donor relations

How to Create an Annual Report That’s Not Boring

Ann Green Communications, donor relations, fundraising, writing

Nonprofit organizations are not required to produce an annual report, but I believe your organization will benefit by having one.  

When I mention an annual report, are you picturing a long, boring document filled with wordy text and statistics?  It doesn’t have to be like that.

The key is to create an annual report that will engage your supporters and not bore them.  Here are a few ways you can do that.

Tell a story
Share a success story about a person you have helped.  Let’s say you run a tutoring program.  Instead of rattling off a bunch of statistics about young people doing poorly in school, tell a story about Jason, a young man who was struggling academically, but started doing better in school after weekly tutoring sessions with Rob, a volunteer tutor.

Make it visual
Find some engaging photos to include in your annual report.  Photos can tell a story in an instant.  Choose photos of people participating in an activity, such as Jason and Rob in a tutoring session. 

Use colorful charts or graphs to highlight your financials. Sprinkle in quotes and short testimonials to help break up the text.  

Keep it short

Your supporters are busy people and are not going to have a lot of time to read your annual report, no matter how great is. The trend now is a four to six page document. If you are a small organization, producing a glossy 20-page annual report would not be a good use of your resources.


Keeping all this in mind, what should you include in your annual report?

Introduction
Start with a brief, friendly introduction by your Executive Director or Board Chair. Make sure it doesn’t contain jargon and it’s filled with gratitude towards your donors for their support in helping you reach your goals.

Accomplishments
The main purpose of an annual report is to highlight your accomplishments.  These accomplishments need to focus on how you are making a difference for the people you serve.  Examples would be kids receiving higher grades in school or low-income families finding affordable housing. 

Be sure to list accomplishments, not activities, and show results.

Your financials. 
Include your revenue and expenses, and break them down by department (program, administration, etc.).  Keep it simple and use a pie chart or bar graph, so it’s easy to understand.

A donor list
You may want to just include donors at a certain level in your annual report and include a list of all your donors on your website.  Whatever you decide, be sure to thank all your donors in this section.

Some final words about annual reports
You should also include a list of your staff and board, and your mailing address.

Here is a helpful resource created by Kivi Leroux Miller.  It’s an annual report wiki that includes many great examples.

Annual Reports Wiki
You don’t need to mail your annual report to all your supporters.  You may want to mail only to your major donors.  Put your annual report on your website, and let your supporters know it’s there.  You could send out a special email announcement or include something about your annual report in your newsletter.  Of course, you should make a hard copy available to anyone who wants one.  You should also have hard copies available for potential funders and other interested parties.

If you choose not to produce an annual report, you should still have a list of accomplishments readily available.  You often need these for grant proposals, anyway.  I recommend keeping a running list, so you are not scrambling to put something together when it’s time to do your annual report or a grant proposal.  This can also help you get your annual report out earlier in the New Year.

Remember your goal is to create an annual report that will capture your supporters’ attention right away and not bore them.

Invest In Thanking Your Donors

Ann Green Communications, donor relations, fundraising, writing

As I was figuring out blog posts for the fall, the usual topics came to mind – annual appeals, thanking your donors.  I decided to write about thanking donors first because this is just as important as the appeal letter, and many nonprofits don’t invest enough time in it.  A great thank you is the first step towards a good long-term relationship with your donors.

Two ways to go the extra mile when thanking your donors are to send a handwritten note and make a phone call.  Both of these will take a little planning up front.  Why not start now so you are ready to go as soon as your donations come in.

Remember, you need to thank your donors no later than 48 hours after you receive their donations.  

Send a handwritten note
A few handwritten sentences on a nice card is going to make much more of an impact than a printed thank you letter. It’s much more personal. Think about creating a thank you card or postcard with an engaging photo on the front. 

Since you will only be able to write a few sentences – make them count.  Use a warm, conversational tone. Try something like this.

Dear Susan,

You are amazing!  Your generous  contribution of $50 will help us buy two new coats for the kids at our family shelter.  Just in time, too.  The cold weather is coming.                

We really appreciate your support.

This shouldn’t take you that much time and it is time well spent.  You can put together a team of staff, board members, and other volunteers to write the notes.  Here is more information on why a handwritten note is so effective.  Like one of the people commenting on the post below, my mom also stressed the importance of writing thank you notes.

The Power of a Handwritten Note
Call your donors
Calling your donors to say thank you is an easy, yet effective way, to show appreciation.

This is also something your board members can take on.  The executive director or other staff can make calls, too.  Make sure you find people who are comfortable making phone calls and want to engage in a conversation with donors.

Start planning this now.  Come up with script and a spreadsheet to record notes.  You may want to conduct a little mini-orientation to get your callers pumped up and give them an opportunity to practice.  Here is a sample script.
                
