Cultivating donors. It's an art and a science. The best development officers (and some board members) are naturals at this; it's in their blood. And it's the heart of fundraising on all levels.
The science of cultivating donors is always something to work on.
Research shows, as Consultant Marc S. Saffren, CFRE, of m3 development (Manorville, NY) reports, that a strong follow-up to a gift results in increased giving. In the study, which targets 2,250 new direct mail donors, 220 received a thank-you phone call from a board member within 48 hours of their gift; the other donors received standard acknowledgments. Those who received a thank-you call gave 40% more in a second gift; and 70% of them were still giving two years later. More than 80% of the other donors had quit giving 2 years later.
We talked with Marc about how to use your GiftWorks database to ramp up your cultivation skills and point you to new targets.
Marc advises: "At the outset, especially in these challenging times, an organization needs a diversified development plan. This means that gifts are solicited using a variety of vehicles and strategies, from many audiences (individuals, corporations, foundations, government sources, event attendees, on-line giving campaigns) in a number of ways (direct mail, special events, personal ask,) and accepted in a number of forms (cash, gifts-in-kind, credit card, planned gifts, etc.), It takes all kinds of gifts and giving patterns to build a sustainable revenue stream."
Once a donor responds to one of your solicitations, the CULTIVATION process begins. You should have the stewardship and planned acknowledgment process in place. Think outside the box here! Don't limit yourself to the generic thank-you letter, the handwritten note from a Board member, or a Welcome New Member packet.
"Now," Marc continues, "comes the real work of cultivation and stewardship:"
Here's how it might work to go beyond the point of thank-you and lay the groundwork for additional and larger gifts.
The appropriate person in your organization makes a personal phone call to the donor. After warmly thanking the donor for the gift, the caller asks what motivated the donor to give, why he is interested in your organization, what other related areas might be of interest to him. (As a consultant, Marc and his team develop customized phone scripts for clients to help callers ask questions in a natural way.) Then the caller asks to update donor data and obtain the email address for the file. If the donor gave for a specific designated purpose, the caller should be prepared to talk about the program of their interest. In the course of the conversation, the caller might identify other donors or board members who have a connection to the new donor.
Record what you learn. Develop a system for callers to capture information they gathered and save it in GiftWorks. (You might designate custom field[s] for this information, or add this person to a group of people who share that interest.)
Now you have the makings of upcoming approaches:
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If the donor's interest is breast cancer, you might invite him/her to a related event or support group or to meet a researcher in the lab.
If the donor is concerned about water run-off in local streams or is involved with businesses who are, you could ask him to get involved in your related project.
If the donor is retired, financially connected, etc., you might involve him in your Planned Giving initiatives. (If the donor is a financial planner or investment adviser, you might want to invite him to a lunch where you orient his colleagues to annuities and other planned giving instruments.)
If the donor has daycare interests and has a wealthy parent or family member, you might invite them both to see the architectural drawings for your new nursery.
Of course, your cultivation plan must include steps to follow-up--and a system of reminders so the momentum gained is not lost. GiftWorks will be the tool that helps you pull it all together. You can now run reports from the queried information using SmartLists. Periodically you'll want to review the data you've gathered to watch for trends or indicators to reframe your appeals.
With a consistent and effective plan for stewardship and cultivation, you can expect to see increases in involvement and gifts. All proving that old adage: Fundraising is Friendraising.
Marc S. Saffren, CFRE, is the Managing Director of m3 Development. His organization offers tailored fundraising and philanthropy solutions that combine innovation with sound fundamentals. Learn more at www.m3Development.net
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