Advancement Best Practices: Advanced Cases Discussion

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Advancement Best Practices: Advanced Cases Discussion

Rod Miller & Barbara Berglund

February 8, 2012


Advising nonprofits in: •  Strategy •  Planning •  Organizational Development

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(617) 969-1881 [email protected]

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Today’s Speakers

Rod Miller Founder,

Executive Institutional Advancement Exchange

Hosting: Sam Frank, Synthesis Partnership

Assisting with chat questions: April Hunt, Nonprofit Webinars

Barbara Berglund President,

Barbara Berglund Communications, Inc,

Advancement Best Practices:Advanced Cases Discussion

Rod Miller, CEO

Executive Institutional Advancement Exchange

www.ExecIAE.com

http://www.execiae.com/


Rod Miller founded Executive Institutional Advancement Exchange to help advance education, healthcare and research institutions in North America and globally. He clarifies why, when and how to develop and execute best practices for institutional advancement. He also provides a mix of consulting and training (such as developing a strategy and helping leaders and staff understand how to execute it).

Barbara Berglund, President of Barbara Berglund Communications, Inc, focuses on development assessments and databased analysis to help non-profits develop strategic annual giving and integrated marketing. Her implementations of resulting direct response campaigns have significantly increased dollars and won fifty awards of excellence for wide-ranging clients, including those in education, healthcare, and the arts.

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Advancement Best Practices on LinkedIn

Why, when and how to plan and execute best practices for institutional advancement - share insights, ideas and creative ways to transform

advancement efforts.

For board trustees, CEOs and leaders with vision and commitment to best practices for growing revenue, philanthropy and marketing impact.

http://www.linkedin.com/groups?gid=3874810

3© Executive Institutional Advancement Exchange LLC 2012

www.ExecIAE.com

http://www.linkedin.com/groups?gid=3874810


Improve Advancement Efforts?

• 42% Build philanthropic culture

• 20% Link metrics to ROI

• 17% Engage trustees/CEO

• 16% Identify new potential donors

• 5% Not one of above

81 survey responses

Results change culture, and slowly.

© Executive Institutional Advancement Exchange LLC 2012www.ExecIAE.com

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Good News in Economic Meltdown

Some Institutions with Start-up to “Emergent” FR Reported

• Affirmed 5 x $500,000/year gift pledges.

• Donors initiated calls to renew or upgrade giving.

• $3 million gift, plus matching funds.

• Alumni giving up.

• Annual fund up.

• Three other institutions increased philanthropy.


www.ExecIAE.com


Cases for Analysis > Improve

Explore how to

1. Evaluate institutional readiness.

2. Identify who is pre-disposed to give.

3. Elevate annual giving to new levels.

4. Ask effectively.


www.ExecIAE.com


What Are Best Practices?

A best practice is a method, process, activity, incentive, or

reward that is believed to be more effective at delivering a

particular outcome than any other technique, method,

process, etc. when applied to a particular condition or

circumstance…

... en.wikipedia.org/wiki/Best practices


www.ExecIAE.com


“Best” = Maximize Potential

Conventional

or

Exceptional


www.ExecIAE.com


CASE 1: Institutional Readiness

CASA – Start-up FR(College of Arts & Sciences Advancement)

• Name recognition locally.

• Reputation for program delivery.

• Events foster community interaction.

• Trustees bring community leaders to visit.

• Trustees engaged in meetings/events.

• Development not appropriately led.

• FR targeted on % year-over-year growth.

• No list of potential larger donors.

• Gifts < x4 of Development budget.


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…1: Readiness Quiz

1. Why does the institution exist?

2. What major new initiatives for a better world are being pursued?

3. Can you list the well-networked board trustees?

4. Is the institutional leader truly engaged in “walking the talk” to lead fundraising?

5. What quantity and quality of conversations with stakeholders?

6. Who makes larger investments/donations? Why?

7. What's been raised previously versus targets?

8. What specifically do the CEO and (which) board trustees do in fundraising?

9. What’s the experience and capacity of potential board trustees and other donors?


www.ExecIAE.com


Case 2: Compile the “A” List

1. High net worth, philanthropic individuals who care about

your mission (and are well-networked)

2. Community leaders who will help you meet with “1”

3. Laser-focused prospect research that identifies “1”


www.ExecIAE.com


…2: Pre-disposed to Major Gift?

Pietro

• Chair/CEO successful financial group

• Responsible for offices in Zurich, Munich, Melbourne, Beijing

• Resident near Texas-based NPO

• Holds cum laude degrees from Harvard and Georgetown Universities

• Chair of Council for International Relations (think-tank based in DC)

• Chairs NPOs Investment Committee

• Lifetime giving to NPO is $26,000

• Age: 47 years

• Advocates NPO mission in local and national communities


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…2: Pre-disposed to Major Gift?

