Tag: impact

Good News and Bad News, Part II

Steven  |  Repeat
Yin Yang.

Part I was about our belief that nonprofits are called to share the whole situation – the good news caused by their work and the bad news that causes their work to be needed.

But that’s a complex story. And do you think that today’s individual donors – who have shorter attention spans and are bombarded by more messages and information than any time in human history – are going to read and think about your complex story?

No. At least not many.

So here’s the fundraising maxim we live by:

When you only have a few moments of a person’s attention, focus your message on either the good news or the bad news.

Here’s how this works in practice:

  • You put the “bad news” in your appeals and e-appeals. These are your Asks.
  • You put the good news in your Thanks. These are your Thank You/Receipt letters and email receipts.
  • You put more good news in your Reports. These are your Newsletters.

This provides a series of messages that are easy to understand by individual donors who are moving fast. This communicates both the good news and the bad news about what’s going on, rather than hiding the news in communication pieces that attempt to tell the whole story every time.

It will also raise you more money, if the results of our customers are any indication.

And when you have more time with a donor – say at an event, or a coffee with a donor, or a grant application – then you can tell the whole complex story, sharing both the good news and the need for your work.

But in the meantime, focus each message to individual donors on either good news or bad news. By narrowing the focus, more of your message will make it through to donors, and to the world.

Good News and Bad News, Part I

Steven  |  Repeat
Yin Yang.

If a nonprofit isn’t sharing the good news caused by their work, the nonprofit is hiding something and isn’t doing all of its job.

And equally true, if a nonprofit isn’t sharing the bad news that causes their work to be needed, the nonprofit is hiding something and isn’t doing all of its job.

You can see both types of nonprofits today. Look around and you’ll see organizations that only use the doom-and-gloom sky-is-always-falling approach that diminishes the progress being made. And you can see organizations that focus completely on success and diminish the situation that causes their work to be needed.

It’s our belief that nonprofits are called to share the whole situation. If only one kind of news is shared, a nonprofit is not giving donors a true picture. Their fundraising becomes just as polarized as a news media outlet that only shares one side of the story.

This is why our fundraising system is built on Ask, Thank, Report. When you Ask donors for support, you share the bad news that causes the work of the nonprofit to be needed. When you Thank, you share the good news that will happen because of their gift and your work. And when you Report back to donors, you share the triumphs and amazing changes that happened.

It’s yin and yang. It’s the good and the bad. It’s the full picture. It has to be a mix of good news and bad news in order to be true.

Stay in the Now

Steven  |  Ask
In the now.

When asking for support in an appeal letter or e-appeal, stay in the now.

Don’t talk about what your organization has done in the past. Don’t talk about how many people you’ve helped in the past. Don’t tell a story about someone you’ve helped in the past.

Here’s why…

In our experience, the most successful appeals focus on what is happening now and what the donor can do about it. Here are some examples:

  • There is a person who has a disease, and you can supply the cure.
  • There’s a classroom of kids that’s behind in math. You can provide the tutoring to get them caught up and even testing ahead of grade level.
  • Today there’s a person with a vestibular disorder and she’s dizzy. You can connect her to a trained physician.

You get the idea.

Anything else in the appeal that’s not about “what’s happening right now and what the donor can do about it” tends to be:

  1. A distraction from what’s going on now, and
  2. Takes up space you could be using talking about what’s going on now

You should mention and focus on the good things that have happened in the past when you are Reporting back to your Reports (usually in your newsletters). Or when you have more time to make the ask, like at an event or in a meeting with a major donor.

But when you’re asking for support in an appeal or e-appeal – when donors are doing more “scanning” than reading – it’s “what’s happening right now that a donor can help with” that is the most likely to cause a donor to give a gift.

Two Futures to Mention

I can think of only two times to mention the future in an appeal.

The first is when you share what the outcome of the donor’s gift will be. Using the examples above, that could look something like this:

  • When you supply the cure, you completely eliminate the disease from a person’s body. They will go on to live a normal, healthy life!
  • The tutoring you make possible will radically improve the students’ understanding of math. They’ll become more likely to graduate, to go to college, and even to get high-paying jobs!
  • For a person with a vestibular disorder, connecting with a physician means they’ll get a proper diagnosis and be on the path to a dizziness-free life and be able to leave the house again.

The second is to share the vision of the organization for the future. That results in examples like this:

  • Your gift will also help eradicate the disease, creating a disease-free world!
  • Our goal is to create a world where every child possesses the math and STEM skills they need to succeed.
  • We believe that every person with a vestibular disorder deserves a good diagnosis, and your gift helps us work towards that future.

But in our experience, focusing on “what’s happening now and what the donor can do about it” is the surest way to a gift in the mail and email.

