The Importance of Building Relationships

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One of the most important things nonprofit organizations need to do is build relationships with their donors. Building relationships should be front and center in everything you do. Here are some ways you can incorporate building relationships in every aspect of your work.

Appeal letters aren’t just about raising money

You may think the primary purpose of an appeal letter is to raise money, but building relationships is just as important.

Before your next fundraising appeal, send your donors an update to let them know how they’re helping you make a difference. This is especially important if you do more than one fundraising campaign a year. You don’t want your donors to think the only time they hear from you is when you’re asking for money.

Don’t send the same appeal to everyone on your mailing list. It’s crucial that you segment your donors and personalize your appeal letters. What is your relationship with these people? Maybe they’ve given once or many times. Perhaps they’re event attendees, volunteers, e-newsletter subscribers, or friends of board members. Mention your relationship in your appeal letter. For example, thank a long-term donor for supporting you these past five years.

Let your donors know how much you appreciate them

Your focus on building relationships continues when you thank your donors. Send a handwritten note or make a phone call if you can.

Send welcome packets to your new donors. Let them know how much you appreciate this new relationship. If you don’t, it’s likely to be a short-term relationship.

Be sure to also shower your current donors with love to keep your relationship going.

Don’t miss out on opportunities to build relationships with your event attendees

I’m amazed how many organizations fail to establish a relationship when they hold an event. First, give your attendees an opportunity to sign up for your mailing list. Next, call or send thank you notes afterwards.

Besides thanking people for attending your event, let them know how much money you raised, and share specific ways their support is helping you make a difference. Then invite these supporters to connect in other ways such as signing up to receive your newsletter or volunteering.

The same thing applies if you hold a charity run or walkathon. These events often generate new donors. Someone might donate to your 10K because her friend is running in it. Thank everyone who donated and invite them to be a part of your community.

Turn a giving day into a relationship building day

My main objection to giving days, such as GivingTuesday, is they focus so much on asking. Instead of being part of the relentless begging, send a donor-centered appeal followed by a heartfelt thank you, new donor welcome packets, and an invitation to connect with you in other ways.

Relationship building is a year-round effort

It’s easier to stay focused on donors when you’re sending an appeal or thank you, but this is just the beginning. Many organizations seem to go on communication hiatus at certain times of the year, and you don’t want to do that.

Ideally, you should keep in touch with your donors every one to two weeks. You can do this with newsletters, updates, thank you messages, advocacy alerts, and surveys. You’ll have a better chance of building relationships if you keep your messages donor-centered and use channels your donors prefer.

Staying focused on building relationships will help you with your donor retention because you want donors who will support you for a long time.

Giving is Up. Donor Retention is Down. What to Do?

Why Your Donor Will Give Again  

 

 

 

 

 

 

 

 

 

Do You Need an Appeal Letter Refresher Course?

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You may have noticed an influx of appeal letters over the last few weeks. Some organizations do their main fundraising drive in the spring, especially if their fiscal year ends on June 30. Others do theirs at the end of the year and some do more than one.

That’s all fine. What’s not fine is the mediocre letters I see. Some of these organizations need a refresher course in appeal letter writing.

Whether you’re planning a spring campaign or one later in the year, here are a few things to keep in mind.

Don’t call it an annual appeal

Okay, you can use the term annual appeal around the office, but not in your appeal letter. That also goes for 2017 annual fund drive, 2017 Massachusetts Drive, or spring fund drive.

Some of the letters I received opened by saying their annual fund drive is underway. Others state it in a header or a teaser on the outer envelope.

The fact that your annual appeal is underway means nothing to your donors and is not a compelling way to open your appeal. The same goes for the end of your fiscal year.

Given how some people feel about fundraising, an envelope teaser that says “Spring Appeal Enclosed” could end up in the recycle bin. If you want to use a teaser, try something like “What if you awoke each day crying from hunger, but you had nothing to eat?

That organization opened their appeal with a story about Kevin, a six-month-old baby in Haiti who’s suffering from malnutrition. That’s what you need to do – open your appeal with an engaging story.

It should be obvious you’re sending an appeal unless you bury your ask. Your ask should come after the story.