Georgia

• Retired CEO (5 years) from large, profitable international corporation

• Former NPO board trustee (2 terms)

• Owns organic citrus farm in Florida

• Homes in Orlando, London, New York

• Occasionally asks NPO leader for specialist advice on organic farming

• No visits with Texas-based NPO in last 15+ years


• Age: 77 years

• History of modest philanthropy to a few other NPOs

Pietro

• Chair/CEO successful financial group

• Responsible for offices in Zurich, Munich, Melbourne, Beijing

• Resident near Texas-based NPO

• Holds cum laude degrees from Harvard and Georgetown Universities

• Chair of Council for International Relations (think-tank based in DC)

• Chairs NPOs Investment Committee


• Age: 47 years

• Advocates NPO mission in local and national communities


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…2: Identify Pre-disposition via

Key Indicators in Attitude to

• Age

• Substantial Disposable Assets

• NPO Leader (&/or NPO Output)


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Case 3: Elevate Annual Giving

Know Your Individual Constituents — In Detail

• Affiliation: Alumnus/a, Parent, “Grateful Patient,”

Community, Volunteer, Staff.

• 5-year Giving History: Total Giving, Number of Gifts,

Largest Gift, Most Recent Gift, Designation of Gifts.

• Source of Gift: Mail, Online, Personal Solicitation.

• Outsource Databased Analysis, if Necessary!

15© Barbara Berglund Communications, Inc 2012

…3: Segment and Target

By Everything You Know

• Speak with different messages to alums vs. parents, patients vs. staff, volunteers vs. cold prospects.

• As determined by data, thank for last year’s gift — or regret that “we missed you last year” with LYBUNTS and SYBUNTS.

• Calculate the individual’s upgrade “ask” amount based on prior giving history, with drive toward gift clubs and the major gift pipeline.

• Outsource programming and production for cost-effectiveness.


…3: Make The Case —

“Brand” Philanthropy

• Show the NEED — with compelling photos and testimonials from beneficiaries.

• Show what gifts can accomplish at levels that match the

ask amount

$90 for 6 infant feeding tubes

$250 to run the soup kitchen for 3 days

$500 for a semester’s textbooks for a student

on financial aid.

• Integrate messaging in print and online.


…3: First-year “Best Practices”

Case History Results

• University increased Annual Fund by 20%, including 100 new $1,000 donors acquired through direct mail

• Independent school increased Annual Giving by $450,000 —with incremental expense of just $50,000

• Children’s Hospital more than doubled its net income from $53K to $140K — while cutting costs by half

• No guarantees … but you will only achieve these kinds

of results with “best practices”!


Case 4: Ask Effectively

• Introduction.

• Listen to questions/comments.

• Check-in on what’s understood.

• Elaborate for understanding.

• Turn-taking “two ears/one mouth.”

• Where would you like to go from here?


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…4: Flexibility

• Valued capabilities of PR graduates.

• Help shape 1-page outline.

• Aim, benefits, track-record,

description and cost.

• Establish scholarship fund.


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…4: Listening

• First meeting, to detect interest.

• Asked what CEO really wants.

• Good rapport…

• Needs a building for research.

• Control X medical condition.

• 20 minute visit > $10 million.


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Conclusion

Explored how to

1. Evaluate – Readiness Quiz.

2. Identify Who – Age, Assets and Value.

3. Elevate Annual Giving – Databased Analysis/Action.

4. Ask – Listen and Flex.


www.ExecIAE.com


Suggested Resources

Rod Miller, “Beyond Benchmarking Institutional Advancement” in Excellence in Communicating Organizational Strategy, Albany, NY: State University of New York Press, 2001 (sample@ GOOGLE)

……………... Best Practices for Fundraising, The CEO Hour, WSRadio.com, 3 interview segments http://tunein.com/program/?SegmentId=35465519&ProgramId=268692

……………… Advancement Best Practices that Workhttp://www.slideshare.net/NonprofitWebinars/advancement-best-practices

……………... Major Gift Strategies that Workhttp://www.slideshare.net/NonprofitWebinars/major-gift-strategies-that-work-video

……………... Best Practices to Advance Planned Givinghttp://www.slideshare.net/NonprofitWebinars/best-practices-to-advance-planned-giving

……………... Why When and How the Big Gift Campaigns Work http://www.slideshare.net/NonprofitWebinars/why-when-and-how-the-big-gift-campaigns-work-7285907

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www.ExecIAE.com

http://tunein.com/program/?SegmentId=35465519&ProgramId=268692

http://www.slideshare.net/NonprofitWebinars/advancement-best-practices





http://www.slideshare.net/NonprofitWebinars/major-gift-strategies-that-work-video











http://www.slideshare.net/NonprofitWebinars/best-practices-to-advance-planned-giving











http://www.slideshare.net/NonprofitWebinars/why-when-and-how-the-big-gift-campaigns-work-7285907






















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