MAJOR GIFTS, RELATIONSHIPS AND PATIENCE – A WORKSHOP FOR DEVELOPMENT STAFF

1. MAJOR GIFTS, RELATIONSHIPS AND PATIENCE – A WORKSHOP FOR DEVELOPMENT STAFF Advancement Academy Conference April 29, 2003

2. Objectives • Examine the development process and how it insures major gift success • Explore how to identify the right prospective donors with whom to build a relationship Major Gifts--E. Flanagan--April 28, 2003

3. Objectives, Continued • Explore strategies to engage major gift prospects • Examine techniques to make an “artful ask” that will insure a YES • Examine strategies to thank the donor in meaningful ways Major Gifts--E. Flanagan--April 28, 2003

4. Major Gifts--E. Flanagan--April 28, 2003

5. Foundations for Success • Being donor-driven • Creating a strategy for building the relationship • Recognizing the need to operate on the prospect’s schedule Major Gifts--E. Flanagan--April 28, 2003

6. Prospect Identification • Who is responsible for prospect identification? • Development Research • The Development Officer • Look beyond the rating to assess: • Attachment • Engagement • Current • Past Major Gifts--E. Flanagan--April 28, 2003

7. Prospect Identification, Continued • Look at consistent gift record • Look at life/career stage • Look at the zip code Pick up the phone! Major Gifts--E. Flanagan--April 28, 2003

8. How to Cultivate Major Gift Prospects? • Objective: Build attachment … • Knowledge/Education • Relationship • Assess where the prospect is now on each dimension? • What do they know? • What is the extent of their relationship with the institution, the program, and you? Major Gifts--E. Flanagan--April 28, 2003

9. Cultivating Major Gift Prospects • Develop a strategy that will: • Allow you to build rapport • Educate the prospect on areas of interest • Facilitate his/her attachment to the institution and/or the program Major Gifts--E. Flanagan--April 28, 2003

10. Building Rapport • Personal notes • Send items of interest, related or unrelated to the institution • Remember dates of significance • Share personal information Major Gifts--E. Flanagan--April 28, 2003

11. Educate Your Prospect • Connect their needs/interests to what your institution does through: • Follow-up materials • Meetings on/off campus with key faculty/students/administrators • Invitations to sessions on topics meaningful to them and use the opportunity to host in other ways Major Gifts--E. Flanagan--April 28, 2003

12. Participation Builds Attachment/Commitment • What is the strategy? • Creating the right opportunity where the prospect can meet the right people who will inspire his/her • Arrange the setting to make it happen • Use other human resources, too! Major Gifts--E. Flanagan--April 28, 2003

13. Participation Possibilities • Ask for input/advice • Invite to serve on a working board • Include as a member of a focus group • Ask to participate on a panel/speaker • Ask to review documents/marketing materials Major Gifts--E. Flanagan--April 28, 2003

14. More Possibilities • Ask to serve on a planning committee/task force • Ask to serve on a scholarship committee • Ask to chair a committee • Interview for a magazine piece • How creative can you get? Major Gifts--E. Flanagan--April 28, 2003

15. The Artful Ask Requires the “Artful Set-up”

16. The “Artful Set-up” • In the cultivation process, did you: • Connect interests with institutional needs? • Ask them if they might be willing to consider support for that project at some point? • Ask them what might be most important to them in that context? • Share funding opportunities? Major Gifts--E. Flanagan--April 28, 2003

17. Use the Trial Ask Technique • I think the dean would like to talk with you soon about the XXX program. He/she hopes you you might consider establishing a scholarship in the $500K range so that one student’s needs might be met each year… Major Gifts--E. Flanagan--April 28, 2003

18. Another Trial Ask Example • You’ve told me that you believe that faculty support is most important…. In order to supplement our faculty salaries in a meaningful way, we have determined that we need to add at least $50K/year to attract and retain star faculty. To do that, we need a minimum endowment fund of $1M to generate those resources. Is that something you might be able to consider? Major Gifts--E. Flanagan--April 28, 2003

19. The Results of the Trial Ask • You know where the prospect sees him/herself • You know how to proceed • More education • Create a formal proposal • If you take the President/VP/Dean, you want to insure that he/she will get a “yes” Major Gifts--E. Flanagan--April 28, 2003

20. Planning for “The Ask” Visit • Who goes? • Who says what? • Send materials in advance? • Review information on the case • What is exciting about the program? • What are the needs and the funding opportunities? • How will the gift add value to the program and to the institution? Major Gifts--E. Flanagan--April 28, 2003

21. The Conversation • The Warm-up/Socializing • State the Agenda • Tie it to vision for institution • Find common ground • Your said …critical to CSU • Discuss the impact that his/her involvement would have… Major Gifts--E. Flanagan--April 28, 2003

22. Making the Ask: Raising Sights • “We hope that you will consider a six figure gift so that…” • “I hope that you will consider making a leadership gift in the $$$ range…” • “Your participation at the $$$$ level would enable the school to…” • “We hope that you will consider funding the first 21st Century Professorship at the $1M level…” Major Gifts--E. Flanagan--April 28, 2003

23. Managing Objections • Explore a “No.” It may mean: • “Not yet.” • “not now.” • Not sure how…” • Explore the objection • Tell me more about your concern… Major Gifts--E. Flanagan--April 28, 2003

24. Use Listening Skills • Restate what you heard • Ask open-ended questions • Pause to see if there is more • Demonstrate empathy Major Gifts--E. Flanagan--April 28, 2003

25. Respond to the Objection • Seek the prospect’s reaction • Inquire if it is the only concern that stands in the way of a commitment • Address the concern then or at a later time • Verify that the concern has been addressed • Return to the gift discussion Major Gifts--E. Flanagan--April 28, 2003

26. Negotiation Techniques • Timing – “What would be a better time?” • Purpose – “If you could make a difference, what would you want to do?” • Amount – Demonstrate how the gift will benefit the donor and the program/recipients. • Flexibility – State pledge period and possibility of using non-traditional assets to get to the goal. Major Gifts--E. Flanagan--April 28, 2003

27. Closing • Each conversation is a step toward resolution and commitment. • Overcome sticking points in additional visits/calls/actions. • Share vision for program and institution. • Underscore his/her role in the future of your institution. • Get it in writing. Major Gifts--E. Flanagan--April 28, 2003

28. Creative Expressions of Gratitude • Do the less creative things first! • Personalize the expression while keeping the gift size in mind • Ask: What motivates this donor? • Create a unique experience • Video of horse • Intimate venue with special people • Give item of special meaning, e.g. box of dirt • Scrapbook • Honorary coach on field • Involve the family for ideas • Publication by faculty dedicated to donor Major Gifts--E. Flanagan--April 28, 2003

29. Summary • The more significant the gift, the more personalized the cultivation and stewardship • The larger the gift; the longer it is likely to take; the higher the expectations will be for stewardship. • It is all about relationship building with the people who can make a difference in your institution. Major Gifts--E. Flanagan--April 28, 2003