Avalon staff and clients, led a great session on mid-level giving—sharing how cultivating your mid-level donors can result in a tremendous return. Speakers: 1. Kerri Kerr, Senior Vice President, Avalon Consulting Group 2. Sarah Stallings, Senior Director of Annual Giving, National Geographic Society 3. Myles King, Manager of Annual and Digital Fundraising, John F. Kennedy Center for the Performing Arts They also showed the audience how a higher-touch approach doesn’t have to break the bank, and can result in a file of committed, higher-dollar donors and an increased return on investment.

1. Are You Paying Enough Attention
To Your Mid-Level Donors?
Kerri Kerr, Avalon Consulting Group
Myles King, The John F. Kennedy Center for the Performing Arts
Sarah Stallings, National Geographic Society

2. Speakers:
Myles King
Manager, Annual and
Digital Fundraising
Kerri Kerr
Senior Vice President
Sarah Stallings
Senior Director of
Annual Giving
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3.  Mid-level Donors Defined
 Why Upgrading Matters
 Upgrading Tips & Examples
 How to Continue to Engage Mid-level Donors
 Kennedy Center Program
 National Geographic Society Program
 Questions?
What we’ll cover:
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4. Acquire/Reinstate
Renew or Lapse
Appeal gifts
Upgrade/Mid-
Level Donors
Major Gifts
Member Evolution
Steward + Cultivate
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5. Membership is a pipeline to major gifts
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Typically 35-50% of high-dollar multiple-gift members join the file with an initial gift
less than $100

6. Why?
• Increase fiscal year income
• Strengthen member commitment through elevated experience and stronger
relationship with organization
• Set stage for major gifts and planned giving
When?
• Renewal series
• Regular appeals (3-6 months after previous gift)
• Specific upgrade campaigns
Why & when to upgrade
6

7. How?
• Direct Mail
• Telemarketing
• Email
• In Person
• Post-event
How to upgrade
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8. Elements of Compelling Copy
 Identify problem or opportunity
 Include a Deadline/Urgency
 Identify the Enemy
 Be relevant
 Be specific
 Be emotional
 Be the solution
Same direct marketing “rules” apply to upgrading
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Also, name the mid-level giving program and ask donors to join this exclusive
group of generous supporters.

9.  Write copy that is donor-centric not
organization-centric.
 Repetition is key – the introduction and
the PS are the most-read passages;
highlight key points in these sections
 Use bold, indented, or underlined
sections to draw attention to key points. Be
careful not to overuse this technique.
 Use a strong mix of benefits-oriented
language and philanthropic language.
 If possible, tailor parts of the letter to the
specific donor – e.g., highlight programs
that will interest the donor or an upcoming
event that he/she has attended in the past.
You are not your donor. What you like may not get the best response.
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10.  Although most donors will not read the
full letter, a longer letter indicates that
you have something substantial to
say.
 Consider sending your first
communication with a longer letter (four
pages) and then follow-up with shorter
two-page or one-page letters.
 In direct marketing, four-page letters
typically win in tests against two-
page letters. Four-page letters become
more common as the value of the file
and donor increase.
Consider letter length when drafting copy.
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11.  Brand your pieces to your organization
and use consistent logos and colors.
 Simple designs not only perform better
in the mail but also have a clean look
that gives it a high-touch feel.
 Consider adding high-end touches like
closed-faced envelopes, pre-stamped
reply envelopes, first-class postage, and
handwritten addresses.
 In brochures, use photos that show
your donors at events so that the
donors can picture themselves in that
environment.
Use high-touch elements in your design
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12. Donors respond best to clear titles. The higher up the title, the better the performance because
the title carries with it the weight of prominence. Consider adapting titles to those that clearly
allow a layperson to understand the signer’s importance within the organization.
Use a known signer
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13. EXAMPLE: Smithsonian’s Castle Circle and JSS
 Appearance of an exclusive program,
setting it apart from current membership
 Highlight benefits and impact, use of the
word "you," longer copy to better sell the
upgrade, acknowledgment with the
certificate
 Successfully mail both stand-alone upgrade
packages as well as spinoffs of the
standard appeals package
 Ask higher-dollar members to renew at the
Castle Circle level in the R1
 Test upgrade strategies in other programs
like Acquisition and Appeal
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14.  The 1891 Society Invitation
package was mailed as a
version of standard
February Appeal.
 This appeal raised more
than 3x the expected
revenue.
EXAMPLE: The Trustees Bridge Appeal
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15. EXAMPLE: NPCA Trustees for the Parks Upgrade
 Upgrade appeals
should include
insider
information –
such as in-depth
briefings and
memorandums –
and list exclusive
program benefits.
 Renewal efforts
early in the series
are cost-effective
ways to upgrade
higher-dollar
donors.
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16. KC Circles
revenue
generated from
Membership:
under $1,200
initial join
KC Circles revenue
generated from
Membership:
under $1,200
initial join
KC Circles
revenue from
KC Circles joins
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 Majority of these members came out of the direct marketing program
 Continue to engage them with standard direct marketing outreach channels
(mail, phone, email), but:
 Scale back number of contacts if appropriate
 Increase high-touch aspects of outreach
 Direct Mail – First-class postage, closed-face carrier
 Telemarketing – Experienced callers only!
 Add additional points of contact:
 Call from in-house development team
 Access to insider events
 Personal notes added to direct mail packages
 Newsletter highlighting the impact of their support
Don’t stop after the upgrade!

