masterclass: 25 ways to kick start your cross channel fundraising!
DESCRIPTION
This exciting session will explore the many innovative ways to attract and retain supporters exposing you to multi-channel fundraising – like you’ve never seen before. What are the different media channels available for fundraising? How hard is it? In the ever changing demographics of our world, today’s fundraisers need to be on top-of-their-game and embrace new techniques to find supporters and keep the ones you have! We guarantee that you will have fun as you witness the endless ways others have jumped into the age of Google and started to combine direct mail, social network sites, personal pages, digital photos, blogs, video, twitter, widgets, audio podcasts and mobile phones to raise money and build relationships with their supporters. This fast-paced session, with up-to-date examples from some of the most accomplished and many other exciting fundraising brands will help you master cross-channel fundraising!TRANSCRIPT
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25 WAYS TO KICK START YOUR CROSS-CHANNEL FUNDRAISING
Mike Johnston – HJCLynne Boardman – HMATad Druart - Convio
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[email protected] and Founder, HJC
Lynne [email protected] Director, HMA
Tad [email protected] of Corporate Communications and Marketing,Convio
TP2010Tweeting today?
Your presenters...
Follow us as... @hjcnewmedia
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• What is it?
•Why do it?
•What’s stopping you?
• Online and Direct Mail: Australia, France, Canada
• Online and the Telephone: Canada, US, UK
• Text messaging and voice: Argentina and Austria
• New York Public Library – using cross channel fundraising to break down silos
• Online and video: France
•Online and major gifts and legacies: Canada, Mexico
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CROSS CHANNEL FUNDRAISING
• The use of multiple channels (online, direct mail, telephone, mobile) to support one another to raise more money and build better donor relationships
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CROSS CHANNEL FUNDRAISING
Why do it?
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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%
Checkout Donation
Check by Mail
Gift Shop
Website
Fundraising Event
Honor/Tribute Gift
Third Party Vendor
Phone
Monthly Debit
Mobile/Text
Social Networking Site
52%
49%
32%
31%
27%
26%
20%
14%
14%
8%
5%
Giving Channels% donated this way in last 2 years (total)
Emerging Channels
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Peer to Peer
Social Media
Phone
Text
52%
41%
28%
22%
15%
8%
Solicitation Channel (From charities/nonprofits with established relationship)
% say appropriate solicitation channel (rank ordered by very important –blue) TOTAL GEN Y GEN X BOOMER MATURE
84% 87% 89% 82% 76%
77% 77% 79% 74% 77%
65% 76% 69% 60% 51%
47% 69% 60% 38% 17%
42% 51% 42% 39% 34%
23% 38% 25% 16% 13%
12
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• Fundraising is profoundly multichannel• Causation may be impossible to track• Traditional donor databases are dinosaurs• Remove the silos within your organization• Direct mail and telemarketing need
to evolve
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What does it mean?
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Proprietary and Confidential
Integration opportunities or threats?
Area One: Direct mail and email
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Web Triggers Direct Mail Response
When you received a mail solicitation from a charity, which of the following places on the Internet do you look at before deciding whether to give money
All respondents 2005 2008
Look up 25% 44%
Do not look up 61% 47%
Don’t know/none 13% 10%
2005 2008
Org’s web site 19% 37%
Independent rating organization
11% 24%
Online discussion group
3% 10%
Blogs 2% 8%
NPT Research: 1,000 calls
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Proprietary and Confidential
If 37% of direct mail donors who get a direct mail solicitation go to the charity’s web site before giving then shouldn’t cross-channel integration look like this?