With and For

Steven  |  Tips
with and for

The work of a Fundraiser requires you to be in two different contexts at once.

You must be “with and for” your beneficiaries.  To know what’s going on with them.  To know the needs.  To know the stories.  To know the triumphs and progress.

And you must be “with and for” your donors.  To know what they’re thinking about.  To want them to have a good experience giving to your organization.

It’s easy to set up camp in just one place.  To be so donor-focused that boundaries are crossed and donors are given too much power.  Or to make overly beneficiary-focused or organization-focused fundraising that largely ignores donors’ wants and desires.

Setting up camp in one place can even feel like you’re taking the high road. 

But the most effective fundraising – for revenue & retention & beneficiaries & donors & the world – is “with and for both.”

What 90s TV show ER™ can teach you about fundraising appeals

Sarah Lundberg  |  Ask
urgent

It’s the worst day.

You get a deep cut on your hand while preparing for a summer barbeque. It looks bad to you. So you head to the emergency room!

But when you get to the ER… some bored receptionist takes your name, gives you a load of paperwork, and tells you to sit down and wait.

So you wait. And wait.

Then the automatic doors BURST open, and they wheel in a guy who’s bleeding and eerily still!

“Fell through a plate glass window! We’re losing his pulse!” a paramedic yells.

They wheel the gurney right past where you’re waiting. And a guy who looks a lot like George Clooney LEAPS into action to try and save his life!

You may think you’re in an episode of ER™ (the early years), but you’re actually… in the fundraising ER.

You see, you ended up in your donor’s waiting room because you forgot the urgency in your fundraising appeal.

When asking your donors to give in your appeal letter, you used phrases like:

“Will you consider making a gift today?” or “Please support our organization.”

Meanwhile, another organization used phrases like:

“”Here’s why your gift is needed TODAY” and “Here’s the [negative consequence] that will happen if this problem isn’t solved.”

Here’s why this matters:

Your donors triage their mail a lot like ER docs triage their patients.

Right now! Stat!
For your donor, these are the personal letters, the mysterious envelopes, and fundraising appeals that share the urgency to give today. In the ER, this is the guy on the gurney.

Later!
For your donor, this is bills and other stuff she doesn’t dare throw away yet. It may also be fundraising appeals from organizations she especially cares about. In the ER this would be a kid with the stomach flu.

When we get to it.
For your donor, this is everything else. Junk mail and the fundraising appeals that don’t give a good reason to give a gift today. In the ER, this is you with the cut hand… still waiting.

A lot of organizations make the mistake of hiding the urgency from their donors. And their appeal ends up in the “later” or “when we get to it” pile.

Big mistake.

Here’s where my ER metaphor breaks down.

The ER docs will eventually get to you with your cut hand.

But if your appeal gets put in the “later” or “when we get to it” pile, chances are your donor will never get to it.

She’s busy. And there’s more mail arriving tomorrow. So mail that gets set aside tends to get recycled… it just takes a bit longer to get to the recycling bin.

You must SHARE the urgent reason to give with your donor — quickly! On the outer envelope. Right at the start of your letter. Repeated throughout the letter. In the P.S. On the reply card.

That’s what it takes to get noticed in your donor’s mailbox AND in the ER.

Your cause is important — you wouldn’t be writing to your donor otherwise. Make the urgency crystal clear! And tell the donor exactly how she can help.

What to Do When You Have a Mid-Year Budget Shortfall

Jim Shapiro  |  Ask
fill the gap

I’ve heard something like this at least a half-dozen times this week…

“We used to receive grant funding but that is way down.” Or “We received PPP money and that’s running out.” Or “During and after the pandemic our donors really stepped up, but they aren’t giving like they used to.”

Here’s what’s going on in most cases: most nonprofits set their budget based on giving the previous year.

But we just lived through a three-year period that was anything but normal. So if you based your 2023 budget on 2022 giving, you may find yourself with a funding shortfall the second half of the year begins.

This means you need to do all you can to raise as much money as possible the second half of this year.

Even though you’re faced with this problem, this is actually GOOD news for your fundraising. Why? Your shortfall is a problem donors can solve!

Figure out where your funding gaps are, and ask your donors for help filling them. Major donor development, mass donor appeals and even a special event are all successful tools nonprofits use to erase their shortfalls.

The fundraising shortfall you’re facing is a fundraising opportunity for your donors to step up to help in a big way.

Do not fear! Make the most of this time to be bold and confident in your fundraising outreach. You can do it!

Donors love to feel needed. And I suspect you’ll be surprised and encouraged with the results!

The Need Never Ends

Steven  |  Ask
problem

There’s an idea I recommend removing from your fundraising (if you use it):

Telling people that “the need never ends.”