Why should I give to your organization?

Most of the appeals I’ve received have come from organizations I don’t already support. I need a good reason to give to your organization and I’m not seeing that.

It’s clear these letters are one size fits all and most likely my name is on a list they purchased or exchanged. Even so, give me some indication that you know me as a person. If I already support hunger-relief organizations, emphasize how you’re making a difference because you know that’s important to me.

Another gift so soon?

I do most of my giving in December so if you’re sending me another appeal now, you need to convince me why I should give again so soon. In many cases, you never acknowledge that I’ve given before. It’s the same old boring stuff.

Of course, you can make more than one ask a year, but first I need to be thanked, and thanked well, and hear from you regularly.

Always thank donors for a previous gift. Let them know why you need an additional donation now. Perhaps you’re losing funding because of budget cuts or you want to launch a new program.

This is also a good opportunity to upgrade your current donors to monthly giving. And you can always try to woo back some of your lapsed donors with a personalized letter.

Enough with the mailing labels

Please don’t send me mailing labels, notepads, calendars, etc. It’s not going to help convince me to donate to your organization. One organization I’ve never supported just sent me a calendar. They opened their letter with “Because you’re someone who cares deeply for nature….” Okay, they tried to make a connection, but if I’m someone who cares about nature why would I want you to waste paper by sending me calendar I don’t need?

I’m sure I’m not the only one who finds your swag to be wasteful. Instead, invest your print budget in creating thank you cards and donor-centered updates.

Make your appeal shine

It’s never easy to raise money, but you’ll have a better chance if you send a donor-centered appeal that shows how you’re making a difference. Here’s more information on creating a great appeal.

Stand Out With an Amazing Appeal Letter

6 Ways to Improve Your Annual Fundraising Appeal

11 Top Fundraising Consultants Weigh In on Donation Request Letters

Don’t Be Part of the Noise – Make Your Email Messages Stand Out

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Email is usually the primary mode of communication for nonprofits and there’s a reason for that. It’s fast, easy, relatively inexpensive, and almost everyone has an email address. You can quickly get a message out to a lot of people.

But guess what? You’re not the one sending email. People get hundreds of emails a day plus messages from other sources such as social media. It’s information overload on steroids right now and much of it is just noise.

Here’s how you can rise above the noise and make your email messages stand out.

What’s your intention?

What’s the purpose of your message? What do you want your reader to do? Maybe it’s to donate, volunteer, attend an event, or contact her legislators. Maybe you’re sharing an update.

Think from your reader’s perspective. What would she be interested in or what would make him take action?

Keep it simple and stick to one call to action.

Pay attention to your subject line

A good subject line is the key to getting someone to open your email message. If he doesn’t bother to open it, your hard work has gone to waste.

Give some thought to it. Instead of Donate to our Annual Appeal or May 2017 Newsletter, try Find out how you can help Gina learn to read or Thanks to you, the Miller family can put food on the table tonight.

Improve the ROI of Your Nonprofit Email with a Great Subject Line

Short and sweet

Just because someone has opened your email message, doesn’t mean she’ll read it. Keep her interested. Remember your email is one of hundreds your reader will receive that day. Make it short, but engaging, and get to the point right away.

Make it easy to read and scan

Besides sending a short message, use short paragraphs, too. It needs to be easy to read (and scan) in an instant. Don’t use micro-sized font either.

Be personal and conversational

Write directly to your reader using clear, conversational language – no jargon. Address your message to a person – Dear Susan and not Dear Friend.

Use an email service provider that lets you segment your lists so you can personalize your messages. For example, you’ll create different messages for current donors, potential donors, and lapsed donors.

Send your email to the right audience

You may want to reach out to tons of people about an upcoming event, but you’ll have better luck concentrating on people who will be interested, such as past attendees. Just because email lets you communicate with a large audience, doesn’t mean you should. Otherwise, you’re just generating more noise.

Be a welcome visitor

If you communicate regularly and do it well, your readers should recognize you as a reputable source and are more likely to read your message.

