Managing Campaigns & Major Giving to Maximise Value to Your Organisation

Robert H. Lane, Ph.D.

Lane Services, LLC

Your Speaker

Dr. Robert Lane

Authorized iMIS Solution Providers

Authorized iMIS Fundraising Professionals

Doctoral dissertation on fundraising software

Extensive fundraising & direct mail experience – treasurer of an

association foundation using iMIS

2013 AiSP of the Year

Work with fundraising organizations from small association

foundations to large direct mail charities with millions of donors

What We’ll Cover

• The Basics of the Donor

Pyramid

– 95% give 5% of revenue

– 5% give 95% of revenue

• Strategic Development

Plan maximizes each

• Before the gift arrives

you have to ASK

Major / Planned Gifts

(Moves Management)

Monthly & Mid Major Giving

Annual Giving / Direct Marketing

Characteristics

• Direct Mkt / Annual

• Monthly

• Mid Major

• Major

• Planned

• Smaller £, Less

Often

• Smaller £ More

Often

• Larger £ 1 / Yr or

more

• Larger £ usually

once a year

• Once / twice a

lifetime

Annual Giving / Direct Marketing

Very Simple

• Getting the first gift – New ‘X’ (based on

mission) welcome

– Acquire email addresses

– Make it easy to give

• Get repeat gifts – How many appeals?

– Separate past donors from non-donors

– Mail & Personalize if possible

Very Complex

• Getting the first gift – Acquire email & mail

addresses

– Make it easy to give

– List Rentals / Purchases

• Get repeat gifts – Complex segmentations

– Multiple packages / creative

– Personalized

– Use mail plans

Complexity Develops Over Time

The Plan - RFM

The Plan

Analyze your segments

Small cells

Delete those that don’t yield $

Offer special premium or incentive to

certain segments

The Mechanics

Interpret the Results

Acting on the Results…

Welcome

Offers

Test 1x

a year

Best

Offers

Win Them

Back Stay top of

mind - inc.

frequency

Try to get

back - don’t

go crazy

Standard RFM Definition - # of Segments in

each ‘bucket’

Rankings

Lowest

Value

Highest

Value

RFM Definition

Contact Query

(Who we’ll rank)

Transaction Query

(Which Transactions)

Standard RFM Definition – Sample Results

Details behind RFM

• Contacts = Recency & Frequency

• Amounts = Monetary Values

• Used to determine rankings

Bottom Line

Every organization is different

Don’t expect ‘one size fits all’ solution

Review your possibilities & be open to business process improvement

Know your donors and prospects

Use RFM (or a variation thereof) to ask the right people for the right amount at the right time

• Founded in 1859 by St. John Bosco

• 2nd largest order in Roman Catholic

Church

• Providing customized services

– Food, Clothing, Healthcare, Job-Skills, Dignity

• Caring for poor children in 130 countries

– More than feeding poor and homeless children

– Focus on rebuilding lives, self-sufficiency

– Over 3 million children have received services

• 82% of all donations go directly to

programs

Salesian Missions

Sometimes RFM is not enough

Selection and keying instructions:

A. Input = iMIS House File – EOD 3/16/12

B. Output = select records as per the following criteria.

C. Explanation of selection/keying criteria:

1) 13-18 Months = date of most current (latest) donation is in this time frame.

2) $5-9.99 = Highest Donation Amount given in the 24 months prior to the latest donation date above is in this range.

a. If this Highest Donation Amount has one of the following purpose codes or source codes ignore this transaction and search for the

donor’s next highest donation, within the 24 month period, which is not one of these purpose codes or source codes:

A. Purpose Codes: AN UU

ST II

CH MS

RD UP

B. Source Code: EG

SD

b. Any donor whose transactions are all ignored should be given the “Misc.” Key Code as specified on the attached keying instructions.

c. Exceptions:

1. If a Donor’s record has 2 or more “BC” (Bounced Check) Purpose Transactions and does not have the equal quantity of “RC” (Returned

Check) Purpose Transactions, then ignore this record completely.

