Mistakes in Fundraising that Work Out Well

mistake

Cross posted at www.FutureFundraisingNow.com.

What do you think when you see this direct mail fundraising envelope?

mistake

A mistake? The handwriting goes across the window… that can’t be on purpose, can it?

Turns out, this was a mistake.  A miscommunication between the designer and the printer.

Big problem?

Nope.  It worked great.

It’s the kind of “mistake” that usually improves fundraising.  An odd, out-of-place, not-the-done-thing that grabs your eye and makes you cringe.

More often than not, this kind of mistake works for you, not against you.

I was once involved in a direct mail piece that included a bounce back paper placemat. Donors were asked to sign the placemat and return it with their donation.  The placemat would be put on the table at a meal the donation helped fund.  It’s a good (and proven) way to increase response to meal-focused offers.

But here’s the error: on the reply coupon, there was a quick reminder about the placemat.  Despite many layers of quality proofreading, the printed final that went to out donors said:

Please sign the enclosed placenta and return it with your donation.

Are you cringing?

Whether you are or not, the piece broke records for response. A few donors wrote to point out the bizarre error – mostly along with their donation.

Why did this mistake seemingly boost response?

Our theory: Errors grab attention. And someone who’s paying attention is likely to read for a few more seconds, and therefore a lot more likely to donate.

So when an error happens, it may not be a problem.  It might even be great!  So great you’d consider making a mistake on purpose.

Direct Mail Strategy at Events?!?

events

When Jim and I started Better Fundraising and the organizations we served started raising more money, they began to ask us to help with their gala fundraising events.

We had them apply four principles from direct response fundraising.  The results were a resounding success, and here they are in case they’re helpful to you:

  • Figure out the Ask first.  The first thing that most successful events do is to figure out exactly what the Ask is going to be.  Then they structure the event/run of show so that the entire event delivers the Ask with as much power as possible.  It’s the same in direct response: figure out the ask or the offer, then write and design the letter/email to deliver it as powerfully as possible. 
  • Don’t just Ask for support, use an Offer.  An event will raise more money if it asks donors to fund something specific, as opposed to just “supporting” the organization. 
  • Be comfortable sharing a need.  Most of the events we worked on used to share nothing but good news.  It sounded like everyone had been helped, and that things were going great.  We encouraged them to mention (but not dwell in) that people or the cause need help today, and to be specific about the help that’s needed.  Their donors – now that they had a fuller understanding of the situation – gave more.
  • Echo & Reinforce.  If the event features a reply card where the donor either fills in their info or grabs the QR code/giving URL, make sure the headline and ask on the reply card echoes and reinforces the wording of the Ask from stage.  A direct mail reply card that doesn’t match the letter will lower response, and an event reply card that doesn’t reinforce what’s said from stage will also lower response.

There are of course some ways that event fundraising is different than direct response.  For instance, you have people’s attention for so much longer that you can go deeper into the issues and make a more thorough case.  You don’t have to get to the point so quickly.  You can tell longer stories.  You can even use a little jargon.

But in our experience, borrowing these four principles from direct mail fundraising will help your event raise more money.

Seen, Known and Loved

need

Brené Brown says,

“What differentiates humans as a social species is the need to be seen, known, and loved.”

This is true of nonprofits, too.  Each nonprofit wants to be seen, known, and loved.

And this, my friend, is part of why effective fundraising is so hard to create.

The nonprofit itself wants to be seen, known, and loved by donors, non-donors, staff, partner organizations, the community, etc. So the nonprofit creates fundraising that helps donors see the organization, and know how the organization does its work, and shares how compassionate and effective the organization is so that donors will love the organization.

But there’s a problem.  The humans (individual donors) who receive that fundraising also want to be seen, known and loved. 

In fact, those individual humans are more interested in being seen, known and loved themselves than they are interested in seeing, knowing and loving a nonprofit.

So, remember the fundraising that the nonprofit created to make itself seen, known and loved?  It’s not going to be relevant to most donors.  It’s not going to be as engaging to the donor, and it’s not going to raise as much money.

The big idea is for nonprofits to create fundraising that sees, knows and loves their individual donors.  (With boundaries, of course.)

Because here’s the magic… 

If a nonprofit makes the generous choice to create fundraising that makes its donors feel seen, known and loved, then more donors respond with more generosity. 

If an organization can first meet their donors’ needs, then the donors are more likely to meet the organization’s needs.    

Right Value, Wrong Place

food

Something happened to me in 2002 or 2003 and I’ve been thinking about it ever since.

It’s foundational to our approach to fundraising.