Hi, this is  ________ and I’m a board member at X nonprofit.  I’m calling to thank you for your generous donation of $50. Thanks to you, we will be able to buy two new coats for the kids at our family shelter. Just in time for the cold weather, too.  We really appreciate your support.

It’s fine to leave a message, but be sure to provide a call back number in case the donor wants to talk with someone.

Not only is calling your donors an effective way to say thank you, it can help you raise more money in the future.

Speechless
A simple strategy that increases donations by 35%
How Your Board Can Increase Donations by 39%
Invest a little time and energy in showing gratitude to your donors.  Say thank you in a way that shows you mean it and not as if you are just going through the motions.
Photo by Jon Ashcroft via Flickr

Make A Lasting Impression

Ann Green Communications, donor relations, marketing

First impressions matter, but so do good, lasting ones.  This applies to everything you do – fundraising, marketing, volunteer recruitment – and all types of communication channels.  Many nonprofit organizations will spend a lot of time creating fundraising and promotional pieces to draw people to their organization to donate or volunteer, but don’t do enough to keep them there.

Here are some tips to help you make a lasting impression.

Fundraising – Donor Relations
You have worked hard to produce a donor-centered appeal letter and the money is coming in.  Do you wait two weeks and mail out a generic thank you letter that looks like you are sending it out because you have to and not because you want to?  Or within 48 hours do you do something memorable like sending out a handwritten card or calling your donors to thank them?  According to this piece by John Lepp, that phone call can leave your donors Speechless
Look to see how many of your donors are repeat contributors and how many of them have increased their donations over the years.  If neither is the case, work on impressing them more.

Newsletter – Email updates
Don’t just thank your donors and then not communicate with them again until you ask for another donation.  They need to hear from you on a regular basis in ways in which you are not asking for money. Aim for at least every two weeks.  Your donors need to know how you are making difference.  Share success stories and keep thanking them for their support.

I still believe newsletters have a place in nonprofit communications.  If you do send out a newsletter, it needs to be donor-focused, short, and sent out on a regular basis.  If you choose not to send out a newsletter, then send out email updates.

Some organizations intend to send out a monthly newsletter, but then do it sporadically.  That doesn’t make a good impression.  With a little planning that includes creating an annual editorial calendar, you should be able to keep your supporters updated on a regular basis.

Choose Quality Over Quantity – Part One – Your Email Newsletter
Social Media
Social media is another way to share your success with your supporters.   You can post to social media more often (a couple of times a day is acceptable), but make it consistent. Don’t start posting every day, and then not at all. Also, make sure you are sharing something your donors will be interested in.

One of the great things about social media is you can start a conversation.  Ask questions and encourage feedback on your Facebook page or blog.  Share links from other organizations on Twitter.  Engage and make an impression.
Choose Quality Over Quantity – Part Two – Social Media 
Website
Your website will not only be seen by your supporters, but by people who don’t know you.  Good, lasting impressions are crucial.  You may have spent a lot of time creating a snazzy new website, but then don’t keep it updated or don’t realize that the donation form is really cumbersome.  Is this the impression you want to leave?

Remember to make a good impression, but make sure it’s a lasting one. 

Photo by Chocolate Geek via Flickr

Get Organized – Start Preparing For Your Annual Appeal

Ann Green Communications, donor relations, fundraising, marketing
Photo by Howard Lake via Flickr

September is here.  Have you started preparing for your annual appeal?  

Many nonprofits rely on fundraising for a good portion of their revenue.  It’s never easy to raise money and an uncertain economy makes it even more challenging.  You need to invest time in creating a great fundraising campaign.

Here are a few ways to get started now.

Stories
In previous posts, I’ve written about the importance of gathering stories to use in your fundraising and marketing materials.  Your fundraising letter should start with a story.  Find a compelling one to use in your annual appeal.

Pictures
I’ve also written about creating a set of great photographs.  An engaging photo will enhance your appeal letter, online donation page, or pledge form.  You know the saying “A picture is worth a 1000 words” – It’s true.

Here is more information about creating stories and photos. 

Do You Have Good Stories To Tell?

How much money do you need to raise?
I hope you have a fundraising plan for 2012 that includes how much you need to raise in your annual appeal.  If not, you need to determine that before you start your campaign.  You can state your fundraising goal in your appeal letter and on your website, if you would like.

Accomplishments and plans for the future
Your appeal letter should highlight some the year’s accomplishments and state what you plan to do next year.  Focus on the people you serve and show how you are making a difference with your donors’ contributions.  For example, let’s say you run an afterschool program for high school students.  Share your success of reaching your goal of serving X number of students.  Next year you would like to expand and serve middle school students, as well.

