Dr. Noble and Dr. Johnston

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1 How Do You Replace the Kettle with the Wireless Credit Card Machine? The True Case Study of The Salvation Army in California and Other New Technology Success Stories Dr. Noble and Dr. Johnston

2 Your therapy outline What makes your anxious about new fundraising technology? A 6 point plan to overcome your anxiety One big case study to make you feel more comfortable

3 Who are our patients today? What kind of organization are from? Do you have an online fundraising program? How many have received an solicitation?

4 Please sit down and tell me What makes your anxious about online fundraising?

5 Reliability There s a computer in the way of you and your donor! Leave money on the table Hidden costs Distance from donor Fraud Dependency Another ball in the air? Very public surprises!

6 Image Association

7 Top Resistance Factors Other 15% Still Evolving 24% Unreliable Too Difficult 13% 15% No Technical Personnel 78% Heavy Maintenance Too Expensive 59% 63% Unproven Value 43% No Strategy 70% Source: Marts & Lundy, Inc. March 2002 survey of CASE's "Constituents in an e-world" conference participants

8 Draft Do you suffer Internet panic attacks?

9 The panic test Please answer the following questions: 1. Does thinking about starting an Internet fundraising investment trigger a heart palpitation? Yes No 2. Do you constantly put off your new technology fundraising until next year? Yes No

10 The panic test 3. Do you have a seizure when you see how successful other nonprofits have been in on line fundraising? Yes No Do you begin trembling when you think about the amount of money you need to invest to begin online fundraising? 3. Yes No

11 The panic test Let s look at your score: Score 1Yes: You ll be OK with a little help Score 2-3 Yes: You may need more help after today Score 4 Yes. Take one pill immediately, sit back and we ll see how you feel at the end of this session!

12 The panic test At the end of the session, we ll take this test again and see if we ve reduced your level of panic with new technology and online fundraising

13 Think anything is possible

14 A Sri Lanka Red Cross example Flooding in the country 500 s Institutions, individuals, corporations $1,000 dollar/$500 dollar donations People called to make a gift At the same time, TV ads were reinforcing the need and many recipients would have looked at those ads (integration) How much did they make?

15 Anything is possible

16 Anything is possible You can donate 1.5 Egyptian pounds simply by calling from your mobile, or from any land line. 15,000-person direct list

17 Anything is possible They ve raised $100,000,000 USD from Egyptian citizens for the new hospital

18 Do you have high-tech anxiety?: a plan to overcome it Overcoming High-Tech Anxiety, Beverley Goldberg This is a six step plan, but I m only going to talk about the first two steps Reaching Acceptance Reaching Understanding Dr. Noble and Dr. Johnston want you to reach a point where you can say, Yes, the Internet and other new technologies are here to stay! But how do you reach acceptance? By looking outside yourself, your organization and see what s going on

19 An Astrological Mystery There are more people who use the internet under one astrologic symbol what is it? And what does it mean?

20 Demographics International NGO Online Donor Profile Age: % % % % % % 80 or older 2.2%

21 Demographics Online Donor Profile Estimated household income: Under $20, % $20-$29, % $30-$39, % $40-$49, % $50-$74, % $75-$99, % Over $100, %

22 Demographics Online Donor Profile Age: <35 65% 21% 30% % 43% 36% % 29% 26% 55+ 0% 7% 8%

23 A 2002 study of online giving for an a human rights organization 54.8% had NOT given to the charity previously (the global average is approximately 50%) New technology makes the pie bigger

24 A September 2003 survey of online donors from over 500 nonprofit organizations

25 Gender

26 Age of donor

27 How many charities have you given to online in the last year?

28 How long have you been donating online?

29 OK let s accept that Online giving is increasingly spread throughout different age sub sets It is growing as a source of income Many are affluent Donors are starting to give to more than one charity online but the loyalties are not as multiplied online as offline. They choose monthly giving more than single giving in comparison to other methods of giving They are more trusting of charities online than other institutions online e.g. giving , opening attachments, etc.

30 Understanding that integration is vital to success Integration Take out a piece of paper Write down the 10 to 15 most important activities for your year times you meet the public/ask for money/get media attention

31

32 Understanding that integration is vital to success Face to Face Synergy of methods has lowered the breakeven point Street only would have a breakeven of 9 months alone W ith the extra m oney from the event, the breakeven is 7 months Face to Face and online event together Net Revenue Face to Face Alone Net Revenue

33 Understand that the rules of fundraising still apply with new technologies the case of Daily Bread Food Bank in Toronto

34 Daily Bread Food Bank

35 Understand that the rules of fundraising still apply with new technologies $500,000 raised in 3 ½ years online Over 2,000 past online donors What is the renewal rate for these donors?