Make sure people know your message is coming from your organization. In the from field, put DoGood Nonprofit or Sarah Wilson, DoGood Nonprofit. If you just put a person’s name or info@dogoodnonprofit.org, people may not know who it’s from and ignore your message.

Create a no spam zone

Only send email to people who have opted into your list. Otherwise, you’re spamming them. Some people will choose not to receive email from you, and that’s okay. The ones who do are interested in hearing from you. Give people the option to unsubscribe, too.

Once is not enough

If you’re using email to send a fundraising appeal or event invitation, you’ll probably have to send more than one message. Try not to send messages to people who have already responded.

Be mobile friendly

Many people read their email on a mobile device. If your message isn’t mobile friendly, you’re missing out.

Your email messages can stand out and not become part of the noise if you give some thought to them and do it well. Here’s more information about communicating by email.

How to Make Your Marketing Emails Stand Out in Your Donor’s Inbox

11 Fundraising Email Best Practices To Drive High Response Rates

Nonprofit Marketing: Email Marketing Benefits, How-Tos and Best Practices

 

Make a Smart Investment

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Many nonprofits, especially small ones, are working with limited resources (money, staff, time). I know how hard that is and your default mode may be to say we can’t afford to do this.  

Be careful. What are you saying you can’t afford to do? It may be something you should be doing.

Here are a couple of areas you may be neglecting that I believe you can’t afford not to invest in. You’ll need to spend some money up front, but it will pay off in the long run.

Invest in a good database

If you’re using Excel instead of a database because it’s free, stop doing that. A spreadsheet is not a database. Your Worst Fundraising Enemy

A good database won’t be free, but there are affordable options for small organizations. Compare Non-Profit Software  You don’t want to limit yourself by choosing a database that can only hold a certain number of records or can only be used on one computer because you don’t want to pay for additional licenses.

A good database can help you raise more money. You can segment your donors by amount and politely ask them to give a little more in your next appeal – $35 or $50 instead of $25.

A good database can help you with retention, which will save you money since it costs less to keep donors than to acquire new ones. You can personalize your letters and email messages. No more Dear Friend. You can welcome new donors and thank donors for their previous support. You can send targeted mailings to lapsed donors to try to woo them back. You can record any personal information, such as conversations you had with a donor and their areas of interest.

Don’t cut corners when it comes to your donor data. You can’t afford to do that.

Invest in direct mail

If you never or rarely use direct mail, you’re missing out on an effective and more personal way to communicate with your donors. Think of the immense amount of email and social media posts you receive as opposed to postal mail. Your donors will be more likely to see your messages if you send them by mail.

If money is tight, you don’t have to mail that often. Quality is more important than quantity but aim for at least four times a year.

Put some thought into what you send. Some ideas, besides appeal letters, include thank you cards; Thanksgiving, holiday, or Valentine’s Day cards; infographic postcards; and two to four-page newsletters and annual/progress reports. Make everything donor-centered like the examples in this post. Your Donors Are Your Partners  You could put a donation envelope in your newsletter to raise some additional revenue, but don’t put one in a thank you or holiday card.

Shorter is better. Lengthy communication will cost more and your donors are less likely to read it.

A few ways you can use direct mail without breaking your budget are to clean up your mailing lists to avoid costly duplicate mailings, spread thank you mailings throughout the year – perhaps to a small number of donors each month, and look into special nonprofit mailing rates. You may also be able to get print materials done pro bono or do them in-house, as long as they look professional.

Of course, you can use email and social media, but your primary reason for communicating that way shouldn’t be because it’s cheaper. It should be because that’s what your donors use. If your donors prefer to communicate by mail, then you should too.

Invest in donor communications

Here’s some great wisdom from Tom Ahern If you do better donor-communications, you’ll have more money  This means thanking your donors and keeping in touch with them throughout the year.

Communication budgets often get the short shrift but creating thank you cards and infographic postcards are a smart investment. Perhaps you need to reallocate your budget to cover some of these expenses. You could also look into additional sources of unrestricted funding.

If you think you don’t have enough time or staff to send thank you cards, then call up your thank you army, which can include board members, volunteers, and all staff.

