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How to Knock Down a Silo with a Hammer an easy-to-follow roadmap to execute FLAWLESS cross-channel, integrated fundraising
How to Knock Down a Silo with a Hammer
an easy-to-follow roadmap to execute FLAWLESS cross-channel,
integrated fundraising
1) Integration: Some quick definitions and perspective
2) Futurology: What’s your integrated donor going to be like?
3) The Need: The Integrated (multi-channel) Benchmarking and Analysis
4) The Value: What’s the value of being integrated?
5) The Structure: How are you set up internally for integrated success?
6) Facilitation and the Balanced Scorecard: How do you get to an integrated plan?
7) Evidence – Put It All Together: What does integration look like in the real world?
Today’s Journey
Integration – a definition
Integration
“ The whole is greater than the
sum of the parts”
“ The whole is greater than the
sum of the parts”
A planned marketing mix is more effective than a random
selection of distribution channels
A planned marketing mix is more effective than a random
selection of distribution channels
The “Halo” effect
The “Halo” effect
Integration – ‘up, down, and across’
Integration needs to take place in more than one direction
HorizontallyHorizontally
StyleStyleMessagingMessagingThemeTheme
RenewalRenewal
Donor Development
Donor Development
AcquisitionAcquisition
Ver
tica
lly
Ver
tica
lly In a
chronological customer
contact flow
Acquisition
Donor DevelopmentRenewal
The three tactical levers in integrated fundraising
Integration to Grow Your Pyramid
Prospects
One-off
Monthly
Major
Wills
One-off
Prospect
Monthly
Major
Wills
•The cultivation survey:
• Sent to 57,400 donors
• 3 key segments: Monthly, Active & Lapsed
• 5,530 responses (response rate of 11%)
• Raised $17,574 – a bonus!
• Reactivated 30 donors
• Found 85 expectances and 292 legacy leads
• 143 middle and major donor leads!
• Key: shared budgeting!
Integration for the Whole Pyramid
Online – planned gifts and major gifts…
A recent online survey found
THE FIRST TRIUMVIRATE
THE FUNDRAISING TRIUMVIRATE
Self-Identification
Surveys
RFM
Propensity Modeling and
Wealth Screening
A fourth?
CLM
Accessing all data sources on your mobile…
Task #1: How will you build an integrated
fundraising pipeline?
Futurology as a way to plan for your integrated
fundraising success
Ego-philanthropy
Feeling the need to be their own
fundraising brand
Tribute Mania
The need to tell the world about your
parents and friends and
family
Hyper-adventure
giving
Feeling young and having fun
while giving
Hyper-choice
The death of unrestricted
giving
Customized Workplace
giving
The last opportunity in the 21st century?
The Future Integrated Donor
Proprietary & Confidential04/12/23 Slide 17
Mid-aged Donors: Ego-Philanthropy and
Tribute Mania
•How boomers act – compared to civics and how this makes sense for online social network fundraising…
Proprietary & Confidential04/12/23 Slide 23
Peer to Peer and milestone giving
HYPER-ADVENTURE GIVING
FEELING YOUNG AND HAVING FUN WHILE GIVING
78 million boomers in the US are beginning to retire… one survey found ½ want to have a positive
social impact*…why not give them something to do…
* NYTimes, Nicolas Kristof
As one boomer says on helping charities: “It wasn’t a matter of being a Mother Teresa. It was a matter of, ‘Boy, that sounds like
fun!”…
* NYTimes, Nicolas Kristof
Stretch goals…
Proprietary & Confidential04/12/23 Slide 28
Stretch Goals…
Extreme Fundraisers…
Proprietary & Confidential04/12/23 Slide 30
HYPER-CHOICE
THE DEATH OF UNRESTRICTED GIVING
Kiva – LOAN/GIVEOxfam Canada populates the back
endpeople can choose country, theme, project and then give money, make
a loan, make a team or personal page…
The last physical place of common purpose?
And it may be one of the last places where you won’t need to
get permission to ask them to get involved financially…
Executive Question: What is the average cost to raise a dollar
for workplace giving?
7 cents to raise a Dollar
Automated counter –
demonstrates impact
Matching gift
component
Your own personal campaign
page – celebrates your work and your
staff!
Depts & Individuals can create their own
fundraising webpages
Nothing like some
friendly competition!
Task #2: on a scale of 1 to 5 (with 5 being completely prepared), score your
organization on:
• Ego-philanthropy
• Tribute Mania
• Hyper-adventure giving
• Hyper-choice
• Customized Workplace giving
The Need
1) Nonprofit offline donors are aging
2) Donor files and acquisition list sources are shrinking
3) Revenues are flat and–in many cases–are falling
4) Direct mail costs are increasing/ fundraising margins are shrinking
Nonprofits need (younger) more valuable donors
The Integrated Need
Matures65+ year
old
Generational Giving
Giving (%)
To
tal a
nn
ua
l giv
ing
($
)
58% Give35.9M donors$796 yr/avg4.2 charities$35.9 B/yr
67% Give52.2M donors$901 yr/avg5.2 charities$47.1 B/yr
79% Give30.8M donors$1066 yr/avg6.3 charities$32.7 B/yr
56% Give28.5M donors$341 yr/avg3.6 charities$9.7B/yr
$-
$100
$200
$300
$400
$500
$600
$700
$800
$900
$1,000
0% 20% 40% 60% 80% 100%
Aver
age
Ann
ual G
ivin
g
Percent Giving
Canadian Generational Giving
Boomers
Civics
Gen X
Gen Y55% Give2.7M donors$325 yr/avg3.5 charities$.8 B/yr
61% Give4.2M donors$549 yr/avg4.1 charities$2.3 B/yr
66% Give5.7M donors$725 yr/avg4.9 charities$4.1 B/yr
73% Give3.2M donors$833 yr/avg5.3 charities$2.6 B/yr
20-30 year old
31-46 year old
47-65 year old
65+ year old
And then there is Gen Z…
•3 of the top 10 fundraisers for an organization that raises over $90 million a year are under 15
•Executive Question: Do you have an integrated plan for supporters under 15?
