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Nonprofit Radio for September 2, 2016: Who Needs Campaign Counsel?

Big Nonprofit Ideas for the Other 95%

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Peter Panepento: Who Needs Campaign Counsel?

Peter Panepento is back with a new report, “The Do-It-Yourself Fundraising Handbook.” Self-funding campaigns are rampant and Peter walks you through how to do yours smartly. He’s a consultant and author of the report.

 

 


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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 forced to endure the pain of retro fire inge itis if i had to speak the words you missed today’s show who needs campaign counsel? Peter panepento is back with a new report, the do-it-yourself fund-raising handbook self-funding campaigns are rampant, and peter walks you through how to do yours smartly he’s, a consultant and author of that report, and he’s with me for the hour on tony’s take two non-profit radio testimonials responsive by pursuant full service fund-raising data driven and technology enabled, you’ll raise more money pursuant dot com, and by we be spelling super cool spelling bee fundraisers. We be spelling dot com three glad to welcome back peter panepento from like a short hiatus from the show’s on early last month, he’s, a freelance writer and principle of panepento strategies, a communications consultancy working with non-profits foundations and companies that serve the sector. He’s, a former assistant managing editor at the chronicle of philanthropy, he’s at panepento dot com and at p panepento peter, welcome back. Great to be here, tony way, haven’t gone, too. I know that. What what brings you back so quickly? This is this is unusual. Generalise does not happen. What what the hell brings you back so fast? Well, i think it is the release of this new report on, um, do-it-yourself fund-raising that i worked with the chronicle of philanthropy to produce within the last couple of weeks, there went live, and i think due to the coincidences of timing, we have another interesting report to talk about pretty quickly. Okay, excellent. I agree, that is that’s. The reason. Let’s see? Alright, so do-it-yourself fund-raising what are we talking about? Let’s? Make sure everybody knows what this thing’s category is all about. Yes, and it’s ah, pretty rapidly emerging form of fund-raising although it’s not brand new. So if you think back over time, you may have seen campaigns where people decide they’re going teo one across the country, or try to break a guinness book of world records, you know, world records record or shave their head for a cancer charity. These are typically do-it-yourself campaign, these air compan campaigns where a supporter of an organization takes it upon themselves to to take on a challenge or do something on behalf of their favorite charity, and then solicit their friends and family for donation. Um, you know, if you think back about terry fox running across canada back in the nineteen seventies and eighties, um, if you even think more recently about the ice bucket challenge where a group of people, you know, decided that it would be a great way to raise money for a lot less research to double ice water over their heads. Um, these air campaigns where the charity isn’t doing the heavy lifting their supporters are, and they’re raising money on their behalf. Cool. All right, um, don’t we just call this peer-to-peer fund-raising well, it’s a it’s, a subset of peer-to-peer fund-raising peer-to-peer fund-raising also includes a lot of really charity managed events, so you know peer-to-peer fund-raising includes walkathon, ds and runs and bike rides and things that are scheduled events that the charity organizes, and then people go out and raise money for charity. Oh, god do-it-yourself is really self organized events where the charity doesn’t schedule an event per se or really go to great lengths to organize it. It these are things that are really done by the fundraisers themselves, the people who hatched a really interesting idea or or want to take on a challenge of their own, to raise money and with online platforms. Now charities are kind of starting to steer people a little bit and helping them and giving them the tools to do these campaigns on their own in a bit more of a formalised way than they’ve been done in the past, right? Cool. Okay, so i see it’s a it’s, a subset of peer-to-peer but you said the charity’s not organizing. Their encouraging you to organize on your own and there’s enormous creativity, and we’re gonna have a chance to talk about some of that on on dh support from the charity, i guess charities air recognizing that if they create this support infrastructure and we’ll have a good chance to talk about all that, too, then you know, they just keep that up and their supporters can can go off and do vast numbers of campaigns all on their own that’s right? And yeah, and that’s really what’s exciting about this and why a lot of non-profits are really moving into the space and trying to be more aggressive with with helping their their supporters do this for them because it can really become a almost a turnkey way. Teo, get teo, get fund-raising revenue. Now there are a number of things that you have to do to enable it, and there are pasta oppcoll into it’s doing well, right? We’ll talk about later, but what’s exciting and promising for a lot of organizations as it takes the onus off of them to have to organize some huge event with tons of volunteers and lots of dates staff to make. Happen, and it gives the tools to the people who are out there raising the money for them to do a lot of that for them. Excellent. Cool. All right, all right. Um, so i know you have lots of examples of great support let’s go in. And the first thing that the report recommends is that there be a ah, a strong platform, and we’re just have, like, two minutes or so before our first break, just so you know, okay, well, i’ll quickly talk about a strong platform, and then we can come back to it after a break up. You know, for sure what a lot of charities are doing. And really charity water is one of the groups that hyre knew this is they have created sections of their website where they offer fundraisers, although our, you know, supporters all the tools they need to raise money into do-it-yourself campaign and charity water has done it, giving people the tools to give up their birthdays or their weddings or create their own challenges on their website. And then it really walks them through the process of setting up the campaign, soliciting their friends um and doing everything along the way that you need to do to actually successfully execute one of these campaigns as an individual. So a lot of organizations are now investing in creating these platforms almost in the same model that charity water has done. Groups like the world wildlife fund has created a a platform called panda nation, where people can engage in do-it-yourself campaigns and a lot of other organizations that, you know, largely national charities with some local ones, too, are starting to try to create these types of platforms that really give people everything they need. Teo, do these campaigns and gives them some guard rails and rules of the road. I would help them do them. Well, yeah. Panda nation. I love that the world wildlife that’s called panda nation. Um, i think we might be talking about st baldrick’s to you. You admire a lot of the work that they do around this. Yeah, they are a little bit different in that. They they organized people around us pacific activity, which is having people volunteered to shave their heads to raise money. Right? Ok, so they’re they’re narrowing the focus of what they want volunteers to do. Exactly what they’ve been able to raise tens of millions of dollars doing it, and they have really built up a lot of a lot of support and a lot of supporters for their they’re caused by focusing all of their fund-raising really on this activity and providing a lot of the same tools that the other sites are providing to do that. So they are a great example of of a group to emulate if you’re looking at getting into this, uh, space, they’re a bit dinner structured in terms of what the options are and how they encourage people to do it, but ah, lot of the same tactics and ideas, um, that applied to other platforms are ones that they’ve really mastered it perfected over the years. Let’s go out for a first break and you and i’ll keep talking see if we have anything more to say about the platforms, and then we got conversation about cem examples of challenges and marketing and stewardship stay with us, you’re tuned to non-profit radio tony martignetti also hosts a podcast for the chronicle of philanthropy fund-raising fundamentals is a quick ten minute burst of fund-raising insights published once. A month tony’s guests are expert in crowdfunding, mobile giving event fund-raising direct mail and donor cultivation. Really, all the fund-raising issues that make you wonder, am i doing this right? Is there a better way there is? Find the fund-raising fundamentals archive it. Tony martignetti dot com that’s marketmesuite n e t t i remember there’s, a g before the end, thousands of listeners have subscribed on itunes. You can also learn maura, the chronicle website, philanthropy dot com fund-raising fundamentals, the better way. Oppcoll welcome back to big non-profit ideas for the other ninety five percent. I feel like doing live listener love et cetera right now because i’m just about being back in the studio. It’s been three weeks. I’m pretty sure that was recorded so let’s let’s go abroad first with the live listen love going abroad. Brooklyn, new york now that’s. Not very nice. I’m sorry i take that back. Brooklyn, you’re part of the five boroughs. Let’s really go abroad! Mexico city, mexico welcome live listen her love to you brenholz tartus! Hi beh china and we have multiple china actually knee how? Seoul, south korea always checking in just like china on your haserot comes home, nita, we have a couple in brazil. We conceicao paulo, we can’t see the other city in brazil, but we know you’re there live listener love teo multiple listeners in brazil wade get everybody up! Vietnam dung, vietnam live ilsen love to you is, well, let’s. Come back into the u s new bern, north carolina st louis, missouri we hawk in new jersey, brooklyn, new york. You deserve a second shot out since i was unkind to brooklyn. Bridgeport, connecticut all live listener love to each of each of those and there’s more coming when we do the live. Listen, love course, we got to the podcast pleasantries, because how could we not? How could i who’s the week there’s, no, corporate, we its eye? I’m the host here. I need to be grateful, and i am, in fact, for the over ten thousand listeners each week listening on the podcast, most ofyou on itunes, then stitcher and then lots of other smaller platforms. Player dot fm and podcast, dot net or something, and there’s, one in germany, etcetera, over ten thousand podcast listeners pleasantries to you, the affiliate affections, always going out to our am and fm listeners throughout the country. Let your station no, would you? If you’re if you’re listening on am fm, if you’re one of our affiliate listeners, let your station know that you appreciate non-profit radio, they will appreciate that feedback, and i will, too affections to our affiliate am and fm listeners. Thank you for that indulgence. Peter panepento gotta be gotta be good to the audience, so thank you. You absolutely do. And you’re not doing this without an audience. Thie audiences, really? Why we’re here talking right now. So if you have to make sure that we’re engaging them and and listening back to them to sew for it, i do. I do indeed. So thank you very much. Let’s. Talk about some of the examples. You have some cool examples you mentioned already. Mike fox? No. You to mention mike fox of the the mike. I’m conflating two things. Yeah, there. I got a guy. I got a job with cary out there. Yeah, this couple foxes, right? But somebody got the jump. So i talked about terry fox, who was a cancer patient in canada. A way back. I think in nineteen eighty who excuse me, made worldwide headlines for his quest to run across canada and raise money for cancer research and he actually died on his mission on dhe never completed the quest, but he’s been a national hero in canada and had really became a model for, you know, the individual who was willing to take on big challenges for big personal challenges to raise money for a cause that matters. And a lot of others have followed in his footsteps over the years, and one of them was a guy named sam fox who, ah, interestingly, raises money for the michael j fox foundation. So i guess we do have a lot of fox’s, trail blazers and do-it-yourself fund-raising but he got he got that job. Damn fox, who was somebody actually interviewed several years ago when i was working at the chronicle on staff, he ran the pacific coast trail, i believe, to raise to raise money for for the michael j fox foundation support of his mother, who was i was dealing with parkinson’s disease and went through some pretty substantial challenges and raised hundreds of thousands of dollars for the charity as a result of that, um and on top on top of his efforts, they actually ended up bringing him on staff to lead uh, uh, basically one of the first do-it-yourself charity sponsor campaigns where he was going out and helping people create their own challenges for the michael j fox foundation. Those are a couple of pretty prominent examples of people who take on extreme challenges to do this, but, um, there’s also a number of people who are doing pretty ordinary thanks to we mentioned head shaving earlier on dh we mentioned how charity water has really pioneered or kind of owned the space on people, touching their birthdays to raise money for the charity. You know, people, they’re doing all kinds of things there, you know, there organizing your own pancake breakfasts. They are wuebben, you know, taking on, you know, all kinds of challenges to try to break in a book of world records records, whether it’s around tennis, volleying or bringing groups of people together to sing together and different things like that. So there’s a there’s, a lot of different modes that these campaigns models of these campaigns follow and that’s part of what makes it interesting and fun to see how people are doing this. There’s also the fear ones. There’s, bungee jumping. The report mentions singing karaoke e although i have to find it hard to believe that that’s a real fear. But i guess because somebody is afraid of karaoke e but i that to me is something i’m really but i guess that would probably be something that would not e yeah, well, if you have, if you have stage fright, i guess that could be a legitimate fear. But anyway, people were you it would be facing us here, but actually, you know, maybe a chance for society. They created a campaign last year called the fearless champ challenge, which was essentially that people could buy-in basically acknowledged what their biggest fear is, and they could collect pledges up to it. You know, a certain dollar level on def. People hit the pole for the pledge than the person would then go and face their fear. Right? So you know, tony let’s say you, you know, let’s, you know, let’s say i am i my biggest fear is actually singing karaoke with you. I know you totally upstage. May i would, you know, tell my friends that you know, if if i collect five thousand dollars on pledges. My friend tony has agreed to have me sing with him. Uh, you know, and then, you know, once that pleasure was hit, you know, you and i would then go and do that, and we would report back with a video of, well, everybody so that they could then laugh at how fat i was doing it. So and they had quite a bit of success with that. They had people do everything from, you know, agreed a bungee jump, tohave spiders crawl over them to eat something that they are, you know, that you know, some food that they’re either afraid of. R oh, are, you know, just, you know, disgusted by all kinds of different things. And again, that leaves the door open for a lot of imagination and a lot of different ways that people can can you can do something personal and fund to raise money. Long term listeners. The show will remember that years ago, back when i used to chase likes on facebook, i had something under three hundred and a couple of high school friends challenged me that if they could get to three hundred get me two, three hundred likes the facebook page. The non-profit radio facebook page, not mine. If they would get me to three hundred, then what would i do? And i agreed to do a blue pedicure. Get a blue pedicure on the way. We called it the blue pedicure challenge. And indeed, they got me to the three hundred, and i went to a salon across the street here on seventy second street in new york city. And i got it. I got the boot pedicure, and i chronicled that you could goto the my youtube channel and you’ll see there’s. There are i think there are three videos. There’s, one of me making the appointment and choosing my color had avery. You know, i was kind of a royal blue. I think i chose on dh, then there’s one or two. But i think i did it into segments. The actual pedicure and there’s, the waxing, et cetera. The application, of course. The drying, the massaging. Um, what else? Ah, over the parapet treatment. Oh, the hot, powerful treatment that was that’s. A classic. So anything that was that was a highlight of the i have not gotten. A pedicure since then, but blue pedicure challenges out there and so, you know, i wouldn’t exactly say i was a pioneer in do-it-yourself fund-raising but it was a way of having fun is exactly what you’re talking about. Exactly, and you know it. You, khun, you know, you could be really creative with ease and do really personal things. And, you know, if you have, you know, if you have a following on social media or on youtube, that could be another great way for for youto capitalize on that and do some good for your favorite charity. So i don’t think i was familiar with the blue pedicure challenge. That’s. Pretty interesting. Yeah, you know that david has a keel who writes who runs a peer-to-peer form and is doing a lot of work in this issue. He came up