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Joe Garecht, founder of The Fundraising Authority and author of two books on fundraising, will outline the strategy that has helped him raise over $30 million during his fundraising career.
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Using the Fundraising Funnel to Maximize Your Fundraising
Presented by Joe GarechtTheFundraisingAuthority.com
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Joe Garecht Founder, The Fundraising Authority
Author of The Non-Profit Fundraising Formula and The Silent Auction Handbook
Have raised over $30 million during my fundraising career
Jay B. Love
CEO and Co-Founder of Bloomerang
• 30 Years of Technology Leadership• Over 20,000 Database Installations• Former Founder & CEO of eTapestry• Former CEO of Master Software/Fund-Master• AFP Board Member• Chairman AFP Ethics Committee • Center on Philanthropy at IU Board Member• Innovation Fund at Butler University Board Member• Gleaners Food Bank Board Member• Co-Chair of Indianapolis YMCA Capital Campaign
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The Donor Funnel
Prospect
Cultivate
Ask
Steward
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The Donor Funnel
PROSPECTING
CULTIVATION
ASKING
STEWARDSHIP
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Step #1: Prospecting
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Step #1: Prospecting
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Step #1: Prospecting
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Step #1: Prospecting
The BEST way to find new prospects:
REFERRALS
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Step #1: Prospecting
The NEXT best way to find new prospects:
Non-Ask Events!
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Step #2: Cultivation
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Step #2: Cultivation
Relationships are built between
PEOPLE.
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Step #2: Cultivation
How Do You Build Relationships?
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Step #3: Asking
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Step #3: Asking
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Step #3: Asking
What is your donor thinking?
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Step #3: Asking
What is an ASK?
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How to Handle Donor Objections
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How to Handle Donor Objections
Make sure you understand the objection.
Restate the question and validate the concern.
Answer the objection.
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Step #4: Stewardship
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Step #4: Stewardship
KeepInTouch
K.I.T.
Final Piece of the Puzzle
Effective use of a Donor Database allows the “Donor Funnel” process to be a natural
progression of the relationship . . .
“Engagement” is the Linchpin
The word "linchpin" is also used figuratively to mean "something [or someone] that holds the various elements of a structure together."
Engagement is the KEYTo Donor Retention!
Yes, your eyes read correctly:Over SIX out of every TEN Donors from the previous year did NOT
donate at all the next year!
CUE THE EXPERTS:
Dr. Adrian SargeantBloomerang Chief Scientist Professor of Fundraising at the Center on Philanthropy at Indiana University holding what is presently the world’s only endowed chair in that discipline.Top 10 Most Influential People in FundraisingRenowned expert on Donor Retention and Donor Loyalty
Mr. Tom AhernBloomerang Donor Communications Head Coach One of the world’s top authorities on donor communicationsAuthor of 4 books on Donor CommunicationsWinner of 3 prestigious international IABC Gold Quill awards
DONOR RETENTION BEST PRACTICES
Dr. Adrian SargeantBloomerang Chief Scientist
“A 10% improvement in retention can double the LIFETIME value of your donor database!”
Donor Retention Made Simple
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6 Key Retention Drivers(That can double lifetime value)
• Drip feed mission performance data • Connect often• Be personal (SEGMENT)• Develop like a good personal friendship• Find & use numerous human connectors• Always communicate what monies are doing!
# of Donors in Current 12 Months(from the previous years pool)
Divided by # of Donors in Previous 12 Months
Calculating Your Retention Rate »
Donor Retention Meter • The Dow Jones of your database • Measures back exactly 365 days• Reflects changes daily, weekly and monthly• Automatic, no guesswork• What is watched is addressed
“The total net contribution that a customer/donor generates during his/her lifetime in your database”
Defining Lifetime Value
$1000 +
$500 - $1000
$100 - $500
$25 and under annually
$25 - $100
Value
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Value Segments »
Time
Automatic Engagement Factors• Recency and pattern of
giving• Cash donors vs. sustaining
donors• # of years giving +• Upgrade /
Downgrade + -• Lapsed -• Event attendance +• Opens email +• Click links in emails +
• Unsubscribes from email -
• Has stated communication preferences +
• Has inbound interactions +
• Has soft credits +• Volunteers +• Social Media
(coming soon)• …and a whole lot more!
Engagement Level Graph • The Donor “thermometer” of your database • Updated automatically daily• Adrian’s expert formulas/algorithms • No user set-up required!• Easy to filter and report on• Springboard for major/legacy giving
What is the donor’sengagement over time!
Highlight vital “retention” information---
Timeline Highlights • If you use Facebook you know it • Everyone can use• Adrian’s expert formulas/algorithms • No user set-up required!• Perfect for a smart phone or tablet• Access ever donor “touch point” in seconds
Engagement Begins With The Thank You!
DONOR COMMUNICATION BEST PRACTICES
Mr. Tom AhernBloomerang Donor Communications Head Coach
"Successful direct mail appeals are quite simple. At heart, they are love letters to donors & prospects, woven through with clear cries for help."
5 Acknowledgment Principles(Drastically Improve First Year Donor Retention)
• 48 Hour Rule • Be Different Than the Rest• Handwritten Rule Written Communications• State Exactly What the Monies will Fund • Call or See in Person as Often as Possible
5 Communication Strategy Practices(Involve Your Entire Fundraising Team)
• Fully Map a Track for Each Key Segment • Survey in 1st 90 Days, Then “Honor”• Involve Human Connectors• Nurture Means Personal • Never Forget the “You” Test for EVERY “Touch”
Questions?
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Joe GarechtThe Fundraising Authority
www.TheFundraisingAuthority.com215.839.9085
Jay B. LoveBloomerang
www.bloomerang.co317-513-8000
Next Webinar
10/22 – 1pmKeith Curtis
Recruiting and Building a Strong Board
https:bloomerang.co/resources/webinars
