Maximizing Your 2013 Giving

1. Maximizing Your 2013 Giving Presented by Jessica White, President Jessica White Associates

2. Year-end giving for 2012 should be seen as the beginning of your 2013 development efforts! Why do I say that?

3. Recent study by Cygnus Applied Research • To gauge the giving intentions of donors who were contending with a severe economic recession • Compared 2010 giving with 2011 intentions • Climate has not changed significantly, so study is still valid

4. How Donors Gave in 2010 • More than half supported the same number of causes • Younger donors were more likely to add a new cause than those over 35 • 23% of older donors (over 65) gave to 20 or more causes; only 9% of those 35-64 did the same

5. How Donors Gave in 2010 • 41% increased giving in 2010 • Trend especially evident among younger donors, those earning over $200,000, and those who gave over $10,000 • Older donors gave out of sense of altruism • Younger donors referenced the impact the economy had on them

6. What Donors Planned for 2011 • 79% expect to give more • Donors under 35 were most likely to increase • Reputation and trustworthiness are primary factors for retained loyalty (86%) • Achieving and communicating measurable results also crucial (53%)

7. Where is Giving Headed in 2013 • Growing tendency among donors to take advantage of the various ways in which they can make a gift, regardless of how they are solicited • Continuing decline in donors’ desire to transact their gifts through the mail

8. Where is Giving Headed in 2013 • Online giving is on the rise – majority in every age category will give online • Cost effectiveness is a major reason online donors prefer this method • Donors are negative on “premiums”

9. Social Media & It’s Impact on Giving • 69% have one or more social media accounts • Majority don’t follow charities • If they do it’s because – - Charity is expert in its field - Not-for-profit posts relevant updates on its work • 88% of donors under 35 have Facebook accounts

10. Donor Communication • 69% prefer electronic over print communications • Separating communication from gift transaction is key in capitalizing on donors’ changing preferences

11. Board Members & Fundraising • Being asked to give by a leadership volunteer influences donors more than anything else to give and give generously • Board giving is not a requirement in 48% of organizations • Only 33% of boards are required to fundraise

12. What does this mean for us as fundraisers in 2013? • Donors supporting fewer causes means: • We have to do a better job retaining our current donors • Participation in volume-based programs, such as direct mail, is declining for donor acquisition.

13. 2013 – Where is our focus? • We must not overlook the younger donors. While giving less, they are willing to give more. They need to be stewarded.

14. 2013 – Donor Loyalty • Not-for-profits can only spend the profit derived from fundraising, and profit is increased by improving the retention of existing donors and influencing higher level gifts, and not by increasing volume of donors. • Learn what causes your donors to stay loyal

15. 2013 – Online Giving • While 48% made at least one gift last year in response to direct mail, 29% then went online to contribute. This makes it hard to evaluate fundraising vehicles and staff.

16. 2013 – Online Giving • Two types of online givers – Those who give online as one of several ways they give (35%) Those who give online as a decided preference (61%) • Cost effectiveness is major reason why they prefer online giving

17. 2013 – Direct Mail • Continuing decline in donors’ desire to transact their gifts through the mail • 26% say they will give less this way next year (less often, less money, or both) • Due to “over-solicitation” (78%) and “excessive cost” (54%)

18. 2013 – Online Giving • Benefit to fundraisers – • More cost effective communication • Built-in analytics on readership • Popularity • Click through rates to other information

19. 2013 – Social Media • Value of social media for fundraising is minimal today but is likely to be much more important soon when donors under 35 develop a greater capacity for giving. • It is important for not-for-profits to be ready by being visible and active on social media and to market their presence.

20. 2013 – Donor Communication • 69% prefer electronic over print • Communication is essential to establishing the desire to give, but any gift transaction method will do once donors have made the decision to give. WE HAVE TO CREATE THE DESIRE!

21. 2013 – Board Members • Must do a better job of recruitment, stating a requirement for giving and fundraising • Boards must evaluate their performance in fundraising • Board members need training to do fundraising successfully

22. Are we leaving money on the table? • 49% of those interviewed said they could have given more 60% under the age of 35 49% of donors 35-64 42% of those 65 or older What do we all know? The #1 reason donors don’t give THEY WEREN’T ASKED!

23. Presented by: Jessica White, President Jessica White Associates www.jessicawhiteassociates.com jessica@jessicawhiteassociates.com 317.472.0925