with a for a charity a few years ago, came up with a hot pepper challenge, and i believe he collected pet pledges and had others collect pledges for the number of hot cuppers they could even one sitting so there’s. Lots of different ways you can do this. My dad will be into the hot pepper challenge. Habanero is like tuna fish for him. I don’t know. It’s it’s, a judy food for him. Hadi’s! Nero’s. Okay, let’s, go right. So we know that we have to have support now, here’s, where we start to get into the infrastructure. And there is, as you mentioned, there’s a cost involved with this there’s overhead. There has to be a platform for you to send people to when they decide that they would like to fund-raising for you in this way. What is this? What is this? This is the platform for the volunteers. We’re going to run their own campaign. What is this platform need thio provide them with? Well, it needs to provide him with a few things. And i know a lot of the software vendors who served the space are very good at helping build these platforms to and actually have models for them. So if you’re working with one of those companies already there, there may actually be ah, ah, kid or some kind of starter thatyou could use through that vendor to actually help you get that started. And i won’t name names on vendors here. We’re agnostic, right? No, no, no, wait. Hold on, hold on. Wait, give shoutouts. Teo ifit’s a resource related to what we’re talking about, right this. Right? Right. So if you know what give you if you work with the black blotter, a donor driver or any one of those software companies, chances are they’re there now offering some kind of a package for this, and we’ll work with you on creating it. But what it essentially needs tto have in addition to a mechanism for actually collecting donations, typically are, you know, an explanation of how to do that. You know how to do it. Some examples in ways for people to easily set up a campaign. Um, it needs teo equip them with ways tio the message and use social media and e mail actually reach out to their friends and tell them about the campaign that they’re doing. Um and it usually gives them a mechanism for for, you know, reporting back to them and thanking them and actually collecting the donation. So it, you know, all of these, um, platforms of they’ll tend to look a little bit different, and they give people some different options, but essentially you need to give people a currency experience that allows them to do every part of their campaign through your platform and give them the tools to do it very easily. The easier you can make it for people, too, not only make the ask, but, you know, post photos and makes, you know, share on social media and and be very clear about how how they could be most effective in doing that better success, you’re going tohave with those with those with those platforms naturally. Right. You gotta make it easy for your for your volunteers. Absolutely. Okay, once we have this. All right. So that’s there some investment there you’re goingto create this yourself which felt like not necessary, but or pay for for a module that’s a turnkey teo, be integrated into your sight one way or another. Whether it’s, a vendor, you’re working for somebody you bring on for this. Oh, are you purchased for this? For this purpose? Exactly. All right. And then we need to be able to we need to drive our volunteers to this. Paige. This platform platform what’s your advice around that? Yeah. This is probably as crucial is having the platform itself is actually making people aware that it’s there and getting them to engage with it and you know, we you know, as we’ve been studying this and i’ve i’ve done this both with the chronicle and with david hesse kills peer-to-peer forum on dh talking organizations that air trying this there are some that have essentially created the platform and then not done much marketing behind it and have been, you know, somewhat surprised that nobody came and really used it and raise much money for them. Um, so you really need to do some marketing behind it. You need to think about what audiences or or groups are most likely to want to raise money on your behalf and then and then build a marketing campaign that actually makes them aware that it’s there and comes up with some front ways to engage them in that, um, the canadian cancer society, which has had a lot of success and this is also invested quite a bit of money in search engine optimization, so that when people type in cancer and fund-raising their sight comes up, so part of it is being being smart about what people might be searching for if there are interested in your cause and want to do something about it, you know, making sure that you’ve done the search engine optimization and the google ads and other things that allow your platform to show up when people are actually motivated to do something they mean, you know, they specifically for health charities, they may be very interested in trying to do something for a disease that’s affected a level another themselves or or a friend who may have passed away due to a certain type of cancer making sure that you have your site top of mind and top of google, i guess, for situations like that is it is another important thing to be thinking about investing in, um and then making sure that it has a prominent place within your own web universe, that you’re promoting it on your home page in your email newsletters, in any of the other things that you’re doing to make people aware that it’s there and that you’re you’re actually spotlighting examples of others who are doing it for you, too. On google adwords, we just had a show within the past couple of weeks exactly on that topic. And the segment is called google adwords, a reminder that google offers ten thousand dollars per month. Complimentary add word. Add word. Edward edwards for non-profits. So if if you want, if you’re not taking advantage of that, listen to that show on glad words and well, it will get you started. So, i mean, essentially is no different than driving people anywhere else, and you have a facebook page, you have to drive them to that. You have a website, you want to drive people there, you know, it zoho about the marketing and promotions. I’m surprised that there are organizations that have surprised if they set up a platform that nobody comes to it. You have to. Well, i mean, marketing and promotions is one of those things that for non-profits eyes sometimes a difficult thing to get budget for. So you, you know, and that’s one of the big challenges facing the sector, i think, is that it’s an overhead costs, and it becomes something that a lot of organizations are a little, you know, either budget conscious or don’t necessarily think of it, it is up front as they need teo, but it’s something that’s really crucial in a, you know, in a in a environment like this, especially when it’s not built around a specific events or one thing that the organization is doing this is something that has to be almost on billing marketing because unlike a walkathon or, ah, a single event that you can put a lot of weight behind it for a few months and then take the rest of the year off. Something you you almost have to budget for and and work on your round. Okay. Agreed on dh. Yeah, well, and certainly you invest this money. You want this to be a platform that’s going to be used? I don’t know. What’s what’s. A big number for your organization hundreds of times, thousands of times or tens of thousands of times. Yeah. You got to keep driving people to it. Um, all right, we get teo teo, talk a little about cem, our sponsors, and, uh, and tony, take two. So, peter, hang on and you and i’ll will keep talking shortly. Okay, terrific. So there’s more of who needs campaign counsel coming up first, pursuing you need to raise a lot of money at year end. And i know that your urine push is in planning now or it’s going to be very soon, maybe right after right after labor day is pretty typical for your and planning. Take a look at year end accelerator by pursuant. They’re combining proven best practices with innovation in acquisition and cultivation strategies. All to improve your year end. So you have you have a real strong year and push. Check that out. It’s pursuant dot com slash year end accelerator we’ll be spelling spelling bees for non-profit fund-raising these are not your mother’s spelling bee. This is not your seventh grade spelling bee. They have live music, concerts, dancing, stand up comedy fund-raising and they managed to get spelling into so these these nights are a ton of fun. There is a ah really cool video that shows all these things. I just i just rattled off. You’ll see the video at wi be spelling dot com and b is b e we be spelling dot com now time for tony’s take two this week i am boasting and i’m bragging this’s my gushing gaskin aid because you have got to hear the testimonials that listeners have posted in itunes reviews. Really very thoughtful. I love them so i’m grateful there’s over sixty of them. And i highlight a few of them in the video, which is at tony martignetti dot com. I hope i chose yours. If you want to check out whether i chose yours, check out the video. The testimonial video at tony martignetti dot com that is tony’s take two. Peter panepento thanks for hanging in there again, your urination, your gracious guy see, i usually don’t have people on for the full hour and even rarer full hour by phone, but you’re you’re you’re reasonably articulate and ah, and engaging so s so i i thought, you know, that’s actually, my tagline let you hang on, okay, should that that kind of lackluster expectations and all your clients would be excited because you’re under produce your under promising and weigh over performing, i’m sure. Okay, let’s, um all right, i just i guess i just want to stress something on this on this platform and the marketing that your you do that you’re doing to drive people to the to this platform. It really needs to encourage creativity around. I mean, that’s absurd and all the things you’ve been saying that all these vast examples, but of challenges that people have taken out, but you really want to encourage people to think outside the the box of what everybody else has done the run, the whatever, yes, and so part of it is is giving them some. Some examples of things that they can do, whether they’re made up examples of things that you would love to see somebody try on your behalf or whether these are things that somebody may have done free organization already and telling the story about that and making sure that that you’re giving them some some guidance on on some of the types of things that they can do on your behalf is really important here. So, um, some, uh, organizations like the world wildlife fund on their panda pages, they actually they have categories of events that on and challenges that people can take on, um, to help guide, you know, things that they think their supporters are going to be interested in doing, but also giving them ah, platform to jump off and create their own ideas. Yes. Okay, um, or that you’re able to do that, and and then, you know, and the back and event really market the fact and tell the stories of the people who are doing campaigns for you so you could spot light them. Um, i think that’s really helpful charity water has done again a great job of this two whenever they’ve had somebody do a a creative campaign for them and they’ve had some creative ones, they had somebody swim naked from san francisco to alcatraz after they after they reached a certain fund-raising level, and then they also had somebody who who hated the band nickelback. All right, right? This kind listens. Yes decided to basically listen to them nonstop for one hundred sixty eight hour straight at people if people donated enough to him and when we hold, people did. And he had a subject himself to that auditory experience. How many hours? How many bones? But they’ve they’ve done a great job of then in turn, you know, telling those stories, you know, creating block post featuring on their home page, creating videos about these things so that they can then show those back to their supporters as examples but also as ways to get attention for the organization. So, yeah, cool. How many days is one hundred sixty eight hours? I don’t know what that is that a week? Maybe that’s seven? I don’t know. I was told there’d be no math on this interview. Tony, you put me on the spot. You weren’t you weren’t told. That by me that’s. Okay, that’s a long time hundred sixty eight hours. I wouldn’t even i wouldn’t have thought that the band nickelback had one hundred sixty eight hours. Maybe he had to replay, you know, your place. And i hope i hope he was sleeping in there at some point. Yeah, i was warning about that on dpi breaks also. Okay, let’s, move on. So now, after your your volunteers have done their campaigns, or rather in the midst of them sorry, i should say what, while they’re in the midst of that, they need support, they they need to be told how to promote their own campaign inside your platform and latto asked and howto follow-up etcetera. Yeah, and this is another really key. Part of it is, once you get them there and get them to agree to do something, you have to walk them through the process, and this is crucial with any peer-to-peer campaign. You know, a lot of organizations have gotten very, very sophisticated at making sure that they’re providing very clear instruction and motivations to their fundraisers around events that they’re doing and sending them e mails, you know, being available latto feel their phone calls and questions and and providing incentives to them for reaching different fund-raising global’s along the way with these campaigns, you have to do the same thing. You really have to, uh, make sure that you have systems in place to be communicating pretty regularly with the people who agree, tio take on one of these challenges and and giving them tips and advice and and maybe even many challenges along the way i do to help them be successful with these. So a lot of a lot of the more successful campaigns, they’re ones that you no have, ah series of e mails that they send out at various times to participants, you know, telling them how to how did for what’s that they’re friends, uh, you know, reminding them when they haven’t sent out ah, message or collected, ah, new donation in awhile and giving them prompts and different things along the way to help them help them be successful with the sun. Fund-raising and, uh, some organizations actually have staff people who will, you know, reach out personally by phone or e mail and make sure that their questions are being answered and that they’re getting the support they need along the way to do well, yeah, that’s where this is would be a challenge, i think for some smaller shops. You you need to be able teo provide that. I mean, well, are there organizations that are doing it all on lee automated? And they don’t have personal support like that, like, you know, a line you can call or someone you can chat with live. Is that maybe maybe that’s less common than i’m realizing? How common is that personal support? Well, i think, you know, for a lot of the larger campaigns are a lot of it is automated, and but but they do have some people who are minding the store and watching and making sure that when people are, you know, bumping their heads and facing challenges are now being very active, that they are following up with them and being being in touch with them. So but, you know, in talking to a lot of these groups, this is an area that is a challenge for them is figuring out what is the right level of support to offer. How can they do this in a way where? They’re not, you know, creating a whole new fund-raising arm in their organization, but are still providing that level of support and and service that’s needed to do this well, andan other thing we’re hearing and because this is a pretty new form of fund-raising there are actual questions, a lot of organizations about, you know, who in the organization and, you know, should be leading these efforts and where it should live, is it something that lives wholly in the development department? Doesn’t live in your marketing shop doesn’t live in some cases in your technology section because they’re the ones who are our leading the platform. I’ve spoken to people and organizations who where all kinds of different hats who are engaged in leading these campaigns and i think, um, i think it’s going to take a little bit of time to figure out what the best practices are in term and most effective practices are making sure that if you are going to lead do-it-yourself campaign that that you have fought through, you know how to, uh, how, how to structure and howto have the right people in the organization leading it, your research didn’t lead youto find that there’s there’s one ah, form of organization or location where this lives that’s that’s more popular than others. It’s really is pretty much a scattershot still it’s been a bit scattershot, but i think the groups that are most most advanced on it are ones that already have peer-to-peer fund-raising it’s part of their part of their tool kit. Um, i think the groups that, you know have people that are there organizing walks and rides and various other peer-to-peer programs are seeing the opportunities here first because they’re engaged with this kind of fund-raising already and they’re they’re talking to each other. So a lot of groups are doing this out of their, you know, their peer-to-peer arm of their organizations already, uh, but, you know, world wildlife fund, you know, this has been a major technological investment for them, so they have technology people who are really kind of the key voices within the organization, on that and for charity water. This was, uh, pretty much an essential and central part of the organization when i founded ten years ago with these types of campaigns. So i think, it’s, much more marketing driven through that organization. So there’s different different avenues to get there, but for groups that are starting in now and under are researching it now, these are questions that they’re starting to ask. Okay, um, interesting. Ah, pronunciation. Now you say charity water, i say charity water, i’m putting the emphasis on water. So now i suddenly i don’t like to