Donating online  
Many more people are donating online now.  Make sure your home page highlights that your annual appeal is underway and includes a link to your donation page.  Your donation page needs to be user friendly and consistent with your other fundraising materials.  

Here is more information about putting together a great donation page. 
How You Can Create A Welcoming Website – Part Three – Your Donation Page
Giving levels
Create a set of giving levels, if you don’t already have them.  What does $25, $50, and $100 fund?  Project Bread’s online form (below) gives concrete examples of how donations at each giving level can provide food to hungry families.
Project Bread’s Donation Form
Monthly giving
I also recommend setting up a monthly giving program (both online and offline).  This is a great way to get larger contributions.  Promote it in your appeals.  Some people might balk at donating $100 or more, but if you present it as $10 a month ($120 a year!), it sounds more feasible.

Keep your current donors happy
Finally, your best bet for contributors to your 2012 appeal are your current donors, and you want as many of them to renew as possible.

I hope you having been showing gratitude and keeping your donors updated on how you are making a difference all year round. Continue to do that.  Keep your newsletters and other updates donor-focused.  Start highlighting some of your accomplishments and future plans now.  And, don’t forget to say thank you.

Also, some of the people who subscribe to your newsletter or follow you on social media are not donors (yet).  If you impress them, maybe they will become donors.

I’ll be writing more about annual appeals throughout the fall.  In the meantime, what are you doing to prepare for your annual appeal?

Get Organized This Summer – Prepare for your Annual Report

Ann Green Communications, donor relations, fundraising, writing
Photo by Eric (aka Herve) via Flickr

Over the last couple of weeks, I have been offering tips to help you get organized during your summer “downtime” and prepare for a busy fall. 

You may not be thinking about your annual report during these lazy, hazy days of summer, but you should be. Putting together an annual report can take awhile.  However, if you start preparing ahead of time, you should be able to get it done by the beginning of next year.

While you won’t be able to do everything, such as financials, there is a lot you can do now.  Some of the components listed below are not exclusive to your annual report.

Your annual report doesn’t need to be a glossy 20 page document.  If you are a small organization, that would not be a good use of your resources. The trend now is about four to six pages.  All annual reports – short or long – should be visual and not filled with long-winded text and statistics.

Remember that the focus of your annual report is showing gratitude to your donors and demonstrating how their support has made a difference.

What can you work on ahead of time?

Stories
Gather stories about the people you serve.  It’s a good idea to have a set of stories available to use in a variety of materials besides your annual report.  These include your annual appeal, website, and newsletter.  Stories are much more captivating than explanatory text.

Quotes
Work with your program staff to interview clients and find interesting quotes.  You can also use quotes in your other materials.  Put together a quote bank for future use.

Pictures
Invest time in creating some great photographs. Your supporters are not going to spend much time reading your annual report, but if you can engage them with photos, you should be able to tell a story instantly.  

Choose photos of people participating in an activity, such as kids in an afterschool program.  You’ll save time in the future if you have a collection of photos to use in all your fundraising and marketing materials.

This link will give you more information about creating stories and photographs.

Do You Have Good Stories To Tell?
Accomplishments
Last year I wrote a post about annual reports and suggested keeping a running list of accomplishments.  Does your Organization Need an Annual Report?  

If you have been doing that, great. If not, start thinking about what you want to include.  Have you met or exceeded certain goals?  Be sure to list accomplishments and not activities.  Show results and how you have made a difference.

Donor list
Depending on what type of donor database you have, it may or may not be easy for you to quickly compile a list of donors by giving level.  If it isn’t, why not start on this now and save time later.

These are a just few areas where you can get a head start.  I’ll revisit this subject again in the fall with more information on creating a great annual report.

Finding Quality Donors and Keeping Them

Ann Green donor relations, fundraising, marketing

Photo by roboppy via Flickr

Some nonprofit organizations are very focused on raising lots of money and having as many donors as they can get. Of course, this is important.  Nonprofits generally rely on fundraising for a bulk of their revenue.  But what’s also important is the quality of your donors. You could have one donor who gives you $100 and never gives again. Likewise, you could have another donor who has given you $25 each year over the last couple of years and also gets their friends to donate. 

Many donors give once and never give again. There are several reasons for this. One might be that some donors care more about your organization than others do.  Another is that you are not building relationships with your donors.

Why do people donate to YOUR organization?
Some may be very invested in your organization’s cause. Others may donate because they are a friend or family member of a board or staff member. These donors are fine until the board or staff member leaves, and then they often stop donating.

Others may donate for reasons unrelated to your cause. Let’s say you hold an event where a well-known person speaks. You charge $50 a ticket and raise lots of money, which is great, but some of these donors never give again because they were more interested in seeing the celebrity than in your cause.

