautiful geographic wonders all around the world. And i just thought, if these things are existing somewhere, i need to see them with my own eyes. I need to absorb them myself. And i just got this this mantra, this kind of phrase in my head get out of your comfort zone and this kind of restless voice picked up in may and said, you know, until you leave the comforts of what you know, you’re really not going to discover who you are, and so it led me tio go on semester at sea, which was the first i would say, a significant experience outside of the bounds of what i was familiar with, and that just changed my whole life, all right? And we’re going to we’re going to continue further, but semesters si has a great story. Uh, where you have quite a quite a harrowing experience on the ss you assassin explorer as explorer. So, you know, one thing i will just say as i am, could not be a bigger advocate of semester at sea. It was the best and most important thing i’ve ever done in my life. Outside of getting engaged, i would say, okay, fiance, right, right. Good. And so i went on a semester at sea in spring two thousand five. We left from vancouver headed towards korea, and the expectation was that i would get to see ten different countries and you have forty six days. To travel through each country completely independently as backpacker, do whatever you want and just make it back to the ship by whatever. Tuesday at five p, m and you’re studying about each of these cultures before you get there. So it’s just an incredibly enriching experience and my ship eyes. One of the kind of more famous voyage is over the last fifty years of semester at sea. Usually if you’re famous on sametz see it’s because something went wrong, but my my voyage was struck by a sixty foot rogue wave about eight hundred miles from land while crossing the north pacific in winter, and the way that hit us as we’re going from vancouver to south korea shattered the glass in the area that house the navigational equipment. So we lost all power to our engines, and we were in this kind of mega storm being tossed around by forty five foot swells on each side. And so we had basically this, this kind of panicked announcement that was made that said, get to the fifth for hyre helped women, children up the stairs and get to your muster stations, you know, keep on your life jackets. And your muster stations there were you evacuate a ship from so that type of call is, is that those of us who’ve been on a cruise? You visit your muster station once exact beginning of the cruise, right? And then you never go back and that’s the assumption for for all cruises and all all sea voyages. Exactly. So we had, you know, we’re college kids, and so we’re messing around, playing with the little lights on life jackets and, you know, you’re looking around thinking, is there someone that i can probably maybe china floor with, like, you know, you’re nervous kid? And so so we don’t pay much attention to the whole muster station exercise, and then suddenly you get this announcement. That’s what you mean muster station that’s where we evacuate from and look outside, we can’t evacuate, and so, um, i had what i would call a certain death experience. I really genuinely believed that i was goingto perish in the next few hours. And when you go through something like that, a taste in my case too, things happen. The first was you asked the question of why am i here in the first? Place if i’m about to perish like, what is the reason for my existence? And then the second is when i’m gone, what will i have left behind? And because of that, i just became i would say pretty obsessed with this. These two questions one what is my sense of purpose? And then too, what are the footprints that i can leave behind amassing significant personal wealth, getting a big house suddenly that became pretty deep prioritise this is all going through your mind as you’re at the muster station way never even actually made it up there. This happened in my room. Oh, this is all in your room. Things are being tossed around, right and furniture’s falling. This was but yeah, it was it was it was pretty wild. Alright, we went upstairs and then waited upstairs for several hours. All right, we’re going. We’re going to go out to a break right on middle of this great story deliberately because there’s a good story about a tattoo coming up and obviously he survived and we’ll continue the journey from there. Hang in there, it’s. Time for a break pursuant. The current paper is demystifying the donor. Journey two weeks ago, i talked about this with taylor shanklin, i know you remember that from pursuant, so you don’t need the paper. But how about a friend? Someone who can use help with donor stewardship help keeping their donors so they don’t have to replace them year after year, which, you know is expensive and a waste of time, you know, because you listen, get somebody who doesn’t you got somebody in mind if you don’t you’re not thinking hard enough. Think again. Get it, get it. Okay, you got somebody? Send them to the paper at tony dahna slash pursuant radio and if they want more, send him to the march twenty third show. Demystifying the donor journey. Tony dahna slash pursuing radio now back to adam braun. Lost at sea welcome back to big non-profit ideas for the other ninety five percent. All right, adam braun, you’re you’re in your room. Things are being tossed around. You’re you’re having your having cereal, you’re questioning your existence in pretty serious ways, right? S o i thought, what a cliffhanger believe latto yeah, eyes is high adventure. Yeah. Non-profit radio. Yeah. No, it is. I mean, the just to give away is that i did survive. I’m still here, so yeah, i mean, the part about the tattoo is i got a tattoo when i was yes, eighteen, which is pretty crazy to think about, but i got a tattoo it’s the mirror image of two words and those two words, i believe. And so there were image of, i believe, yeah, yeah, so it’s a name? I mean, two words in hebrew and ah, they ii see it correctly in the mirror was meant as a very kind of personal thing. Onda kind of, i guess, just reminder that whatever’s in front of you, whatever you think you can’t kind of conquer if you have that self belief that it can be made real. And so, you know, i’m sitting the rumors going around about my tattoo, you know, right now live well, i’m glad you took your outer sweater off. Put your shirt up picture that i can it sze literally that crystal and i wouldn’t really can’t picture. All right, i’ll get pictures of you, but not i i will point to where it is on my body. Okay, on dh so it’s it’s a little it’s over my heart, and so i basically, you know, kind of said my prayers ask the big questions and this this kind of knowledge, this calmness, this stillness came over me and suddenly just kind of, i guess knew that it wasn’t my time, ondas soon as i knew that it wasn’t my time that it wasn’t my kind of data. Parrish i recognized right that’s for a reason. There’s there must be a reason that i’m here in the first place, and now i kind of value the sense that whatever comes next is probably gonna have a much more depth to it and that’s after we survived, when the next thing that happened is we fortunately, we’re able to travel through the developing world for the very first time in my life. I’ve never been exposed, teo poverty at that level to just indigenous cultures all around the world. It’s just not part of what we did when when we were kids growing up on dh so fortunately ship doesn’t go down there’s mass hysteria for about four or five hours, but semester it’s, he just did a miraculous job of weathering some obviously tough conditions. And then from the administration actually making sure that our semester could continue because most other probably woulda latto just get cancelled or something. And so we start traveling through these different countries, and i had a habit of asking one child per country, what do you want most in the world? And i figured i would get this this kind of material answer of what they want, and i haven’t write it down on a piece of paper, and then i could make a collage in my dorm room back-up college of, like, the different kind of cool things that kids were interested in buying around the world and that’s when i got to india, which is where i wanted to see most before i left on the trip and when i was there, it’s just it’s very devastating to see the levels of poverty that you witnessed there because oftentimes there’s a suffering associated with it, like there’s, just pain on people’s faces and you feel pretty helpless you feel like you can’t really do anything, especially as a twenty one year old at the time. And so i asked this one boy who was begging on the streets in northern india. He was like my one kid that i decided i was just so interested. Like, what would he want? You know, would it be a house would be a car? Would it be a boat? And i said, if you have anything the world, what would you want? And his answer was a pencil, and it just blew me away. And so i kind of started to ask some more questions, and i realised he had never been to school before and that anything that he was given was taken away from him money kind of candy, etcetera. But i guess in his mind, you know, he saw there boys coming back from school with pens and pencils, writing on piece of paper and that the one thing that he wanted to pursue was unlocking his own creativity, opportunity, curiosity, imagination and that access to education would do that. And so i gave my pencil. He lit up, and i just started passing out pens and pencils everywhere that our travel after that because it opened up conversations often times with with young people about their hopes and dreams, and if not, i would give it. To a mother in a market so i could ask her about what she wanted for a child, and it just always came back to quality education. And so from that point forward, i just became obsessed with creating, you know, world there are at least helping to create a world in which every single child has access to quality education and r and you site in the book the our global education crisis. Yeah, yeah, right now, there’s fifty seven million children without any access. Teo basic education what’s justus bad, because that really focuses on the access issue, but i’m really happy to see that a lot of the global leaders on education are focusing on second element, which is quality learning on dh. So you have two hundred fifty million children who are in classrooms but cannot read or write their own name by the end of fourth or fifth grade. And so it’s more than just getting kids in rooms it’s, it’s actually making sure they have quality teachers and that learning outcomes are being valued as well. Part of one of the monsters that you you touched on in the story of the ss explorer is andi travels that came after? It is that tourists see and travelers seek yeah, you’re clearly a seeker. Yeah, that that was one of my firm for probably two or three years. That was my main mantra that i just wrote on any piece of paper that i could as a reminder to myself. Because when you, when you really start traveling, you take a lot of pride in being a traveller. And you almost disassociate with tourism. Yeah, it’s, sort of. Well, the tourists will just sort of rattle off the country’s, right? Oh, i’ve been there. I’ve been there. I’ve been there, right? Right. I mean, tourists and my mind are are interested in seeing and and it’s not to discount tourism, because now i have vacations where i just want to be a tourist sometimes. But that’s when you’re kind of interested in seeing what i would say the quote country has to offer, like the museums, the moss, the churches, the center guys the most, you know, kind of beautiful sights when i think about being a travel that’s much more about what the people have to offer and so that’s about, you know, getting into individuals, homes, you know, eating the local food with local people, seeing what actual you know, the regional customs are and how people lived, not how they present their historic artifacts to those that are interested in the tourist elements of that culture. And so, you know, it’s, not the discount either one of them, but i find and certainly when i was in my early twenties and i was traveling country after country after country for extended periods of time, i was interested in seeking and almost finding answer is not just, you know, seeing beautiful sights, you were pretty comfortable at another place where you ended up not doing internship, but working, obeying you had had an internship there first, right? You know, so so i don’t i held different internships in a financial industry so again, since i was kind of sixteen on words most summers, i would work either hedge fund’s fund of funds or institutional banks and then came back after some of my travels and went through interviews with investment banks and consulting firms in private equity, and i landed up ended up at bain and company, the consulting firm, which eighty percent of people had been capital to private equity firm are form being consultants. So in my mind, i was going to bane and company to then work at bain capital, and you were you were comfortable there hyre from outward appearances, but but there was, ah, discomfort internally. Yeah, very much so. And i know that i speak about this in the book and again, i’ll say i mean, i’m a z big of a proponent of banning companies possible. I had such an incredible experience there. And truthfully, there’s no way that pencil a promise would have become what it became without my my training and experience and the goodwill of the people at bane that i worked with. But, you know, coming out of school, i was so passionate about this one issue, but time and time again, when i would share with people i want to go build a school, and i wanna go help kids in this one country, whatever that country might be that i was passionate about at the time they’d say to me if they knew me. Well, well, this sounds great, but you’ve always had a business background. You speak the language. Of business, why don’t you try and get some more formal business training? And then maybe even a mass some personal wealth and with that wealth start something and with your network and resource is etcetera build something based off of your kind of business career and kind of reluctantly took their advice and saw it for what it was and it was pretty sound. And so i went to work in vain, but with the whole time i was there, i viewed it is a form of paid business school, and i think that’s really important for any young person in any job is to not go into the job thinking all right, what’s my salary and, you know, prioritized the prestige of my business car, but it’s really, about how much can you learn? Because because that’s what’s, valuable in your first two or three jobs is kind of creating the foundation for your like operating system in the business world going forward. And so i went to maine and, you know, it was working on these great fortune five hundred or forty one thousand companies learning a ton, but i just what couldn’t get passionate about the clients that we worked on and it’s just the industries i wasn’t intrigued by. And so i was at the time, living in this really beautiful apartment. And in new york city. Yeah. I mean, i had this great apartment on union square. Onda had, you know, access to really fun parties and a bunch of my friends from high school and college and different travels were used to go to republic. The noodle shop? Yeah. It’s. Really good. I like it noisy, but yeah, they have very, very good, pat. Yeah. And so from outward appearances, i was working at a very prestigious firm, eyes twenty three going on twenty four on dh. So i was making good money. I had business opportunities that were absurd for somebody of my age. I mean, back then, this is kind of two thousand seven, so it was just before a lot of the crash happened. So we were getting calls from major private equity and hedge funds that were offering us two hundred fifty thousand dollars until yvaine. And i’m you know, like twenty forgetting offered two hundred fifty grand toe leave my job. That’s already a good job on dso. From all outward appearances, somebody who said like, wow, this is a guy that’s really got it made, but internally i was living a life that was one of you would say, exclusively self interest on dh that’s just because i was, i don’t know just a young kind of single guy in new york with a good job and obsessed with getting into a party or how much money i could make our, you know, just something about myself, and i kind of realized one day that i wasn’t living the type of life that i had aspired to live, and when i thought back to that day on semester it see where i recognized both purpose and the value of legacy i wasn’t pursuing either, and i needed to find a way to get back to that. And the single most powerful way that i could do that was by focusing on honoring or service to another person. What do you think brought you to this evolving introspection had what? Is there a trigger or just it’s? Looks like it’s snowing inside or what is it that brings you to think, i think it’s two things and again i would advocate for anyone else that they pay attention to both of of any age, by the way o for sure doesn’t only latto millennials, for sure. I mean, i’m now thirty, and i paint china pay attention of both as often as i can. The first is the restless voice that keeps you up at night on dh that’s, one of my montrose that i’ve used for years is just embrace the late sleepless nights like the things that keep you up at night actually don’t try and turn those off every so often just try and dive into them and see what it is that’s gnawing at you and pulling you, and it says that tattooed on, you know what? Maybe one? Okay, everyone day still very meaningful to you not to minimize it, right? Right? And then the second thing is writing so written in usually like, i’ll buy a really nice kind of leather bound journal, because i find that if you have a journal that you really love, it’ll lead you to write in it mohr and write better content rather than just kind of buying like a John cheap $:10 barrel bound that’s. Been my you know, my dreams, aaron spiral bound, you know, because i could rip them out when they don’t come true. It’s it’s and then i just buy a new binder after i’ve exhaust one hundred fifty sheets one hundred fifty dreams gone now just got two pieces of cardboard and a wire holding them together, right? I