Don’t limit yourself by saying you can’t afford to do something important. If you invest in a good database, direct mail, and donor communications, you should be able to raise more money.

 

Your Donors Are Your Partners

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Your donors are not ATM machines and people you only communicate with when you need money. They are your partners and you can’t do your work without them.

Seeing your donors as your partners will help you with your donor relations and donor communication. Always keep your donor in mind.

Show your donors how they’re helping you make a difference

I recently received a Donor Impact Report from Project Bread, an organization that’s working to end hunger. I thought this four-page report did a great job of showing donors how they’re the organization’s partners. The report was filled with donor-centered language such as:

For our generous supporters who make our work possible – a closer look at your dollars at work.

Thanks to you, children are receiving the nutrition they need to succeed in the classroom and beyond.

You help children rise and shine.

Your support puts Chefs in Schools and Chefs in Head Start on the map.

You help us nourish healthy bodies and healthy minds.

You help us foster healthy eating habits to last a lifetime.

This is so much better than a bunch of boring facts and statistics or the usual “look how great we are.”

You is glue

Fundraising expert Tom Ahern came up with the phrase – You is glue. Remember this every time you communicate with your donors. So many appeal letters, thank you letters, newsletter articles, etc. come across as distant and impersonal and don’t consider the donor at all.

Always write to the donor and before you send that message, give it the you test.

Be a good partner

A partnership is a two-way street. Your donors have demonstrated their commitment to you by supporting your organization. You can return the favor with thank you letters that pour on the gratitude. Stay in touch with newsletters and “impact reports” such as the one I highlighted above.  I’m not crazy about the term Donor Impact Report because I think it sounds jargony. I do like the concept though, and you could call it something else such as a Gratitude Report or a Making a Difference Report.

Being a good partner means thinking of your donors first. Share information they’ll be interested in. Project Bread’s report included several success stories. Donors want to hear about the people they’re helping.

Your print newsletters and annual reports should be no more than four pages. Some of the examples I cited above are headlines, so busy donors can scan the report and quickly see the you-centered language even if they don’t have time to read the whole thing.

Being a good partner also means communicating via the same channels your donors use. Your donors will be more likely to see something that comes in the mail. If four-page mailers aren’t viable, you could send an oversized postcard. Of course, you can also use email and social media, but try to send updates by mail a few times a year.

A long-term partnership

You want your partnership with your donors to last a long time. This isn’t happening as retention rates continue to plummet. Seeing your donors as partners that you welcome when they first donate and then continue to show appreciation to and stay in touch with over time will help.

 

Your Audience Isn’t Everyone

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The board chair at a place where I used to work would often say, “We need more people to know about us.” Does that sound familiar? It’s tempting to cast a wide net so as many people as possible can find out about your organization, but that’s not a good strategy.

Not everyone is interested in your organization and that’s okay. The key is to find people who are interested in what you do and keep them interested.

Who is your audience?

You already have a core group of donors and other supporters, but how well do you know them?  You could send them a short survey asking them why they donate, what issues are important to them, and how they like to communicate (by mail, email, or both). Another idea is to put a poll in your e-newsletter to find out their favorite article.

While surveys are a great way to connect, not everyone is going to respond to them. Another tactic to try is to create donor personas. You can use your database to figure out vital information and/or interview a few donors.

Your database also comes in handy because you want to segment your donors  – first-time donors, long-term donors, monthly donors, etc –  so you can personalize their communication as much as possible.

You can also create personas to help you recruit volunteers.

What does your audience like?

Now that you’ve gotten to know your audience, think about what they would like. Each time you write an appeal letter, thank you letter, newsletter article, etc, keep your donor/audience in mind. What are their interests? What will capture their attention, make them read more, and take action?  Remember, you are not your donor/audience. The worst mistake you can make in fundraising

If you’ve surveyed your donors about your newsletter, you’ll probably find they like success stories about the people/community you serve and are not so interested in board member profiles.They don’t need to hear you brag about your organization, but they do want to know how their donations are helping you make a difference.

Your donors/audience are busy. They’re not going to have time to weed through a bunch of long-winded messages. Make your point clearly and concisely and leave out the jargon. Make sure people understand what you’re trying to say.

