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Internet Strategies for Nonprofits
1. New Opportunities in Online Fundraising Presented by Professor Janine Jacques, Mount Ida College Featuring: Economic Impact, Academic Research Social Networking, Social Vibe, Widgets & Online Raffling
2. Agenda Economy and Giving Online Donor profile Academic research Social Networking Web Metrics Social Vibe Widgets Online Raffles
4. Charitable Giving USA Charitable giving reached $307 billion in 2008 A 5.7 percent drop from 2007 largest decline in recorded history The second recorded decline since 1956 1974 donations dropped by 5.4 percent. Two-thirds of public charities receiving donations saw decreases in 2008
6. Who’s doing well… Religious congregations and other religious organizations received an estimated $106.89 billion 35 percent of total giving An increase of 5.5 percent Religious gifts averaged $284 Median gift amount was $75.
7. Who is not… Social-services organizations raised 16 percent less than last year. A poll of 228 such organizations (Giving USA) found that 54 percent reported an increase in need for their services in 2008.
9. Online Giving $15.42 billion was given online to US charities in 2008. This is a 44% increase over 2007's online giving estimates Online giving accounted for just over 5% of total giving to charities in the US during 2008 A study of 1,350 nonprofits from Q1 2008 to Q1 2009 showed a 30% year-over-year growth in online revenue
10. AMEX Survey About two-thirds (65 percent) of Americans in this study gave to charity in the past year 6 percent gave online The median charitable $50 Average online amount ($165) Average offline amount ($174) Two-thirds of donations were $100 or less 24% give between Thanksgiving to New Year's
11. Internet Giving Benchmarking Analysis Online giving is still small when compared to direct mail giving. Online donors are younger and have higher incomes than traditional, primarily direct mail donors. Online giving has become an increasingly significant source of new donor acquisition. Online donors have slightly lower retention rates overall than traditional donors. Online giving is not a strong renewal channel; every year, large numbers of online donors migrate away from online giving and to other channels, primarily direct mail. Donors in the southwest and mountain regions of the United States are disproportionately more likely to give online.
13. Communicating with different age groups online Email remains the most popular online activity for older internet users (64+) Yet, email has loosing popularity with younger generations (18-32) Generation Y (internet users age 18-32) communicate through social network sites Teens use IM and Texting
14. Who is winning the fundraising race? What’s the secret sauce?
15. Obama - Online Fundraising Success Campaign raised $750 million dollars $500 million of which was raised online Most donations were under $100 The average donor gave more than twice 80 staffers focused on new media: Online content Outreach Social Networking Site 3 million Facebook followers 500,000 Twitter followers 13 million e-mail subscribers
16. Sam Graham-Felson,former director of blogging for Obama Have a blog (blogger.com) Hire a social media manager to craft content, email, and social networking strategies More email addresses = more $$$. Focus on capturing email addresses “Never point an email campaign message to your homepage—send users to an action page.” Personalized page asking for a donation, a comment to a blog, download a newsletter, or contact a Congressman Be personal, authentic, trustworthy. Remember Please and Thank you Review Data Analytics
17. Katrina and Tsunami Half of $487 Million donated to Katrina victims raised online $252.5 Million raised online after Tsunami disaster $5.83 billion, or 79% of disaster relief, contributed by individuals
18. Antecedents to Donations Trust Perceived benefits Attitude towards Nonprofit Attitudes towards Nonprofit Organizations Attitudes towards helping others
19. Trusted Web Interface ‘Trust Engineering’ - Websites Usefulness Ease of Use Benevolence Competence Integrity Risk Reputation
20. Perceived Benefits Direct benefits for themselves Recognition among their social groups Enhanced self esteem Relief from guilt Direct benefits for their family
21. New Opportunities - Viral Marketing Social Networking Sites - Facebook Widgets - FirstGiving Social Vibe YouTube Online Raffles - NetRaffle
22. Facebook Fan Page Causes - audience they reach through Causes is typically younger and are often first time donors
28. netRaffle.org ™ Celebrities for Charity launched netRaffle.org ™ in 2005 Internet based raffle system that utilizes patentedmethods and technology to enable celebrities and charitable organizations to legally conduct online raffles on a worldwide basis.
29. Benefits of Online Raffles Proven to generate more money than online Auctions. Exponential return on investment (Time, Energy, Money) Everyone contributes, not just winner of an auction Capture email addresses from all donors
30. 5 years of netRaffle.org ™ Online raffles have consistently resulted in an average sale per transaction of $25.00. Raffles can suit an size nonprofit and deliver Small, Medium or Large depending on the distribution, effort and prize.
34. What we learned Distribution Strategic Partnerships with Corporations Shorter Durations Social Networking Opportunities Remember the basics – Why people donate Emphasize charitable giving Emphasize personal benefits (the prize!)
35. Prize Produce a “Never in a Lifetime” Can you buy this prize anywhere for any price? If the answer is “no,” that’s a good start. The more unique the prize, the more likely you are to get superior results Professional Athletes or Hollywood Celebrity memorabilia or meet-n-greets
36. Where we are heading Extra Large Raffles: Lincoln Park United State Equestrian Team Packaged solutions Raffle-in-box Subscription based
37. An example of our vision… There are 61 million golf enthusiasts in the world At auction a round of golf with Tiger Woods raised $425,000 If just 0.5% of the 61 million golfers (305,000 golfers) purchase raffle tickets at the historical average of $25.00 per transaction, the amount raised would be $7,625,000. The difference $7,625,000 - $425,000 = $7,200,000
38. The Raffle Process Celebrities for Charity facilitates the raffle by: Using netRaffle.org ™ patented methods and technology to conduct the raffle pursuant to its Massachusetts Charitable Gaming License Managing all customer inquiries and technical support issues Managing all legal requirements; including completing and filing the necessary tax returns and related tax payments Facilitating the contact and delivery with the raffle winner
39. How to get started Think of your prize Think of your distribution Contact NetRaffle.org info@netraffle.org Celebrities For Charity Foundation, Inc.38 Main StreetAndover, MA 01810
