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Fundraising Tuesday: Once More, with Feeling

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Why do people give time and money to nonprofit organizations?

Most of us would like to believe it’s our noble mission that moves our supporters to act–or our high-quality programs, or our expertise in our fields.

Sorry.  That’s not it.

emotion chart

How does it feel to be part of your organization?

People choose to join, volunteer, and donate to your organization because of the way it makes them feel.

For-profit businesses are well aware of this.  To attract customers, they offer a specific emotional experience that makes a promise (as Pamela Wilson tells us):

  • Nike promises health, vitality, speed and an active lifestyle.
  • McDonalds promises quick, consistent food at a reasonable price.
  • Apple promises sleek, user-friendly technology that empowers your life.

Non-profits, do your supporters know what you are promising them? 

It could be the excitement of being part of a movement.  It could be the pride of knowing they have saved a life.  It could be inside information and analysis that makes them feel like an expert.

Whatever you are promising, make it clear to them–and always keep it at the forefront of your own mind.  Ask every day: How will my product or service empower, delight, entertain, or solve a problem?

Answer that question in all your messages, and keep the promise through your actions.and your supporters will be hooked on a feeling.  They’ll come back for more. And they will give to keep that feeling coming.

TY Thursday: What Nonprofits Can Learn from Facebook about Saying Thanks

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Can nonprofits learn something about thank-yous from Facebook memories?

Facebook memories

You’ve probably seen them on your own Facebook feed. Memories from a year ago, or two, or five, pop up at random intervals. In truth, some of the memories are pretty random, too. (Do I really need to see that on this date in 2010, my email was down?)

But every once in a while, Facebook really gets it right. One day, Facebook told me my niece Fay celebrated her bat mitzvah eight years ago this week. Now she is two years out of college, in California, in her first job.

Seeing that memory put a smile on my face. And it also made me wonder: can nonprofits say “thank you” to donors by sharing good memories?

Memories Make Relationships

Marriages are built of memories. So is the relationship between the donor and your  nonprofit. When that donor thinks back to a time they are happy about, or proud of–and you were a part of it–it’s bound to make the donor associate that pride and joy with you.

What could you do to remind them of that time? Here are a few ideas:

  • Find a photo of that donor volunteering for your organization. Email it to them, or post it on social media and tag them. “Janine, do you remember when you and Joe packed school supplies into back packs for a hundred kids from low-income families who were just starting school? We remember! Thank you!”
  • Find a photo of that donor having a great time at your organization’s event. Email it to them, or post it on social media and tag them. “Randy, remember when you won the safari at our auction? We do! Look at the expression on your face!”
  • Recognize long-time donors by reminding them what they accomplished. “In 2006, you helped prepare Cheri and dozens of other parents like her to give their newborns a healthy home. In 2010, you helped her make reading to her son James a part of the daily routine. With this current gift, you have helped James get free lunches all summer. What a lot you have accomplished with your donations! Thank you!”

I’m sure there are other ways to share good memories with your supporters. Have you tried anything I have mentioned here, or some other approach? How did it work out for your nonprofit?

 

Fundraising Tuesday: Nonprofits, Emphasize Donors

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funding sources

How do your funders shape what you do?

What your nonprofit organization can do depends on where it gets its money. So says Jon Pratt, executive director of the Minnesota Council of Nonprofits, in a classic article in the Nonprofit Quarterly.

“The way an organization handles decisions about funding sources sets in motion an ongoing chain of consequences, further decisions and compromises about what the organization will and will not agree to do.”

How Reliable is Your Funding?

Pratt tells us that generally you can judge how reliable your funding is by determining where it’s coming from.

Three levels of reliability:
High reliability: United Way support, rental income, advertising, small-medium sized individual contributions, endowments, memberships.

Medium reliability: Ongoing government contracts, third-party reimbursements, major individual contributions, fees for services, corporate charitable contributions.

Low reliability: Government project grants, foundation grants, corporate sponsorships.

Unfortunately, in my experience, small nonprofits depend mostly on low-to-medium reliability funders. That’s why so many of us are constantly scrambling for new grants and contracts…even if it hurts our existing programs.

How Much Freedom Does Your Funding Give You?

You can also judge how much freedom of action your funders are likely to give you.

Three levels of autonomy:
High autonomy: small-medium sized individual contributions, endowment, memberships, fees for services, foundation operating grants.

Medium autonomy: major individual contributions, corporate charitable contributions,

Low autonomy: Third party reimbursements, government project grants, ongoing government contracts, foundation project grants, United Way support.

Again, I think it’s unfortunate that even fairly large community organizations have to depend so much on  low-to-medium autonomy funding sources. 

That’s why so many of us spend so much time on compliance and reporting–and when we want to start something new, it’s why we have to work extra hours to do it.  We can’t pay for new programs with restricted funds.

One Key Takeaway:

Individual contributions are highly reliable AND they provide a high degree of autonomy.  They’re the best of both worlds.

Nonprofits should be spending more time and money cultivating individual donors.  That means we need to invest more in communications with our supporters: in person, by mail, by email, and through social media.

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