I was part of a team serving a large, national charity you’ve likely heard of. They focus on hunger here in the US.

This organization did not like to use the word “hungry” to describe their beneficiaries. They preferred the phrase, “food insecure.”

The team I was a part of were pretty sure that asking a donor to “help a child that is food insecure” would raise less money than asking a donor to “help a child that is hungry.”

The organization allowed us to do a head-to-head test. The results came back and what we suspected was true: when the organization asked donors to help a child who is hungry (or “suffering from hunger” or something similar) they raised more money. And when they asked donors to help a child who is food insecure (or “suffering from food insecurity” or something similar) they raised less money.

The results of the test were shared with the higher-ups at the organization. The ruling came back:

“We’re going to stick with using ‘food insecurity.’ It’s more accurate. Please continue to use ‘food insecurity’ moving forward.”

I was outraged at the time. This organization was making a choice that they knew would cause them to raise less money and help fewer people! (I was also pretty young and hadn’t yet experienced that things like this happen all the time.)

Looking back, my impression is that their decision seemed to be driven by two ideas:

  1. They valued sounding professional
  2. They valued being perfectly accurate

While I agree in principle with both of those values, I’ve come to see how much those values applied in the wrong places can cause an organization to raise less and do less than it could.

On Sounding Professional

The most successful fundraising organizations concern themselves with writing and talking in a way that their donors can quickly understand. They value being understood by the audience more than they value sounding professional.

And the most successful organizations differentiate between audiences. They sound professional when they are talking to other professionals, like partner organizations, foundations, etc. And when communicating to individual donors (who aren’t professionals!) organizations make the generous choice to speak in the donor’s language, not professional language.

On Being Perfectly Accurate

The most successful fundraising organizations tell stories and use language that is representative, not perfect. They know that being perfectly accurate is for experts and professionals – and they know that individual donors are not experts or professionals.

It’s true that “food insecurity” is a more accurate description of a host of scenarios that describe the families this organization helps. It’s also true that “hungry” is an accurate description of one of the most common scenarios that describes the families that this organization helps.

“Hungry” is perfectly legitimate. It’s just not as complete as the organization’s experts would like to be.

Their insistence on accuracy over understandability cost them revenue and impact.

Interesting sidenote to writers: the “hungry vs. food insecurity” conflict is an example of the weird instances when being more accurate can make a piece of communication less clear.

Inclusive, Not Exclusive

At Better Fundraising we help organizations see how positive organizational values like “sounding professional” and “accuracy” can accidentally cause them to create fundraising that’s exclusive.

And we work with them to make their fundraising more inclusive.

When an organization makes its fundraising more inclusive it’s often an uncomfortable process. You have to say things differently than you’re used to. You have to say different things altogether. You even format your communications differently!

But when organizations keep their beneficiaries in mind, it’s not a particularly hard process. And it’s incredibly rewarding when more money starts coming in, from a more inclusive group of donors, and more good gets done.

From Higher Ground to Common Ground

ground

Most nonprofits have a “higher ground” understanding of their work and their cause. 

And they should!  They are experts.  They understand the cause they are working on, and they understand the complexities of what needs to be done.  They’ve built programs that are effective.  Their expertise makes them good at what they do. 

But when organizations create fundraising that invites individual donors to join the organization on its higher ground – instead of creating fundraising that meets donors on shared common ground – they put barriers between their donors and giving.

They make their fundraising exclusive.

The hallmarks of higher ground fundraising are things like:

  • Spending more time explaining the process the organization uses (your programs, or a particular approach) instead of the change in the world that the process makes possible…
  • Focusing more on the organization itself, and less on the cause or beneficiaries…
  • Sharing statistics to illustrate the size of the need or the scope of the organization’s work…
  • Educating the donor about everything that the organization does, rather than focusing on what donors tend to be most interested in…
  • All while using the organization or sector’s jargon to sound professional.

It’s like higher ground fundraising requires the donor to know about the organization in order for them to help the beneficiaries.

Two Problems

Higher Ground fundraising causes two problems.

First, it raises less money.  Every one of the bullets above, in our experience, causes individual donors to give less.  Individual donors tend to be more interested in what’s happening with the cause or beneficiaries today, and the change that the donor’s gift will make (or has made).  Individual donors tend to be less interested in the organization itself.

The bulleted points above are highly relevant to staff, organizational partners, grant-funding organizations, etc.  But they aren’t as relevant to individual donors.  Hence the old phrase, “Individual donors give through organizations, not to organizations.”

