Steven, Author at The Better Fundraising Company

Why “Look Nice and Use Our Brand Colors” Persists

Steven | May 31, 2022May 31, 2022Ask

Our previous post noted that organizations who design all their fundraising pieces to “look nice and use their brand colors” accidentally cause their organization to raise less money.

Yet this approach persists. It’s arguably the most common approach!

I think there are two reasons it persists, and each of them is a good lesson for all of us Fundraisers to remember:

Lack Of Differentiation

At the vast majority of nonprofits, people aren’t taught that the design considerations for designing appeal letters are different than the consideration when designing a brochure or an annual report.

In direct response fundraising, there are some design approaches that are proven to work better than others.

It’s not your fault because you weren’t trained how to do this stuff.

And the first step towards an organization’s design helping them raise more money instead of less is the ability to differentiate between different types of fundraising.

Misplaced Branding Principles

There are many product- and corporate-branding principles that have been widely misapplied to the nonprofit world.

Here’s a summary of the resulting approach: “If our fundraising stays on brand all the time, that is good for our brand and will cause more people to give money over time.”

That’s true IF (and only if) your brand is effective in all the contexts in which you fundraise.

For instance, say one of a nonprofit’s brand colors is cyan (light blue) or something similar. And in order to stay on brand, the nonprofit uses cyan for some of the text in its newsletter.

Cyan, because it is so low contrast, is almost impossible to read by most people. Look at what using cyan (compared to black) does for reading comprehension:

(Data from Type & Layout: Are You Communicating or Just Making Pretty Shapes by Colin Whelldon.)

While this color can be very effective in creating a feeling as part of a brand’s palette, it’s ineffective when used as a text color.

So the brand is effective in one context, but not in others.

In that case, ‘staying on brand all the time’ absolutely does not help the organization raise more money now, or in the future.

The lesson here is that brand consistency (looking and feeling the same in all contexts) matters less than brand relevancy (being relevant and effective in whatever context you’re working in at the moment).

The next time you’re asked to design a piece of fundraising – or you ask someone to design a piece of fundraising for you – ask these two questions:

What type of fundraising are we creating here?
What are the hallmarks of effective design in this context?

The ability to differentiate, and then to know what effective design looks like in different contexts, will help an organization achieve more of its mission than an over-devotion to using its brand colors.

Exactly How to Run a Fiscal Year-End Email Campaign

Steven | May 26, 2022May 25, 2022Ask

Using email to raise money at fiscal year-end is exactly like using email to raise money the last week in December.

This week I’m giving you tips on fiscal year-end fundraising.

And today, here’s how to use email to take your campaign to the next level and raise even more money.

Below is exactly what to do in the mail to raise money at Fiscal Year-End. It’s pretty simple…

Big Picture: Send Three Emails

Your first email should be:

Almost a word-for-word copy of your mailed appeal letter. Don’t reinvent the wheel. Instead, repeat what’s in the letter, because repetition helps your fundraising.
Sent approximately 3 days after you send your snail-mail appeal letter. Your goal is for it to arrive in your donor’s inbox the same day it arrives in their mailbox.
- If your donors are spread across the country, or if you’re using nonprofit postage, you may want to wait 5 or 6 days after you send your appeal.

Your second email should be:

A copy of the first email you sent, but a little shorter. Say that you’re reminding your donor about the deadline on the 30th, and then use the same words, phrases and paragraphs that you used in your letter.
Sent the morning of June 29th.

Your third email should be:

A copy of the second email you sent, but a little shorter. Say that you’re reminding your donor about the deadline on the 30th, and then use the same words, phrases and paragraphs that you used in your letter.
- One tactic we’ve used with great success: don’t write a third email; just “forward” your second email with a note at the top. The note should say something like, “Dear [NAME], I wanted to make sure you saw this. Thank you!”
Be sent the morning of June 30.

The trick here is to send the same message in every email. It’s the repetition of the same message that helps drive it home!

Where Should the Links Go?

Every link in every email should go directly to your giving page. Don’t have links to your website’s home page, your Facebook page, or your Instagram account. We call those “attention leaks,” and they tend to reduce the amount of money you’ll raise.

Ideally, your giving page has updated copy at the top that mentions your “fiscal year-end campaign” and the important deadline of midnight, June 30th. You want that page to reinforce the message that your donors read in the appeal letter or email!

Who Should Receive Them?

