Integrated Multichannel Marketing and Fundraising Best Practices

1. Integrated Multichannel Marketing and Fundraising Best Practices

2. Younger Donors & Constituents Wanted But it’s more likely him… Rather than her…

3. Generational Giving Study b. ≤1945 79% Give 30.8M donors $1066 yr/avg 6.3 charities Size of each pie is significant – represents total population of each b. 1946-1964 67% Give 52.2M donors $901 yr/avg 5.2 charities Total Annual Giving b. 1965-1980 58% Give 35.9M donors $796 yr/avg 4.2 charities b. 1981-1991 56% Give 28.5M donors $341 yr/avg 3.6 charities % Giving

4. Changing Constituent Landscape Matures Boomers Gen X POPULATION POPULATION POPULATION 78M 62M 39M $$$$$ $$$$$ ANNUAL GIVING $$$$$$ DONATED BY CHECK BY MAIL PRIMARY CHANNELS REGULARLY ON FACEBOOK

5. First Engagement • Direct donation 42% Attended event 19% • Visited website 27% Promoted to others 15% • Donated goods 23% Volunteered 15% • Direct donation 51% Attended event 18% • Donated good 28% Volunteered 16% • Visited website 19% • Direct donation 61% • Donated goods 25% • Attended an event 13% • Direct donation 71% • Donated goods 26% • Attended an event 13% • Gen Y • Gen X • Boomers • Matures

6. Word of Mouth is Critical “Peer to peer solicitation is the most acceptable form of solicitation”

7. New Donor Challenge Source: Target Analytics donorCentrics™ Index of National Fundraising Performance | Fourth Quarter 2010

8. Old Theory, New Applications

9. Channel Integration Value Donor Value Over 12 Months New Donor Renewal Rate Lifetime Donor Value Lifetime Donor Value $694 +121% 50.9% +48% 34.4% +95% $314 $187 $96 Integrated Marketing Integrated Marketing Integrated Marketing Direct Mail Direct Mail Direct Mail Source: Company whitepaper entitled “Integrating Online Marketing (eCRM) with Direct Mail Fundraising” 1 Traditional defined as offline use. 2 Internet Enabled defined as both offline and eCRM use.

10. Increasingly Multichannel Behavior % say appropriate solicitation channel Mail Email Social Media Phone Text

11. Major Donors Multichannel Too • 86% visit website before making gift offline • Only 8% very inspired by websites, emails • 75% want to control frequency and content • Want tax receipts, renewal notices and financial progress updates Source: Wired Wealthy, Convio, Sea Change Strategies and Edge Research, 2008

12. Again -- donors expect more transparency and tangibility Direct mail continues but no longer dominates Multichannel practices must evolve quickly Video, social and mobile become mainstream Systems deliver strategic advantage/ productivity People drive change! Fundraising has Changed, Permanently

13. Donor Transparency Expectation

14. Direct mail and telemarketing need to evolve

15. Understand constituency as a whole

16. Interact on an individual leveland track relationships • Donors • Advocates • Volunteers • Event attendees • Board members • Corporations • Media • Academics • Public officials

17. Does this resemble the “database” at your organization?

18. Merging Lists Double Data Entry Cleaning the Database Running Reports WonderingWhere to Focus ResearchingDonors Where Does Your Staff Spend Their Time?

19. Productivity: Information At Finger Tips

20. “Next Gen” Systems Traditional Next-Generation On-premise On-demand 1 2 3 Complex Easy-to-use Manage Donors Manage All Relationships Single channel Multi-Channel $ $$$ Expensive Cost-effective Closed Open

21. Putting the Pieces Together • Research tells us that a multichannel approach is the only option for reaching across generational constituencies, for planning for the next generation and meeting our constituent’s expectations. • Some key tactics that will ease the migration to incorporate digital channels as Boomers spend more time online and younger generations make more significant financial impact. • Online feeder acquisition ( email address collection and social) • Segmentation methodology • Top 10 multichannel marketing principles

