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How to Knock Down Silos With A Hammer!
        How do siloed nonprofit organizations
              become more integrated?




. Page 1
Take our survey at the end of
              the session!
           At the end of the session, we’ll ask you to go online and fill out
           our integration survey. We’ll select 1 WINNER to receive
           complimentary 1-hour integrated fundraising consulting
           session



           http://www.surveymonkey.com/s/MK85BCT


. Page 2
Learning Outcomes
1) Be better at planning and executing cross channel
   and integrated fundraising and communications

2) Understand that this will lead to improved
   cooperation between “competing” departments
   within your nonprofit organization
3) Understand how to embed innovation into your
   fundraising culture

4) Look at what channels work for you
5) Making the right investment to reach your target
   audience
. Page 3
Today‟s Agenda
1) Our Take on The Barriers to Integrated Marketing
2) Our Current Reality
           What is driving changes in how we fundraise?

3) Integration
           What’s the value of being integrated?

4) Self-Assessment
           Where are you as an organization?

5) Facilitated Solutions
           How do you align culture, staff, and technology?

6) Evidence – Put It All Together
           What does integration look like in the real world?

. Page 4
Our „take‟ on What‟s
           Stopping Integrated
               Fundraising




. Page 5
Harvey: What‟s Stopping
               Integrated Marketing
           • Fear of risk
           • Lack of vision
           • Personal Ego




. Page 6
Greg: What‟s Stopping
                Integrated Marketing
           • Lack of shared goals
           • Lack of exploration of opportunities
           • Ego (also)




. Page 7
Mike: What‟s Stopping
                 Integrated Marketing
           • Lack of budget
           • Lack of skill sets
           • Internal competition




. Page 8
What have we missed and you
     want to cover today?




. Page 9
Our Current Reality




. Page 10
Current Reality
1)          Nonprofit offline donors are aging

2)          Donor files and acquisition list sources are shrinking

3)          Donor Fatigue is evident

4)          Revenues are flat and – in many cases – are falling

5)          Direct mail costs are increasing/ fundraising margins are shrinking

6)          Online – when keep in a silo - underperforms




                         Nonprofits need younger more valuable donors

                          More personal relationships with loyal donors

                             Investment in a multi-channel approach

                        WHAT‟S MISSING IN YOUR CURRENT REALITY?
. Page 11
Online donor retention of single gift donors can be
 terrible...



Year Acquired   Number Acquired   Gave in Year 2
    2006             99              32.30%
    2007            1736             24.20%        25.5% average
    2008            3194             19.30%        retention rate
    2009            2913             26.40%        Benchmark 28%
    2010            7656
    2011            7570


                How can we improve this?
Integration
             The Value



. Page 13
The Three Main Benefits
• Integrated Marketing Benefits
    • Deepens constituent loyalty and increases lifetime value
    • Strengthens the brand
    • Engage new audiences, grow revenue, and maybe even save
      money.




. Page 14
Value of Multi-Channel: Loyalty

                      Annual Donor Value1                                                  Retention Rate2


                                                 $255.74

                                                                                                                           82.3%
                             $191.35
                                                                                                       70.1%
                                                                                  62.3%

            $102.64




 Sources:
 1. Convio / Strategic One White Paper: Integrating Online Marketing (eCRM) with Direct Mail Fundraising: Adding a New Communication
    and Donation Channel Increases Donations; total contributions over 12 month period, excluding $10k+ gifts for SPCA of Texas
 2. Ibid. Comparison of retention rates for multi-year donors, SPCA of Texas


. Page 15
Self-Assessment
            Where Are You in the Multi-Channel Evolution?




. Page 16
Where are you?

            Single               Silos               Coordinated              Integrated


   • Online Marketing      • Separate Metrics &      • Thematically          • Unified Strategy & Full
     Makes Minimal           Team for Online           Integrated              Integration Across
     Contribution            Marketing                                         Channel Managers
                                                     • Coordinated Appeals
   • Calendar-Based        • No Calendar /                                   • Measures Success
     Campaigning             Campaign                • Integrated Calendar
                                                                               Across Channels, Not
   • Not Financially
                             Coordination            • Shared Metrics          By Channel
     Committed to Second   • Online Constitutes 5-   • More Stuff, More      • Seamlessly Integrates
     Channel                 25% Direct Response       Channels                New Media across
                             Revenue                                           channels
                                                                             • Shared success,
                                                                               budget and goals




. Page 17
On A Scale of 1 to 10…

      • “1” = Silos, “5” = Coordinated, and “10” =
        Integrated
      • Where do you fall on the scale?