just throw the whole thing away and start again so so yours or i’m gonna get you one of the but, like, fifty dollars leather valente’s gonna drive, but i’m telling you, once you have a nice day journal, you almost feel like i this thing is going to be around for a while and made my crane kids will read this one day, so i have to write realists kind of essential truths that will carry forward. And so so every so often i try and write, and when i write, i just look at the words on the page and it’s like, why am i not following this? And so that those are the two things that helped me pull pull things out that, i guess lead to the introspection that you’re describing? Um so despite thea, i don’t know either encouragement to wait or discouragement. Tio start immediately from mentors and family, too. You know this advice? That seems sound, but it was still troubling to you. You started with you started pencils of promise with twenty five dollars. Yeah, s so what ended up happening was that bane has something that they called their ex turned ship opportunity and it’s usually in your third year where you can go work for anyone else for six months and come back and it’s really nice way for to get industry experience for them. Teo also keep you within the company while giving you the opportunity to, you know, test your your foot in the waters of one of the industry’s you might be interested in. And so most people leave their work at one of the main portfolio companies or they’ll work at in the financial sector, hedge funds or private equity. Some of these places that are calling you you’re like, hey, i can try it out for six months being doesn’t pay you the company does and so it’s a really incredible thing that they do. And so i just started thinking about all right, what can i do. What can i do? I have six months. And then i got this idea in my head. I was like, why don’t i just tap back into my passion around education in the developing world and work for someone that i’ve been, you know, volunteering for for years i’ll go out to cambodia for this one organization that cambodian children’s fund and volunteer with their founder, who was a real hero of mine. And then i just want what’s that person’s name. Ccf. Yeah. So the ccf, his name is scott neeson. Ok, shot. I mean, you mentioned your your fiance? Not by name. What’s your fiance’s name? Tequila. Okay. Won’t shut her out too. Yeah. Okay. All right. So scott was very meaningful. Well, he was another one of those people. That just that was a really changed my life. And so i suddenly got the itch to do something entrepreneurial. Andi had done little entrepreneurial things throughout my life, but i realised maybe i can start a new organization. And rather than volunteering with scott for six months, i could actually find a way to build one school. Do it on that. You know this six? Month extension. And then, over the next twenty years of my career, i could have this organization that built the school a year, you know, that was kind of the ambition. And so i went to the bank, had this kind of big epiphany night, and i realized the name pencils of promise could really kind of capture the spirit of things. And so i went to the bank and in my hometown, and i said, what does it take to open up a bank account? I want to start an organization called pencil promise. I wanna build one school and ideally dedicated to my grandmother and the woman on it was debbie said, well, i like the name i said, metoo thank you. And she said, well, you need at least twenty five dollars, to open up a bank account, a bank of america i said, okay, that’s, a good sign. I’m turning twenty five this month, so i’ll give you twenty five bucks on a chance for, you know, put in twenty five bucks and tow this new account and literally bootstrapped it from there to now the, you know, millions of dollars that we raise annually on. Dedicated to your grandmother worked in a sweatshop, you’d said, yeah, yeah, i mean, i really thought about how could i, you know, fulfilled this sense of purpose, not only for myself but for somebody else and, you know, eventually, you know, now we have schools dedicated to each of my grandmother’s, my grandfather’s, my parents, there’s one as well, my brother’s, etcetera. And, you know, we broke ground on over two hundred schools in each of those schools are now dedicated to an individual that the person who helped bring that school to freshen eyes close to and so that’s a really beautiful part, i find of the work that we d’oh but but, yeah, she she’s obviously sacrificed a ton so that i could be in the, you know, the life position that i’m in now. And so that was a big part of it, you know? And so over two hundred so my my intro was a little out of date you’re over two hundred? Yeah, wait, we’ve broken ground. I’m just over two hundred schools, ok? We’re going toe i’m going to transition. Teo tony’s take two very briefly and that’s a perfect point for adam. And i to kick off and we’ll get into some of his advice about scaling from twenty five dollars, to a million and possibly beyond and how that gets done because i know that you’re all in small and midsize non-profits and you’d like to know how pencils of promise did it. We need to take a break, wagner, cps they’ve got an archival webinar webinar that i employ you to check out, prepare your nine ninety for success if you are one of the fortunate organizations that is enthralled to complete the full nine ninety not that pure all easy form or the end, even the postcard then listen to wagner’s webinar and i’m doubling these wigan ours it’s a wagon r it includes common mistakes and most damaging mistakes you want to avoid those also how to use your nine ninety is a marketing tool click goto weinger cps dot com click resource is then wagon ours now time for tony’s take two non-profit radio will be back at the non-profit technology conference this month. It’s eighteen ninety see, the hashtag is eighty ninety see, we’re going to be in new orleans. It’s april eleven to thirteen non-profit radio will be at booth three. Oh, five will be recording tons of interviews. I wouldn’t be surprised if we get thirty or more. That was what it was two years ago when i was there. Interviews all smart people. You know what this is about? This is using technology smarter and quicker, more efficiently so that you can focus on goals and mission. And you know, that is not just for technologists. Are we living through this year after year? It gets so boring to hear it over and over. But we have new listeners. You got to know it is not just for technologists. So anybody who’s using technology that includes word wordpress? Are you using these things? Unless you’re still on index cards, you should be at ntc the non-profit technology conference because this is what antenna non-profit technology network is all about. Smarter use of technology for non-profits non-profit technology. It’s all linked together. All right, so if you go into the conference, check us out at booth three. Oh, five will have the bright lights because we’re shooting video and there will be lots of smart interviews to come along in the future. Months on. Non-profit radio, i don’t have any books yet, but lots of invitations air out, so i know there’s going to be we’re going to be covering like blockchain, which coincides with bitcoin, i hope you know that if you don’t, you’ll learn it. If you do, you’ll learn even more, but that’s just getting started. I mean, we got social media interviews that i’m sure we’re going to book. Um, um, planning oh, yes, strategic planning around technology, we’ve got a couple interviews that into invitations out. I’m sure we’ll get interviews for that, too. All right, so that’s coming up non-profit radio at the non-profit technology conference now we got to do a live listen love and what comes right after that. And then after that so the live love goes out? Yes, where i am a p recorded today. Um, so i can’t shout you out by city and state or country, but, you know, we got the we got the regulars, the regulars are always dropping by there’s always somebody in california there’s always multiple new york, new york there’s often staten island and brooklyn. We don’t get queens and bronx too often, so we’re going to assume that those people are there, and then there’s, new brunswick, new jersey, and new bern, north carolina. You know the regulars. Um, but if you’re not among the regular live listener, love goes out to you. Nonetheless, the podcast pleasantries thank you for listening on whatever device, whatever time, thank you for building us into your schedule and the affiliate affections to our many am and fm listeners throughout the country. Affections to you. Now we return to my conversation with adam braun and the pencils of promise story. Okay, adam, you’re still here. You hung around. Yeah, thankyou ways. We’ll keep talking since you, since you stayed around. Yeah, sure. Um from twenty five dollars, to now you’re over, you got over two hundred schools. Eso globally. Eso. We’ve broken ground. I’m more than two hundred, you know, once you break ground, it takes a couple months toe open him. So we’re right on the cusp of the two hundred being open, but we’ve broken ground on more than two hundred, okay, all right. What was what was day two? Like after the after twenty five dollars, now you’re still employed? So you you sort of bootstrap this, right? Right. So so bane gave me, you know, they said once i persuaded them to let me go do this because people hadn’t done entrepreneurial things through this external ship, okay? They said on dh, they’re not paying you during this now, so they let me keep my health insurance, which was nice of them, all right? And that i think they gave me, like, you know, very, very, very small stipend, monthly little income, but it wasn’t as much. So, you know, right after that they said to me, okay, we’ll let you go do this, but it has to be off the ground when you leave to pursue it so you can’t leave to create an organization, you have to work for something that’s in existence, so we need to at least see the filing, the registration, all of that kind of good stuff. So it took me about five months to get that done, and i knew in my head that i wanted teo start in march, that was just kind of the time frame so i had from october to march to get it off the ground, and the first thing obviously was i’m going to raise the money and my birthday is on halloween, and so i’d always thrown really fun halloween, you know, parties and often school. Since i was twenty one on words, i had always said, you don’t get five or ten or whatever dollars at the door and that’s going to go towards the charity of choice, oftentimes the cambodian children’s fund. And so i ended up basically during this big party in new york, saying, give twenty dollars at the door or whatever you want twenty five if you want, from a twenty fifth birthday and wait, about four hundred people came out come out, and we raised a thousand dollars and then friends, mind on people that attended the event said, wow, this is really great. I want to support pencils of promise more let’s do another one. So we threw another big event, which was a masquerade party, and then i had people in my apartment for new year’s, and i said, give whatever you want instead of paying, you know, some overpriced. Party in new york give whatever you can afford and, you know, we’ll put it towards helping build this first school, and so we end up raising the funds to build the first school just over those first three events, and at the same time, i was, you know, meeting after hours with, you know, probono lawyer to help get the registration done and when i started to do is kind of coal ah lot of different young professionals across new york who are interested in our work on dh say to them, ok, this is volunteer for all of us, but come meet at the main office are the goldman sachs office or what? Bbh was on advertising agency that one of the key people worked that we’d meet there, like nine, ten at night, we’d white port, a ton of stuff, and, you know, it was like a fun project at the time. I couldn’t even believe the first time that we had a white port session, i took a photo and was like, i can’t believe that pencil promises so real that we’re right here front dahna white-collar you know, it was such a big hurdle for us. And then i started teo late night. Just email anybody that i could that was associated with education in laos. Because that’s really what i wanted to start. I travelled the thanh and really found love of southeast asia. And i wanted to work in one of the areas that had very low ngo density. Not like one of the ones it’s kind of over served and saturated with ngo’s. I wanted to work in kind of the most underserved. Is that why you chose laos over cambodia? That was one of the big ones. Yeah, yeah. Now, that was one of the biggest reasons of the second one was that louse just from an economic indicator standpoint, has greater poverty, as does myanmar. But myanmar was politically cut off in two thousand eight. You’re gonna get in the country. So when i thought about the region i loved most plants just really fit all the kind of buttons that i was looking at the potion. So fortunately, after a lot of people either ignoring my emails are telling me to go away. One organizations important lesson there never, never discouraged or maybe discovered, but never stopped by people. Turning you down flat? Yeah, it wasn’t like i just said, i want to build a school class and i emailed somebody and they said yes, then there was silence for a long time. There’s ah, similar lesson i’m thinking of the academy awards were just a couple nights ago on dh matthew mcconaughey won best actor for dallas buyers club, and i saw a clip of him saying that the production of the movie was turned down one hundred and one hundred thirty seven times one hundred fifty seven times he was counting, but over four years, obviously the film got made, and then he just won best actor and the supporting actor one the coast doctor was won best supporting actor. Yeah, so not to be, you know, don’t it? I mean, matthew mcconaughey gets turned down, adam broadened, gets turned down a lot. You don’t, you don’t stop. Yeah, i mean, i can’t remember for the how the line was phrase in the book, but there was something about it got iterated a bunch of times over different drafts, you know, it wasn’t a changing stuff, but one of the things that i tried to really share. With people was that, you know, the kind of best friend of any entrepreneur is resilience that you’re going to get turned down over and over and over again, and people are going to come in and out of your organization and some of them you’re going to think are kind of the savior and going to make everything perfect on and some people you’re going to say like they’re not doing anything on dh, they might end up being really fantastic, but at the end of the day, if you don’t have significant resilience and just this kind of done, like no matter what happens undaunted sense, you know that to the idea of being an impossible list it’s, like you get excited when people say it’s impossible, and so people keep on saying to me like, oh no, this can’t happen or you don’t want to work here one reason or another white shouldn’t be, and i just knew it had to be there, and so i just wouldn’t stop until i found the right person that could help me get a foot in the door. And unfortunately, this married couple that was living in new jersey, they had an office further small business in new york city, i said, yeah, we built almost twenty schools of the last decade in laos. We’d love to chat with you, and so i took the n train down after work from times square, toe prints street and weigh enough spending four hours together and they were like, yeah, we’re working in the exact region where you’re interested, and if you’ve raised the funds already, we can help you get in the foot foot in the door, and we have ah, local coordinator named tong chan, who lives in long for bunkhouse so he can help you on the ground. And so it’s a crate, i’ll fly out there, i’ll figure it out, you know, get my backpack on last second of buddy of mine came with me, and then this is when the bangkok airport riots happened in two thousand eight, and so he had to turn around because he’s, south african at these issues. So now i’m like, alone on a bumpy ten hour bus headed upto laos land in a backpacker guest house for ten dollars a night and that’s where i stayed and this guy took me around and introduced me. The education ministry helped set up the creation of our very first school. And then eventually, when i needed my own staff, the first woman that i went to was the young lady who did the dishes and clean the sheets at the guest house where i’m staying. And i asked her to become our first coordinator as a volunteer. She said i would love to, but you need to ask my mom for permission sight that put on like my one deed up button down that was in the bottom of a backpack that i was carrying with me. Ask her mom and her mom kind of said, yeah, but only under these conditions and long story short, that woman is now our country head on. Allows she manages a forty person staff. And when the southeast asia games happened a few years ago, she was the mohammed ali. She let the torch in the middle of understand. What did you see in her? As the woman who was doing the house, keeping at the the guesthouse? It’s tough to explain, but she’s just one of those people who has a light about them when you spend time with her, she just makes you happy. She just has immense. I would say dignity, you know, she she just and that’s one of the things that people always ask me as well, how do you know to trust people and make sure that money doesn’t get lost when you work in the developing world? And that was one thing that was really essential to me is that we would build a model where every single dollar was used as efficiently as possible. And that meant not paying out outside contractors and funding, you know, outside entities, but actually keeping money in our organization, hiring our own staff to execute on our programs. And this woman illinois she’s, just one of those exceptional people. You can’t meet her and not believe in her on dh. So you know, she she made it easy on me, and she spoke great english. That was another thing. It was really tough to find anyone who spoke quality english and her english was actually fantastic. Something in your gut, though, to hell for not having called god with