36 The rules of acquisition: the online case of Amnesty Spain Collected s through viral marketing campaign: approximately 300,000 Warm lists acquired virtually for free You have much more affiliated lists with alumni! They then wanted to test the efficacy of converting those warm s into REAL DONORS They sent out approximately 240,000 s in a test: half text only /half HTML

37

38 The results: 1) 1,022 monthly donors, giving an annualized income over 130,000 Euros 2) 688 single donors giving an average gift of 50 Euros 3) HTML had a 50% better response than the text only An ROI of 15:1

39 Well darn, that worked well! Let s do it again Collected 220,000 more warm s and sent out an HTML version of the same from two month prior. The results: 1) 1,478 monthly donors, giving an annualized income over 160,000 Euros 2) 977 single donors giving an average gift of 44 Euros An ROI of 25:1

40 Understand new technologies Wireless PDA Data Input CC/Interac Processing Signature collection response Trent University made $60,000 from one machine on one day Let s pass around a few machines

41 Understand new technologies

42 Understand you need imagination

43

44 Understand that ephilanthropy needs to be holistic

45 Understanding & Accepting... Online fundraising is a constantly evolving and growing discipline that we cannot afford to ignore That the Internet should be incorporated into viable/realistic/successful development plans just like Planned Giving, Major Gifts, and Direct Mail

46 People are using the Internet for more than??? National Online Charitable Giving Online Dollars Year Amount Donated Online Source: The Chronicle of Philanthropy - June 12, Marni D. Larose and Nicole Wallace

47 What worked for us so far? / Newsletters Online Giving Campaigns

48 Why Use Broadcast ? The Gilbert Manifesto: is more important than a web site combines personal communication, immediacy, rapid response, and scale. People treat messages as To Do items. Resources spent on strategies are more valuable than the same resources spent on the web.

49 The Salvation Army Golden State Division All recipients are donors, supporters, volunteers or subscribers from our site Received an opt-in invitation Always give opt-out option Respect your donor s privacy

50 Treat it like any other publication or appeal Develop a publication/appeal schedule Mail regularly... but not too often Be prepared to deal with responses Set realistic goals

51 The Salvation Army Golden State Division Send in HTML, Text and AOL formats. Always solicit a gift Give both online and offline contact information.

52 Be relevant, informative, engaging, and brief What s in it for the reader? Consider summary format vs. complete text. If I'd had more time I would have written a shorter letter. Mark Twain

53 The Salvation Army Golden State Division

54

55 Make it easy to... Give! Subscribe Unsubscribe Learn more Reach a human

56 Plan for integration with: Other publications and campaigns Your web site Special events Satellite or supporting websites Constituent database(s).

57 The Salvation Army Golden State Division

58 The Salvation Army Golden State Division

59 Set your message apart Personalization (Dear <name>, thank you for your gift of <gift>). Multiple formats (HTML, Text, AOL, MIME). Preview (and signoff?) before sending. Automated signups, unsubscribe, bounce handling. Tracking Results (opens, bounces, clicks, ). Automated follow-ups, triggers. List segmentation, database integration.

60 In a perfect world. Sender Subject line Frequency Message Segmentation Format

61 What worked for us so far? Online Giving Campaigns have proven to be a cost effective way to market the overall brand of The Salvation Army. Take familiar offline event and bring it online We saw a marked increase in traffic to the site, visit length, number of donors and overall online giving.

62 Why Create Online Giving Programs? Increase overall awareness Reach new donors Fuel & pre-stock distribution centers Increased confidence of online shopping crosses over to charities

63 The Salvation Army Angel Giving Tree Online

64 The Salvation Army Angel Giving Tree Online

65 The Salvation Army Angel Giving Tree Online

66 $400, $350, $300, $250, $200, $150, $100, $50, $0.00 Solving the Mystery How Much? 03-Dec 06-Dec 09-Dec 12-Dec 15-Dec 18-Dec 21-Dec 24-Dec 27-Dec 30-Dec DATE 03-Nov 06-Nov 09-N ov 12-Nov 15-Nov 18-N ov 21-Nov 24-Nov 27-N ov 30-Nov Date Total

67 Solving the Mystery- How Many? 15-Nov 22-Nov 29-Nov 06-Dec 13-Dec 20-Dec 27-Dec Date Nov 01-Nov Number of donations

68 Online Initiatives -The Salvation Army- $1,800, $1,600, $1,400, $1,569,430 $1,200, $1,000, $800, $1,101,444 ** $922,920 $600, $400, $200, $266,238 $0.00 Nov/Dec 2000 Nov/Dec 2001 Nov/Dec 2002 Nov/Dec 2003

69 Angel Giving Tree Growth

70 Goals of Low-cost prospecting Supply Toy & Joy shops with toys Website offered pre-selected list of toys Toys were shipped directly to distribution centers in their local communities for distribution Donors could also give cash to support local Christmas programs.

71 Achievements of Salvation Army distribution centers nationwide Incorporated rural units for the 1 st time 1 st national online initiative (gifts in-kind) Average gift: $77 for toy/$117 cash Increased overall holiday online giving by 59%

72 What calms my anxiety. The Internet is an increasingly viable addition to traditional communication, information and commerce mediums. Online initiatives cross IT, Marketing, and Development departments and have no geographic boundaries. The Internet is about reaching people and not geographic borders. It is a multidimensional tool that will continue to strengthen our brand, create awareness of our programs & services and overall giving. These initiatives are not singular functions of any of these departments, rather collaborations of our internal teams.

73 The panic test Please answer the following questions: 1. Does thinking about starting an Internet fundraising investment trigger a heart palpitation? Yes No 2. Do you constantly put off your new technology fundraising until next year? Yes No

74 The panic test 3. Do you have a seizure when you see how successful other nonprofits have been in on line fundraising? Yes No Do you begin trembling when you think about the amount of money you need to invest to begin online fundraising? 3. Yes No

75 The panic test Let s look at your score: Score 1Yes: You ll be OK with a little help Score 2-3 Yes: You may need more help after today Score 4 Yes. Take one pill immediately, sit back and we ll see how you feel at the end of this session!

76 Thank You for listening! Visit the password area Username = onlinemoney Password = lotsofit

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