. Page 18
DIRECT THE RIDER
MOTIVATE THE ELEPHANT
SHAPE THE PATH
How are you doing?

What‟s happening
next door.
Three Factors for Integration

    • Leadership commitment to the
      philosophy
    • Planning and investing in the systems &
      process to make it happen
    • Removing silos between teams and
      departments


. Page 25
Making It Happen
            Optimizing Talent and Finding Leverage




. Page 26
An integrated approach for Sick Kids

       • The cultivation survey:
            • Sent to 57,400 donors
            • 3 key segments: Monthly,
              Active & Lapsed
            • 5,530 responses (response
              rate of 11%)
            • Raised $17,574 – a bonus!
            • Reactivated 30 donors
            • Found 85 expectances and
              292 legacy leads and 143
              middle and major donor
              leads!
            • Key: shared budgeting!
. Page 27
It’s happening around the world




. Page 28
Holiday 2011 Campaign

   The campaign featured a landing page, which displayed
   “messages of hope”, left by constituents when they were
   making donations.
   The landing page also featured a video with a brief
   explanation of what the BC Cancer Foundation is, a
   campaign thermometer and a promotion of the ability to
   send eCards.



. Page 29
. Page 30
Holiday 2011 Campaign
    The campaign was active for about three weeks, ending
            on December 31, 2011. It included:
  1. Google AdWords Search Network (Paid Account)
  2. Google AdWords Display Network

  3. Google AdWords Search Network (Google Grant
     Account)
  4. Email – 4 waves


. Page 31
eCard


            DM engagement device




. Page 32
Results and Learnings
            Overall Revenue: 1,272 gifts, $275,003, $216.20
                             average gift
   1. Big Breakthrough #1: Google Search, Adwords -
      $2,500 spent with a return of $58,000.
   2. Big Breakthrough #2: Integration across channels
      worked

   3. Big Breakthrough #3: More emails, with
      personalization and e-cards, led to more money
      online



. Page 33
A Public Broadcaster




• Brand is perceived as authentic
• They had no online fundraising presence and non
  integration in the recent past




. Page 34
Things needed to be improved
• 2nd gift conversion dropped from 83% to 30%
• Net loss of donors since 2005.
• LTV of donors decreasing significantly since 2001

• Magazine, which was the primary stewardship vehicle,
  stopped in 2007.
• Share of voice, i.e.number of times donors hear from
  TVO in a year, has decreased.




. Page 35
It would take an integrated solution…
• Senior management support
• Cross departmental cooperation
• Create an integrated plan and stick to it




. Page 36
Online and offline integration




. Page 37
Bring back Print Media




. Page 38
Launched Symbolic Giving




. Page 39
Results - 2010
 • Q3 - 26% increase over same quarter
   previous year
 • Q4 - 40% increase over same quarter
   previous year




. Page 40
Results – 2010 and 2011




. Page 41
The stirring conclusion…
• So what did you learn today?
  • One more time…integrated communication works!
  • Where is your organization in the multi channel
    journey?
    • How do you get buy in at the senior level and then if
      you make an integrated plan – stick with it!




. Page 42
Remember to fill out the
    online survey to win FREE
       consulting session!

            http://www.surveymonkey.com/s/MK85BCT


. Page 43

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How to knock down silos with a hammer how do siloed organizations become more integrated final afp

