Take Charge of Your Data to Meet Fundraising Goals
- 1. Take charge of your data to meet fundraising goals AFPNNE NOV 8 2013 Chris Bicknell, Little Green Light Kathy Howrigan, Marts & Lundy Brendan Kinney, Vermont Public Radio & #fundchat 1
- 2. Objectives This session is intended to help you: • • • • Focus on establishing a more strategic approach to donor data management Understand challenges shared by nonprofits around the country Learn practical ways to overcome those challenges Take away some simple tools Ultimately, the goal is to help your organization raise more philanthropy for your important mission. 2
- 4. Where you are and where you want to go Constituent Chaos. Data scattered everywhere. Irregular, one-size-fits-all communications with supporters Self-Centered. Constituent data consolidated, but focus attention inward rather than on interactions with the outside world. Enlightened Stone-age. Appreciate and actively seek to engage constituents with high quality interactions, but a multiple data collection mechanisms require staff to jump through hoops to coordinate outreach. Constituent-Centric. Contact data consolidated in only a few places, have regular targeted interactions with constituents in which they cross-promote different aspects of the organization and create opportunities to grow the value of their constituents. Source for slide (text is adapted): “Creating the Relationship-Centric Organization: Nonprofit CRM” By Paul Hagen, May, 2006 (http://www.idealware.org/articles/relationship_centric_org.php) 4
- 5. Good News/Bad News Good News! • Great strategy and clean donor data are not out of reach for anyone. o The reality is that this area is in scale with the organization. Larger organizations have more data and it costs them more money. Smaller organizations have less critical data and can achieve great results. Bad News! • It will take more energy and time to get there than the organization typically wants to allocate. o It also takes more discipline than many organizations want to maintain. 5
- 6. Issues from the Field 6
- 7. Respondents by Number of Constituents 30 25 20 10+ 15 2‐9 <2 10 5 0 <1K 1K‐9K 10K‐24K 25K‐99K Constituents in Database 100K+ 7
- 9. Data as a Strategic Initiative Strategic Plan Increased engagement through communication strategies with constituents 75% Increased use of social media 75% Donor database software 30% Training IT Hardware Do not have or have not seen strategic plan 23% 16% 14% 9
- 10. How Often Use Database for… Very Often/Often Not Often Don't Know/Not Sure Segmentation for Appeals/Events Never 81% Communicate with Specific Groups about events 5% 78% 6% Track Relationships Among Constituents 58% 9% Analyze Constituent Giving Patterns 59% 9% Build Research Profiles of Constituents 52% Build Predictive Models 33% Measure Effectiveness of Appeal Language or Design 13% 33% 0% 38% 41% 50% 100% 10
- 11. Percent of File With… 90%+ 80%‐89% 70%‐79% Mailing Address 60%‐69% 50%‐59% 55% Home/Business Phone 5% 17% 17% E‐mail Address 5% Estimated Wealth from Screening Vendor <50% 44% 12% 69% Cell Phone 0% 0% 73% 50% 100% 11
- 12. Recency of Data Acquisition Within last year More than a year ago Don't know/not sure Appended E‐mail Addresses 47% Updated Addresses using NCOA Never 46% Appended Phone Numbers (Landline) 31% 37% 43% Appended Cell Phones 34% Appended Lost Addresses 34% Conducted an Audit of Data Quality 32% 29% Conducted Wealth Screening on Full File Conducted Predictive Modeling on Full File 28% 22% 38% 28% 43% 49% 59% 12
- 14. Solutions from the field 14
- 16. Incomplete Constituent Data Big Picture Approach • Improving constituent records is a strategy, not a onetime activity. Take Little Bites • Tackle “mass” update of records, but start small and scale up, beginning with your VIPs and most recent donors first. Enlist Your Army • Make it everyone’s job to update donor records; make it part of every conversation. Bring In The Big Guns • Make the case (and budget) for full database update. My favorite: “Electronic Return Service Requested.” 16
- 17. Insufficient Resources Data Entry & IT Share The Love • Work across departments to share a position. Volunteers • There is a lot of talent among your donors base. Find retirees and/or students and recruit them. Make The Case • An effective development program starts with good data. It’s a mission-critical part of your operation that requires a professional staff. 17
- 18. Understanding Usefulness of Data Start With The End In Mind • Only capture data you intend to use. Bring in an Expert • Using a consultant or other expert can often help you get a head start. Form a Coalition • Reach out to other area nonprofits to create a local/regional professional network. Analytics Will Always Matter • Think long-term about how to build your internal capacity. • Send a key staff member to webinars and conferences. 18
- 19. Reporting Garbage in, Garbage out • Data integrity must be your #1 priority. • No pivot tables, at least on day one. Keep it simple. Be Mindful • Many organizations obsess with capturing all of the data or nothing. Don’t let perfect stand in the way of good enough. • Do you have the right tools and tech? Many systems great data warehouses. Reporting? Not so much… “Top Three” • Survey your gift officers, accounting staff, and CEO, etc. • Design the most critical reports and build from there. 19
- 20. Buy-in Demonstrate the Cost of Bad Data • Air your dirty laundry. Share actual stats or examples of how bad data has led to a poor experience for donors of all stripes. Good data means good service for your donors. Work Your Connections • Reach out to colleagues who already support your effort. Organize a meetup coordinated by your colleague to introduce you and talk about collaboration. Hear out the concerns (listen). Make It Easy • Ensure that the methods or systems for providing or entering data is straightforward and hassle-free. 20