17. The John F. Kennedy Center for
the Performing Arts
The elements of a successful
mid-level program
$1,200+$60-$1,200
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18.  The Membership-to-KC-Circles
pipeline was very strong in
FY15, with over $1.8 million
worth of Circles gifts emanating
from Membership joins (under
$1,200 joins).
 That represents 62% of all
FY15 KC Circles revenue.
KC Circles
revenue
generated from
Membership:
under $1,200
initial join
Membership is the primary pipeline to Circles giving.
$1,848,471$1,121,532
All Circles (KC) Revenue in FY15
KC Circles revenue
generated from
Membership:
under $1,200
initial join
KC Circles
revenue from
KC Circles joins
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19. Note: $1,200+ Single
Gift defined as one gift
of $1,200 or more (not
cumulative)
Industry Ranges
Under $100: 40-60%
(This is not an exact
comparison to KC)
18%
14%
9%
6%11%
43%
< $60 $60 - $119 $120 - $299
$300 - $599 $600 - $1199 $1200+
As of FY16, 57% of $1,200+ multi-gift members joined the file with a gift <$1,200.
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20. In FY15, the pipeline brought in more revenue but lower average gift.
$762,057
$1,848,471
$0
$500,000
$1,000,000
$1,500,000
$2,000,000
Average KC Circles Revenue From
Prior Members (Per Year)
Since 1974 FY15
$2,222
$1,884
$1,500
$2,000
$2,500
KC Circles Average Gift from Prior
Members
Since 1974 FY15
Prior Members are Circles donors who
previously gave Membership-level gifts.
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21. I’m also calling to ask you to renew your membership
so that you can continue to experience the many
exciting benefits it offers, such as Members Only
Ticket Priority which gives you the opportunity to
purchase tickets before they are released to the public
and 10% discounts at our Roof Terrace Restaurant
and KC Café. And as a new benefit this year,
Members will also receive Ticket Priority for all new
Subscription package orders, allowing you to get the
best seats for subscriptions as well.
Furthermore, if you increase your member level to
[NEXT LEVEL UP], you will be able to take
advantage of additional benefits such as, [MENTION
1-2 BENEFITS FROM LIST BELOW]. Additionally, an
anonymous member of the Kennedy Center Board of
Trustees will match your increased gift with a
contribution to the Kennedy Center education
programs. This way you can experience some
incredible additional benefits that will enhance your
experience and help support the Kennedy Center
education programs. Can we sign you up for the
_____ level?
Upgrade opportunities
KC Circles
revenue from
KC Circles joins
R1 DM
Renewal TM
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22. Upgrade opportunities, cont.’d
KC Circles
revenue from
KC Circles joins
eRenewals
Appeal DM
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23. KC Circles
revenue
generated from
Membership:
under $1,200
initial join
KC Circles
revenue from
KC Circles
joins
Current Circles Member Renewals
KC Circles revenue
generated from
Membership:
under $1,200
initial join
KC Circles
revenue from
KC Circles joins
R1 - DM R2 - DM
R3 - Phone
Call or Email
(month of
expire)
R4 - DM R5 - Email
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24. KC Circles
revenue
generated from
Membership:
under $1,200
initial join
KC Circles
revenue from
KC Circles
joins
KC Circles revenue
generated from
Membership:
under $1,200
initial join
KC Circles
revenue from
KC Circles joins
Renewals: industry best practices combined with high-touch techniques
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25. KC Circles
revenue from
KC Circles
joins
Renewals: industry best practices combined with high-touch techniques
 4-page letter
 Full page reply
 Closed-face carrier
 Brochure selling Circles renewal
 Personalized language
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26. KC Circles
revenue
generated from
Membership:
under $1,200
initial join
KC Circles
revenue from
KC Circles
joins
KC Circles revenue
generated from
Membership:
under $1,200
initial join
KC Circles
revenue from
KC Circles joins
Solicit additional gifts from Circles Members for Expansion Project
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27. Kennedy Center Circles Events Include:
 Cast Parties
 Backstage Tours
 Private Artist Receptions
 Dress Rehearsals
 Lounge Access
In-person engagement (if possible) is also key!
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28. Worth the effort: Circles Members retain at much higher rates than low-dollar
Members.
20%
30%
40%
50%
60%
70%
80%
90%
100%
Overall Overall
w/Reinstates
Multi-Year First-Year
Membership Circles
Industry Ranges
MY: 50-70%
FY: 20-40%
Overall: 45-65%
FY15 Retention Comparison
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29. Next steps for the Circles program
 Continue to mail Circles renewals in a timely
manner.
 Test to improve performance (signer, stock color,
etc.).
 Develop an evergreen Acquisition package to be
sent on a quarterly schedule to warm Circles
prospects.
 At the end of the fiscal year, refresh letter copy to
refer to the Expansion Project.
 Prepare to roll out new branding in Fall of 2017.
 Monitor program performance via bi-weekly
reports and compare year-over-year trends.
Circles Acquisition Brochure
and Reply
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30. National Geographic Society
Adding expanded mid-level outreach
to build on a new program
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31.  Build on the success of October 2013 pilot donor acquisition program
 Using “Contributing Member” and “Contributing Membership” language
 Providing a philanthropically-based option to further engage existing members (subscribers) and prospects
 Bringing new audiences to National Geographic
 Create a high-value donor file by:
 Emphasizing pure philanthropic giving
 No use of low-value back-end premiums or benefits
 Grow the donor program through:
 Multi-channel outreach
 Creating a pipeline to mid- and major-level giving
Launching a Membership Program: Goals
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32. Resulting program is on an incredible trajectory!
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33. Program is proving to be great pipeline for higher-level giving
$300 $84,900 $122,100 $185,4223
55
80
116
2013 2014 2015 2016
Gross
Revenue
Number
of Gifts
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34. $1,000+ Gifts from Acquisition
 Since 2013, 229 new joins at
$1,000+ level have been
acquired via direct mail
acquisition.
 333 new joins acquired at
the $500-999 level and 841
at $250-499.
 Creating great
prospects for future
upgrade asks.
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35. 25 Contributing Members upgraded to $1,000+ from
appeals and annual renewals
Contributing Membership Program proving to be great pipeline
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36.  FY17 is first year of rolling renewal series
 Current high-level members asked to upgrade
to Grosvenor Council at the beginning of their
renewal cycle
 FY17 strategy includes 3 CM appeals to be
versioned into GC upgrades
Renewal/Appeal Upgrading Plans
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37. The Grosvenor Council
Named for one the first editors of National Geographic magazine, the Grosvenor Council is a group of
unwavering supporters who have partnered with the Society to ensure a lasting impact on the world. With an
annual gift of $1,000 or more, Grosvenor Council members generously support the National Geographic
Society’s work at the cutting edge of science, exploration, education, and storytelling.
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38. GC benefits provide recognition, access, & opportunity
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39. GC annual schedule includes touch points in all channels
39

