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Greetings!
 My daughter recently lost her job. In the normal course of events, this wouldn't be such a tragedy. She needed something that would prod her to take a next step. It was a job that she didn't particularly like but at the same time, she seemed unable to move forward.
Alas, these aren't normal times and she is a single mother. So what should have been a golden opportunity feels quite tarnished. She wishes now that she had at least made a contingency plan. And she really wishes she had not allowed herself to get trapped in a tenable but not particularly attractive position.
Many nonprofit organizations find themselves in much the same place. They are raising enough (or almost enough); programs don't need to be cut (yet), but growth somehow never makes it onto the agenda.
Many of these organizations have an "angel"-one big donor who covers their basic needs. Others raise funds in one way-generally via grants or a gala. Most have shallow prospect pools and scant ways to fill the pool, often because they are cultivating prospects in only one or two ways. And worst of all-none have a robust stewardship program.
Given the low level of donor retention in the US, these organizations are not alone. Still, company does not make up for losing 40-80% of your donors every year.
Clearly, what is needed is a way to implement a fund development plan that will be both sustainable and help you to grow. A big piece of that is broadening your prospect pool.
What are the ways your organization is reaching out past "the usual suspects?"
Fundraising capacity not where you want it to be? Contact Janet Levine Consulting for a free 30-minute meeting to see how you can broaden your base, increase your capacity and raise more money. Contact janet@janetlevineconsulting.com to schedule an appointment
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You Gotta Ask
A friend sent me a link to Girl Effect, a truly terrific organization. The reason she sent me the link was to check out their two videos, The Girl Effect and The Girl Effect: The Clock is Ticking.. Go ahead. Click here. (You will have to scroll to the middle of the page.)
The videos are wonderful. I watched and was moved. But something was missing.
There was no call to action. No "Donate Here." Nothing for me to (easily) do.
So I moved on.
A more motivated person might have looked for a way to give. But that leaves out most of us. If you want to get a gift, you gotta ask.
A lot of time is spent in teaching people about "The Ask." As if it was something that stands alone. I suppose if you asked enough people you would-eventually-get a yes. That's what cold-callers do. The odds are one in a hundred. For every hundred people you ask, over time one will become a client, a buyer, a donor.
If you have a compelling story and learn how to tell it compellingly (like Girl Effect), you could increase your odds. If you engage that person-talk with him not at him-your odds will get even greater. (READ MORE)
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 Get Off the Treadmill
Over the past few days, I've been working a stewardship workshop and doing all sorts of research into donor retention, donor loyalty and how that translates into fundraising effectiveness. Of course, this research brought me to the 2010 Fundraising Effectiveness Survey Project sponsored by the Association of Fundraising Professionals (AFP) Association of Fundraising Professionals and the Urban Institute.
Since 2006, the Fundraising Effectiveness Project (FEP) has been surveying nonprofits and looking at how organizations can increase their fundraising results and do it faster.
As the survey notes, over the past 40 years, fundraising results have stayed pretty flat in the US. Total giving has stayed at approximately 2 percent of the gross domestic product (GDP) - and the FEP wants to know why.
A large part of the reason that fundraising has stagnated is because most nonprofits do not do much to retain their donors' loyalty. While that is problematical in any year, over the past few years where the economy is bad, adding to the problem, it's become downright frightening.
Consider: "For every $4.5 the nonprofit organizations gained in upgraded, new, and recovered gift, a little more than $6 was lost in downgraded and lapsed gifts." The report goes on to say "For every 5.4 new donors recruited, slightly more than 6 donors were lost through attrition."
There have been many studies as to why donors lead organizations. The results of those studies are pretty clear: As a sector, we are really bad at thanking our donors, ensuring them that their gift will be used as they directed, and then telling them what their support has meant.
Instead, we tend to take the money and run. Consequently, we are always looking for new donors instead of bringing our existing supporters along.
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What DOES a Development Director Do?
Ask three people and you'll get three different answers. Even if all three are development directors themselves. Part of that is because where the development director works will inform what her job is. Part of that is because development is something very imperfectly understood and less perfectly defined.
Just take a look at a typical job description for development directors. They are expected to do everything AND clean the kitchen sink. While they are busy "planning and implementing" development programs that encompass major and annual giving, corporate and government grants as well as special events, they will be "proficient in donor databases" and able to interact professionally with the board. They should also have (and here I have just lifted directly from an organization that shall remain anonymous):
- Managerial experience of staff of development professionals and administrative assistants.
- Strong organizational, management and administrative skills including the ability to multi-task.
- Proven ability to solicit and close financial agreements with donors is essential.
- Sound understanding of financial reports and budgeting are required.
- Excellent interpersonal skills and excellent oral and written presentation skills.
- Ease and comfort in speaking with corporate leaders.
- Familiarity with word processing, spreadsheet, and database management software.
Presumably, in their spare time, they will be identifying, cultivating and stewarding donors.
In many organizations, what makes all this more difficult is that there is insufficient development budget to hire appropriate personnel. These organizations hire people they think will be able to do it all and are often really frustrated, while fundraisers accept jobs where they think they will actually be able to raise funds only to find themselves overwhelmed with minutiae. No one is happy. (READ MORE)
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Are your fundraising results down? Janet Levine Consulting can help. Email or give me a call at 310-990-9151 to schedule a free 30-minute consultation.
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