quibble on non-profit radio, although i am, but i but i don’t know, i i think it should be charity water because there’s no doesn’t scott harrison want the emphasis on the water and not on the charity part? I’m pretty sure he does. You’re absolutely right. Charity water charted water, charity, water, charity, charity, border, charity, charity water i’m sure, but i’m pretty sure it should be charity water. Okay, well, we have actually we’ve got some live. Listen, love we got new york, new york a wonderful buy from charity. Water is listening, but also joining us a new afresh. Oakland, california. Boston, massachusetts and tehran, iran wow, live listen love to each of those and we got more if i didn’t say your country yet, then ah, you’re you’re coming so live listen love going out to even more countries in a few moments, but okay, i’m like aggression on princessa zoho yeah, where do you excuse charity water, though? It’s it’s, charity durney water. Well, i just i think i just gave you the definitive att leased for purposes of this show, but this is the center of the universe. So as far as i’m concerned, that’s the way it ought to be for, for all, for all being in all time. But at least when you’re on my show, you know, yeah, i charity water, but i’ve never heard scott harrison, so i don’t know he’s the ceo of charity water for those i don’t mean to name drop not like he’s a friend, i just know of him charity water. Okay, yes. So you’re essentially all right. So i understand that there’s there’s there’s timing challenges around what level of support and when people need support, but essentially the principle is you need to be a cheerleader for your volunteer fund-raising resort out there, absolutely. And you need to be talking to them regularly and giving them instruction and as you said, being a cheerleader, encouraging them but also giving them, uh, advice and help along. The way i helped them do this successfully, and, you know, while there isn’t a straight formula for a lot of these, uh, campaigns yet, in terms of you have tto send seven e mails over the course of two months, uh, you know, to make these work most effectively. What’s, very clear is that you have to have something that is that is regular and consistent and as clear as possible. And then you have to be paying attention to the results of those different communications and seeing what’s working and learning from that so that you can put your, uh, put the right emphasis on the right things moving forward. Cool. Okay, let’s, go out for our last break. And when we come back to peter and i’ll keep talking. Ah, about this, of course, and we got a bit of a double edged sword. There’s opportunities here, but there’s also challenges. Stay with us. Like what you’re hearing a non-profit radio tony’s got more on youtube, you’ll find clips from stand up comedy tv spots and exclusive interviews catch guests like seth gordon. Craig newmark, the founder of craigslist marquis of eco enterprises, charles best from donors choose dot org’s aria finger, do something that worked neo-sage levine from new york universities heimans center on philantech tony tweets to he finds the best content from the most knowledgeable, interesting people in and around non-profits to share on his stream. If you have valuable info, he wants to re tweet you during the show. You can join the conversation on twitter using hashtag non-profit radio twitter is an easy way to reach tony he’s at tony martignetti narasimhan t i g e n e t t i remember there’s a g before the end he hosts a podcast for the chronicle of philanthropy fund-raising fundamentals is a short monthly show devoted to getting over your fund-raising hartals just like non-profit radio, toni talks to leading thinkers, experts and cool people with great ideas. As one fan said, tony picks their brains and i don’t have to leave my office fund-raising fundamentals was recently dubbed the most helpful non-profit podcast you have ever heard. You can also join the conversation on facebook, where you can ask questions before or after the show. The guests were there, too. Get insider show alerts by email, tony tells you who’s on each week and always includes link so that you can contact guests directly. To sign up, visit the facebook page for tony martignetti dot com. Lively conversation talk. Trans sounded life that’s, tony martignetti non-profit radio. And i am his niece, carmela. And i am his nephew, gino. Love that drop. But i got i got i gotta tear listening to them. Well, i was just with them last week in down the beach more live listener love. Here it is i promised it since since last tehran iran checking in live love going out to tehran, chunking china and also guangdong, china now taipei, taiwan i don’t know if type has been with us much, but certainly ni hao going out to taiwan as well. And also newberg, newberg, germany cool gooden dog for germany gotta love the live love i do i do all right, peter, we have just like, five minutes left or so roughly, i’d say. Is that about right, sam? Get a little more than that, like, ten minutes. So let’s, talk a little about how this is a bit of ah, double edged sword. You alluded to some of the challenges, but let’s start with an upside. On the other hand, you’re getting lots of new donors, which creates a challenge, right? You you’re getting new donors on dure also finding ways to engage some of the current donors you have who may be, you know, looking for something new and a new way to support your organization? Yes, but yeah, but the challenge that becomes whenever you get new donors is is how do you how do you bring them into your organization and make sure that they don’t become a one and done donor on dh that’s? I think a big a particular challenge for these kinds of campaigns because they’re not, quote unquote traditional in the same way where somebody who gives to you through a through, you know, a mail campaign or even through a personal solicitation, these air folks who are doing something that’s kind of unique and different and may only do it once for you because it is so unique and different, i think it’s probably in a lot of cases, a lot easier to take on a physical challenge once and ask people for money than it is to do it a second time. There’s a novelty to a lot of these things, so for a lot of organizations they are, they’re happy to get the money and build the connection with thes supporters, but they’re struggling a bit on how to how to do that stewardship and kind of move them up the engagement ladder so that they do more things with him down the line. Um, and this has been particularly true for the a l s association after the ice bucket challenge or something. They didn’t even plan for an organized to create a platform for this, but they suddenly had a lot of donors who were who were taking part in a massive do-it-yourself campaign who are now part of their donors database, and they’ve been really, you know, thinking about and struggling over the last couple of years the right way and the most effective way to keep them engaged in the organization and to get them to come back and get more down the line. That was let’s talk about the number, then there’s two and a half million to something new donors to the organization, right? Yeah, i think it. And on top of that, a lot of them had no connections the cause before they embark in this campaign for a lot of them, they don’t have a personal connection to a less, but they were made aware of it, and they were compelled enough not only you know, um uh, take the challenge, but also to write a check and give to the organization so they they have this massive opportunity, but they but they can’t communicate with these donors in the same way that they do those who are have been part of their network for a long time. Um, and they can’t necessarily count on ah, high number of them that turn around and get to them again. Yeah, i know that that was one of the things that barbara, uh, sure, i can remember her last name remember the name of the ceo of charity water, peter barbara. She was a guest in any case, it’s not so much a lot. The last slaughter, who is their top development person and, you know, they’ve they’ve come up with some some things that they think are working well for them, and one of them is is communicating a lot about the impact of the gifts that we’re given and talking about the progress that those gifts have made on dh then in turn, saying, you know, additional support will help us get, you know, here, here and here, so they’re they’re really putting a big focus on, you know, showing not only showing the impact of the gifts, but also showing that they’ve been spending those funds wisely and are getting results out of it. And that’s that’s been a message they found not only works well, but also validates a lot of ah lot of what people did for them two years ago when they did yeah, wellit’s a smart way to start to engage people, and they had all sorts of challenges in and opportunities when this thing broke without twenty fourteen against the in fact, and it was almost two years it was two years ago, it ended august, right? I’m pretty sure it ended. Really. It was the equivalent of winning the lottery, right? For sure, you know, they suddenly had all of this. Great. Um, these great, unexpected resource is but, you know, when you’re not planning for that there’s, you know, there’s a lot of challenges, that pompel offense, so you know, there, dave, i think dahna very responsible job of communicating about about those challenges and how they’re addressing them and what they’re learning along the way, but you know it it’s almost impossible to fall into something like that and have the and have everything. In place that you need to be able, teo capitalize on a perfectly, yeah, it’s tze fell in their lap. And, uh, that was, as i was starting to say, that was one of the challenges that barbara and i talked about when she was on in wuebben october of twenty fourteen. She was a guest for the hour. In fact, we recorded that at the chronicle, flat to the studio, because they’re in washington, d c andi, i was down there and worked it out, but i actually remember that one. Yeah, that was one of that. That was one of the highest profile well, second to this one, of course, that’s, right, that’s, right, that’s, right. Okay, s so, you know, how do how do you shepherd these new donors to your organization’s worked longer term, all right, clearly. So that’s one and i think another another key challenges is budgeting for this. You know, some some of these campaigns kind of jumped the wall and becoming really successful. Um, a and a lot of cases you can’t plan for that, and you can’t viscerally expect to replicate in the next year. So if you have somebody who, you know, does a, uh do-it-yourself campaign and they raise two hundred or three hundred thousand dollars for you, um, you can’t necessarily expect that donor to do the same thing for you next year. So how do you plan for that? How do you make sure you budget, um, responsibly for that revenue and set the right expectations within your organization. That’s. So that’s. Another challenge that we’ve heard organization’s report to us. Something else that’s mentioned in the report. That’s very closely related to that. Budgeting for for the future is just getting the volunteers to do repeat campaigns in the future. Right? Right. And that’s. Some that’s. That’s. Certainly a big challenge. St baldrick’s has been great with us. They’ve found a really creative way. Tio encourage people, tio take part multiple times and there’s their head chadband shaving campaigns um, and they’ve excuse me created am a secret society, i guess it’s not a secret society, but a society called the knights of the bald table. And if you take part in seven, uh, had shaving campaigns with them, they actually we’ll hold an event for you and have, uh, you know, basically ah, knighting ceremony for you. And you get a special pen and you get quite a bit of recognition for it. So, you know, there are some ways that organizations are tryingto deal with this issue and find some fun and creative ways to get people to come back and do something more than once. But it is a challenge because, you know, the first time i see i’m going to go sing karaoke with tony. My friends may think it’s a fun saying the second time they were like, well, i saw that act already. Yeah, right. Supported again, right, let’s like me doing blue pedicure challenge too great, right? Who cares now, now, now, if i did read pure a pedicure challenge, that would that would be different that way. A whole new campaign that’s completely different, but you can’t go back to the blue, you can never go back. Um, all right, we have a couple more minutes left. And what have we not talked about? What if i not ask you that you’d like to like to like to? Well, i think one one thing i think is really interesting on this is just the fact that it is such a a kind of an evolving form of fund-raising that that organizations are really craving information and craving opportunities connect with each other about it. So you know one thing that i’m working that try to identify our ways that not only can can we provide good resource is through the chronicle truth peer-to-peer forum and through other sources like this, but also how can we bring people together and get them talking about this war? And i certainly would welcome you know, anybody in the audience who is thinking about this and working on this, who wants to talk about it to reach out to me, reach out to you and find a way to further the conversation because i i think you know, because it’s such a evolving form of a kind of formal fund-raising now you know the book is still being written, so to speak, on how to do it well, and the more input we could get, the better contact, peter, because once this is over, i have no interest in the topic. I’m committed to nothing, so contact peter directly. Alright, i’m more than happy to know i’m committed. I’m committed everything all right. He’s on twitter, he’s at p panepento write the name of the report is the do-it-yourself fund-raising handbook. Is there a is there a convenient earl at att the chronicle site? Peter? Um or no, i have a far from convenience. Okay, yeah. That’s the one i have. So just the do-it-yourself fund-raising handbook, you’ll find it on the chronicle of philanthropy site labbate and and i believe they are after labor day going to start really heavily marketing it, and including it and their philanthropy today newsletter another six to so there will be you know, there’ll be a lot of opportunities see it. And if you follow me on twitter, i will be tweeting about it and sharing the limbs. There quite a bit over the next few weeks as well. Okay, very cool. Very cool. Uh, all right. So i want to thank you again for coming on quickly again, since just since august. That was very gracious of you. You do cool reports. So so i’m happy to give voice to them. But now i’ve lost interest in the topic. So it’s all good. So we get fifty, fifty minutes of your attention and that’s it. Yeah, i get that there’s a lot going on. It’s a busy place? Absolutely. Well, i look forward to the next. The next time i help with something that is of interest to you for, you know, a half hour and hour that’s, right? Don’t about it trying to move on and we’ve got another next-gen alright, do not assume it’ll be an hour next time. Thank you for well done. No, thank you very much. Peter. Thankyou. Thankyou, tony. All right. My pleasure. Next week, next week? I don’t know. I can’t say, but, you know i won’t let you down. If you missed any part of today’s show, i beseech you, find it on tony martignetti dot com responsive by pursuant, they have a year end accelerator pursuant dot com slash year and accelerator for your year end fund-raising and by we be spelling supercool spelling bee fundraisers, we b e spelling, dot com, our creative producers, claire meyerhoff. Sam liebowitz is alive producer here with me, gavin. Dollars are am and fm outreach director shows social media is by susan chavez, and our music is by scott stein. Thank you for that, scotty, beam me with me next week for non-profit radio. Big non-profit ideas for the other ninety five percent. Go out and be great. Kayman what’s not to love about non-profit radio tony gets the best guests check this out from seth gordon this’s, the first revolution since tv nineteen fifty and henry ford nineteen twenty it’s the revolution of our lifetime here’s a smart, simple idea from craigslist founder craig newmark insights orn presentation or anything? People don’t really need the fancy stuff they need something which is simple and fast. When’s the best time to post on facebook facebook’s andrew noise nose at traffic is at an all time hyre on nine a, m or p m so that’s when you should be posting your most meaningful post here’s aria finger ceo of do something dot or ge young people are not going to be involved in social change if it’s boring and they don’t see the impact of what they’re doing so you got to make it fun and applicable to these young people look so otherwise a fifteen and sixteen year old they have better things to dio they have xbox, they have tv, they have their cell phones. Me dar is the founder of idealist took two or three years for foundation staff to sort of dane toe add an email address card. It was like it was phone. This email thing is right and that’s why should i give it away? Charles best founded donors choose dot or ge somehow they’ve gotten in touch kind of off line as it were on dh and no two exchanges of brownies and visits and physical gift. Mark echo is the founder and ceo of eco enterprises. You may be wearing his hoodies and shirts. Tony talked to him. Yeah, you know, i just i i’m a big believer that’s not what you make in life. It zoho, you know, tell you make people feel this is public radio host majora carter. Innovation is in the power of understanding that you don’t just put money on a situation expected to hell. You put money in a situation and invested and expect it to grow and savvy advice for success from eric sacristan. What separates those who achieve from those who do not is in direct proportion to one’s ability to ask others for help. The smartest experts and leading thinkers air on tony martignetti non-profit radio big non-profit ideas for the other ninety five percent.

