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Nonprofit Radio for May 13, 2024: Experiential Fundraising

 

Brittan StockertExperiential Fundraising

Let’s take lessons from the experience economy to create meaningful, memorable experiences for your donors. Brittan Stockert, from Donorbox, walks us through her thinking on events, membership programs, challenges, sponsorships, and more.

 

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Welcome to Tony Martignetti nonprofit Radio. Big nonprofit ideas for the other 95%. I’m your aptly named host and the pod father of your favorite Hebdomadal podcast. This is show number 690. That means we are 10 weeks to our 7/100 show and 14th anniversary as a podcast. Cool. Oh, I’m glad you’re with us. I’d be hit with whipple disease if you fed me the idea that you missed this week’s show. Here’s our associate producer, Kate with what’s coming? Hey, Tony, this week we have experiential fundraising. Let’s take lessons from the experienced economy to create meaningful memorable experiences for your donors. Britain Stockert from donor box, walks us through her thinking on events, membership programs, challenges, sponsorships and more on Tonys. Take two sad neediness were sponsored by virtuous, virtuous, gives you the nonprofit CRM fundraising volunteer and the marketing tools. You need to create more responsive donor experiences and grow, giving, virtuous.org and by donor box, outdated donation forms blocking your supporters, generosity, donor box, fast, flexible and friendly fundraising forms for your nonprofit donor. Box.org. Gosh, I love that alliteration. Here is experiential fundraising. I’m with Britain Stockert. Britain is the fundraiser strategist at Donor box. She has over 15 years experience in organizational development, fundraising and program development spanning nonprofits, social enterprises and NGO S. You’ll find Britain on linkedin and the company is at donor box.org Britain. Welcome to nonprofit radio. Hey, thanks so much, Tony. Very great to be here. Oh, my pleasure to have you. Experiential fundraising. Let’s jump in. What, what is this experiential fundraising thing? Yes, let’s do it. Right. Um I’m gonna throw out the bad news first. The doom and gloom. That’s how I roll. We’re, we’re no strangers to fundraisers, right? Um We know the data out there charitable giving, right? It’s hit a four decade low giving. Tuesday saw 10% drop. Donor trust is kind of on the decline. And, you know, in February, the chronicle of philanthropy talked about this crisis, right? A lot of nonprofit executives are jumping shift from the sector when demand is extremely high and they’re trying to find better work life balance, um, and consulting roles. So we have all of these kind of macro level crises, right? And in the midst of everything. Um, we also know, you know, we were hoping during the pandemic that we would take some of those tidbits of slowing down and baking bread and being more intentional and everything we’re doing. But we’re not seeing that at all. Right. And we’re seeing this in terms of fundraising, donors are being pulled from every which way from different nonprofits. And that’s kind of where we’re at. We’re, we’re witnessing a shift Tony um in terms of how we fundraise. And I know you’ve been in plan giving, Tony, we’ve relied so hard on all of these very usual fundraising tactics, right? You’re in giving campaign, all of these in person events. And we need to step back, we need to really be asking like, are these kind of one time fragmented tactics we’re using, are they really engaging our donors? Are we capturing their attention? And so that’s kind of where experiential fundraising comes into play. Many fundraisers know it as relation, relational fundraising, completely, not a new concept, right? We’ve been doing relationship building for decades, but in kind of this hustle of this fast paced paced moving society, we’ve completely lost sight of slowing down and really building forging those deeper connections with our donors. And so it’s all about kind of just re embracing this mindset of relationship building, engaging the five senses of our donors and setting aside aside these usual fundraising tactics that we do to be more intentional and, and how we build those relationships. So you’re looking for, you know, meaningful memorable experiences and not necessarily around events. Right. Right. It’s, it’s all of the things that, you know, we get so caught up in the scramble of sending out those mass email blasts, right? Or those generic appeals or the annual galas and live auctions. It’s really kind of shifting to those multiple touch points that happen all of the in between and these are in between things about um in getting past barriers and that, that might be, that might look very different to different nonprofits. It might be a community uh focused group, it might be a neighborhood block party. Um But it’s all of these multiple touch points that really kind of engage those five senses of our, of our supporters and really get them to buy into what we do. OK. So how do we create these uh memorable, you know, remarkable meaningful experiences? I know the uh on, on your blog, there are seven different categories or events, competitions, et cetera. Do you wanna talk through those? Well, let’s for the sake of time. Tony, let’s keep, let’s reduce it to three things, right? And again, these aren’t rocket science or whatever, but they’re built on three principles. One of those is a shared journey, right? So again, I’m talking about being intentional and thoughtful traditional fundraising. We send out a generic appeal letter. It’s not personalized. We’re just thankful, we got it out, right? We got it out on time. We did it, what a shared journey looks like is, you know, instead of an in person event or a gala, it might be an event um where we segment it, we, we look at our data and we look at our supporters within our specific neighborhood and we create a segment where they’re all providing feedback in terms of the programs that we do. Um It’s, it’s inclusive, it’s very community centric. So it really shifts from sending out mass emails that are not personalized to individual donors and moving to these creative really informal events that happen regularly where we’re creating space where our supporters are, our supporters, not just include donors, right? It’s very inclusive. It’s including our bene bene beneficiaries, it’s including our volunteers, but it’s creating a space where they’re able to provide some sort of buy in, in terms of just feedback, in terms of all the programs of what we’re doing, shared journey. That’s one principle. The second part of it is really getting creative with the types of events that we host, right? Um A lot of our annual fundraiser events, think about the barriers that we create from the get go, right? Um Our venues may not be accessible to all the the pricing, the the different tiers of registration to sign up to these galas and auctions are probably out of touch for a lot of people. I live in the Pacific Northwest. People don’t really like to, you know, we’re not really big on the black t uh black tie attire. So really shifting from those um types of events that create barrier barriers upfront to a digital event and that what that might look like. I can give you one example, one of our customers um called Cornwall Man down in the UK. Instead of devoting so much money and overhead into a gla an auction, they, they really tapped into donor boxes, peer to peer feature. And they created kind of a competition where they let go of the guard rails of their marketing of their brand. And they let people set up these fundraising pages and kind of fundraise in meaningful ways that really connected with them. So they created, they created a competition exactly, basically just a virtual competition. Um They include the challenges um prizes and, you know, a very small pool of about 216 fundraisers raised over 100 and 50,000 all through this kind of Gamification feature um per se. Now, this is going to vary, you know, by organizational culture too. I mean, I, I’m the first person who to say that events are often overly relied on, right. On the other hand, there are organizations where the, the the people expect the annual, you know, whatever golf outing gala, you know. Uh and I, I under I again, I, I, you know, I appreciate that events are burdensome in terms of time. And I think a lot of AAA lot of that money could or all of it could be captured in through individual fundraising if we were having, you know, like meaningful conversations with donors and, and elevating their giving sort of an investment level conversations. Um But, you know, but by, but by the same token, you know, we can’t just eliminate all the, eliminate all the events because there are people who count on those events in no way. Right? And I, I hear you, Tony and no way am I saying to do away with these in person events? We really do rely on them, right? We, we all know, so there’s nothing like that in person, the face to face um touch, I think in terms of the the format of these events, what I’m saying is let’s get creative and how we engage the senses of our, of our donors. Um Again, thinking about breaking free of those barriers and that might, that might have to do with rethinking the type of venue, rethinking the type of attire um the pricing that’s offered you, you probably know this as well as I incorporating technologies. We saw this with charity Water, right? Not every nonprofit is going to have a massive Hollywood budget. But yeah, yeah, they’re, they’re an outlier. They, they’re enormous, right? But we do have a customer um refugee hope partners in terms of kind of reimagining an in person event. They, they kind of did away with the Gallant live auction. They hosted a three hour community neighborhood event. Um it was family friendly um right after work hours and how they kind of really brought to life, the mission of, of who they serve, which are refugee and immigrant families. They tapped into local chefs who kind of they, each, all of these chefs represented different communities that the nonprofit served and through the ingredients in the, in the in the meals that were served, they kind of used those ingredients to kind of tell the story of the mission. And so I guess that’s what I’m just trying to say is yes, we still need to do these in person events, right? Um But oftentimes we know this with galas and auctions automatically from the get go. There are those barriers before you register and then even thinking about it, Tony, when you show up to these galas, you know, you have one or two people on stage right behind the podium, the proximity, thinking about the proximity. And so just thinking about ways that we can really create these immersive experiences and tapping in a technology to kind of get created creative in how we connect with our supporters. So sort of more experiential maybe and less passive for the for the folks who come, who come to an event, precisely less, less passive observer spectator, more thinking about ways where the supporter is not just hearing about your mission, right? They’re really living and feel it and feeling it and these could be large or small events too. I mean, you, you we might be able to do something with just 25 or 30 people, you know, and not again, not to replace AAA larger event but makes it easier to experience. Maybe you know what’s going on in your office, if you have something that you can show something that people can touch, uh, in a, in a smaller, in a smaller group. Well, and it’s, it’s also thinking beyond the annual fundraiser. Right. I mean, let’s be real with the, with the annual fundraiser, with even a year end direct mail campaign. Think about it. Um, they’re very surface level, right? Do they? What’s the follow up that happens after often times from my personal opinion, it’s, it’s very limited. And so thinking through these other experiences that are baked into your fundraising strategy, again, that might be a um community led focus group where you’re inviting your donors and the people you serve to kind of, they may be, they may be compensated. They’re giving really great feedback on the design of your programs. It might be behind the scenes tours of, let’s say you have a food bank. Um But it’s all those things that need to happen in the in between from the year end appeal that you send out to that annual fundraiser. And that’s what I’m trying to say is we really need to be, we need to slow down. And if you think about it with your, with our loved ones, right, with our family and our friends, it’s not a one and done type of thing. Obviously, it needs to happen regularly and it needs to be really organic and oftentimes really informal, it’s time for a break. Virtuous is a software company committed to helping nonprofits grow generosity, virtuous beliefs that generosity has the power to create profound change in the world and in the heart of the giver, it’s their mission to move the needle on global generosity by helping nonprofits better connect with and inspire their givers. Responsive. Fundraising puts the donor at the center of fundraising and grows giving through personalized donor journeys that responds to the needs of each individual virtue is the only responsive nonprofit CRM designed to help you build deeper relationships with every donor at scale. Virtuous, gives you the nonprofit CRM fundraising, volunteer marketing and automation tools. You need to create responsive experiences that build trust and grow impact virtuous.org. Now back to experiential fundraising with Britain Stockert, you have advice to around membership programs, how they can be more engaging. Why don’t you explain some of your thinking there? Yeah, membership programs are, you know, we have a customer in San Francisco and they have a museum um focused on media censorship and they have a beautiful high quality print publication. And so they basically set up just a membership program with different uh membership tier levels. Basically, if donors wanna sign up, uh depending on a certain price point, it can be $50 donation to 200 per month, depending on that membership tier. They, they get to feel like they, they’re exclusive members. They, they have access to very exclusive types of perks and benefits. Um That is a great way to generate sustainable income. Um I would say it’s very similar to monthly giving only, only that it is a membership program is really set up for nonprofits that, that have the capacity to deliver very specific and exclusive benefits to this group of people. Like you really need whatever you’re promising, right? You need to make sure you have the capacity to deliver. But I would say it is a very popular tool with a lot of our customers um as a way to create that sustainable income membership, membership. So it, it’s sort of, you know, it sounds like um you know, a lot of personalization, uh connection, connection to the mission, connection to your values, maybe even uh you know, thinking through something that’s again, memorable, experiential, you know, personalized. Um Let’s take a little digression. You know, you, you uh you have some thinking about what, what we’re all experiencing outside nonprofits. Now, the the experience economy, which is where your, your thinking kind of comes from. Let’s take a little digression before we talk about more, more strategies for doing this in our nonprofit. What, what uh we, we’re all experiencing it, the experience economy help us recognize what we’re, what we’re living through. Yeah, I mean, I can speak to you as a full time mother. I, I was hoping from the pandemic that we would slow down a little bit slow down in terms of in all of our interactions that we have, whether it’s at work or personal. We’re very thoughtful. We’re, we’re just intentional on whatever we do. We’re not seeing that it personally. And I hear this from a lot of nonprofits that I coach, they’re being pulled every which way and, and you know, I mentioned those kind of macro level challenges that our sector faces. But thinking about it from a donor perspective, we know demand for social services is at its highest, right? We also know that nonprofit executives that are needed in our sector are jumping ship to more consulting work. Donors at the same time are their attention, right? We have, we have shorter attention spans. Donors are being pulled every which way by I wouldn’t call them competing but many nonprofits that are really in need of their attention. And so in my, in how I’m feeling the world is not slowing down, it’s it’s a very fast paced world and we really need to be strategic and how we capture donors attention, how we’re more discerning as nonprofits in our interactions and thinking about how we’re engaging all of their senses because like I said, our attention, I think I heard it one time, Tony, we have the attention of a of a goldfish which is like 30 seconds. So. Right. Yeah, but uh but I’m trying to go bigger picture the the experience economy. What is that? What is the experience economy that we’re all experiencing. We, you know, personally the experience economy, we’re, we’re feeling fatigued, we’re numb. We also live in a world of filters and a lot of noise. And so I, I think about it watching a Netflix movie if I don’t have my glasses and I’m, and I’m watching the movie. It’s very monochromatic, it’s very flat. I need to be fully engaged. I need to have surround sound. I need to have all of these other elements that are tapping into my five senses to wake up and to pay attention. And so I think when we’re talking about experience, economy, we need to be smarter in how we’re engaging with people because people are fatigued, we’re tired, we’re very distracted and we have more external forces really vying for our attention. OK, cool. Thank you. Um Sponsorships, you have some thinking around sponsorships, how these can be engaging, share, share some of your, your thoughts there, corporate sponsorships, you know, I live in Seattle. We are home to big tech and engineering and you know, if you are a start up or emerging nonprofit, really taking a look at uh where you’re located. Most local businesses, most larger companies have great corporate social responsibility programs, um particularly new companies that have just launched a CS R program. They’re looking for nonprofits to partner with um to really support and to really kind of position themselves from other companies in their communities. You know, here in Seattle Microsoft has a month in October of giving and many nonprofits host on site volunteer events. And we partner with a lot of Microsoft teams. And for every hour Microsoft um donates not just $25 per their employee, but for every hour that their employee volunteers. And so a great way to build those event sponsorships is starting looking at your local community and looking at the companies that are there, getting out there, speaking to their teams and doing some sort of on site project to kind of loop them into your pipeline. Ok. Well, we, most of us don’t have the value of the benefit of a Microsoft, you know, in our, in our, in our neighborhood. So, you know, smaller, smaller local companies, uh businesses, right? Might be a dry cleaner. Yeah, it, it doesn’t have to be a Microsoft or Boeing or Expedia. I mean, look at local realtor offices or, you know, it’s a small to medium size businesses that they’re right situated right in the community. They’re feeling the need, they’re seeing a lot of the same social issues that your nonprofit is tackling. They wanna give back and that would be a great place where to start. They’re also uh a lot of companies are interested in engaging their employees in sponsorship that not just that it’s, you know, a $500 donation of services for a silent auction or, or a cash donation or something, but, but engaging the employees because e especially younger folks, uh millennials, gen uh maybe, you know, Gen X. Yeah, you know, they’re looking for experiences uh beyond there, we’re talking about experiential fundraising. So there may be value in engaging employees of the business in uh in, in your work. Yeah, Tony, I mean, you call it out, especially with Gen X and millennials. We’re looking for workspaces that really align with our values. Um And I’ve read quite a bit of research on this more so than competitive pay and benefits. And so yes, this is a great recruitment retention tool if you’re a company, no matter your size to offer a few days of volunteering. And uh you know, your employees really wanna be a part of, of that as well. But from the nonprofit perspective, you know, pitching that to a to a local company that, you know, that we have experiences or, you know, or, or would that or questioning whether that would be valuable for your company, that’s something your employees would be interested in. And if they have younger employees, millennial, Gen X um that, that may very well be giving back to the local, to the lo to one of the local nonprofits. I mean, and it goes hand in hand, you know, we’re living, many of our communities are facing issues with affordable housing and inflation and the cost of living and small to medium size businesses. They would love to provide even more competitive pay, but they may not be able to. So, again, this is a great kind of add on to the company brand, the values in terms of, hey, we, we, we, we not just have a corporate social responsibility program, but we allow you as an employee to take some time off whether that’s one day, five days a year, that’s, that’s a really great selling point to recruit top talent to your team and then also retain them because it, again, it’s really about we’re talking about experience, but a lot of this has to do with that humanistic component that a lot of gen X millennials are looking for uh in their workplace. And it’s important when nonprofits are approaching companies of any size. And, you know, I’m, I’m thinking more of local small businesses um that they recognize that they have value to offer the company, the business, you know, you’re not going hat in hand humble, you know, would you would you give but that you have value to add to the, to their employment relationship. Like, you know, you and I are talking about the potential of volunteering. Um You know, I don’t, I don’t, I mean, that could take different forms, you know, like you said, it could be a day a month or it could be several hours a month. But you want to recognize that you bring value to the sponsorship relationship. You’re not just humbly asking. Yeah. And I mean, to to your point, I can give an example. I was a start right in the heart of downtown Seattle, we have the third largest homeless population. And you know, here I am needing tech services. I needed a tech team to implement AC RM and to customize it. And there’s a tech company called Slalom. They’re big, they’re huge. And you know, I, where I found value and confidence in approaching them was Slalom is located in the heart of downtown Seattle. The need that we’re addressing, right? And so I think when it comes to, if you are a small nonprofit, find where the alignment lies. It doesn’t matter if it’s a large company. If that company has any type of close proximity to the issue that you’re addressing, then more times than not, they will be bought into what you do. And you know, that was just an example, a big tech company, small tiny nonprofit start up. But because we had this shared visibility of family homelessness, right? And where we were located, it was an automatic alignment. And slalom was like, heck yeah, we’ll provide you with those consulting services for six years. So have confidence if you are AAA smaller nonprofit find where that alignment exists. It’s time for a break. Donor box open up new cashless in-person donation opportunities with donor box live kiosk. The smart way to accept cashless donations anywhere, anytime picture this a cash free on site giving solution that effortlessly collects donations from credit cards, debit cards and digital wallets. No team member required. Thus, your donation data is automatically synced with your donor box account. No manual data entry or errors. Make giving a brief and focus on what matters your cause. Try donor box live kiosk and revolutionize the way you collect donations. Visit donor box.org to learn more. It’s time for Tony’s take two. Thank you, Kate. I had something happen in the gym just today. Uh The, the guy I know um his name is Tim and that, that helps me. It helps me remember his name to say Tim in the gym. Tim Tim from the gym. Um And I don’t talk to him that much. I’m not a chatty gym goer, you know, I don’t need 57 minute breaks between each different um different machine that I’m doing or different exercise, you know, with the floor or whatever, you know. So we just, it’s brief, you know, hey, how are you? You know, that’s it. Uh But today I was already exercising when, when he came in and I heard him talk to someone uh who he apparently didn’t know and he said, hey, you know, how are you? And uh the person didn’t hear because there was no response. So he says again, hey, how are you today? And then this woman replies, oh, I’m doing great, you know, hi, how are you? And then he says, Tim says, oh, I’m, I’m great too. Especially because it’s my 67th birthday and I’m, I’m on the elliptical. I’m thinking, oh, my eyes are rolling. I’m thinking, oh, Tim, you know, you had to, you had to get the woman’s attention twice just so that you could share that. It’s your 67th birthday. I’m, you know, thinking why so needy, why? You know that? And it’s not that big a gym, it’s a town fitness center. So, you know, we all know now that it’s Tim’s birthday today. Uh, and I’m thinking, you know, Tim, you know, I, I, it was sad. Um, I would wish for him that he would have friends and family that would know it’s his birthday so they could call him and text him. You know, and, and that he doesn’t have to go to strangers. This was a woman. It was clear. He, he, he had never met her, he didn’t know her. He has to go to strangers twice. And so, so he can make the point that it’s his birthday. So, um, makes me think of, you know, our social networks too. You know, if you haven’t, if you haven’t shared something, uh, you haven’t done it right? You didn’t, if it’s not on Facebook that you, you made this great dinner, then it never happened. Like if he doesn’t tell everybody it’s his birthday, then maybe he feels it’s not a stranger, you know, strangers. So, you know, have friends have, have friends who know you well enough that they’ll call you on your birthday. Right. And, and you can share your joys with them without having to do it, you know, publicly feel bad for Tim. I, I, she was not so needy. She had more friends and that is Tony’s take two Kate. Happy birthday. Tim. So sad. I hope he got a birthday cake. Like, I hope he went out and treated himself and got a little cake or something after the gym. Well, even better. I hope somebody got him a cake. Exactly. But II, I don’t, there doesn’t seem to be enough of that in his life. Well, we’ve got just about, about load more time. Let’s get back to experiential fundraising, holidays and Awareness Day, fundraising. There’s, I don’t know, there are probably 1000 awareness days a year that there might be more, there’s, there’s more than 1000 because that would only be like three a day. Some, you know, some days it’s, uh, you know, you, you look at, you look at lists, um, there could be AAA A score of them 20 in a, in a, in a single day. So there’s thousands, there are many thousands of awareness, so many and they, and they keep cropping up. Right. So, pick a niche, you know, National Pickle Day. If, if you’re, if, I don’t know, you know, if you’re, I don’t know, maybe I was thinking of if you’re fighting alcohol addiction, that’s that’s a bad choice or that, that’s probably an off color example. Don’t use that one. But, um, there are lots of, there are lots of awareness days. Um, and you also have advice about lesser celebrated holidays. What are the, what do you, what do you find the lesser celebrated holidays? I mean, again, it boils down to your nonprofit. What’s the scope of services that you provide? I oversaw a diaper bank. A lot of people have not heard of a diaper need. Well, sure enough, there was a diaper need holiday. So, you know, pick, pick your, your choice. There are so many out there. Um, personally, I’m very biased about giving Tuesday. It’s a saturated day. Every nonprofit is vying for a donor’s attention. So find, find a holiday or a day that better aligns with what your non profit specifically does. It doesn’t have to be popular day that everyone joins in on Valentine’s Day. And Halloween tend to be lesser celebrated by uh by nonprofits. So maybe, you know, those, I mean, you know, especially, well, not, especially either one, Valentine’s Day and Halloween tend to be less lesser thought of. Yeah, and you know, in terms of engaging with your donors and, and I’m, I’m redefining how, what, how we name a donor. You know, that could be someone that you serve. It could be a community leader, a city council member. These are all people that give you time talent, treasure and in terms of how you engage with them again, like we talked about Tony. Yes, those annual fundraisers need to happen. Yes, you and direct mail online year end appeals need to happen. But think about those regular touch points of how you’re engaging with your supporters, donor appreciation events behind the scenes, tours, workshops on whatever topic that you’re addressing, hosting some sort of community led workshop, people love to provide feedback and get and be compensated for that. Uh They can be compensated focus groups. So just kind of really opening our minds to how we build relationships with people. Here, I am with you, right? A late afternoon, we’re connecting. It doesn’t have to be this big formal thing. Like in many ways, we’re having a very intimate conversation. So local partnerships too, I mean, we, we talked about it in the sponsorship, something else that’s uh the another area that’s uh on your blog. Um You know, so we talked about it in terms of sponsorships but, but more like, you know, partnerships partnerships with um maybe recurring events like a farmer’s market, something like that, you know, something that’s iconic in your community. Yeah, I I think of partnerships in terms of advocacy. Um wherever you’re located, chances are there are government leaders, right, that have quite a bit of influence and power and starting to build relationships with your local city council members because they’re gonna also help you advocate to the higher ups at the state level and, and be able to help you pass legislation that really kind of complements the work that you’re providing. So partnerships tapping into partnering with city council members getting to know them closely. Um Obviously other nonprofit leaders thought leaders right there in your communities, small businesses, restaurants love to host fundraisers, restaurants love to, to do partnership types of events. Um There’s so many options like, you know, some, uh the 1st $5 of every dinner or the 1st $25 of every meal on a certain night, you know, goes to, goes back to the nonprofit. And so you’re giving them a surge because you’re gonna be inviting all your, all your volunteers and your donors and maybe your staff has a table, you know, so you’re giving them a surge for a night and uh some of the, some of the, the revenue comes, comes back to you, right? And, and partnering with other nonprofits in the same area of focus, right? Oftentimes because of funding, we’re pitted, we’re, we’re kind of pit against each other vying for the same funding. You know, that might be a donation drive if you’re taking in kind donations, physical items, instead of just your nonprofit, hosting a quarterly donation drive at your local grocery store or wherever, partnering with those other nonprofits providing similar services to kind of make it a bigger event. I know here in Seattle there’s a recycle and repurpose company called RWE. And we had a day our Diaper Bank where we partnered with three other major diaper banks. Like for a major campaign, we, we, we generated press. We were on the news and basically RWE. RWE has thousands of customers on a very specific day. RWE customers. I think about 4000 customers donated unused diapers. And basically, we got pallets. I can’t even uh 20 pallets of diapers where we were able to kind of split the inventory between four diaper banks. And the impact was huge, we were able to really expand our impact. So again, partnering with those nonprofits that you might see as competitors in terms of funding, but tapping into those, those relationships to figure out ways that you can better support each other. How did so many people have so many unused diapers around or they went out and bought them? Was it a campaign to, to, I mean, who, who I think? I mean, I’m the guy with no Children, but I would think you use up all the diapers you have and then you don’t need them anymore because your child has outgrown diapers. It’s a fair question, Tony and I, you know, I’m a mom and I would ask the same thing, apparently, Children from ages 0 to 3 outgrow diapers fast. And so they always kind of are on to the next size and families are left with boxes of diapers and boxes of diapers are expensive. So it was a day partnering with RWE where RWE customers could, instead of the diapers going straight to the landfill. You know, let’s give back, let’s, let’s re, let’s use them. I see how it works. Ok. So people, people hold on to the, the, the 0 to 6 months when, while their child is now like one or something. Oh, yeah. Ok. I didn’t know, I didn’t know people do that. I thought you were just, I don’t know, give to a friend or I never, well, actually I never thought about it so I, I can’t say what I thought because I never gave it a thought. Well, apparently there, there was not a venue, a place to donate that type of item. Right. Yeah. No, I mean, it was enormously successful for you. 20 pallets. I’m not, not minimizing at all. I just, uh, you know, I just never thought of, uh, unused diapers. I thought you would use them to capacity, like, squeeze your one year old into a nine month. But I guess parents don’t do. It’s a good thing. I’m not a parent because I would have, I would have had my, I would have had my one year old in a three month old diaper. I mean, if I got, if I got an extra box of three month old diapers around, you know, I’m going to squeeze you in. Yes. And they’re expensive. So, but, you know, that was, that was also in terms of partnerships. We were also by partnering with these other diaper banks. We were also able to form a coalition where on one day we went to Olympia, which is the capital in Washington, met with legislators as a team and we were able to pass what was called N diaper need where families get an extra 100 and $50 a month as part of as part of their TF so low income families got kind of a subsidy to help them pay for diapers. So again, tap into those partners, you know, other nonprofits doing similar work. There’s so much potential to really expand that impact, especially because we know the issues that we’re up against are massive and huge. And oftentimes are one nonprofit, no matter how well funded, how well staffed we are, we’re just kind of unable to address it alone. So, yeah, look for synergies. I was also thinking of community events like, you know, if there’s a Memorial Day celebration or 1/4 of July celebration, you know, can your nonprofit be a part of that somehow, you know, showcase, showcase your work, somehow expose the public at the, at the community fair around uh Labor Day or something like that. Yes. Yeah. Most cities again, going back to the city level, they, they do host those types of July 4th Memorial Day events. Um There’s gosh, we were talking about all of the holidays, Tony. There are a lot of those and at those events, they’re looking for not just businesses, but they want to see local communities show up and have a presence and get the word out about what they do because frankly governments can’t, they can’t fund these issues, they can’t tackle them alone. They really need those local nonprofits. So, yes, that’s a great idea. Tony. Look at all the events that your city is ho hosting, oftentimes to host a table is a nominal fee for the type of visi visibility that it brings. And it’s also getting to know it’s really connecting with your local neighbors. Oftentimes, I I know this as a former ed when I was leading a start up my initial round of donors, guess what? They were my neighbors, right on, right on Finn Hill. Um That’s kind of where I started really hyper local and then kind of expanded out. What else can we talk about around experiential fundraising that I haven’t asked you about yet? Well, what about the challenges? I, I’m thinking I’m thinking you might get a couple of questions that might say, ok, we would love to do this relational, slow type of relationship building, but the reality is is we’re caught up in the hustle of the day to day. We have a board that’s extremely resistant to change, you know, and so let’s just, those are some of the challenges, right? So I’m, I’m talking about this concept about needing to slow down needing to build upon the number of touch points that we have with our supporters, but we also know the challenges. And so, you know, I guess let’s talk about some maybe actionable ways that nonprofit professionals can do this. Um You named a great one. Let’s focus on uh for the moment, the board that’s resistant to change. How are we gonna uh defeat slay the naysayers? Oh, ah, you know, I’m still trying to figure this out. I, I would say when you’re recruiting board members, it helps to have board members that obviously have some sort of nonprofit experience, whether it’s a volunteer or, or they’re taking professional development training on how nonprofits operate. That that is a challenge. Oftentimes sometimes we get board members, well, meaning while loving very passionate people, they come from the private sector and with that they bring some very harmful perceptions about how do we operate, what things we should fund and so kind of tackling this re this challenge of a resistance, a resistant board is bringing on folks that have been there that have been in your shoes that get it. Um, people that are doing the work and just very open, very open to saying, ok, let’s, yes, let’s do an annual fundraiser. Yes, we still need to do in a gala in a live auction. Yes, we need to do year and giving. But yes, also let’s let’s come up with these really informal organic, not just donor centric, more community centric experiences. And so, yeah, it just comes down to just finding people that have been in, in the shoes of nonprofit professionals. I think that really helps with letting go of that resistance would also be a valuable exercise for your, for your board in fundraising. You know, if we’re like, you know, we’re talking about local partnerships, um challenges, you know, community, community engagement, that could be something that uh the board could help with, you know, what connections do they have? Uh maybe to other nonprofits to, to local businesses. You had mentioned, you know, political leaders, you know, how can the board help us expand our influence in, in any of those areas? You know, that could be something that, I mean, that this all falls under the rubric of fundraising, you know, for boards that don’t want to fundraise or board members that don’t want to fundraise their, their contacts can be valuable and so help in these ways around in the, in the community. Yeah, I think, and I think you alluded to something Tony is getting their buy in early, um really involving them in this process. And I think a good place where to start is would be in your strategic planning. Um Board members are well connected in many, in, in, in many ways, more than one, they might have some great ideas in terms of reimagining the types of experiences that we’re giving with our donors. And so in order to kind of change, change that resistant mindset involving them early on in your strate strategic planning, right? Um You might outsource that to a third party to facilitate that process, but getting their buy in allowing them to voice their opinions about what kind of experiences does the nonprofit wanna offer. And I think that will also help with the budgeting budgeting piece as well because once board members feel acknowledged, they feel heard they feel part of the process they’re bought into it early on, they’re not surprised. It really helps making budgeting for these relational experiential experiences easier, right? To really build a, build a budget for? All right, Britain want to uh just leave us with some final thoughts and motivation around uh experiential fundraising. II, I would just say we get so caught up in the scramble of sending out one digital appeal or in person appeal to the next. And I think just as a former ed, former development director is slow down, pause and breathe, it’s going to be ok and give yourself grace oftentimes it’s really those one on one intimate um experiences you have with your donors that are equally as important as that annual gala and live auction. You’re building extreme, you’re forging, you’re getting to the depth, you’re building really deeper connections with those really intimate experiences you have. So keep doing the great work, be gracious and give yourself a lot of credit because our sector really needs you right now. Britain Stocker, she’s on linkedin. The company is at donor box.org Britain. Thank you very much for sharing all your thoughts. Hey, thanks. Thanks Tony. I I loved your pickle comment earlier that that made my day. I might have to think if there is a holiday for around that. But thank you so much for having me, Tony. It’s been a pleasure. My pleasure. Thank you very much for sharing Britain. Thank you. Next week, we’ll return to 24 NTC with sociocracy and attract more donors. If you missed any part of this week’s show, I beseech you find it at Tony martignetti.com were sponsored by Virtuous. Virtuous, gives you the nonprofit CRM fundraising volunteer and marketing tools. You need to create more responsive donor experiences and grow, giving virtuous.org and by donor box, outdated donation forms blocking your supporters, generosity. Don Box fast, flexible and friendly fundraising forms for your nonprofit donor box.org. I like the way you say that. Don a box. Like it’s obvious why do we even have to say it? It’s so obvious, daughter. A box. All right. All right. Our creative producer is Claire Meyerhoff. I’m your associate producer, Kate Pernetti. The show, social media is by Susan Chavez, Mark Silverman is our web guide and this music is by Scott Stein. Thank you for that affirmation. Scotty be with us next week for nonprofit radio. 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Nonprofit Radio for February 26, 2024: Your Partnerships With FGWs

