Breakthrough Multichannel Fundraising 04 05-12

Breakthrough Multichannel Fundraising#12NTCfundr

Annalise Briggs, Mercy CorpsSarah DiJulio, M+R Strategic ServicesClinton O’Brien, Care2

Multichannel donors are valuable!

Offline (no email)

Offline (with email)

Online Multichannel0

50

100

150

200

250

300

350

Annual Revenue Per Donor

* Ratios from Target Analytics donorCentrics data for international relief organizations

So, what the heck is “multichannel

fundraising,” anyways?

Multichannel MarketingWhat: MessageWhen: Timing

Where: ChannelWho: Audience

Holistic, Supporter-Centric Approach

Email

Mobile

Mail

Telemarketing

SocialNetworks

Television (DRTV)

Face-to-Face

Websites

YourSupporter

YourSupporter

Takeaways

1. Methods to find and on-board donor leads for multi-channel cultivation approaches.• Meh

2. The latest and greatest multichannel approaches that are yielding donor conversions, including monthly sustainers, and producing strong fundraising results.• Yes!

3. Methods for leveraging behavioral and demographic data to enhance targeting and results from multichannel campaigns.• Meh

Slide 8SESSION TITLE

Multi-Channel Fundraising

A Mercy Corps Case Study

Annalise Briggs

Slide 10

Mercy Corps exists to alleviatesuffering, poverty and oppressionby helping people build secure, productive and just communities.

Who We Are

BREAKTHROUGH MULTI-CHANNEL FUNDRAISING

Slide 11BREAKTHROUGH MULTI-CHANNEL FUNDRAISING

Is Multi-Channel Value a Myth?CY11 Revenue Per Donor Actuals


Multi-Channel Fundraising:A Case Study of Monthly Giving

1.Identify the Obstacles

2. Provide Three Takeaways

3. Reveal the Results

Obstacles: Silos

Slide 13

• Staff

• Budgets

• Fundraising Campaigns

• Donor Experience

• Monthly Giving Programs

• Databases

BREAKTHROUGH MULTI-CHANNEL FUNDRAISING


1.Give For Kids

2.Heroes Against Hunger

3.Partners In Mercy

Obstacles: Multiple Programs & One Channel


The Journey:3 Methods of Migration

Integration Cultivation Communication

Takeaway 1: Integration


Reorganized

Staff

Budgets

Fundraising Campaigns

Donor Experience

Monthly Giving Programs

Databases

Takeaway 2: Cultivation


Takeaway 3: Communication



Results

ZEROCancellations

Changes in Communication Preferences


Two Multi-Channel Campaigns:Conversion & Upgrade

Results:Growth in All Metrics



““

Thank you for the little wool ram & note card about Elena.

It has greatly personalized my sterile, monthly donation made through my credit card. I have the little ram hanging on my work cubicle wall to enjoy and to remind me of why I’m making a monthly donation. The world just became a little smaller.

- Lynn

Results: Testimonials


““Dear Dan,

I love the name “Partners In Mercy” and thank you for your letter. Mercy Corp’s effort in keeping donors aware of the work you do and the way our donations are spent is well worth it. I wish I could give more and am so grateful that my small monthly donation is helping children around the world.

Best wishes,

Wilma

Results: Testimonials


Multi-Channel Fundraising:A Mercy Corps Case Study

1.Overcoming Silos

2. Integration, Cultivation & Communication

3. Growth in All Metrics


Multi-Channel Fundraising

Lessons from Care2 and OurNonprofit Clients

Clint O’BrienCare2

How Care2 and our 19 M Members Benefit Nonprofits

VISIBILITY & TRAFFIC

• 16 M unique visitors/mo., ranked 115th in USA

• 150 M additional citizens reached via our our network of media partners

Slide 27

VICTORIES for CAUSES

• #1 petition site in the world, with 90 M petition signings over 12 years

• 60K new petitions created each year

DONORS• Pioneer and leader in online, behaviorally

targeted, permission based recruitment of multichannel donor leads for nonprofits