Second, the “higher ground” approach results in exclusive fundraising.  It creates a filter where the people likely to donate are the people who are willing to put in the time, the people who are willing to learn about the organization’s approach, and the people who are willing to speak the way the organization speaks.

Each of these is a barrier that some people will not cross.

From Higher Ground to Common Ground

Do the hard work to make your fundraising simple and inclusive.  Have a good offer.  Create fundraising for individual donors that any person who cares about your beneficiaries, at any level of understanding, at any reading level, will find relevant.

This means consciously deciding to leave the high ground.  It means you’ll have to defend your fundraising from internal audiences who love the high ground and want everyone to join them there.

Here’s why: there are a LOT of people out there who care about your beneficiaries and would like to give a gift to help.  There are far fewer people out there who are willing to wade through an education in your work before they can give a gift.

So if your communication and fundraising are always on the higher ground – and inviting donors to join you there – you will remain smaller than you could be.  You will remain doing less than you could be.

If your communication and fundraising are aimed at the common ground you share with donors, you will raise more money and have a larger impact.

In fundraising, the high ground is lonely.

Free Resource: The GoodNewsletter

news

OK, it’s time for some good news. (This month we had a loooooong series of posts about complaints. I’m sorry? You’re welcome?)

There’s a free daily email called “GoodNewsletter” that I encourage you to subscribe to.

It has nothing to do with fundraising – it’s a daily email with a couple of stories of good things that have happened in the world.

It’s nice to have a bit of good news in my inbox every morning. Sign up here if you’re interested.

It’s a great reminder that progress is being made.

On a related note, I think the highest form of fundraising program shows donors both the needs for action and progress that’s been made (the good news). It sends out pieces of fundraising that focus on the needs and ask donors to help. It sends out pieces of fundraising that focus on the progress that was made and thanks donors. (This is why there’s both an “Ask” and a “Report” in fundraising’s Virtuous Circle.)

Because seeing only one side has negative consequences. Seeing only good news leads donors to think that the problem your organization works on isn’t particularly big or harmful.* Sounds like things are going great and no help is needed today! And seeing only bad news leads donors to think that the problem is unsolvable. Sounds like things will never get better.

So, share both.

If your organization shares both the needs and the progress, you’ll create donors who both understand the need for action now and know that their gifts (and your organization) have made a difference.

Those are the kind of donors you want. And you can create them with the right mix of messages.


* This does not apply to some organizations where “bad news” of problem they work on personally affects the donor. In other words, the donor doesn’t need to hear the “bad news” from the organization because they are living it. This happens with causes like Cancer – when a loved one has it, you never forget what it was like. Or with the environment – when you live near a place that’s been damaged, you’re constantly reminded of it. I’m convinced that’s why some organizations don’t need to share any bad news in their fundraising, yet they still succeed. And I’m convinced that if you’re at the type of organization whose “bad news” doesn’t affect any of your donors, you should share the “bad news” with them if you’d like to raise more.

Our Final Thoughts on Complaints

complain

I had three main goals when putting this series together. I want organizations to:

  1. Not fear complaints
  2. Know how to respond to the complainer
  3. Have a right-sized internal reaction to complaints

But that’s not easy. Complaints are a scary subject for many organizations.

An organization doesn’t usually just “flip a switch” and become comfortable with complaints. It’s a journey with a handful of ideas on the way:

I hope it’s obvious that I’m not saying you should attempt to get complaints. It’s just that, in my experience, every organization that’s reliant on individual donors is going to get a complaint now and again.

So it’s better to have an understanding of what causes complaints, and to know how sophisticated organizations deal with complainers and their complaints.

Furthermore, as organizations grow they begin to see that the better an appeal does, the more likely it is to also generate complaints.

That’s because a great appeal or e-appeal tends to tap into peoples’ emotions. Most people will respond by sending in a gift. But the more people whose emotions you stir, the more likely you are to receive a complaint.

My hope is that organizations will realize that complaints are a cost of doing business for a growing organization. And that receiving the occasional complaint (or even five complaints) is worth it in exchange for raising more money, retaining more donors, and doing more good.

Read the series:

  1. Getting Used to Complaints
  2. Outline for How to Respond to a Complaint
  3. Not All Complaints are Equal
  4. Natural, But Not Productive
  5. The Two Times Smaller Orgs Get More Complaints
  6. So. Many. Reasons. To. Complain.
  7. The Harmful Big Assumption
  8. Turning Complaints into Gifts
  9. “Friendly Fire” — Complaints from Internal Audiences
  10. Our Final Thoughts on Complaints (this post)

“Friendly Fire” — Complaints from Internal Audiences

complain

Previously we’ve been focused on complaints from external audiences: donors and the occasional non-donor.

