Tag: impact

Before’s & After’s

Steven  |  Ask
Change.

Our last post was about how the distance between the “before” and the “after” shows the donor the power of their gift.

Speaking of this, I’ve noticed that there are four different ways organizations tend to handle “before’s and after’s,” and each results in different fundraising results…

Only the “Before”

Organizations that share only the “before” – the need that exists in the world before your organization has helped – will raise a lot of money in the short term.

But these organizations have troubles keeping their donors, because their donors never see or feel what their gift accomplished.

This short-term success can be extended to medium-term and even long-term IF the organization has a fantastic donor acquisition program and works on an issue with broad appeal. But it’s not a good strategy for smaller organizations – and I don’t think it’s particularly honoring to beneficiaries or donors.

Only the “After”

If organizations only share the “after” – the positive state after the organization has done its work – the organization will raise less money than it could be raising.

Some donors are motivated just by hearing the “after.” But a lot more donors are motivated by hearing the “before” and the “after.” When the “before” is never shared, a significant percentage of people don’t give, or give less.

A secondary consequence of only sharing the “after” is that organizations accidentally hide the need faced by their beneficiaries.

No “Before” and No “After”

If you share no “before” and no “after,” you also raise less money. This happens when a nonprofit tells donors that the work is happening now, that the work will continue, and asks the donor to “continue to” support the work. There’s no “before.” There’s no “after.”

These organizations accidentally communicate to donors that no change happens when the donor gives – so why should the donor give?

I hope it’s obvious that “why should the donor give?” is a rhetorical question, because the nonprofit is presumably doing good work. This post makes the case for why asking a donor to “continue to” support an organization’s work is one of the least compelling ways to ask for support.

“Before” AND “After”

The organizations where we’ve seen the greatest fundraising success share both the before and the after. They share the bad news and the good news.

When Asking in appeals and e-appeals, they share what’s happening now (the “before”) and what will happen if the donor gives a gift (the “after”).

When Reporting in newsletters, they share what was happening (the “before”) and what’s happening now (the “after”).

The constant contrasting of the “before” and “after” helps a donor see how big an impact their gift to your organization can make, or has made in the past. This is the best strategy, and it provides a strengthening blend of short-term and long-term success.

This strategy honors beneficiaries because it creates awareness of the current situation and of the hopeful future that’s possible. It honors donors by showing them the impact of their generosity.

The Distance

Steven  |  Ask

The graphic above is the best way I know to show why it’s so helpful to donors when nonprofits share “before and after’s” in their fundraising.

The distance between – the contrast between – the “before” and the “after” is what shows the donor the power of their gift. 

Here’s how it works…

Appeals & E-appeals

When you’re Asking for a gift in appeals and e-appeals, you want to share the “before and potential after.”  Describe the “before” – what’s happening now that needs to be fixed? Then describe the “potential after” that the donor’s gift will help make possible.

If the distance between the before and the potential after is large, the donor will feel like their gift will make a big difference. And when you make your donor feel like their gift will make a big difference, you’ll get more gifts.

Newsletters

When Reporting back to donors in newsletters, you want to share the “before and after.” Your newsletter story or E.D. letter should describe the “before” (what was happening that help was needed”) and then describe the positive “after” that the donor’s gift made possible.

If the distance between the before and the after is large, the donor will feel like their gift made a big difference. And when you make your donor feel like their gift made a big difference, you’ll get more future gifts.

More Important

When you create a lot of direct response fundraising, you quickly find out that donors care much more about the “before” and the “after” than they care about how your organization made the “after” possible.

So don’t spend time in letters and emails talking about your programs, or about how your programs work.  That’s the “how you made it possible.” Save that info for grant applications and the small group of major donors who love the ins and outs of your programs.

For direct response fundraising, show donors the big distance between the before and the after.  If you can get your donors thinking, “Wow, my gift can make that big a transformation?” or “Wow, my donation made that big a difference?” – they’ll loving giving to your organization because of the impact they can make. 

You Change the World

Steven  |  Ask
Change the world.

A bit of encouragement for you today…

Do you want to change the world?

A direct response Fundraiser can change the world just by sending out an email.

By doing something almost everybody does – sending an email, of all things – a Fundraiser can change the world by raising money.

A donor’s money that was going to do something is now doing your thing. Your organization is now going to do more. And your donor loved giving the gift.

Email sent. World changed.

Food for thought: how many people do you think have the skill to send emails – to people they’ve never even met – and have some of those people reply with large amounts of money?

Not very many.