Nonprofit Radio for March 25, 2016: Lead and Matching Gifts & Corporate Matching Gifts

Big Nonprofit Ideas for the Other 95%

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John List: Lead and Matching Gifts

Professor John List from the University of Chicago chairs the economics department and founded the Science of Philanthropy Initiative. No longer must fundraisers rely on tradition and conventional wisdom in campaign planning. You have rigorous science to guide you around lead and matching gifts. How big should a lead gift be to impact giving? Will a 1-to-1 match raise as much as a 3-to-1 match? (Originally broadcast on Feb 8, 2013.).

 

Chuck Longfield: Corporate Matching Gifts

Chuck Longfield, chief scientist at Blackbaud, has lots of simple ways to increase your matching gifts from corporations. Tap into the annual $1.4 billion from 20,000 companies. Did you know that volunteer hours are also dollar matched by many? We start with sector benchmarking and go from there. Recorded at Blackbaud’s 2012 bbcon conference. (Also from 2/8/13).

 


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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. I have to welcome again our new affiliate station love it w l r i ninety two point nine fm in lancaster and chester county, pennsylvania lanchester welcome, i love our am and fm affiliates throughout the country. Oh, i’m glad you’re with me. I’d suffer the annoyance of otitis media if i heard the words you missed today’s show lead and matching gif ts professor john list from the university of chicago chairs the economics department and founded the science of philanthropy initiative. No longer must fundraisers rely on tradition and conventional wisdom in campaign planning, you have rigorous science to guide you around lead and matching gif ts how big should lead gift be to impact e-giving well, a one to one match raise as much as a three to one match that was originally broadcast on february eighth, twenty thirteen and corporate matching gif ts chuck longfield, chief scientist at blackbaud, has lots of simple ways to increase your matching gif ts from corporations tap into the annual one point four billion dollars from twenty. Thousand companies did you know that volunteer hours are also dollar matched by many? We start with sector benchmarking and go from there that was recorded at blackbaud cz twenty twelve bb con conference and also originally broadcast on february eighth twenty thirteen on tony’s take two i’m at the non-profit technology conference we’re sponsored by pursuing full service fund-raising data driven and technology enabled, you’ll raise more money hey pursuant dot com and by crowdster online and mobile fund-raising software for non-profits now with apple pay mobile donation crowdster dot com here is professor john list on lead and matching gif ts my pleasure now to welcome john list he’s the homer jay livingston, professor and chairman in the department of economics at the university of chicago he’s expert in the science of philanthropy and his new project, the science of philanthropy initiative spy is funded by the john templeton foundation. It’s, a research and outrage venture and we’re going to talk about his research and spies, outreach to charities and how you can participate. Professor john list welcome to the show. Thanks, tony. Thanks for having me. It’s. A pleasure to have you from chicago. You getting snow? Out there, the way we’re getting inundated, died here in new york. Not too much, but it is pretty icy here. So it is. It is difficult driving conditions here, tony. Okay, well, i’m glad you’re safe in your little office. I was, you know, i like to picture academics. You know, my major was economics that i was an economics major at carnegie mellon university. That’s. Why you’re so smart now, that’s. Because i was rejected by the university of chicago. I hope you were not share in nineteen. I would have been applying in nineteen. Eighty. I hope you were not chair in nineteen. Eighty. I was not. I was actually in eighth grade in nineteen. Eighty rock. Okay, well, you’re a little younger than me, but you don’t look it from your photo now, okay? Let’s, talk about spy. This work is very interesting. Like i said in the in the lead in no longer must charities rely on conventional wisdom? Let’s, start with your methodology around campaigns. What are you doing? I think that’s right. I think when i first i became interested in this area. Tony what i what i found was that you had a bunch of really good people, a bunch of really good hearted people who were basing their decisions, mohr on anecdotes and gut feelings right, then the actual scientific method. So when i say scientific method, what i mean by that is basic basic experiment. So in that basic experiment, it’s always important to have a control group, because then when you have, ah, treatment groups such as some people might get a one to one match, you want to always compare that to a group of people who did not receive a match. Okay, that’s all right, that’s, the control group. Watch out. I have george in jail on tony martignetti non-profit radio you you scared it closely, but you then you defined control you defined control group, so you’re clear. But watch out. Okay. All right, so so we have this is this is the scientific method. We have a control group in a test group or treatment group. And how have you been applying this to campaigns beyond matching? Sure, sure. So when i first started, i was presented with a problem at the university of central florida. So at the university of central florida, the deen challenged me to start a center to do research in environmental policy and what the dean said it is. John, you are responsible for raising money to start the research center. So of course, the first question becomes different in need of resource is for a capital project. What are the first steps i should take? And the fundraisers will tell you you should secure a fraction of the money privately before going public. So, as an economist, i asked a simple question. Well, what is the optimal fraction? What i essentially found? Wass ah, bunch of anecdotes about what that fraction should be. For example, the fund-raising school recommended that forty to fifty percent of the goal should be pledged before the public campaign begins. Other hand books recommended figures between twenty and fifty percent. Right around the same time the university of wisconsin was building there. Cole center, which houses the basketball team in the hockey team. And what they had done in the quiet period is they had gone. Out and gathered twenty seven of their seventy two million dollar goal. So if you could see that the evidence is sort of scattered all over the place and i simply asked, how do we know which fraction is correct? And very few people had actual scientific evidence to back up their claims that a certain fraction was actually the correct fraction to gather in private before going public. Okay, so he looks like justin is i didn’t set up a direct mail solicitation, and i split ten thousand households into different buckets or different groups. In one group i advertised, we’re looking for money for our center for environmental policy analysis here at the university of central florida, and we already have ten percent of what we need. We already have that from an anonymous donor. You know, another group of households received a different kind of letter. It was identical in all respects, except it said that we already have thirty three percent of the of the goal. And another group received a letter that said, we have already received sixty seven percent of the goal and then the fourth group, which is our control group i received the letter. But there was no mention that we have received upfront money. Okay? And so this was to our knowledge to your knowledge, is was the first scientific method rigorous test at least that you could find of different match is having an impact on thie outcome of giving? And what did you find that’s? Exactly, right. So what we found is that over that range from ten to sixty seven percent that the more you advertising seed money, the more gifts that you will receive. So in this particular study, what we’ve found was that most people gave and those who were going to give actually gave mohr so the more seed money you have, you wouldn’t do it more people to give and those people who would have given anyways they actually give mme or when you have ah hyre level of seed money. Okay, interesting. And so you did this work. University of central florida. You were then stolen away, recruited away to the university of chicago for more sophisticated work. E well, i don’t know about that, but, you know, there were a few stops in between. I ended up going to the university of arizona, and then from there, i went to the university of maryland and well, i was at the university of maryland. I spent a year working in the white house at the council of economic advisers, and then after that, i came here to chicago to get smarter, okay? You work your way north from from two very south locations, work your way to the northeast and then the frigid chicago area. We’re going to take a break right now, john, and when we come back, we’ll talk about that more sophisticated work and how it’ll applies to charitable giving. Stay with us, you’re tuned to non-profit radio tony martignetti also hosts a podcast for the chronicle of philanthropy fund-raising fundamentals is a quick ten minute burst of fund-raising insights published once a month. Tony’s guests are expert in crowdfunding, mobile giving event fund-raising direct mail and donor cultivation. Really all the fund-raising issues that make you wonder am i doing this right? Is there a better way there is? Find the fund-raising fundamentals archive it. Tony martignetti dot com that’s marketmesuite n e t t i remember there’s a g before the end, thousands of listeners have subscribed on itunes. You can also learn maura the chronicle website philanthropy dot com fund-raising fundamentals, the better way. Dahna welcome back. We’re talking with professor john list from university of chicago about leading matching gift in your campaign. I have to send live listener love somebody, somebody in chicago was listening. John, you’ll be gratified to know that there’s a listener in chicago and it was very good. New bern, north carolina, bethlehem, pennsylvania and washington, new jersey live listener love going out also to taipei, taiwan and shang zhi change china. I don’t know how to pronounce it. C h a n g s h z chung’s. We’re doing the best we can here. China s o tio taiwan and china ni hao. All right, professor john. Now that you’re at the university, your work has expanded and you’re doing work now with some pretty large charities. Want you describe that that’s, right? That’s. Right, tony, um, you know, after you established that upfront money is important, you can ask yourself, well, should we be using that money is simply an announcement like i did at the university of central florida? Or should we be using it as an announcement and is a match? So, for example, you could say an anonymous donor just gave us one million. Dollars now we will use those funds is a match. So, for example, for every dollar that you give, we will match with a dollar of this donors. So we ended up taking that idea, which, of course, is a common idea in fund-raising to a simple, direct mail experiment with the sierra club of canada and what we were interested in there it was simply testing the idea of announcing money, which i did at the university of central florida campaign versus announcing money and using it is a one to one match. And what we found there again, we’re we’re sending out tens of thousands of letters two households essentially using the normal ask that the sierra club uses. But here some households receive a letter that has, for example, no mention of this upfront money and that’s, a control group. Other households received the match other households received. We have some money. But there is no match campaign. And what we found there is that again. Seed money works quite well. So what i mean by seed money is that if you have up front money that’s very effective in generating people to give but the interesting. Thing there is that the one to one match worked about as well. Is the seed money treatment in both of them worked much better than the control group. Okay. Okay. Now, the one to one match. This is with the sierra club of canada. The one to one match, you said worked a little bit better than the leadership gift announcement. Actually, they were the leadership gift announcement. Worked slightly better, but they were okay, but they were statistically the same. If you look at them through a statistical tests, they were about the same. Okay. Okay. And that was a one to one match. Now, what do we know about the what have you learned about the differences between different levels of match? One, two. One, two, one. One, two, two, etcetera. Exactly. You know, tony that’s a great question. Because that’s that’s, clearly the next step in the research agenda. And when you look a man, i should have been a professor of economics. I did. Well, carnegie mellon. I have no shot having gone there so way. Always have a spot here for you at the university. Thank you. Look at this. The deed that i know you’re not the dean, just the department chair. Well, just lonely department there. Department chair. Well, i’ll use you for my letter of recommendation, right? Absolutely. Okay, what do we know about how these different levels of matching compare? Yeah. That’s a good question, because you know, the anecdotal evidence out in the field is that obviously a three to one match should work. A lot better than a one to one match in a three to one match, of course, is, for every dollar that you give, the charity will match with three dollars, and the one the one every dollar you give, the charity will match with a dollar. But of course, when we went out to the literature, we could not find any scientific evidence that indeed a three to one match was better than a one to one mad again. Just a lot of conventional wisdom. And this is the tradition. Absolutely. Okay, absolutely. Which, of course, drives an economics professor. Not what we don’t have any data or scientific evidence to back up that finding. All right. Here’s. Where we? Yeah, here’s. Where we part company c i should probably just settle for an honorary ph d from the university because it hasn’t driven me as nuts as it has you, but i’m glad it has go ahead. Absolutely so this time we teamed with a national liberal non-profit in the us, which does political and socially oriented work, and i have to be careful because i cannot mention the non-profit due to a non disclosure agreement that we made with them, ok, but essentially the background is that every month they send about fifty thousand letters, too. They’re regular donors, and they asked them for money and essentially what we did is, again, we put the households into different buckets or different groups. In one bucket, you had households that received a one to one match offer. In another group, households received a two to one match offer, and in a third group, households received a three to one match offer. And then, of course, we compare that to a fourth group, which is the control group, right? No match, no match at all, which they receive in a typical letter that says, we’re looking for money to help the cause, so to speak. Okay, so what we found here is that if you just look at the data amongst those households that received a match offer versus those households that did not receive any match offer. You raise about nineteen percent more money in those matching treatments compared to the control group. And the interesting part is that effect occurs entirely on what an economist calls the extensive margin. And what i mean by that is that nineteen percent occurs entirely because the response rate went up about twenty two percent. So more people decided to give. When there was a match available, they still gave the same amount per person. But more people give when there’s a match available. So so the effect is not because people are giving mohr, but because more people are giving exactly. And this and then the level of giving doesn’t change among among all the people who give versus the control group that’s, right? So if you were going to give anyway, on average, you give the same amount. But you just get twenty two percent more people to give some money rather than give nothing. And is that impacted at all by the level of the match? Exactly. So the other finding that we that just jumps out at you in the data is that the three toe won the two to one and the one to one match groups perform identically. Are you sure about that, e? I mean, nasa has made mathematical errors, and they forgot to convert you forgot to convert fahrenheit into celsius or something like that. Are you sure about this? I mean, it happened, you know, if you hadn’t. If you haven’t double check your math, i’ll understand. I’ll tell you what, i have double and triple checked my math, and i’ve also gone to other charities, and i’ve done the same kind of experiment with amnesty international with bly, robida, children’s hospital. And what we find over and over again is that having match dollars, really? That really matters a lot. But the size of the match does not matter. Uh, that’s. Very interesting, very interesting. And contrary to all that conventional wisdom that we were talking about. Okay, so the one to one match poles well has has the same effect as the three to one match. Okay, sure. Okay. What about the one, two two or one two three, where a dollar gets fifty cents. Or something like that or those types of matches. Exactly that’s very good questions. So we have now extended that original experiment all the way down on the other side. So we’ve looked at one to two and we have looked at one, two, three and again one, two, three and one, two, two are the same as one to one. So at least over the range that we’ve experimented with. Oneto one all the way down to one, two, three and all the way up to three, two, one we find the same result that people give the same amount of money. No, i think we need to take care here, because if we would go all the way, say, for example, to one to one hundred, if you give one hundred dollars, we will match with one dollars, i’m pretty sure that would not work very well, although that’s a gut feeling, so i i i i don’t want to break my own rules, right? Because that’s, just my intuition that suggests if you go that far, you can actually hurt your capital campaign, but i don’t have any empirical evidence for that, okay? John list is the homer jay livingston, professor of economics and chair of the department at the university of chicago, and we’re talking mostly about his work through the science of philanthropy initiative at the university spy, which you’ll find at s p i hub dot or ge, and we’re going to talk about working with it’s by very shortly. All right, john. So now we don’t know one, two one, two a one hundred match that would i guess you would expect that be different than a one to one match, but we don’t have any evidence of that, right? That’s correct. Okay. Do you plan to test a match that that that’s that largest to see if there where? Where the boundary is that the one to one effect breaks down? You know, i would love to. And just exactly as you mentioned of always looking for partners to try ideas such as that one. And i think that’s exactly. The next step that the research will take is is where does the match the effectiveness of the match actually break down? I think it’s a great research question and one in which i do wish to explore. Okay. Okay. Interesting now. You have some evidence of how this works on ah ah, warm list versus a cold list. Why don’t you describe those and what that what those outcomes are exactly exactly so when we think about warm list, what the way that we differentiate people in data sets is a warm list is a person who has given to our cause within the last three years. So if you’ve given ten dollars or ten million dollars within the last three years, we label you is a warm list person. Ah, cold list person is a person who has not given to our cause in the last three years, so that just gives you some definitions of the way that we think about cold lest versus warm list. Now you’re exactly right to pinpoint that feature in our data. What we find is that the cold list people are more influenced by the match, then the warm list people it’s not that the warm list people are not influenced by the match because indeed, warm, less people are influenced by the match. They’re just not as influenced as much is the coldness people? Okay, okay, and they’re influenced. In what way? The proportion of giving is greater, right? Because we’re talking about more people giving not people giving mohr money exactly it’s exactly proportion all about the number ofthe coldness people who give above and beyond the number of coldness people who give in the control group. Okay, okay. Interesting. All right, let’s, move to. Well, let’s, let’s spend a little time talking about the partnership. We have more to talk about your research in terms of leadership gifts. We’ve just been talking about matching gifts, but you’re you’re actively looking for charity partners to work with, right? Absolutely. So, you know, we’ve just we’ve just begun. We’ve just started spy hub dot org’s is you mentioned earlier, and even though my own research, i’ve been doing work in philanthropy now since nineteen ninety eight, we have just received a very generous grant from the john templeton foundation that allows us more opportunities and more time toe work with those charities out there who are interested in partnering with us remember, you’re going to have to put up with our craziness because we’re academics, we have crazy ideas. Yeah, you should see our listeners. If you go to my block, you’ll see, you’ll see john’s, head shot and there’s all kinds of mathematical equations behind him on a blot on a blackboard is not even a white board. I was surprised that i would have thought for sure university chicago would be using whiteboard technology, but not in your classroom anyway. Unless it’s an old photo it’s it’s chalk on a blackboard and you have the end use lambda in your and some of your equations that would know lambda always scared me as i was as i was doing economics, studying econometrics and regression analysis. I don’t know why just lambda lambda just seems intimidating to me. Lambda i don’t know a couple of land is behind you, so yeah, i looked at your picture way. Linda brings up everybody still old school here. I’m sitting in my office right now and i actually have a blackboard in my office which has lambda written on it. You do see that’s. Why i’m getting a bad vibe. I’m goingto have to bring out the love crystal here. Couple of a couple of shows ago someone held the crystal court’s love krystal i’m getting a bad vibe tau lambda it’s a lambda thing for me? I don’t know why i just since my econometrics days, lam does giving me trouble. All right, we have just a couple minutes before break. So let’s, keep talking about eso charities. Should charities that are interested in putting up with you go to s p i hub dot or gq? Or how do they get information? That’s, right? I think that’s a good spot to go to or, you know, you can actually google me if you google john list. You know, i promise you i’m not the mass murder. That guy will come up first. I’ll probably come up second. Zoho is there one of those? Okay, yeah. You know, john list is a very unfortunate name, but, you know, my email address you can email me here at the university of chicago, it’s j list at u chicago daddy to you. And, you know, we can begin discussions about forming a partnership. Our bottom line is this we don’t charge for what we do, but what we expect is that we can use the data that is generated from the cause you know, from the telephone or the direct mailer or the or the banquet that we could actually use those data when we write academic papers or we do radio interviews or television interviews or what have you that that’s really the only cost is that you allow wass to work with the data and pushed the knowledge frontier in this particular sector because that’s really what we’re in it for, we’re not in it to make money ourselves way really want the sector to undergo a scientific revolution because we believe so strongly in this sector. Okay, on dh, this can be done anonymously, right? The charity named doesn’t have to happen in your research. Okay. Okay. Professor list. Wait. Told charities how they can get involved with you. Let’s, move to your research on leadership. Gif ts. What was that about? So? So what the leadership gives essentially are about is that if you receive upfront money, there are many different ways to use that up front money. You can simply announce it is we did at the university of central florida. You can use it as a matching gift is we just talked about, or you can use it, for example, for small gifts, you know, small donor, jess teo. To give to people who actually give to your cause or you can actually use it for lottery prizes if you