• 750+ major nonprofits use Care2 as a trusted source to find new, prequalified donors

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 220

100

200

300

400

500

600

700

800Other

Telemarketing

Direct Mail

Online

Multi-Channel Fundraising:Some Actual Donor Conversion Results

Months Since Start of 22-Month Acquisition Campaign

# L

eads

Convert

ed t

o D

onor,

Per

Month


Multi-Channel FundraisingCase Study

Nature Conservancy Canada (NCC) is a leading environmental charity that conserves and protects areas of natural diversity

• Channels Used– Email, Direct Mail and Telemarketing

• Goals:

• Generate actions in support of NCC’s mission and to build loyalty

• Generate new donors• Including new monthly sustainer

donors

Case Study

First welcome email

Online Acquisition & Welcome Email Series

8,000 new supporters acquired from

Care2 in Feb-Mar 2011

Most recent newsletter

Donation appeal. Tested two

versions: “Opportunity” and “Threat”

Survey

0 4 wks2 wks

Direct Mail and Telemarketing

4 wks 6 wks

Direct Mail Prospecting pieces

Telemarketing calls

5 wks

Cost to acquire = $20,000Cost of DM and TM outreach = $34,284Total Cost = $54,284

Total Revenue so far = $28,219 (as of 2/28/2012)

Net Annualized Cost Per Donor Acquired: $35.39Net Annualized Cost Per Sustainer Acquired: $195.06

Average Gifts:Single: $47.53Monthly: $16.28 / month

Telemarketing & DM6.1 % conversion rate•Includes single donors and monthly sustainers (≈10 gifts/yr)•There are 88 monthly sustainers so far

ResultsCase Study


Parting Shot #1

Speed (Recency) Matters

• Human Rights Campaign reported donor pledge rates via telemarketing were more than 30 percent higher for newly acquired online leads if phone outreach took place within the first four months after acquisition.

Source: 5700 phone contacts (over 12 mo.) with HRC supporters who were recruited by Care2 in April-May 2010.


Parting Shot #2

Donors and Information from One Channel Can Feed Another Channel

• HRC’s acquisition campaign with Care2 included an optional field for people to indicate if they were themselves LGBT or not. This information enabled HRC to do targeted Direct Mail pieces

Campaign Package Approach ResponseApril 2010 Traditional 0.26%

September 2010Targeted 0.61%

Traditional 0.35%

February 2011Targeted 0.57%

Traditional 0.12%Grand Total 0.32%

• DM packages with targeted (straight vs. LGBT) messaging strongly out-performed the non-targeted packages


Parting Shot #3

Adding anEnd-of-Funnel

Fundraising Ask

…to an Online Donor Lead Acquisition

Campaign

Combined List Growth + Fundraising Campaign for HSI

• Pledge campaign for HSI to identify and recruit Care2 members who are passionate about ocean conservation

• Conducted Feb/Mar 2012

• Screen after supporter signs up invites them to take extra step of donating to HSI, using secure donation form / widget

Form and donation processing via Engaging Networks

partnership

Combined List Growth + Fundraising Campaign

Benefits:• Some “instant” donors• Faster payback on acquis’n campaign• Good donor cultivation

• Sends signal to all newly acquired supporters: You should expect to be asked for money sometimes

Thanks

Clint O’BrienCare2

[email protected]

Multichannel Hypotheses

Sarah DiJulio,M+R Strategic Services

Hypothesis #1New Prospect Conversion

to Donor

Telemarketing Calls

Telemarketing Data Overlay

Not HRC’s data!* Response rates skewed due to small sample sizes!


Not HRC’s data!


Not HRC’s data!

Results?

We piloted this strategy with three nonprofit clients:

• Human Rights Campaign

• Mercy Corps

• Oceana

For Online Acquired Prospects

• Email Welcome Series – THUMBS UP!