 

Esther Choy: Your Partnerships With FGWs

First Generation Wealth creators have different values and mindsets than those who inherited their wealth. And FGWs far outnumber the inheritors. Esther Choy’s research helps you understand these folks and how to build valuable relationships with them. She’s president of Leadership Story Lab. (This originally aired May 17, 2021.)

 

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And welcome to Tony Martignetti nonprofit radio. Big nonprofit ideas for the other 95%. I am your aptly named host and the pod father of your favorite abdominal podcast. Oh, I’m glad you’re with us. I’d be thrown into lateral epicondylitis if you gave me the elbow and told me that you missed this week’s show. Here’s our associate producer, Kate with the highlights. Hey, Tony, this week, it’s your partnerships with F GWS first generation wealth creators have different values and mindsets than those who inherited their wealth. And FGWS far outnumber the inheritors. Ester Choi’s research helps you understand these folks and how to build valuable relationships with them. She’s president of leadership story Lab. This originally aired May 17th 2021 on Tony’s. Take two. Please review we’re sponsored by donor box. Outdated donation forms blocking your supporter generosity. Donor box. Fast, flexible and friendly fundraising forms for your nonprofit donor box.org and by virtuous, virtuous gives you the nonprofit CRM fundraising volunteer and marketing tools. You need to create more responsive donor experiences and grow. Giving. Virtuous.org. Welcome again, virtuous. So grateful for your sponsorship. Here is your partnerships with FGWS. It’s a pleasure to welcome to nonprofit radio, Esther Choi. She is president and chief story facilitator at leadership story lab, teaching storytelling to institutional and individual clients who are searching for more meaningful ways to connect with their audiences. She’s a contributor for Forbes Leadership Strategy Group and you may have seen her quoted in leading media outlets like the New York Times and entrepreneur.com. Her practice is at leader story lab and leadership story lab.com E Choi. Welcome to nonprofit radio. Thank you so much for having me. It’s a real pleasure. Welcome. Um You, you have uh you have some new research out that we need to, we need to talk about transforming partnerships with major donors. What are uh let’s, let’s just jump right in and why don’t you explain what FGW folks are and uh tell us a little about your, the research that you did with these FGW folks. FGW folks. Well, I recently published this research report um and lucky enough to have a really, really good exposure such as the one you mentioned in the New York Times. And there are a lot of surprises about the folks that we generally in the broader society, just, just overly sort of broad and call them the rich people or the wealthy folks or the high net worth individual or the ultra high net worth individuals as if they all belonged in this monolithic group that they all think a belief in the same way. And So I got curious about them after I’ve taught uh in this major Gift strategy program at Kellogg for a while wondering why are these people so hard to get? What uh because so many nonprofits are doing amazing and moving and important and urgent work that no one else is doing. So why is it so hard to reach them? So I dug further in and did a lot of homework and I interviewed 20 very um they were ultra high or folks and I just ask some questions about how did they get to their wealth? What is it like? Um Are there any downsides to wealth, having wealth and so on and so forth and focusing on philanthropy? Um So this report, I can talk about any one number of ways. So you tell me, what do you, what do you want to most learn about these first generation wealth creators? Well, let’s uh let’s start with how big a proportion they are of the, of the wealthy. Wow. I am glad you start. That’s the starting point. Um That’s one of the biggest surprises that I’ve learned because they are at least 68% of the, the, the this massive group that we call wealthy ultra high net worth. They are at least 68% of them earn their wealth instead of inherited. Now, that’s a big, big difference between inherited wealth versus earned wealth. And that means they’ve traveled a entire social economic class that they did not grow up with. And so some of them, um, very few of them really make the majority of their wealth in their thirties or even forties. Most of them are in their fifties and sixties. So we’re talking about full on grown adults with Children and maybe even grandchildren by the time they become, um, this wealthy. So it’s a very interesting transformation of your life, your community, your social circles, the things that you worry about or not worry about all happen around starting from the point of fifties and sixties, right? So, so there are at least two thirds, maybe even a little more than two thirds of all the, all the wealthy folks. The way we would describe, as you’re saying, high net worth, ultra high net worth. These are, these are two thirds of those folks, at least you said 68 68%. I picked the most conservative number, but I’ve read elsewhere to and put that to um somewhere 80 80%. OK? And everybody you interviewed is first generation wealth. That’s, that’s where your research was correct on those folks. OK. So let’s get to know them a little bit. Um Your research has uh AAA nice chart. Um I like, I like pictures. The first thing I look for in books and pictures. Uh Simple, simple mind. You, you’re burdened with the host with a simple mind. Um But you do have these, these pillars of wealth generation that. So let’s describe these folks. Not, not, not all three, I mean, people are just gonna have to get the research, you know, I don’t, I’m not gonna quiz you. I’m not quizzing you on block number four in line three on the No, we’re not doing that. I don’t want to go like word by word because people got to get the research which, which is at Leadership story lab.com, right? That’s the way that you can download. Yeah, there’s an executive summary and you can download the full report as well, right? So Leadership story lab.com for the full thing for the full, for the full study. Um But let’s get to know these folks a little bit, these, these first generation wealth creators. Um you, you start by saying they’re, they’re understated. They’re, they’re maybe even humble. Are they, are they, are they to the point of being humble and modest, humble and modest? And they have a hard time, they have a hard time with the, with the word wealthy, they understand the size of their assets. Um They understand what they are capable of affording, which is basically anything but they have a hard time with the label wealthy. And um they oftentimes think of and regard and never really left their middle class roots and that’s majority of them come from very middle class. You know, they don’t want to be flashy nor do they enjoy flashy things that attract attention So, um, you know, make no mistake. They are a part of things that are very, um, you know, shiny and, and sophisticated and, and, and high quality, but it’s not who they are inside. So that’s one thing to keep in mind is that they are very understated themselves and they often appreciate other people as well as other things that are understated. You, you make the point a couple of times of saying that they don’t, they don’t identify themselves as wealthy even though they know that they fit into that category, correct? Ok. Um So you sat down and you, you met these folks, you, well, maybe not face to face but you, you spoke with these people or couples or how did, how did that all work? Yeah. So I did all the interviews uh with in partnership with the research firm and it’s all done virtually because it was done in 2020. Um There was one noted exception um where I was invited to her home. Uh and uh I met all her kids and her husband and, you know, it’s just like the whole family in the background and it’s kind of funny to talk about her family while her family was around, but for the most part, it was done through Zoom. Uh one through calls and, and um there are four people, so two couples, um I interview them at the same time together and the lengths just got doubled. Um you know, it’s usually 50 50 minutes to an hour and with a couple, um we talked for over an hour and a half. How do you, I’m interested in some of the details. How do you reach out to these folks? How do you, how do you get their attention? It’s really hard. So, the first thing we mentioned in one of the four pillars is they’re understated, right? They don’t identify with the word wealthy. They certainly don’t make big advertisement to the world that they are wealthy. And so to find them and to get them to agree, to speak on record, although it’s anonymous um and to get them to open up and talk about money and wealth, it’s really hard. So I have to rely on a couple of key relationships. Um One is through one of my alma mater, um Texas A and M University and my friend and colleague, uh the CEO of Texas A and M Foundation helped me recruit a few, quite a few of these interviewees. Um my business partner who also happens to be a um uh trustee at the University of Cincinnati Cincinnati Foundations and um through a couple of my own uh resources as well as my research firms. So 20 for qualitative studies is, you know, sufficient. It’s definitely not a lot, 20 people doesn’t sound like a lot but 20 of these type of people and get them to talk about very sensitive topic. Um, was, it took quite a bit just to get them to agree to talk to me. Well, thank you. Um, absolutely. Um, and what was the median income for these 20 folks families? So, um, at this point I don’t think their income is very meaningful any anymore. So, we’re, I, I’m, um, by median, I would refer to their, um, uh, their, their net worth. So the net worth the median range is 50 to 80 million. Um, although, um, the low, I would put it in the low teens, the highs, I would put them in 100 and 50. So just give you, give, you, give our listeners a sense as well of what we’re talking about. Like by, well, you know, millions is like a lot of zeros, you know, at some point it’s just like my mind can’t keep them all in one place. Um, according to the fed in 2020 the top 1% of the US, um, folks have 11 million. So these are all, um, uh, you know, sort of the top one percenter and, um, for the 1% even mid teens to 50 or so was the, was roughly the median net worth. Exactly. Exactly. But then if you think about the 1% of 300 million people in the US, that’s 3 million, 3 million people. And that is about the size. If you put them all in one city, all in one location, they’re just below New York City, just below New York, uh just below Los Angeles, but just above the city of Chicago. So 3 million people, that’s a lot of people. Ok. And, and you estimate conservatively that of those 3 million 68%. Uh our first generation, they earn their wealth versus inherited. It’s time for a break. Open up new cashless in person donation opportunities with donor box live kiosk. The smart way to accept cashless donations. Anywhere, anytime picture this a cash free on site giving solution that effortlessly collects donations from credit cards, debit cards and digital wallets. No team member required. Plus your donation data is automatically synced with your donor box account. No manual data entry or errors make giving a breeze and focus on what matters your cause. Try Donor Box Live kiosk and revolutionize the way you collect donations in 2024. Visit donor box.org to learn more. Now, back to your partnerships with FGWS. Let’s go back to get to know these folks a little bit. Um um They’re entrepreneurial. No surprise but tell us what, what does that mean for the way they think about themselves and the way they might think about uh their philanthropy. Yeah. So in the most literal sense, they are were entrepreneurs. That’s how they created most of them, created their wealth and with a few um less than 20% of them uh had a very lucrative corporate careers and entrepreneurial also means that is the mindset. It’s the lenses in which they apply all things through. Um, so it could be the way that they would like their Children or grandchildren to approach. Um, you know, if I wanted to study abroad even, um, and, you know, I need additional funding. Well, how much you think about it as what untapped opportunities might there be out there for you in this country that you want to study? But it is not currently fully leveraged. Um But entrepreneurial could also means to, as they think about nonprofit, as they really think about how they want to leave their social impact and how they want to fully make sure that their philanthropic dollar is put to good use that also applied and um compatible with their middle class values. So, uh it’s, it’s, it’s, it’s up and downside, right? Um Sometimes something just can’t be measured. Sometimes nonprofits are run by people who are philanthropically minded and socially minded and they don’t necessarily have the same sort of business acumen as, as well as um fear competitiveness um that these donors tend to have and embody. And so the, the downside of having that entrepreneurial mindset is that sometimes it creates um clashes and if you know, at the very least disagreements on is this really the best use of the, the, the, the precious dollars that your organizations have? Um Sometimes there’s no straight black and white answer. Yes and no. Um So um, that’s what I mean by entrepreneurial and, and, and what else, what, what comes next in those four pillars? So, the third is free and I truly, it seems like a very simple, no nonsense. And, and, and we’re like, oh, we live in a free society. Uh, but I think the truth of the matter is that a lot of people aren’t not free, they’re not free to pursue whatever they want. They are under certain professional career obligations or financial pressures and they are a lot of options. Yeah, exactly. And that’s why a lot of career counselors asked mid to even late career folks, you know, what would you do if money is not an issue? Right. Uh, I’ve heard that question asked a lot in care counseling because a lot of people are under that, uh, pressure. But these FGWS they are not and for them it’s oftentimes for the first time is, wow, now it’s not a theoretical questions anymore. I really don’t have to worry about money. Ok. So now what, what do we do? And so, um, a lot of them pursue experiences. A lot of them want the same thing for the Children and grandchildren. Um, they, uh, pursued 3rd, 4th, 5th careers that they’ve always are interested, intrigued by, know that they are not very good at and know that they probably may not, may or may not be able to make a ton of money with. Um, but they do it anyway. So it’s that sense of freedom. Um that I think a lot of people, as long as they have to still worry about saving for retirement saving, for making sure you can pay your mortgage and things like that. It’s, it’s really hard to wrap your mind about. And then these folks are just sort of fully embracing, they want their Children to understand that having a, a wealth of options doesn’t just come, it comes from hard work and, and devotion, which is what they devoted their decades to. So they, they, they want their Children to understand that that doesn’t just happen for everyone. Yeah. I’m glad you bring up Children, um, across all 20 of them, even though the ages ranges from late forties to a few eighties. Um, they all worry about their kids even though their kids have all grown up or they have worried about their kids or have regrets about the way that they raised the ways that they passed on their assets, uh, to their kids. And the, the funny thing is that they did not tell me. Oh, I have so. And so, um, I really can confide in or I know these, uh, uh, professional resources, uh, that I can go to and, um, all of them are just kind of like, I hope I’m doing the right thing. In fact, I know I haven’t done the right thing but then talking to peers surprisingly was not an option across any of them. And so although they’re free, but this taboo topic of money and wealth have prevented them from really searching for the right answers at the time when decisions had to be made. So Children, it’s a constant universal worries, especially for people with wealth. Um We’ve seen from studies after studies that for example, substance abuse tend to affect um Children from families with means disproportionately higher than those who are not from uh family with means. I wonder if there’s some tension for them because they’re not comfortable talking to those who inherited their wealth or, or even just other wealthy people because they don’t, they don’t identify that way, but then they’re not comfortable talking to those folks that they knew when they were struggling in their careers. And before their, their great success, their great financial success would qualify that because success can take lots of d have lots of different levels to it. But before their great financial success, because they, they, they like, they don’t wanna, they don’t want to appear uh overbearing to their non wealthy friends who they know from high school and college and, you know, maybe professional school or, you know, whatever. Uh So they’re, they like caught in the middle, like, they don’t have valuable personal relationships to, to leverage and count on in, in, in times like when they’re questioning what, what to do with Children and, you know, sort of existential questions like that. Yeah. So this is another downside of being entrepreneurial. Um Another way to call someone very entrepreneurial is what you know, he’s, he has a can do spirit, she has a can do spirit. So if you can do, you can do it yourself. You don’t need to count on other people, people to help you, you can pull yourself up by the bootstrap. So uh that’s one and two is again the, the subject of wealth, it tends to be taboo. Um In fact, the Brooking Institute economist Isabel saw Hill made this really apt observation and she said that people rather talked about sex than money and money than class. So first generation wealth creators have travel across classes. And so that makes it really hard for them to say, you know, I don’t know what’s the right way if we do if we travel, is it wrong for us to buy business class or first class? And what are your middle class friends going to say? Oh, poor Tony, poor Esther, you’re struggling with questions like should you trust travel in business versus first class? And it’s not something that a lot of people, first of all empathize with and second of all have the right context to give sound counsels. And what about professional coaches and counselors and whatnot? I didn’t actually cover in a report. I chose to exclude it and just in the in favor of focusing on nonprofit and fundraising. But their experience with uh wealth management advisors are very mixed because it’s an industry that has a lot of conflict of interest. There are some really, really good let us in on something that uh that didn’t make the report. This is great, not proper radio. You gotta let us in on the, on the, on the back story. What uh say a little more about these, the trouble they’ve had the mixed results, mixed results. I’m sure some have been, some results were fine and some relationships are fine but say you a little more about uh what didn’t make the final report there. Um I cut a whole section off just because I think it, it might be detrimental to getting people to read it when it’s beyond a certain length. So this whole section that I cut off was on um how they view advisors, um counselors and, and things like that. And indeed, you know, uh two words to describe the entire section is that it’s very mixed. Um some um have great experience, some on the other end of the extreme is, um they thought the people they interacted with is just uh the advice weren’t very good or too obvious or that again, they can do it themselves. Why do I need to pay you so much money to tell me something I know already. And um, and by the way, that is somewhat parallel to their experience with uh fundraisers. So I don’t want to just put the hammer on um wild advisors and, and, and um tax advisors and whatnot. Um Because this idea that, oh, we know you’re wealthy, we know what you can do with your money, either for the benefit of yourself as well as for me or my organizations that really changed the dynamic of the conversations as well as the services, how services rendered and this to their relative to their expectations. Um So that’s why it’s not very helpful. I think just to come off and um list a bunch of things that they’re not happy with without being able to say what would be helpful. So I just removed the whole section and also in favor of keeping it at readable length. It’s time for Tony’s take two. Thank you, Kate. I’d be grateful if you would rate and review the show on whatever podcast app you’re using. Uh, we’re a little, a little low on reviews, recent, recent reviews, uh and ratings. So I hope you would give it a five stars. Uh Certainly nothing below four, I would think, but five is best five is best. And if you could do a little review, I know it takes a little time, you know, it takes a few minutes. I understand that I’d be grateful if you could rate and review the show wherever fine podcasts are heard, wherever you’re listening, please do. Thank you very much. And that’s Tony’s take two. Don’t forget to rate and review. Now, look at the little jingle, Tony’s take two rate and review Kate. That was a very beautiful jingle. But yeah, don’t be afraid to rate and review and let us know what you’re thinking of the show. Not only, don’t be afraid, please go ahead and do it. Absolutely. Take the next step, go do it, do it. We’ve got book who but loads more time. So let’s return to your partnerships with FGWS, with Esther Choi. All right. Finally, these folks are lone Rangers. What does that mean? Um We touch upon it a little bit where we, um, you know, they are part of this new class of wealth. They’re like immigrants in some way, by the way, I really wanted to recommend a few books. Um Not just mine. Um, that really helped me round out my understanding. So this whole idea of, um, think of first generation wealth creators as immigrants. Um They have migrated from a different class altogether and enter into this world where the beliefs, um the values and oftentimes even language um are foreign to them. And although it’s great, this is paradise, um, they often find that there are uh tricky conditions, some even would say, um because their native born Children and grandchildren, um, don’t understand the privileged privileges that they were born and then they’ve gotten accustomed to. Um, and the, the cliche or the adage or however you want to want to call it, shirt sleeves to shirt sleeves, rice paddies to rice paddies, wealth does not last past three generations and they know that. And so when you think about this special land of paradise again, um by the way, this is a uh I learned it through the book called um uh Strangers In Paradise by James Grutman. Um their native born Children and grandchildren, statistically speaking will be deported back to harsher land where the first generation have migrated from. And um and here’s the kick Tony, I just, I just found it fascinating and this is why I can talk about this, you know, forever and ever mismanagement of their wealth, taxes and inflations and bad investments. All of those are more of and just the natural delusions from, you know, the couple to Children to grandchildren, right? All of those reasons are reasons for wealth not being able to last past three generations, but you will probably, I’ve never found any one cases or example or family where the story basically is. Well, grandpa and grandma gave it all the way to charity and left nothing to us. That’s why we’re poor