Today it’s time to talk about friendly fire: complaints from internal audiences. 

I’m using the term “complaints” as a catch-all for actual complaints and internal feedback/suggested changes like, “I don’t like this part because…” and “We can’t say that because…”

Just like complaints from external audiences, complaints from internal audiences happen for lots of different reasons. 

Let’s look at some common reasons Fundraisers receive complaints from internal stakeholders.  (In case it’s helpful, at the bottom of the post I’ve provided the beginning of a response to each complaint.)

Reasons for complaints:

  1. The fundraising letter or email “doesn’t sound like us”
  2. The fundraising shares a situation where a beneficiary needs help
  3. The fundraising shares a situation where the organization needs help
  4. The fundraising seems overly simplistic
  5. The fundraising only shares part of a beneficiary’s story, not all of it
  6. The fundraising only shares some of what the organization does
  7. The fundraising lacks data and statistics
  8. The fundraising does not talk about the quality or effectiveness of our programs

Complaints from internal audiences are complex because they come from stakeholders who wish for the fundraising to succeed, and they are actively trying to help.

However, they are also coming from people who often don’t have the domain knowledge about fundraising to individual donors to know what’s likely to work best, nor do they have the time to learn.  To make things even more difficult, what works best in fundraising often appears counter-intuitive

Add those things together and – even though everyone has good intentions – of course you get conflict and tension.

There is no easy way to help internal audiences begin to understand.  It usually takes a long-term approach.  And a real generosity of spirit, because you’re occasionally challenging peoples’ core values.

First – help internal audiences understand that the fundraising they are providing feedback on is purposefully created to be inclusive in order to grow the organization and its impact.  All the complaints above are made about fundraising that is intentionally crafted to be quickly understood by non-experts.   Almost by definition, fundraising materials that are created ‘to be quickly understood by non experts’ will not be attractive or motivational to internal experts.  Beginning the conversation with an internal stakeholder by showing them how the fundraising is created to be inclusive is successful because it appeals to a value the stakeholder has, instead of telling the stakeholder that they are incorrect and then asking them to learn a whole new way of thinking.

Second – warm, long-term fundraising education is needed.  Work with Board and program staff for an hour, every quarter, for at least two years.  Share what the experts share.  Teach the reasons behind the tactics (like this, for example).  Share stories you heard at conferences, and test results shared by experts. 

As with external complaints, there will always be internal complaints.  In my experience the organizations that live successfully in this tension allow comments on fundraising by anyone, and all comments are responded to.  But only a select few people (less than five) have final say about what’s included and what isn’t.

***

PS — The following is in no way meant to be comprehensive, but here are a few quick thoughts to have at the ready when one of these complaints comes in… 

  1. The fundraising letter or email “doesn’t sound like us”
    • In direct response fundraising, “directness” and “clarity of communication” give you a better chance at success that any particular voice.
  2. The fundraising shares a situation where a beneficiary needs help
    • One of the purposes of nonprofits is to bring awareness to the public of the need that exists.  If we only share successes, we are accidentally hiding the needBecause some donors are motivated by need, and some donors are motivated by success, if we never mention need we are reducing how much money we can raise and how much good we can do.
  3. The fundraising shares a situation where the organization needs help
    • People understand that we are a nonprofit and that we need help sometimes.  If we never share that we need help, one of the consequences is that it sounds like we’re “taking care of everything” and less funding will come in.  It is good to be vulnerable.
  4. The fundraising seems overly simplistic
  5. The fundraising only shares part of a beneficiary’s story, not all of it
    • Staff and Board members are experts in our work, plus they have the time and interest to know and understand the whole picture.   Most of our donors and readers are non-experts who only look at our fundraising for a few moments.  If we require them to know the whole story before they donate, we’ve put up a barrier to them making a donation.
  6. The fundraising only shares some of what the organization does
    • Individual donors tend to have different values than foundations or grantors.  They are less interested in “all of our work” and tend to be more interested in “one part of our work.”  So our direct response fundraising to individual donors focuses on the parts of our work that they are most interested in. 
  7. The fundraising lacks data and statistics
    • Data and statistics are valuable to experts who have the context to quickly understand them.  The vast majority of individual donors don’t have the knowledge and expertise that we have.  That’s why a compelling story about a beneficiary is more likely to make an impact on a donor than a statistic.
  8. The fundraising does not talk about the quality or effectiveness of our programs
    • As a rule, fundraisers have found that individual donors are more likely to give gifts when their emotions are touched, as opposed to when they are told that an organization’s programs are effective.  (This is in contrast to Foundations or Grantors, who rightly pay lots of attention to the quality of an organization’s programs.)  So our fundraising to individual donors is purposely designed to engage a donor’s emotions more than it’s designed to communicate that our programs are effective.