her. And it was it’s proven. I mean, she’s like the star of the organization the’s a great lessons for scaling. All right, so the first school gets built, i’m goingto go through seller accelerated version. We have an hour, but we only have an hour. How do you continue to scale the organization to getting to know a quarter million dollars a year budget? Half million dollar year? Yeah, eso won. We realized, ah, that our events could make you know, let’s say between five and thirty thousand dollars and that that at the time, for me, it was really exciting. Like, wow, we made twenty five thousand. I mean, we didn’t have a single thousand dollar donor at the time. Ninety eight percent of pencils of promise is donations in await no nine were in amounts of one hundred dollars or less. So, you know, getting like a five hundred dollar donation was huge if somebody bought a fifty dollar ticket to one of our events and then paypal later on, so i don’t know there was an error and gave them their money back. I was like hounding them for the fifty dollars. So so that’s, how small we were. And fortunately, one of the girls that was on our leadership team who was volunteering on the side had worked on building a non-profit previously, that was also a kind of small organization built by young professionals on the sides of their job, and she just said out, right, i will not participate in this if our fund-raising model is event based, its just not scaleable we can’t keep doing events that that’s an important lesson, a lot of small shops, you need to know that it’s it’s just not not scaleable, not sustainable, exactly events just so time consuming, and you don’t draw the right kind of people all the time consistent, you know, long term don’t type people for sure. And i remember when she said that i was frustrated. It sounds like we’re doing really well, why not going my model, right? Yeah, i mean, when you’re starting and you know, something like five or ten or twenty thousand dollars feels like a huge amount. It’s it’s really hard to say no, no, we’re not gonna keep doing this, but that’s the only way that you’re going to get to a bigger level so you were willing to let her shake you up to oh, definitely, i think that’s one of the essential parts of leadership is to surround yourself with people who are better than you at most of the leadership characteristics that you need within an organization, and to find the kind of one nugget where you are fantastic, or you could almost have an unfair competitive advantage over anybody else in the world and in my case, that’s telling the story of pencils of promise and believing in it with relentless conviction to the point where people can’t turn away from it. That’s what i’m uniquely qualified in exceptional to dio now executing an event, there’s a lot of people that are better than me at that fund-raising design digital there’s all people out there that can do those things better than me, and my job is to give them an opportunity to manifest and to become the best version of themselves through this organization by doing what they love most and what their most capable and so so, yeah, i was very open toe her belief that that was the, you know, the path that we needed to take was not to become over dependent on our events, and so we had to. Kind of take a risk in another direction. I think that’s also a really important part of anybody that’s trying to chief scale is you have to try and predict where the world is going, then position yourselves ahead of the curve and then, you know, grow into that next phase and it’s it’s, scary and it’s risky, because if you’re wrong, you’re organization potentially shuts down, but what i did is i took two bets. I would say the first one was on the rise of digital on social media. I keep mine. This is two thousand eight early two thousand nine you know, twitter was essentially, you know, not really on the scene at all. Instagram hadn’t even started the dominant social platform at the time was rapidly becoming facebook, but it certainly wasn’t used by non-profit professionals as significant area of dahna engagement people were thinking about direct mailing, they were thinking about, you know, face-to-face communications and they were really focused on major gifts, and so i was mark zuckerberg xero in college s o he started facebook at harvard as a sophomore in two thousand for i was a sophomore at brown at the time. And my best friend had a identical twin who went to harvard, and so we were like the beta testers from facebook, and so all of my friends were on the platform, and i could see that all these other people were going to be coming on soon. So if we became one of the most, i would say present organizations and kind of lead the way on how to engage people through digital on social media, it could really elevate our brand status and game kind of significance for us. So that was the first kind of bet was focusing on building a digital community rather than going after major donors and just saying, all right, let’s focus on the quality of our work and the scalability of a model on the ground. Our core programs let’s focus on building community specifically through digital, and then the third one was betting that cause marketing would become really relevant for major brands and that if they were interested in investing their dollars into creating social good, that we as an organization that built schools all around the world would be a really good fit for some of those corporate contributions. And so that’s, what i focused on in two thousand, i would say nine in early two thousand ten when i eventually would like to schools, and i left man to do this full time. I didn’t focus on high net worth individuals and in focus on major fund-raising focused on programs community on dh, eventually getting a story that would draw in corporate engagement, and by late two thousand ten, suddenly we had all three in place, and this is another mantra in the book is you only get one chance at a first impression, and so i didn’t do a single interview. I didn’t tell our story in any platform for two years, until we have more than ten schools, at which point i felt like we had a great story that could travel and at that point in time shared it with ah writer at the huffington post, and much to my surprise landing on the the cover of huffpost impact on the story was like how one backpacker built fifteen schools with just one pencil on so it’s kind of this story that could travel and next thing i knew, i had tons of corporate saying hey, we want to work with you, you know, startup brands, and we suddenly had our choice to say yes, we will take your dollars in this fashion if you build this campaign with us and we jumped up from you know, about less than fifty thousand dollars the first year less than one hundred thousand dollars the next year and by two thousand ten, we’re raising over a million dollars. We gotta go out for a couple minutes. We’ll be right back. I’d love the cliffhanging moments. Outstanding. Hang in there. Got to take a break. Tell us the credit card payment processing company you want to get affiliated with them, you want to check them out? People have been going to the web site let’s get them actual leads. Because this is a long tale of passive revenue for your organization. Check out the video at twenty dahna slash tony tello’s. That explains everything. The basics of it is are the basics. Are that’s a plural? The basics of it are that you get businesses. Local businesses that take credit cards, name one that doesn’t. And you encourage them to support your organization by switching to tell us. For their credit card processing. Okay, they they have a processor now it is a good chance is a bank. The fees are high, you’ve got lower fees. And as they switch and do transactions, you get fifty percent of all those transactions ad infinitum, that’s the long revenue tail. Tony dahna i’m a slash tony tell us now, back to adam braun. Welcome back, big non-profit ideas for the other ninety five percent. Andi, we’re talking about a non-profit that went from small to deeply midsize, but lots of lessons for everybody who wants to scale an organization, which is a lot of people. I get a i get a lot of enquiries from organizations that are one or two people, you know? How do we get to the next level? And adam, you’ve laid out, you know, three your story, probably half a dozen valuable lessons. What else? What else would you say to people situated like that? So for us to continue scaling after kind of taking those almost calculated bats on the places that we thought that the industry would go, i kind of started to really hit the road and speak as much as i could in front of audiences. And this is another, i think, really important lesson for anyone. That’s, that’s, tryingto grow, and it goes beyond just the direct lesson, but it’s something that i found more than just in public speaking engagements, but anywhere that i end up, which is this mantra, focus on one person in every room. And so i thought initially, if i give a speech and there’s twenty five, people there that’s, twenty five potential donors and every single one of them needs to leave the room, becoming a supporter of pencils of promise and so it’s kind of this funny story in the book, but the first speech that i gave was that oklahoma state university, one of largest colleges in the country i’m picturing like dahna stadium with like, throngs of cheering college students, you know, thousands of kids like yeah, we want. And i went to my speech that visualization tohave, though, was wonderful did not come to fruition on, so i walk in the room and there’s one person at my first speech. Ah, and so i had, like, a forty five minute speech prepared that i had to give tow my four. Friends that were already there traveling with me and then this this one girl, chelsea. And much to my surprise, she became this incredible advocate of the organization, started our first college chapter, launched a kind of campus network, brought it down to the high school level, spoke at her alma mater, got this one kid on in that room, completely engaged around the organization. His name’s andrew gray. He became obsessed with our work here. It ended up taking over the chapter when he went to oklahoma state. He became so interested in what we do know that he then went on semester at sea. He just spoke at the u n in geneva like months ago on dh there’s all these incredible stories of individuals taking our work and making it their own and kind of becoming the next torchbearer and helping scale what we do. But it it’s not a deluded set of convictions across a mass scale of people it’s actually having fewer but more deeply engaged people. That adds trends value to your work as an organization. So now when i go into room, i’m looking for one person in every single room that could be the anchor and then it’s up to them to build the community. It’s not up to me on dso and i share that very openly, and you’d be amazed with the traction that it gets if you’re giving a speech and you say, i’m looking for one person here and almost creates this area exclusivity and people want things, yeah, i want to be the person. No, no, i want to off you the minute. I mean, after after speeches now consistently have somebody come up here and say that, you know, you spoke for thirty minutes. He spoke for ten minutes. You spoke for an hour, i just want, you know, when you said that i’m looking for one person, i’m that person. This is what i’ve been seeking out. You just gave me the opportunity. I’m going to be your one, and then they feel accountable, teo helping make sure that we succeed as an organization. And so what do you do if the next person walks up and says the exact same thing? I say you two should talk and see who will be the one you duke it out, all right? At least you’re honest. You don’t say, oh, well, great, great! You’re the first one who came alright, i duplicitous, um, there’s half a dozen more behind you. Yeah, exactly. Sorry. S oh, yeah, that was a really, really big important lesson for and then another one eyes this this mantra fess up to your failures. I think that a lot of times we in individuals that work in this space, we feel like we could never be wrong because one the nature of the work doesn’t, you know, promote failure. If you’re trying to help somebody else, no one wants to see you fail, and you certainly don’t want to speak about your failures. And then secondly, it’s such a uphill battle to begin with that it seems counterintuitive to say, oh, no, i feel that i failed miserably and let me tell you about that failure. But one of the things that i’ve seen is that the times that i fall down the times that i fail, if i really accepted my own and i speak about it openly it’s amazing to see one the opportunities for growth that come out of failure, it’s usually not when you’re succeeding that suddenly you’re able to grow tremendously as an individual are as an organization, but it’s, when things go really wrong. In our case, we had two staff members basically jumped and held up at knifepoint in guatemala and up until that point, you know what? We were all kind of twentysomethings excited about the work like, hey, we’re helping out these kids in these communities, and suddenly we realize the weight of responsibility that we had, we don’t have any like, you know, kinda would say policies or procedures set upfor ramifications of what happens if there’s a disaster in country, and we suddenly said, like, wow, this is a lot more serious this work that we’re doing them, we’re realizing and it’s time for us to step up as an organization, that means tightening up two screws, not just in our inn country policies, but what happens in our home office in new york. What happens if one of our external event something goes wrong and it really forced tremendous growth for us as an organization than as individuals that forced us to become really close together as it’s? Kind of, you know, not know so they friends but colleagues and you know, having friendship type relationships within our work together and so that’s, another big one for me is just when things go wrong, she’d see that as an opportunity for growth and, you know, fessed up to your failure admit what went wrong because you’ll find that people who want to see you grow and succeed will start to invest more heavily in your long term success. What is next for pencils of promise that’s on the horizon? So we have some now really big, ambitious goals beyond our school building we’ve launched in the last few years, programs on teacher training and student scholarships, so putting up the four walls, making sure the community’s air heavily invested andi do that through a lot of things. Probably the most well known ofwhich is ten to twenty percent of the funding from every one of our school’s comes from the community itself, and since they don’t have any, you know, oftentimes there, unless in two dollars a day, they don’t have the dollars to pay for it. What they’ll end up doing is they’ll provide that contribution through materials and labor will physically build their own school, which is really you know, leads to significant ownership in investment. And so we realized we need to go beyond just the four walls. We need to make sure we have great teachers. So teacher training scholarships. But the biggest thing for us is one sharing with people that, you know, for twenty five thousand dollars, they could build a school for two hundred fifty dollars. They can provide a scholarship for five hundred dollars, they can train a teacher, and then ultimately, we recognize that education is changing. And so we’re launching a series of innovation pilots to incorporate new technologies and new teaching methods in the classrooms, including your three d printing. Yeah, it’s not yeah, yeah, so we’re incorporating three d printers in laos. Teo, create literacy in a box. Tool kits were putting e readers in our classrooms in ghana piloting, seeing how those go we’re looking into building a long distance radio program. Teo get increased storytelling into rural communities. And m i t a think tank out of them. It is helping us build that. And so it’s really exciting what’s ahead and we have to go out with this. What is it that you love about? The work you’re doing, i love that that it makes people come alive on that. It brings them a sense of purpose and fulfillment and meaning. Thank you very much out of brian. Thank you. The book is the promise of a pencil. The organization is pencils of promise dot or ge and you’ll find adam and adam braun dot com again, thanks very much out of my pleasure. Thank you for having me my pleasure. Next week we’re going to remember the ice bucket challenge twenty fourteen. If you missed any part of today’s show, i beseech you, find it on tony martignetti dot com were supported by pursuing online tools for small and midsize non-profits data driven and technology enabled tony dahna slash pursuant radio, whether see piela is guiding you beyond the numbers regular cps dot com and tell us credit card payment processing your passive revenue stream tourney dahna slash tony tell us are pretty creative producer is claire meyerhoff sent liebowitz is the line producer shows social media is by susan chavez, and this wonderful music is by scott stein of brooklyn. Be with me next week for non-profit radio big non-profit ideas for the other ninety five percent go out and be great. Hey! You’re listening to the talking, alternate network, waiting to get you thinking. E-giving cubine are you stuck in a rut? Negative thoughts, feelings and conversations got you down. Hi. I’m nor ing. Sometimes the potentially ater tune in every tuesday line to ten eastern time and listen for new ideas on my show. Beyond potential live life your way on talk radio dot n y c. Are you feeling unhappy with your body, shape or size? Ever feel out of control with food? I’m elizabeth from nourish the soul, and on the show, you’ll uncover the route to these imbalances and discover a permanent solution. Latto having a healthy relationship to food and your body. Join us every thursday morning at eleven a, m eastern time on talk radio dot. Hey, all you crazy listeners looking to boost your business? Why not advertise on talking alternative with very reasonable rates? Interested simply email at info at talking alternative dot com are you into comics, movies and pop culture at large? 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Nonprofit Radio for March 30, 2018: Financial Management Software