Task #3: draw your generational giving circles
for your organization
GEN Y GEN X BOOMERS MATURES
48% 57% 52% 48%
26% 43% 54% 77%
28% 35% 32% 30%
29% 35% 31% 25%
22% 28% 28% 31%
22% 22% 27% 35%
25% 27% 17% 12%
8% 10% 16% 25%
11% 17% 14% 11%
14% 13% 4% 2%
9% 6% 4% 2%
% donated this way in last 2 years (total)
Giving Channels and generations…
Emerging Channel
Your donors are – fundamentally…
The Value
Value of Multi-Channel: Loyalty – and this is missing larger gifts…
Retention Rate2Annual Donor Value1
Sources: 1. Convio / Strategic One White Paper: Integrating Online Marketing (eCRM) with Direct Mail Fundraising: Adding a New Communication
and Donation Channel Increases Donations; total contributions over 12 month period, excluding $10k+ gifts for SPCA of Texas2. Ibid. Comparison of retention rates for multi-year donors, SPCA of Texas
82.3%
70.1%62.3%
$102.64
$191.35
$255.74
Structure
Traditional
Organizational Structure
Separate Metrics & Team for Online Marketing
Disparate (Sometimes Conflicting) Goals
Inconsistent Voices Representing Organization
Communications
Development
IT
Others (?)Government
Affairs
Coordinated
Organizational Structure
Shared Metrics
Thematically Integrated
Coordinated Appeals
Communications
CoordinatingTeams
IT
DevelopmentGovernment
Affairs
Optimized
Organizational Structure
Unified Strategy & Full Integration Across Channel Managers
Communications MarketingDevelopment Online
CoordinatingTeams
Task #4: on a scale of 1 to 10… with 1 being traditional; 5 being
coordinated; and 10 being Optimized…
Where do you fall on the integrated structure spectrum?
The Balanced ScorecardThe Dramatic Oversimplifcation of Integrated Fundraising, Marketing, Communications and
Campaigning or
Putting Your Organization on One Sheet of Paper
Your Mission
Alumni Relations Measurements: % of contact
information for different alumni cohorts (per channel);
% who attend events; % of recent grads who give (mobile, monthly, etc)
Internal Perspective Measurements: internal cooperation (culture, structure, reporting);
Learning and Growth Measurements: Courses, Qualifications, Proven Application of New Knowledge
Marketing Measurements:
Branding perception statistics,
Facilitation
Getting everyone on the same page for integrated marketing excellence
Proprietary & Confidential Slide 59
Integrated Planning is a full contact sport
What do you do before you meet?
Analyze the data
Prepare two days that will
push, pull, cajole, challenge
and team build.
Culture
Greenpeace – love em or hate em…
They have created a culture, and
structure, of integrated fundraising
innovation...
Brand is perceived as authentic
“Set up to nurture real innovations or completely new projects and ideas
Innovation Fund @ Greenpeace
“Keep the fund small, keep the money moving fast”
64
One million text “votes” in 51 days.
A multi-channel campaign…
Knock Down a Wall!
9.65% conversion to
monthly giving: 15,388
170,658 called on their mobile
phones
50% converted 50% converted to monthly to monthly
givinggiving7.6 million
dollars LTV (over 5 years)
Average gift 3.28
dollars/month
Internal Innovation
External Innovation
A Big Table in the Big State of Texas…
71
Integration is also between departments…
Gen YMainstream media 27%Word of mouth 22%School 18%Peer to peer event 14%
Gen XMainstream media 24%Word of mouth 18%Mail 16%Peer to peer event 11% Work/job 11%Product purchase 11%
BoomersMainstream media 28%Mail 19%Word of mouth 16%Work/job 11%
CivicsMail 35%Mainstream media 24%Word of mouth 18%
Why did it make sense for MADD?
Who is this?
1.attitude;
2.manners;
3.ability to problem solve;
4.to engage with the customer
Customer Service
They NEVER looked for past experience for non-executive positions. They looked for:
IS THIS YOUR CRITERIA FOR YOUR INTEGRATED FUNDRAISERS?
To create an excellent, integrated marketing organization, you need:
So…
Culture that is not resistant to
change
Innovation structures
internally that spur change, testing and integrated
cooperation
Culture that can ‘train’ service
excellence
Culture that is open to external
innovation
1 2 3 4
The EvidencePutting It All Together
A Public Broadcaster
•Brand is perceived as authentic
•No integrated fundraising execution
•2nd gift conversion dropped from 83% to 30%
•Net loss of donors since 2005.
•LTV of donors decreasing significantly since 2001
•Magazine, which was the primary stewardship vehicle, stopped in 2007.
•Share of voice, i.e.number of times donors hear from TVO in a year, has decreased.
Things needed to be improved
•Senior management support
•Cross departmental cooperation
•Create an integrated plan and stick to it
It would take an integrated solution…
Online and offline integration
Launched Impact Report for Donor Loyalty
Launched Symbolic Giving
•Made the Integrated Schedule
•Brought Back More Targeted, and Aggressive, Direct Mail
•Added the Telephone
•Improved stewardship multi-channel
•Improved Monthly Giving online and offline
•60% increase in revenue in Q4 of 2010 – first integrated year
Integrated Improvements
Results – 2010 and 2011
80% increase in average gift over
2 years
15% increase in number of gifts
per donor over 2 years
Wrap Up
Questions, thoughts or reflections…