  • 1. How to Knock Down Silos With A Hammer! How do siloed nonprofit organizations become more integrated? . Page 1
  • 2. Take our survey at the end of the session! At the end of the session, we’ll ask you to go online and fill out our integration survey. We’ll select 1 WINNER to receive complimentary 1-hour integrated fundraising consulting session http://www.surveymonkey.com/s/MK85BCT . Page 2
  • 3. Learning Outcomes 1) Be better at planning and executing cross channel and integrated fundraising and communications 2) Understand that this will lead to improved cooperation between “competing” departments within your nonprofit organization 3) Understand how to embed innovation into your fundraising culture 4) Look at what channels work for you 5) Making the right investment to reach your target audience . Page 3
  • 4. Today‟s Agenda 1) Our Take on The Barriers to Integrated Marketing 2) Our Current Reality What is driving changes in how we fundraise? 3) Integration What’s the value of being integrated? 4) Self-Assessment Where are you as an organization? 5) Facilitated Solutions How do you align culture, staff, and technology? 6) Evidence – Put It All Together What does integration look like in the real world? . Page 4
  • 5. Our „take‟ on What‟s Stopping Integrated Fundraising . Page 5
  • 6. Harvey: What‟s Stopping Integrated Marketing • Fear of risk • Lack of vision • Personal Ego . Page 6
  • 7. Greg: What‟s Stopping Integrated Marketing • Lack of shared goals • Lack of exploration of opportunities • Ego (also) . Page 7
  • 8. Mike: What‟s Stopping Integrated Marketing • Lack of budget • Lack of skill sets • Internal competition . Page 8
  • 9. What have we missed and you want to cover today? . Page 9
  • 11. Current Reality 1) Nonprofit offline donors are aging 2) Donor files and acquisition list sources are shrinking 3) Donor Fatigue is evident 4) Revenues are flat and – in many cases – are falling 5) Direct mail costs are increasing/ fundraising margins are shrinking 6) Online – when keep in a silo - underperforms Nonprofits need younger more valuable donors More personal relationships with loyal donors Investment in a multi-channel approach WHAT‟S MISSING IN YOUR CURRENT REALITY? . Page 11
  • 12. Online donor retention of single gift donors can be terrible... Year Acquired Number Acquired Gave in Year 2 2006 99 32.30% 2007 1736 24.20% 25.5% average 2008 3194 19.30% retention rate 2009 2913 26.40% Benchmark 28% 2010 7656 2011 7570 How can we improve this?
  • 13. Integration The Value . Page 13
  • 14. The Three Main Benefits • Integrated Marketing Benefits • Deepens constituent loyalty and increases lifetime value • Strengthens the brand • Engage new audiences, grow revenue, and maybe even save money. . Page 14
  • 15. Value of Multi-Channel: Loyalty Annual Donor Value1 Retention Rate2 $255.74 82.3% $191.35 70.1% 62.3% $102.64 Sources: 1. Convio / Strategic One White Paper: Integrating Online Marketing (eCRM) with Direct Mail Fundraising: Adding a New Communication and Donation Channel Increases Donations; total contributions over 12 month period, excluding $10k+ gifts for SPCA of Texas 2. Ibid. Comparison of retention rates for multi-year donors, SPCA of Texas . Page 15
  • 16. Self-Assessment Where Are You in the Multi-Channel Evolution? . Page 16
  • 17. Where are you? Single Silos Coordinated Integrated • Online Marketing • Separate Metrics & • Thematically • Unified Strategy & Full Makes Minimal Team for Online Integrated Integration Across Contribution Marketing Channel Managers • Coordinated Appeals • Calendar-Based • No Calendar / • Measures Success Campaigning Campaign • Integrated Calendar Across Channels, Not • Not Financially Coordination • Shared Metrics By Channel Committed to Second • Online Constitutes 5- • More Stuff, More • Seamlessly Integrates Channel 25% Direct Response Channels New Media across Revenue channels • Shared success, budget and goals . Page 17
  • 18. On A Scale of 1 to 10… • “1” = Silos, “5” = Coordinated, and “10” = Integrated • Where do you fall on the scale? . Page 18
  • 19.
  • 23. How are you doing? What‟s happening next door.
  • 24.
  • 25. Three Factors for Integration • Leadership commitment to the philosophy • Planning and investing in the systems & process to make it happen • Removing silos between teams and departments . Page 25
  • 26. Making It Happen Optimizing Talent and Finding Leverage . Page 26
  • 27. An integrated approach for Sick Kids • The cultivation survey: • Sent to 57,400 donors • 3 key segments: Monthly, Active & Lapsed • 5,530 responses (response rate of 11%) • Raised $17,574 – a bonus! • Reactivated 30 donors • Found 85 expectances and 292 legacy leads and 143 middle and major donor leads! • Key: shared budgeting! . Page 27
  • 28. It’s happening around the world . Page 28
  • 29. Holiday 2011 Campaign The campaign featured a landing page, which displayed “messages of hope”, left by constituents when they were making donations. The landing page also featured a video with a brief explanation of what the BC Cancer Foundation is, a campaign thermometer and a promotion of the ability to send eCards. . Page 29
  • 31. Holiday 2011 Campaign The campaign was active for about three weeks, ending on December 31, 2011. It included: 1. Google AdWords Search Network (Paid Account) 2. Google AdWords Display Network 3. Google AdWords Search Network (Google Grant Account) 4. Email – 4 waves . Page 31
  • 32. eCard DM engagement device . Page 32
  • 33. Results and Learnings Overall Revenue: 1,272 gifts, $275,003, $216.20 average gift 1. Big Breakthrough #1: Google Search, Adwords - $2,500 spent with a return of $58,000. 2. Big Breakthrough #2: Integration across channels worked 3. Big Breakthrough #3: More emails, with personalization and e-cards, led to more money online . Page 33
  • 34. A Public Broadcaster • Brand is perceived as authentic • They had no online fundraising presence and non integration in the recent past . Page 34
  • 35. Things needed to be improved • 2nd gift conversion dropped from 83% to 30% • Net loss of donors since 2005. • LTV of donors decreasing significantly since 2001 • Magazine, which was the primary stewardship vehicle, stopped in 2007. • Share of voice, i.e.number of times donors hear from TVO in a year, has decreased. . Page 35
  • 36. It would take an integrated solution… • Senior management support • Cross departmental cooperation • Create an integrated plan and stick to it . Page 36
  • 37. Online and offline integration . Page 37
  • 38. Bring back Print Media . Page 38
  • 40. Results - 2010 • Q3 - 26% increase over same quarter previous year • Q4 - 40% increase over same quarter previous year . Page 40
  • 41. Results – 2010 and 2011 . Page 41
  • 42. The stirring conclusion… • So what did you learn today? • One more time…integrated communication works! • Where is your organization in the multi channel journey? • How do you get buy in at the senior level and then if you make an integrated plan – stick with it! . Page 42
  • 43. Remember to fill out the online survey to win FREE consulting session! http://www.surveymonkey.com/s/MK85BCT . Page 43