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Karen Graham & Andy Wolber: The Donor Journey

Nonprofit Radio is never boring. Even talking about financial management software. Listen as Idealware publicly releases their guide to selecting the right software for your nonprofit. It’s important! Trust me, Karen Graham and Andy Wolber will convince you.

 

 

 

 

 


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Hello and welcome to tony martignetti non-profit radio big non-profit ideas for the other ninety five percent on your aptly named host oh, i’m glad you’re with me, i’d be thrown into assaf ago dahna if you made me speak the words you missed today’s show financial management software don’t leave you do need this non-profit radio is never boring even talking about financial management software. Listen as idealware publicly releases their guide to selecting the right software for your non-profit it’s important, trust me, karen graham and andy wolber will convince you i’m tony steak, too. You will join this club we’re sponsored by pursuant full service fund-raising data driven and technology enabled tony dahna slash pursuant radio by wagner cpas guiding you beyond the numbers wagner, cps dot com bye tell us turning credit card processing into your passive revenue stream. Tony dahna may slash tony tell us i’m excited because we got an announcement here with public announcement, but s so i’m gonna introduce the people we’re going to be making. The announcement first is karen graham. She is a sought after speaker, trainer, writer and consultant with expertise in technology, leadership and innovation non-profit software and digital strategy. As ideal wears executive director she leads a team of researchers, presenters and writers who create technology. Information. Resource is that helped non-profits put their visions into action. She’s at karin t graham idealware is at idealware and idealware dot or ge. Andy wolber he’s, a technology consultant to non-profits. He teaches a course on non-profit and government technology for grand valley state university, and writes about google in the enterprise for tech republic. He’s at a wolber and wolber works. Dotcom welcome count graham and andy wolber. Thanks, tony. Somebody talk, please. Okay, okay, you’re welcome. My pleasure. I’m glad to have you thankyou for, ah, reserving your public announcement. Karen graham of this report for non-profit radio. What is the report? You don’t need to be back on the show and have a chance to talk about something brand new. Awesome, yes, i can hear the excitement in your voice. You might try to kick it up a little level a little notch, but i hear it, i hear it. What is the report, what we publicly announcing? This one is a guide to financial management software for nonprofit organizations, and i would say this is particularly suited for small and medium sized organizations, and i know that your audience, too so that’s great, absolutely and and for anybody who is thinking that maybe their current accounting software or financial management system is not meeting all of their needs, and they want to explore other options. Okay, we’re going to talk about cem ways you might you might know that some symptoms of that and, uh, we’ll go through the report and all let’s see let’s ah, quaint people remind, i love idealware i love the mission of idealware, but you will articulate it better than i i don’t know if you’ll be as enthusiastic as i am. I hope you will be remind people what does idealware all about? Well, i am the executive director, so you would hope that i would have enthusiasm. I am hopeful my fingers across. Yes. You know, tony, i thought it was it was kind of funny to me that you said the show was never boring even when we’re talking about financial management software. Because when you invited me, i was thinking like, i’m excited to be on the show, but you probably picked me to be on the most boring show of the whole year, so let’s, try not to make it that way. I’m excited about all of the work that idealware does even when we’re talking about a topic like this, which is maybe not the most sexy topic, i guess hyre i’m excited about all of our work because it helps people solve real problems and helps them operate there non-profit organization better and make good decisions without as much stress and uncertainty. We exist to help those people who work in non-profits who are responsible for technology decisions, but they don’t necessarily have a technology background, and so they need resource is they’re smart people, they need knowledge resource is to help them think through their decisions and help them understand trends and best practices. And so we do impartial research on technology topics, and then we publish guides and workbooks software reviews, and we also do a lot of online training and in person workshop to help people to make those kinds of decisions with confidence. Now i have ah first became aware of idealware years ago, before i knew there was a karen t graham affiliated with it because people used to recommend what the the the fund-raising data but was fund-raising database report was it was the c r m or was it? Fund-raising nancy now, with so many years ago, i can’t remember, but but it had to be good. Do you remember the official title of the one i think you’re talking about? The official title is the consumer’s guide to low cost donor-centric sustainers okay. And it’s now in a fourth edition, i believe, and that’s been one of our most downloaded publications ever. We used to yeah, people would refer it to refer me to it. Oh, and andy wolber don’t worry, we’re gonna get to you. I don’t want you not forgotten, andy, you’re there. I just want to get through some important info about idealware yeah, people used to just mention it to me. Like i said before, i even knew what idealware was, and so i went and looked at this report, and this is an analogy i make sometimes sometimes you don’t seem thrilled with this analogy that i make to consumers union, but to me, you’re the consumers union, their consumer reports that consumers union is the non-profit that creates consume reports of non-profit technology, you did these unbiased reports, we’re going to talk about how you make sure they’re unbiased and you now in that one, you had the that’s colorful side by side chart with features and, you know, dots for which features existed in different ones, and to me it was the consumer reports of non-profit software, i loved it, and we were i’ve been talking about idealware on non-profit radio on and off, and even before i like i said before, i knew there was a guarantee. Graham so, um, i don’t know how do you feel about that? Consumer reports analogy, i some people have compared us to consumers union, others have compared idealware to gartner or forest are sabat that doesn’t really bother me on a good okay. What? Okay, yeah, i think that all of those organisations are well respected and trusted. No resource is. And in a way, i’m proud that idealware would be in that same category. Yeah. Okay. Excellent. I that’s why i put you there an objective objective research. Okay, we have just like a minute and a half before break. Oh, andy, we’re going to bring you in after this first break. Karen, how do you assure us in a minute and a half that this report is unbiased? Objective, not sponsor driven, etcetera. I’m glad you asked about that. We have a very strict firewall between our editorial process and our funding process. And so on this report, i actually worked on securing funding through sponsorships. And the student reader might notice that the sponsors have products that are covered in this guide. But let me ask andy. Andy, did you know who the sponsors were? While you were working on the research? I had no clue. Better say no. Good. Okay, now, karen did karen, did he have an important thing? Did he ever ask? Did he ask? No. Okay, i want make sure he’s honestly could have one of our partners on the report. And important partner was fm a, and they contributed a lot of expertise to this report. And at one point there executive director asked me who the sponsors were and i said, you know ill that i can’t tell you who they are because i don’t want to buy us the research. So that’s something that we take very seriously. We we don’t let any of the people involved in the research team know who the sponsors were until the report is ready to publish. And it’s it’s, not a pay to play situation. Our sponsors are all very dedicated, teo. Advance. Acknowledge in the sector to helping people make better software choices, whether they choose their software or somebody else’s, they want to get fit. And so they committed teo funding this and letting us publish something that they got no approval over. All right. And he got to say two words before this break. He said no and know so thank you for that big contribution, andy. You’re done now know that’s not true, but we do have to take the next. Okay. Yes, we got to take a break. Pursuant. The current paper is demystifying the donor journey. You heard me last week talking to taylor shanklin about this. You heard it. So why do you need this thinking paper? You don’t. But for someone who did not hear the show, their life is incomplete. I might i would go. So far as to say, even inadequate without it, send them to the paper, then send them to last week’s show for more detail. Their life will be complete. You will be a hero. It’s demystifying the donor journey it’s at tony dot m a slash pursuant radio. Now back to financial management software guide. Okay, andy wolber let’s bring you in your research around this thing. What what was the research process? How’d you go about creating this guide for us? Well, we looked at the start of the existing i’ve worked with la non-profits so i brought a lot of personal expertise to talk to some folks, various organizations that i’ve worked with over the years that deal with various financial packages and also spoke a little with some of the effort make insulting who are working with of wide variety non-profits and systems as well. So we looked at the landscape. What is this fm a karen mentioned it also does that stand for something anymore? Or are they like aarp? That doesn’t want to be the association american, retired persons or nail that doesn’t no longer wants to be the national abortion rights action league, are they? Just an fm a or do they stand for something? Yeah, karen, i’ll defer the u n if that’s an acronym or not, do they stand for anything? I mean, i know the stand for things, but what do their letters stand for anything or now? Yeah, i think it started as a financial management, so see it? I don’t want to say the wrong big radio, though, but they just go buy fm now and it’s an organization, a nonprofit organization that provides consulting and outsource services for accounting and financial management for other non-profit okay. And what was their role in this guide? Andy, do you want to talk about that? Sure. Well, what was interesting is so they don’t have had initial ideas and an initial list. Sorry. Hey, hear the systems we see and use a lot. I looked at that and said, well, you know, what about these? And so we widen that search and scope a little bit. Andi also did some tweaking updating of some of the so our features and focus. So we brought into the look a little, uh, based on just serve other packages that are also used in the field there’s a wide variety of solutions, there’s several things that vendors have moved systems from, you know, being client server only to cloud. And so that there’s been a lot of movement in this in this sector in this industry, so we started with some of their their ideas and their list way expanded added to it, andy i well, since, since karen says she doesn’t exactly mind my analogy to consumers, union consumers report which not exactly overwhelming endorsement, but i’ll take it from her. I analogize this to their toe a buyer’s guide. It looks like a buyer’s reads like a buyer’s guide to me. Um, now, um, let’s, let’s define a little deeper. What what it is we’re buying. What? What characterizes a financial management system? What, what? What pieces doesn’t have that that we’re thinking about possibly changing if we’re reading this buyer’s guide? Sure. Well, at the core of this is a system that helps you, you know, understand helps a non-profit major, typically an executive director and other leadership, both staff in volunteer understand where the organization is financially and so in a small organization, that sort of thing typically sits at a no it’s core it’s the, you know, accounting system. So you’re just you’re really trying to understand what you’re where your financial position is, okay in the twenty, thirty years ago term aarp enterprise resource planning no, sir. Came in tow scope. Um, and those sorts of systems started to heimans allow an organisation to track financial for on the financial implications ations of both products and people activities throughout the organization. So as you get bigger, your financial system starts saying compass mohr system and i saw a sort of a spectrum of you may even mention this in the report. Maybe that’s that’s where i got the idea from spectrum. So there was simple. And then there was a little more sophisticated in the middle. And then there was the aarp. These enterprise resource planning systems eyes that affair. Is that a fair assessment of what the spectrum looks like? Yeah. And and what that is and what’s interesting about it is that unlike in some organizations where you start and delineate by the size of an organization, you know, a small organization has a small system in the financial management world. It’s a little different. It’s more. Related to how complex or how many things you need to track. So a small organisation with a large number of funders and a large number of programs actually has a pretty complex accounting and financial management, so they may actually need amore complex system than a organization has a very large budget but really has only two or three programs and two or three funders, okay, makes a lot of sense. All right. Um, uh, charity graham let’s bring you back. We were going to say this several times throughout the show, but where can people get this report? Oh, great question if you if you’re listening to the show live, if you go teo idealware dot or ge it’s right on our home page, it won’t stay there forever. So if you’re somebody listening to the podcast later in time, you could just go on idealware dot or ge and there’s a search box on the home page. If you just type in the word financial, you’ll get right to it. And then you can enter your name and email it just to register and then it’s a free download. You’ll get a pdf document. Okay, thank you. For not asking. Name, address, organization, title budget size, annual revenue, zip code. You know, etcetera. Thank you, it’s. Very. You know, i bristle at those things. So it’s. Well, we personally asked a few of those things, but they’re optional. And that just helps us to make sure that what we’re sending two people is relevant in the future. If they option to receive our e mails. But that’s also optional. Okay, i guess when i saw the form, i realized they were optional. Okay, very good. Thank you for that. Um okay, let’s. Stay with you. Karen, how might we know? What is some symptoms now? The report goes through, like six or six things or something. That’s not just touch on what some symptoms might be for needing a new financial system like, you know, just two or three. And these people are gonna get the reporter. I mean, it’s free for god’s sake. So they’re going to get it so that’s, just touch on a couple, right? I’ll try not to overwhelm me with too much detail here. One thing that stood out to me here is when people are manually entering data into two different systems that could be a sign that maybe their current accounting system is not really meeting their needs, or maybe maybe it actually could meet their needs if they invested in some kind of integration. Now what’s an example of that together, like what kind of what kind of data would you be putting in two different systems? Give me a concrete example, the thing that i see most often, and maybe andy wants to chime in on this, too, but i think i see most often is donordigital so it used to be that before there were good donor-centric was tracked in the organization’s accounting system, and so they would enter individual donors and the date that they gave and the amount that they gave, and it was any kind of restricted gift, you know, they’d have information about that, and so that have it has stuck with a lot of organizations, and now they’re entering it both in their donor-centric and there financial management system. Now you could argue that that’s not actually necessary at all tohave the data in both places, at least that level of detail but but if you do want to still have that data in both places. Now, there are ways, depending on what system you choose and what kind of integration you have to automate that a little bit more, so that you’re not manually king in all those details in two different places. Ok, ok, give us another common symptom. You see, um, and if you want to chime in on that sure. Well, i mean just it. And answer a little of what you said. The payrolls, another area that you people manually receiving data. But another symptom is things like a lot of spreadsheets. It’s, an organization is using a spreadsheet to track