How to Start Your Monthly Giving Program and Turn Your

Donors into Monthly Givers - A Step-By-Step Guide

Presenter: Erica Waasdorp

The slides and bonus materials can be found at this link:

http://bit.ly/1wOaGB1

** The webinar will start at 2 minutes after the hour **

GoToWebinar Housekeeping

The slides and bonus materials can be found at this link: http://bit.ly/1wOaGB1

Open and hide your control panel Join audio: • Choose “Mic & Speakers” to use

VoIP • Choose “Telephone” and dial using

the information provided

Submit questions and comments via the Questions panel

Your Participation

Go To Webinar House Keeping

How to Start Your Monthly Giving Program and Turn Your

Donors into Monthly Givers - A Step-By-Step Guide

Presenter: Erica Waasdorp

The slides and bonus materials can be found at this link:

http://bit.ly/1wOaGB1

:

What is the one thing you hope to learn during today's webinar?

Type your answer in the question box

Check In Question

The slides and bonus materials can be found at this link:

http://bit.ly/1wOaGB1

•Philanthropoholic

•President of A Direct Solution

•Raised millions of monthly giving dollars for her clients

•Reader’s Digest ‘graduate’

•30+ years of Direct Response experience

•20+ years of Monthly Giving experience

•Author of Monthly Giving. The Sleeping Giant, paperback and e-book

•Working on her next book due out next year

About Erica Waasdorp

The slides and bonus materials can be found at this link http://bit.ly/1wOaGB1

Poll

Do you have a monthly Giving Program?

How to Start Your Monthly Giving Program and Turn Your Donors into Monthly Givers

I. How to Sell Monthly Giving to Others

II. How to Organize your Monthly Giving Program

III. How to Market your Monthly Giving Program

IV. How to Present results

V. How to Project Growth for your Program

What We Will Cover Today

I. How to Sell Monthly Giving to Others

monthly donor

monthly donor

monthly donor

monthly donor

monthly donors

monthly donor

I. How to Sell Monthly Giving to Others A. Who are monthly donors?

21% of Baby Boomers (age 49 – 67 years old) gives Monthly!

monthly donors

I. How to Sell Monthly Giving to Others B. Show Current Trends

Source: Blackbaud Generational Giving Study

•Small

•Committed

•Automatic

•Ongoing

•Provide regular income

I. How to Sell Monthly Giving to Others C. What are monthly donors?

Source: Bloomerang, 2013 AFP Fundraising Effectiveness Study

I. How to Sell Monthly Giving to Others D. Why are monthly donors important?

Poll

What is the typical retention rate of monthly donors?

I. How to Sell Monthly Giving to Others

Retention Rates Rock!! Median Retention Rates in 2012 by Gift Type and Loyalty

Donors Giving Only Single Gifts Donors Giving Both Single and Recurring Gifts

2 Years Consecutive 51% 86%

3 & 4 Years Consecutive 65% 90%

5+ Years Consecutive 79% 95%

Source: donorCentrics™ Collaborative Benchmarking US Recurring (Sustainer) Giving

I. How to Sell Monthly Giving to Others D. Why are monthly donors important?

They’re truly Long-Term!

(Special Report: Trends in Recurring Giving, Sage Software)

I. How to Sell Monthly Giving to Others D. Why are monthly donors important?

They will give a lot more money!

Current Gifts Monthly Gifts (annual)

First year Cume

100 $35 $0 $3,500

100 $35 $120 $15,500

I. How to Sell Monthly Giving to Others D. Why are monthly donors important?

I. How to Sell Monthly Giving to Others D. Where do they belong?

• As soon as someone joins your organization!

• As soon as someone gives

• As soon as a lapsed donor is reactivated

• Any time of the year

• As often as you can

I. How to Sell Monthly Giving to Others E. When can you ask donors to join?

1. Commit and make someone accountable

2. Name your program

3. Set up payment types

4. Set up back-office process

5. Set ask amount

II. How to Organize Your Monthly Giving Program

1. Commit and make someone accountable

II. How to Organize Your Monthly Giving Program

One person must own the program!

YOU

Web site

Donors

Donor base

Donor services

Fundraising Accounting

Programs

Marketing

Online

II. How to Organize Your Monthly Giving Program 1.Commit and make someone accountable

2. Name your program

II. How to Organize Your Monthly Giving Program

Finding the best name:

•Brainstorm

•Use in sentence

•Test it

•Choose

•Move on

II. How to Organize Your Monthly Giving Program 2. Name your program

These Make Great Combos! Circle

Friends

Sustainers

Partners

Advocates

Guardians

Champions

II. How to Organize Your Monthly Giving Program 2. Name your program

3. Set up Payment Types

II. How to Organize Your Monthly Giving Program

Choose Payment Types

• Electronic Funds Transfer (EFT / ACH)

• Credit card/debit card

• Offer both!