Press Advertisement
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Cross-channel integration
Magazine Advertisement
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Visitors were asked to fill out petition including mailing address and email…
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Direct Mail integration (coordinating messaging)
There were three test cells:
1. RECEIVED ONLY MAILING. 2. RECEIVED EMAIL BEFORE THE MAILING. 3. RECEIVED EMAIL AFTER THE MAILING.
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Direct Mail integration (coordinating messaging)
Pre-DM
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Direct Mail integration (coordinating messaging)
Post-DM
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Direct Mail integration (coordinating messaging)
Receiv
ed only
mailing
Receiv
ed em
ail befo
re the m
ailing
Receiv
ed em
ail aft
er the m
ailing
0
20
40
60
80
100
120
140
160
180
200
107
172
196
DM Integration (with email)
# of petition signers (in hundreds)
# of donations
Response rate (%)
Average Donation (euros)
ROI
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PAPER CATALOGUE IN SUPPORT OF AN ONLINE SYMBOLIC GIVING CAMPAIGN…
In 2005, an online only symbolic gift catalogue was introduced, it raised approximately $48,000 in its first year.
The second year, a simple catalogue was sent to direct mail donors in November of 2006 introducing them to the symbolic giving catalogue.
It was sent to approximately 10,000 donors and raised an additional $74,180.00
And a comparison of Nov 05 dm donors receiving a holiday appeal without a catalogue the month before vs. the 06 donors who received the catalogue showed a $15,000 reduction in income vs. $74,180 increase – for $59,180 net return on more integrated offline/online approach
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Giving Year Giving Channel Number of Donors Percentage
2007/2008Mail GTM Specific
3176
Tracking specifically these 3176 Mail 07/08 GTM donors by channel in 08/09
2008/2009 Online GTM specific39
1.23%
Mail GTM Specific 1073 33.78%
combined both channels GTM specific 1112 35.01%
Giving Year Giving Channel Number of Donors Percentage
2007/2008 Online GTM Specific 400
Tracking specifically these 400 online 07/08 GTM donors by channel in 08/09
2008/2009 Online GTM specific 146 36.50%
Mail GTM Specific 16 4.00%
GTM Specific - both mail online and mail 162 40.50%
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USE THE TELEPHONE WITH ONLINE!
Responsibly and strategically
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The Phone can be irritating…
“The bathtub was invented in 1850 and the telephone in 1875. In other words, if you had been living in 1850, you could have sat
in the bathtub for 25 years without having to answer the phone”
Bill DeWitt
hjc
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But it can have power and resonance
“The telephone, which interrupts the most serious conversations and cuts short the most weighty
observations, has a romance of its own”
Virginia Woolf
hjc
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The phone and online?
0102030405060708090
100
1 2
Per
cent
age
of G
oal R
aise
d (%
)
1: without call; 2: with call
Percentage of Goal Raised - without and with a call
Percentage of Goal Raised
hjc
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Further tests…
• A phone test was conducted a second year with online event registrants…
• The test group that received a phone call (2.5 minutes in length) raised $131.42 more than a registrant who did NOT receive a call
hjc
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Online pledge pages and calling….
hjc Proprietary and Confidential 25
Not Called Called $-
$100
$200
$300
$400
$500
$600
$700
$800
$900
$1,000
$722.18
$920.09
Yoga In MotionImpact of Calling Participants
Avg. Revenue Per Participant
Action Taken
Aver
age
Reve
nue
($)
Up 27.4%
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High touch…high gift amounts…
• 20 board member pages• $237,534 raised ($143,000
by one board member)• Phone used to stimulate,
manage, and help board members with their personal pages
hjc Proprietary and Confidential 26
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The next step was to call convert these donors. We did not breakout the different online warm lead sources to compare telephone conversion rates.
UK
7.25% conversion to monthly givingNo single donations – not askedAverage gift: $6.5 per monthCost to convert the online warm via the phone: $68.00Breakeven ROI: 23 months
North America – this is the estimated return
Average gift: $15 per monthCost to convert the online warm lead per donation: $65.00Breakeven ROI: 12 months
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One last piece in the ROI. Apply the online lead costs to the telephone conversion costs
UK
Average $9.17 online warm lead cost + $68.00 per phone conversion = $77.17 cost per donor
With a LTV of approximately 5 years giving a gross revenue of $385.85 – $152.17 ($77.17 + $15 a year stewardship cost X 5) = $233.68 net revenue per donor
North America
Average $9.17 online warm lead cost + $65.00 per phone conversion = $74.17 cost per donor
With a LTV of approximately 5 years giving a gross revenue of $900 – $149.17 ($77.17 + $15 a year stewardship cost X 5) = $750.83 net revenue per donor
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SMS
Collect mobile phone numbers during the advocacy action and instead of emailing the thank you text them a thank you.