Your emails should go to your entire list – every email address you have – with the following exceptions:

If there are any Board members or staff members who won’t want to receive the emails, feel free to take them off the list.
If you’re able, remove people who have given to the appeal or email from subsequent emails. For instance, if they give to the email on the 29th, they ideally would not receive the email on the 30th.
1. If you’re not able to do that, add a sentence in the email that says something like, “If you’ve already given a gift, thank you so much! If you haven’t, please give by midnight, Saturday night…” That will ‘get you off the hook’ for donors who give early but still receive the later email(s).

Our Goal For You

It’s a simple goal. If your fiscal year ends on June 30th, our goal is for you to fundraise for it and use the tips and tactics we’re sharing. If you follow our time-tested advice, we know you’ll be surprised by how much money you can raise!

This post was originally published on May 10, 2018.

Why Fundraising at Fiscal Year-End Will Work for You

Steven | May 24, 2022May 23, 2022Ask

I want to talk to you about fundraising for “Fiscal year-end” – why it works and how to do it for your organization.

I’m focusing on this because fundraising for “fiscal year-end” works great. And we want you to raise more money and do more good. If you’re not using this fundraising opportunity, you should be.

It Doesn’t Make Sense…

The first thing to say is that no one believes that fiscal year-end fundraising will work for their organization. No one.

And that’s reasonable! After all, what donor is thinking about when your fiscal year is, and what happens at the end of it?

On the surface, who would think that an appeal about the end of your budgeting cycle would motivate a donor to give? It’s entirely organizational-centric, and apparently not donor-centric at all. But…

…It Just Works

Fundraising for fiscal year-end (FYE) works great for our clients (and lots of other organizations) year after year.

The FYE appeal letter is usually one of the best-performing letters of the year. The emails usually perform second-best behind only the December year-end emails.

I’m telling you this because, if your organization’s fiscal year ends June 30th, you have a great fundraising opportunity that – most likely – you’re not taking full advantage of.

This the proverbial low-hanging fruit for you. And we’re going to show you how to grab it.

Why It Works

If we dig a little deeper, we see why FYE fundraising works so well:

There’s a simple, powerful problem the donor can help solve. Every one of us has had the problem of being ‘a little short’ at the end of a month. That means your donor understands and can feel the problem on her own. That right there makes her more likely to respond.
There’s a clear deadline. We know from experience (year-end fundraising, anybody?) that having a clear deadline is magic for motivating donors to take action.

A lot of people will read those two things and think, “Really? That’s it? That’s too simple.”

I know. I think the same thing.

But it works like crazy every year! The power of a deadline and a simple, solvable problem work again and again and again.

We recommend this to every client whose fiscal year ends on June 30th or September 30th.

Our Goal

This post was originally published on April 30, 2018.

Should You Sponsor or Start a Podcast?

Steven | May 19, 2022May 18, 2022Report

I’ve been asked some form of the following question three times in the last week:

“We want to get new donors, and we’re thinking about sponsoring a podcast. What do you think?”

Spoiler alert: the short answer is “probably not.”

There’s nothing wrong with sponsoring or even starting a podcast. However, it’s likely that the cost for each donor you acquire via a podcast will likely be higher than the cost to acquire a donor through more traditional methods.

In short, there are three main reasons why…

#1 – Most Donors Are Old, Most Podcast Listeners Are Young

The most recent Blackbaud study shared that the average age of a donor in the United States is 67 years old. (It’s good to recognize that this means half of the donors are older than 67.)

And according to Riverside.fm, only 22% of podcast listeners are over 55.

Right there we have an immediate mismatch. Generally speaking, nonprofits generally want older donors because older donors tend to give more, and tend to be donors for longer lengths of time. But the audience for podcasts is younger donors – who tend to give less, and for shorter lengths of time.

Is there anything wrong with this? No. But targeting younger people tends to be a less efficient use of resources.

#2 – But Steven, We Need Younger Donors, This Is Great!

The “but we need younger donors!” argument was part of all three conversations I had.

But it doesn’t hold much water.

For most organizations, the average length of time a donor will give to the organization is about 5 years.

So, say you sponsor a podcast and you’re acquiring donors who average about 35 years old.

Most of those donors will have left your organization by the time they are about 40 years old. That’s roughly 25 years before they enter their prime giving years.

Is there anything wrong with this? No. Will you have raised some money and acquired some “younger donors?” Sure.

But if you have limited resources, wouldn’t you rather acquire 60-year-old donors who would give more and for longer periods?

#3 – Donating Is A Little Harder

In the context of listening to a podcast, there’s a little bit more “friction” between a person and their donation than there is compared to traditional fundraising channels.