II. How to Organize Your Monthly Giving Program 3. A. Define Possible Payment Types

•Can they handle recurring gifts?

• If Yes, what are their fees?

II. How to Organize Your Monthly Giving Program 3. B. Review your merchant account options

Add PayPal or other options

Greater Giving

Authorize.net

Virtual Merchant

II. How to Organize Your Monthly Giving Program 3. C. Add other options

II. How to Organize Your Monthly Giving Program 3. C. Add other options

Easy, minimum amount

II. How to Organize Your Monthly Giving Program 3. C. Add other options

June 24th, 2014

No minimum

Simple ask to recur

II. How to Organize Your Monthly Giving Program 3. C. Add other options

Add other options

II. How to Organize Your Monthly Giving Program 3. C. Add other options

Absolutely NO end date EVER!

II. How to Organize Your Monthly Giving Program 3. C. Add other options

• EFT: needs tech specialist in-house or

outsource

• Credit card/debit card: needs merchant for

web or outsource

• Ask your donor base partner!

Time is money

II. How to Organize Your Monthly Giving Program 3. D. Process in-house or Outsource

II. How to Organize Your Monthly Giving Program 3.E. Research Outsourcing Options Advantages:

• No technical knowledge needed in-house

• Vendor adjusts to PCI compliance requirements etc

• Can handle both EFT/ACH and Credit/debit cards

Disadvantages:

• Cost $0.35 to $0.50 per month per donor

• No immediate access to rejects/declines

http://bit.ly/1wOaGB1

• 1st is typical (& next business day)

• Based upon first charge date

• Make sure the payment is charged as soon as possible after joining

II. How to Organize Your Monthly Giving Program 3.F. Choose payment date

Donation amount options

Choice of gift date

II. How to Organize Your Monthly Giving Program 3.F. Choose payment date

Options:

1. Check for first payment (recommend)

2. Voided check

3. Online

Your donors must be ready and TRUST you

II. How to Organize Your Monthly Giving Program 3.G. How to accept EFT/ACH information

II. How to Organize Your Monthly Giving Program 3.G. How to accept EFT/ACH information

Payment options

II. How to Organize Your Monthly Giving Program 3.G. How to accept EFT/ACH information

4. Set up back-office process

II. How to Organize Your Monthly Giving Program

Appeal to generate Innkeepers

Innkeeper joins program

Information Complete

Thank you letter and key chain

Data-entry: Enter into

CHI DB

Data-entry:

Enter into

Pine Street DB

Store Innkeeper forms alpha by last

name

Monthly Donations updated in CHI and

Pine Street DB

Prepare Reports

II. How to Organize Your Monthly Giving Program 4.A. Map Out the Back-office Process

Have everything ready to go! • Thank you letter

• Thank you email

• Certificate

• Back-end premium

• Special recognition

• Tax letter

• Regular updates

• Promises

II. How to Organize Your Monthly Giving Program 4.B. Organize Recognition

June 24th, 2014

Share options

What donor can expect

II. How to Organize Your Monthly Giving Program 4.B. Organize Recognition

Thank you for joining Send with personal letter via snail mail

No need for monthly thank you’s

Send tax receipt in January

II. How to Organize Your Monthly Giving Program 4.B. Organize Recognition

Make it warm and fuzzy instead …

II. How to Organize Your Monthly Giving Program 4.B. Organize Recognition

Explains what you can expect

Thank you

Thank you

Special Phone and email

II. How to Organize Your Monthly Giving Program 4.B. Organize Recognition

Total amount given for the year

II. How to Organize Your Monthly Giving Program

4.B. Organize Recognition

• • Join first

• Ask staff and board to join

• Ask volunteers to join

• Make sure everybody knows about the program

II. How to Organize Your Monthly Giving Program 4.C. Involve everyone

Monthly Donors Source

# of monthly donors acquired

Average gift Average Yearly Gift

First year Cume

E-1403 50 $10 $120 $6,000

D-1410 120 $10 $120 $14,400

Totals 170 $10 $120 $20,400

II. How to Organize Your Monthly Giving Program 4.D. Develop Reports and Annualize

II. How to Organize Your Monthly Giving Program 4.E. How to prevent monthly donor drop outs outs

Question

Why do you think monthly donations stop?

II. How to Organize Your Monthly Giving Program

Check payments processed against expected

II. How to Organize Your Monthly Giving Program 4.E. Prevent monthly donor drop outs

Monthly Donors

# of monthly donors charged

Average gift Average Yearly Gift

First year Cume

MG1404 50 $10 $120 $6,000

MG1405 46 $10 $120 $5,520

Monthly code

• Letters asking them to call you or mail you new info

• Emails asking them to call you

• Call to ask them to call you

• Before card expires

• As soon as you find out

• Implement Account Updater/Account Recycling

II. How to Organize Your Monthly Giving Program 4.E. Prevent monthly donor drop outs

Implement Account Updater/Recycling Outdated cards

Declined cards

II. How to Organize Your Monthly Giving Program 4.E. Prevent monthly donor drop outs

Good word..

