InnovationWhat is it, do we need it, or just get the old shit

to work better?

Daryl Upsall FInstFDaryl Upsall & Associates

Yvette PetersenOxfam

Kerren MorrisAustralian Red Cross

Marcus BleaseCerebral Palsy Alliance

Marcus Blease

CEREBRAL PALSY ALLIANCE

Innovation - what is it, do we need it,

or just get the old stuff to work better?

Innovation Management Flow Chart

Ide

sas

Ass

ess

Regular

Brainstorms Innovation

Hub

Exec

Defined

Problems

Crowd

Sourcing

External Support

Creative Agency

Challenges

Expert Task Force

CPA Brains trust Cross functional

FR team

If within

team

control,

limited

investment,

current

work JFDI

No

Discover

more.

Build On

idea

Ask others

Expert Task Force

Ideas Vault

Case for Investment of Time

+ Money + Talent

Me

diu

m

Fundraising

team Exec

Board Expert Task Force

Creative Agency

Challenges

Do

or

De

ve

lop

C

om

mit

Yvette Petersen

OXFAM

Content Marketing

• "The idea central to content marketing is that a brand must give something valuable to get something valuable in return. Instead of the commercial, be the show. Instead of the banner ad, be the feature story.“

James O'Brian Contently

Results• On average, 5% of website visitors are turning into leads

• To convert these leads into supporters, we have found thatthe most successful approach has been conversion through a two step process: engaging people digitally and then converting them through telemarketing.

• We are now averaging 2,000 leads a week (cost per = €2), are able to contact 65% via the phone, converting 6% to regular givers.

Kerren MorrisIncome Growth & Innovations ManagerAustralian Red Cross

What is innovation

Innovate here

Revenue

Time

1 2 3 4 5

Doing nothing

Ambition

Just get the old stuff to work

better

Exciting

The Innovation Excitement Scale

B

O

S

Blue Skies

Strategic

Optimisation

New Tied Funding Concept“Next Ice Bucket Challenge”CEO thought it was a good ideaLet’s copy what CPA did

4 weekly debits:Increasing revenue from existing products/channelsNew channel testingNew audiencesOnline Peer to peerBuilding online portfolio

Process optimisation - automationRefine targeting and donor journeyImproving online user experienceIntegration of fundraising programs

The Innovation ‘likelihood of good ROI’ scale

O

S

BBlue Skies

Strategic

Optimisation

Exciting90% of startups fail*

* Forbes, January 2016

Untested but sound rationale based on donor insights, strategic gap analysis. Strong evidence base

Well travelled road / low hanging fruitImproving the approachWork smarter

Chance of good ROI

80%

50%

10%

Just get the old stuff to work

better

Not Planning for Innovation

KPI’S

BUDGET

NUMBERS

NUMBERS

KPI’S

Planning for Innovation

AMBITION

SWOT

CHALLENGES & OPPORTUNITIES

STRATEGIC PRIORITY AREAS (5?)

CONTINUE OPTIMISE NEW

NUMBERS

SITUATION ANALYSIS

BUDGET

insightsperformance

What is good innovation1. You don’t fear failure

2. Is aligned with strategic plan

3. Is built on donor or prospect insights – what need are we fulfilling?

4. Test a range of concepts that address donor insight – concept level

5. Your support structures are all in place

6. Build minimum viable product to pilot

7. Evaluate, modify, retest

8. Launch

How to not Fear Failure1. You’ve managed expectations (agree this may fail)

2. Your concept is strategically aligned

3. Key dependency areas are supportive

4. You’ve done the numbers

5. You’ve got the evidence (insights)

6. You’ve done the concept testing

7. You’ve got a plan for success and a plan for failure (research and analysis to understand why, try again)

Daryl Upsall FInstF

“There are two ‘i’s’ in Fundraising they should stand for inspiration and innovation, not imitation and irritation.”

Ken Burnett FInstF, Fundraising guru

Innovation in fundraising....let’s start defining what we mean by “innovation”

• Testing new tools in your market or organisation

• Combining existing tools in a new way

• Modifying existing tools to work better

• Trying something completely new

• Expanding fundraising into new countries

Innovation in integrating ALL fundraising tools

Direct mail + telephone

Face to face + telephone + email + SMS

Web banner + telephone

SMS + telephone

Press adverts + SMS

DRTV + telephone

Telephone + direct mail

..etc.

Social media + action + telephone

Facebook give

Community fundraising to donor

Why innovate?

• First mover advantages still there• Build better donor relationship

management programs – build lifetime value

• Use media more pro-actively• Look at making the your NPO

“product” a “stand out” offer• Work with corporates that seek

innovation

Why innovate?• What happened to?

• Dodo

• PanAm

• Psion

• Who is the next BlackBerry or Nokia?

Why innovate?

…or

YOUR ORGANISATION???

The

unreformed

Australian

NPO

1980-2016

“If you expect to use the same fundraising techniques again and again and expect to get better results – that are going to raise enough money to meet the increasing needs of your beneficiaries , then you are kidding yourself.”

“If you don’t – prepare yourself for a Kodak moment.”Lucy Gower http://www.lucidity.org.uk/ @luciditysays @lucyinnovation

Kodak filed for bankruptcy in January 2012 – despite INVENTING digital photography in the 1970s DID NOT INNOVATE to get digital photography to market – PLUS their business model was based on sales of camera, film and film processing. With the growth of digital ALL of their income streams became obsolete.)

Are you even investing in innovation? Really? Show me?

What are you investing of your annual fundraising budget or time?

5% 10% 20%

30

Testing within the old stuff....or are you just “trying” things?

How do you know what it is you are really testing? Can you measure it?

What can we learn from the corporate sector about innovation?

What can we learn from the corporate sector about innovation?

Innovation information

If you want to innovate make sure you are at least aware of the innovations of others

• Webs

• Blogs

• Fundraising congress

• Online fora

34

Work on your innovationDo some exercise

Other innovation fora…

38

“Create and maintain an environment where creativity and innovation can flourish, where inspiration and aspiration are normal and where excellence is recognised and rewarded.”

Ken Burnett FInstF, Fundraising guru

Culture of innovation

“It is not the strongest of the species that survives, nor the most intelligent, but the one most responsive to change.”

Charles Darwin

43

Gracias

merci

grazie mille