I’m sharing this because last week I saw a text-driven billboard from an organization I support. The billboard said:

THE NEED
NEVER ENDS

I have no testing data on this particular idea or phrase. But even though the idea is 100% true, I suggest that it’s not a good idea to highlight to donors.

A core motivator for individual donors is to make a change happen. By saying that the need never ends, this organization is also guiding people’s attention on the fact that their contributions will never solve the problem – that the situation will never change.

Not exactly motivating, eh? Anyone want to make T-shirts with “Donors are Sysiphus”?!?

By focusing their donors’ attention on something that donors cannot change, the organization removes a core motivation to give.

Some gifts will come in, of course. All it takes for some people to donate is to be made aware of what’s happening. But more gifts tend to come in when fundraising gives donors reasons to give today – and “the need never ends” is not a reason to give today.

It’s important to note that there are people who are motivated by the need never ending. For instance, “subject matter experts” who think at the level of the cause yet also know that something still needs to be done today. Executive Directors and Directors of Development who know that they need to raise money every single year.

But 99% of the people driving by the billboard (or on your mailing list) don’t think like that.

So Instead…

For individual donors, use your fundraising to focus their attention onto something they can help change.

Share a need that’s happening right now, or 4 weeks from now.

This usually means narrowing the focus of the fundraising from the Cause or the Big Picture to the personal and relatable. Share a story of a person or thing that needs a little help right now. Or talk about the help that is needed over the next month.

The next time you find your fundraising talking about how big a problem is, I advise you to narrow the focus.

Donors don’t give because a problem is big; they give because a problem is solvable.

Awareness of the Problem > Awareness of the Work

Steven  |  Report
awareness

The previous post showed how fundraisers can harness awareness and tension to raise more money.

There’s a key thing to note, and it’s worth taking a whole post to say it well…

You want awareness of the problem your organization exists to solve more than awareness of your organization’s work to solve the problem.

When a nonprofit’s fundraising creates awareness of the problem they are working on, recipients of the fundraising experience tension and are compelled to action.

Note: if causing your donors to experience tension doesn’t sound like your cup of tea, remember that tension is the source of almost all actions taken by humans:

  • If I’m having health problems because of what I eat, I experience tension with what I eat, and I take an action to eat healthier.
  • If I’m wanting a new TV, I experience tension with my current TV, and I take an action to buy a new TV.
  • If I see a family who is losing their apartment because they are caring for a daughter who is in the hospital for several months, I experience tension with that situation, and I send in a gift to help them keep their apartment.

It’s all the same thing.  This type of tension is your friend in fundraising.

So, when a nonprofit creates awareness of the problem that the organization works on, donors experience tension with that situation, and send in a gift to help solve the problem through the nonprofit.

But when a nonprofit creates awareness of the work the organization is already doing on the problem… where’s the tension?

Why would people feel tension?  It sounds like the organization has everything taken care of.  They are helping so many people!  That’s so great!

In your fundraising, make sure you’re raising the right kind of awareness.  If a nonprofit is always and only telling stories about people who have already been helped… you’re raising the less helpful kind of awareness, so you’re raising less money than you could be.

In our experience, the organizations that raise the most money and retain more of their donors have about a 2:1 ratio – they “raise awareness of the problem their organization is working on” about twice as often as they “raise awareness about the work their organization is doing.”

How to Change the World

Steven  |  Ask
tension

In a post called “How to change the world,” Seth Godin recently said,

All successful cultural change (books, movies, public health), has a super-simple two-step loop:

AWARENESS
TENSION
–>Loop<–

It’s easy to focus on awareness. Get the word out. Hype. Promo.

I think that’s a mistake.

Because awareness without tension is useless.

The tension is like pulling back a rubber band.

WHY would someone who becomes aware take action?

Here’s how that works in nonprofit fundraising:

  • Awareness – the nonprofit creates this.  Nonprofits make donors aware of the problem that needs to be solved, of the need that needs to be met. 
  • Tension – the donor feels this.  They feel the tension between the way the world is today and how they wish the world would be. 

Seth asks, “WHY would someone who becomes aware take action?” 

Here’s our answer for fundraising: a donor will take action when the internal tension they feel is strong enough, and when the nonprofit makes it easy for the donor to see that their gift will make a meaningful difference.

This is the successful recipe for an appeal: show the donor what’s happening in the world, and show the donor what their gift will do to solve the problem.

The nonprofit provides the awareness of the problem.  The donor provides the tension.  The result is a gift.  And the partnership between the nonprofit and the donor changes the world.

There are other pieces of communication necessary, of course.  Nonprofits should Thank their donors, and Report back to them on what their gifts accomplished.

But – importantly – do any of your fundraising pieces create awareness of the need, let the donor experience tension, and then make it easy for the donor to see the change in the world that their gift will make?