Editor's Notes

  1. Win a multi-channel consulting session
  2. A
  3. A
  4. A
  5. MWe are going to ask the group for participation here.Cost of donor acquisitionNeed to increase donor retention ratesConstituent expectations / Constituent serviceCompetition for donor dollarsNeed to reach new audiencesNeed to cultivate constituents with multiple relationships to our organization (e.g. volunteer + donor, donor + advocate, etc.)Other (if they can type something in…)
  6. MWe are going to ask the group for participation here.Cost of donor acquisitionNeed to increase donor retention ratesConstituent expectations / Constituent serviceCompetition for donor dollarsNeed to reach new audiencesNeed to cultivate constituents with multiple relationships to our organization (e.g. volunteer + donor, donor + advocate, etc.)Other (if they can type something in…)
  7. Organizations can maximize the value of donor relationships with the use of multi-channel strategies.
  8. ***This isn't a published piece, so we can't use the citation - but we can say that this is hot off the presses from a research piece we are about to publish and talk about who we surveyed in the notes***- An integrated approach to marketing & communications makes sense. Nonprofit leaders agree that integrated marketing is a logical approach, with myriad benefits.- This logic is not new. What is new and driving urgency is that audiences themselves are becoming increasingly multi-channel and it’s becoming harder and more expensive to raise every dollar.
  9. Categories from Convio/Edge Research Multi-Channel/Integrated Study, Spring 2011
  10. - Find the bright spots- Script the critical moves- Point to the destination
  11. - Find the feeling- Shrink the Change;- Grow your people
  12. - Tweak the environment- Build habits- Rally the herd
  13. Convio/Edge ResearchWhile the concept is logical, moving toward an integrated approach is ANYTHING but easy!
  14. First time for a dedicated landing page for our EOY campaign
  15. Who has GoogleAdwords? Who has Google Grant?1) Paid search: first time using pad search on campaign - $1200 spend / $59K in revenue2) Display network: $300 spend / $0K in revenue (but 351,000 impressions)3) Google grant: shifted most important keywords to paid account - competition4) Email campaign – 4 waves – audience of 97,000 – last email on Dec 30th (who sends email on last days of Dec? – Do it!)- Open rates of 30% / 27% / 19% / 16% (however CTR’s below 1%) trackable to $45K in revenue5) Note also significant media presence (ads / PSAs) but did not reference campaign
  16. Who gave? Most significantly: DM recipients ($95K) first time online ($188K ) likely includes some DM and paid search directed Even received gifts from emailsupression groups- communication restrictions ($75K)- even a few donations from supressed as deceased
  17. Overall: contributed to $312K in Dec vs. $214K in Dec. 2011Yes, paid search critical – esp. at this time of year. And for us helps to address brand confusion. Integration / familiarity across channels – DM in particular4 emails each contributing to incremental opens and clicksDedicated landing page played a key role – engagement, reinforcement, integrated to campaign promotion (relevance between ad copy / page copy)Do better?Strong home presence of campaign on home page of websiteFurther refinement of paid search strategies
  18. Win a multi-channel consulting session