the status of all their different grant. That is often a sign that they could benefit potentially from a different financial management system is actually designed toe help them, uh, track their spending. And for all of those distinct grant that’s one of things that the organizations really struggle with when they work with a system that can only handle a couple of coding fields that really can’t scale teo do sort of comprehensive fund accounting to track the the grand program number of grant programs that they actually have. So that’s another for the another sign that the symptom is, you see lots of spread sheets on the side being used to say, ok, and program a we’ve spent this much program would be sametz spent this much in that has it can be hard to tease out from actual financial statement s oh, man that’s good indicator. So you mean so for each different program? Or fund? They have a different spreadsheet. Is that what you’re describing? Yep. Yeah. Okay. Okay. We used to hear about that from from one of our sponsors. Um, which is mentioned in aa? It’s just mentioned you mentioned apple o’s in aa a sidebar. They used to make that point about that being not so that they’re not being efficient. Okay, the guide also talks about access from from certain devices. Like if you have to go to a dedicated computer thio dua certain task right? To say a little more about that, andy sure, that that’s really the root of a lot of organizations that used to see they’re still working with insults or a client server or single system software? Um, yeah, that that’s still out there still widely used, but that can be difficult for folks to actually get access to information. They have to be on site on the local network to get information. Or they have to do the shenanigans of a remote log in or remote desktop and looking at a screen through ah, some sort of ritual display system or in their face so that many systems have transitions from needing to. Be on site thai there being hosted or being in the clouds. Some of the newer systems are sort of cloud natives and work really well and some older systems to our club native. But work really well, either within in a browser and also some of them support apse on mobile devices. So that’s, another sign is if you really do need more multiple people to access data easily from different locations. You start toe look in a new system, karen. A few years ago, it ntcdinosaur i captured an excellent panel interview. That was, in fact, it had someone who i think is an advisor to robert winer. Is he c an advisor for you on some? Yes, he has. He has been a subject matter expert for some of our research in this. Okay. And he’s also been a speaker on some of our webinars. Okay, excellent. Yeah. I thought i remembered an affiliation, so he was one of three or four on the panel and the this is what i love about ntc. I mean, the panel was devoted to this niche topic of maybe you’re blaming technology when people and or processes are the problem. So with that leading, you know, there might be a problem other than your financial management system in your non-profit can you can you talk about that? Yeah, absolutely. But i might rephrase that to say almost certainly you’re blaming technology when people in processes are at least part of the problem. So yeah, let’s not overlook that. One thing that i know we found in the research was that option. Somebody will think that she needs a new financial management after a package when really, what she needs is to revise her chart of account. And so what? The chart of accounts is for people who thank you for keeping him. Thank you for keeping yourself out of jargon. Jail. Yeah, yeah. That’s, that’s just the kind of the master list of categories of revenue and expenses. So you use that in financial reporting, you use that to connect every transaction that you enter in your accounting system, teo, to the overall categories. And so is you. Find yourself explaining coding to your board of directors when you’re presenting the financial reports to them. If you find dafs miscoding things when they’re you know, writing down what something should be charged, too on their expense report or their recedes, then that’s probably a sign that you need to review your chart of accounts and think about revising that first before you start looking dafs software change, okay, can you give us another example? I know that could be hundreds of things, but another there’s another example, come to mind of where the person or the processes that there were people there, the processes are the are the trouble anything else? Well, another example that i see all the time, which is not limited financial management software, there are all sorts of technology is user adoption issues, and, you know, sometimes people aren’t really getting the full value out of the software because they haven’t done the training, they haven’t customised the settings to fit their needs, things like that so that’s important, too. Okay, and you work with a lot of non-profits and karen didn’t ask you to chime in this time. By the way, karen, if you say the word chime again, i’m cutting off your mic. So you got to find another word. You said it twice, china’s twice. Now that’s enough! So if you you have to find another word, you have to find another word to invite andy, i’ll goto with the saurus or something while i’m talking. Andy, another word to invite andi, teo contribute, but you can’t use that either, because i just did to something that you may have said or add on, you can’t use that either a andy, you work with a lot of non-profits do you see? What were some symptoms? You see where people, about your you’re in a difficult position of having to say it’s, not really technology it’s you. But you know what are some other symptoms? You see where people are blaming technology erroneously? Well, i think i found the sea. It was people were repeating a process that air doing a process in a way that is no longer optimal it’s sort of a habit that folks have gotten into that can be done more efficiently. So i think of things way report we mentioned something like expensive fi, which helps people track expenses, and so the you were tools. Now, it’s an app on your phone to take a photo of an expense report you can start to capture data that way the older way, you know, taking the stuffing the receipt into a folder or into your bag, and then digging it out once a month and going through the grueling process of no king in the details is a process that doesn’t have to happen. So for my perspective, i see people missing that chance to take advantage of some of the newer tools that left the more differently. And since many folks they’re carrying around, you know a phone that has a camera on it. Let’s, let’s, use that camera in a useful way to save the taiping time. Yeah, people just don’t know. So that’s. Why this buyer’s guide, my phrase, is it’s my show so that’s it that’s, the explanation that’s. Why this buyer’s guide is so valuable because it opens you up to things, you know, you see things that you’re doing manually, that you don’t need to anymore, you can be questioned, your processes that that’s important, right? Yeah, i did, and i think that’s actually hoping way. Think, yeah, has folks get a new system and explore what system will work for them? That’s a prime time to look, look at your processes, do some process mapping, which i find a fun exercise of, you know, working on a a dry erase board with lots of markers and post it notes and things to sort of figure out who’s doing what win in this process. How can we redesign this so that we’re doing less work, and we’re getting the information we need quicker. Okay, that’s, an excellent leading to what i actually want to talk about next, which was how to get into selecting a new system. Um, who’s, uh, because because workflows, you know, mapping your workflows is a part of that. Who wants to speak to that? Most eloquently, i’ll let you decide amongst yourself. Okay. That’s. That’s. Good. So i’m gonna point. Parenti graham okay. Congratulations. With democracy of two eyes is frozen. Frances. No wonder we have trouble united states. Fifty million. Okay, that gets it in the report that there may be drilled down on one or two that i think are important way. Ok? Yeah, we’ll stay. We’re not goingto yeah, we’re not gonna talk about all the way can’t do that. I tell you what, i’ll let you let you think about thea the couple i’ll walk through the first one or two and then you can mention one or two that are important to you. And you can give some thought to that while we take this break bradunas cps, they’ve got an archive webinar that may pique your interest. Prepare your nine ninety for success. If you are one of the fortunate organizations that delights in completing the full nine ninety. Not that sissy easy or the end postcard, but the full then you want to listen to wagner’s advice? The webinar includes common mistakes and most damaging mistakes. Obviously the ones you mostly want to avoid. It’s all at wagner cpas dot com click resource is than webinars now time for tony’s. Take two. You will join this club. I joined about six months ago. It’s the, uh, it’s the dead parents club. And i have found that people who have lost parents, i know it. This is there’s a bond there’s an empathy and an understanding that i did not have before i lost my mom last october. And now when i talk to people who are in the club, um, i feel it, you know, and i realized that i just never really understood the magnitude of it. Of course, you know, you heal over time and you learn to accommodate and accept over time. But i just it’s become apparent to me over these five months. So november, december, jerry fremery much, five, six months that the people who have lost a parent, they just get it at a level that all the rest don’t. And yeah, i just became very clear to me while i was having a chat with a friend who had lost a father three years ago. So you’ll join the club and i hope it’s many years before you do my video on this. Is that tony martignetti dot? Com now let us return teo karen graham and andy wolber for idealware is release of when i called buyer’s guide selecting financial management software for your for your non-profit karin t graham is executive director of idealware and andy wolber is a technology consultant to non-profits ok, karen, you did your homework for ah, for that time. Okay, cool. Thank you. So talk about all this. We’re not doing all that now. I told you, we’re not doing what we’re not doing, all these people going to get the report and it’s important to put this in context. So we have thirty steps that happened before you even start looking at potential solutions. Okay, that is step for the first three are about getting the right people at the table and making sure that you understand your current situation you needs and requirements before you start looking at software options. Okay? And then there was the work of a mistake that i think a lot of people make they jump right into looking at the products, and then they become very oriented toward which product has the coolest bells and whistles. And they’re not thinking about which product is. The best fit for our needs? Yes, they’re not aligning, right, right. That is critical. So you’ve got to do your research up front before you start looking at packages and getting demos and, you know, being wooed by sales people. Um, andy, that was a very good overview. Thank you, karen. Okay, and you’re gonna get people are gonna get the report for god’s sake. They’re gonna goto idealware dot or ge it’s either gonna be on the home page or they’re going to go to go the search box and search the word financial it’s free for pizza. Just get it, andy let’s, go back to the workflows how does how does mapping workflows relate to your your search for a new financial management system? Well, i think it really is about that time both the folks who need operational data and the folks needs or decision making data and looking at how information’s getting into your system and then coming out on a recording size. So on the input side, things like you’re tracking expenses, you know, if we can simplify that process that’s fantastic if we can simplify payroll so we’re not recoding that each time. I go in and be properly allocated. That’s. Fantastic. If we can pull donordigital into the system in appropriate ways appropriate permission that’s useful. And then on the reporting side can the program majors the staff get the information they need? The board have the ability to look at information. How rapidly does that cycle time occurred? You are bored still dealing with princessa reports air they logging in and looking how our systems, howard decisions about financial matters being tracked and recorded or discuss um that’s where process mapping comes into play and that’s why it’s so important to get all the people who touched the different aspects of that process involved in the selection. And then? And then, as you’re mapping what happens, you see gaps where technology can fill in or what? How does it contribute to the the well with the report identifies as the next step which is starting to look at software solutions. How does mapping relate to the software you identify? Pain point. Okay. Okay. So process mapping is is what are we spending a ton of time on that? Yeah. It’s really painful. So things like we’re spending x amount of time. You know, every month, every year, doing program allocations were spending way too much time trying to understand or put together a report for a donor, our thunder, in order to appropriately say, here’s, how we spent your dollars sort, that sort of fiduciary responsibility grant recipient has so it’s it’s that piece where you’re saying, you know, we’re burning a lot of staff time and effort on this. How do we start to fix that? And looking at then what? You know, what does that make? What if we were to alleviate that peace? If we automate payroll, if we automate expense tracking, if we automate or streamline different processes? Um what? What benefit have what does that free up that let’s? Just start to think about other things. Aunt checker, tackle other challenges. You okay? So i i understand now. Thank you. You see, this workflows on the on the board and you nine people are involved in it, and it takes weeks to produce. And you know that that kind of a pain point. Exactly. Okay. Okay. Cool. Alright, now. Something interesting? No, no. Shutter mike off. No, you cannot. I said you cannot use that word. Again, i don’t want to hear it. Yes, you can. You can you can mention something related. Please, please do i will another way. That process mapping can be helpful is to prevent you from replicating a bad process in a new system. So as an example, let’s say you map out this process and you get to a step where mary makes a photocopy of the expense report and filed it in a certain place in the basement, right? And when you’re doing the process mapping, you can ask the question, why did she do that? Why is that necessary? And you might find out that there’s really no reason to do that anymore. Maybe there was five years ago, but now it’s not anymore necessary. So then you won’t look for software package that makes that process easier. You’re just goingto eliminate that. Ok, ok, i’m giving you a time out because you use the word chime when i admonished you. Not too. So i’m going to andy. I was going to ask you this question i was going to, but now i’m not you’re in time out. Um okay, andy a cz you’re considering these systems and something new and how it relates to what you were existing systems are. The report makes clear that they don’t always all play well together. And yeah, and you’re not going to talk to me because i put karen in time out, so you’re not going to speak to me. Is that what is that? What i’m hearing? You know, you can hear me. All right? I hear you. Fine. Yeah. Ok. You’re not punishing me because i will just shut the show down. It’s, over it’s over. Okay, i’ll just start reading. I’ll just read. I’ll just read the guy that people don’t have to download. I’ll just start reading. We’ll put people to sleep. Okay, theo audiobook that’s, right? Ah, produced your notebook. Yeah. Then i’ll have. Then i’ve licensing troubles with either way. I don’t get involved with those people on illegal and in a legal battle anyway. All right, so you need to think about compatibility, right? Yeah. You need to look at what? What other system needs to speak to? So there’s a couple things that when you’re looking for a new system that may naturally walk you down a particular path, and sometimes it is simplest to stick with with with a vendor that makes him the adjacent product. So something that already is designed to track your donor? Management, maybe they also make a financial package, right? Like blackbaud damn well blackbaud sounds force is one of the classics are examples of this with things like razor’s edge, which is the donor management system covered in the other guide you mentioned, and then financial edge next-gen which is designed to work well with its other tools. So if you’re in a circumstance where you have ah, don’t particular donorsearch system it naturally lends itself to work well with another that’s that’s a particular case, thie other is some systems that you may be dealing with, where you’re dealing with a system installed on server many vendors that used to offer those now offer a posted or cloudy alternative, so it may be that you can stick