again. You know, that just doesn’t happen. And so what my II I think what I really want to focus on, I think the opportunities for nonprofit is that what might there be an um different way to think about the conversations that you have with these donors where you help them solve a problem or maybe many problems and then you also help yourself um solve a problem. By the way, I’m getting like, way, way, way. This is a problem when we have no script. I’m getting like way away from the Lone Ranger questions. I bring you back. But that’s all right. But I think I’m getting to the whole thing. No, radio. No, no, you’re not. What you’re saying is still valuable. Don’t, don’t second guess yourself. What I, what I’m getting at is that it’s lonely to be first. It can be lonely to be first generation immigrant. Except that most immigrants have somehow found other immigrants. And they talk, they share notes, they commiserate, they help each other out. But um first generation wealth creators are particular type of immigrants where for all the reasons that we’ve talked about, they don’t actively look for help nor was real quality help. Um Readily available. Interesting, really fascinating analogy analogizing to, to immigrants. Um Did you, did you put any of them together? Uh uh uh since you met 20 of them and got to know them. So these folks that are uh feeling, lone, feeling, lone, I don’t know, lonely. I’m, I’m just using a word. I’m not saying they’re lonely in their lives. Maybe they are, but they’re lone rangers. Did you, did you uh put any of these folks together and say, look, you know, I met, I met so and so like 22 or three weeks ago and she was saying the same thing that you’re saying, you know, why don’t the two of you talk or would you be interested? You know, did you put any folks together to help them, uh, commiserate, at least help, maybe at best, help each other. I, I, I think I would, I would if I were asked but with these 20 because of the promise of confidentiality, um I don’t share their names or contacts with anyone. But um I have done uh webinars since then where I was asked. So how do you find these people? And then if, if they ask me, then I will help? OK. OK. Well, I’m like a connector. So I was thinking, you know, if I could get her permission, would you like to talk to her? Because the two of you are saying things that are really identical and maybe together you could help each other as well as having very similar questions. And this is where I was getting at the opportunity part. Um because they have asked questions like how much and when should I pass my asset to my kids and grandkids? It’s dealt with by um with wealth advisors on a very case, by case basis. And I think that should be, that’s the way it should be done. But what’s really sorely missing is, well, how do other families handle this right to your questions of? Well, there are other people like me, what do they do because they’re in my boat. Um So as well as questions like, how do I get in sync with my spouse? Um And then they also have questions on like, how do you truly vet um a non, a non for profit, you know, and how do you help? Not my, you know, the nonprofits that you support, uh become more efficient and they are aware that not coming off as because I’m a donor, I give money and um you should do what I tell you to do um Things like that, you know, that productive relationship with nonprofits. So there are endless questions like this that they can talk about, not just commiserate, although commiserating is, is great too. All right. I don’t know. I think you could be a connector, a major connector. Um And I notice uh I’ll leave that there. That’s, but, you know, the title of your research is transforming partnerships with major donors. So, so let’s, let’s let’s transition to some of those opportunities you talked about problem solving that could be mutually beneficial. How, how do, how would a fundraiser ceo uh uh approach someone with that with, with that kind of opportunity? Yeah. Yeah. So I want to break it down to um three steps. Um I want 123, a three step process. OK. Yeah. Well, yeah. OK. You can call it a three step process, but I didn’t invent it. You made it up. I think the first thing is you have to really think about the questions you asked them. And uh oftentimes how curious, how respectful for how informed you are, are all sussed out by the kind of questions you asked? Are your questions mostly really at the end of the day self serving? Um Or are you only focusing on a very narrow aspects of the donors? Um or are you really broadly interested in problem solving? Now, here’s another thing that entrepreneurs like to do, they like to solve problems. And oftentimes they take the same mindset towards nonprofit, am I really giving to an organization that are going to solve real major problems in the system uh system for way? Um So that’s the first thing is the questions that you ask and then two is reading once you really find out about uh uh you know, what you could learn from the donors is that really being able to pair what your nonprofits have to offer and that structure in a way as well as well as frame it in a way that um fits the mindset of. Um Well, oftentimes the folks are very busy, they know they need to do something but they’re very busy. So, um how is it, uh how do you make it easy for them, in other words? And then um the last thing I would say is um it would um how do you acknowledge them? Right. Um It sounds really obvious, right? You know, their stewardship program, there are people were involved in, uh, thanking donors. But what I’ve found is that people, uh, people thought there’s not enough. Thank you, or there’s too much. Thank you. And they’re not thank through the right medium. And so, uh, we’re not talking about, you know, $10.20 dollars where there are maybe hundreds and thousands of them and you can’t manage them one by one and customized it. But with major donors, it’s absolutely worth it to make sure that it’s customized to their preference and needs. So questions the way that you frame as well as the acknowledgment part. It’s time for a break. Virtuous is a software company committed to helping nonprofits grow generosity. Virtuous believes that generosity has the power to create profound change in the world and in the heart of the giver, it’s their mission to move the needle on global generosity by helping nonprofits better connect with and inspire their givers. Responsive fundraising puts the donor at the center of fundraising and grows giving through personalized donor journeys that respond to the needs of each individual. Virtuous is the only responsive nonprofit CRM designed to help you build deeper relationships with each donor at scale. Virtuous. Gives you the nonprofit CRM fundraising, volunteer marketing and automation tools. You need to create responsive experiences that build trust and grow, impact virtuous.org. Now, back to your partnerships with FGWS and the, the acknowledgment of the stewardship is interesting um you say somewhere that uh the the they these folks have a hard time understanding uh the name on a building, you know, why that, why people find that appealing, why some donors find that appealing? So, so a brick and mortar in fundraising, you know, was a brick and mortar recognition would not necessarily be appealing to them, but, but finding out what is appealing comes from, you know, maybe this, this three steps is sort of iterative, right? And if you’re starting to get near uh near something promising, you wanna, you wanna be finding out too about what they would like in terms of acknowledgment. Yeah. Yeah. How would you like to be recognized? What’s important to you? So, I have a friend of mine who advised nonprofits with operations like this and um she helped one of them, she said, you know, what, why don’t you just, why don’t you just ask? So he did, he created a survey through Survey Monkey and, you know, they, they have more than a handful so they can’t just call them up and ask them individually. So he created AAA survey and he got over 70% response rate, which is really, really good, right? If you work for, for survey and um so the the survey basically center around 33 things. Um How would you like to be thanked? How often would you like to be thanked? And through which medium do you most prefer to be thanked. And it’s not only do they have really good feedback, but it’s such a positive gesture from the nonprofit to the donors saying, hey, we actually admit we don’t know, but we care and we should, we know what we don’t know and we care. And now we really would like to learn more from our donors. And that truly is a practical helpful informative donor centric step to take. And by the way, her name is Lisa Greer. She also has a incredibly helpful book called Philanthropy Um Revolutions. So it’s a mix of um it’s a mix of memoir. It’s a mix of uh research because she told her story, but she also has interviewed over 100 principal gift level donors and um and uh and the last mix of how tos so super helpful. How does Lisa spell her last name? GRE er Lisa Greer? What else? What else can you tell us Esther uh that uh in terms of approaching these folks? Um Ho how might you get? Uh I have a question for, I have a little more specific question. How about you get their attention? Oh, yeah, I know um getting the first meeting, it’s like 50 or 60 or I don’t know, 70% of the work just being able to get in the call. Um I, I think everything matters in the smallest amount of space, which is if you have no other ways to reach them. What do. Most people do emails and so make sure that your subject line is the most attention grabbing as well as intriguing possible. Um way to, to get people’s attention, by the way I have um I don’t know if I can memorize uh the, the, the four persona um off the top of my head. Oh, actually I do. I have it right in front of me. Um, my uh colleague, Scott Mord. Um, he is the longest serving CEO of YPO Global young president’s organizations. So these are a lot of the highly concentrated um first generation wealth um around the world, 30,000 of them around the world. Um He actually put the, their philanthropic tendencies in four ways. Um The idealist is the first one. Those are the ones that who want to make a true impact, uh long lasting impact, solve societal problem. Another one is called the legacy leader. Those are the one who really loves to leave, make sure their name last generations and generations that they are getting credit for the big impact that they made. The third one is called the model citizens. And those are the ones that look around and understand what is the highest and highest of highest level of service and they want to be there. And the philanthropic effort reflects that. And then the fourth one is called the Busy Big Week. That’s the ones who are busy, extremely busy and yet they know they should do something but they don’t know what and how and so back to your questions of how do you get their attention? I think you should first by starting with having a point of view of, of these four possibilities, which one is this person most likely going to be? And then once you have a persona in mind, then is a lot easier for you to craft a message with a subject line that is most intriguing and attention grabbing for you. I, I get, despite what my clients and friends and colleagues know about me, I still get these extremely bland and generic um email messages that are, you know, if you just replace the logo of the nonprofits that would fit anybody at all. And so, uh that would be the first thing I think about is have a persona in mind, even if you’re wrong, it’s ok, even if you’re wrong, at least you have a point of view about that person. But the upside is that even if you’re not 100% right? Just having the personal, that persona is going to help you speak to that person as if you know a lot about them already. Are you really only gonna get to them through an introduction or like if somebody has to give you their email or, I mean, there’s not a directory of first generation wealth creators. Is there now, I know yours was yours was anonymous but is there I don’t know. Is there a directory or something? And that’s a really interesting question is what I major in a really, really interesting question. I love the way you think about things Tony. Um, not only is, isn’t there one? Um, they really know how to, how to hide their wealth. You know, they believe in stealth wealth, not only because of the way they live their lives, but they know how to put things in all things and trust. And so everything comes through a different name and um data can help um the right kind of data and data enriching as well as data matching. Um It, I I don’t know a ton about it, but I know enough because there’s another company that I co-founded that like that’s all we do because in the old ways, how do you get names of donors? Right? You ask, you’re bored, that’s how you start a small organization starts. But um but then now, I mean, now we have social media and you can have a campaign and see who gives to that. And then you, then you do some research on those folks to see who, who might be uh have the capacity to do more and then you expand your relationship even with the others who may not have capacity but a willingness. But see, I I think there’s a lot in your current database that is not being fully utilized. That may be for some folks. Yeah, and, uh, well, because we’re talking about stealth wealth. I mean, yeah, that’s, that’s certainly possible. I mean, these, these folks live modest, live, modest means. I mean, uh, uh, at least outward. Um, I mean, what, 20 years ago there was the book The Millionaire next door. I mean, that’s essentially what we’re talking about. This is, there are more zeros now and there are more of them and we’re, we’re in a more financially mobile society now than we were 20 years ago. But the, the, the concept is the same that there are these hidden families of wealth that, uh, that are may very well be in your database. You know, then it was the, the millionaire next door. Now the millionaire in your, it’s the ultra high net worth in your database. Yeah. Yeah. And, and when you, you know, go back to the questions, the way that you ask questions of when you have an opportunity to talk to a donor directly, as well as the way that you ask questions about your databases that can really help you look for hidden millionaires billionaires right in front of you, right in front of your eyes. I wouldn’t be surprised that there are already, uh, but you aren’t, you, you’re not even aware that you’re pretty close when Lisa and I, um because of our share passion about this topic and she’s really doing it full time. I’m doing this. This is because this is my baby. Uh you know, the first time she wanted to make a principal gift um to um her local hospital. Um she budgeted for $2 million for um her hospital and it took the hospital seven months to pay attention to her and $2 million isn’t a small amount for that hospital. It is definitely a major amount, latent unconscious sexism. I’ve, I’ve heard this from women. I do plan to giving fundraising, but I’ve heard this many times from women just ignored when they, they made explicit overtures, not just subtle hints but explicit overtures. You know, I want to do this. I wanna remember the organization in my estate plan and, you know, ignored, repeatedly ignored. So, unfortunately, what you’re describing your friend Lisa’s uh I, I don’t think it’s so uncommon. I think it’s, I think there’s some, I think there’s just unconscious latent sexual uh um not sexuality. Uh sexism in uh yeah, in uh in, in, in, in fundraising. It’s, and money is left on the table as a result. I mean, aside from the morality of the uh of the, of that, that misunderstanding. Yeah. Yeah. So, so it’s, I haven’t seen quantitative research on just how frequently that happened, but that’s leases from her research from her personal experience from your experience. So I think there are actually plenty of money within reach of nonprofits that they probably have missed, but they didn’t know they have, we’re gonna leave it there. It’s perfect. Now you have opportunities and uh I know that our conversation has uh stimulated thinking about how to find these folks and how to transform your partnership with them. Esther Choi the, the research is transforming partnerships with major donors. I’ll give you the full title. Aligning the key values of first generation wealth creators and fundraisers in the age of winner takes all you get the research at leadership story lab.com. That’s where Esther’s company is. Leadership story lab and also at Leader Story lab, Ether Troy. I want to thank you very much. Thank you. This is such an invading conversation. Thank you for the opportunity and thanks for saying you were glad that I asked a question. You were one of the generous, generous guests. I’m glad you asked that. Oh, I got, I got chills. Thank you, Esther. Next week, publish your book, Thought Leader and you can blame me here. I thought that was gonna be this week’s show. I blundered just had it wrong. You, you, you’d think more attention would go into these things, but uh made a mistake. Definitely, it will be next week’s show uh short of uh natural disaster or illness or death. Uh It’ll be next week’s show if you missed any part of this week’s show, I do beseech you find it at Tony martignetti.com were sponsored by donor box, outdated donation forms, blocking your supporters, generosity, donor box, fast, flexible and friendly fundraising forms for your nonprofit donor box.org. Love that alliteration. Love it. Pass flexible, friendly fundraising forms. All right. Sorry, I just had to get that in and by virtuous, virtuous gives you the nonprofit CRM fundraising, volunteer and marketing tools. You need to create more responsive donor experiences and grow giving. Virtuous.org. Our creative producer is Claire Meyerhoff. I’m your associate producer, Kate Martinetti. The show Social Media is by Susan Chavez and Park Silverman is our web guy and this music is by Scott Stein. Thank you for that affirmation. Scotty be with us next week for nonprofit radio. Big nonprofit ideas for the other 95% go out and be great.

Nonprofit Radio for August 21, 2023: The 5 A’s Of Awesome Fundraising

 

Cara AugspurgerThe 5 A’s Of Awesome Fundraising

It’s a valuable back-to-basics conversation with a bunch of tips you’ve probably never heard. Leading us through is Cara Augspurger from Donorbox.

 

 

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[00:00:35.76] spk_0:
Hello and welcome to tony-martignetti Nonprofit radio. Big nonprofit ideas for the other 95%. I’m your aptly named host of your favorite Heb Mittal podcast. And oh, I’m glad you’re with us. You’d turn me into a mono. Thus, if I had to see that you missed this week’s show. Here’s our associate producer, Kate with what’s coming?

[00:00:59.48] spk_1:
Thank you so much, tony. We have the five A is an awesome fundraising. It’s a valuable back to basics conversation with a bunch of tips. You’ve probably never heard leading us thorough is Kara Augsburger from Donor box on Tony’s take two.

[00:01:02.29] spk_0:
It could have been the end for me,

[00:01:12.22] spk_1:
were sponsored by donor box, outdated donation forms blocking your supporters, generosity, donor box, fast, flexible and friendly fundraising forms for your nonprofit donor Boxx dot org.

[00:01:21.65] spk_0:
I love that. I love that alliteration. Kate, fast, flexible, friendly fundraising forms, love that.

[00:01:29.32] spk_1:
It sounds cool, but it’s not very fun to say

[00:01:34.42] spk_0:
tough,

[00:01:37.39] spk_1:
very tough. Now, here is the five A’s of awesome fundraising.

[00:02:08.04] spk_0:
It’s a pleasure to welcome Kara Ox Beger to nonprofit radio. She is a longtime development professional, currently serving as fundraising coach for donor Boxx and focuses on consulting with nonprofits of all sizes. Her expertise is in coaching, annual fundraising, project management and communications. She’s on linkedin Kara Ger with A P, not A B. It’s not.

[00:02:14.32] spk_2:
No, it’s not tony

[00:02:18.75] spk_0:
and the company is at donor box dot org. That’s correct.

[00:02:22.03] spk_2:
Thanks, tony. Thanks so much for having me. What a warm welcome pleasure.

[00:02:26.13] spk_0:
Pleasure to have you from Noblesville, Indiana.

[00:02:29.41] spk_2:
That’s correct.

[00:02:30.90] spk_0:
And we’re talking about the five A’s of awesome fundraising. So this is not just, this is not just, you know, lackluster, mediocre type fundraising. We’re talking about awesome fundraising,

[00:02:46.79] spk_2:
right? The five A S, you know, our donor box team coined the term the five A’s of awesome fundraising to really introduce the concept and help people remember the cycle of fundraising. So, you know, identify, cultivate, solicit steward, we just made them a little easier and put an a next to each of them. So we have, it’s

[00:03:22.00] spk_0:
the cycle that we’re accustomed to. Exactly. But all right. So refreshers are important, valuable basics, basics, lots of people trigger, you know, they’ll say, oh, you know, that’s just a good reminder, good reminder. So we’re gonna, we’re gonna share good reminders. Excellent, excellent. So, uh I’ll let you introduce your, your first. A

[00:04:21.71] spk_2:
Well, sure. So we often at donor box, we are working with fundraisers who are really, really good at delivering on their mission. They’re really, really good at um creating innovative programs, but maybe they’re struggling to understand some fundraising fundamentals. And so my job is to kind of create ways to make learning those fun and engaging. And so that’s was the basis around the five A’s. So first we attract new supporters to your organization, you know, that would be identi identification and cultivation and then we ask them to come alongside you by giving, then we promptly acknowledge those gifts, right? And then we account for those donations and we do it again and again and again. So it’s attract, ask acknowledge account. And again, so those five A’s, they’re not fancy, they’re not innovative, they’re nothing new. Um But those are kind of those fundraising fundamentals that successful nonprofits are actively doing and actively incorporating into their communication cadence to bring donors into the life of the organization and really cultivate that sense of belonging.

[00:04:40.93] spk_0:
All right. So let’s, let’s focus on attraction. Yeah. What, what uh what are your reminders there, your tips.

[00:04:51.46] spk_2:
So, you know, you, you need to attract new supporters to your organization and then you need to make sure that your organization is attractive to those. So, uh you want to make sure that you are um actively on social media that you’re telling compelling stories of your mission and action, you’re showing people ways to get involved by volunteering and things like that. So you’re attracting those people, you’re, you know, the fundraising fundamental. So you’re cultivating them to your organization

[00:05:31.48] spk_0:
and some of those uh some of those uh a attraction mechanisms might be as simple as, like, sign a petition. Absolutely. Yeah. I mean, it doesn’t have to be come in person or something. We can, we can have, we could have a lift but something that gets people uh initially

[00:05:34.05] spk_2:
engaged. Yeah. You’re aware, you’re building awareness for your organization. Yeah.

[00:05:38.95] spk_0:
OK. That’s another good a but that’s not in awareness. It’s like a subset. So, uh I’m not, I don’t want to pervert the whole donor box. Uh the whole donor box. A team of five A make it six.

[00:05:49.76] spk_2:
We don’t want no.

[00:05:50.75] spk_0:
Every time you say an A word, I’m not gonna say, oh, there’s an A but uh awareness is a subset of attraction and being, being attractive. Talk a little more about the, the being attractive part how you, you know, how you appeal.