Keep that in mind when you decide how you are going to raise money. Ideally, you want to find donors who will donate more than once.

Build relationships
Just reaching out to potential donors who you know will be interested in your cause is not enough. You need to build good relationships with your donors so they will donate year after year.   

This starts with showing appreciation and communicating with your donors on a regular basis in ways in which you are not asking for money.  Send a thank you letter and welcome packet for new donors within 24-48 hours.  In the thank you letter, invite donors to subscribe to your email list and join you on social media.  

Do not add your donors to your email list without their permission.  If you do, you are spamming them. Your newsletter articles and social media posts should emphasize how your donors’ support is having a positive impact on the people you serve and in the community. 

Be known, but don’t be annoying
Send out your donor-centered newsletters once or twice a month. You can also connect by sending out advocacy alerts and brief updates. As a general rule, try not to send out email messages more than once a week. You can post to social media more often, but remember everything needs to be of interest to your donors. And as much as it may pain you to do this, let your donors unsubscribe from your list if they choose to. 
It’s easier to focus on building relationships with your current donors than trying to find new ones.  This is especially true in an uncertain economy.

Easy cultivation tools
Not everyone who is getting your newsletter or following you on social media is a donor, but if you keep sending out material focusing on how you are making a difference, you might be able to convert them into donors.

Again, you want donors who will stick with you for a while. That means not only finding people who are committed to your cause, but also building relationships that show how much you appreciate their support.

Here are some ways to keep your donors engaged all year round. 
It’s All About Your Donors

More on donor relations

Donor Relations
7 tips for welcoming new donors


It’s All About Your Donors

Ann Green donor relations, fundraising


Image by worldlywonderworks via Flickr 


Most nonprofit organizations rely on fundraising for a good portion of their revenue. They spend a lot of time strategizing and working on sending out appeals,and then it kind of stops. 


Of course,these aspects of fundraising are important, but you need to spend just as much time on donor relations, because it’s all about your donors

Thank your donors right away
Every single donor, no matter how much they have given or whether they donated online, gets a thank you letter mailed to them. Thank you letters should be sent out no later than 48 hours after you have received a donation. This shouldn’t be hard to do. Carve out some time each day you get a donation and send out your thank you letters.

Send out a great thank you letter
Spend as much time creating your thank you letters as you do your annual appeal. Make sure your thank you letters are addressed to a person and not Dear Friend. Instead of the usual,Thank you for your donation of $50….., get creative.  Try something like –
                
—You are amazing. Your generous donation of $50 will provide Sarah and her brother Michael with brand new coats this winter. Thank you so much.—

This lets your donors know how much you appreciate them and highlights what your organization is doing with their donation. 

You can also invite donors to sign up for your newsletter, visit your website, or call if they have any questions. Whatever you do, don’t ask for another donation in your thank you letter.

Add a personal handwritten note to the letter, preferably something that pertains to that particular donor. For example, if the donor has given before or attended one of your recent events, you could mention that. 

In addition, make sure all the letters are hand signed. Again, this shouldn’t take your Executive Director too long if you are generating thank you letters on a regular basis, as opposed to letting a huge pile of them accumulate.

If possible, consider sending out handwritten notes, but if you can’t do that, send a great printed letter. Here are some examples.

Donation Thank You Letter Examples
Does Your Organization’s Thank You Letter Suck?
Tips for Better Nonprofit Thank You Letters

Take an extra step and make thank you calls
Making thank you calls to your donors is a great extra step. This is something your board can do.  Here is more information on getting your board to make thank you calls.
How Your Board Can Increase Donations by 39%
Donors really appreciate thank you calls and it’s a good way to engage your board.

Show appreciation all year round
You don’t want your communication with your donors to end after you send out the thank you letter. Communicate often, between once a week and once a month, sending out messages in which you are not asking for money. A newsletter is a great way to do this. Make sure your newsletter is donor-centered and focus on success stories that demonstrate how you are making a difference with your donors’ contributions. For example, I used to work for a mentoring organization and we would feature a different mentor/mentee match each month in our newsletter. 

Another good way to show appreciation to your donors is to hold an open house at your organization. Offer tours so your donors can see the inner workings of your organization. Make your open house informal and fun,and provide food. Have a brief program that might include a video/power point presentation or a few words from a client. If cost is an issue, you could have food donated.

If you can’t have a gathering at your organization, consider asking a restaurant donate space and some food. Either way, highlight your accomplishments and be sure to thank your donors for have all they have done. Even if your donors don’t come to your open house, they will appreciate the invitation.

Remember, it’s all about your donors. If you treat them well, they’ll treat you well the next time you send out your annual appeal.