Pay attention to what your audience is doing.

Is your audience paying attention to you?  Are they making donations, opening your email messages, or responding to your social media posts?   

If they’re not paying attention you, it may be because you’re communicating with the wrong audience, your messages don’t interest them, they’re busy, or you’re using the wrong channels.

These are things you can fix. Send the right messages to the right audience using the right channels.

Expanding your reach.

Of course, you’ll want to find new donors and other supporters, but reach out to people who already have a connection with you. New donors could be volunteers, event attendees, newsletter subscribers, social media followers, or friends of board members and other donors. Putting up a billboard on a highway or ad on a subway train won’t get you a lot of new supporters.

The answer to the question How do I ask strangers for money? is you find a connection first. And, keep in mind – your audience isn’t everyone.

Raise More Money With Monthly Gifts

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Although I often encourage monthly (or recurring) gifts as a great way to raise more money, I just started making them at the end of last year. I made all my pledges online, and it was easy to do.

It should also be relatively easy for you to start or grow a monthly giving program. Of course, this doesn’t just include asking for donations. You’ll need to thank your monthly donors and stay in touch throughout the year.

Here’s what you need to get started.

Make a special request

You should always promote monthly giving in your fundraising appeals. Your best bet to get a monthly commitment is long-term donors. One idea is to send specially targeted appeals to donors who have given for at least two years. Thank them for their past support and ask them to upgrade to becoming a monthly donor. Their previous donation of $50 could become $5 a month or $100 becomes $10 a month.

Make it easy

Be sure monthly or recurring giving options are prominent on your pledge form and donation page. Let your donors know what $5, $10, $15 etc a month will fund.

Make the online process easy, but keep in mind that some donors won’t want to set up their monthly giving online. Some may want to do this by mail or phone, and if it’s by phone, make sure there’s a friendly person on the other end to help them.

If possible, make one person responsible for monthly giving. There needs to be a contact person if your donor needs to change her credit card/bank account information or has questions.

Create an attitude of gratitude

Welcome your monthly donors with open arms. If they’re first-time donors, welcome them to your organization. If they’re current donors, thank them for going the extra mile and becoming a monthly donor.

Most of the organizations I donated to thanked me specifically for being a monthly donor. Some did it better than others.  One organization refers to their monthly donors as Friends for all Seasons. Another told me “I have joined an elite group of dedicated supporters we call our Friends of the Center.” Another thanked me for being a Monthly Partner.

These organizations are telling me I’m extra special, and most of my gifts were $5 a month.

Several organizations send me monthly thank you letters either by mail or email. While this is nice, most of them are exactly the same generic thank you every month. One sends a statement, but it includes a different update each month.

Here’s how you can do better. Yes, send your these donors a thank you each month, but don’t resort to the same old same old. One organization that helps low-income families does a good job of sending engaging updates. Here’s an excerpt from their most recent email thank you.
Boys with shoes

When a mother of three children picked up her children’s Kidpacks, she burst into tears and said “My kids will be so happy.” She couldn’t afford to spend extra money on new clothes, shoes, books or school supplies because she was barely making ends meet.

Much better than a boring letter or receipt.

Take your donors on a journey

You want to stay in touch with your monthly donors and let them know how they’re helping you make a difference. You can do this with your monthly thank you letters and other updates. You may also want to consider a special newsletter just for monthly donors.

Another idea is to introduce your monthly donors to an individual or family your organization is working with. Let’s say you run a tutoring program. You can introduce your donors to Kira and her tutor, Sophia. Each month you can share updates on how Sophia is helping Kira do better in school.

Make your monthly donors feel special

Of course, all your donors are special, but go out of your way to show the love to your monthly donors. Find creative ways to show appreciation. You could make a video or hold an open house just for monthly donors. You want them to stay committed to being monthly donors for a long time.

Erica Waasdorp is an expert in monthly giving and has tons of information to help you.

And here are some more monthly giving tips.

18 Tips to Create a Wildly Profitable Monthly Giving Program

3 Tried and True Techniques That Encourage Monthly Giving