[00:06:37.23] spk_2:
Yeah. So you know, you repeat the cycle and you want to keep your organization attractive to your current supporters. So maybe that’s where you introduce a survey or you ask what appeals to them most about the mission. You could uh engage with them through some newsletters, some good communication about what’s going on or, you know, in person. So you can invite them to coffee, invite them to events, invite them to volunteer. Um And it’s not just about doing those things, it is about staying relevant in the minds of your supporters. You know, we know supporters are supporting fewer organizations these days, dollars are limited. And so you really want to stay in the forefront of your supporters’ minds. And so that’s where you really just want to keep that communication cadence. Um going throughout the year, you don’t want to just go, go to your donors when you need something, you want to communicate and build relationship and stay in relationship with them.

[00:07:05.75] spk_0:
Yeah, that is critical. Not only sending solicitations, you know, however many times a year, let’s drill down, let’s drill down a little bit on the, uh, the surveys, surveys. What, what’s your advice around survey? You know, like length? Um, I don’t know, time of year, uh, how to get folks to do the survey, you know, what, what are your tips around those things?

[00:07:53.68] spk_2:
You know, I think my, uh, my advice to anyone is as, um, personal of the ask as you can make it. I think the more, um, engagement you’re going to get around it. So if you could say, hey, tony, I’m gonna send you a survey in the mail or in the, you know, in your email. And if you have five minutes to really give me some insight into what you see, you know, in the organization, boy, I would really value that if I could ask you that on the phone or if I saw you at an event or something like that, you might be more engaged and more apt to complete that survey. So, that, you know, and you can even personalize that at a scalable level through some emails, some make your email look really personal through some mail merges and things like that to really make it seem like you’re speaking one on one to the receiver. So that’s how, that’s an

[00:08:20.22] spk_0:
introductory email. Yeah. Yeah, couple of days I’m going to send you or something

[00:09:13.79] spk_2:
like that or, yeah, I mean, just however the communication, the communication schedule works out for you, you could even, you know, package it together with the survey link or something like that. But yeah, just as, as interpersonal as, as, as possible. So it looks less like it’s from the organization and more from the person who’s sending it, whether that’s the executive director or the communications manager, the development manager, whatever it is. So I think that one on one really feeds engagement. Um, but as far as like length, what we’re seeing that is working really well is micro content so short, actionable. Um, you know, I think if people see how far along they are and in the steps, you know, you’re at step one of five, question, one of five, something like that. That kind of keeps people motivated to complete it as opposed to this never ending survey that, that never ends. I know, I know,

[00:09:14.86] spk_0:
I appreciate the progress bar. You’re 10% or 20% or right, one out of five or something. I like to know that I like to know where the end

[00:10:31.15] spk_2:
is. Yeah. Yeah, absolutely. And I think if you have um, well crafted questions, so you’ve worked with, you know, a board member or your staff ahead of time to determine what is, what’s your outcome on this survey? What do you really want to glean from this information? I’m working, I’m on the board for um, a nonprofit here in uh the Indianapolis area that works um to provide um services to people who are a little food insecure. Um But the foundation, so there’s a foundation that’s set up to, to kind of um resource the food pantry and, and the services. So there’s some confusion right now on, do I give to the church that runs the services or do I give to the foundation or whatever? So, what we’re doing is we’re crafting a survey to say, hey, do you understand the difference between the foundation, the church, the food pantry? How does that work? Um And, and really trying to get to the purpose, our purpose is clarity around our communication and where to direct people to give money, but we need to work backwards and craft the questions so that they really are um short and compelling and impactful and give us the answers that we need. So I think as long as you’re, you’re really paring down um and really honing in on the purpose of the survey, I think you’ll be able to, to draft some short, uh, really, really great questions that’ll, that’ll drive the, the answers that you’re looking for.

[00:10:56.06] spk_0:
You have a maximum number of questions that, that you’re working toward in your survey.

[00:11:13.30] spk_2:
I’d like to stop it. I’d like to leave it at five. I think five is a good number. Um, you know, I think if they’re quick questions, if it’s multiple choice, those would go a little faster than those open ended. So maybe you’d have a little more wiggle room for some questions there. But I think, you know, too, I think there’s always an opportunity for an executive director or someone to step in after you complete the survey and say, hey, tony, those were really great um examples you shared in that survey, would you be open to a conversation to talk a little bit more about what you think and you know, those opportunities, those touch points are really part of those five A’s, you’re keeping that conversation going and saying, I see you and I value the input that you have into our organization.

[00:11:41.30] spk_0:
I think people would be very grateful for like personal follow up. Now, if you’re, you’re sending thousands of surveys, you know, I don’t know. Uh hopefully you get more than a dozen responses. Sometimes surveys can do poorly. So you might, you might only get 12 or 15 or 20 responses and then you can be personal um with, with those, with those folks and look, I mean, you’re thanking them in a way for, you know, for being among the small percentage of people who did reply.

[00:12:09.52] spk_2:
Oh, for sure, for sure. And what, what’s the, what’s the old adage that you ask for it? You ask for money and you get advice, but you ask for advice and you get money. Well,

[00:12:19.67] spk_0:
that, that may result indeed. Or you, or you might, you might get a, a new volunteer or something. You’ll, you’ll certainly get somebody grateful. Uh, after you’ve, you’ve, like, personally followed up and said, you know, your answer to this was important or

[00:12:32.16] spk_2:
whatever. Yeah. It’s an opportunity. It’s an opportunity for conversation, an opportunity to grow that relationship.

[00:12:58.25] spk_0:
Another thing, um, folks have said is that you don’t ask for information that you, uh, you can’t preserve and, and act on like, if, like, if you’re asking a survey question, would you rather we email you or use direct mail or text? Then they give you the answer. You have to, you have to honor their, their answer. Either that or don’t, don’t ask the question. Yeah,

[00:13:14.38] spk_2:
exactly. Yeah. Yeah. If you’re not gonna segregate that information into your data and you end up mailing someone who said they only want an email, then it may have backfired on you the whole process, right? You really,

[00:13:17.36] spk_0:
yeah, then you have hurt the, then you hurt the relationship better to not even just ask if you don’t have the capability for text. Don’t offer communications, you know, by, by

[00:13:26.08] spk_2:
MS for sure, it goes back to the whole big, big goal that what outcome do you want from the survey?

[00:13:33.26] spk_0:
Absolutely. Very true. As you said at the outset, right? All right. Uh You feel OK with uh attract and being attractive?

[00:14:15.40] spk_2:
Yeah, I think so. I think, yeah, identify and cultivate and um really get them introduced into all that your organization offers. So that is a track. OK. Then you’re ready to ask. Oh, you are ready to ask. And I think so many nonprofits think that that ask is exponentially um hard and it’s an exponential, you know, use of time in fundraising. But really if you’re doing these other things, well, that ask gets a lot easier, but it, it is important to ask and if you are only telling, you know, stories of impact and um you know, really advocating for your cause, but you never ask for money, you’re missing a big opportunity there.

[00:14:23.10] spk_0:
Now you ask, could come in other forms too, right? It might be. Now, now we’re talking about something more than, you know, sign a petition, but it could be volunteer.

[00:15:14.76] spk_2:
Mhm Absolutely. Yeah. Absolutely. One pitfall I see with that though, tony is um a lot of times in a fundraising appeal, I think we sometimes as nonprofit professionals are kind of uncomfortable about that ask and what we tend to do is gloss over it in the fundraising appeal. So, hey, tony. Can you give me $50 or volunteer or share this email? I think it’s really important in a fundraising appeal to have one call to action and if you’re asking for money and for a volunteer and to share the word, guess what people are going to do, the one thing that doesn’t cost them money. So if you’re asking for money, make sure that that’s super clear. And that is the only call to action in your, in your fundraising appeal.

[00:15:47.97] spk_0:
Yeah, I, I didn’t mean to dilute your, your, your, your fundraising. Ask if I was just saying, you know, you could be asking for something else that’s substantial, which is a gift of time. Yeah. But no, I absolutely agree. You don’t dilute, don’t and don’t be humble. You know, you, oh, you know, we hate to ask. But could you, you know, you have, needs, your work is important and you have, needs to, to fulfill that work, to fulfill that mission. Ask with

[00:15:48.71] spk_2:
confidence. Right. Absolutely. Absolutely. Um Fear free fundraising is, is kind of the approach I take there. You, you need to know what you do, why you do, why it’s important, um, what you’re doing differently than anyone else and be really, really proud of that. And when you kind of have those things ingrained in to your thought process, why do you care, then it’s much easier to communicate that to other people? And you don’t feel like you’re tap dancing around it all the time

[00:16:17.36] spk_0:
and, and you don’t want to take for granted that, that people understand all that, you know, because you work in it, day in, day out, week after week, et cetera. But, but everybody else

[00:16:28.17] spk_2:
doesn’t. Yeah. Absolutely. Yeah. Absolutely.

[00:16:31.82] spk_0:
Um, have you seen any, uh, any good, uh, asks lately that you can, uh, you can share?

[00:17:48.29] spk_2:
Well, we’re, we’re getting ready for the biggest ask of the year, right? The year end fundraising season is always a good one. Um You know, I help a lot of organizations really learn the art of appeal, writing. And so, um I’m excited to, I actually have a live in person workshop with a lot of new fundraising professionals in, in about two weeks. And so I’m excited to work with them through that process and see what they come up with. Um But as far as good asks lately, gosh, they’re all over the place. Um We have a nonprofit that we work with called Maya’s Hope and I actually just saw on linkedin before I got on this call, they had a really clear compelling ask to become a monthly donor at $10 a month. And what they show was a picture of a boy in Ukraine and what he, he has special needs and his mom is unable to work right now, has two young Children. They live in a war zone, right? Um But what $10 a month provides for him. There was a photo of it and it was some diapers and some hard to get medication for his, you know, for his situation. And it was saying for $10 a month, um you can give this mom peace of mind that her son is gonna get what he needs for the month because you give to this organization, you put the, the materials in this mother’s hands and relieve her burden and you know, relieve the, the pain that her son is going through because you give to this organization and it was just such a clear, compelling, um, as it really stuck in my mind and I saw it really just a few minutes ago.

[00:18:17.38] spk_0:
Um, it’s personalized. Yeah,

[00:18:19.63] spk_2:
it was, it was

[00:18:20.49] spk_0:
mom. It’s her son.

[00:18:22.19] spk_2:
Mhm. Yeah. And, and you know, and I think that they target demographic. I think a lot of their donors are probably mothers, um, who are kind of feeling the same things about their kids. And so they have a, it’s a woman run organization and I think they have a lot of female donors who just really feel that the tug at the heart strings and understand when they give a little bit and another mom might have some relief.

[00:19:07.57] spk_0:
Maya’s hope is an example that uh we’ve cited in some of our sponsorship messages with donor box because they, they have incredible, I forget what their percentage of increase was when they, when they moved to the donor box platform, but I don’t know if it, if it was the 400% 1 or it was the 267% 1 or whatever. But they’ve been cited in our, in our

[00:19:22.81] spk_2:
message for you. Oh, yeah, I actually I meet with them once a week and so my, my meeting with them is this afternoon. So I’ll be sure to mention that to them that, that you’re noticing them. They’ll be very happy about that. It’s time for a

[00:20:00.99] spk_1:
break. Donor box quote, I regularly experience how donor boxes easy setup and ultra swift pay fast checkout deliver. What we need. Donor box allows us to focus on why we do this, our clients and their needs. End quote. That’s from Jenny N A board member and recurring donor at Organic Soup Kitchen in Santa Barbara, California donor box helping you help others. Donor box dot org. It’s time for Tony’s take two.

[00:22:34.42] spk_0:
Thanks, Kate. I had a rough experience harrowing experience earlier this week. It was just uh four days ago. I was in a car accident. My car was totaled, totally smashed in the front. Uh It’s total. I walked out of it. Uh My, my steering wheel airbag went off my head, hit it and III I smelled this acrid burning smell and I heard hissing, I quick, you know, checked myself, I unbuckled my seatbelt and I was able to just get out and, and walk remarkable could have been, it could have been a lot, a lot different. There were four cars involved and there was someone who was not as fortunate as I was, he was, had to be extricated from the car by the fire department with those jaws of life and they bandaged his head and I could see there was still blood coming even through the bandages. I could see him and he was taken away on a stretcher in an ambulance. He was the worst hurt. You know, it just, it just could have been a lot worse who obviously grateful that I was unscathed. Not even a nose bleed. Uh My, my glasses didn’t even bend, hitting the, the airbag makes me think of my uh father in-law who’s no longer living. Uh because he was an automobile engineer. Cars are engineered to absorb impact with, with crumple zones in the front and the back. I, I needed the one in the front. That’s what saved my life, you know, but crumple zones and safety zones and airbags and the sensors and that’s, um, that, that’s a credit to my father-in-law and all his colleagues in automotive engineering. And it makes me think about how, how close I came and just makes me grateful for scientists, engineers who make our lives safer. That was just this week. And that is Tony’s take too,

[00:22:39.05] spk_1:
Kate. I’m glad you’re with us, Uncle tony.

[00:22:41.45] spk_0:
No, thank you.

[00:22:44.06] spk_1:
We’ve got, but loads more time now back to the five A’s of awesome fundraising with Kara Ox Beger.

[00:22:55.77] spk_0:
Anything else on the, on the ask?

[00:22:58.13] spk_2:
Well, you know, I think so much effort is spent on thinking of that first gift. Um but I think it’s just as important to really earn that second gift. And so that is actually a really great segue into our next A OK.

[00:23:20.15] spk_0:
Oh, I just, I thought of one. OK, before we get, before we get to this, to the next a uh acknowledge um in, in writing, you know, if you’re, if you’re doing, whether it’s digital or print II, I hate to see the asks buried in a, in a dense paragraph, you know, make it, I think, make them stand out now again. Don’t be, don’t be shy and, and humble in your asks. Yeah. Make sure

[00:24:58.19] spk_2:
that it’s clear somewhere. Yeah, what we really encourage people to do so we teach appeal, writing and what we encourage people to do is start with um their direct man letter as an anchor of their communication series around their ask. And in that direct mail letter, what we have them do is make sure that you can understand if you only read the bolded parts of the letter that, that actually tells the whole story. So you have the um the problem. So, and I mean, I’m gonna use this, this Maya Hope example again. So, um mom doesn’t know what to do. Uh son is in need of medication. So, you know, throughout you’re telling a narrative but, but that is, that’s the problem, right? And then you talk about how the organization can help with that. Oh, but Maya’s Hope provides these materials and then you put your call to action and for $10 a month, this child can get what he needs and mom gets peace of mind. Um So if you, if you in the whole narrative of the letter, if you bolded those pieces, the, the reader would be able to really understand what the problem is, what your solution is and how they can help. And then what we do is encourage people to take that anchor piece. A lot of people don’t even do direct mail, but I think it’s a good idea to even start by writing it. And then you can syndicate that direct mail letter into an email or an email series and some social media posts to follow up with that. So you’re really taking um a story and using it as a fundraising campaign for a short period of time and really curating all of your communications around that, that anchor piece.

[00:25:21.21] spk_0:
Do you have advice around uh maximum length of uh I mean, clearly, you know, emails should be shorter but, but uh uh you know, maximum length for a direct mail, you know, print piece.

[00:26:17.87] spk_2:
Well, you know, Mal Warwick is kind of like the, you know, the official go to for me for direct mail writing and he says longer, longer is more compelling. Um, four pages. I’ve never in my life sent a four page appeal letter. Uh but they say, you know, the research says the longer the better I’ve received some in the mail. Um, but no, I, I tend to stick to a front of a page in the back of a page and insert a response device and a carrier envelope in a return envelope. So that’s the package I usually like. Um I think a lot of people think that you have to, you have to just limit the length of a mailed letter to just the front of the page. But I think you can go a little longer. Ok? Especially if you’re telling a good story. I mean, it’s all about storytelling and and really keeping the donor engaged. If you, if you’re writing, well, the donor will turn the the donor will turn the page and keep reading.

[00:26:33.14] spk_0:
Acknowledge. We, we, we almost, we almost got there. You teased right now. Now we’re into that important acknowledgement. I know you’re gonna say that acknowledgements should come fast.

[00:26:49.30] spk_2:
Yeah. So earning that second gift right? We know that acknowledgements need to be prompt and personally um and really make an impact. You want the reader to understand that you are so grateful for their support, so that sincere gratitude, so prompt, personal, sincere gratitude. That really goes a long way.

[00:27:06.00] spk_0:
I love sincerity. You know, and you don’t have to be long to be sincere, genuine heartfelt in your, in your, in your gratitude.

[00:27:21.33] spk_2:
Absolutely. And, and I think, I think, you know, I think that’s something that we, as people are really craving right now. That authenticity, that sincerity. I think that we’re living in such a fast paced life and we have all this A I and all this tech around us that when we get something sincere and authentic, um it really stands out to us.

[00:27:37.92] spk_0:
I’m a big fan of handwritten notes.

[00:28:37.26] spk_2:
Yeah, I just wrote about 15 last night for a fundraising campaign. I’m working on. So, yeah, I, I feel it. I, I’m a big fan of them too. I love receiving them. I love sending them. Um I know it’s a lot of work. I have, I have organizations that I work with. They’re like, I don’t have time for that. Well, there are ways you can, you can modify it. You can do um a mail merged email that looks like it just came from your, your inbox and you can really be like, hey, I just saw your donation come in. I, I really wanted to let you know right away um what this will do and you know, you can, you can really be a little creative. You can even print some Acknowledgments hands, sign them and write a little note on them. Um I received an acknowledgement from an organization, the other day where it was actually written and signed by a volunteer. And that’s OK. I think that those kind of things are just fine. I think you just really need to acknowledge that gift and we know that um that, you know, I think donor attention is down right now. I think a lot of people are saying I’m losing donors and I’m losing donors. Um And I think acknowledgements are the key to that donor renewal. You know, I mentioned earlier, a lot of organizations focus on that first gift. Um But really earning that second gift is what’s important and that’s where acknowledge comes in.

[00:28:55.36] spk_0:
You just gave a lot of good uh tactics for, for, for handwritten or, or something very close to it. Uh Another one is that, that’s, it’s a terrific activity for a board board members. You give them a list of 15 or 20 they can either they could do it in a board meeting or they could take it home with them. You just give them the stationary, take it home with them. I’m sure they’d be happy to mail them,

[00:29:38.78] spk_2:
make a phone call, they can make a phone call. Yeah, leave a voicemail. Yeah. Give them a little script that, you know, most, most calls go to voicemail anyway, just give them a little script that they can leave in a voicemail and, and that’s really impactful. Um What, what always helped me when I um was in a role, I was in a um director of development role and my primary responsibility was acknowledgements. And what I did is I blocked out the last hour of my day on Tuesdays and Thursdays and I made that my handwritten note uh time. And so I went through, I went through the reports. I made sure that they got um notes, but I built it into my schedule and then it was just part of my day and part of my routine for the week. And then I got to go home feeling like I actually accomplished something right

[00:30:37.96] spk_0:
for anything that’s, that’s important. You know, you have, you have to make the time, you’re not gonna find it. Listeners maybe heard me say that if you’ve been listening a while, you’re never gonna find the time, you’re gonna make it. So you have to make it if handwritten notes are important to you an hour a week, two hours a week, delegate it to your board, delegate it to volunteers. That’s a great idea. You know, it’s, people are gonna be thrilled to get a handwritten note because I, I agree with you that we are thirsting for some, some more personal contact coming out of the pandemic when we were, we were prohibited from having personal contact and, and you’re right with artificial intelligence uh growing in popularity to get something that, you know, is genuine, authentic. Um or even the substitutes that you mentioned, you know, if you can, if you can’t do the literal handwritten note, the ways you mentioned to come close, you know, something that’s, that’s email. That, that sounds genuine.

[00:31:07.67] spk_2:
Um, and again, yeah, I think, I think when it comes from the individual, not the organization that adds just a little more impact, um, it makes it seem a little more authentic and, um, yeah, I, I think that one on one is where the relationship grows.

[00:31:25.08] spk_0:
And then if you want to follow with a more formal letter that, you know, maybe says, you know, the, uh it gives your tax deductible tax deductibility disclaimer if you want to include that, you know, that could follow several days later or a week later after the, after the, the, the, the phone message from the board member or the volunteer or whoever. So, you know, you don’t have to incorporate it all in one. And well, how do I sound genuine if I also want to put a tax disc disclaimer in?

[00:31:53.15] spk_2:
Yeah, absolutely. Um The

[00:31:55.33] spk_0:
disclaimer message could be automatic but the, the first thank you could be genuine, sincere and handwritten or a phone

[00:33:07.90] spk_2:
call. And there are some ways you can blend the two I know um donor box, you can customize your donation receipt, so you can warm up that language that they get right away. When they make an online donation, you can add in a little story or a video. Um You can really warm that up. I like to use the analogy. I think a lot of people are confused. I’m glad you brought this up, tony because I think a lot of people are confused about the difference between a donation receipt and an acknowledgement. And so I like to use this analogy. So your donation receipt is like the receipt you get um at the grocery store. It’s very transactional. It says um you know, you purchased this item on this date for this much money where in a management is like, um, a thank you note to your favorite aunt because she sent you a birthday gift. And so you would never say dear auntie thank you for the sweater valued at $49.95 that you mailed on August 15th. Um, no, you would never say that you would say. Wow, thank you so much for your generosity. That’s my favorite color. I’ll wear it all the time. Um, and then I think there’s a big pitfall too. A lot of people will ask for a second gift in their acknowledgement. You know, hey, thank you for, for giving $10. Would you give us $10 a month? No. And use that analogy then as your, as your litmus test, you would never say dear auntie, thank you for that sweater. Can you send me some jeans and some shoes to match it? No, you would never do that. So if you kind of use that as a litmus test of what you’re sending out. Um I think that that’s, that’s usually what I do in my mind. Anyway,

[00:34:09.76] spk_0:
there’s another opportunity to ask for the follow on gift to ask for the gift to be a sustaining gift monthly. You have other chances at that. Don’t, don’t blow your, your gratitude time on on talk about diluting now you’re diluting your thank you with a with a second ask. It’s just like you said, don’t dilute your ask, don’t dilute your, your gratitude with a with a second ask or request for anything. You just make it a straight. Thank you and touch the, touch the person again at another time.

[00:34:12.91] spk_2:
Sure. Yeah, absolutely. And like I said, if you’re doing those other things, well, if you’re, if you are acknowledging and you’re showing that you’re accountable for those donations and you’re, you know, continuing to make your organization attractive when you do ask for that monthly gift or whatever is next, they might be able, you know, raise their hand a little faster and say, yeah, I’m in

[00:34:44.45] spk_0:
indeed indeed. Give them the chance, right? Let, let them, let them maybe self identify too. All right. All right. All important. Uh We’re up, we’re up. Well, go ahead. You, you announced this one, you see them at the beginning, but you can announce our fourth. Awesome

[00:35:39.70] spk_2:
A our fourth A is a count. And so that would also fall under stewardship in that, you know, typical fundraising cycle. But this is where you’re showing impact for your gift. And we know this is important because, um, donors say they stop giving because they believe that their gift won’t really help or the money won’t be used. And so that’s where you have to account, account for that hard earned money that your supporters give to your organization. So show the impact, show the, the numbers of people you’ve fed or the number of shoes you’ve given away or the an animals you’ve saved, tell stories of how life change happened because someone gave. And so that’s what I mean by account, it’s as easy as just showing a little impact. It could be numbers, it could be stories, it could be anything that really gets that point across and keeps people wanting to learn more about how their gift, um went to work.