with the system from the same the same similar software you’re familiar with, but a different package or solution from that vendor that gives you a little more flexibility and ability to access data. But you i think that the report says you just want this to be one factor, right? You don’t want to go, okay? We have sales force for constituent relationship management, so we’re going to do sales force. For financial management, and we’re not going to look at anything else. You don’t want that to you. I want to go that way either, right, right. It should be a just simply be a factor that as a system for consideration to your list, okay, you really have to consider a much broader range of things, okay, i understand. All right, i just, you know, you don’t just automatically go now. What about help with financial enough, with the transition once we’ve selected, ah, vendor, can we reasonably ask for help with the data migration? Is that a fair game? That will depend to some extent on the coolest the system you’re moving toward most of the as you basically is. You get larger in scale and the price point the ladder. Um, you do have the ability to get vendors. They are familiar and can help you move data from one system to another. In other cases that you know what you’re you’re a very small sort of grassroots agency, and you’re just using your going from track and stuff and excel or just your bank account statements to something, you’re less likely to be able to get that help. But often you can turn to a you know, turning your accountant turn to a professional firm that can help you with that transition is you get a little larger. Okay. Okay, karen, you’re you’re aah! All right, you’re out. Um, let’s, talk about the so the this transition, the when is the good time to make the transition? What this this whole transition process is going to look like from from our existing to our new financial management system. Most of the people that we talk to as experts for this report suggested that it’s best to do it at the beginning of a new fiscal year. And but that also might mean that you will be running the new system in the old system and parallel for a little while as a way of testing to make sure that everything’s working correctly. And they also suggested that an organization should plan maybe three to six months lead time before they’re cut over date for the transition time period. So it’s going to take awhile to train the users, make sure that everything is configured correctly and test everything running parallel. That that sounds like that’s. A pretty time intensive deal is running two systems parallel. Well, it is, but your financial data is pretty important that it’s accurate. So many organizations will decide that it’s worthwhile to do the extra effort of double entry to have the confidence that it’s absolutely accurate. Okay, okay, i see, and how long would you do that? I think that varies. You’d have to evaluate, you know, how important is it to do a really thorough test? How much work is it for me? You know, if i was to do this, that idealware i would probably do it for a couple of days. Honestly, they’re pretty simple. And the stakes are fairly low for us. But if i were, say, the humane society of the united states, i might plan a little more than a few days. Okay. Yeah, you were alright. So all right, just gonna value on complexity. Which andy is a point that andy made earlier too. Okay, we have ah, fair amount of time left. I feel like we should get to the gate to the landscape of of systems, can you? Karen, can you? Ah found now i’m feeling bad that i put in time out. I never i don’t think i’ve done that before. I get to first, but so i’m now i’m feeling bad about it. So i’m sorry i made i made do it may do it again. I’m not sorry enough to not never do it again but so don’t transgress. But are you can you talk? About sort of an overview of the of the marketplace before we get to a couple of specifics. Sure, there are a number of systems that we covered that have all of the core functionality that you would expect in a financial management system, including the general ledger like, which is just tracking all the transactions in and out expenses, and, um, and income and things like that. It will also generate the three most important standard report that people use for financial management, the balance sheets, the income statements and the cash flow statement of cash flow or cash flow projection. And so you know, those all those systems that are in the first section of system listings in the guide i’ll have that basic functionality. Some of them also have some additional features that are a little more advanced, like payroll management, yeah, budget planning, more advanced reporting and coding and allocations. And and then there also is a group of tools that we thought was worth covering, even though they’re not specifically for nonprofit organizations and those are either low cost or even free services that are fairly simple, and they’re designed more for like freelancers entrepreneurs. Small businesses, but some non-profits have actually found them to be a good fit for their needs, too. We’re going, we’re going to move to a break, andy, while while we take this short break, i’m going to ask you, teo, reflect upon what karen just said and see if there’s anything additional you’d like to add. Gotta take a break, tell us credit card payment processing this’s, a long tale of passive revenue for you, you encourage local businesses that are already supporting you. Most likely they take credit cards. Will they move their payment processing over? To tell those tell us, of course, will look at their existing payment structure and give them a proposal with most likely lower fees. When they make the change to tell us you the non-profit earned fifty percent of telesis revenue for every single transaction indefinitely. Check out the video it’s at tony dot m a slash tony. Tell us for this long tale of passive revenue. Now let’s, go back to financial management software, the financial management software show with cannon andy, andy, anything that your reflection leads you to want teo add into what karen said. Sure, the thing that most notable for me in that first category of of system is that there’s a whole set of things that have moved from being client server to now hosted or or clouds those very clear distinctions answer how their systems are being offered. The he think in all of the systems to also keep an eye out for is the cloud. They are more advanced, incapable of supporting any sort of eyes, eyes. Something to look for. An fbi application programming interface for flandez programme and solution exchange information with programs and applications from other vendors. Okay, so a key thing to look for it, you know, what is this the vendor list that the system’s integrate with? Some of them have taken the step of having things like a sore. Where you concerned? Browsing looked for all the integration. So i’m looking for a payroll system. Hey, guess what? It works with the payroll vendor we used so that’s that so that sort of thing is, this is a first big step in that in that larger service system solution category. Ok. Thank you. Um, so let’s in our in our closing several minutes or so, let’s, let’s, talk about some of the individual ones. Now, karen, i do want to ask you how come in this report, uh, buyer’s guide. There isn’t. There isn’t one of those colorful charts like i was describing for the c r m that first brought me to idealware four, five years ago. How come, how come not not in this report? This is the first time that idealware has really covered this topic in death, and so we wanted to start by just looking at the landscape and helping people understand what their choices are and what the major points of differentiation might be that’s not to say that we won’t do something more in depth at some point. If there turns out to be a demand for that, then we well could. But this actually does use a little different methodology than a consumer report where we’re doing demonstrations of all the tools were working with the vendors to verify that all the information we write about them is factually accurate. That sort of thing is a little more involved process that we didn’t undertake at this first past looking at financial management system. So so the argast so this is the inaugural financial management system report, and you chose to publicly release it on non-profit radio. This is this is a double a double big deal. It’s your first one. No. Yeah. Listen to that enthusiasm, boy. Oh, knocking me over. Oh, my god. All right. Um ok. I get enough enthusiasm for all three of us. So that’s all right? I’m amusing myself. Um, okay. Eso are we comfortable naming a couple of these? You got you got abila financial edge. And you mentioned that one financial force fundez easy. How should we what’s the best way? I mean, i didn’t. I guess i didn’t really want to go. I item by item one of the features of this feature that you know, but how should we, uh, andy, i’ll defer to you, you’re you deal with a lot of zsystems what’s the best way to get people acquainted with the, uh, the landscape across these that we haven’t already done. Yeah, well, you know, actually using approach it took when it first started trying to sort some of this out. Okay, i think there’s some logical appearing now say that they can’t be used with other systems. Um, i think the system i’m most likely to see organizations use is some variant of quickbooks, right, that’s, that’s widely used. So i think you set that aside, start to look at them. You zsystems probably naturally lend themselves working well with partner systems. So things like financial force, which would pair very well with sales force because built on the same core platform, microsoft dynamics, which would be very strong if you’re working in that saying microsoft, cr, m, world and zsystems and then in financial edge obviously pairs well with blackbaud so those those sorts of solutions, you know, and then you start to move more towards a range of other things, you know, things like sage intact, which is many people will be familiar with because of it. That’s one of the solutions that epa dot com has endorsed on dh support so things like like that’s, our cloud solution would be familiar to many accountants across the country that would be likely helping organization. And then you move to the smaller set of all the smaller, more start up sorry they’re beyond start up in a blanket, but they’re still in there not not as wide market traction necessarily as those others and what gets interesting. They’re sort of the small business models pricing model, very significantly pricing it’s, less expensive. Well, it’s, just it gets interesting. So you look at things like freshbooks which is structured in charging by the number of clients you were tracking in the system. Kiss you, which is adding bundling for a fee of software plus access to a bookkeeper on a monthly basis. Uh, wave which is free, but charges based on a percentage of your financial transaction xero which is cloud native and really focused on building out a lot of connection. Tow hundred, the different system. So those types of zoho books which is more of a part of a bundle there, wanting to sell your old bundle of things that make your needs what’s interesting to meet is how the larger, more established, typical systems are embracing cloud and starting trying to evolve to add connections. And the smaller one are tryingto rapidly iterated in order to serve, to provide more robust services and more built out systems. So that’s for me that’s. What makes this landscape interesting? Yeah. Okay, so the bigger ones are trying to collaborate more. And the smaller ones are trying to get be more robust in and more comprehensive. Exactly. And the rate at which each does does those things is really fascinating. There’s a there’s. A sidebar. I think it is on on pricing. Some. Some are very upfront. And the prices are clear on the on their site. And you can get started immediately with a credit card and then others. They’re not transparent about pricing. Yeah, this is something i find very interesting, i think. It’s symptomatic of a little bit of serve. What? I reference just just now, the traditional vendors have been able to do the survey, you know, call us, you know, sort of the please inquire if you’re interested. If you have to ask about price, you’re not really, you know, it’s, you know, you need to be large enough to be able to have that conversation. Um, the more forward thinking cloud native systems and some are evolving rapidly are more transparent about providing price. There is a bit of irony and some of this i find that some of these vendors will you look at their sight and you say, oh, you know, buy-in pricing financial information is very important, and then you look for pricing and you can’t find it, which seems to be a very critical piece of priceless information to me. Yeah, all right. So some just they want to have a conference. They want to have a conversation with a sales person, in some cases in others it’s also about making sure the system system and really meet your needs so it can be for useful and constructive purposes. Not completely unreasonable, but but absolutely but it’s, very interesting, metoo to the vendors. They’re cheating the public pricing and that’s that, well, they still need to have that conversation right. We just have about two minutes left. Karen, how do you feel about systems that are specifically designed for non-profits versus systems that are not like a quick books? You have an opinion on those on that one versus the other. If i were just to be randomly assigned it non-profit and i had to advise them on which three products they should take a look at, um, i might say without knowing anything about them, i made say, let’s, look at three that are built for nonprofit organizations, but but that’s not to say that the ones that are built for kind of general purpose can’t be a good fit. So in some cases, especially where they need, they’re pretty simple. Those can actually be a very affordable and practical option. Okay, okay. Um, let’s see, we just have, like, a minute or so left. Andy, you want to you want to give me a closing thought, andy in ah, in about thirty seconds. We’re lucky to have a lot of options. Understand your need. Oh, and, uh, be open, tio, rethinking how you work and making sure that your financial system is working for you and that you’re not just putting data into the system to create reports. Yes, thank you. I love especially be be willing to rethink that’s. Andy wolber, technology consultant to non-profits he’s at a wolber and wolber works dotcom guarantee. Graham, would you like tio wrap up in about twenty seconds since andy covered that i want to go in a little different direction and say that, you know, every non-profit leader is expected to understand the basics of financial management, like they need to know how to interpret a balance sheet. Um, but there’s not as much of an expectation that they know how to select software and how to get the most out of their software investment, i think that’s something that needs to change, and i hope that by reading this guide that non-profit leaders will be able to acquire some of those skills. All right, get the report for god’s sake idealware dot or ge on the home page or search for the word financial and those closing words from karin t graham, executive director of idealware she’s at guarantee graham idealware is at idealware dot or ge, thanks to you both. Thank you, my pleasure. Next week, a conversation with adam braun, founder of pencils of promise. If you missed any part of today’s show, i beseech you, find it on tony martignetti dot com were supported by pursuant online tools for small and midsize non-profits data driven and technology enabled tony dahna, slash pursuant to radio weinger cpas, guiding you beyond the numbers when you’re cps, dot com and tell those credit card payment processing your passive revenue stream. Tony dahna slash tony tell us. Ah, creative producers claire meyerhoff, sam liebowitz is here is the line producer shows social media is by susan chavez. On our music is by scott stein of brooklyn. With me next week for non-profit radio. Big non-profit ideas for the other ninety five percent. Go out and be great. You’re listening to the talking alternative network to get into thinking. Dahna good duitz are you stuck in a rut? Negative thoughts, feelings and conversations got you down. Hi. I’m nor ing. Sometimes the potentially ater tune in every tuesday line to ten eastern time and listen for new ideas on my show. Beyond potential live life your way on talk radio dot n y c. Are you feeling unhappy with your body, shape or size? Ever feel out of control with food? I’m elizabeth from nourish the soul, and on the show, you’ll uncover the route to these imbalances and discover a permanent solution. Latto having a healthy relationship to food and your body. Join us every thursday morning at eleven a, m eastern time on talk radio dot. Hey, all you crazy listeners looking to boost your business? Why not advertise on talking alternative with very reasonable rates? 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Listen, live at our new time on thursdays at twelve noon eastern time. That’s, the conscious consultant, our awakening humanity, thursday’s twelve, noon on talk radio dunaj n y c. You’re listening to the talking alternative network. Oh, hyre!

