Three questions from you…
What are the primary reasons for people to give to charity
To what extent do premiums contribute in an older target group
What are the basic elements of a good fundraising mailing
Giving Behavior Model – Sargeant and Woodliffe (2008)
Perceptual Reaction
PortrayalStrength of Stimulus
Perceived Norms
Processing Determinants
Past ExperienceJudgmental Criteria
Outputs
‘Cash’Regular Gift
BequestsSize of Gift
Loyalty
Individual Characteristics
DemographicLifestyle
Geo-demographic
Motives
Self Esteem/Self InterestAltruismGuiltPitySocial /Distributive JusticeEmpathy/SympathyFearPrestige and making a difference
Source
BrandingMediaSeed money and refunds
Feedback
LabellingRecognition/Rewards
External Influences
Communities of Participation
Models/Experiences
Inhibitors
Financial ResourcesTimeOther Priorities
Environment Environment
In broad terms…Self-interest
They feel good
Reciprocation
Altruism
Sympathy
Empathy
Pity
Social justice
Fear
Guilt
It’s expected – social normsFamily
Community
Church
Recognition
But there are many other factors
Research by…
Sargeant and Shang, University of Indiana, working in Pulic Broadcasting fundraising,showed people were greatly influenced by issues to do with their IDENTITY
Social information increased giving from new members (Number of Callers = 317)
$86.58 $87.44
$96.98
$111.91
$80.00
$85.00
$90.00
$95.00
$100.00
$105.00
$110.00
$115.00
Control $75 $180 $300
Condition
Mea
n P
ledg
e A
mou
nt
($)
Boundaries?
Similarity Matters (Mary vs.Tom, she vs. he)
131.57
160.2
120
125
130
135
140
145
150
155
160
165
Mismatch Match
Condit ion
Mea
n C
ontr
ibu
tion
($)
Their social network mattersAmount Donated Based on Number of Acquaintances who Listen to StationX
101.83
119.19
113.74
122.02
132.31
$100.00
$110.00
$120.00
$130.00
$140.00
1 to 3 4 to 6 7 to 9 10 to 12 13 to 15
Number of people
Ave
rage
Am
ount
Don
ated
($)
A question to you…
What percentage of money comes into charities in the
US, through on-line compared to off-line?
On-line percentage of income…
2012 7.0%
2011 6.3%
2010 7.6%
* Blackbaud’s 2012 On-line Giving Report –2.025 charities, $4.8bn income
A definitive report…
28 US charities – figures are 2010
$1bn in revenue, over 15m donors
More than three-quarters of gifts are direct mail, only 10% are on-line.
Money from events and starter gifts over $250 is excluded
Distribution by age…
Value and retention…
Now, multichannel…
51% of on-line donors are using mail for
support three years later
Interesting research…
TGI report in 2010
10.9m people in UK hadn’t used the internet in last 12 months
59% of 65 year olds
Customers asking for mail not email (Ebiquity)Lloyds 52% v 13%, Churchill Insurance 50% v 20%, BT 46% v 22%, Virgin Media 44% v 21%
Paper not email?Research from Milward Brown at Bangor University*
MRI scanners showed brain activity – ads on screen v on cards
Paper – more integration of visual and spatial info, more ‘real’, better memory
More activity in the right retrosplenial cortex, therefore more EMOTION
* ‘Using neuroscience to understand the role of direct mail - 2011’
Further facts…2012 support campaign to Poppy Day
Over £8m
Ratio of money off-line : on-line
1000 : 1
But…multi-channel is more valuableIn 2012, median revenue per donor
multi-channel - $189, offline - $69, online - $130
First year retention multi-channel - 64%, offline 37%, online 32%
Multi-year donor retention multi-channel - 67%, offline 42%, online 32%
Reactivation rate (1-5 years lapsed) multi-channel - 28%, off-line 21%, on-line 20%
*2012 Trends from Target Analytics (Blackbaud) donorCentrics Internet Giving Benchmarking Group
Next break…
The next two questions answered
Interesting things happening in the UK market for
charities
Introducing 2-stage recruitment
Three questions from you…
What are the primary reasons for people to give to charity
To what extent do premiums contribute in an older target group
What are the basic elements of a good mailing
Three questions from you…
What are the primary reasons for people to give to charity
To what extent do premiums contribute in an older target group
What are the basic elements of a good mailing
Emotion
‘The essential difference between emotion and reason is that emotion leads to action and reason leads to conclusions’
Donald Calne, Consultant Neurologist
University of British Columbia
Emotion
Next break…
The next two questions answered
Interesting things happening in the UK market for
charities
Introducing 2-stage recruitment
2009
London tube…2012
Two-step information service
2 examples
Two-step donation
And a step back in time…
Fundraising marketing…
…is unlike any other marketing
…relies PURELY on emotion
The emotion must SATISFY the donor
…enough to make them give again
…and leave a gift in their will when they DIE!