[00:35:46.87] spk_0:
And Maya Hope example, you used kind of incorporated the two into, into ask and also account, you know, by showing what the impact would be for your $10 monthly gift. You have another example, maybe of a, uh, of a, of a impact, an account that, that stays with

[00:37:09.82] spk_2:
you. Yeah. You know, there’s always, you know, nonprofits do a good job of kind of some year end annual reports that maybe you get in the spring or after the fiscal year and that’s not really what I’m talking about. Um, you know, I just got an, an, um, an email from a nonprofit I support. And it said in a very informal term, you know, in a, in a very informal tone, y’all really stepped up because you gave you, um, provided money for this many teens in this program and you helped dig a well at this site in Africa and you did this and you did this and you did this and it was about six bullet points of what I did and it, I know that my, whatever, my $25 I gave or whatever didn’t do all those things. But it, but addressed it, it said corporately because you gave these things happened. And so I think those are, that’s just a really quick, easy in my inbox. It took me two minutes to read it or less. Uh, but I, that stuck in my mind and I was like, yeah, ok, my money went to work and it did all these things. That’s really amazing. So that’s what I mean by account that doesn’t have to be a large, you know, overly processed brochure mailed, you know, that kind of thing. It can be stories of impact, it can be one on one. You know, I’m sitting across to you from coffee and, and I wanna tell you about somebody who came through our door and was hungry or thirsty and how, you know how we helped them. It’s as easy as that, that’s a count

[00:37:38.12] spk_0:
and you distinguish it from the, uh, the annual report

[00:37:56.31] spk_2:
and, and, and that, that is an impact report. Yeah. And that, I mean, I think that that’s important too. That’s a really great way to show um in a very large format how to, you know, you’re accounting for those donations that are entrusted to you. It’s intimidating for so many nonprofit professionals to think. Oh, I have to knock out an annual report. It’s important you should do it. But throughout the year use these little opportunities to show um that you’re accounting for those donations.

[00:38:12.69] spk_0:
Ok. Anything else? Uh accounting, accounting

[00:38:26.79] spk_2:
wise, well, acknowledge an account, makeup stewardship. Good stewardship means donor retention, right? So that’s, that’s the end goal, donor retention. They want those donors to come back for their second gift and their third

[00:38:29.64] spk_0:
gift. Yeah, because we know that acquiring a new donor costs us so much more than retaining. And uh yeah, our retention rates are very poor, right? Like 20% or something, the 80% of donors leave after the first gift.

[00:38:44.09] spk_2:
Oh, yeah,

[00:38:44.86] spk_0:
17% is our retention rate or something. It’s very, very pitifully low.

[00:38:51.26] spk_2:
So for yeah, you’re bringing in 10 donors and eight of them are turning around and never coming back. But the statistics show that if you have repeat donations. So those people who give second um make their second gift and third gift, their retention rate is closer to that 60% level. So those are the kind of numbers that you really want to, to um report on. You really want to keep your eye on as you are creating your fundraising strategy for the year.

[00:39:19.49] spk_0:
And that’s our uh again, right? Our, our fifth, our fifth a of awesome fundraising is again,

[00:40:10.49] spk_2:
again, yeah, repeat. It’s, it’s just repeat. So as you repeat the cycle, you know, you’re focusing not only on attracting new donors, right? But making your organization attractive to your current supporters. So you’re engaging them, you’re inviting them, you are starting that conversation and just keeping that conversation going and you keep that cycle going year over year. We have um one woman who runs an organization who’s in our fundraising coaching and she shared with me that they have an organizational commitment to ensure that any supporter receives at least two communication touch points before they’re asked again. So that is just a framework that you can have as part of your organizational practices and really just kind of keep that in the back of your mind. So if you’re not over asking, um now there are seasons that are very ask heavy like year end fundraising. You might feel like you’re really, really asking a lot during that time of year and that’s ok. Just make sure that you’re balancing out your communication touch points throughout the year so that they’re not all ask heavy,

[00:40:27.79] spk_0:
you’d probably like to see an annual plan.

[00:40:29.98] spk_2:
Yeah. Oh, absolutely. Communications

[00:40:32.17] spk_0:
marketing plan.

[00:40:34.14] spk_2:
And when you’re mapping out that plan, keep those five A’s in mind and just make sure that you’re, that you’re plugging touch points in that, that apply to those throughout the year.

[00:40:45.52] spk_0:
Anything else, Carrie, you wanna, uh, you wanna leave us with could be, could be outside the five days of awesome fundraising if, if you like anything. Uh, um,

[00:41:15.80] spk_2:
yeah, I say, you know, now is really the best time to shore up some of those good fundraising practices to really um take time to say, ok, what am I doing right now? Have I done a good job of, you know, accounting for the donations people have given to me. Have I taken time to say thank you. Um And that was a really good time to really assess that and make up for a backlog if you haven’t before we get ready for that year end fundraising. So that will help your organization stand out in your supporters’ minds when it’s, when it’s time to ask again. But I think now is a very important time to really make sure that you’re aligned for all that’s ahead in the coming months.

[00:41:40.81] spk_0:
Kara Ger with A P, not with A B No, she’s the uh fundraising coach for donor box. You’ll find her on linkedin. You’ll find the company, of course, you know, because uh they’re graciously sponsoring nonprofit radio, you know, that the company is at donor Boxx dot org. Kara, thank you very much. For sharing. Thanks so much.

[00:42:08.78] spk_2:
Oh, it’s been such a pleasure, tony. Thanks so much for having me next week.

[00:42:15.72] spk_1:
We don’t know, but it’ll be a good one. If you missed any part of this week’s show,

[00:42:19.01] spk_0:
I’d beit, you find it at tony-martignetti dot com.

[00:42:31.82] spk_1:
Were sponsored by donor box. Outdated donation forms blocking your supporters, generosity, donor box, fast, flexible and friendly fundraising forms for your nonprofit donor Boxx dot org. I love

[00:42:40.97] spk_0:
that alliteration. And by the way, when I said tough, I didn’t mean tough for you to say I meant too bad. You gotta say it

[00:43:03.87] spk_1:
too bad yet to say. Try to say it five times fast, fast, flexible and friendly fundraising for, for your nonprofit. Our train is Claire Myer. I’m your associate producer, Kate martignetti. The show social media is by Susan Chavez. Mark Silverman is our web guy and this music is like Scott Stein.

[00:43:24.35] spk_0:
Thank you for that affirmation. Scottie be with us next week for nonprofit radio. Big nonprofit ideas for the other 95% go out and be great.

Nonprofit Radio for June 19, 2023: Feasibility Studies: What, Why & How

 

Brian AbernathyFeasibility Studies: What, Why & How

If a capital, endowment or other campaign may be in your nonprofit’s future, you’ll want to consider a feasibility study beforehand. Brian Abernathy, from Convergent Nonprofit Solutions, explains what they’re all about.

 

 

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[00:00:53.31] spk_0:
Welcome to tony-martignetti non profit radio. Big non profit ideas for the other 95%. I’m your aptly named host of your favorite he Abdominal podcast. I’m still traveling without my studio mic. So my sound won’t be up to par. It’ll be back to normal next week. And I’m introducing my niece Carmella as our sponsor announcer this week. Oh, I’m glad you’re with me. I’d be thrown into trypanosomiasis. If you infected me with the idea that you missed this week’s show feasibility studies, what, why and how if a capital endowment or other campaign, maybe in your nonprofits future, you’ll want to consider a feasibility study beforehand. Brian Abernathy from Convergent non profit Solutions explains what they’re all about on Tony’s take too classy digs non profit radio.

[00:01:14.17] spk_1:
We’re sponsored by Donor box with intuitive fundraising software from donor box. Your donors give four times faster helping you help others. Donor box dot org.

[00:01:57.82] spk_0:
Here is feasibility studies. What? Why and how? It’s a pleasure to welcome Brian Abernathy to nonprofit radio. He is General Manager at Convergent non profit Solutions where he has supervised and managed capital campaigns that have raised more than 100 and $25 million. The company is at convergent non profit dot com and Brian is on linkedin. Brian Abernathy. Welcome to nonprofit radio.

[00:02:00.54] spk_2:
Thanks tony. Great to have the opportunity to join you today.

[00:02:13.07] spk_0:
I’m glad you can. Thank you. Let’s talk about feasibility studies. Let’s before we get into the how and the why, which actually will do the why and the how, but before we even do the why and the how, let’s talk about the what, what, what are we talking about? Feasibility studies?

[00:02:39.09] spk_2:
Yeah. So a feasibility study, tony, you could boil it down very simply to a strategic due diligence. Before a major funding initiative in capital campaign. That’s the context of feasibility study. The convergent manages and works with our clients on it’s not a will this new building attract the right market of folks? That’s a different type of study, researching utility. What we’re talking about here is, can this program of work raise the necessary amount of money? And are we confident that we’ve got the right dynamics to go out and execute a successful capital campaign to secure that

[00:03:09.00] spk_0:
funding? Do we need to know what our goal is going into the feasibility study or have a working goal or I mean, surely the study is going to refine that? But do we need to have a ballpark of what we’re, what we’re looking for?

[00:04:22.18] spk_2:
Yeah, within reason, we always say it’s good to think big in a feasibility study. When we go into this process, the the proposed program of work that we’re gonna take out and use in confidential interviews. We refer to that as a draft prospectus. So it is a working document uh primarily because we want everyone we meet with to know that their feedback can still shape that plan. But it also gives us the opportunity to test different aspects of the goal amount and the utility of that funding. So we know we might need to do a building campaign for instance. But do we want to also test the prospect of some endowment to underwrite the long term maintenance of that building? Now, that’s obviously gonna bring the funding goal up. We can test all of those things in the study. We will come back and recommend a specific goal range for a camp pain, but it’s always easier to bring that number in a little bit after a study than to realize, oh, we should have, we should have tested the endowment for the building, but we didn’t think about it in advance. So we want to think with a, what could we possibly need to execute this plan? Uh and, and reference that number as our proposed goal during the feasibility

[00:04:51.34] spk_0:
process? Okay. So, so a part of it is getting feedback on the proposed

[00:05:12.77] spk_2:
goal. That’s right. That’s right. Did people get sticker shock? If, if most of the folks that we talked to see a number in their eyes get really wide and they start to sweat in the interview that tells us it may be a little bit ambitious and sometimes they’re really easy ways to resolve that. Maybe there’s a piece of the program like an Indie that we can just quietly approach in the appropriate individual conversations. But sometimes it is a recommendation of you might want to look at phasing how you go about this so that you can get the necessary funding and just look at a longer horizon of time and potentially a couple of campaigns or more to bring that funding.

[00:05:37.96] spk_0:
Okay. Okay. All valuable info. All right. Um And, and how many folks are we, are we talking to typically? How does that work?

[00:06:07.38] spk_2:
So, excuse me, on average, we’re going to interview between 55 65 participants in a feasibility study process. We typically are going to do three weeks of in person interviews. That number obviously varies a little bit depending on the specific client, the geographic scope. If you’ve got a statewide campaign, it’s hard to get to all the right folks, maybe in a three week period. But we want to talk to the highest capacity, most influential stakeholders for whatever the nonprofit is that we’re working with, uh and get their bearings on where this proposed program of work and potential capital campaign might be headed.

[00:06:31.57] spk_0:
Does it have to be a capital campaign? Can it, can it be a programmatic campaign that we’re doing a feasibility study for or strictly an endowment campaign.

[00:07:22.80] spk_2:
Yeah, that’s a great question. And a lot of folks hear the words capital campaign and think, oh, we don’t need a new building so we don’t need a capital campaign. When we talk about a capital campaign, we speak more about the funding strategy and infrastructure. So it’s a focused initiative to fund a multi year program of work. It may be 100% programmatic. It may be 100% building capital. We’ve got a couple in process right now that are 100% endowment focused. We worked with the boys and girls club in Kentucky last year. That was all of the above. It was retrofitting a building that have been provided to them, funding the operation and utility of that building and its staff for a five year period of time and also putting into place an endowment to fund the maintenance and upkeep of that building. So a little bit of both, but when we say capital campaign, we certainly are not exclusively talking building capital.

[00:07:45.75] spk_0:
Okay, cool. Alright. So let’s move to the y what, what, what’s the value of doing a feasibility study? What are you gonna get out of it?

[00:09:26.25] spk_2:
Yeah. So the old adage of, of counting the cost before you start to build a tower plays in perfectly here, we’re going to approach the study and there’s a few key factors that we’re looking to validate. We need to know that there is a sense of urgency for whatever the need is that this program will work is going to address. We need to know that it’s being conveyed in a compelling way that those who hear about the need and then hear about the solution to that need are gonna be compelled to step in and be involved. We want to know that the right leadership is ready to step up for that campaign and this comes in two factors, tony, um One is just the right influence. Fundraising is a game of relationship strategy goes a long way. But if you don’t know anyone in a community and have all the best strategy, you’re probably not going to get the right doors open. So we want to vet out who would the best possible leaders be from a volunteer influence standpoint in the campaign. And the second piece of leadership is funding leadership, are we able to identify viable prospects ready to step in and play significant roles in terms of their investment in whatever this campaign will be implementing, knowing that we’re able to set the right perspective for the top of that uh donor pyramid or what we call an investment range tape. We’re specifically looking for a way to identify the top level potential supporters for a campaign knowing that that’s gonna set the peak where everybody’s gonna look too. So uh let

[00:09:46.06] spk_0:
me just flush out some of these So, so you can identify uh top potential campaign leadership and also top potential donors through a feasibility study.

[00:10:55.94] spk_2:
That’s right. So every single interview that we’re in, we’re gonna ask a number of questions focused on these two factors. And we’re gonna come out with a recommended list of key campaign cabinet and volunteer leaders for each campaign that we conduct a fees ability study. On, in most cases, we’re actually gonna have a drafted organization chart of different prospect divisions and leaders that we believe are gonna have influence with those different pools of individuals, organizations, foundations, whoever it may be, uh what that tells us is, we’re gonna have somebody with the right set of keys to open the doors that we need to get to and then getting a little bit further down the road into a campaign. We’re able to make the strategic highest and best use of each volunteer’s time because we know volunteers and fundraising efforts generally have day jobs and a lot of other things drawing on their time. So that’s critical intel, it’s for any nonprofit going into a funding initiative, especially a major funding initiative like a capital campaign because you just don’t want to churn and wear out your volunteers on a campaign that runs, you know, 18 months, two years, three years, folks just really start to get exhausted. So we, we map all of that out to inform a leadership strategy for the campaign.

[00:11:37.63] spk_0:
Okay. Uh So So, so far, we’ve talked about a need and a compelling purpose that’s gonna move people. Um you know, the, the value you get out of this, the leadership, the volunteer leadership for the campaign structure, the donor leadership. What else, what, why, why else do these do a study?

[00:12:14.42] spk_2:
Yeah. So in that donor leadership reference point, we do reverse analytics on every campaign that we complete. So when we look at non profit sectors or whatever the case may be, we’ve got a general idea of, we need to find a top pledge of X percent of the overall campaign goal. And our top five need to be the next percentage in the top 10 and so on and so forth. So we’re strategically modeling out a highly, highly reliable perspective on this is the funding mix that needs to be in place so that a campaign can be successful. So

[00:12:42.66] spk_0:
in these interviews, you’re, are you coming right out and asking folks, what, what, what, what do you see your participation as in this campaign that, that we’re talking about or do you, are you proposing, you’re proposing dollar amounts for each interviewee or we’ve got a, are you getting at this, this, this potential campaign contribution? Yeah,

[00:14:16.75] spk_2:
we’ll take the test goal and break it down into a funding chart just to show a visual of, we use around numbers. If we’ve got a $10 million campaign goal, we need a 15% lead pledge that would be a million and a half dollars. And so we do a couple of things. We ask every interviewee, who do you think could be up here potentially at the top ranges of this, of this pyramid? So who might be that million and a half dollar lead or a couple of folks at half a million below that? And, and in these candid confidential conversations, folks will say, oh, so and so would be great or this foundation or that family, you should try to talk to them. Uh The other thing that we do after that is we ask each interviewee if the right leaders were engaged in this campaign and if you had the right confidence in the case for investment, but where do you think from a low to high range your organization or family or whoever it is might land in terms of a potential investment? So it’s all very hypothetical based on the very the conversation, we’re very clear, it’s not a commitment to funding, but the majority of the time because we’re the third party outside person who is not putting a pledge card in front of them, asking them to sign it in this conversation, they’ll give us that range and sometimes it’s pretty broad within appropriate reason based on questions the interview you may still have. But it helps us to know both for those individuals and also for some industry and community subsets of peers where we might expect to be able to find the, for the campaign

[00:14:39.40] spk_0:
when you ask who might be at this, this top level, the 15% of the goal, do people ever say? Oh, I could do that

[00:14:41.93] spk_2:
in some cases? Yes. Does that happen a great way to identify a potential?

[00:14:48.03] spk_0:
Yeah. I mean, if they self identify, yeah. Say there’s no better way but that, that happens. People say, oh, I could do that. Yeah.

[00:15:48.57] spk_2:
Yeah. And especially when you’re talking buildings and you’re talking about naming opportunities, which we would of course address in a feasibility study. If there is a building in play, you get to have a whole another set of conversation to follow down of what might be more most appealing in terms of naming this facility to honor the memory of your mother or whoever the case may be. Now those are confidential conversations. So we’re using that to inform strategy moving on down the line in the campaign. Uh But we do not share that information. So we assure them that they’re never gonna see a report that says Bob and Susie really want to be the lead pledge and name the whole facility. We, we still work through the process, honor the reality that they may have other things they need to vet out and validate before they’re ready to finalize that commitment. But we’ve got a pretty good idea from that conversation, how we would want to approach them when in the campaign timeline, we might want to approach them and even what leaders would be most influential to garnering their pledge because we also asked them who they think would be the best leaders.

[00:16:37.22] spk_1:
It’s time for a break donor box. It is the fund raising engine of choice for 50,000 organizations from 96 countries. It’s powerful enough to double donations and simple enough to be used by everyone. Black girls code increased donations by 400% upward. Scholars increase donations by 270%. Maya’s hope saw a 100% increase in donors. The donor box donation form is four times faster. Checkout, no setup fees, no monthly fees, no contract and 50,000 organ donor box helping you help others. Donor box dot org.

[00:17:19.90] spk_0:
Now back to feasibility studies. What why and how? Okay. Very interesting. So if you’re, if you’re a client, the non profit asks, well, who is it that stepped up? What makes you so confident uh that we can get this? We have a very good prospect for this 15% leadership gift. And who are they? You, you, you can’t say it’s Bob and Susie. Uh

[00:18:34.56] spk_2:
We don’t know, we probably could, we choose not to. Um because it, it is one of those factors that helps ensure that we’re getting the most candid and direct feedback out of those interviews. Uh What we do provide is a perspective of we’re highly confident that these folks should be considered in this range of potential investment or we believe based on prior conversations, this family could be a great naming target. Most of the time, tony with a nonprofit that’s highly connected and engaged with their constituents. They’ve already got a pretty good idea of who those folks are. So it’s not common that we get a complete surprise out of that and more often than not, we’re going into those interviews, uh sort of ferreting out. We think this person could have interest in naming a facility or, or stepping up and taking a key leadership role. So prior to even getting into interviews, we’ve gone back and forth several rounds with the list of interviewees getting all the background information on all the perspective from our client. What’s their past giving history look like and so forth? So we’ve got a pretty good starting point that we’re, we’re strategically approaching those conversations and when we find that potential lead pledge that we weren’t expecting, we’re thrilled. But, but most of the time we’ve got a pretty good idea where those need to come from before we even start the interviews.

[00:19:23.12] spk_0:
This sounds very much like an art. I mean, these, these face to face interviews or whatever zoom or, you know, however they’re done. But these interviews, it sounds like you get one shot, have a serious conversation with a donor or an individual donor or foundation or maybe it’s a couple, you know, it’s got to be it just sounds like an art. I mean, you got to be organized, you have to have the story complete. I think, I don’t know, it looks bad. I think if you come back and, well, you might say we have some follow up questions, I guess I could see that. But it seems to me you get one shot to do it really well.

[00:20:28.03] spk_2:
Yeah. And you’re exactly right. Tony. Most of these folks don’t have hours and hours of time that they want to give over a number of weeks or months to have following. So we’re very strategic. We developed a questionnaire that we use for each client and some of those questions are our standards. Some of those are obviously very unique to the client situation. But we’ve also got a team of consultants, most of whom are former uh sea level nonprofit executives. And so there’s a lot of intuition that comes into play here of if somebody says something about one initiative and a program of work that makes some interest, we may chase that thought a little bit more, uh We may push a little bit harder for what we would call the financial indication in some interviews and other places we may back off. So there’s a lot of nuance in how those conversations

[00:20:31.03] spk_0:
play out. All right. So let’s, let’s keep pulling on this thread about what you’re gonna get out of it, the, the value, why, why do it

[00:21:46.55] spk_2:
so the, if you want to think about value in terms of a simple deliverable, uh We’re gonna prepare what we call an opportunity, analysis report and recommendations and that’s gonna give um the objective responses that we collect did some quantitative, some qualitative, we’re gonna analyze those. We’re gonna give you perspective on the trends in the feedback that we got. And then it’s gonna give specific recommendations on next steps. Very, very rarely. Tony. Is that next step? A cold and hard? No, go on a campaign. Sometimes it is a bad time for an organization to step into a campaign. Most of the time there is specific work to be done to prepare for a campaign or we’re going into a campaign pretty swiftly. Some of that is the shelf life on these reports. We think of it about a 92 120 day times fans. Um The, uh we know from the pack last few years, a lot can change in three months. So sitting and waiting and considering, should we go forward? Should we not on the side of a non profit can be risky in some

[00:21:57.51] spk_0:
cases. Let me ask you what, what might some of that work be that has to be done first? If it’s not a, it’s not a hard, let’s go. We’re 100% or where you can never be. 100% were 95% confident. But if you’re not at that point, what might some of that work be that needs to be done first.

[00:23:57.83] spk_2:
So generally, it’s gonna fall into one of three specific subsets that we focus on. And we’ve got a principle we talked about it convergent called Asking Rights and Asking rights is the intersection of your nonprofits credibility. Uh The clarity of the outcomes that it delivers through the work that it does not the outputs or the activity, but the true bottom line impact and then fundraising skill. So we’re gonna look at those three dynamics through the interviews and we may come out of a feasibility study process and say your credibility is not quite where it needs to be. And so we need to take some focused time to cultivate messaging, to engage your constituency, get the right leaders committed, maybe do some board work to get them ready to step in and be active. Sometimes this can take place in the foundational phase of a capital campaign. Sometimes it takes a little bit more time on the outcome side. Generally, we’re gonna address this through something we call program refinement early in a campaign engagement where we’re taking that draft plan from the study were sharpening it up. We’re answering the questions that we heard, adding some specificity and really, really working on developing what we call an organizational value proposition, which is how we would convey the the true outcomes and economic value that whatever the nonprofit is we’re working with is delivering in their community. Uh And then the last piece is the fundraising skills. So in some cases, we’ve got a great plan, we’ve got the right outcomes. But the fun fundraising infrastructure to go out and execute on the campaign is just not there. And so one of the common engagements that we work with clients on in that space is a multi month resource development strategy engagement where we’re addressing and building out some of those fundraising infrastructure points so that when the time does get there to turn on a capital campaign, the organization is ready to move forward

[00:24:28.21] spk_0:
smoothly. Meanwhile, though the clock is ticking on the value of the the study, you said what you said 9200 and 20 days is that I don’t mean to put words in your mouth. Is that right?