Nonprofit Radio for March 23, 2018: The Donor Journey

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Taylor Shanklin: The Donor Journey

Intentional. Personal. Relational. Thoughtful. These are touchpoints you want your donors to feel as they move through their relationship with your organization. Taylor Shanklin from Pursuant shepherds you through the journey planning.

 

 

 

 


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Hello and welcome to tony martignetti non-profit radio big non-profit ideas for the other ninety five percent. I’m your aptly named host. Oh, i’m glad you’re with me. I’d be thrown into sir some virgins if i saw that you missed today’s show the donor journey intentional personal relation alot thoughtful the’s, air touchpoint you want your donors to feel as they moved through their relationship with your organization? Taylor shanklin from pursuant shepherds you through the journey planning i’m tony steak too the funder relationship video director’s cut. We’re sponsored by pursuant full service fund-raising data driven and technology enabled tony dahna slash pursuing to radio by wagner. See piela is guiding you beyond the numbers wagner, cps, dot com and by tello’s turning credit card processing into your passive revenue stream. Tony dahna may slash tony tell us, very pleased to welcome taylor shanklin to the show. She is vice president of product marketing and strategy at pursuant you know them, a full service fund-raising agency helping non-profits go beyond the ordinary to reach their goals. She has over decades spent serving non-profits her passion and purpose or to help charitable organizations connect the dots between marketing technology. And fund-raising she’s at t shank cycles and the company is that tony dahna slash pursuant radio. Welcome to l a shanklin. Hey, tony how’s it going very good. Well, you’re super loud. Excellent. Your your sound good. You sound loud and clear. Wonderful. E it down a little. Okay. That’s okay, what’s ah, yeah, i know you’re okay. You’re okay, we can go. We can always turn it down here. Don’t worry about that. Easier to turn it down and turn you up. What’s this t shank cycles. What is what is what? How are you involved in cycling? Well, that’s actually a great question. So i would say it is a twitter handle that i came up with back when twitter was newer and have a past experience of doing a lot of cycling that get out on the bike too much right now. But so i am glad you asked, because when i got involved in working with non-profits in my professional life, i also started getting involved and fund-raising and doing events fund-raising in my personal life and i did a lot of events with the a team in training program with leukemia, lymphoma society and so i created that name when i was doing a ton of cycling, getting out there and doing the hundred, you know, my old bike rides and was started to kind of tell my story from the road, ok, ok, i see i mean, you could have been doing no power cycling now in a studio in a competitive, you know, with the board up on the board up front and everybody knows where they stand, you know, what’s that power cycling is itjust power cycling way might have been doing that thing that you yeah, you have two children, so the priorities change, i understand, okay? You’ll get back to it’s a life it’s a life practice, it’s a life practice totally and like, we’ll be back, right? Like i actually really could go to the studio like mine and more yet, it’s a timing them. I’ve got a seven year old and a five year old and getting out for two three hour bike rises, just dip it in the gym. I’ve heard rumors to that effect from friends who have children. I do not. So i’ve heard those. I’ve heard those stories. Yes, we’re talking, we’re talking. About we’re talking about the donor journey this donorsearch durney where does this journey begin? And where does it end? Okay, you know, i think i would say that it never really ends, you know, and we can get into that. I mean, i think it begins at the, you know, first interaction that someone has with a new organization, okay? And i think that yeah, and talk about it because it is a journey, and we should be thinking about it, there’s a journey? Oh, yeah, we’re going to spend the hour we’re gonna spend here. We’re thinking about it. Yeah, you know, i wouldn’t even say it would it would. It would be a mistake to say that it ends even with a person’s planned gift because i mean, i do i do plan e-giving fund-raising and that’s just the beginning of a relationship with at that stage, you know, there’s continued vast engagement after someone makes ah ah gift in there a state plan and tells us about it, you know, by no means we say, ok, thanks you, you’re you’re dead to us now, you know, it wouldn’t know i don’t even intend that pun, but you know, no, eso it really just it ends when i would say maybe it ends when the person says, i don’t hear from you anymore, but hopefully that never you know, somebody is that overt and explicit about, you know, i’ve moved on. I don’t need you. I don’t know, but that rarely that happens. But it’s rare it’s rare. So yes, yes. No, i think that’s a great point about about plan giving on the work you do around that that’s. True. Because then that’s an opportunity to continue the relationship with the family members. Oh, yeah. Absolutely deepened. Yeah. Keeping and expand. Yes. I mean that you think about a planned gift. I mean, that you’re putting someone you’re putting an organization alongside your spouse, your children, your grandchildren in your will. And of course, there’s. Lots of other plan gives beyond that. But just the simplest example. I mean, imagine how much they love your work and the people doing it to put you alongside spouse and children, right? So that’s a that’s, a that’s, a deep commitment and that’s just, you know, and but by no means the end. Okay, so what? We’re starting you know we’re starting, we’re talking before that, um, you’re concerned that this is too transactional. Yeah, yeah, yeah, you know, i mean, i think that there is so much focus and something that my team and i are here talk about a lot of there’s so much focus on acquisition, right on getting getting those transactions through the door and not enough focus on the retention, the stewardship and really ultimately, the overall donor experience to keep people coming back. You know, i think that i don’t know why this is, you know, maybe this is culture or, you know, focused people wearing a lot of hats, trying to do a lot of things focusing on let’s we’ve got to get new donors, and we’ve got to get these orders, and but the cost to get a new donor is greater than the cost to keep someone who’s already a fan of yours right now. So i think that we really need to be focused on how do we drive that attention? How do we focus on building relationships, you know, taking it from transaction to transformational? We’ve had many guests say exactly that about retention versus acquisition it’s so much cheaper, too, to keep the donors you have and treat them well so that they do stay than it is to acquire a new donor. Yeah, so that’s, not new to non-profit radio listeners. What what is new is how were going toe make that all make that happen so that, you know, so you have. So you have this excellent paper demystifying the donor journey, and we have about a minute and a half before our first break. But i want to read one of the pull quotes from that paper. It’s an undeniable fact. The donor experience and how we steward them is directly tied to retention in a major and impactful way. And retention is the key to building a long term, sustainable fund-raising program. You want to flush that out a little bit in, like a minute or so. Yeah. I mean, i think it’s you know, just the idea that you have tio speak to people where they are. You have to speak to people in a way that resonates to how they are connected to why they gave you in the first place round. And we can get into this more after the break. But i like to look at what i think so often we get so stuck in our sector and what our sectors doing. But look at the brands, the products you buy, the brands that you buy and with the ones that you keep using over and over again and think about why that is and what value it brings to you so i could get, um, you know, we can tap into that a little bit of well, i agree. I think there are a lot of lessons from the commercial side. Let’s, take this thing this first break. It’s pursuing their newest paper is demystifying the donor journey. Does that sound vaguely familiar to you? Because you’re listening to taylor and we talk about it right now so you don’t need it. But you have a friend. You have a friend. Who is less fortunate than you? Because they don’t listen to non-profit radio. You need to bring them in. Send them to tony dot m a slash pursuant radio. So they get the paper demystifying the donor journey. Then send them here to today’s show for all the more rich detail, the mystifying the donor journey. Tony dahna slash pursuant radio now, let’s, go back to the donor. Durney okay, tell her, let’s go where? Ah, you were suggesting, um, you know, we do. You know, wei have these commercial brands that means so much to us that we’re willing to accept their emails sometimes multiple times a day. We may even be willing to take their text messages. Um, you know, we don’t mind the contact we’ve asked for it. We’ve consented, of course, and we welcome it. So what can we learn from that side? The commercial side, teo import over to the non-profit side. Yeah. So i think there’s a lot. I think about you, like some of the brands. I ii go back, teo. And i’ll just, like admit my terrible coffee addiction right now get another way. But i think like, this is a good example. So i’m going to talk about starving, and i’m sure a lot of people talk about sarah back since the big company and okay, well, how do i how do i think about my non-profit like stuck, right? But here’s an example of, like, started recently, i’ve been going there for years. I worked there in college is a barista like, um, i’m pretty loyal also, you were employees? Yes, yeah, and so i started using the app really, you know, regularly to pay teo, even like order as i’m driving over there and teo kind of interact with how i want to purchase my starbucks in the morning, right? And i think there’s some interesting things that they do design that i’ve noticed and thought about, like this kind of keeps me coming back, it makes it easy, they keep rewarding me around areas where i want to be rewarded. And so i think a couple of interesting examples from that is like i get, you know, these, you know, they do these bonus star things or, like, hey, common in the next three days in order, a lot a or a breakfast sandwich and if you do it three times in the next five days, we will give you one hundred fifty bonus, right, which gets you like free drinks and stuff and what i’ve noticed in talking to other fellow friends who are startup storybooks addicts as well, is we’ve compared like the types of messages we get, i get regularly asked to come back for the things that i regularly by there, and my friend was talking about this recently was like, oh, yeah, i’m always getting, you know, hey, come back in and get a green tea, and i was like, oh, i don’t get that i was with beau car a lot saying so like, okay, they really like they’re taking the data and there, um, using automation, technology, whatever to speak to each of us individually, based on what we order because they know our habits, i think this is really relevant, tio what we dio in the nonprofit sector and thinking about there’s, different reasons and motivations that their donors have for supporting us for volunteering with us for doing on event, right? I did team in training, in part because i was interested in the cycling aspect and also because i had lost friends and relatives latto blood cancer, so there were very distinct connections, and i think we look at the donor experience and retention and stewardship and taking a page from starbucks and other companies that we in iraq every day, a lot of it has to do with really creating those more meaningful touchpoint by just looking at what it is that resonates with each individual person, a part of the problem is that some organizations will look at stewardship and this journey and delivering it as a cost rather than a revenue center. No. Oh, and you bring that out in the paper you wantto explain to us why we should be viewing this not a cz cost, but his revenue. Yeah, yeah, yeah. I mean, i do think that that’s the problem is on again. It goes back to the focus on acquisitions, as i think is often looks more at as revenue imbriano and stewardship is oh, yeah, ok ain’t that time for that right now, right? I gotta focus on bringing in new donors because we lost this money, donors or whatever it is. And if we start to realize that again looking back it all the way. Statistics out there say it’s easier to keep the customer than it is to get a new one, it’s cheaper than it is a revenue center, because, again, those are the people that are already in some way connected teo there already bought in at some level, right? Because they’ve already given to you in the past whether that is through a large gift or a ten dollars a day at some point gave to you and so tapping into why they gave to you is going and just communicating to them around that in that way, it’s going to in the long run be cheaper shit happened to again, and because you can do that through, you know, segment e and sending them just write email message, right? So is a revenue center because there’s so much opportunity to just keep those people loyal and coming back, turn them into monthly donors if they were one time donors, and i think if we start looking at it as a revenue center was opposed to cost dinner, that we will start placing the right amount of focus on it and recognizing to the long stream. Of potential revenue. You know, starbucks, amazon land’s end is one that i get a lot. I mean, they they expect to have you for life. Yeah, on and i don’t want to know how much i know. Yeah, that right part of the app is not your aggregate purchases through life that that is really for not caring, that you can’t write. You can’t tap that icon and and be disturbed. No, but you know, these brands and that’s just three examples. I mean, there’s thousands. You know, they want you for life on dh and that’s how, you know, they see it as valuable to keep you versus trying to get somebody new to come in. Yeah. Okay. So, you know, we want to think about this lifetime, you know, i asked you where’s the start, where’s it end. It is hard to identify agreement, you know, maybe it’s, like the first engagement is where it starts. But we want to be looking till still the person dies and then and maybe during their lifetime, like you suggested, we’ve cultivated their family spouse, children, you know, they might be a part of the organization now. So the family relationship might actually live on so, you know, right it’s all its long term, and it is absolutely revenue, and i love that the paper points it out, you know? Yeah, it’s not something to be to be cut, you know, given short shrift, something being what we put into this experience, this donorsearch durney relationship it’s interesting lately, i’ve been getting doing just some, you know, intel on asking friends of mine family, members of mine round former colleagues of mine, like what’s your experience when you donate what’s the follow-up like, you know, trying to get a little bit more of, like, a focus group type of quality of information on this and what’s interesting is that in most of the interviews i’ve been doing with my friends is they get kind of a standard receipt, right? Damn one or two of them, maybe has an exceptional experience that they can point out, but most of them and many of the people i’ve talked to look out, okay, i tried to ask friends who had donated to a least like a future of these per year, and most of the story is i got the standard receiving that. Kind of about it. You know, i just think that we can do a lot better than that. Now pursuing to his donor. Derive a gn up. Sorry, data driven data driven down. What? What data can you share that underlies all this as well? Yeah. I mean so, like you said, we’re data driven. We like teo look at the data to then reveal insights information into again, like i said, what makes that particular donorsearch what makes that particular person wants to be connected to the cause? There’s uninterested in one of my colleagues, was doing a webinar recently and was sharing anything. They’re full of an organization that we worked with that, you know way did some survey analysis on their on their general file went out surveyed and kind of create a point system of how satisfied their donors work and what we found waas a directly in there level of satisfaction with their ultimate lifetime value. So that’s just one example where, like people who, you know, had only one point of satisfaction. They were on the low level of satisfaction. Had a lifetime, you know, value increase that there points increased by like, one. Point there, like time value increased by ninety seven, but those who increase their satisfaction by five points um, their lifetime value increased by just under five dollars. So that’s just one example of looking at the data and then trying to actually start to segment people into different behaviors connections to the cause to try to figure out howto then move them in along the journey without organization. So this is our ally or ally of donorsearch atis faction, i’m just not clear about the the lifetime value, so if you have a five point increase in in donorsearch iss faction so it’s just under five dollars, but you don’t mean just over five dollars, over their whole life as a donor, do you? Yeah, her donor for the year. But what was interesting about it was i mean, this particular organization with large so it ended up being millions of dollars more money. Yeah, okay, because it’s like what can look like small potatoes. And again, i think that goes back to well, it just feels like it shouldn’t be a focus. It feels like it’s small potatoes, but like when you add it up altogether, it actually can be really impactful. Yes. Okay on dh. So that’s the case of a large file, but again, um, my point, you know, even if you if you don’t have dahna size file where five dollar increase is going to be millions of dollars, it’s still going to be a life time it’s an increase in lifetime value for for donors, and you just don’t know how valuable they’re going to become versus losing them and and cutting off all potential life, the remaining value. So, you know, you have to look at it, you know? You have to look at it this way, ok? Example of my personal life, where i’ve seen that worked really well? Is this a cycling example? You trying that want you want to compare my university for my husband? You’ve got in the way that those alumni organisations have stewarded us in very different ways, and he has been stewarded very well. I have not been stuart it well found and you know, what i’ve noticed is let’s look at the good example what i’ve seen them do in their stewardship of him over the years since graduation and the years ago is they? Started out with hey, you know, you know, graduated a couple of years ago if you’re ever and back in the area we’d love to have you come back and talk to class. Sure, you thought about what you’re doing now, that sort of thing, right? Recent graduates so, like, they started kind of pulling him back into the education and then started asking for small gifts, and then he ended up doing, you know, well, in his profession had, you know, kind of a job that many of the other business students would want to have, and as he kind of progress in that way, they progress in their stewardship and how much money they’re asking for it from the right, but they’re also constantly interacting with him in a very personal way. Sending impersonal thank you notes asking him, hey, i’m going to be in austin next month. Do you want to grab coffee and doing that sort of thing and it’s? Not like we’re even giving, like tons and tons of money because we don’t have those in tons of money to give but it’s just been interesting in watching that donorsearch durney of him versus mine. Where i basically just get phone calls at eight. Thirty at night when i have kids brushing their teeth, you know? And no matter how many times i say, please don’t call me at this time, i still continue to get called a time of night, and so i think that’s just a really riel example and my own personal life for i have seen stuart should go wrong, and so it should go well. And i will tell you we donate to his school more than mine. Yeah, okay, yeah, i mean, it’s, a classic mistake is just not listening to your donor’s preferences mean, you’ve you said it, you know, whether you’re donorsearch not, but it sounds like you’re small donor but doesn’t matter listening to the preferences, you know, and respecting them on dh that’s at the heart of what we’re talking about. You know, whether it’s window, i want to be contacted. How do i want to be contacted? You know, you may say text or email me and don’t call what do i want to be contacted for, you know, maybe i like scholarships. Maybe i like student activities. Maybe i you know, it’s unrestricted. Or is devoted to the arts or, you know, whatever. You know, this is the this is the, uh, categories around which weaken, weaken segment and technology enables this. Okay. Pursuing is also technology enabled talk about how the technology is available to do the segmentation we’re talking about and not lose personalization. Yeah. Yeah, well, i mean, there’s such a wide array of how how to do it anywhere from, you know, using technology that better segment people. So then using technology to communicate with them and an automated way that still gives them the personal message to, you know, let’s, just call it their segment. So we and looking at data doing like a pending additional information teo file, we can see people with people’s preferences on dh, then really group people into segments based around their interests and their behaviours, and then message to them in the digital world or in the male world based around those behaviors. You know, i got a male peace sent to me a week or so in the last week. And i thought this was a great example i send to give online. Ah, but i still, you know, well, often receive mail from the organization that i give two online, and this was i think, the first time i’ve seen it, they sent me. They did send me an appeal now asking for a gift. But within that envelope, i also had, um, a communications preference, little quick, like, check these boxes. This is what you currently have told us you want to receive. Is that still accurate? And i don’t know why. Maybe i just haven’t been paying attention, but i can’t be like a. Hadn’t. It would seem that much before was a good example of me being able to very quickly, you know, that the organization being able to include it in a piece of mail, they were already standing, and for me, too, very quickly feel like, oh, they are tryingto listen, this is nice, you know. Yes, we all. We all want to be heard, um, let’s. So let’s, let’s. Uh, go back to the paper, demystifying the donor journey, set out some some methods, strategies for, for doing better, you know, for standing out, and one of them is teo have processes. Business rules around this, this journey, and we just have, like, a minute and a half or so before break. Yeah, i think yes. On paper, we outlined first about way alan guthrie stumbling blocks, and then we outlined for different ways to overcome them on the first one, i think it’s really important, establishing business rules, business rolling processes, so that can be everything from getting just alignment within departments in the organization to dedicating staff, too. You know, safe. I’m gonna own stewardship on detention, the experience, um two, looking at