40. GC communications have high-touch elements
 First-class postage
 Heavier paper stock
 Detailed language about program initiatives
 Gang print with Contributing Member packages
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41. GC receive stand-alone cultivation touch points & versioned appeals
Year-End GC version was sent to major
gift officer to add a handwritten note for
increased personalization.
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42. Going forward
 Continue to look for gang print
opportunities to keep costs down
 Test GC invitation to $100+ CM’s
 Develop strategy for lapsed GC members
 Handwritten notes on acknowledgments
 Benefits audit to improve upgrading within
GC
 Enhance cultivation – calls, notes,
invitations, emails
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43.  Leverage RFM and analytics on the front end to identify high-potential
donors and ensure they receive specialized direct marketing treatment and
cultivation to move them up the giving ladder.
 Donors who are direct marketing responsive do not stop being responsive to
direct marketing techniques once they give a larger gift.
 Use high-touch techniques but balance them by cost-effectively
communicating with mid-level donors by basing upgrade and mid-level
packages on existing packages.
 Overlay direct marketing outreach to mid-level donors with personal touch
points, increased information sharing, and access to your mission at work.
In conclusion: Pay attention to your mid-level donors!
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44. Questions?
Kerri Kerr, Avalon Consulting Group
kerrik@avalonconsulting.net
Myles King, The John F. Kennedy Center for the Performing Arts
MCKing@Kennedy-Center.org
Sarah Stallings, National Geographic Society
sstallin@ngs.org
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