wanted teo link people’s contributions to a possibility tto win a large prize. Those are other ways in which you could use up front money as well. Okay, interesting. Yeah, go ahead. What we’ve been finding is that if you actually link the donation to ah probability of winning a prize that you khun considerably increase e-giving rates, in fact, is much is one hundred percent, and most of that result is actually on again the extensive margin more people are giving when they have a chance to win a prize. Okay, and how does how does this type of e-giving compare with the one to one match? You know, this type of giving is in the range of a one to one match, so if you are ah, if you’re thinking about going out and using up front money, what we’ve been finding is that a one to one match works about as well is ah lottery, where you where you give away a large prize, say a thousand dollars to one of the donors it works about. Equally as well as a one to one match. Okay. Okay. These are too different types of inducements. This is interesting. Is that the, uh one to one match is conditional on the person giving and the the other is not it’s it’s? Definitely what? Why that? What is that difference mean, exactly. So what we’ve been finding you pinpointed a very important fact in our data is that on the one case one to one match, those dollars essentially are conditional in the sense that you have to give one hundred dollars to have the anonymous donor give one hundred dollars. We’re a leadership gift is essentially the lead daughter giving money that’s unconditional. So what we’ve been finding is that that unconditional gift tends to be slightly stronger, a slightly stronger signal to donors. Then the match gift is, and we think that’s because the signaling value off that gift and what i mean by signaling value is this anonymous donor probably knows mohr information about the charitable cause than i do. So if i see her giving a large amount of money for the cause, that sends a signal to me that charitable dr is a good one it’s. A good signal of charitable quality. That’s. What our data points to time in and time again, that the leadership gift is a very important signal of the quality of the charitable dr. Okay, okay. Let’s, i want to talk a little about what you’re what you’re doing next. You have some interesting research that you’re working on your next project, the one one and done right? Yeah, right, yeah, that’s good that you bring that up because this is a project that right now has a lot of my attention, and this is a project that we’ve worked in partnership with smile train so smile train is a wonderful organization that takes care of cleft palates of of the youth overseas, so they send doctors overseas to take care of this very dreaded birth defect. And with them, we’ve developed a program which we call once and done and essentially it’s a direct mail solicitation. But within that direct mail solicitation, it says, give now and we will never bother you again if you check this box. John, we have just a minute left. Give, tell us briefly what? What? The impact of that is sure what we’ve been finding we’ve sent to about eight hundred thousand people in what we’ve been fighting is that if you use once and done, you can raise about three times more money, then you can with the control group, only thirty four percent of the people will actually check the box. And when you look into the future, you don’t actually lose donors. You raised just as much money in the future. Is you raised from the control group in the once and done group. So, in essence, you raised about three times more money in the initial mailer, and it does not compromise future fundez from those people. Okay, we have to sort of leave it there. I think you should call it one and done, though not once and done. You’re missing the good alliteration opportunity wanted done. No one gift and you’re done. Remember how many economists not an english professor? Would you go for the goal for the liberation? I don’t have more punch one and done. I think you should rename it one and done. But obviously, the impact in the outcome is what’s. More important, dahna one. Thank you very much for being a guest. Thank you very much. Look forward to talking to you soon, tony. My pleasure. John list, chair of the department of economics at the university of chicago. You confined him at s p i hub dot. Org’s spy hub dot or gq, and he and i will be in touch to schedule the date for my honorary ph d ceremony. Corporate matching gifts with chuck longfield is coming up first. Pursuant, they help you raise more money that’s your objective, you need to raise more money, they help you do it, they’re online tools or ala carte you choose what you need like velocity to keep you on task and goal oriented. Now, some people would say goal orientated, but it’s oriented let’s not get into language pet peeves i just i’ll keep you appraised, and prospector is another pursuing tool that helps you find your highest priority potential donors. So you know who to focus your scarce time on all at pursuant dot com crowdster they have a deal for non-profit radio listeners, you get thirty days free or fifty percent off. This means you can try a crowdster peer-to-peer fund-raising sight completely free for a month or get the fifty percent off offer. That means you pay for a month and get a second month free or sign up for two months and get two more months free for a total of four, which deal do you want? Let them know what crowdster dot com in the chat window, tell them you’re from non-profit radio and choose the deal now. It’s time for tony’s take two. I’m at non-profit technology conference and tc this month lots of very smart people helping you use technology in all the different ways that i hope you are using it throughout your organization day to day, you know, way beyond just fund-raising but marketing, communications and volunteermatch judgment and program management, you know, outreach, all the social media topics, all this stuff at ntc, i’m doing probably thirty, maybe even a little more than thirty interviews in the three day conference, some of them that i’ve got coming. Our digital disruption seven habits of highly risky non-profits communications, mythbusters be a google adwords superhero and a ton more interviews all four non-profit radio video and the list of all the interviews is at tony martignetti dot com and that’s tony’s take two got to send live listener love. I am pre recorded this week, but the live listeners do you know who you are? Because you’re listening live right now so the latto live listener love is going to you, even though i can’t shout you out by city and state, but i love is going to make no question about that love goes, i just don’t know exactly which city it’s going to, but you know, because it’s where you’re sitting podcast pleasantries are over ten thousand podcast listeners, whatever activity, whatever device, whatever time, whenever it fits into your schedule. Thank you, thank you for being with non-profit radio, most likely on itunes, but there are lots of other platforms. Stitcher ah pod bay pod pod player on even one in delaware, delaware it’s not d not told where. Germany in germany there’s a there’s, a podcast site that it’s podcast dot d and they’re listening and i saw one in aa in, uh, in spain. I can’t remember the name of that one, but we’ve got listeners in spain listening via podcast so podcast pleasantries to each of the podcast listeners and, of course, the affiliate affections. Where would we be without our am and fm stations throughout the country? Deep, deep affections to our affiliate listeners. Thank you so much. Here is chuck longfield. We have corporate matching gift. Welcome to tony martignetti non-profit. Radio coverage of b become twenty twelve blackbaud conference where outside washington dc gaylord convention center with me now is chuck longfield. Chuck is chief scientist for blackbaud chuck, welcome. Thank you. Nice to be here. It’s a pleasure to have things very much. Your session topic yesterday was don’t leave money on the table. Ten proven practices for success with magic gift let’s start with a very basic why should a charity spent time with matching gift is your forms there’s compliance there’s going to be back and forth with companies? Why is this worth it? I’m currently about a little over a billion dollars a year is given by corporations to matching gifts, but one point four billion dollars it’s about twenty thousand companies in america that will match their gifts, about half of the fortune five hundred have matching gifts, they’ll match donations, and a number of them will also match volunteer hours. So, for example, if you volunteer at a non-profit you work for microsoft, they’ll actually pay you fourteen dollars for every hour that you don’t pay the non-profit fourteen dollars for every hour they volunteer and some companies if you give them a thousand. Dollar donation or one hundred dollar donation, they’ll match it. One, two one two to one, three to one. So it’s in a sense, it’s kind of newfound money caused fundrasing isn’t all that high. There are some compliance issues and paper forms and such but that’s getting easier. So in general there’s there’s a big opportunity and i’ve done a lot of research that has shown that most companies are not doing nearly enough in this area and they could be substantially increasing their revenue several percent if they pursued some of these practices. How recent is the reimbursement of volunteer time? It’s been a it’s? Been in place for a while now. It’s a relatively new thing but it’s it’s been in place for a while. Okay, so it’s worth the small administrative time that’s right in the past. The way the process worked was the employee was encouraged to go to the hr department. More recently go to the internet at their company. Get a form. Fill out the forms sent it into the non-profit. The non-profit indicates that they indeed got the donation. They send it on to the company. The company over time has been outsourcing this to other companies to do the paperwork. So it’s actually been someone burned some authority, but the internet and a lot of links now have made this easier. So most employees now just encouraged to go to a a site. They can indicate that they made this donation and the paperwork is all done. So, for example, there’s, a company in new jersey that jake group that worked with many of the fortune five hundred companies, and they have a website called easy match. And if you use easy match the processing for the nonprofit for the employees, for the corporations made much easier. Okay, give listen is the name of that company one more time? The company actually is kind of in the background, but their website is called easy match. Zizi match dot com. No, i’m sorry. E a s y m a c h dot. Okay, hyre so what was what was the first piece of advice that you shared on building this magic gift? Well, so well, one of the pieces of advice, which actually wasn’t the first, but i’ll start with it is to benchmark with against your peers. So in different organizations i have different resources. There are organizations that have probably like yours that that dahna realize a greater percentage of matching gift dollars, and so when you’re actually looking at the opportunity. So for example, if your university there are many universities now that a matching five, six, seven percent of the total revenue with matching gifts. So if you’re doing one percent in your university, you’d say, well, how are they getting five percent family getting one percent? If you are a public broadcasting station, good public broadcasting stations air getting three or four percent, but most public broadcasting stations are getting well under one percent, so they can look at their numbers and they can say, well, why am i not getting three or four percent? So it’s a good way by benchmarking first, to quantify the game that you might realise it really it does vary considerably. Sounds like across different charitable vision. Well, it doesn’t infect the public broadcasting stations could probably achieve five, six, seven percent that they would need to actually start doing some of the things that comes more easily to a university, like knowing where their people work so university can collect that more easily where’s, the public broadcasting station, might have more trouble finding out that you work for ibm. But but still, the real issue is that if you know how well some of your better peers are performing, you can actually estimate what how much money is at stake for you. And then the actual practices are relatively easy. I joked in my presentation that there’s, a surgeon, a tool go on who wrote a great book called checklist manifesto, and he pointed out in the book that if doctors washed their hands, they would get ten thousand fewer patients a year, would die of infections. And doctors don’t always wash their hands in fact, of the substantial numbers don’t even match and gives. The analogy is that if you want substantially more matching gift dollars, all you have to do is remember who matched last year and remind them when they give this year to match again. So it’s, not rocket science. But if you do it, you actually would boost your matching gift there’s. A few practices like that that are relatively straight forward, okay. Like what you’re hearing a non-profit radio tony’s got more on youtube, you’ll find clips from stand up comedy tv spots and exclusive interviews catch guests like seth gordon. Craig newmark, the founder of craigslist marquis of eco enterprises, charles best from donors choose dot org’s aria finger do something that worked neo-sage levine from new york universities heimans center on philanthropy tony tweets to he finds the best content from the most knowledgeable, interesting people in and around non-profits to share on his stream. If you have valuable info, he wants to re tweet you during the show. You can join the conversation on twitter using hashtag non-profit radio twitter is an easy way to reach tony he’s at tony martignetti narasimhan t i g e n e t t i remember there’s a g before the end he hosts a podcast for the chronicle of philanthropy fund-raising fundamentals is a short monthly show devoted to getting over your fund-raising hartals just like non-profit radio, toni talks to leading thinkers, experts and cool people with great ideas. As one fan said, tony picks their brains and i don’t have to leave my office fund-raising fundamentals was recently dubbed the most helpful non-profit podcast you have ever heard. You can also join the conversation on facebook, where you can ask questions before or after the show. The guests were there, too. Get insider show alerts by email, tony tells you who’s on each week and always includes link so that you can contact guess directly. To sign up, visit the facebook page for tony martignetti dot com. I’m dana ostomel, ceo of deposit, a gift. And you’re listening to tony martignetti non-profit radio. Big non-profit ideas for the other ninety five percent. My share another yes, sure. Lovely, simple, fun latto i consider this fun exit simple and fun that’s, right? So another one is is that a lot of people now moving, too websites to make donations it’s relatively easy to put on your website another line which says that if you work for a matching gift company, please match and you can actually hyper link it to the list of matching cos the twenty thousand companies so somebody, if they do work, they can click, they can look up apple computer, they click on apple computer indicate that they work for apple and the process can begin. And in fact, with somebody like apple, the next thing you’ll be directed to do is click on easy match and the process basically would be finished. Type in your employee i d number indicate that you made the gift and be off. Is that a list of twenty thousand proprietary? You have to be working with a company piela hyperlink. Yeah, super vis yes, it’s actually it’s a very low cost and smith it’s made available by two companies, blackbaud is one kapin isn’t now the gp is another and it cost. About a thousand dollars to license the soft with the list of companies and an awful lot of companies already licensed, it put it on their website, but yes, a small and midsize non-profit that’s not doing that should do it because it’s relatively easy, and then the donor is self serving, servicing themselves, they’re indicating it moving on. Your mother would like he’s fun. Well, another one is, is that if you’re a regional non-profit so say europe non-profit in the houston market, houston, texas market and exxon mobil is a big employer in your market, or if you’re a bank of america and urine that their market, you can actually get their blank form. And if you know some of your employees work for exxon mobil, when you thank them, you can actually just send them the form or send them an email hyper linked directly to the exxon mobil website so they could go on make a donation and it’s relatively easy to determine that some of these people work for exxon because they might already have volunteered their email address and their email address might be chuck it exxon dot com really pretty simple research making. It so much easier for the donor that’s correct that’s, right? And in fact, if you look at the university’s universities that are getting this five, six, seven percent more money aren’t doing anything more than these basics, plus making sure they find out where you work. Okay, what our strategy for finding out where you work mention public radio probably doesn’t know that how can i help the small net size shop get that information? So probably the best way is, is that if you doing phone of bronze or any type of telemarketing speaking with your donors, so for example, in public broadcasting, they have pledge drives when the person calls it in pledges, you simply ask one more question, where do you work, whether your company matches and you’re off and running if you do telemarketing you, khun called sometimes organizations calling thank their donors and you think you could ask him if they work for matching company? You can buy this data from sung third party vendors. That source isn’t so great yet that that there isn’t really an easy way to give them a list of your donors and for a third party to actually tell you where they worked, but those companies are trying to get better at that. Linked in, obviously, is a source, and so sometimes you can simply go online. And what a small and midsize non-profit could be encouraged to do is just go online and look up your major donors. You’re bigger donorsearch sabat e-giving five hundred thousand dollars. Type them into lincoln’s, see if you can find out where they work it it’s, a matching company pursuit for a matching gift. So i made you die aggressive, too easy and easy to find. Back-up are there other strategies? Wanna share that geever topic you’re talking about? Dahna no, you know, actually, i think the ironic thing about many of these things is that they’re actually relatively straightforward, you know, one of the things that is more complex and could actually make it easier, but easy matches is kind of doing away with it is some organizations can actually take the form, fill it out, file you, send it to you and all you have to do it, sign it and send it back in on dh if you’re a national non-profit that’s hard because there’s so many matching gift forms, but it turns out in most cities in america, major cities three or four five companies represent eighty percent of the matching gifts in that area. So in many cases, you don’t have to work that hard for it. One other thing you could do, which is probably true of a small local organization. That’s, right? That’s, right, it’s just, you know, most of the money is coming from the big employers in town. Now, one of the other things you could do which is kind of a clever thing is, is that say, you know, you have a lot of people who work for a company. And it doesn’t match gifts. But you may have twenty or thirty employees that worked for that company. What some people have found success in is actually just making a list of who those thirty people are, and going and visiting the company in their corporate relations and talking to them about what would you make a donation to us, either, because you’ll match your employees gifts, or you’ll just make a donation, advertise it, and you’ll know thirty, of your employees is gonna be thrilled because they support the organization as well. And so it’s, another way to engage companies and promoted and again universities have gotten very good at that. Practice is well and end up pursuing people. You have just about two more minutes, okay, just gonna throw it out. What else would like to share around? Pretty simple teo to build a scale that you give? Well, the one thing thiss isn’t the technique, but just to show the opportunity when i said that there’s one point four billion dollars donated that’s about ten percent of corporate philanthropy, so corporations make many other donations to non-profits, but about ten percent of it is matching gift contributions one point four billion that is less than and in most cases fairly well, less than one percent krauz when i said that there’s a five to seven percent opportunity and so there’s tremendous room toe actually raise total corporate philanthropy, matching of france will be by a billion or two billion dollars. I had a question this morning about what that actually lied, um, corporations to cut back on their match and give program if all of a sudden what people were doing it and i’ve talked to people both work in the company’s as well as other knowledgeable people, and they joked that it’s still such a small toe, a percentage of total corporate philanthropy that we could easily double it and the corporations really wouldn’t balk at it. So why definitely encourage non-profits to go after this money? And i think it’ll be there, take that rationalization. Off the table, you’ll end up cutting us back if we do more often. Hm. Chuck longfield is heimans, chief scientist, scientist for blackbaud. Thank you very much. Thank you very much for spending time with pleasure. Thankyou. Tony pleasure. Thank you. Tony martignetti non-profit radio coverage pecan twenty twelve next week, rob mitchell, ceo of the atlas of giving he checks in about how first quarter fund-raising has gone and how the forecast for twenty sixteen may have changed in the first quarter. If you missed any part of today’s show, i urge you find it on tony martignetti dot com, where in the world still still ambivalent about this, we’re sponsored by pursuing online tools for small and midsize non-profits data driven and technology enabled pursuant dot com and by crowdster online and mobile fund-raising software for non-profits now with apple pay crowdster dot com our creative producers clam meyerhoff sam liebowitz is on the board as the line producer gavin dollars are am and fm outreach director shows social media is by dina russell on our music is by scott stein be with me next week for non-profit radio big non-profit ideas for the other ninety five percent go out and be great. What’s not to love about non-profit radio tony gets the best guests check this out from seth godin this’s the first revolution since tv nineteen fifty and henry ford nineteen twenty it’s the revolution of our lifetime here’s a smart, simple idea from craigslist founder craig newmark yeah insights, orn presentation or anything? People don’t really need the fancy stuff they need something which is simple and fast. When’s the best time to post on facebook facebook’s andrew noise nose at traffic is at an all time hyre on nine a m or eight pm so that’s when you should be posting your most meaningful post here’s aria finger ceo of do something dot or ge young people are not going to be involved in social change if it’s boring and they don’t see the impact of what they’re doing so you got to make it fun and applicable to these young people look so otherwise a fifteen and sixteen year old they have better things to dio they have xbox, they have tv, they have their cell phones. Me dar is the founder of idealist two or three years for foundation staff to sort of dane toe add an email address their card. It was like it was phone. This email thing is fired-up that’s why should i give it away? Charles best founded donors choose dot or ge somehow they’ve gotten in touch kind of off line as it were and and no two exchanges of brownies and visits and physical gift mark echo is the founder and ceo of eco enterprises. You may be wearing his hoodies and shirts. Tony talked to him. Yeah, you know, i just i’m a big believer that’s not what you make in life. It sze, you know, tell you make people feel this is public radio host majora carter. Innovation is in the power of understanding that you don’t just do it. You put money on a situation expected to hell. You put money in a situation and invested and expected to grow and savvy advice for success from eric sabiston. What separates those who achieve from those who do not is in direct proportion to one’s ability to ask others for help. The smartest experts and leading thinkers air on tony martignetti non-profit radio big non-profit ideas for the other ninety five percent.