a subset of your data and doing kind of a small test on the substance of data around stewardship, and created an interrupt process from that. Let me stop you on that one. Testing for testing, for example. What? So testing let’s. See, i actually was talking to a colleague recently. Gave an example of, and she has to be an organization that did did events. I thought this was a really great example of a test where they surveyed about the events and found that their wass. One thing that really would throw off the experience of the participants, the event. And when they discovered that one thing by just surveying event goers and they were able to fix it and their event seven infection with way up. So that’s an example of looking at one small thing to test and then making a change from it. So yes, i liked it. It was successful for them when they when they were ableto again. A okay, we have to. We’re going to keep talking. About what? With strategies are in the paper. I’ve got to take a break. Wagner, cpas, here’s an excerpt from their latest testimonial. They’re accessible, they care about their clients. End quote, can you say that about your accounting and audit firm? Ah, yeah. Not so sure. Okay, check out wagner, go to the site, take a look, then pick up the phone and talk to the coach. Tomb one of the partners, one of the many partners there. He will take care of you. Very good guy. C p a very good guy. Very good guy. First, second, wagner, cpas. Dot com. Now, time for tony’s. Take two. I’ve got the full version in video of build your grantmaker relationships this’s a panel i moderated at the foundation center. We played it on the show last month, and that was that’s the broadcast version. Now i’m releasing the director’s cut it’s the full show roughly ninety minutes unedited it’s almost double the time of what you heard on this show last month. Never before released footage unedited. We talked about relationships before you’re funded. How to introduce your organization to funders, what to, uh, what to do to make that relationship strong while you’re funded and keep it strong insider tips on what not to do mistakes not to make so i had to cut out a lot too fit the ninety minutes into the show. Now you can get the full content director’s cut the full experience, which she also, by the way, includes my opening with a story from my stand up comedy sets go to twenty martignetti dot com that’s, where you will find the full video, let us return to taylor shanklin and the donor journey she is vice president of product marketing and strategy at pursuant and tell her look, i’d like to keep going with something. Strategies. Because i you know, we’ve we’ve laid out what the what the ideal is. And what the problem’s, khun b, let’s, let’s. Keep going with what some strategies are you suggest in the paper. Step back and consider the ideal experience for donors. Yes, it’s about taking a taking a moment of pause and really mapping out with the journey should be so you don’t go on a trip without pulling out your gps these days, right? You don’t plan a wedding up without, you know, pulling together ah book and and a plan and i don’t think most breaks on the donor no different. You know, if you are goingto work so hard on getting people into the door, then we need to work just as hard hyre making sure they have a great experience, and one of the ways you can do that is through doing a donor journey. Back-up um, we do a lot of work on on our team here, pursue it with organizations are looking to map out the stone experience, what is the full cycle look like? What are different touchpoint that we want to make that our intentional along the way, based on the ways that a donor is interacting and engaging with us, so i think it’s really important toe think about a plan nearly and create that map before you just dive right into a particular direction that you’re going to go with you. With you through the journey mapping this is actually you’re actually writing it, you know, putting on a board for everybody toe everybody to contribute, to write you actually mapping what you’re doing and suggestion is now what? What’s the ideal, how could we streamline it? Maybe how can we make it? Maybe they introduced. They invite you, they meet more people, you know? How can it be broader? We’re trying. We’re actually writing this, mapping it out on a board, right? Yes, yes, exactly. So it’s, like work with we’ll sit down and do working sessions to really kind of map it out do like the like a post it notes on a wall. Sort of a thing, you know, looking at okay, what’s the first experience our donors will have, how does the process of altum that what one of the ways someone might come in on donate to us the first time, and then what is the touchpoint we want to make on that for some organization. It might be looking and trying to understand donors connections better to the mission. And we talked a little bit about that and then really focusing on okay, how do? We align our strategy and our donor experience based on this connection for other organizations like hyre ed institutes or hospitals, organizations like that. It might be more about tryingto understand the point of last connections. Um, and then determine. Okay, what makes the most sense? Mazarene touchpoint with that organization? What you mean? Is that what what’s this? A point of last connection? What is that? So that could be, you know, point of last connection went to let’s let’s say just in the case of have you hyre at or something point of last connection might have been that day, you know, went to went to a game last season or something like let’s. See if it fits in athletics department or something like that. Or it could be gate that they give a gift. So i just kind of various from organisations. Organisations based on the type of cause that you are okay, it’s really? Just sitting down and uniquely mapping that out. Um so what makes sense for the organization? Yeah. Ok. So it’s like the like they last engagement or something? That’s. What? That’s what? Yeah, last contact connection. Okay, okay. I’m trying. I want to keep you out of drug in jail. I’d hate to throw you in there. It sze not too it’s. Not too hard to get out, but let’s, just keep you out from the beginning. Um, yeah, okay, um, yeah, i think that the journey mapping i mean, i think this could be valuable for everybody who’s involved in the in the engagement process to be sitting down and saying, you know, this is what we’re doing and, you know, when you see it visually, i think you’re going toe recognize, you know, where is disjointed, where it could be much more duitz personalized, you know, not so maybe fragmented, you know, when you when you actually see it and talk about it, i think a lot flick comes out of these meetings, right? Yeah. And what really interesting comes out of the sweden because it really does get into talking about the feelings that a constituent has at those engagement points. Right? So how does someone feel when they engage with giving you a gift or engaged with you by going to your gala or going to your five k, um and then focusing around, you know? Okay, how? Do we then kind of really tapped into that feeling that kind of, like moment of truth that someone maybe has with your organisation at that time of interacting with you and then expanding upon it? Yeah, expanding, you know, we’re always tryingto deep in the relationship, you know, you know what their interest is, but you know, what is what is amazon always do when you buy something customers who bought this, we’re also interested in these dozen things no it’s like it’s, uh, what’s that it’s something in marketing, grab a finger, take a hand, you know, you’re like a donor gives you their finger, but, you know, you want a little more you want, you know what doesn’t want the finger? You want the whole hand, so offer them offer the more i mean, you’re not just literally, you know, you know, grabbing, but you’re offering more, you’re offering to deepen. We know you met this person on our team. I would like to introduce you, you know, next coffee. I’d like to bring my colleague who you haven’t met yet, you know, you know, finger in hand, you know? No, that that’s, exactly. I love it. That you mentioned you have the amazon example, you might like these other products and, you know, just the the thought process and even like, okay, i ordered something and i’m going to get a text provocation like, hey, it’s, on the way, just so it’s like it almost like, keeps this engagement point where? Okay, cool. I know the shift, i know i can expect it and like he said, put that into the non-profit sectors like, hey, you went to our gala, did you know that we’re doing? I walk in a couple months, right? Did you know that the’s other people in our area are also volunteering on dh they’re going to do ah, meet up or, you know, whatever it is it’s figuring out how to let people know about other ways dahna to be involved in connect, i think at the end of it, it’s, like people supported cause because there’s some sort of very meaningful connection, um and so finding ways to tap into that connection and that good feeling. I’ve never talked anybody who didn’t have a good feeling after supporting a cause helping making real meaningful impact on the world, right? Like it’s, great it’s, just part of a, you know, a reason why you and i probably, like, and people listening like beans in this industry. It feels great to feel like you’re making an impact, and donors feel great when they’re making an impact, so tap into that more and connect with that feeling and keep them on that high. You know, i think it’s really important. You feel it in your heart, and and also there’s, no rocks, there’s neuroscience research that shows that donating activates pleasure centers, the same centers that get activated when reading chocolate, having sex. I can’t think of another pleasurable things, but it’s, hard to go beyond those but theo ultimate chocolate being the penalty, and then sexy krauz being the altum. You know, but no, it sze bona fide. I mean, the research of russell James at texas tech is 1 of the universities in texas shows this the brain lights up. The pleasure centres light up, and we’re not talking about eight figure or even seven or six figure gifts. But, you know, like a ten dollar gift ignites your pleasure centers in the brain. So, it’s, you know, it’s, it’s, emotional and it’s also physical. Yeah. So, you know, get a finger, grab a hand. Okay. Um, digital experiences you what you’re looking for immersive digital experiences. Where you what is pursuing talking about? Yeah, well, i mean, i think it’s so much that you khun do now in the digital world of that it is e-giving and i know i can be very overwhelming at the same time. Um, i definitely know from talking toa non-profit organizations around, you know, sometimes i get out some of the conferences on give talks on things you could be doing in digital. And a common thing that i hear is that, um, you know, it’s overwhelming. You know, we don’t know how to do it on the staff. It sounds expensive. But what i think really interesting, this technology is making it morning testable easier round, even less expensive should do cool stuff in the genital digital world. I mean, some of the work that we do immersive experiences and say that i think i’ve been cool are creating some some fun survey, some fun quizzes, um, that really kind of tap into again tap into what are your motivations around? E-giving through an interesting digital survey or or a quiz that it’s just kind of fun that maybe teachers, something about the the mission that the donor didn’t know? I was looking at one the other day that we did and for a health care organization, so it the quiz kind of took people through and gave a lot of interesting one that related to that mission. So there’s there’s, i think ways toe engage with people in that way in an interesting way sound this is not not something that we’ve done, something that i personally have been fascinated with lately is trying to figure out how to create interesting, more personal conversation through digital technologies like chat loss and stuff like that. And so, you know, kind of playing around with those what they look like, there’s, one that i found of an organization that has a facebook chat latto and it’s, a faith based organization, and they have a chat bought with the pope and i found it really fun and interesting it’s a facebook chat, but so it’s on a platform that i’m on and it sort of engages you threw, like, hastened the provoc but, you know, did you know that easter is coming up? What i found interesting is that was like the initial when i originally just kind of wanted to go test it out and see what it was doing and how it worked. Yeah, that was some of the kind of, like, just fun kind of quirky ways that have engaged me in the beginning, and this is all autumn either, right? But as i continue to play around with it now, it’s doing it’s, giving me more information that connects to the mission e-giving me yesterday, it, like popped up with a message on my phone i was like, okay, let me look at this thing again and give me interesting facts that related to the mission and took me through sort of like the quiz like, did you know, like, how many people in this world you think don’t have access to clean water and gave me a multiple choice and kind of, like took me to this quiz? So i think that’s in just an example of different ways through digital, that we can really engage with people and more immersive kind of personal ways we have to take a break, but when we come back, i’m going to ask you about making surveys fun, that’s interesting, and i don’t think we see a lot of that tillers credit card in payment processing it’s, a long tale of passive revenue waiting for your non-profit you encourage businesses to switch their credit card processing to tell us, and your organization will get fifty percent of all the revenue that tello’s earns on every single transaction indefinitely, the tail doesn’t end. We’re talking about long term relationships here. This is one that doesn’t end because they have a hundred percent satisfaction. Send your potential supporters to tony dot m a slash tony tell us look at the video you got to live listen love assed part of the relay it’s part of the part of the listener journey we’re talking about the donor journey the listener journey with non-profit radio must include the live listener love it’s got to go out and i think it’s going tio! Tampa, florida, brooklyn, new york, multiple new york, new york always grateful for that i’m brooklyn! Welcome live lesser love on dh, columbus, ohio, tacoma, washington, new bern, north carolina reliable there live lesser love to each of our domestic live listeners and then no hesitation let’s go abroad. Chiba, japan! Konnichi wa, germany, gooden, dog that’s all we’ve got so far live listen love, but we got to the podcast pleasantries, of course, to the over twelve thousand that’s where the vast majority the audience is over. Twelve thousand podcast listeners pleasantries to you grateful that you are with us whenever you are listening with binging on a beach. Well, well, you could be a different hemisphere. Binging on a beach yeah, that’s probably possible or binging while you, uh, while you shovel snow you could be doing that, too. Pleasantries to the podcast listeners and the affiliate affections to our am and fm affiliate station listeners throughout the country all over. The country so glad that you’re grateful really not just glad grateful that your station carries us and that you are listening analog, it still exists. Am and fm listeners affections to you. Now back to the donor journey with taylor. Tell her, can you help us make surveys more fun? You mentioned that and ah, it catches me. What? What? What can we do to make surveys more fun? Yeah, so what we’re talking about creating immersive digital experiences, right? Digital provides a really easy and cost effective way so latto listen to your donor’s toe asked them questions to hear what’s on their minds in the form of surveys. I think that we often want to ask too many questions that air too revealing sometimes, and it just makes people shut down right right away. So i think a way to make more fun of first just make them shorter, okay, don’t ask twenty questions four or five yeah on like i like to think about if you’re thinking about yesterday that you want to create, what is it that you’re really trying to understand and ask questions around that i feel like often times we try to include way too much demographic data and stuff like that in the and surveys and it there’s other ways to get that there’s other time to get that, um and so making the survey more fun starts with just, like, not making it. So i think that, yeah, i also think that survey our quiz can be a great way to, you know, introduce kind of a human, more human element. It can be a way to even ask people questions and kind of a humorous way that still gets at what you’re tryingto understand about, um, i know that based on the mission of the cause of the organization, using humor can be sometimes a great area, right? But i definitely have i think that there’s ways to do it, and when you think about, like, we’ll get the it was a facebook quiz is that, you see, you know, pop up on your facebook feed and how you see your friends kind of, like, get involved in like, oh, what star wars character you like stuff like that? People do it because, like, it’s just kind of funny people like humor, and they like to engage with humor. So i do think that there is an opportunity to be more thoughtful about how do you make it kind of delightful? Um, through either humor through making the quiz on the survey shorter and easier to consume, we talk about brand no there’s, i think there’s a big advantage to having lightheartedness as part of your brand totally don’t take yourself so seriously, it’s it’s not people are not mocking you when they’re laughing at you. They’re laughing with you. Ah, you know, be lighthearted, you know, i look at it, i mean, the major brand in the world. Google, you know, they messed with their logo of seasonal and holidays, you know, when you see them, do doo rim sickle things with their logo and that’s a that’s a small example. But i think it’s a it’s not just nothing wrong with but i think it’s advantageous tohave, lightheartedness, and and fun associated with your brand totally because people connect with that look it’s just on human nature. We like to connect with that. And, you know, i’ve been reading a couple of books on branding recently and it’s like on the one that i was reading, i think it was getting the two of them mixed up because i’ve been reading them kind of side by side, but there’s, this one co-branded intervention and one of the main points to be made in the book was just don’t be boring. It sounds so simple, but i think we often can just, like, be boring without even realizing that we’re being born and so have a little fun with things like surveys on dh pulling and quizzes, i think it’s a good of wait tio have some fun and to be lighthearted, like there’s definitely the time in the place for the message that, you know, sharing a sad story rights, you are sharing the story that’s going to inspire or hit a nerve and maybe a lot less positive way, right? But we’ll have in their ultimately too get people don’t want to give to it, but then i think there are things like surveys and quizzes, you can have fun and create that, you know, when on dh kind of have more of a personality there? Yeah, i do that with this show and listeners may disagree that there’s humor in this show, but it’s ah it’s certainly attempted there’s. I’m amusing myself. I always say, you know, i amuse myself if no one’s laughing. I’m amusing myself, and the listenership is his growing, so i’m not worried. I like human. You have to say that otherwise, you know, i’ll shut your mic off so you have no choice you’re under, you know, would you like a hostage? Okay, let’s ah, yeah. Listeners made discreet. Actually, i got e i’ll share this later on. I’ll share something later on. Somebody didn’t quite get me hyre don’t take me seriously. You know, if you’re not sure that i’m probably not serious if you have to ask that i’m that i’m not you should know that by now, after a seven and a half years old going on eight years. Um okay, uh, the journey, the beginning of the journey you wantto do you think the beginning of the journey is the most critical stage would make sense, but, you know, flesh it out for us. Yeah. So i mean, it is just like, you know, i’ll go back to something that i actually said ten years ago. It’s? Fine, because i think it’s still true the beginning. Of the journey is the honeymoon period, right? Just like when you first get married, the honey moon might be a lot more fun than when you’ve been married for ten years, right? Oh, yes, i’ve heard the rumors to that effect also way certainly not my personal experience it’s certainly not my personal experience, but i’ve heard i’ve heard people talk about that. Yeah, so you know, the first what we found is doing actually research with ah, relationship fund-raising with our partners and friends at at regar e is that the first three years are really critical time, period, three years relationship thinking like the first the first interaction, carrion okay kapin into the motivations and behind the giving and really work on that relationship on. So i guess i consider that sort of the honeymoon period if you’re even looking for opportunity to re engage people start first with people who have engaged with you within the past one, two, three years. Okay? And then there’s a question. I feel like i would not track a little, you know, that’s. Okay. And we just have about a minute left way. Have to wrap up, but but there’s evidence that if you khun, hold a donor for three years than their lifetime value is going to be greater, and the relationship will last that much longer, much longer. Right, right, right, right, exactly. And that’s. Why? I think it’s so important when thinking about the like doing a journey. Mathos osili focusing on that. Those first key interactions people are having when they come in. Make sure if you do one thing, make sure that that initial interaction that you give to someone after the first time they’ve gave given to you for the first time, they’ve shown up to your event for the first time they participate. Donated to a participant in your event. Make sure that that first interaction back that first thank you. That first effort of gratitude. Is it really good? Andi, start there and then push it out from there. But that, you know, first impressions mean a lot. So i think it’s really important. Taken to account what your first impressions going to be? Yeah. First impressions way no, we know the value. Okay, we have to leave it there. Taylor. Thank you so much. Hey, thanks for having me. Absolutely my pleasure. Thank you, taylor shanklin, vice president of product marketing and strategy. And pursuant to she’s at t shank cycles and the company tony dahna slash pursuant radio next week, idealware sze executive director karen graham is going to publicly release their latest report. If you missed any part of today’s show, i beseech you, find it on tony martignetti dot com were supported by pursuant online tools for small and midsize non-profits data driven and technology enabled. Tony dahna slash pursuant radio wagner, cpas, guiding you beyond the numbers. Wagner, cps, dot com and tell those credit card payment processing your passive revenue stream. Tony dahna slash tony tell us. Ah, creative producers claire meyerhoff, sam liebowitz is the line producer, shows social media is by susan chavez on this great music is by scott stein of brooklyn. You with me next week for non-profit radio big non-profit ideas for the other ninety five percent. Go out and be great. You’re listening to the talking alternative network, waiting to get in. Sting duitz are you stuck in a rut? 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