Develop your skills to raise money, in email or direct mail or telemarketing or radio, and you can have a meaningful job for the rest of your life.

People and organizations will value your ability to change the world. They will value your ability to take all the things your nonprofit does and create fundraising that makes your donor want to take action now.

Because while a lot of fundraising just makes a point, you’ll create fundraising that makes a difference.

That sounds like changing the world to me.

“We are unique” is Halfway to a Good Idea

Steven  |  Ask
Halfway There

Only “halfway,” because it’s about your organization.

Talking about your organization’s uniqueness is self-centered, when the most effective fundraising is generous.

Additionally, the word “unique” is neither positive nor negative.  It just means you’re the only one.  It doesn’t mean your organization is a good place for your donor to give a gift.

So you just spent a few of your precious seconds telling your donors something neither good nor bad… when you could have been busy telling them something good.

But!  If you keep pushing on the idea of your uniqueness, if you can be generous in how you present it, it can be a strength.

You can tell your donor that her gift through your organization is the only place where she can have her gift do this.

You can tell her she’s part of a tribe, a special group of people who see things a little bit more clearly.  You can tell her she’s part of a generous, smart community of donors who are doing things more effectively than they’ve been done before.  Who are doing something the best that it can be done right now.

You can tell her that she’s unique in that she “gets it,” that she cares, and that she does something about it.

If you can push past talking about how your organization is unique, and get to where you’re talking about how your donor’s gift will help your beneficiaries or cause in uniquely powerful ways, then you’ve got something that will increase donations to your organization.

Because the fact that you’re the only organization doing something is not effective at motivating people to give gifts. 

But the fact that their gift will do something uniquely powerful and effective is very effective at motivating people to give gifts. 

Trust

Steven  |  Repeat
Trust

Organizations become trusted by donors when organizations show up, again and again, with communications that are relevant to the donor.

Those donors have lots of interactions with you.  Those interactions over time, repeated and reinforced, lead to trust.

You cannot earn trust very quickly when you have one event and two pieces of fundraising a year. 

And remember, the primary things that a donor cares about are:

  • What’s happening directly to the beneficiary group or cause that she cares about
  • How her gift can make a difference
  • How her past made a difference

That’s what she cares about most. That’s what your fundraising should be about to be most relevant to her.

If your communications are mostly about your organization, you’re not talking about what she’s passionate about.

In 2021, resolve to talk more about what she’s passionate about.  Tell her about the negative things that are going on with the people you serve for the cause you work on, and tell her what her gift will do to help.  That’s asking.  Then be sure to report.  Tell her the positive news about how her gift made a difference.

Don’t stay silent for long periods of time.  Don’t go dark.  Earn her trust.

Not very many organizations have it in them to build a habit of regularly contacting their donors with relevant messages.  It’s hard work.

That means there’s an incredible opportunity for you and your organization.

What would you rather?

Steven  |  Ask
choice

I want you to remove your fundraiser hat for a moment, and put on your donor hat.

Okay. Now, I want to ask you a question. Would you rather:

  • Give to help an organization continue its work?

  • OR

  • Give to solve a compelling, immediate problem?

This question sits at the heart of why some organizations raise more money than others.

You see, organizations that regularly see poor fundraising results tend to make the same mistakes when speaking to their donors. They tell fundraising stories of people who have already been helped, and/or ask they donors to help the organization do more good work.

This kind of messaging in your appeals will consistently raise you less money because your donor isn’t solving an immediate problem – and the donor isn’t the hero of the story.

Conversely, organizations that consistently tell fundraising stories of acute, current needs will raise more money.

If you ask a donor to meet an urgent need, she is more likely to stop what she’s doing and make a gift.

Here are two quick examples. With your donor hat still on, would you rather give to this:

  • “Emma was hungry and alone when she arrived at our homeless shelter. We gave her a warm meal, and a bed, and she is now feeling better and getting back on her feet. Will you help us support more people like Emma?”

See how Emma’s problem is already solved? See how the donor doesn’t have a role to play other than helping the organization do more work?

Or, would you rather give to this:

  • “I have an urgent need to share with you. Emma just arrived at our homeless shelter. She is hungry, and she’s been sleeping on the streets. Please send a gift of $35 and give a woman like Emma a warm meal and a safe place to stay.”

See how there is a clear need to be met? And how there’s a specific way the donor’s gift will help?

In your appeals and e-appeals, make sure to give your donors an important, impactful role to play. When a donor gives, she’ll feel like a hero.