• Telemarketing – Thumbs Down / Meh

• Direct Mail – Double Thumbs Down

For Face-to-Face Acquired Prospects (HRC only)

• Email Welcome Series – Thumbs Down (may be warm-up effect?)

• Telemarketing – THUMBS UP!

• Direct Mail – Double Thumbs Down

Slide 53Breakthrough Multichannel Fundraising

What we learned

Email prospects are valuable

• Even without the multichannel conversion, acquisition of new email prospects from sources like Care2, Change.org, and other vendors is paying off for many nonprofits, within 12-24 months.

• The email “welcome series” works, but is very labor intensive. Only worth it if you are acquiring large volumes of new recruits OR you can automate it!

If your constituency has a festival or face-to-face opportunities, collect names and test telemarketing those people.

We can still convert to multichannel donor on the followup, once we’ve got their first online gift.

This strategy may still pay off if you have puppies, an emergency, and/or a huge brand name.


Hypothesis #2Direct Mail “Chasers”

Results & Learnings

Results

• Referencing DM piece in the email had little to no effect on the performance of the email.

• We don’t know what the impact was on the performance of the mail.

• It’s hard to track the impact of multichannel marketing!

What We Learned

• If you are sending email and DM at the same time, there’s certainly no harm in referencing the mail piece, but this IS extra work.

• Get your tracking in place before you test this!


Hypothesis #3Post-TM Email to

Pledgers, Hedgers and Refusals

Pledgers Sample Email

Dear <first-name>, Thank you so taking the time to speak with us on the phone, and for pledging a generous monthly gift of $X. Please fulfill your pledge here using our secure website.

Hedgers Sample Email Dear <first-name>, Thank you so taking the time to speak with us on the phone, and for considering making a monthly donation. Here at Nonprofit X, we rely on the support of members of our monthly giving program to provide critical assistance to families and children in desperate circumstances around the world – including families who rely on our help to survive the brutal hunger crisis in the Horn of Africa. Please help rush critical aid to people who urgently need help in Horn of Africa and around the world – make a monthly gift now on our secure website.

Refusals Sample Email Dear <first-name>, Thank you so taking the time to speak with us on the phone. We deeply appreciate your support for our mission and your commitment to helping children and families in most desperate need around the world. Here at Nonprofit X, we rely on our supporters to help provide critical assistance to families around the world – including families who rely on our help to survive the brutal hunger crisis in the Horn of Africa. Supporters like you are making a crucial difference by helping send food, clean water, medicine, and much more to people fighting for survival in Somalia, Ethiopia, and Kenya, where 12 million people are at risk after a devastating drought. We’ve been able to help over 1 million people in drought-affected areas. But the needs are great, and children are continuing to starve to death each day. We will continue to keep you updated on the situation as it progresses, and as we continue to rush aid to the people who need it most. Again, thank you so much for your support during this critical time. Sincerely, Signer PS – If you’d like to make a gift in the future, you can help save lives of people in the Horn of Africa and other desperate places around the world by making your monthly gift on our secure website.

10 Sustainers37 Donations

11 Sustainers

15 Donations

Results for sustainer revenue assume 24 lifetime gifts per sustainer.

What We Learned

This works! Produces a 3.5% lift on sustainer revenue and 6.5% lift on one-time revenue from the TM calls.

But it’s a lot of work.

If your TM vendor can do this easily, highly recommended.

If it’s not easy to implement, though, probably not worth it!


In Conclusion

No reason NOT to do multichannel marketing when it’s easy. Shared visual, message, timing.

When it’s hard, really evaluate the potential ROI. If you spend $5,000 in staff time to implement a strategy that nets an additional $3,000 in revenue, it’s not worth it. Do the math before you start.


Evaluate This Session!

Online using #12NTCfundr at www.nten.org/ntc/eval

Date post:	18-May-2015
Category:	News & Politics
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Breakthrough Multichannel Fundraising 04 05-12

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