2. If a Donor’s record has one of the following Service Codes or Promotion Codes, then ignore this record completely:

a. Service Codes: 3S – No Appeals

41 – Mail Sweeps only 1X a year

8A - January sweeps only

8C - March sweeps only

8G - July sweeps only

8I - September sweeps/Christmas only

8J - Datebooks only

8K - November sweeps only

b. Promotion Codes: FR – Stop all mailings

FN – Stop all mail – Undeliverable address

DR – Deleted (Deceased)

FO – Stop all mailings except Magazine.

c. If the record is a Foreign address, then ignore this record completely.

Continued…

and additional criteria is required for the selection

Sometimes RFM is not enough

House House House

Catholic Non-Sect Spanish

Last 12 Months Donors Key Key Key

(April 2011 to Current Date)

a. $.01 – 4.99 GEC01 GEN01 GES01

b. $5 – 9.99 GEC02 GEN02 GES02

c. $10 – 19.99 GEC03 GEN03 GES03

d. $20 – 49.99 GEC04 GEN04 GES04

e. $20 – 49.99 – No Stamps GEC05 GEN05

f. $50 – 99.99 GEC06 GEN06 GES05

g. $50 – 99.99 – No Stamps GEC07 GEN07

h. $100 – 499 GEC08 GEN08 GES06

i. $100 – 499 – No Stamps GEC09 GEN09

j. $500 – 999 GEC10 GEN10 GES07

k. $500 – 999 – No Stamps GEC11 GEN11

l. $1,000 & Over GEC12 GEN12 GES08

m. $1,000 & Over – No Stamps GEC13 GEN13

n. “Misc.” GEC14 GEN14 GES09

13-18 Months Donors

(October 2010 to March 2011)

a. $5 – 9.99 GEC15 GEN15 GES10

b. $10 – 19.99 GEC16 GEN16 GES11

c. $20 – 49.99 GEC17 GEN17 GES12

d. $50 – 99.99 GEC18 GEN18 GES13

e. $100 – 499 GEC19 GEN19 GES14

f. $500 – 999 GEC20 GEN20 GES15

g. $1,000 & Over GEC21 GEN21 GES16

h. “Misc.” GEC22 GEN22 GES17

and additional segmentation is required for the selection

Spreadsheet Supports Custom SQL

1

Sched. 2

Fundraising as a Continuum

Jan

Fundraising as a Continuum

Fundraising as a Continuum

1

Sched. 2

Monthly / Mid-Major

The What?

• Monthly / Recurring Giving – £ 20 / month for life

– Assume 5 years of easy giving

– (20 x 12) x 5 = £ 1200 Lifetime Value

• Mid-Major – Each org is different

– Between £ 500 – 5000 / yr

Major / Planned Gifts

(Moves Management)

Monthly & Mid Major Giving

Annual Giving / Direct Marketing

Why We Cultivate Separately

How We Cultivate

• Monthly Donors – Online

– Mailings

– Example: New ‘Adopter Welcome’ letter

• Mid-Major Donors – Extra ‘touches’ cards, thank you calls etc.

– Increased personal touches

– Find the opportunities to increase giving and build a relationship with the donor

Monthly Giving

• ASI AutoPay

– Monthly

– Quarterly

– Annually

• Credit/Debit card (ACH coming)

• Uses a data vault

AutoPay

AutoPay

Major / Planned Giving

(Moves Management)

What’s a Move?

• Right time (to ask)

• Right person(s) (to ask)

• Right person (to make the ask)

• Right funding opportunity

• Right amount

Moves Management is the process that gets the answers and works towards the gift

Major / Planned Gifts

(Moves Management)

Monthly & Mid Major Giving

Annual Giving / Direct Marketing

Major / Planned Giving

(Moves Management)

Manage Moves

Cultivation Plan

Cultivation Activities

Questions?