For instance:

When a person reading your letter wants to give a gift, the reply card and reply envelope are right there
When a person reading your email wants to give a gift, they click on a link
When a person listening to a podcast wants to donate, they have to press “stop” on the podcast, then they have to search for the link to your donation page. This assumes that the link is in the show notes and that the notes are included in the app the person is using to listen to the podcast.

Is there anything wrong with this? No, it can still work. But always pay attention to friction – it matters far more than most people think.

There Are Exceptions

It’s easy to think of two exceptions to this advice:

Organizations whose donor base is overwhelmingly younger, like many social justice organizations. If the average age of your donors is 35, then a channel that reaches that audience makes sense.
Organizations that have already maximized the ROI from traditional donor acquisition channels, but still require more new donors to meet organizational goals, so are willing to expand outside of the “tried and true.”

I’m sure there are more exceptions.

If you’re considering getting in the podcast game, those two exceptions are probably good “starting filters” to see if it makes sense for your organization.

Be “Platform Agnostic”

The three hard-won lessons I’m trying to share really have nothing to do with podcasts:

There are lots of ways to acquire new donors
Each one has a different audience and a different return on investment
When our resources are limited, it’s our job to figure out how to get the best return

Be “platform agnostic.” It doesn’t matter which platform or media channel you or your friends prefer, or what would be “cool” to do. What matters is looking at all the available choices and making the best choice for your organization.

Sometimes that means making unsexy choices. Sometimes that means alienating younger members of the fundraising team. Sometimes it means pissing off the spouse of the board member who has strong feelings.

It means looking at all the options. Estimating the ROI of your possible choices. And then achieving as much of your mission and vision as you can.

Repurpose the Proven

Steven | May 17, 2022May 17, 2022Repeat

In a movie directed by Oliver Stone in the second half of the 1980’s, Charlie Sheen plays a young man who follows a bad father figure, then turns to follow a good father figure. Can you name the movie?

If you said Platoon, you are right. If you said Wall Street, you are right. Both movies told the same story, and both were a huge success. The primary difference was that Platoon took us into the green jungles of Viet Nam circa 1967, and Wall Street took us into the concrete jungles of Manhattan circa 1985.

Here’s my point: Wall Street premiered less than 12 months after Platoon, but no one who saw it complained, “Hey, we were told this story last year!”

That’s a quote from Roy H. Williams, one of my favorite writers.

It’s one of those quotes that’s not about fundraising, but it’s absolutely about fundraising.

Because if you’re going to get good at fundraising, you’re going to find yourself telling the same “story” over and over again.

The beneficiary will change. The circumstances and details will change. But it’ll be the same “story” in the way Platoon and Wall Street are the same story.

Because when you find a particular “story” that elicits the response in your donors that you’re looking for, you want to repeat that “story.” Again and again and again.

You’ll get tired of it. But no one will complain and say, “Hey, we were told this story last month.” Because a vanishingly small number of donors will notice that the “story” was the same.

There are types of stories that work better than others. For instance, there’s a type of story that works best for appeals and e-appeals. There’s a type of story that works best for newsletters and “report backs.”

Again, you or your organization might get tired of the story types that work best for you. But don’t let your organization’s boredom with any particular story type get in the way of creating effective communications for your donors.

“Trust, then give” or “Give, then trust”?

Steven | May 12, 2022May 10, 2022Ask

You know me – I’m always talking about how the “stories an organization tells itself” about fundraising have a lot to do with an organization’s success or failure.

There’s another “story” we should talk about. It’s specifically around acquiring new donors:

“We need a person to know and trust our organization before they will give a gift.”

This is true when organizations are just getting started – maybe up to a couple of hundred donors. And occasionally in the major donor context.

But the problem with that approach is that it doesn’t scale. There aren’t very many people, in the grand scheme of things, that want to take the time to get to know and learn about your organization.

So it turns out that if you want to acquire significantly more donors than you’re acquiring now, it’s a better use of time and money to learn to be effective at “just asking potential donors to give a gift” than it is to “get to know people and then asking them to give a gift.”

Important note: I should mention that this post isn’t just me philosophizing over here. It’s me attempting to summarize what I (and others) have learned watching organizations spend millions of dollars attempting to acquire new donors.

So for smaller organizations who want to acquire more new donors, ask yourself if you have the belief mentioned at the top of this post. If you do, I suggest you replace that “default” belief with this new belief:

At this moment, potential individual donors care more about our cause, and about their ability to make a difference with a gift, than they care about our organization.