Nonprofit Radio for March 18, 2016: Relationship Fundraising

Big Nonprofit Ideas for the Other 95%

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Adrian Sargeant: Relationship Fundraising

There’s a lot of conventional wisdom about how to be donor centric and build strong relationships. But what does social psychology research tell us about how to achieve these and what your donors expect from you at each relationship stage? Adrian Sargeant is a professor at Plymouth University and directs its Centre for Sustainable Philanthropy.

 

 


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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 pulmonary history. Oh, sight. Oh, cece, if i breathed in the idea that you missed today’s show relationship fund-raising there’s a lot of conventional wisdom about howto be donor-centric and build strong relationships. But what the social psychology research tell us about how to achieve these and what your donor’s expect from you at each of the relationships stages. Adrian sergeant is a professor at plymouth university on tony’s. Take two and dc is next week and i have a referral for you. Sponsored by pursuing full service fund-raising data driven and technology enabled, you’ll raise more money pursuant dot com and by crowdster online and mobile fund-raising software for non-profits now with apple pay crowdster dot com it’s my pleasure to welcome professor adrian sergeant to the show he’s, professor of fund-raising at plymouth university and director of the center for sustainable philanthropy. There he used to hold the hartsook chair in fund-raising at the lily family school of philanthropy at indiana university. Fact he’s calling today. From bloomington he’s, a prolific author, researcher and presenter. If you go to the center for sustainable philanthropy website, you will get bored scrolling down his list of books, papers, articles and presentations. Center, by the way, is c e n t r e we have ah so snooty english university there. Plymouth he’s at adrian sergeant and his last name is spelled like the military rank. Welcome, doctor. Professor. Agent sergeant. Well, thanks. Pleasure. Welcome from from bloomington, indiana. How is it there? It’s worth a lovely spring day here. And i’m looking at into blue skies in sometime. Which and it’s? Not not always the case in the u k either. No, certainly not. In my part of the uk, everything you hear about british rain and british weather is pretty much true of my region. I see. What reason? Where is plymouth? Ah, thomas is right down in the southwest tip of the country. On its claim to fame, i pose for your audience. Is that it’s where the pilgrim fathers set sail from years ago? The mayflower left from the steps of the barbeque in the area in the diplomas. Oh, excellent. Okay. That’s. Interesting. No. And then plymouth. Then we have plymouth rock on the us side, so yeah. So that was a very symmetric trip. I never knew that total symmetry ever visit. You could actually see the steps that the pilgrim fathers used teo to board the mayflower before they set bail on that. Well, that point. Very epic journey. Yeah, of course. I i guess they they called it plymouth rock teo to make it symmetric. So it’s. Not like it was named. It wasn’t named plymouth rock when they landed on it. I don’t want people to think that that’s what? I was assuming that it was named plymouth rock when they landed. I don’t believe it was ok. Very cool. Interesting. Thank you. All right. Relationship fund-raising adrian it’s. Okay, if i call you adrian, right? Yeah. Okay. I don’t get doctor. You know, you’re not calling on me for questions or anything. So doctor, a professor. Okay, adrian what’s, the current state of this i gather it’s not what it ought to be. No. Sadly, the quality of relationship fund-raising but not ugly in the states. But around the world is not in a particularly happy space right now. And the reason i say that is because now about quite a lot of data on the patent of dahna retention and loyalty that we’re able to generate and obviously the whole, the whole thrust of relationship fund-raising is that you want to build a longer term, mutually satisfying relationships and supported yes on all the evidence that the moment is that it’s going in entirely the opposite direction we lose, typically in the states, we lose around seventy percent of our supporters between the first and the second donation and then probably around two, thirty percent of them year on year thereafter. Well, you try running a business. Yeah, i’ve had other guests on, quote, that exact same statistic, and i don’t understand how this khun b because there is so much talk about donor-centric donor-centric ism, and we have to listen to our donors and pay attention to their needs and put them in the center. What? Why? Why is this not working there’s so much talk about it, why we’re not doing it? I think they’re pulling two two reasons for that one is that often when i talk about dahna lorts him attention in the sense. That kind of preaching to acquire a lot of fundraisers know what they should be doing or could be doing, but they don’t always necessarily get the stain level of investment from the board that they’re looking for on it could be oftentimes quite able to push that level of change through the second reason, i think buy-in wait might talk more about this, but i think one of the problems we have in fund-raising is that it’s one of the few professions, in fact, probably the only profession you’ve been join without actually meeting to know anything. Come on, good luck, you know, you’re going to see a dentist too haven’t studied or doctor that has studied or even employing a plumber who hasn’t studied it’s important, i think that fund-raising they’re exposed when they come into the profession to a body of knowledge. Then it’s agreed that this is what you need to know if you’re going to be a successful, competent fund-raising on that, then organizations would employ people who had demonstrably, you know, got that body of knowledge because we don’t have that right now because we don’t value it. Oftentimes people end up in fund-raising rolls where they’re really having to discover things that we already know for the first time yeah. Now, are we getting better? I mean, there are programs. There are degree programs and including at plymouth university and the ones i can think of in the us at new york university and columbia. I think fordham and those are only new york’s. You know, those ones? The ads that i get new york city, those only new york city. So there are more programs, are we? Are we starting to recognize the value of a professional pressure, professionally trained fund-raising force? I think for now that no, no, we’re not. Some of the some of the programs are burying quality. I mean, there are some good ones. Always see that there’s one come on by you and there’s, one of seminaries in minnesota. And, you know, i could go on, but the sweet spot for fund-raising education is where you gotta blend of delivery by practitioners and academics so that you get some of the emerging science of dona behavior that impacts on what people? Noah’s well, sadly, i think some programs are run entirely by practitioners. So you only get one half of the equation there on what you’ll get, obviously their, you know, their background in their experience, which obviously has a place but that’s not the same as being exposed to the modern research findings that example, on social psychology, we’re gonna talk about that. Could the incoming what they yeah, yeah, you know, you end up with more of the conventional wisdom. Yeah, we’ve got a you know, i’ve mentioned we’ve got a problem with attention right now. What i didn’t say is that actually getting worse. I’ve just completed a very large scale study in england of six million dahna records we’ve looked at people recruited way back in two thousand and compared them with people recruited in two thousand ten on their substantially less loyal now so no only we’ve got very leaky bucket, but that bucket is getting weaker by the day. Okay, uh that’s ah that’s pretty positive motivation and enthusiastic motivation. Let’s ah, let’s, go out for a break. Adrian and i are going to continue talking. Of course we’ve got what? What drives donorsearch multi. And how do you measure it? And the stages of the fund-raising relationship? Stay with us. You’re tuned to non-profit radio. Tony martignetti also hosts a podcast for the chronicle of philanthropy fund-raising fundamentals is a quick ten minute burst of fund-raising insights, published once a month. Tony’s guests are expert in crowdfunding, mobile giving event fund-raising direct mail and donor cultivation. Really, all the fund-raising issues that make you wonder, am i doing this right? Is there a better way there is? Find the fund-raising fundamentals archive it. Tony martignetti dot com that’s marketmesuite n e t t i remember there’s, a g before the end, thousands of listeners have subscribed on itunes. You can also learn maura, the chronicle website philanthropy dot com fund-raising fundamentals the better way. Welcome back to big non-profit ideas for the other ninety five percent, adrian let’s jump in and explore what what it is that we know we’ll drive the donor loyalty that we’re trying to reverse the trend of, well, the fact of ah, really quite similar to any relationship that somebody might have with an organization so there’s a lot of learning that we can take from the commercial world that we find it equally relevant. The non-profits place andi, my guess is that many of your listeners will have had the car service recently or they’ve stayed in a hotel or they used the service online that probably they’ve been asked at some point tell us what you think of the service has satisfied were you with the quality of that experience on these kind of satisfaction, that is, in a sense, kind of quite ubiquitous? I think the’s day on the re homeless ubiquitous is because there’s a huge link between her status side somebody with the court in service they receive on their level of loyalty on people who are very status by are six times more likely to come back and purchase again, on average than people who just satisfied so there’s um active behavioral, different on the extreme of the scale, right? So the goal needs to be for our organizations to get people to the point where they’re very satisfied, actually with the way that they’re treated as a donor. That’s the last one i make here is that the multiple in our world isn’t as big as it is in the trading context. Duitz and trading world, very satisfied equates to six times more likely to come back again in our world don’t say they’re very satisfied, but the cause your service provided by the fund-raising to you are twice as likely to be giving in years, and i think people who say they’re just satisfied. So it’s been a massive factor, but the multiple isn’t quite as big as it might be in other contexts, okay? Any any thoughts? Why? That is why i don’t how come we only get one third of the the likelihood of returning that compared to the corporate world? Well, i think there’s a range of other factors that player in our space that also have an impact on loyalty and retention satisfactions an important one on one of the things i like to do is focus unconference isn’t the season, then write in the satisfaction is this is a major driver of dahna loyalty, which in terms of which in turn, is a major driver of the value of fund-raising database. So how many people actually measure it then on, if you’re lucky in a room of two hundred people, you might get one hand god, and then you are people well out of those folks, you know, who’s actually remunerated how good they make their donors feel on dh you won’t find any hands that go with that point, so we don’t take that factor seriously enough. But then there are other things that creeping in our world, the trust in the organization of your listeners might be thinking got agents talking about satisfaction with a coarse service provided by the fund-raising team. Well, what about all that really great stuff we do with beneficiaries? You know, surely that’s gotta count for something incense of retention and loyalty writhe difference that we make it on dh that’s true, but for most donors, unless they’re major donors, the mechanism for that it’s trust if i’m a major donor and i’ve given you five million to put up a building in a sense, i don’t need to trust you because i can see the building up, right? But if i’ve given you fifty dollars to help starving child that i really have to trust that you say you do exactly what you’ve told me you’re going to do with that resource s o trust for the vast majority of our donors is a big driving factor in terms of lorts potential. Okay, okay. Um, and, you know, these sound very much like not only, you know, relationship factors in a commercial sense, but also in a personal sense, they are our friends and our parents, no loved ones. Yeah, a lot of these relationship variables are just as relevant toe all human relationships. I mean, originally this study of things like satisfaction, trust and commitment all came out of something called relationship marketing, and what that was trying to do is to take ideas from human relationships on apply in that case, teo relationships, that businesses have customers, and at the core of all the relationships that we have of these notions of satisfaction, commitment and trust. No. Anything you want to tease out about commitment. We spent little time with satisfaction. Trust anything more you want to say about commitment? Yeah. Commitment is one of the really big drivers of loyalty on beauty that comes out stronger than thin. The others i’ve mentioned on what that is is a really burning passion to see the mission of the organization achieved. And you can imagine that, you know, people who are committed to finding a cure for breast cancer, you know, tend to support charities that do that on dh for extended periods of time. But that really passion to see the mission achieved eyes one of the really big drivers of lorts in retention, andi. So the question, i suppose then, is well, i had you build commitment then and again, we know from research quite a few things help build commitment that one is at risk. So if you’re running a shelter for homeless folk and i’m a donut, your organization and i believe that by canceling my gift today, somebody somewhere is going to be without a bed tonight. I am a bunch more likely to continue to support that shelter. S o that element that i see a risk in canceling will help drive commitment. So too will a personal connection. You know, if my life had been touched by breast cancer because i had lost a loved one to it, you can imagine that i’d be pretty fired-up about finding a cure for that being committed to those sorts of organizations andan also it worthy of note, is some thing i called multiple engagements and there’s a micro on a macro level to that, the macro level is that people who are donors and campaigners and service users and volunteers, and and wait till you get and you get a whopping more loyalty. And in the micro level is every time you have a two way interaction where there’s a little bit of cognition that takes place, maybe the organization asking your question, what would you like to receive? What do you think about this? How many times do you want to hear from us here? Do you want to get news? Whatever it might be. Every time you have to weigh interaction with water, you get a little teeny tiny bit more loyalty. And, of course, in the digital space, it’s now by easy toe have those little, many interactions with people and it’s really worthwhile, because ultimately it drives behave excellent. Now, there’s research supporting all this, right? Yeah, absolutely. I’ve bean doing work in the non-profit space for the best part of twenty years now, andi, we’ve done in a large scale survey work with probably a couple hundred thousand donors here in the states now getting on for two million donors in europe, um, tracking the relationship between satisfaction, commitment, trust and then behaviors of interest like like who e-giving next year with assembly upgrade on even actually leaving a bequest to the organization? What about that that’s a significant how is that a significant factor? Well, one of the big drivers off, in fact, the single biggest driver i’d say really the likelihood that somebody will leave a big quest for nonprofit organization is how long they’ve been supporting it. Yes, on and typically find working with clients, i’ll say, you know, we’re gonna have a request program that is you forget all the complicated plan giving vehicles, but just right asking somebody to remember a charity with a gift in their will or a state document. Then the single to get indicators of willingness to do that is how long people have been giving onda anytime we were three years actually is a pretty good indicator that that person cares about you is committed to the cause and therefore will at least give some consideration to that request. So surprise, surprise, you know, commitment is a pretty big indication the likelihood of doing that, okay, yeah, i don’t know if you know that, but i know this, but i do plan to giving fund-raising consulting ah, and that’s where we’re always looking for the best potential bequest donors is who are the most committed, loyal donors, and i didn’t know that a ce feu is three years can be can be a positive factor, but i’m always looking for some organizations are easily, you know, decades older sometimes sometimes even one hundred years old couple of the university’s i’ve worked, so you know, if people have been giving twenty, thirty years or twenty five of the past thirty years, they’re ah, enormously good potential donor for ah for bequest or some of the other plan gives to yeah, yeah, i’d agree wholeheartedly with it and it’s. Amazing how very few organizations even bothered to ask for a request on if they do, how many organizations think that somehow people will be inspired by the mechanics of death and dying? Some of the communications we generate just thank you. Make a will and you may change your will. And then the mechanics of the plan giving vehicles well, actually, you want the company to give you you want to inspire them with a vision of what the future could look like, that people are inherently more positive about the future on so good, positive messages about what the world might look like that evoke a little bit of emotion are actually a lot