And when you make her feel like a hero, she’s more likely to give to you again in the future.

Now you’ve got the Holy Grail of fundraising: donors who love giving to you now (so you raise more money now) and donors who are more likely to continue giving to you in the future (so you raise even more money over time)!

To Get a Donor to Give, Remember WHY They Give…

Steven  |  Ask
Remember WHY They Give

Short post today with an important tip.

Which sentence do you think would raise more?

“Right now, our Uplifting Kids program needs your support.”

Or…

“Right now, a local child needs your help.”

I can basically guarantee that asking a donor to “help a local child” will raise more than asking a donor to “support a program that works with local children.”

Why?

What I’m trying to illustrate here is “asking for support of a program” versus “asking for help for a beneficiary or cause.”

This is important because most of your donors likely got involved with your organization because they cared about the beneficiaries your organization helps, or the cause your organization is working on.

They did not likely get involved with your organization because of your programs.

The Lesson

When you’re Asking donors (and non-donors) to give a gift, you need to remember why they give.

As a rule, most donors give first and foremost because they care about your beneficiaries or your cause, not because they care about your organization or your programs.

Are there exceptions to this rule? Of course. There’s always a major donor or a board member who loves your program. Or a Foundation that gave you a grant because of something specific about your programs.

To those segments of your audience, talk about the program itself.

But when you are talking to “everybody” – in your appeals, e-appeals, at events, on your website – talk about a beneficiary or your cause.

For Example…

The most helpful example I share of this is an appeal letter that said,

“Right now, programs like Uplifting Kids need your support!”

That is a perfect example of “asking for support of a program.” Just think about how much less power that has than something like, “Right now, a local child needs your help!”

The organization that wrote the “…programs like Uplifting Kids need your support” has been a client of ours for four years. We basically never talk about their programs any more. And their appeals and events raise between 2x and 8x of what they used to.

So focus your donor communications on why your donors gave in the first place, not on your programs!

“They are not your donors, you are one of their charities”

Steven  |  Ask
One of their charities.

While at the AFP International conference in New Orleans last month, I heard a quote from Mark Phillips of Bluefrog that stopped me in my tracks.

“They are not your donors; you are one of their charities.”

I wish more organizations would hear this and take it to heart. Because if they were to do this, their fundraising would get better immediately. Here’s how…

You realize that your nonprofit is in a constant battle with other nonprofits for the attention of your donor.

I find that most nonprofits act as if they are the only organization soliciting their particular donors. They assume they don’t need to attract each donor’s attention. They assume the donor will read everything they write. None of those assumptions are good ones.

Nonprofits need to realize that they are constantly competing for the attention (and dollars) of their donors. They need to work harder to get donors’ attention.

For example, this is why organizations that send out 8 appeals and 4 donor-focused newsletters are more likely to raise more than organizations who send out 4 appeals and 12 e-newsletters: the organization that communicates more relevant information more often is likely to get more attention and more donations from their donors.

So, are you communicating relevant information to your donors often enough? Are your email subject lines good? Is the envelope for your appeal mysterious? Is your writing interesting and clear? Are you actively trying to earn their attention … or just sending stuff out?

You realize you have to earn repeat donations from your donors

Your donor is hearing from a LOT of nonprofits she loves, about causes she loves. What are you saying to her to earn her next donation?

First of all, have you told her powerful stories about the impact she’s made, so that she knows her previous gift made a difference? Do you have a newsletter that regularly shares those stories?

And when you Ask, are you making a weak appeal for her to “partner” with your organization or to “become a supporter”? Or are you asking powerfully for a current need and positioning her (not your organization) as the hero?

You relentlessly focus on donor retention

Now that you know your donors “like to give around,” you become focused on keeping as many of them and their donations as you can.

So you measure donor retention to figure out what percentage of your donors you keep each year – and then you try to keep more the next year.

Why? Because “donor retention” is pretty much the same thing as “donor satisfaction.” And satisfied donors are more likely to give to your organization next year, and give more the following year, and put you in their will, etc.

Are you measuring donor retention? And are you trying to improve it?

Now it’s Your Turn

What can you do, today, that will help you keep your donors?

Is there a major donor you can call? Is there a newsletter you can start? Is there an appeal you can make stronger?

I promise you that if you work like crazy to get the attention of your donors, if you earn their repeat donations, and if you measure and focus on how many of your donors you keep, you’ll be raising more money in no time. And for a long time!

Do your fundraising materials have a donor-shaped hole?

Steven  |  Ask
Donor shaped hole.