So our fundraising materials should spend less time talking about our organization, and more time talking about a) the cause or issue we work on, and b) how a donor’s gift will make a difference.

If you follow this advice when creating your mass, outbound fundraising communications and marketing, you’ll acquire more new donors.

Should you think differently when having lunch with a potential major donor who was introduced to you by your Board Chair? Of course. That’s because you’re a savvy Fundraiser and you differentiate.

If you and your organizations can do the other-centered thing and focus your communications on what individual donors tend to be most interested in (instead of what you and your co-experts are most interested in), you’ll be rewarded with more donors.

And they will come to trust your organization over time.

To scale your organization, it’s not “build trust and then they’ll give.” It’s “get them to give, and then they’ll trust.”

People Make Donations to Tell Ourselves…

Steven | May 10, 2022May 9, 2022Ask

You and I make donations in order to tell ourselves who we are.

Each donation we make is a small step to:

Become who we want to be
Continue to be who we want to be
Remake the world in the way we think it should be

Those are CORE motivations for individual donors.

Does your fundraising to individual donors speak to those core motivations?

Because doesn’t it seem obvious that, if you tap into those motivations, your organization would raise more money?

To tap into those motivations, your fundraising will need to tell donors that they’ll love giving to your organization. Your fundraising will need to tell them that your organization has the same values that your donor has. Your fundraising will need to communicate, “people like you give gifts to this organization.”

And then the donor’s intellect will find the facts it needs to justify the donation.

Fundraising that says those things feels very strange at first, because most organizations are used to talking about themselves, their organization, and what they do.

But it’s always good to remember that ineffective fundraising to individuals is about your organization and the services it provides. Effective fundraising to individuals is about your donor and their life.

Of course your fundraising should mention your organization. And even mention some of what you do. But your fundraising to individuals should not be ABOUT your organization or what it does – big difference.

Here’s an example:

Your gift to the Hospital Foundation allows us to provide top-notch healthcare to members of our community. Our leading cancer research team is diligently working to discover new treatments.

That’s about the organization.

Your giving to the Hospital Foundation shows that you’re a hometown hero. You care about people fighting cancer and want new treatments available as soon as possible.

That’s about the donor.

Make more of your fundraising to individual donors about the individual, and watch the magic happen.

Outline for newsletter stories

Steven | May 5, 2022May 4, 2022Report

Here’s the outline we follow for newsletter stories.

It’s remarkably simple, and it does two powerful things:

It makes your newsletter easier and faster to write, because you have a model to follow
It makes sure each story helps you achieve the purpose of your newsletter

Sounds pretty good, doesn’t it?

Simple Newsletter Outline

PARAGRAPHS 1–2

Summarize the situation the beneficiary was in
Tell the donor the situation changed because of them
Summarize the positive situation the beneficiary is in today

PARAGRAPHS 3–5

Tell the beneficiary’s “story” as above, but go into more depth

FINAL PARAGRAPH

Thank the donor for making the transformation (from “before” to “after”) possible
Thank the donor for caring about the beneficiary enough to take action to help

Note: most newsletter stories are between 150 and 250 words. So the number of paragraphs will vary depending on the length of the story.

The Power of This Approach

When you use this approach, your donor doesn’t have to read more than the first paragraph to get your newsletter’s main message – that the donor’s gift made a meaningful difference in the life of one person or for your cause.

At Better Fundraising, we assume that 80% of the people who open your newsletter will only read the headlines, picture captions, and a paragraph or two. For those people (4 out of 5!), you want to do everything you can to ensure they still get your main message.

Other nonprofits will make their donors wade through tons of words to find out whether the donors’ gifts made a difference. Sometimes the donor will never find out. I’ve seen newsletters where the donor is never even mentioned.

But by following this model, you and your organization will communicate your main message to almost every person who opens your newsletter. That’s a huge win!

Repeat This Formula in Every Story

When a donor opens your newsletter, you don’t know which story (or stories) they’re going to read. So you want to use this formula for every story so – whatever they read – they get the message that their gift made a difference.

This approach will feel repetitive to you – since you see every story. But most of your donors won’t read every story.

It will feel repetitive to your staff and core stakeholders (like your board) because they’re far more likely than most donors to open every newsletter and read every story.

But Remember

Your newsletter is not for you, your staff, or your core stakeholders. It’s a communication vehicle to show the remaining 95% of your donors that their gift made a meaningful difference.

Why is showing donors that they made a meaningful difference so important?