Then send them a text to give ask or call that mobile number.
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One million text “votes” in 51 days.
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800,000 new contacts
9.65% conversion to monthly giving:
15,388
170,658 called on their mobile
phones
50% converted to monthly giving7.6 million
dollars LTV (over 5 years)
Average gift 3.28 dollars/month
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Medécin San Frontiers Austria
5% of total donations to
tsunamiMSF Austria
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50% converted to monthly giving60% said YES
50% converted to monthly givingVoice and text
to build relationships
282,000 Euros in single gifts
Medécin San Frontiers Austria
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Why we have to get this right...Catholic Relief Services – when someone made a text donation during the Haiti earthquake aftermath they were given a chance to connect to a call centre. The organization believed that “calls could build a stronger bond with donors”. They are right – and we’ve shown you.
Sprint Nextel shut the service down.
Charities need to fight for the FCC to make sure that texts, like telephone calls, cannot be interrupted by phone companies. You can see why it’s important!
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Sending a recorded message works too!
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Sending a recorded message works too!
•$250 set up
•.05 to .10 cents per message – depending on volume…
• It’s worth testing!
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NEW YORK PUBLIC LIBRARY
A cross channel campaign that broke down institutional silos…
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New York Public Library
“When a man knows he is to be hanged in a fortnight, it concentrates his mind wonderfully”
Samuel Johnson
An integrated campaign over 44 days in the summer of 2009
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Advocacy Page.
Constituents simply typed in their address and their City Council Member is located and a template message was generated
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Campaign branding throughout the site
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•10,974 emails sent to City Council Members•Over 20,000 written letters sent•Gross revenue $50,058.68 •1,000 donors•584 new donors
“The main reason we stopped the cuts was this online campaign. I would be the first to say otherwise, but it's true.”
Results
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Creating an integrated schedule
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Proprietary and Confidential
What did we learn about making cross-channel work with New York Public Library?
1. Get buy-in at the senior level2. Have departments work together (maybe for the first time)3. Create an integrated team4. Create an integrated goal (with different metrics of success for each department)5. Create an integrated plan6. Matrix reporting structure MAY make sense with individuals temporarily reporting cross-department
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Online and Video
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Banners and email rentals drove traffic to a landing page that asked people to watch a video and donate…
Banner Email
An acquisition test online:
QuickTime™ et undécompresseur TIFF (non compressé)
sont requis pour visionner cette image.
QuickTime™ et undécompresseur TIFF (non compressé)
sont requis pour visionner cette image.
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Bannière Email
page appel à don
page vidéo
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Online acquisition that works… our approach
DM test: In the end, the dm appeal found 528 single gift donors, 29 monthly donors and invested 79,000 euros to find those donors.
vs.
Online test: In the end, the online appeal found 256 single gift donors and 62 monthly donors and invested only 4,100 Euros.
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Online will be increasingly important for major gifts and legacy giving
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ONLINE SURVEY #1:
15 EXPECTANCIES103 LEADS - CANADA
ONLINE SURVEY #2:
52 EXPECTANCIES164 LEADS – UNITED STATES
ONLINE SURVEY #3:
9 EXPECTANCIES1,043 LEADS – MEXICO
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General - Major Donors
General - Prospect
Emergencies
Special Event
Website
Grand Total
6 $ 51,303.68
5 $ 130.00
2,425 $ 394,985.27
38 $ 5,602.01
7,729 $ 412,635.22
10,204 $ 864,656.18
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• tracking the impact that sites like Facebook make to fundraising and campaigning
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What’s your credit card limit?
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•Cross channel fundraising: increases response, increasing average gift and the number of gifts?• What’s stopping you? Senior leadership, departmental rivalry and silos, or just having a plan?• Time to start now! Your donors are already cross-channel supporters…