22. Applying Generational & Channel Learnings

23. How are we meeting Generational Needs?

24. Assessment: How do we reach Matures? Unconditional Stewardship of Donor $’s Annual Tax Receipts Charity Navigator Insignia Fundraising Expenditure Disclosure E-Newsletters

25. How are we meeting Generational Needs? Longer-form appeals Annual Tax Receipts Guidestar/BBB/Charity Navigator logos Fundraising Expenditure Disclosure E-Newsletter

26. Assessment: How do we reach Boomers? Pre-meditated Giving Time vs.. Money Renewal Appeals and Notices Event Fundraising Donation (vs. Participation) Basic Donation Forms Volunteer Opportunities Data Mining Planned Giving

27. How are we meeting Generational Needs? Renewal Appeals and notices Event Fundraising Donation (vs. participating) Basic Donation Forms Volunteer Opportunities Data Mining Planned Giving E-Newsletter Longer-form appeals Annual Tax Receipts Guidestar/BBB/Charity Navigator logos Fundraising Expenditure Disclosure E-Newsletter

28. Assessment: How do we reach Gen X? Random, peer motivated Online connection Create/Donate to a Tribute Fund Make a Monthly Gift Sign a Pledge/take an action Event Attendance Mobile Site Optimization

29. How are we meeting Generational Needs? Renewal Appeals and notices Event Fundraising Donation (vs. participating) Basic Donation Forms Volunteer Opportunities Data Mining Planned Giving E-Newsletter Creation of/Donation to a Tribute Fund Make a Sustained/Committed gift Sign a pledge Event attendance Mobile Site Optimization Longer-form appeals Annual Tax Receipts Guidestar/BBB/Charity Navigator logos Fundraising Expenditure Disclosure E-Newsletter

30. Assessment: How do we reach Gen Y? Time to give back • Premiums/Contests • Event Participation • Social Media • Mobile Outreach What’s in it for me?

31. How are we meeting Generational Needs? Renewal Appeals and notices Event Fundraising Donation (vs. participating) Basic Donation Forms Volunteer Opportunities Data Mining Planned Giving E-Newsletter Creation of/Donation to a Tribute Fund Make a Sustained/Committed gift Sign a pledge Event attendance Mobile Site Optimization Longer-form appeals Annual Tax Receipts Guidestar/BBB/Charity Navigator logos Fundraising Expenditure Disclosure E-Newsletter Premiums/Contests Event Participation (vs.. Donation) Social Media Mobile Outreach

32. Online Feeder Acquisition • Ability to influence the overall relationship through an online campaign • Online must serve as a list acquisition channel for offline campaigning

33. Segmentation Methodology • Very simply is it time to begin capturing birth year data and segment based on generational characteristics and assumptions? • Does the offer and primary action change based on what we know about constituents?

34. Follow an Integrated Calendar 1 • Simplifies messaging and actions • Cohesive experience

35. Respect & Acknowledge Giving Behavior 2 • Don’t offend a mid- or major donor with a $15 ask

36. Vary Ask and Offers by Channel 3 • Channel demographics should influence your decision to promote an offer

37. Empower Constituents to Respond in Channel of Choice 4 • Encourage response in preferred channels while maximizing reach through traditional means

38. Welcome and Romance Prospects 5 • Opportunity to educate and ultimately convert to donors 1 2

39. “Cannibalization” is Retention 6 • Embrace and encourage channel-hopping and shifts

40. Gauge Campaign Results across All Channels 7 • Establish organization and departmental metrics that support and never penalize for channel shifts

41. Factor Engagement into ROI 8 • Take the long-term view and gauge response based on engagement and your ability to motivate via each channel.

42. Leverage Online Data to Build More Effective Traditional Programs 9 • To identify and ultimately target highly engaged but underperforming constituents

43. Confront New Technologies 10 • Determine gaps in existing strategy that new technology might fill

44. Thank you for attending!Next Steps: Download today’s presentation and additional free resources that will help your organization execute multichannel strategies www.convio.com/multichannel Connect with us! Twitter: @convioEmail: info@convio.com Blog: www.connectioncafe.com