Clear reason

Image, clear link to renewal page

II. How to Organize Your Monthly Giving Program 4.E. Prevent monthly donor drop outs

These Bonus Materials Are Included with Your Webinar

http://bit.ly/1wOaGB1

•Account Updater/Recycling contacts •Resources •Sample letters

5. Set your ask amounts

II. How to Organize Your Monthly Giving Program

$5?

$10?

$16?

$29?

II. How to Organize Your Monthly Giving Program 5.A. Choose your initial ask level

Set up ask amount

Use Rule of Thirds

Use 1/3 for first Monthly

Ask

Take your Average One

time gift

• $35 becomes:

• $10, $15, $20, $35, Other

• $15 becomes:

• $5, $10, $15, $20, Other

For example

II. How to Organize Your Monthly Giving Program 5.A. Choose your initial ask level

Ask Low!

II. How to Organize Your Monthly Giving Program 5.A. Choose your initial ask level

Source: 2014 M+R Strategic Benchmarks

II. How to Organize Your Monthly Giving Program 5.A. Choose your initial ask level

Just $8 a month (that’s $0.25 a day), will help….

II. How to Organize Your Monthly Giving Program 5.B. Specific vs General

1. Grow online

2. Grow via direct mail

3. Grow via telemarketing

III. How to Market Your Monthly Giving Program

1. Grow online

III. How to Market Your Monthly Giving Program

Online donations are growing!

Source: 2014 M+R Strategic Benchmarks

III. How to Market Your Monthly Giving Program 1. A. Look at trends online

Add link from home page!

III. How to Market Your Monthly Giving Program 1.B. Make monthly giving easy to find

Link from donate button

Specific amounts

OCTOBER 9, 2014

III. How to Market Your Monthly Giving Program 1.C. Integrate in donation form

Put Monthly first

Local library

III. How to Market Your Monthly Giving Program 1.C. Integrate in donation form

Monthly is first

Benefits

Specific amounts

Video

III. How to Market Your Monthly Giving Program 1.D. Add benefits and ask amounts amounts

Landing Page

Incentive: Back end premium

III. How to Market Your Monthly Giving Program 1.E. Add incentive if needed

III. How to Market Your Monthly Giving Program 1.F. Start driving to the web

Click through to landing page

Name prominently

displayed

Back end premium: pin

Urgency

III. How to Market Your Monthly Giving Program 1.G. Promote via email

Clear goal of 600

Deadline = Urgency

# left to generate

Specific amounts

NO gift

III. How to Market Your Monthly Giving Program 1.H. Add Challenge and deadline

• Integrate with your direct mail data

• For thank you letter

• For email thank you

• For ongoing recognition

• For special action if dropped out

• For upgrades later

• For additional appeals

• For special invitations

III. How to Market Your Monthly Giving Program 1.I. Organize special segment in database

III. How to Market Your Monthly Giving Program 1.J Organize email thank yous

Demonstrate gift impact

Thank you

III. How to Market Your Monthly Giving Program 1.K. Organize thank you letter via mail

These Bonus Materials Are Included with Your Webinar

http://bit.ly/1wOaGB1

•Generating monthly gifts through email

2. Grow via direct mail

III. How to Market Your Monthly Giving Program

Poll

How often do you send an appeal

(with ask) to your donors?

III. How to Market Your Monthly Giving Program

“I am a widow on a fixed income but being a monthly sponsor

helps people that have less. You do good work for the less fortunate”.

– Jean, NJ

III. How to Market Your Monthly Giving Program 2.A. Use donor testimonials

III. How to Market Your Monthly Giving Program 2.B. Add monthly giving to your reply

III. How to Market Your Monthly Giving Program 2.C. Add monthly giving to your thank you

Strong teaser

Incentive works with mission

Clear examples of how gift helps

Offer EFT and CC options

III. How to Market Your Monthly Giving Program 2.D. Add frequently asked questions

FAQ’s help build trust

III. How to Market Your Monthly Giving Program 2.E. Add brochure

Gift or No gift for joining

Direct Mail still works! Target

Target • Recency

• Frequency

• Monetary Value

• Credit card donors

• Check donors

• Typically $5+, 2 gifts or more a year

III. How to Market Your Monthly Giving Program 2.F. Do special appeal for monthly donors

Target Small donors

III. How to Market Your Monthly Giving Program 2.F. Do special appeal for monthly donors

Multiple Donors 0-12 Mo.