***

PPS — I should mention that there are more and more people in the nonprofit world who do not like fundraising at all.  They believe that organizations should not have to fundraise. 

As you might imagine, people with this belief tend to dislike almost everything about fundraising because the whole operation offends them.  They can find something to change or complain about in any piece of fundraising.  Your organization could win a big award for having compassionate and effective fundraising… and a person with this belief would criticize the practice of giving out awards for fundraising.

While I sympathize with some of their thinking, I try to keep them as far away from the creation and evaluation of fundraising as possible. 

Here’s why, and it’s important: in my experience, people who do not like fundraising (and/or believe that it shouldn’t have to exist) tend to desire and create fundraising for the world they would like to be living in.

And fundraising that’s created for any world other than the world that donors are living in will not work very well. 

So, if they are working on your fundraising, the changes they will make will tend to make your fundraising raise less money. 

But what can you do about this?  Frankly, you have to remove them from the creation and evaluation of fundraising.

To illustrate, say you’re at a nonprofit that has two main programs, Program A and Program B.  If there’s a person on Program A who has a philosophical difference about how Program B’s work is done, that person is not invited to participate in program B’s activities.  That person should be valued and celebrated for their work on Program A.  They can be incredibly effective.  But they don’t help Program B do its thing so they aren’t invited to help.

In the same way, if there’s a person on a nonprofit’s team that has a philosophical difference about how the Fundraising team’s work is done, that person is not invited to participate in Fundraising’s activities. 

Easy for me to say – I’m a consultant.  I don’t have to deal with the friction and personal conflict this can cause.  But I’d be remiss if I didn’t point out how this situation causes organizations to create less effective fundraising and achieve less of their mission work.

Read the series:

  1. Getting Used to Complaints
  2. Outline for How to Respond to a Complaint
  3. Not All Complaints are Equal
  4. Natural, But Not Productive
  5. The Two Times Smaller Orgs Get More Complaints
  6. So. Many. Reasons. To. Complain.
  7. The Harmful Big Assumption
  8. Turning Complaints into Gifts
  9. “Friendly Fire” — Complaints from Internal Audiences (this post)
  10. Our Final Thoughts on Complaints

Turning Complaints into Gifts

complain

In my experience, about 2 out of 5 people who complain about a piece of fundraising will give a gift immediately after complaining.

You read that correctly.

Here’s what it looks like…

  • If the complainer can be spoken to in person or on the phone, and…
  • The staff member does a good job listening & asking questions, and…
  • The staff member gently asserts that what the donor read in the fundraising was true and that the donor’s gift will make a real difference…
  • Then about 2 out of 5 complainers will make a gift on the spot.

This makes perfect sense if you think about complaints the way I do. (Note: I’m talking about complaints caused by the content of a piece of fundraising. I am not talking about complaints caused by poor data or mistakes, or generic complaints like “too many organizations ask me for money!”)

A high-performing appeal or e-appeal tends to tap into peoples’ emotions. It reveals tensions donors hold between the way the world is and the way they would like the world to be. Most donors respond to that tension by sending in a gift.

But some donors respond to the tension by sending in a complaint. (There’s no blame or shame here, by the way. Who among us has never said or written something they regretted while experiencing tension?!?)

So when a complainer gets to speak to a compassionate staff member who really listens to their complaint… who commiserates with the complainer about the situation… and who confirms that what was in the fundraising was true and that the donor can help by making a gift… gifts happen.

Not every time. But more often than you’d think.

In these conversations, many donors will even bring up making a gift without being prompted. Many times in my career I’ve had organizations share stories about donors who send in a note complaining about how a piece of fundraising made them feel… and include a gift to help.

Complaints and gifts are often more closely related than we think. They are both responses to tension.

Read the series:

  1. Getting Used to Complaints
  2. Outline for How to Respond to a Complaint
  3. Not All Complaints are Equal
  4. Natural, But Not Productive
  5. The Two Times Smaller Orgs Get More Complaints
  6. So. Many. Reasons. To. Complain.
  7. The Harmful Big Assumption
  8. Turning Complaints into Gifts (this post)
  9. “Friendly Fire” — Complaints from Internal Audiences
  10. Our Final Thoughts on Complaints