more useful in that quest. Space non-technical brochures about you know how you die. I mean that’s. Just miserable. Okay, thank you for that little digression. But it’s it’s what? I spend my time doing when i’m not when i’m not done non-profit radio. Very interesting to going back to the little micro engagements you get. You get a little uptick you said of of ah commitment when with just these small engagement. Yeah. If you heywood follow my knife on dh, you would’ve. Measure let’s say satisfaction and commitment, and you sent out a little survey to a sample of your darkness, our guarantee. If you can’t that sample of people over time, you’ll find that they’re a little teeny tiny bit more loyal than the balance of the database on that administration of this little bit of cognition, you’ve got a communication from the red cross, let’s say, and you think, oh, yeah, that’s right? I got a relationship with the red cross. I’ll go back to them and all. Well, that’s kind of a relationship with the american cancer society all that’s, right? Every time you get that little bit of interaction, you get a little bit more loyalty questionnaire getting people to take other actions on your behalf that aren’t related to fund-raising getting them to participate in an event that you’re doing online are tuning in to a podcast or tell us what you think. All of those things are really smart in terms of loyalty, because every time we have that interaction punch up just a little bit how loyal these individuals are outstanding love this. Okay, um, we need to be able to measure dahna loyalty how how, ah, what are what are the metrics? Uh, well, one of the one of the big issues we’ve got in our sector right now is the metrics are, well, frankly wrong aunt to be even more blunt about it. I think a lot of our non-profit boards need to be taken out, inspector eyes that a bare bottom spanking or they keep their pants, they keep their pants up. Isn’t this america bare bottoms bank with a paddle? Or is this a bare handed? Yeah, i think it really depends on the degree of a degree of redness you want to achieve. Okay, yeah, i mean, why did i say that? Well, because oftentimes people who serve on non-profit boards are actually quite bright. Oftentimes they had very successful business careers and that’s one of the reasons that they’re there because they’re plugging in their advice as well. Andi it’s, almost as if they part their brain that side the boardroom before they go through and into the meeting. Because in the commercial space, they know very well the measure customer, lifetime value and they understand what that is, and i understand why it’s important, they understand to the merits of measuring the things that drive customer lifetime about so that’s, why you get satisfaction survey reason people measuring commitment and so on you walk her into the non-profit boardroom and suddenly somehow all of that knowledge and understanding they had get forgotten on the only metrics we’re interested in is how much raised with part year or month having me don’t do it attracts andi, you know, don’t start the metric that short term thinking doesn’t help you think about the lifetime value of your database and you, and that was fund-raising suboptimal what you end up with this fund-raising that its content to recruiting donors on then lose seventy percent of them between that first and the second donation, but that complete kind of focus on short term measures get people to the point where all they do is chase their short term measure. So we’re going to continue trying to find you don’t no, you don’t we’re going continually trying next to my spanish money, we get out of the spokes, actually, what we need to do is to take a step back and say, you know, affection, maybe we should be measuring the things that drive longer term or lifetime dahlia and beginning. To reward our fund-raising it’s with the quality of the relationships that they build. Ron avam, you know, the dollars and cents that they raised get today. Okay? And immediately you do that. You get a huge changing culture because suddenly what people are interested in doing is building relationships, not just having that sort of burning churning. Wait. You must have a lot of examples of what we should specifically be measuring in our fundraisers. Uh, well, i would. If it were me, i would be using some of the same things that the commercial world have been using for twenty years. So i would measure satisfaction, commitment on trust on dh. You know, there are measurements girl to doing that. It’s a little survey. You track how how people feel on dh if you do that, it’s. The margin of those measures that makes the difference. Remember, i talked earlier about the percentage of people who were very satisfied, very satisfied business, that’s the important thing latto it’s the extremes of those scales and changes in that that make the difference on the good news is that even small improvements in loyalty in the here and now translate. A whopping improvements in the lifetime value with fund-raising database. So if i can improve the level of retention by little can percent in the here and now, i can increase the last time value fund-raising database by over fifty percent. Why? Because they affect compounds overtime. So if you’ve got more donors left at the end of this year, you’re gonna have even more the following year and even more than you know, the year after that, you know, for many organizations that’s not the end of the story either because most organisations lose money on going to requisition just to go out and keep finding lots of donors to replace the ones we’ve lost. Of course, that he knew a lot of money on if you factor that into my equation, my little improvement in loyalty in the here and now of ten percent and improve the lifetime deliver fund-raising database for anything up to one hundred percent. You can make a huge just by having little improvements and lucy and hearing that all right, i wonder if weaken, drill down to ah mohr, micro level in terms of the measurement of the performance of our our fund-raising staff are there? Are there individual metrics? I mean, in terms of how, how they have moved donors from one stage to the other or, you know, in terms of the the actual performance of the fund raisers themselves or their metrics there? I think i think the answer to that question depends on the form of fund-raising that you’re looking at, okay, um, and so the metrics will be different depending on what it was dark, dark now dot response or someone that made you get andi, you make you give officers a remunerated too, for the amount of money that they raised, but they’re also remunerated for the amount of time they spend in front of clients remember proposals they made the number of recognition events there, kendall, all of those good things, but one of the things i think you know it can be shared a causal the forms of fund-raising is good. Do we make our donors feel today on dh measuring that that quality of the relationship and that does come back again? The satisfaction, commitment on trust in the dark spots space? I would also be saying, you know, we should be taking decisions about investment on the basis ofthe donor lifetime value, andi what that means in your complaining that issues that if we’re going to invest in an acquisition campaign, we’re no goingto assess that campaign is a success simply because we bought in two hundred, donors on one hundred donors because it may be that most people were recruited won’t come back and give again. We’ve gone with the other alternative campaign we could have run, you know, we only recruited in one hundred donors, but actually most of those people stayed giving for the next five years, so taking longer term decisions based on that lifetime value, i think, is really smart and even in small organizations that made behind a little difficult to do some of that math, maybe because they’re working on even like a simple excel database or something, they could still be looking at things like retention lee on beginning to shift the focus of the way in which the team is remunerated to the level of loyalty that engendered. Now, if you can also measure the things that drive multi that’s great, but if you can’t, then the starting point for me is at least to get a sense of the health of that program and the health of relationships that just by, you know, the numbers of people who were still actively engaged. The portal agent, i love the idea of measuring how donors feel of, um alright were going to come back. I need you to hang out for a couple minutes while i do a little business don’t go anywhere he drink just just dahna just keep listening. Um, i have to talk about pursuant. They are a midsize. Well, they had a mid size social service agency using their tool velocity and therefore gift officers in that organization not meeting their close rate goals. The director of development challenged them to close proposals in the velocity pending repose. Als pending proposals report within two weeks. So he took this report. You have a two week challenge issued by there. There. Ah, there, boss. The foreclosed twenty gifts from the report and raised over sixty six thousand dollars, which had been their average monthly preach challenge production. But they did it in two weeks. And s so. Not only did raise the same amount of money and half the time. One hundred percent. Rate of increase, but they also increased longer term performance using that that same report. So this is all a tool at pursuing dot com the tools called velocity and, you know, along with what adrian is talking about, measuring there don’t have to be these measures as well of, you know, how much did you actually raise? And, you know, how are we doing against all of our goals? And the velocity tool helps you measure that time against goal pursuing dot com crowdster they have a deal for non-profit radio listeners get thirty percent thirty days for free or fifty percent off, that means you try crowdster peer-to-peer fund-raising have them put together one of those sites for you, which are very easy to do, actually, and you try it completely free for a month or get fifty percent off, and that would mean pay for months. Get a month free pay for two months get two months added on for free. You can claim your deal, make your choice at crowdster dot com in the chat window, tell them you’re from non-profit radio and which deal you want or if you are like me and you like to talk and not chat on ah, chat window call joe he’s the ceo. Joe ferraro. He wants you to have his number. It’s two a one, three one six forty six. Double xero two oh one, three one, six, forty six double xero you can meet joe at ntcdinosaur provoc technology conference. The crowdster booth is number five forty four. Tell joe you’re from non-profit radio. I can’t make it any simpler now. Time for tony’s take two. Yes, that non-profit technology conference and tc is next week in san jose, california. Buy-in booths one thirty four and one thirty sixth, right at the main entrance to the exhibit hall. You cannot miss me, i’m there. I’ve got twenty nine interviews scheduled as of this morning, and i’m sure we’re gonna get more than thirty. There are about thirty five slots available so filled up, but not entirely my video and interview schedule for ntc is at tony martignetti dot com is my my that’s, a plural video and interview schedule are at tony martignetti dot com who writes this crappy copy? I don’t know this is why i need an intern, so i have someone to blame for this for this, i have an easy e newsletter to recommend for you it is by jonathan lewis it’s called making social entrepreneurship happened. It’s social change stuff from the book that he’s in the process of writing, he has been a non-profit radio guest. He runs the opportunity collaboration conference that i’ve been to in mexico, and he teaches social entrepreneurship at new york university. He’s, one of the adjunct professors that adrian was just saying i can add value to a program but not standing alone. He’s a very good, very good, smart guy with good ideas you can sign up for jonathan’s newsletter at cafe impact dot com and that is tony’s take two i gotta send live listener love i want to shout you out by city and state, but sam here is having board back end problems, something more talk about spanking or in the back end again. Um, we can’t see you by city and state, so i know that you’re out there. New york, new york st louis, missouri, boston, massachusetts, new bern, north carolina, california. I know there’s somebody in california listening, probably san francisco, but i know there’s, a california listener. Those are the live lister love people, the loyal, live look that loyal, live listener loved that i know are out there love, of course, toe all the current live listeners and going abroad. I know there are listeners right now in tokyo monisha while i know we have listeners in china and taiwan because we always do ni hao and i know that south korea is checking in because it does week after week. Anya haserot now, in case we are in in mexico, we’ve had listeners in mexico with no star days, the czech republic occasionally does check in dobre den, germany, we can’t get germany guten tag, okay, i think that covers the most frequent live listeners. Sorry, we can’t do you no city and state as usual, we will get this back end problem slapped and slapped ah and fixed by next week. I gotta send podcast pleasantries never forget the podcast listeners, whatever it is you’re doing painting your house, washing your dishes at whatever time you’re listening. Whatever activity whatever device over ten thousand of you, so grateful pleasantries to the many podcast listeners and affiliate affections to our multiple multiple am and fm. Stations throughout the country. Listeners from the finger lakes in new york. Two salome, oregon and lots of states in between affiliate affections to our many affiliate listeners. Ok, adrian sergeant, thank you so much for for holding on. I have tio after acknowledge all of all our listeners of whatever ilk in variety they come, they all get a special shout out. So thank you for your for your patients. Um, we have ah, i love these measures, but we gotta move on. Let’s, let’s talk about the different stages you’ve identified stages of the donor relationship and there were different strategies appropriate for each first. Just please just lay out the but what the the stages are, and then we’ll come back and revisit. Well, there’s a unawareness say’s where people become aware of the organization for the first time on exploration plays people begin to kind of extraordinary that relationship might might mean for them on then you’re kind of deeper into the relationship where there begins to be an element of commitment. And then eventually, over time, you know, some relationships will come to an end. Of course not. Everybody’s going to continue giving for forever. But what we do know is how you treat donorsearch different points in that journey can make a very big difference. Unsurprisingly, how loyal durney yes, and especially knowing that these micro engagements make a difference in loyalty, i going back to that because i admire it so much, i love it. Um, okay, we have a few minutes we can spend, you know, on each of the stages, we’ll help us with awareness what’s going on and what should we be doing to give our donors what they’re seeking at that stage? Well, at this point, i suppose we’re talking about people who haven’t given to the organization before, so we’re talking about individuals that you’re trying to solicit, too get them to make a contribution for the first time on dh one of things i care about fund-raising in general is that some of what we generate is is really plan, and if you want to get people to give and you want them to give reasonable sums of money, has to make you feel something logic, leap to conclusions, emotion leads the action on dh fund-raising don’t want conclusions provoc greatest buy-in large one, people take action. Yes. And you’ve gotta get latto feel something if you’re going to stimulate them to give to your organization on dh. Too many particular kind of somebody’s letters in this country, you know, a bland three or four paragraphs in-kind all of my fire. Somebody was on the cusp of making a gift. I could, you know, that’s not gonna happen. You’ve gotta generate materials, the talon emotional story and telling to stimulate that all important first. Okay. Okay. Emotion. It’s. Very intuitive. But we still see a lot of bad practice out there. Yeah, way. Still see a lot of those sort of very bland one page letters signed by the chief executive. Maybe even the picture of the chief executive. When actually there’s a lot to say around the nature of the cause. That could be compelling. I give you one example of a pact. That’s doing the reins again has been around for years, but amnesty international, they sense that a flat pain catch a piece of card with a picture of somebody whose eyes have been gouged. Eight on the strap line effectively says what you hold in your hand is an instrument of torture when you read to your horror that actually why this person’s eyes against that is because some somebody somewhere in the world used the pen on this youngster teo teo, get guy just either and it’s horrible and you knew when you read it and you’re outraged. And of course the pen can also be a mechanism for doing something about it on immediately i get youto feel the anger or feel the compassion for that child i talked you into the corps was you understand why what i do is important at that point. And are you more likely to respond and make a gift? Of course on you know, there are lots of other examples we could talk about that solution is absolutely critical to getting people to get for the first time. That’s a brilliant one. Well, well done. The amnesty, brother, i give you one other from kidney research in the uk there was a cent a pack. I told the story of a little girl. Uh, who has kidney disease on very likely won’t won’t live for many years on the letter that was contained with the picture of this little girl was actually a letter. From her kidney, two little katie apologizing for the fact that, uh, you know, the kidney is not able to do its job and rending little story, but, you know, when you read it, you have given a really strong connection to that little girl, and you feel the heartbreak that her parents must be going through, and immediately you do that if you’ve got kids yourself, you know, you