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Accepting Online Donations. NPower www.npower.org. Workshop Overview. A definition of “Online Fundraising” The promise & reality of online fundraising Success stories Management issues to consider Action steps. Offline vs. Online fundraising.
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Accepting Online Donations NPower www.npower.org
Workshop Overview • A definition of “Online Fundraising” • The promise & reality of online fundraising • Success stories • Management issues to consider • Action steps
Offline vs. Online fundraising “If you know how to succeed offline, you know how to succeed online.” ~ ePhilanthropy www.ephilanthropy.org
Offline vs. Online fundraising What are your current offline fundraising strategies? • Let’s brainstorm… Are there opportunities for technology to enhance those strategies?
The Promise of Online Fundraising • New breed of potential donor that is accustomed to transacting on the Internet • More convenient for donors • 85% of charitable giving in the US comes from PEOPLE (Giving USA) • Higher follow through rate than mail-in • Average gifts tend to be higher online • Americans are increasingly making the Internet their preferred means of community involvement & citizen participation* *According to a study released by the Pew Internet & American Life Project
The reality of online fundraising • Still accounts for only a small percent of money raised by nonprofits • Most successful for large, nationally branded orgs or smaller, web-grown orgs with a unique constituency or “gimmick” • Not a get rich quick scheme • Donors/users demand a secure, easy to use, clear process for making gifts • Time & strategy intensive
How many of you have given online? • What are the barriers? • What are the benefits? • What do you expect in order to feel comfortable giving?
Success Stories – Public Libraries • Posting wish-lists on their websites with links to Amazon.com bookseller • Posting lists right on Amazon.com • Oakland, CA to Scandinavia,Wisconsin, population 349
Action Steps for On-Line Giving • Active Solicitation • “If you build it, they will NOT necessarily come!” • Who’s your audience? • What compelling reason are you giving them to visit your site? • How are you driving them there? • Why would they return? • (Easter Seals Activity)
Actions Steps for On-Line Giving • Choosing someone to accept & process your donations online. • The TCO of hosting your own secure giving page is HIGH! • Merchant account fees • Website design & updates • Tech Support
Online Donations Partners Cheapest (but least flexible): • www.NetworkforGood.org • www.JustGive.org Affordable: • DonateNow 2.0 • From www.Groundspring.org Fully-Integrated Packages: • Kintera, BlackBaud, eTapestry, Convio, etc. Many others at www.affinityresources.com
Network For Good • Powered by Guidestar • Partnership between AOL Timewarner, Cisco, & Yahoo • Online gift acceptance for nonprofits at 3% © ePhilanthropyFoundation.org
Managing for Successful Online Fundraising • Successful online fundraising means being aware of state regulations and seeking advice if necessary… • a) 39 states require that organizations register for charitable solicitation if they are going to fundraise in that state • b) If you are using email or web to solicit funds, that may extend beyond your home state boundaries • c) You may need to register in other states as a charitable solicitor. • IF A & B, THEN C! © ePhilanthropyFoundation.org
CharlestonPrinciples (For more information, visit http://www.nasconet.org) • You might need to register as a Professional Solicitor in a state other than your home state if… • You receive a significant amount of individual donations from that state • You receive a significant amount of contributions from that state • You are directly targeting donors from that state • Always seek legal counsel if you are not sure! © ePhilanthropyFoundation.org
The Universal Registration Statement • The URS helps you register as a Charitable Solicitor in 35 of 39 states that require it • Most useful to nonprofits that solicit regionally or nationally, but can be used by any nonprofit Visit http://www.multistatefiling.org/ for more info or to fill out the URS
Small steps for Success • Start collecting email addresses – today! • Compare some online donations processors • Register and/or update your info on www.Guidestar.org and www.idealist.org. • Make your current website donor-friendly. • Make your own gift online & learn from it! • Visit www.groundspring.org to download the Online Fundraising Handbook
Did you get all that? • Successful online fundraising means a successful communications strategy… • Big picture – what is your overall communications strategy? • How will you integrate off-line communication strategies with online ones? • Successful online fundraising means strong mission connections… • “Just because you can, doesn’t mean you should.” • Use technology to enhance or complement your bricks & mortar fundraising efforts
Did you get all this? • Successful online fundraising means dedicating resources… • Designate sufficient staff resources: time, energy, training • Allow ample planning time and enough time to bring in wide range of players • Successful online fundraising means setting realistic goals… • Be patient. • Don’t expect your bottom line to skyrocket just because you introduced an e-strategy
Any Questions? “One day quite soon, we won’t be using terms like e-fundraising and Internet-based fundraising. We will just talk about plain old fundraising, and the Internet will just be another tool. Another channel for communication.” - Adam Corson-Finnerty, Development Officer, Author