[00:24:34.82] spk_2:
That so

[00:24:51.09] spk_0:
three, so 3 to 4 months, you see uh after that, the landscape could have changed from the conversations that you had time is ticking while you’re trying to do this sort of fundraising infrastructure work. That’s

[00:25:27.40] spk_2:
right. So if we end up with a longer term engagement, uh that, that were involved in what we’re gonna do is maintain the reference points to know what factors we need to see, shift to be prepared for moving into a campaign. If we get beyond that horizon, we’ve got the perspective from the critical interviews that we conducted in the study and we would just roll what we call some re interviews into the early stages of the capital campaign to get some re validation and affirmation. One of those findings adjusted and that’s usually somewhere in the neighborhood of, you know, 6 to 10, maybe 12 key conversations. And once we validate yet, we still got the right leaders, we still have the affirmed support of some of those lead prospective donors or investors. Then we’re confident to move forward with the rest of the recommendations as we had previously

[00:25:48.10] spk_0:
identified. Okay. Okay. Anything else on the value proposition part, what we’re going to get out of this study? Why we’re doing it?

[00:26:13.92] spk_2:
Yeah, the, the last big pieces that campaign strategy and timeline. So we’re gonna give specific recommendations on the scope of campaign. What we believe a high to low feasible goal range is gonna be the number of months that we believe it’s going to take you to manage a campaign. Uh And then if that client is interested in working with us, we’re also recommending the level of campaign management or council from our side that we believe would be most conducive to their success, given their community size, size of their organization and staff and so forth.

[00:27:03.95] spk_0:
So now we have this, we have this report, I guess it’s, it’s also typically a presentation to the board and the C Suite leadership imagine, but also written report. Um Now then folks can take that report and go off and I don’t know, try they can try to try the campaign on their own. I’m sure they’re free to engage convergent, which, which you would love, you’d love to do that work. Uh, or they can do, they could hire some other firm, I guess.

[00:27:06.81] spk_2:
Right. Yeah, that’s right. So, every now and then we will do a campaign where another firm did a study. It’s not all that common and vice versa. It’s not all that common that we would do a study and another firm would come in and manage a campaign just because you can imagine there’s such a depth of institutional knowledge and connectivity that comes

[00:27:38.66] spk_0:
connection. You had somebody else did the interviews and now you’re executing, you’re going back and getting serious about soliciting volunteers, leadership soliciting gifts, but you don’t have the, you don’t have the connection. That’s right.

[00:28:27.79] spk_2:
Right. All right, you do get engaged periodically with an organization that’s got a strong development staff. We’ve got a few repeat clients in this vote. They are prepared to and understand what is involved in going out and raising the money. But they always want third party objective feedback out of the feasibility study. So they’re getting perspective on how do we do over the past X number of years in communicating with our constituents. How is our leadership seen in the community? Who would be the right leaders is the goal feasible? Now again, we’re not divulging the specific feedback from interviewees in these engagements, but we still say, hey, yes, we, we believe this goal range is a pro for you to pursue uh and so on and so forth. But they’re doing that based on aggregate data. Whereas if were retained to manage a campaign, we have the benefit of all of that very specific and nuanced feedback from interviews that our team members would draw on throughout the campaign to, to guide strategy and next steps with, with the different prospects that we may have interviewed.

[00:29:18.23] spk_0:
Okay. Okay. Um So let’s, let’s stick with, you know, I want to the nuts and bolts of this, of this uh feasibility study. Um How do we, who schedules the, who schedules the meetings? Is that, is that the nonprofits responsibility? Now, we’ve got this list of, you said, typically, I think 50 to 65 interviews. Um you know, who’s who, what’s the mechanics of moving forward? Yeah.

[00:30:33.89] spk_2:
So we will have on average between 55 65 interviews that’s gonna come from a list of normally around 120 or so interviewees. We know we’re not gonna schedule everybody we want to meet with, but we want to get critical mass of feedback. So we start with a list expecting some folks won’t be available. What we have found a over time and time continues to affirm a schedule er, from the nonprofit organization is far more successful in securing these interviews, especially with your higher influence, higher capacity interviewees. Just because it’s a name and a and a number or an email address that they recognize the, the email from convergent non profit solution is not incredibly likely to get a response when asking for a meeting. If any, if anyone’s like me, they get a number of those emails every day from somebody uh selling wares or offering something. And so we want to build from a place of strength in the scheduling. So we start with a representative of the organization. Usually we give about a two week lead time for scheduling and then our average feasibility study is going conduct interviews over a three week period. That person may have a little bit of scheduling work to do over the first couple of weeks, just filling in the gaps. But typically that, that schedule, er, is 2.5, 3 weeks ish of their time making some phone calls and following up on emails.

[00:31:02.20] spk_0:
And what are they asking folks to participate in? Uh, you were, the insiders are calling it a feasibility study or you even have a different phrase that you call it uh

[00:31:03.56] spk_2:
opportunity,

[00:31:04.81] spk_0:
opportunity analysis. But what are we using for? Our, our interviewees are potential interviewees? What are we calling it? What are we, what are we saying? We’re asking them to agree

[00:32:12.93] spk_2:
to, we send a letter over the signatures of a few key leaders that are affiliated with the organization explaining why we are there that we absolutely not asking for funding. We’re seeking candid confidential feedback on the proposed plan that is attached to that letter. So we’re giving them an opportunity to see what we want to talk about before the meeting. Uh Partly so they know, but also so they’ve had an opportunity to digest it and come up with questions before we walk into the room and we tell them it’s a feasibility study. It’s a vetting of a potential campaign that it would be unwise for the organization to go forward apart from the feedback of these key valued stakeholders and constituents. And so that information goes out to everyone on the interview list. We have some cases where for, for sensitive information in the program of work. Uh the client that we would work with might not send out the full plan until someone actually schedules an interview. We have online cloud based scheduling system that we use. So all of that is automated and simple. So not a lot of extra work there. But we want uh we want the interviewees to have perspective well, before we walk in the room because it’s gonna help us get the strongest feedback.

[00:33:45.25] spk_0:
It’s time for Tony’s take to thank you, Classy. Their blog post is 17 podcasts for nonprofits you need on your radar, non profit radio. That’s this show is there number five, it would be my pleasure to name the others, but there are 16 of them. You wouldn’t remember them all. And that wouldn’t be fair to the ones that you don’t retain. Imagine that I’m not gonna let that happen to my fellow podcasters. Well, I’m not going to allow it. So there’s really only one show you need to know this one. Tony-martignetti non profit radio. The post with the full list is on the blog at classy dot org. Classy. Thank you very, very much. That is Tony’s take two. We’ve got Boo koo, but loads more time for feasibility studies. What why and how with Brian Abernathy, they’re, they’re being asked to meet with someone outside the organization, right? That you, they’re, they’re being asked to meet with someone from convergent.

[00:34:08.09] spk_2:
That’s correct. And we identify that person even in that letter, uh you will be getting a call from so and so at the nonprofit organization to schedule a time for you to meet with Brian from Convergent for 45 minutes to an hour at a time of your convenience. So pretty, pretty clear all the way through. So they don’t think uh the executive director of the nonprofit is coming to meet with them and then it’s this outside consultant and they’re caught off guard or what have you,

[00:34:23.64] spk_0:
you prefer to do these in person or is zoom a suitable substitute?

[00:34:29.58] spk_2:
Zoom. Zoom has become a suitable substitute for a lot of things. I

[00:34:33.59] spk_0:
don’t know a necessity, right?

[00:35:20.41] spk_2:
But we still do the vast majority of our interviews in person and most of that is the opportunity to cultivate relationship when we meet with someone in their home or in their office or wherever it may be, you know, just the, the fundraising experience of walking in and seeing things in their office to be able to draw some personal connections. If that’s someone uh that we’re interviewing is 34 months later being sat down with by the same consultant to solicit a pledge. We walk in with that much more relational credibility and equity that we can leverage on behalf of our clients. So we love to do in person. That’s always our recommendation. But we, we absolutely are still doing some zoom interviews and in some cases, that’s just the most functional. We’ve, we’ve worked with some higher ed clients that have donors all over the country. And so in person is just not realistic and zoom allows us to do that. Uh And what we sacrifice in terms of not getting that uh in person sit down sort of warm fuzzy feel is certainly not detrimental to the results that we get in the final.

[00:36:28.17] spk_0:
But you prefer the in person. I always, I always prefer in person meetings with, you know, for me, I’m talking to planned giving prospects are playing, giving donors doing stewardship. But you know, there’s just nothing like seeing pictures of grandchildren, a picture of a sailboat awards from their business, whatever brother photographs there might be. I mean, there’s just a wealth of questions and you know, you can ask folks about to try to build a foundation with people and some of it, you know, may end up, you know, see pictures of yachts in the Caribbean or a yacht in the Caribbean. You know, that, that may be indicative of some, some potential potential giving that you maybe didn’t know about. Uh there’s just so much in someone’s home or office, but even just drawing, just like I said, just drawing a foundation for a relationship asking about the pictures, those Children, grandchildren, you know, etcetera. So yeah,

[00:37:13.30] spk_2:
and these days, the in person meetings are the ones that stand out in our memories, right? Where you’re like me all the time. But the so and so came by sat in my office or my living room, we spent time together. Those are now very much inflection points in terms of our interpersonal reactions are interpersonal interactions. And so that helps uh sort of entrance that conversation in the mind of the interviewee as well, which is a benefit when we get to a campaign because we want to come back and build on that prior conversation. Yeah,

[00:37:30.27] spk_0:
just have a warmer foundation to the relationship if it’s, if it’s not virtual, if it’s in person. What about meals? You like? Uh I like to, I like to, but I may have a different purpose. I’m not doing feasibility studies, but I happen to like to meet prospects and donors over meals is that, is that maybe not so suitable for a feasibility study?

[00:37:52.05] spk_2:
Yeah. We specifically tried to avoid meals and places for these conversations and some of it is we want to hear really candid feedback and we want to hear it about the organization we’re working with. We want to hear it about, as I mentioned a few moments ago. Who do you think could be that

[00:38:03.33] spk_0:
other people? Right. Right. The other person might be sitting two tables away. Yeah. Right.

[00:38:35.84] spk_2:
That’s right. That’s right. So it makes it a little bit easier to get the type of feedback we want. When we’re in a quiet private setting, we had clients who have said, hey, we’ve got a conference room right here in the office. We can do all the interviews in the office. And certainly that’s, that’s not the worst scenario. What we don’t want is somebody weird. Well, gosh, the executive director’s office is on the other side of this wall. I don’t want them to hear some of my true thoughts. So I just won’t share those things. So we, we try to always go to the interviewee so that we’re sitting down in, in their turf. So to say

[00:39:02.67] spk_0:
okay. And then, uh you have a conversation, right? You’re, you’re building that foundational relationship because hopefully you’ll, you’ll be embarking on a campaign with this non profit. Any bad story, like any war story, you ever get thrown out of someone’s home or office. Um I hope not. But if you did, I want to know if you did, I want to hear about it if you got thrown out.

[00:41:02.02] spk_2:
So you always get folks that have some sort of other unique local agenda or organization that they’ve got a stronger affinity for. And you hear a, well, this is, this is good but this other organization is, it’s really getting great work done. So, those are pretty commonplace. Um I had one that is sort of my favorite feasibility study. Worst story that, that really undergirds the importance of that fundraising skill that I talked about earlier. I walked into a feasibility interview. Uh The gentleman that I was gonna interview was ready. He was right there as I walked in, he had the draft program of work in front of him. So I’m thinking great. He read it, he’s ready to go and he pulls out another piece of paper and he says, I’m really glad that you’re here because uh five years ago, I supported this organization in a prior campaign. And this is the invoice for my last payment, which I’ll be sending off later this week. And then he held up that program of work. And he said this is the only other information I’ve received in five years is this proposed program of work. So I’ll be sitting this one out, but I appreciate your coming by to hear my thoughts and I didn’t get my questionnaire out. I thank you, I’ll be sure to convey your thoughts appropriately. Uh And, and that was the end of the interview. It was pretty quick, but that just goes to undergird tony, that all that we’re doing in nonprofits is setting the stage for the next opportunity. So you may not have a capital campaign in the next two years. But the things that an organization is doing today are laying the foundational building blocks so that they can be successful whenever that capital campaign or major funding initiative for an annual campaign you’re in, you can swap out the, the avenue. But that, that communication and relationship cultivation is absolutely critical. And

[00:41:30.92] spk_0:
the stewardship that follows. That’s right. He sounds like he made a five year, a five year pledge. He was just about to send his fifth pledge payment, happy to do it. But the stewardship was awful and all he got was the next funding plan. But he, he set

[00:41:49.98] spk_2:
you up very valid reasons for that organization and its leadership. But, but that, that individual didn’t care if there was a valid reason. His perception was the reality that he was working from. Um, and, and learning those things is good. Sometimes it’s painful to learn those things. But again, I would say that’s a value of a feasibility study as you get some of that inside perspective you otherwise might not

[00:42:30.47] spk_0:
have. Oh, absolutely. You know, you can’t count on that guy. He’s not he’s not gonna be your volunteer. He’s not gonna be your honorary chair. That’s right. It’s not gonna be any kind of volunteer and he’s not gonna give. So that is valuable to know because they probably thought exactly the opposite because he made a five year pledge to the previous campaign. So they probably thought he was a very, very good prospect for this campaign, but they did not do a good job at stewardship. So he’s sitting it out. I do note though that he set you up. He wanted to tell you this face to face. He didn’t want to do it by email. He didn’t say have Mr Abernathy call me an anti before he arranges the, before we meet Mr Abernathy called me. Didn’t, didn’t offer that. He, he wanted to tell it to your face to face.

[00:43:04.01] spk_2:
That’s right. He was going to schedule the meeting right after and you know, I can’t even, it’s probably not fair to presume intent or motive, but there’s a little bit of uh giving you the level of interaction that I didn’t get. Right. Nobody came by to talk to me, but you’re here now. And so I’m gonna tell you face in my perspective, it conveyed the seriousness of his thoughts. It’s really easy to ignore an email. It’s really easy to just say no, thanks. Don’t have time to meet with you. But it appropriately conveyed how, how significant it was to him that he had not been communicated with

[00:43:25.22] spk_0:
stewardship, stewardship. There’s no chance of trying to resurrect that relationship. And then maybe in the midst of the campaign, I mean, the, the CEO would have to be very humble and humble and apologetic, but maybe it’s worth exploring.

[00:44:55.96] spk_2:
Yeah, that’s one of those spots where you look at. Okay. Presuming you have the information available who connected with this individual last time. What was the process by which they were cultivated and solicited? What’s their prior other engagement with the organization? And sometimes tony, I’ve had feasibility interviewees tell me we might give a very nominal amount to this and I would have no interest in a leadership role because I’ve got my business to run and I’ve got these other things going on, but then you go back to them with the right person and they’re your campaign chair, right? I’ve literally seen that in that specific instance, play out in a campaign. And so it goes to show that just because someone says yes or no in one of these conversations does not mean that’s their final answer. And, and again, some of that is in the feasibility study, the value of an outside consultant is nobody’s afraid to tell them the truth. They don’t know them, they don’t have any local affiliate e affiliation. And so they’re just talking objectively about a program of work and collecting information when you get into a campaign, what you want is the exact opposite. You want relationship, you want influence and you pair the strategy and the perspective of a consultant with someone with local relationship and influence and you go back, you can change the response that you get very readily in many cases.

[00:45:16.28] spk_0:
So I’m not so naive. I mean, it’s, it’s possible to resurrect even the guy who says,

[00:45:24.89] spk_2:
but he

[00:46:56.46] spk_0:
held firm. But I would try if I was the CEO I would try and then if he’s not gonna meet me or, you know, he’s dismissive of the, you know, then of course, you can’t go any further. I’m not suggesting go any further, but it’s worth a try. I think, you know, I’m of the mind that if he didn’t care, I know we’re pulling on this one thread, but you picked a very valuable, that’s a really valuable outlier in your experience. He did care enough to tell you why he didn’t. He didn’t just do the things that you suggested would have been much easier, ignored the phone call, ignore the email just, you know, and then, and just blow the whole thing off. He did take the time to tell the organization that they messed up the relationship with him in so many, in so many words. So my belief is if people are willing to tell you that you’ve messed up, they, they still love you just not as much as they did when they made the five year pledge from the previous campaign. They don’t love you as much, but they do still have an affinity. They want you to know that you screwed it up. So, I, I see some, I see some potential but, and you’re saying I’m not 100% naive and at least trying to explore it. I’m optimistic. I have a glass is half full. What else can you tell us about the mechanics of, you’ve got these 55 to 65 interviews? You said you don’t do them over like three weeks. Obviously, you need some time to prepare your report. Do all you have multiple, I guess you have multiple interviewers, then how do you, how do you sort of coalesced the opinions of multiple interviewers?

[00:49:13.19] spk_2:
Yeah. So we’ve got some data collection and analysis tools that we use internally, uh that we come out from a couple of angles. So typically we would have one dedicated consultant who is running through the entire feasibility study process. And in a lot of cases, another of our senior team members is going to come on site for 23 days to, to join some interviews. What we want is a couple of different set of eyes on things. Um And then we come back out of those are our team member who’s been face to face with. Folks is telling us sort of the, the nuance of I heard these trends in conversation and these things don’t bear out in the numbers which are readily evolving day by day as we complete interviews. So we’re watching those trends as things move forward. But we’re able to say this, this number ticks here, but there’s, there’s a fact over here that’s meaningful, that’s not going to show up in the numbers. And so are are on the ground. Consultant is looking at that then a member of our client services leadership team is just blinders on looking at the data, right? Did we see a high enough level of interest in filling a leadership role? If we didn’t, we know there’s a hurdle, we’re gonna have to address do the completely objective numbers of a number of potential high level investors. We say investors, not donors. Now does the number of potential high level prospects match with what we would want to see to know that we could go out there and you know the 300 Hall of Fame batting average and still have a suitable pool of lead investments. Uh Do the numbers of financial indications match up to what history has shown us, we need to see to validate the campaign goal. And then we come together as a team internally and compare all of those things and triangulate in on the positive factors, the challenging factors, we identify what we call X factors that are outside variables that no one could control. But we heard enough about this that if X Y and Z bro this direction, it could have an adverse impact on the campaign. And again, we can’t do anything about it, but we need to always be aware of it so that we’re not surprised if something happens to shift, whether that’s local economy. I mean, who knows what those things could be? But they pretty often will reveal themselves through our interviews

[00:49:38.54] spk_0:
and then it’s a delivery to the, to the board. I don’t know, do the board leaders get an advanced copy of the report and then it’s a delivery to the full board or everybody gets it released to them at the same time, how does, what’s the best way there?

[00:51:14.32] spk_2:
So generally, within about a week of completing our interviews, we’re going to jump on a call with the executive and maybe executive team for our client by depending on their preference and share our preliminary find. So this is yes, we believe a campaign is feasible or not. Here’s the goal amount that we believe is uh is feasible low to high range and here or any other unique variables that we want to get planted in your mind so that you can think through how would be best to present those to your board and other key leaders. That meeting is typically about three weeks or so after we complete the interviews, because it does take us a couple of 2, 2.5 weeks to get that report together and polished up and presentable. And then we would send it to our client executive and give them discretion as to how they would want to distribute it in some cases. They just want to share an executive summary. And so we’ve got that ready in others. They want us to present and then they want to share the report. So we’re pretty flexible on that. And that’s really because every organization is different. And so we don’t, that’s one of those spots that we don’t try to prescribe. You’ve got to send the whole report to the whole board before some boards would read it and then check out of the conversation in person. And you know, there’s all kinds of variables out there that we don’t try to over prescribe a method for, for how we would present. But we would step in and show them the details of the findings. Give them some of the candid feedback at a again aggregate level and share whatever our recommendations would be for next steps.

[00:51:34.26] spk_0:
That’s, that’s a feasibility study. And then they’ve got their 9200 and 20 days to make a decision.

[00:51:52.56] spk_2:
Yeah. And most of the time it’s uh it’s, there’s a campaign or follow on work, I should say most of the time, it’s a much quicker transition. We had a client recently that um it’s sort of still in this process. So, but they had a very specific piece of X factor outside variable that needed to have a clear decision before they would be well positioned to move into a campaign that happened to involve some public sector decisions that has played out over the course of about nine months. And it looks like now they’re gonna be ready to move towards that campaign.

[00:52:14.87] spk_0:
Okay. But now they’re now they’re nine months past the feasibility study. So there might need to be some follow up interviews.

[00:52:17.27] spk_2:
That’s right. We’ll schedule over the first month or so of the campaign. A handful of those re interviews, just rechecking bearings knowing that there’s no new surprises that may have crept up or identifying any new surprises and course correcting for how we would want to navigate those moving

[00:52:53.73] spk_0:
forward. You had mentioned foundations as interviewees, foundation staff are willing to, to take these kinds of meetings and make a broad, I mean, they can’t commit, they can’t commit because every decision is a decision of the board. But foundation staff or I guess it’s a program staff are willing to take this

[00:53:47.41] spk_2:
in varying cases. And so you hit a very specific point that we always monitor when there are foundations on our interview list is 99% of the time that foundation staff person is gonna say a grant is a decision of the board. Our grant guidelines are on the internet or invitation only or whatever the variables. But we typically can be pretty strategic in using an interview if we get it as a cultivation approach. So less of a tell us what the foundation would do and more of a, how would we best position this for success? Given your focus areas as a foundation and would your foundation rather lead the way and help us get out of the starting block strong or put us over the goal line at the other end of the campaign? And as you probably know very well, there are foundations that have very specific spots that they want to play in that process. And we need to know that in a campaign so that we’re not starting out thanking on a meaningful grant from a foundation when that foundation’s board would rather be making that grant. You know, when we’re 80 90% of the way to the goal already.

[00:54:31.92] spk_0:
And, and it could be a funder that’s funded the nonprofit in the past, they’re still not gonna commit to something they’re still going to defer to their board. But uh they, you can deepen the relationship in, in that case. Okay. All right, Brian, why don’t you just leave us with a little uh a little motivation about feasibility studies.

[00:56:15.09] spk_2:
The important thing with a feasibility study is I would say is getting it right. It’s not one of those things that you want to rush through, I would say to a non profit, it’s not something you really want to do on your own because you’re gonna miss some of that objective third party perspective. And that is such a valuable due diligence, a campaign, a capital campaign of a large scale and we’re typically testing multimillion dollar projects. It’s not one of those things that you want to risk swinging and missing. Uh knowing exactly what is out there in terms of the fund, ability of a plan, the amount of funding that’s there. You can save a lot of relational equity and as we talked about before credibility for an organization. So like I said, we will do feasibility studies where there is no interest in our doing a campaign uh and, and offer that perspective in that guidance. But it also we’re an organization recognizes, they don’t have the capacity for a campaign in terms of their internal staff is a just invaluable first step of counting the cost before you don’t go out and start to build that tower. So we’re no surprise big proponents of feasibility studies. We’ve talked a lot internally. Is there uh is there a way to get the same information out of a different process? This is one of those things we’ve tried every thought of innovation and how, how could we move faster? But the reality is from our experience, there is just not a better way to get the level of intelligence that a feasibility study provides and then be able to go into a capital campaign from a position of

[00:56:51.64] spk_0:
success. And plus there’s that relational foundation. Yeah, that, that, that’s so much that’s so much value to it as Well, building that building that relationship. All right. Thank you, Brian. Brian Abernathy, General Manager at Convergent non profit Solutions. The company is at Convergent non profit dot com and you’ll find Brian on linkedin. Brian. Thank you very much. Thanks so much, tony. My pleasure. Thanks for sharing next week, data driven storytelling with Julia Campbell. If you missed any part of this week’s show, I beseech you find it at tony-martignetti dot com.