1000.00+ 552

500.00-999.99 308

250.00-499.99 339

100.00-249.99 1,315

50.00-99.99 786

25.00-49.99 850

20.00-24.99 629

15.00-19.99 270

10.00-14.99 664

5.00-9.99 249

.01-4.99 92

Here are your future

monthly donors

III. How to Market Your Monthly Giving Program 2.F. Do special appeal for monthly donors

Monthly Option

III. How to Market Your Monthly Giving Program 2.F. Do special appeal for monthly donors

Back of reply

Front of Reply

Both options

Develop schedule

• Keep them in your annual fund appeals • Except if they indicate they don’t want to receive mail

• They’ll be your most loyal donors

• They want to hear from you!

• Segment them and recognize them as special

• Include in thank you calls!

• Personalize where you can

III. How to Market Your Monthly Giving Program 2.G. Keep communicating!

These Bonus Materials Are Included with Your Webinar

http://bit.ly/1wOaGB1

• Generating monthly gifts through the mail

3. Grow via telemarketing

III. How to Market Your Monthly Giving Program

Find out why your donors call you

III. How to Market Your Monthly Giving Program

Question

Why do your donors call you? For information

To complain

For tickets to an event

To donate

To praise

Other

III. How to Market Your Monthly Giving Program

Example Script

III. How to Market Your Monthly Giving Program 3.A. Offer monthly giving as solution

I understand Mr(s)________, I will take care of that for you. In fact

if you join our Monthly Giving Circle, you can still help promote our

mission and not have to worry about all the mail.

The Monthly Giving Circle consists of a special group of supporters,

who make a small but meaningful monthly gift to help spread our

message more effectively. Would you consider joining this

Monthly Giving Circle today?

Then: Ask donors to join the monthly donor program You’ll be glad you did!

III. How to Market Your Monthly Giving Program 3.B. Call donors to thank them

IV. How to Present Results

IV. How to Present Results Always annualize Monthly Donor Results

Monthly Donors Source

# of monthly donors acquired

Average gift Average Yearly Gift

First year Cume

E-1403 50 $10 $120 $6,000

D-1410 120 $10 $120 $14,400

Totals 170 $10 $120 $20,400

Use a planning tool

V. How to Project Growth for your Program

These Bonus Materials Are Included with Your Webinar

http://bit.ly/1wOaGB1

Download the Monthly Donor Calculator

© A Direct Solution

Monthly Donor Calculator

Target group New donors Existing donors, 2x time givers, $5+ Respondents to appeals, $5+ Email names Donors who call in to the organization

Campaign Welcome Package Special appeal Thank you letters all names, 4 times Inbound calls Grand total

People Reached 750 4,000 400 4,000 500

Estimated "Yes" 1.5% 2.0% 2.0% 0.5% 7.5%

New Sustainers Yearly 11 80 8 20 38 157

Average pledge per Sustainer $ 10.00 $ 10.00 $ 10.00 $ 12.00 $ 10.00

Average annual pledge $ 120.00 $ 120.00 $ 120.00 $ 144.00 $ 120.00

Cost per Sustainer $66.67 $50.00 $50.00 $0.00 $13.33 $36.04

Cost per piece $1.00 $1.00 $1.00 $0.00 $1.00

Total cost $750.00 $4,000.00 $400.00 $0.00 $500.00 $ 5,650.00

Yearly Income Pledged $1,350.00 $9,600.00 $960.00 $2,880.00 $4,500.00 $ 19,290.00

Net revenue generated after yr 1 $600.00 $5,600.00 $560.00 $2,880.00 $4,000.00 $ 13,640.00

V. How to Project Growth for your Program 1.A. Plug in your own numbers

© A Direct Solution

V. How to Project Growth for your Program 1.B. Project growth

1%

I. How to Sell Monthly Giving to Others

II. How to Organize your Monthly Giving Program

III. How to Market your Monthly Giving Program

IV. How to Present results

V. How to Project Growth for your Program

What We Covered Today

Question

What are your challenges? Time

Money

People

Technology

Other

How to Start Your Monthly Giving Program and Turn Your Donors into Monthly Givers

The beginning is perhaps

more difficult than anything else,

but keep heart,

it will turn out all right.”

–Vincent van Gogh

How to Start Your Monthly Giving Program and Turn Your Donors into Monthly Givers

It’s quick, easy and super helpful! Thank you for your feedback!

To do: Complete

survey

Please Take a Moment to Fill out the Anonymous Survey

Erica Waasdorp A Direct Solution PO Box 757 Marstons Mills, MA 02648 USA Tel: 508-776-1224 Fax: 270-633-1744 www.adirectsolution.com

erica@adirectsolution.com @ericawaasdorp

For follow up questions, contact Erica

Q&A The slides and bonus materials can be found at this link:

http://bit.ly/1wOaGB1

Questions-And-Answers