get that lump in your throat when you think, well, goodness, you know, i have to do something about that because that horrible i don’t want the little girls like katie not be hurt. I may be able to have the operation the care they need. My okay. Ah, very touching. Let’s go to aa exploration what’s happening there? Well, at that point in the relationship that they’re kind of getting to know you stage that was taking place. Andi, i know now that there are a number of chances playing very creatively with three d communications. S o you see people less in the us, but in other parts of the world out on shopping malls and high streets with three d headset so that people can experience what? It’s like to be in a school in botswana what it’s like to be in a hospital in northern nigeria or wherever it might be in the world. So you can sort of transport people away for a few moments to be able to see the work that’s being done on the ground. And i think those things are quite powerful here in st pete’s one international aid organization that does that very powerful lee was trains, and it’ll take a trailer to a community, then you can go inside that trailer and you can walk around a school in the developing world, and you can see the kind of experiences that those kids for having so thinking in a very creative way about taking people inside the cause i think is really important, you don’t necessarily need to involve the latest technology. They certainly video pictures that take you into that world, i think, is very important on the other thing i would say at this point is that you might begin to creep some choice in to the kind of relationship that you’re having with individuals i used to when i was teaching this twenty years ago, i’d say, well, it’s, awful people choice from day one. So you you allow people to choose whether they want a hardcopy newsletter. Oh, our digital newsletter or no newsletter, but just appeals or whatever since realized that it’s smarter to wait just a little bit until people get into the relationship so that they could take smarter decisions about actually what they want. Because if you ask me from day one, adrian, do you want a newsletter, then? Adrian is almost certainly going to say no, right? Because newsletters sound boring, and i’m probably not gonna want that, but if you wait, you know, for five months into the relationship, i’ve read your newsletter and actually i realized that this is really quite moving or, you know, the information that there is compelling, and i’m interested, then i’m all like, so no, actually, i’ll continue to receive that. So giving people a little bit of choice of the communications is a smart thing to do in relationship fund-raising logo, but i would begin to creep that in as the relationship begins to develop over time and i’d allow people toe, you know, identify the times of things they want in the frequency. Okay, we’re going to go out for a break. I have to mention then that so the people who attended your early programs, i did not get the they got screwed. It better be better to come to a later adrian sergeant presentation or webinar. If you were doing webinars back then probably not know. Twenty years ago, there was no, there was no web, but but you get checked the guy out now because he’s learned from his own his own research. All right, probably by the time you are exactly what i’m talking, yes, that’ll be brilliant, okay, there’s going to be, oh, it’s gonna be a nursing home. It’s going to get great, great probono advice from you, okay, let’s, go out for a break. Adri and i will talk about the next stage commitment, and then we also got to talk about next steps for you and for adrian’s research. Stay with us. Like what you’re hearing a non-profit radio tony’s got more on youtube, you’ll find clips from stand up comedy tv spots and exclusive interviews catch guests like seth gordon, craig newmark, the founder of craigslist marquis of eco enterprises, charles best from donors choose dot org’s aria finger do something that worked and they only levine from new york universities heimans center on philanthropy, tony tweets to he finds the best content from the most knowledgeable, interesting people in and around non-profits to share on his stream. If you have valuable info, he wants to re tweet you during the show. You can join the conversation on twitter using hashtag non-profit radio twitter is an easy way to reach tony he’s at tony martignetti narasimhan t i g e n e t t i remember there’s a g before the end he hosts a podcast for the chronicle of philanthropy fund-raising fundamentals is a short monthly show devoted to getting over your fund-raising hartals just like non-profit radio, toni talks to leading thinkers, experts and cool people with great ideas. As one fan said, tony picks their brains and i don’t have to leave my office fund-raising fundamentals was recently dubbed the most helpful non-profit podcast you have ever heard, you can also join the conversation on facebook, where you can ask questions before or after the show. The guests were there, too. Get insider show alerts by email, tony tells you who’s on each week and always includes link so that you can contact guests directly. To sign up, visit the facebook page for tony martignetti dot com. I’m chuck longfield of blackbaud. And you’re listening to tony martignetti non-profit radio. Big non-profit ideas for the other ninety five percent. Oppcoll chuck longfield of blackbaud will be on the show next week, a little more about that coming up later on um, i won’t let you know that you can get this research at pursuant dot com slash relationship fund-raising pursuing dot com slash relationship fund-raising pursuing is one of the funders of this research, and thankfully through their sponsorship, i met adrian, and we’re getting this enormously wonderful value on today’s show, so thank you pursuing thank you, adrian. Uh, welcome pleasure, all right, let’s go to aa now, we just have, like, five or six minutes left, so we need to be a little efficient without time. The next stage commitment what’s what’s happening there? Well, in commitment you’re really beginning then, teo buildup, that strong relationship bond with a supporter of one of the things i would be doing much earlier on at the point of acquisition, actually to gather information about the sorts of things that the individual is interested in if you’ve got a non-profit that has four or five different kinds of program or things that are going on, i’d be asking them early on in the relationship which of those things they’re particularly interested. In because if i do nothing else. But i’m going to make sure that when i’ve got something going on in one of those spaces that they’re interested in, that they know about it and have the opportunity to report it, they’re being respectful of people’s interests. I think is a particularly kind of key thing in building that commitment, okay? And that on but comes back to some of what you were saying about giving people a choice. Yeah, if you understand why people are supporting the organization that you know that that’s a powerful thing, you can then use to shake the communication going. Okay, by the way, i created a false sense of urgency, but not deliberately. When i said five or six minutes, i was alone. We have more like nine minutes left, so don’t you got an extra three minutes, so take a nap, and, uh, and then we’ll pick up after a three minute nap. No. What else we got? You can laugh openly, so i should hope you please way need somebody to be laughing thinking that my students would probably appreciate that. Thank you. Pass that on to them, but do it at the end of the class. Duvette the very end of the class. Um, yeah, okay, um, i mean, any more, you’re not good if i pick up on on the notion of commitment, i think one of the other things that the people possibly don’t realize and then came through from from our report is the the value that don’t get from the relationship shifts. A bit of the relationship deepens. So initially, when you’ve got that really powerful, emotional, packed communication that you’re not going to use, people are really interested in the impact on the beneficiary write all about did you do what you said you were going to do and have the impact on that child’s life? Well, as the relationship deepens, the donor becomes at least as much concerned about water impact on the child. I mean, from my sense of who i am, ana, i think you know what we’re talking about them is something psychologists. Call identity and i think that’s going to be the next big thing in fund-raising because it’s a little different from understanding the motives that people have for supporting you, you know, the motives for supporting little katie and her kidney operation, for example, identity is a bit different instead of what motivated used to support the organization that stays you’re asking, what are people saying about themselves when they give? So what kind of person are they saying they are when they support my non-profit adrian york, let me understand that we can begin to shape our communication to make them feel good about being that kind of person. Gen shang, your colleague at the center for sustainable philanthropy, cnt ari was on was on non-profit radio talking about something that this makes me think of she had research from public radio when people would call in to public radio to make a gift, they were greeted with something along the lines of thank you for being a kind supporter or a loyal supporter or a generous supporter, and she had different adjectives and tested different adjectives against outcomes and eyes, particularly among women. The right adjectives would increase. The the women’s giving through the through these phone calls does that sound familiar to you? Yeah, absolutely on what you’re talking about there, of course, is one kind of identity you’re talking about moral identity. Okay, so, you know, a lot of giving might be because i’m saying adrian is a moral person. I might also be saying, i’m a father, i’m a parent, i’m a cancer survivor, i’m a patriot, i’m a liberal i’ma environmentalist, i’ma, i’ma, i’ma on dh when you understand the identity that’s being articulated durney you make people feel good about that, right? Because if they’re going to give when they’re that kind of person lets lets tell him it’s good to be that kind of person and give him the kind of content that really reinforces that i don’t see it makes him feel good remember we said earlier in this conversation, i think you know, one of the things we need to do moving forward if toe worry about hitting the need of our beneficiary, so sure, but we could be at least this concerned with how good we made our donors feel today on one of the keys to unlocking that. Is to understand what they’re saying about themselves when they give tow organization and what that report of us ruling means to the sense of who they are. And i was saying that the relationship deepens people away, so what that really means for them and who they are on dh, we start to be looking for relationships over time to meet some of our hyre orr durney and by that i mean, the connectedness, personal growth, self fulfillment, yes, but what is my support my five years support of your non-profit organization say about my personal growth and how connected i am with people that are important to me and where i am in terms of myself fulfill it, andi, if we start to think about right that there are longer term supporters are maybe we could help them. I can make some of those reflections on feeling better about their support of our organization because actually, when we communicate across more than any other sex er we should really be concerned with maximizing how good we can make our supporters feel ok, adrian, i i have to stop our our substance because we’ve got to move to next. Steps, and we just have a couple of minutes left, and i want to get to both parts of this. So what can a non-profit do with this wealth of information? Well, if you visit, if they visit the pursuant website, there’ll be other download a copy ofthe there really two key volumes to the research? One is lessons from relationship marketing one is less in some social psychology, andi, they could trial some of those ideas for themselves and their fund-raising so that’s the most obvious thing that might be able to do at the end of the call go to the website, haven’t reports and see if there’s anything there that piques their interest try okay. And again, that it’s pursuing dot com slash relationship fund-raising that’s where you’ll find the four volumes. But adrian, you’re recommending the first two as being most valuable sounds like that, but they’ve suddenly covered most of material we talked about today, okay? And there’s a lot of other ideas from social psychology on the other thing that’s so might like to do if they’re in an organization of of a reasonable size, we’re planning on doing a serious of field experiments. Over the next two years. Yes, well worked with a number of non-profit partners, andi blitz there don’t know. Find it too. One half would continue to get the communications that they get. Now the other half would get communications. That being tweaked in some way to help build up foster. That dahna relations. Okay, very quickly. What type of organization are you looking for? We’re looking for organizations that has, um, groups have done those that are above six hundred people. So we’re not looking for organizations that are necessarily massive, but we’re looking for organizations that have a reasonable number of donors in each of the segments they want to study. Time will be willing to work with us bearing the cost of doing those experiments. Okay, we’ll get the impact of that relationship approach on money raised, but also on how good people feel. Okay? Oh, excellent. Getting to the feelings what’s your email address. If people would like to submit their organization or talk to you more about being on in the research. It’s adrian dot, sergeant a d r i n dot es a rg e a n t at plymouth a y m o u t h dahna a si dot uk. Excellent. Adrien, we have to leave it there. Thank you so much, so much valuable information. Thank you. Cheers next week. Lead and matching gif ts with another professor, john list from the university of chicago and corporate. Imagine gifts that’s with chuck longfield, chief scientist at blackbaud. If you missed any part of today’s show, i implore you, find it on tony martignetti dot com. Where in the world else would you go? I just don’t know about that. Responsive by pursuant online tools for small and midsize non-profits data driven and technology enabled pursuant dot com and by crowdster online and mobile fund-raising software for non-profits now with apple pay crowdster dot com, our creative producer is clara miree off sam lever, which is the line producer. Gavin doll is our am and fm outreach director. Shows social media is by susan chavez, and our music is by scott stein. Thank you for that, scotty. Be with me next week for non-profit radio. Big non-profit ideas for the other ninety five percent. Go out and be great. What’s not to love about non-profit radio tony gets the best guests check this out from seth godin this’s the first revolution since tv nineteen fifty and henry ford nineteen twenty it’s the revolution of our lifetime here’s a smart, simple idea from craigslist founder craig newmark yeah insights, orn presentation or anything? People don’t really need the fancy stuff they need something which is simple and fast. When’s the best time to post on facebook facebook’s andrew noise nose at traffic is at an all time hyre on nine a m or eight pm so that’s, when you should be posting your most meaningful post here’s aria finger ceo of do something dot or ge young people are not going to be involved in social change if it’s boring and they don’t see the impact of what they’re doing. So you got to make it fun and applicable to these young people look so otherwise a fifteen and sixteen year old they have better things to do if they have xbox, they have tv, they have their cell phones. Me dar is the founder of idealist took two or three years for foundation staff, sort of dane toe add an email address card, it was like it was phone. This email thing is fired-up that’s why should i give it away? Charles best founded donors choose dot or ge somehow they’ve gotten in touch kind of off line as it were on dh and no two exchanges of brownies and visits and physical gift. Mark echo is the founder and ceo of eco enterprises. You may be wearing his hoodies and shirts. Tony, talk to him. Yeah, you know, i just i’m a big believer that’s not what you make in life. It sze, you know, tell you make people feel this is public radio host majora carter. Innovation is in the power of understanding that you don’t just do it. You put money on a situation expected to hell. You put money in a situation and invested and expect it to grow and savvy advice for success from eric sabiston. What separates those who achieve from those who do not is in direct proportion to one’s ability to ask others for help. The smartest experts and leading thinkers air on tony martignetti non-profit radio big non-profit ideas for the other ninety five percent.

Thank You For Helping A Listener

 

Image courtesy of Iain Farrell, Creative Commons license
Image courtesy of Iain Farrell, Creative Commons license

Nonprofit Radio listener Matt asked me what to do after a direct mail mistake. I blogged his question and our community stepped up in grand fashion to help him.

THANK YOU!

His office sent thousands of appeal letters misstating previous gift amounts. He wondered what to do and these generous pros stepped up to give smart advice:

Ruthellen Rubin
Kris Gibson
Richard Freedlund
Pamela Grow
Rick J. Blount

THANKS TO EACH OF YOU!

You’re proof that our community can come together quickly and generously to help someone in need. I’ve always felt the nonprofit community’s energy and commitment to the greater good–and each other.

Places like #fundchat and Joanne Fritz’s about.com column stand out as great examples.

So what was our advice for Matt?

Send a quick, sincere apology letter–signed by a senior person–stressing a commitment to accuracy and pledging to take steps to prevent a similar mistake.

I agree. Openness, transparency, honesty and contrition are most respected when you’ve made a mistake. They’re never easy but they’re always best.

Have you got a question for our community? I’ll blog it and ask it on Nonprofit Radio.

What’s on your mind?