[00:57:17.04] spk_1:
We’re sponsored by Donor box with intuitive fundraising software from donor box. Your donors give four times faster, helping you help others. Donor box dot org. Our creative producer

[00:57:37.14] spk_0:
is Claire Meyerhoff shows. Social media is by Susan Chavez. Mark Silverman is our web guy and this music is by Scott Stein. Thank you for that affirmation. Scotty be with me next week for nonprofit radio. Big non profit ideas for the other 95% go out and be great.

Nonprofit Radio for May 15, 2023: Engagement And Stewardship For Increased Giving & Data Maturity

 

Brenna Holmes & Alyssa AckermanEngagement And Stewardship For Increased Giving

As our #23NTC coverage continues, Brenna Holmes and Alyssa Ackerman deliver systems and ideas that treat your donors right. They help you understand the value of multichannel touches that move the needle on donor retention and value. They’re from Mission Wired.

 

 

 

 

Joanne JanData Maturity

Also from #23NTC, how data strategy and practices impact your ability to meet your mission. Plus a free resource to gauge your data maturity. Joanne Jan is from data.org.

 

 

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[00:01:43.26] spk_0:
And welcome to tony-martignetti non profit radio. Big non profit ideas for the other 95%. I’m your aptly named host of your favorite abdominal podcast. Oh, I’m glad you’re with me. I’d be forced to endure the pain of dextrose inclination if I saw that you missed this week’s show engagement and stewardship for increased giving. As our 23 NTC coverage continues, Brenna Homes and Alyssa Ackerman deliver systems and ideas that treat your donors right? They help you understand the value of multi channel touches that move the needle on donor retention and value. They’re both from mission wired and data maturity. Also from 23 NTC. How data strategy and practices impact your ability to meet your mission? Plus a free resource to gauge your data maturity. Joanne Jan is from data dot org. Antonis take to it is what it is is what I made it. No, no, we’re done with that. We’re sponsored by Donor box with intuitive fundraising software from donor box. Your donors give four times faster helping you help others. Donor box dot org. Here is engagement and stewardship for increased giving.

[00:01:49.59] spk_1:
Welcome back to tony-martignetti non profit radio coverage. Of 23 N T C 2023 nonprofit technology conference

[00:01:57.42] spk_0:
where we are sponsored by Heller

[00:02:12.89] spk_1:
consulting, technology strategy and implementation for nonprofits. It’s my pleasure to welcome back Brenna Homes and to welcome Alyssa Ackerman to nonprofit radio. Brenna is principal and senior vice president of Mission Wired and Alyssa is senior account director also at Mission Wired Brenna. Welcome back.

[00:02:25.08] spk_2:
Welcome.

[00:02:48.80] spk_1:
Thank you very much. Your topic this year, engagement and stewardship tactics that drive increased giving, writing the fundraising track. I’m sure part of fundraising track. Correct, Brennan, why don’t you kick us off? Just kind of give us a 30,000 ft view of wide. You believe that we need this session 23

[00:03:21.36] spk_2:
N D C. Um I mean, fundraising is harder and harder nowadays, right? It’s a very competitive market. There’s a lot of organizations out there vying for donor dollars. Um And while new generations of donors are coming up, the way they respond and the way they give is different from previous generations and then no matter who you are, nobody wants to be treated like an A T M. So building an engagement and stewardship opportunities is we found the best way to you get a donor from a one time giver to a lifetime brand, evangelist,

[00:03:28.30] spk_1:
evangelism, the evangelist for

[00:03:34.22] spk_2:
keeping them engaged, right? All the way through

[00:03:39.95] spk_1:
time. Have you done your session

[00:03:42.88] spk_2:
yesterday

[00:03:50.55] spk_1:
about how that went and what questions arose from that? Let’s see, I mean, I have your three learning objectives that were stated in the official document for your, for your session. Where would you like to start the topic? Where, where did you begin

[00:04:16.63] spk_3:
the session? Yeah, I think that it’s important to give an overview of why engagement is important as well as how it fits into the overall fundraising strategy. So yeah, I think a lot of organizations often time struggle with the balance and for us to be able to share the value of engagement.

[00:04:27.31] spk_1:
I want you to talk about it like you

[00:04:42.72] spk_3:
talked about it. So there is a strong value behind engagement and stewardship tactics. So you’re really building that relationship with your donor and potential donor. And by doing that, you’re building a case for support and they’re able to make their own decisions to give and quicker. So when you’re asking them to make that gift after an engagement, there’s little decision to be made because you’ve already helped prime and pave that path for them to make the easy choice to give, talking

[00:04:59.68] spk_1:
about giving, not just first time but

[00:05:08.81] spk_3:
any time. And we want to always try to lessen the time between the 1st and 2nd gift, get people to be giving at different levels. Um And so it’s not just about that first time donor and moving them down the marketing funnel, but also retaining those donors and moving them in their donor journey. Okay.

[00:05:24.86] spk_1:
So why don’t we stick with you kick us off with the first, we’re going to do engagement before we’re going to get the stewardship of the first engagement strategy.

[00:06:02.78] spk_3:
Yeah. So um engagement is really important in the beginning of a donor, potential donors journey. So thinking about um different ways to welcome an onboard. So someone who might have signed up for email, let’s get them into a automated welcome series. That’s explaining what the organization does, how they can make an impact, stay connected. And then when they get out of that series, get that first Baskin. So they’ve already taken the action of becoming a subscriber, but let’s get them to take that next step quickly, but also set expectations of how we’re going to be communicating, why we’re communicating. So really that onboarding is important to set the stage for how they are going to be included in the organization.

[00:06:23.07] spk_1:
How long does this welcome series last?

[00:06:57.78] spk_3:
So typically, um welcome series last could last 10 to 3 weeks having multiple touch points. It’s important, it’s important that when they are in a welcome series though, that you’re being mindful of other communication that’s going out. And so oftentimes, my recommendation is to suppress from other correspondents going out. So it’s very clear, concise and they’re on this track, they’ve been primed, they understand the organization and the communication stream and then get them into your normal cadence of communication. Um And it’s really about your organization. So you should test there’s not one prescribed timeline for a welcome series. And so based on your content and your audience, it might be shorter or longer, but it’s really important to test that

[00:07:45.73] spk_1:
out. You suggested that a part of that is informing them how you’re going to be communicating. Is that, is that really asking how do you want to be communicated or, or saying you’ll hear from us every three days for the next three weeks? I understand it would be, I understand this is not a template that everybody applies. You’re in the next 48 hours, there will be no communications after that. So, but how do you say to what degree are you informing them? How you’ll be communicating?

[00:08:44.86] spk_3:
Yeah. Again, I think it’s dependent upon your organization. I am a big believer in, in uh asking that question of what are you interested in? How do you want to hear from us? But sometimes if your system isn’t set up to actually do that or set those um standards of if you only want a newsletter, but we don’t have our system set up to only send you a news. Let’s not ask that. But we can be general to say you’ll be hearing from us and you’ll get newsletters, important updates. If you’ve given your cell phone number, you’ll be getting SMS messages from us. So you can be vague. But the big thing is you need to follow through on that. So if you’re asking how they want to be communicated to

[00:08:51.31] spk_1:
tell you. Okay. All right. How about you? What else about engagement before we get to stewardship? Yeah,

[00:09:39.62] spk_2:
definitely. So, I mean, engagement can mean many things to many people, right? And it really is in the digital space which is a lot of what we were talking about, um getting them to engage with content. So take an action, click something that is measurable in some way. Um Alyssa talked about onboarding, but we can take that even further throughout, you know, quizzes and surveys, getting their own preferences, even, you know, obviously action alerts for advocacy organizations, getting people to take action in a, in a more impactful way um and giving them feedback on what that impact is, is really critical. So depending on the organization, it’s a beautiful consultant answer, right? It depends, um you’re asking them to volunteer, asking them that they’re interested in these other opportunities to further bond them with the organization because whether it is engagement or stewardship or, you know, thinking of them as synonyms. It is about how they engage to stay bonded to the organization or become bonded in the first place.

[00:10:06.31] spk_1:
And there’s value in all these individual steps.

[00:10:07.38] spk_2:
There is definitely and some organizations can actually put a monetary value to them, right? Like they need this number of many signatures for this petition to take this to Congress or, you know, that sort of thing and some of it is a little bit more. Just feel good to calculate how folks are responding to the brand, whether it’s recognition and sentiment kind of things,

[00:11:13.73] spk_1:
any other strategies or tactics around engagement even beyond. So we, we’ve talked about the welcome series right? So now we’ve gone beyond the welcome series. Anything more. I mean, I guess we’re leading toward Alyssa. You had suggested a first gift or maybe, maybe, maybe the welcome series came after the after the first gift. So now we’re looking for a second gift. But the welcome series just to be clear, I mean, it could have come after some other action, right? A signature on a petition. I don’t know if you’re sophisticated enough, maybe a comment on a on a comment on a social post if you’ve got that kind of connection. But okay, so it doesn’t have

[00:11:14.76] spk_3:
to be so it could be, you know, an email subscriber, a new donor

[00:11:21.20] spk_1:
list,

[00:11:34.18] spk_3:
a new sustainer perhaps. Um or if you have like mid level giving or major giving, if someone’s made a mid level gift, they should have a unique onboarding experience as well. Um But beyond welcome series, as Brennan mentioned, having surveys and petitions to really bond and then that’s really focused in digital. But there are many opportunities in direct mail that can complement these as well.

[00:12:32.45] spk_2:
Surveys and petitions are a mainstay in direct mail, right? So those engage devices again, that’s the term that’s used in direct response for eras and eras is to get people to feel their impact beyond writing the check or making the gift. Um And you should be doing that. One of the things we focused on in the session was doing that on a recurring basis. So working, having the fundraising team either build them themselves as part of a comprehensive communications calendar or work collaboratively with a marketing communications team that may be already producing this type of more educational or quote unquote programmatic content so that it’s not just month 13 fundraising appeals and nothing else, we really want to make sure that the donor or prospective donor is having the opportunity to learn and engage with the organization in various ways. Okay.

[00:12:52.84] spk_1:
Okay. So anything else on engagement before we moved to? No, don’t hold out on non profit radio. I mean, what else did you share in your session?

[00:13:09.85] spk_2:
I feel like we touched on a lot of it. I mean, Alyssa talked about tactical opportunities to with whether it’s S M S or even like auto calls, voice recordings, things like that. Um And engagement and stewardship. Can

[00:13:13.80] spk_1:
people still people still react positively to

[00:14:19.92] spk_2:
the auto call? They do. I mean, we forget that our smartphones are actually phones oftentimes, right? Not just supercomputers in our pocket and getting a recorded message that is a human, sometimes even a volunteer or another donor from an organization that is thanking somebody, for instance, for their gift or giving them an opportunity to come to an event um or just saying, go online and check out this latest case that we just wrote this expose on again, depending on the organization is a really fantastic way to break through the clutter of somebody’s inbox, somebody’s direct mail, you know, actual mailbox. Um and technology now allows us to go straight to voicemail. So you don’t even necessary. Yes, ringlets, voicemail. Um and you don’t even have to, you know, have somebody answer the phone and it makes it feels very authentic for a recipient to just see. Oh, I have a missed call. Listen to the voicemail. It’s not a robo call, write personal

[00:14:35.80] spk_3:
messages. You don’t have to listen to the voicemail. You can see it written out in your transcript. And so, you know, that even is great. I like that is, you can see it there. It’s all written out, it’s emphasized. And if I want to listen to it, I can and I hear that real voice. But if I’m on the move and I don’t want to listen, it’s all written. How

[00:14:47.87] spk_1:
do we access ringlets voicemail as you’re calling the number. How do you do it? So,

[00:15:05.07] spk_2:
yeah, there’s third party partners um that work that offer these services um much like a telemarketing firm, but instead of the live callers, you are accessing a dashboard where your staff or volunteers can log in record a voice message. Um sometimes you can even record it just right on your iphone or whatever and then email the file over to the vendor um and then upload a list of phone numbers and the auto dialer spins amount. The vendor knows

[00:15:50.25] spk_1:
how to not make the phone ring. Exactly. Damn. Alright. Ringlets, voicemail. Okay. Very interesting. Okay. But again, I like the emphasis that these are personal calls. It’s not a, it’s not a, it’s not a robocall, it’s personal, you know, Brenna Alyssa, thanks so much. You sign that last petition a couple weeks ago and maybe the person says, um, and, and, and we’re so grateful.

[00:15:54.77] spk_2:
It is if you don’t have the time to do an old fashioned. Thank a Thon, right? This is a way that you can still give that personal touch and a very cost effective way.

[00:16:09.01] spk_1:
Um Okay, engagement. Have we exhausted?

[00:16:12.28] spk_2:
I mean, I guess that’s kind of stewardship to, right? So saying thank you. So kind of going back and forth.

[00:16:30.58] spk_1:
That’s true because we did say thank you. Right. Okay. Um But yeah, we want to keep folks engaged in your point early on. We don’t want to treat them like a T M. All right. All right. Um Anything else? So let’s move more formally to stewardship. Okay. What are your recommendations so we can increase, giving anybody?

[00:16:58.90] spk_3:
Yeah, I think that, um, one you need to make sure you have an auto responder set up for any action to say thank you. It’s very simple and it goes a long way and you need to be specific about what you’re saying. Thank you for. And so is it thank you for taking action. Is it? Thank you for making a gift. These things are important to take that kind of mass communication. And again, bring it to more of a personalized level and so digitally can have those auto responders for direct mail. I don’t think the written note is dead. It still makes an impact.

[00:17:27.55] spk_1:
It’s handwritten huge. I can’t emphasize enough uh fan of handwritten notes. They’re short, it’s not an 8.5 by 11 inch page that you feel you have to full, you have to fill their and nobody does them and they’re personalized and it’s somebody’s somebody’s hand handwriting. There

[00:18:02.83] spk_2:
are few organizations doing them but they stand out that hardly anybody, literally nobody. So that’s what we want. We want folks to kind of, it feels like going back to basics, but it really is just thinking about how would you as a donor, how would you want to be treated? How would you want to be recognized by an organization? Um And then thinking about what are the little things that you can do before?

[00:18:32.17] spk_1:
I want to emphasize the handwritten note. And then if you’re writing the folks, I’d say roughly maybe 60 65 over, don’t be surprised if you get a handwritten note back. Thanking you for your hand for thanking the time I’ve gotten scores of these giving everybody. I work with all the donors pretty much 55 over thanking you for taking the time to send a handwritten note. Thanking you for that. Thanks for your thank you. And they’re doing it another handwritten note back, especially folks in their seventies and eighties and nineties. Some of the donors I work with, that’s what they grew up with handwriting and postage note. So, absolutely. I mean, and also your mail is not junk mail to the folks that are giving to you, you know, an acquisition campaign that’s different. But we’re not talking about that for your, for your donors. Your mail is not your U S mail is not junk

[00:19:38.95] spk_2:
mail. Yes, people are touched and the generational giving studies that are coming out now too is saying it’s not just our elders in the United States that are feeling that way. Millennials respond to direct mail as well. They may not have checkbooks in the house. So you have to give them other ways to respond. Um But it stands out, we don’t get a lot of mail. Um And you know, it’s so having something, we talked a lot yesterday about the having a Q R code that is now ubiquitous, right? Silver lining of the global pandemic. But everybody knows how to use them. Do you remember Q

[00:19:46.98] spk_1:
R codes? They, I don’t know, eight or 10 years ago you’d see them on like a bus. And I thought, oh, these are brilliant and they didn’t take off them. What do we know what happened? 10 years? And if my timing is off,

[00:20:05.88] spk_2:
it was even older than that, actually, I remember them coming out really? In 2003. How come they didn’t take off then? Because each phone it wasn’t native in the operating system. And so if you recall, you had to download a specific app per code. So every company that was pushing these products or trying to get you to use their QR code platform to separate proprietary app reader that then had to be downloaded. So that’s a bridge too far for most of us.

[00:20:32.98] spk_1:
So every code could be a different, a different provider. I there was competition among them

[00:20:36.95] spk_2:
so we have to have the technology catch up. And thankfully now any operating system on any phone, has it native within the camera app. So you’re not asking the user to navigate their

[00:20:51.30] spk_1:
way proprietary app for our, for the company that provided our code. Alright. Yeah, I know it’s now native but I didn’t know why I thank you for explaining why they, why they died so many years ago. I thought this is a brilliant, okay, cool. Thank you for feeling that I’ve always had. Yeah. Now they’re right now they’re ubiquitous.

[00:21:53.24] spk_0:
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[00:21:58.73] spk_1:
Okay, millennials. Gen Z, no checkbooks in the house most likely, but give him a code, the

[00:22:49.47] spk_2:
donation page and like integrating that whether it’s donation page or you know, connecting from against stewardship pieces, newsletters. Um Calendar, people still really love having excuse me, um A wall calendar with beautiful photos to hang up year round and having Q R code there with various calls to actions to learn more about the very programs. You know that Q R code can of course take you to the website and specific pages designed, but it can also take you directly to youtube where you can watch videos. It can take you to a lot of other native apps on your phone that supporters already have and use and engage with on their own that then further your impact story.

[00:22:50.45] spk_1:
People react well to calendars December calendar for the next

[00:23:00.75] spk_2:
year, 100%. I mean, sometimes they’re even more than 12 months, right? So you’re sending them out uh summertime planning for the next year. Yeah,

[00:23:06.16] spk_3:
and all sizes.

[00:23:08.25] spk_1:
So like refrigerator magnets, calendars

[00:23:14.91] spk_2:
are magnetized nowadays. So that makes it harder.

[00:23:26.07] spk_1:
Stainless steel ones. I don’t even know. I don’t have a, I have a stainless steel stove, dishwasher but, but I never had magnets anyway. So I wouldn’t because I think that looks like clutter, clutter in my kitchen. Stainless steel magnetized.

[00:23:35.14] spk_2:
Obviously, I don’t know all of them, but on mine at home it’s just the sides that are magnetized. Interesting.

[00:23:41.49] spk_1:
Alright. Alright. So maybe maybe not the refrigerator anymore but people do like like

[00:23:46.06] spk_2:
wall calendar

[00:23:51.39] spk_3:
even with people moving, working from home and not necessarily working in an office where you’re hanging it up. Still want it interesting.

[00:23:56.54] spk_1:
Okay, cool. All right. So some of the some of the old school stuff is not dead. We’re talking about male, we’re talking about phone calls, we’re talking about handwritten notes,

[00:24:05.58] spk_3:
calendars. You can’t assume you can’t assume that these things aren’t going to work. And so you really need to know what your constituents right now. We go

[00:24:16.72] spk_1:
back to testing trying try a 12 month calendar, maybe there’s a is there a code on every month or something? And then we know right. We know how many of those, which months and how often we know we send 5000 calendars and if we get 1200 hits on a cure, is that, is that

[00:24:36.63] spk_2:
good? Well,

[00:24:42.85] spk_1:
alright, 5000 calendars times 12 month, 60,000 codes, but we only get 1200 I don’t know, but it depends what they lead to. It

[00:24:54.01] spk_2:
does tell you a lot about what your supporters are interested in. Um So if September,

[00:25:00.51] spk_1:
September, what the hell did we, what did we link to in September that everybody loved to volunteer opportunity was something related to the month of September month.

[00:25:11.39] spk_2:
It’s what was happening the world. Yeah, media. Yeah. All the things. So, and I mean, that’s what we have to think about from an engagement and stewardship and lifetime retention standpoint is it’s not just necessarily the bottom line L T V per donor, but it is how these supporters are engaging with the brand, the organization more broadly so that they stay engaged for the long term. Otherwise you don’t have planned giving prospects,

[00:25:56.91] spk_1:
right? My friend is so smooth. Didn’t even, I didn’t have, I didn’t have to give, I didn’t have to have to lay that out. All right. Thank you very much. Um These are awesome uh ideas you can implement for your program. So we’ve talked about a ton of ideas. Anything else that old school, new school stewardship,

[00:26:17.55] spk_3:
I think to part of engagement and stewardship is information sharing. So if something is happening in your organization, making sure that that’s shared and that can be seen as stewardship also because they’re in the know and they feel important and connected. And so thinking about content your organization already has or is planning to disseminate in other ways package it up as stewardship or engagement. So everything doesn’t have to be brand new just for this.

[00:26:35.76] spk_1:
What makes me think of is if you have insider communications, maybe it’s from donors at a certain level. Can you expand that circle? And you’re not diluting the content? You’re not, you’re not diminishing what you’re $10,000 donors get. If you start giving it to your $2500 donors, your $10,000 donors are still getting it. It’s not like a zero sum, right? So

[00:26:58.81] spk_3:
can you

[00:27:02.04] spk_1:
expand the circle so that so that more folks are considered insiders? It doesn’t hurt, it doesn’t hurt the existing insiders to bring more folks in. Repurpose the content, expand the content. I always think about that around and giving donors insider communications or events for your major donors. Why not invite your giving

[00:27:22.90] spk_2:
folks as well? I mean, we think about that similarly with sustain Ear’s. Um can I

[00:27:28.31] spk_1:
until they drop off? Yeah,

[00:29:10.69] spk_2:
I think, I hope we’re well past the like set it and forget it, don’t wake the bear mentality and you know, some things like the proposed Microsoft regulations from last year to will kind of shocked the industry in to having to be better stewards of these really important donors. Um and on the Microsoft. Sure. So I mean, we got a little bit of a reprieve. So, but it’s basically surrounding data privacy rules and allowing the donor themselves or from Microsoft’s point of view, the consumer to, to have a right to adjust their own information, have a right to change um what they want to change without having to jump through a lot of hoops. So Microsoft was not Microsoft, I keep saying Microsoft Mastercard, I’m so sorry, I’m so sorry. That’s not good. Radio, Mastercard, the credit card processing is was going is requiring for for profit e commerce, things like that, that there’s a lot more of the automation and receding that happens for subscription services, right? It’s kind of the Netflix vacation of our lives where we all have so many different monthly subscription services um that we sometimes forget which ones were actually actively subscribed to, but our cards are being charged regularly out and consumer debt is skyrocketing. Mastercard was trying to also extend that out to subscription giving for nonprofits. So sustainer programs. I did sign up for a second sustaining gift to one organization because I had forgotten which one

[00:29:33.92] spk_3:
it didn’t make organizations think about what our process is that

[00:29:39.48] spk_2:
it was a really long time getting there. But

[00:29:43.67] spk_1:
because an explanation, that’s something I never called it Microsoft in the beginning, I would have known exactly what you’re referring to. I didn’t know, I didn’t know, I didn’t know that. That’s

[00:30:18.81] spk_2:
okay. So, uh the T N P A which is a wonderful nonprofit advocacy focused organization, the nonprofit nonprofit alliance. Yes, that’s all it is. Um fought and lobbied on behalf of the industry to have nonprofits be forgiven for these rules or not, not have to be held to the same standards that commercial companies like Netflix and others are because sustained charitable giving is different. People are signing up for it like you said, for a reason and they don’t forget about it quite as often as

[00:30:37.12] spk_1:
they would.

[00:30:40.10] spk_2:
Like I said, I am, I am an example. The

[00:30:44.89] spk_3:
whole selling point is you don’t have to think about it. You’re giving to an organization you care about and don’t worry about it. We got it.