Let me share an idea that’s been helpful for a number of fundraisers recently:

All of your donor communications should have a donor-shaped hole in them.

Why? So your donor can see a role for herself in what your organization is doing. So she can see a place where she can step in and do something meaningful.

If you get really good at doing this, really good at creating fundraising that makes donors say, “I see that, I can do that,” you’re going to raise a LOT of money.

The idea of a “donor-shaped hole” is an attempt to explain why a set of fundraising tactics is so effective at engaging donors. I’ll list some of the tactics below. You’ll see how each one creates a donor-shaped hole in appeals, e-appeals, events, and newsletters.

Talk To Her about What She Can Do

As you write your fundraising, write it as if you’re talking to one donor. And talk to her about what she and her gift will accomplish.

That approach is significantly different than talking about your organization, your programs, and the people you’ve already helped.

That’s a lot different than asking your donor to “become a supporter” or “please partner with us.”

Instead, write directly to her. Not to everyone, just to her. Use the word “you” a lot. Tell her that great people like her are needed. Give her an example of what her gift will do.

When you’re done, you’ll have a letter (or email, or event) that feels like a 1-to-1 communication to her and about what she can do. That’s a letter that a donor is far more likely to read and respond to than a letter (or an organization) that just keeps talking about itself!

Highlight a Small, Specific Thing Her Gift Does

What you want to do here is pick one powerful thing (or part of a thing) that your organization does. The trick is that it needs to be easy to understand, and inexpensive enough that everyone can afford one of them.

Say you’re an Education organization. You have lots of different programs, most of them long-term. You should look for part of one of those programs. For instance, if you provide math tutoring to middle school students, you can figure out the average cost to provide one day’s worth of tutoring for one student.

Most likely the cost to do that is low enough so that every donor could afford it. Congratulations, you’ve created a donor-shaped hole!

A $50 donor can provide one incredible day of tutoring for a child. A $1,500 donor can provide one incredible month of tutoring for a child.

Pro Level: Ask for the Amount She’s Most Likely to Give

Sophisticated organizations create a donor-shaped hole by asking for an amount that is the right size for the donor.

They do it using customized gift ask amounts based on each donor’s previous gift. Here’s what they do, in a nutshell:

  • When they export the mailing list, they also export the amount of each donor’s previous donation. This is often called “Most Recent Gift” or MRG.
  • That amount is used to calculate three gift ask amounts for each donor. Those amounts are usually 1 x MRG, 1.5 x MRG, and 2 x MRG.
  • When printing the reply card for each donor, the donor’s name, address, and customized gift amounts are merge printed onto the reply card.

This is a proven way to increase response and giving. Why does it work? Because it asks your donor to give about the same amount they gave last time. This makes a donor feel like you know them. It creates a donor-shaped hole that is exactly their size.

Thank, and Report

Organizations that Thank well (promptly, emotionally, donor-centrically) make donors feel great. Great Thank You’s show the donor that she is needed and that she is appreciated.

Great organizations tell each donor, “Thank you, a great person just like you was needed, and you did exactly what was needed!” That tells the donor that there was an important role for her to play in your cause or organization, and she played it.

Take off your “Fundraiser” hat for a moment and put on your donor hat. As a donor, wouldn’t you like to hear that there was an important role for you to play, and that you played it perfectly?

After Thanking, great organizations Report back to donors on what her gift made possible.

Richard Perry is the founder of Veritus Group and one of the best fundraising strategists in North America. (He’s also my old boss!) He says, “The greatest cause of donor attrition is that the donor did not know she made a difference.”

If a donor doesn’t know that she and her gift made a difference, why would she give another gift to your organization?

Again, take off your Fundraiser hat and put on your donor hat. If your donation was needed, wouldn’t the organization Report back and let you know? If you and your gift are important, wouldn’t the organization Report back to you and show you how?

If you mattered to the organization, wouldn’t they Report back to you?

If you mattered, they would. So if your donors matter to you, Report back to them and show them how they made a difference. For each donor, show her the ‘hole’ she helped fill!

Your Next Steps

Use these tactics to create donor-shaped holes in all of your fundraising communications. If you do, your donors will start engaging with your organization more because they’ll see that they are needed, that they have a powerful role to play, and that they matter!

And if you’d like fun, experienced coaches to help your organization do this, get in touch! We can review your fundraising and help you make it stronger, or we can even create your appeals, newsletters and e-appeals for you. For less than the cost of an employee, we can improve your fundraising materials, raise you more money, and free up internal resources!