- 21. Data Quality & Integrity Standards-based Approach • Create a new expectation for data integrity for your org. • Benchmark the current state of your data and then map a course to a higher level. • Decide “tiers of importance” and bite off the challenge in smaller chunks. It’s Not “Other Duties As Assigned” • High quality data entry is a mission-critical task. • Professional position – not an intern or a volunteer. • It is in someone’s job description. Be Relentless • Every interaction with donors – or prospects – is an opportunity to enhance the integrity of your data. 21
- 22. What About Social Media? What Twitter Account? • First things first: Focus on establishing your social media presence first. • Choose the platform that your supporters/members use. It’s Just Another Tool, But Different • The kinds of things that resonate in social media: pictures, video, questions, and cats. Extend Your Customer Service • Always be listening. Response time <1 hour. • Don’t forget = your service is public. Analytics • Okay, now you can start parsing the data… 22
- 24. • • • • Chris Bicknell, co-founder of LGL, started fundraising out of college and has served as a campaign consultant with CCS Fund Raising and led seasoned fundraising staff at the local, regional, and national levels. At LGL we believe in the work of non profit organizations and know how important it is to have a database that works for you. That’s why we created an easy-to-use donor management system that is both powerful and affordable. Try us FREE for 30 days! Sign up at www.littlegreenlight.com. For more information contact us at info@littlegreenlight.com or 877-820-6109. 24
- 25. Depth of Talent. Wealth of Experience. Since 1926 we have served thousands of clients, whose annual giving programs range from hundreds of thousands to millions of dollars and whose campaigns range from a few million to several billion. Service to our clients is enhanced by our four practice groups: Arts & Culture, Health Sciences, Independent Schools and Higher Education. Each group is led by an experienced Senior Consultant, and each comprises consultants and analysts with exceptional expertise and passionate interest in the advancement of philanthropy in the sector. Marts & Lundy has a history of innovation. We have led many of the transformational changes in our industry — including development of the campaign feasibility study, creating the sub-industry of wealth screening and developing data-driven solutions such as the capacity analysis. Our consulting services are tailored to each client’s distinct set of circumstances and the prevailing philanthropic environment. FUNDRAISING CONSULTING ANALYTICAL SOLUTIONS • Comprehensive Campaign Planning • Benchmarking • Development/Advancement Audits • Capacity Analysis • Annual Giving • Constituent Survey • Strategic Planning • Constituent to Donor Study • International Fundraising • Return on Investment Analysis • Planned Giving • Board Development TALENT DEVELOPMENT • Governance • Professional Development Programs and Training Series for Staff • Engagement Strategies for Clinical Leaders • Performance Planning and Evaluation Programs • Leadership Development • Succession Planning • Recruitment and Retention Strategies STRATEGIC COMMUNICATIONS • Strategic Counsel • Data-Driven Communications • Campaign Messaging & Branding • Writing • Website Production • Social Media Strategy • Film & Video Production Visit us at www.martsandlundy.com
- 26. Appendix: Simple ideas to take home 26
- 27. Two things to avoid The “Git-R-Done” Syndrome • Comedian Larry the Cable Guy made this phrase famous. It plays out when data management is treated like cleaning toilets: get it done as quickly and cheaply as possible. Problem? You bet. The “Mikey likes it” approach • • Most of us probably remember the Life commercial where the two brothers suggest their youngest brother try the new cereal because he “likes anything.” In Development shops, data tasks are often handed off to the newest person or the lowest-level person who the others hope, like Mikey, will learn to like the task. Unfortunately this leads to massively inconsistent practices as many times those staff members don’t have the skill set they need right away and aren’t given the training they need. 27
- 28. Use a new name/update Form A form like this can be valuable in helping everyone think through what is most critical in putting new constituents in your database, or when updating constituents It helps you and anyone else be consistent and see the most relevant data points in one place 28
- 29. Create a checklist for constituent review When you look at a constituent in your database you should quickly be able to understand: • • • • • • Whether or not they are a donor and their giving history o Who is responsible for managing that engagement Whether or not they are a prospect o Who is responsible for this activity That while they are neither a donor or prospect you can see the importance of having them in the database Which communication lists they are part of and which they are excluded from How they will appear in segments Whether or not your correspondence will be addressed to them properly 29
- 30. Establish regular and consistent reporting Monthly gift report for both progress to goal and reconciling with financial reporting • Show enough detail to confirm amounts with finance and remind you about pledges due Progress report for appeals, funds, campaigns • Status, who’s committed, who to ask, who owes Information for board and executive • It is a good idea to produce these reports monthly even if they are needed quarterly or less frequently 30