[00:33:08.53] spk_2:
There is some benefit to the efficiency, certainly, but I think we do have to move past that. Um And, and not be scared to empower our sustain ear’s um with some D I Y functionality online if they want to change the amount or the date that their gift is processed. A lot of systems nowadays are allowing for it, but the nonprofits still have to go in and activate those modules and customize that ui that user interface so that donors understand where to go, what to do and also where the humans are when they need extra help to do whatever. So we got a reprieve temporarily or potentially temporarily. But I think what hopefully what this does and how we’ve been working with our clients is a little bit of a wake up call that it shouldn’t be seen as a reprimand. It should be seen as a stewardship opportunity because you’re sustain ear’s are generally 100 plus dollar annual donors. And if they gave that gift at a one time gift level, you’d be treating them differently. They would be part of a pipeline strategy. Um And, and so we need to not only, like I said, empower them to take some ownership over their own giving, but integrate them into, you know, the rest of the communication and stewardship programs that you already have in place for donors of, of that value and higher potential value. We were just looking at an organization’s um stats just recently that a one time donor online acquired donor, which most sustainer zar is online acquired um had an average 24 month LTV of $86 which is pretty good. 24 months, 24 months, $86 sustain urz 2 87 right? So huge difference um that you theoretically don’t have to do much for, right? Um But if they’re, if they’re falling off, um and not, not being stewarded up that pipeline of giving, it’s still a drop in the bucket compared to the potential that may

[00:33:13.25] spk_1:
hold just going back to the mastercard rules. Was it just wasn’t that charities have to start informing the monthly sustain that there’s a dashboard or something that they can go to.

[00:34:09.47] spk_2:
So, not necessarily, you have to make it available. There was a few different, was a four or five different bullet lists that you had to do or bullet items to do. One was having easy accessible like links and all your emails to a place where they could cancel or change their, their gift and or be in contact with within a very short period of time, which was subjective with a human who could then help them through that. Another was uh email notification before the gift was charged on a monthly basis, which actually felt quite was probably the most arduous thing that Mastercard was asking for because most systems are set up to set the auto responder after the charge, not pre charge. So there would have to be some configuration and new content developed to have that year

[00:34:38.20] spk_1:
after one said, thank you, you will be charged in another 30 days that had to be within a certain time of the charge might have been like 24 or 48 hours. But yeah, thank you very much. And you will be charged in another 29 days, right? I

[00:34:40.37] spk_2:
like that. All

[00:34:49.99] spk_1:
right. All right. Um Okay. But yeah, I just wanted to get that little little detail about what the requirement was. Your bigger point was that there’s value in these folks see this as a stewardship opportunity, not a, not a reprimand.

[00:35:19.89] spk_2:
Exactly. And I mean, I think a lot of stuff you’re hearing at the conference to around data privacy. Um and donor choice is going to kind of follow suit here where we, we have to build systems that empower the donors to take ownership over their own giving trajectory. Um And sometimes it is our corporate partners and regulations that nudge us and sometimes we can stand up and do it ourselves

[00:35:23.81] spk_1:
and don’t be afraid to talk to your sustaining donors. Never. Don’t. Let’s not, hopefully, you know, we’re not only over the set it and forget it, but we’re also over the, if I talk to them, they might, they might change their mind,

[00:35:38.42] spk_2:
scarcity

[00:35:39.17] spk_1:
mindset, they’re gonna take that gift away if I remind them that they’re doing it every month. No, no, no. So see, there’s an opportunity

[00:35:45.54] spk_3:
afraid

[00:35:46.11] spk_1:
of, you’re afraid to talk to

[00:35:49.79] spk_3:
these folks if you’re engaging in store them, if they do make the decision that they can’t continue being a recurring donor, hopefully, they still will make that one time gift or they’ll sign up for advocacy or volunteer or planned giving is that they’re still fully engaged with your mission and organization. So you’re not losing them completely. They’re just shifting how they can support.

[00:36:35.11] spk_2:
Situational changes, certainly will affect that, right? And especially some sustainer Czar only giving three or $5 a month. Um and things like inflation and a tightening economy might affect if they can temporary, you know, if they need to temporarily pause that sustaining gift, um If the system allows them to do that themselves, amazing, if not making sure they, you know, who to contact. So that how they can do it and keeping that open line of communication so that they know they can also come back is really important to, again, building that brand affinity and bonding them to the organization so that they say good things about you out in the world.

[00:37:13.18] spk_1:
Oh, this is awesome. Um Great ideas coming, I’ll be very interested in if that Mastercard rule takes effect in the sort of the data, the outcomes, you know, do we see, do we see a lot of sustain ear’s dropping off? My optimistic self thinks that we won’t see that happen. A lot that a lot of people are going to abandon it just because their remote, that they could, but I’ll be interested in the data, but maybe the rule will never. So where does it stand now? With the Master card? It’s not, it doesn’t apply to non profits now and we don’t know if or when it will

[00:37:26.70] spk_2:
change their mind. And they

[00:37:29.09] spk_1:
didn’t say like December 31st is it

[00:37:31.21] spk_2:
is a temporary but no deadline waiver?

[00:37:36.26] spk_1:
Okay, perfect. Okay. Um I’m looking at your learning objectives that were stated in the official and 10 document for this session. Um Ideas with dozens. If you have, I think listeners, you have to go back and replay this. We play this episode to capture all the ideas we talked about. Um understand the value of multi channel touches that increase retention and value what we’ve talked about multi, we’ve talked about all kinds of channels. Uh What else can we talk about that you talked

[00:39:59.74] spk_2:
about yesterday. So we touched on it with the welcome series, right? In the automation. One of the things that I said yesterday and I firmly believe is that we should be leveraging automation more than we do in the digital space. Uh There is so much still like manual labor happening in email, launches SMS, launches advertising and things like that building audiences that is unnecessary. If we take a step back and take a little bit of time to kind of assess the lay of the land first and build out campaign goals, priorities and tactics and strategies. You can pretty much pre schedule almost everything online. Uh So you don’t need to be manually sending out three emails a week or, you know, whatever it is your systems, your technology can really do so much work for you. Um And it’s hard for some folks to put their trust in the machines. Um Yeah, to let go and not review every single audience Celtic and every single, you know, test life, want to see a live seed for every single email, you know, those kind of things. Um But there’s so much more opportunity to do that and you can build trigger based behavior based triggered actions, um emails, engagements, things like that, that keep stewarding people on their own timeline. So you don’t have to pull a list of your, you know, almost lapsing donors manually every time if it’s based on the data that lives in the CRM. Um, and you can build these chronic non responder, trigger based behavior based re engagement series. That’s all about when I last engaged. And it’s different from when Alyssa last engaged. Uh, and it is a little set it and forget it though. Of course, you want to check in periodically to make sure nothing’s gone sideways and the content is still relevant and doesn’t feel dated. Um But that would free up fundraisers, marketers, whoever at the nonprofit to think bigger, think newer, think how we can do something differently or what are the things that we wanted to do for so long. But we never feel like we had the bandwidth at the time if we truly allow ourselves to fully leverage the software that we are investing in regularly, um We’ll have so much more time.

[00:40:27.85] spk_1:
Okay. Leverage automation.

[00:41:43.14] spk_3:
Yes, I think another thing yesterday and often times this is a big question of how can I come back to my organization and have them see the value, you know, they’re looking for the up front giving and want fundraising at the forefront to ask donate now, give now. And so with engagement, you can have after actions, but that’s behind the engagement, that’s not at the forefront. So really being able to share with people, the value is important to go back to their organization and say, you know, there needs to be a balance. You need to look at your communication calendar, where is there the give and take that you can have and sharing that while you might not get the gift today. When you make to ask, there’s a stronger case to give their. And so really looking at your unique file and what they actually respond to because there’s some organizations where you can send a fundraising appeal and you get tons of gifts right off the bat and then there’s somewhere you need to sell it a little more and have those touch points before you can make the ask. And so it’s def for everyone, but it’s important to evaluate that before just saying no, we can only give fundraising emails and direct mail appeals.

[00:41:54.24] spk_1:
All right, I’m gonna let you, that was semi inspirational, but it was very tactical too. So I’m gonna let you leave us with an inspirational message about engagement and stewardship and how that leads to increased giving.

[00:42:08.48] spk_3:
Oh, that wasn’t inspirational enough. Okay. Um

[00:42:15.35] spk_1:
Okay,

[00:42:35.52] spk_3:
this is pressure. I think that you, you just have to take that leap of faith with engagement and stewardship and no one is going to say you thanked me too many times. You sent me too much information. Um You shouldn’t be afraid to provide what your organization does and share your mission. That’s what we’re here to do. And so, um, yeah, engage steward and you’ll see, you’ll see the value come back

[00:42:50.32] spk_2:
around, convey that impact and they’ll, they’ll keep giving. Thank you very

[00:42:59.93] spk_1:
much, Brent Holmes, principal and senior Vice President at Mission Wired and Alissa Ackerman, senior account director at Mission Wired. Thanks very much for sharing, energetic and brilliant. Thank you. Thank you very much and thank you for being with tony-martignetti non profit radio coverage of 23 N T. See where we are sponsored by Heller consulting, technology strategy and implementation for nonprofits. Thanks so much for being with us.

[00:44:38.14] spk_0:
It’s time for tony steak too. Hi there. Who can you share non profit radio with? I would be grateful if you could identify one or two folks that would benefit from the smart guests that I’m picking the brains of each week for all our listeners in small and midsize nonprofits. Maybe it’s someone you work with, someone you used to work with. Maybe it’s a board member. Who do you know that you could share non profit radio with? Let them know it’s your favorite abdominal podcast. So I would be grateful if you could share non profit radio. Love to have more folks learning from all our smart savvy guests. That’s what the show is all about. Passing on expertise and wisdom. Thanks very much. Thanks for thinking about that. That is Tony’s take two. We’ve got Boo Koo, but loads more time here is data maturity.

[00:44:47.31] spk_1:
Welcome back to tony-martignetti non profit radio coverage of 23 N T C. It’s day two at the Colorado Convention Center in Denver

[00:44:57.48] spk_0:
where we are sponsored

[00:44:59.15] spk_1:
by Heller consulting technology strategy and implementation for nonprofits. With me now is Joanne Jan. She is project manager of strategic

[00:45:11.35] spk_0:
partnerships at data dot org.

[00:45:14.61] spk_1:
Welcome to nonprofit radio, Joanne. Thank you,

[00:45:16.56] spk_4:
tony. Happy to be here.

[00:45:17.58] spk_1:
It’s a pleasure to have you.

[00:45:18.51] spk_0:
Thank you. And your

[00:45:28.69] spk_1:
session topic is, is data maturity, the key to meeting your mission. It’s question mark. All right, give us the 30,000 ft view of why this is important.

[00:47:14.45] spk_4:
Absolutely. So when data dot org is thinking about data maturity, we think about it in um three different ways, a specific framework we call the three PS purpose practice in people. And what we have designed based on this framework is a data maturity assessment, which is a way to understand where you think your organization is in terms of its data maturity. And we hope that you use the assessment as a communication tool to understand with other colleagues, perhaps your leadership, perhaps born members to think about what do you want to do next in terms of improving the way you use data more effectively? And um how do you use it better to meet your mission? What is data maturity? Yeah. And so there are a lot of different terms out there that um can encompass data maturity. But the way we think about it is again, in the three piece So when we think about purpose, we think about why are you collecting data? What are you intending it to do? Are you intending it to help you inform future decisions? Are you helping it? Are you intending to collect it to help you inform past um past programming or are you informing it or collecting it to inform um uh what you think could be right now, informing decision making right now in terms of the second P which is practice, this is what, how are you going to actually use the data? How are you gonna use it to achieve what you’re looking for? Um So this is thinking about data analysis, data visualization, um the way you’re using and working with that data. And then the third piece we think is probably one of the most important ones is the people. So thinking about who is actually doing this data collection, the analysis, the visualization, who at the leadership level is promoting and prioritizing data. And then there are the culture. So what is your culture around data as a team? Are you constantly collecting and analyzing data together using it to inform decisions um that type of uh culture?

[00:47:38.72] spk_1:
Okay. And the question is, is this the key to meeting, meeting your mission? So ah how does how does data maturity contribute to mission accomplishment?

[00:48:24.27] spk_4:
Yeah. So I think the way we think about it is it’s a way to be more effective, be more efficient and be more impactful in the way that you are carrying out your programmatic objectives. So um when we think about our data maturity journey, you can be at a different part of the journey depending on where your organization is. And perhaps if you’re earlier on in the journey, data collection might not be of primary focus. But as you’re moving along, as you’re developing more um understanding and knowledge and that talent and data, you might want to use it a little more and drive your specific decision making or practices in that way. Um And so the reason it’s a question that said students really thinking about where your organization is and thinking about what can I do now to um maximize the use of data that I as an organization and probably already collecting. So what am I doing now with the, with the data that I have on hand and thinking about in the future? Do I want to shift my practice is in any way, shift my people in any way or my purpose to make it a little more efficient, a little more effective? Um a little more impactful.

[00:48:53.98] spk_1:
Um You have some tools and resources. You mentioned the data, you mentioned data assessment. Yes. Is that, is that at data

[00:49:17.04] spk_4:
dot org? It is um data dot org is an organization that is a platform for partnerships to build the field of data, for social impact and we do it in the three CS. So the first one is the three CS, easy to remember.

[00:49:18.65] spk_1:
Three.

[00:49:40.85] spk_4:
No, I think that’s it. So the three C’s Cases Capacities, comments Cases, you’re really thinking about lifting up practitioners, nonprofits, social impact organizations that are already doing great work with data or data science. And we post those stories, we share their stories on our digital platform. The second one is Cases Capacity. So thinking about how do

[00:49:47.52] spk_1:
you do,

[00:50:44.61] spk_4:
you can only go from the capacity. So thinking about um how do you increase the capacities of individual practitioners and also organizations? And we do this in a few different ways. One of them being perhaps if an organization needs some technical assistance, we can match, make them with um different consultants or other organizations that do this type of work. Uh Thinking about upscaling organizations. So helping them become more um literate in data or developing a new skill. Um And then our third seat is commons, which is where the data maturity assessment falls in and comments is thinking about different digital public goods that you can offer for free for anyone to access. Um that is open source. Uh And that it um can help you improve your practice in some way. So we have an initiative called reverse at data dot org, which is what’s the name of

[00:50:45.62] spk_1:
the initiative divers?

[00:51:24.29] spk_4:
Okay. So that initiative was thinking about creating open source tools for epidemiology. And so if you have coders if you have public health professionals, everyone’s coming together from different roles and aspects and creating tools that would be helpful for um other people. So maybe a local government in a different country might want to look at these open source tools and helps them predict uh the way a pandemic might spread, predict a number of hospital beds you might need based on um different elements of their, of what has already happened. So putting things together and creating those tools and different packages that you can take and apply to different scenarios and context. So there is just one

[00:51:33.22] spk_1:
example of,

[00:51:34.32] spk_4:
of a comment of

[00:51:35.31] spk_1:
a of a commons,

[00:51:47.41] spk_4:
but the one I focus on is the data maturity assessment. And in addition to that, it’s connected to what we call the resource library. So there are a lot of different resources on our library that can help you figure out what you want to do next. So the way our assessment works is it gives you an overall score and a score for the three PS as well as subcategories. And with that, you get resources matched up to how you’re responding. And so say you’re scoring really high

[00:52:10.29] spk_1:
before we go to that, before we go to the outcome of the assessment, where where do folks find the assessment at data dot org?

[00:52:11.38] spk_4:
So data dot org slash DM A

[00:52:28.08] spk_1:
data management assessment assessment, maturity assessment, data dot org slash D M A. OK. Very well named, easily named. So then the outcome is we get, we get resources allied with our outcomes around the three PS.

[00:52:55.04] spk_4:
Yeah. So if you’re scoring a little lower and strategy, which is subcategory in purpose, you might want to check out our, our strategy guide, which is a step by step process that you, you might want to take your team through and think about okay, what is the data were already collecting? What do we want the data to help us inform in terms of decisions or in terms of team makeup or whatever? And then thinking about okay, what’s our over arching strategy and how do we communicate that with our team? So we’re all moving in the same direction. What do we need

[00:53:03.40] spk_1:
to know entering the assessment? Like is this something I can do in 15 minutes? Yes. So do I can I ceo do it or do I need my I T vendor with me or what?

[00:53:57.65] spk_4:
That’s a great question. And so the assessment you can do in about 10 to 12 minutes, it does not matter what role you’re in. Anyone in your organization can take it an important caveat. Is this is your perspective on your organization’s use of data. So this is not gonna be the objective assessment of how your organization is using data. It’s your perspective on it. And the way we encourage users to use the tool is to use it as a communication tool. So say I take it and then tony, you take it, but our scores are different. That’s okay. The whole point of it is to help you understand and have a conversation about why did you score maybe five in this category? But I scored eight, is it because of the role I’m in? Is it because we interpreted the question perhaps a little differently? And then once we’re aligned, then we can think about okay, we’re aligned on where each subcategory falls. And it seems like we both understand that maybe security is something we want to work more closely on because we agree that that is something that we don’t have the proper protocols and practices in place or that’s something we want to improve. So let’s work together on that and think about how do we improve that a little more?

[00:54:31.10] spk_1:
Um without our listeners having the advantage of having taken their uh data maturity assessment, how can we help folks? I mean, are there maybe there are some of the resources or tools that are commonly needed and helpful? How can how can we help listeners with their data maturity before they take their assessment because they’re just listening

[00:55:20.56] spk_4:
now? Yes. Well, so if you’re interested in exploring the resource library, we have a lot of different tools on it. But what I would recommend and what we recommend for those who are just starting their day to maturity journey is to think about strategy. So, data dot org has a specific guide for strategy in the resource library and you can think about, okay, where is my organization now? And how do I enact and write up a strategy with my team in order to use data more effectively, to better understand how data is coming in and what you could uh think about in the long term and future, what you want to do with the data.

[00:55:23.52] spk_1:
Okay. Okay. What else was in your session that we haven’t talked about

[00:55:36.09] spk_4:
yet? So unfortunately, my co presenter couldn’t be here. But another part of our session was thinking about um you’re using data but how you’re using it in equitable ways. So equitable, cultivating Ecuador practices for data for social impact. Um and the organization that was part of this presentation was the Data for Social Impact Initiative at the Social Policy Institute at Washington University in ST Louis,

[00:55:58.24] spk_1:
took four layers to get there.

[00:56:26.87] spk_4:
All right, I have to make sure I take a lot of pauses during that. And so what they’ve done is they created a course module. So it’s free and open to anyone to use and it’s thinking about data for social impact. So if you as an individual or thinking, you know, I want to learn a little bit more about data, I want to learn, you know, perhaps in my role, how you can use it better, just some foundational knowledge, this free and open courses, something you can access um at the Data for Social Impact Initiative at the Social Policy Institute website.

[00:56:44.36] spk_1:
Okay. Okay. Um How about questions that came from your, from your session? Uh What kind of questions did you get or anything that’s stuck with you? Maybe a provocative question around

[00:58:42.39] spk_4:
data. Yeah, I think um a question, one of the first questions we got was thinking about the word assessment and how that lands with people. So R D M A is called the data maturity assessment. And thinking about maybe assessment is not the right um word because it does have a certain connotation that you’re being evaluated. And the real purpose of the D M A is to help you set a um an understanding of what you think your organization is. So it’s not necessarily a value to it evaluative, it’s more of a um a snapshot of where you are. And so a suggestion was perhaps benchmarking is a little more um is a little more friendly or a little more descriptive of what it actually is. Um So that was really interesting question and useful feedback. Um I’m trying to think of others. I think an interesting piece about the data maturity assessment is that we um are global organizations. So we encourage wherever you are in the in the world to take it. And we’ve had um a lot of different countries represented in our dataset, which is over 1000 submissions at this point. So it helps us understand the field of data for social impact a little better. Um It’s a relatively emerging field. We’re still learning about it and the fact that we can have a larger pool data sets, we can better understand perhaps where there needs to be more support in the fields, um where there needs to be more funding in the field. Um Something that data dot org releases every year is, is a report on thought leadership. And our first report was work first wanted and thinking about what is the current talent landscape of this sector right now? And how do we train more purpose driven data professionals uh and bring some people over from the private sector, encourage new talent to get into data for social impact because we believe that data is going to be a huge um indicator whether or not your organization is going to be successful. What’s,

[00:58:47.62] spk_1:
what’s I guess I I really have kind of a neophyte question. So, but you’ve been your your data professional scientist and I’ve been studying this for about 16 minutes. So,

[00:58:58.10] spk_4:
well, I’m not a data scientist. I am. Yeah. Well,

[00:59:16.15] spk_1:
your title, your title is Project Manager, Strategic Partnerships. I’m sorry, you sound like a data scientist but you’re not. No, I’m not. Okay. Um Well, you have been working with this for a long time. Um What’s the value of knowing where we are in our data journey as an organization? Why, why, why is this important?

[01:00:54.28] spk_4:
Yeah. So I think, well, we hear a lot from organizations is everyone is collecting and consuming data regardless of whether or not you have a strategy in place. And so when you want to make a decision, perhaps you’re having a challenge at your organization and you think maybe buying software technology is going to solve everything. Um What we often hear is that making that big financial investment didn’t actually solve everything. It created more problems. And our hypothesis is that because there was no strategy in the first place, there was no overarching reason why um the decision to make an investment in some technology or software would help you achieve your overarching goals, which was, which is usually in some sort of programmatic objectives, your outcomes that you want your organization to achieve. And so it’s understanding what data are we collecting, what is our infrastructure, what tools do we already used and how do we make them all work in the same direction? How do we make it all work? So we’re going towards and working towards our programmatic objectives and something that we’re learning more and more is that data can help you be more efficient. It can help you understand the different trends in perhaps the different constituents you’re serving or the trends in um whatever your mission, maybe it can help you get more information and oftentimes you have this information, but it’s thinking about how do you um look at it. How do you analyze it in a way that can drive maybe financial decisions you’re making, maybe cultural decisions, you’re making leadership decisions. Um and this is just one data point. So thinking about the different types of data you’re collecting uh and helping you make as informed a decision as possible.

[01:01:21.88] spk_1:
Okay. Alright. So helping with strategic direction, obviously meeting mission um strategic

[01:01:24.96] spk_4:
planning. Yeah, talent decisions. If you want to hire who you want to hire, what skill sets you need, etcetera. Okay.

[01:01:32.28] spk_1:
How do we leave it there? All right. All right. So a big part of this is encouraging folks to do the data management assessment.

[01:01:41.57] spk_4:
Majority, maturity,

[01:02:01.46] spk_1:
maturity, dammit, I’m sorry, data maturity assessment, which you will find at data dot org slash D M A. She is Joanne Jan project manager of strategic partnerships at data dot org. Joanne, thank you very much and thanks for carrying the, the uh the other part of the other part of your session to for your co presenter who couldn’t be here. Thank you for representing that as well. And thank you for being with non profit radio coverage of 23 N T C 2023 nonprofit technology conference where we are sponsored by Heller Consulting, technology strategy and implementation for nonprofits

[01:03:07.70] spk_0:
next week, multigenerational technology teaching and goals aligned with technology. If you missed any part of this week’s show, I beseech you find it at tony-martignetti dot com. We’re sponsored by donor box with intuitive fundraising software from donor box. Your donors give four times faster helping you help others. Donor box dot org. Our creative producer is Claire Meyerhoff shows. Social media is by Susan Chavez. Mark Silverman is our web guide and this music is by Scott Stein. Thank you for that affirmation. Scotty B with me next week for nonprofit radio. Big nonprofit ideas for the other 95% go out and be great.