So that they can trust that giving a gift to your organization makes a real difference

So that they’re more likely to give you a gift the next time you ask

So that they’re more likely to keep giving to you year after year

So that they’re more likely to become a major donor

So that they’re more likely to leave you a gift in their will

So no pressure… but make sure your newsletter shows each donor that their gift made a meaningful difference. And one of the most powerful ways to do that is to write the stories following this outline.

To learn LOTS more about how to make your newsletter as effective as possible, download our free e-book, “10 Steps to Create a Money-Raising, Donor-Delighting Print Newsletter”

This post was originally published on March 3, 2020.

How to Choose What to Underline and Why

Steven | May 3, 2022May 3, 2022Ask

I’m going to teach you to raise more money by showing you what to emphasize in your fundraising letters.

Because if you underline or bold the right things, you’ll raise more money.

NOTE: for brevity, I’m going to lump all forms of visual emphasis as “underlining.” You might use underlining, or bolding, or highlighting, doesn’t matter. All of those are different tactics. I’m talking about the strategy of visually emphasizing small portions of your letters and e-appeals.

First, let me tell you why your underlining is so important.

Underlining has two purposes in fundraising writing. Almost nobody knows the second – and more important – purpose.

Bolding or underlining signals that a sentence is important. This is true of almost any writing.
But underlining also serves a second, more important purpose. The most effective fundraisers use underlining to choose for your donor which things they are most likely to read.

Because remember, most of your donors won’t read your letter from top to bottom. They will scan your letter – briefly running their eyes down the page. And as they scan, when they see a sentence that has been emphasized, they are likely to stop scanning and read.

It’s this second, more valuable purpose that most organizations don’t know about. So they underline the wrong things.

My Rule of Thumb

Here’s what I try to do. This doesn’t apply to every letter, but I try this approach first on every single letter I review or write:

The first thing underlined should be a statement of need, or a statement describing the problem that the organization is working on.
The second thing is a brief explanation of how the donor’s gift will help meet the need or solve the problem mentioned in the first underlined section.
The third thing is a bold call-to-action for the donor to give a gift to meet the need / solve the problem today.

If you do that, I can basically guarantee that your letter will do well. A MASSIVE number of fundraising letters don’t even have those elements, let alone emphasize them. If you have them, and you emphasize them, here’s what happens:

Donors know immediately what you’re writing to them about
Donors know immediately what they can do to help
Donors know immediately that they are needed!

Because of those things your donors are more likely to read more. And more likely to donate more.

There Are Some Sub-Rules

No pronouns. Remember that it’s very likely that a person reading the underlined sentence has not read the prior sentences. So if you underline a sentence like “They need it now!” the donor does not know who “they” are and what “it” is. The sentence is basically meaningless to the donor. Their time has been wasted.
Not too many. You’ve seen this before; there are four sentences that are bolded, five that are underlined, and the result is a visual mess that only a Board member would read. Be disciplined. I try to emphasize only three things per page, sometimes four.
Emphasize what donors care about, not what your Org cares about. If you find yourself emphasizing a sentence like, “Our programs are the most effective in the county!” … de-emphasize it. Though it matters a lot to you, no donor is scanning your letter looking to hear how good your organization is at its job. But donors are scanning for things they are interested in. So emphasize things like, “Because of matching funds, the impact of your gift doubles!” or “I know you care about unicorns, and the local herd is in real danger.”
Drama is interesting. If your organization is in a dramatic situation, or the story in the letter has real drama, underline it. Here are a couple of examples from letters we’ve worked on recently: “It was at the moment she saw the ultrasound that life in her belly stopped being a problem and became a baby” and “The enclosed Emergency Funding Program card outlines the emergency fundraising plan I’ve come up with.”

And now, I have to share that I got the idea for this post when I saw this clip from the TV show “Friends”. It turns out that Joey has never known what using ‘air quotes’ means – and he’s using them wrong (to hilarious effect). I saw it and thought, “That’s like a lot of nonprofits trying to use underlining effectively.”

If you’re offended by that, please forgive me. I see hundreds of appeal letters and e-appeals a year. I developed a sense of humor as a defense mechanism. 🙂

The good news is that learning how to use underlining is as easy as learning to use air quotes!

You can do this. Just remember that most of your donors are moving fast. Underline only what they need to know. That’s an incredible gift to a compassionate, generous, busy donor!

And if you’d like to know how Better Fundraising can create your appeals and newsletters (with very effective underlining!) take a look here.

This post was originally published on March 15, 2018.