The Science & Art of Event Fundraising

Dianne Sheridan

Artez Interactive

Jeff Shuck

Event 360

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© 2009 Event 360 |

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ABOUT EVENT 360

We create experiences that inspire

emotion, giving, loyalty, and change.

We offer three core scalable services:

• Strategic and fundraising consulting

• Event development and production

• Information technology

We have helped our clients raise

nearly $500 million to date.

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AGENDA

• The importance of focus

• The science

The link between events and mission

Participants, donors, and gifts

The event lifecycle

Several examples

• The art

Articulating the mission

Crafting the ask

The secret is change

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THE IMPORTANCE OF FOCUS

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YOUR EVENT CHALLENGE

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YOUR FUNDRAISING CHALLENGE

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YOUR MISSION CHALLENGE

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THE EVENT IS

A MEANS TO AN END

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Mission

Revenue

Gifts

Donors

Participants

Event

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THE SCIENCE

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What benchmarks are important to you, and why?

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Mission

Revenue

Gifts

Donors

Participants

Event

EVENT

• Facilitates mission by providing revenue through

fundraising participants

• More events create more mission impact

because participants increase with number of

events

• Consider multiple events or multiple dates,

or both

• Event quality matters! It speaks to the care you

put into your brand and your mission

Key metrics:

• Number of events

• Participant satisfaction

• Repeat attendance

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Mission

Revenue

Gifts

Donors

Participants

Event

PARTICIPANTS

• In general, more participants correlate with higher

revenue

• However, a myopic focus on attendance leads to

many long-term problems

• Focus on recruiting participants who will fundraise

• What to watch for:

Time as a registrant correlates positively

with number of donors

Team membership correlates positively with

retention and fundraising

Key metrics:

• Average and median registration time measured

in days prior to event

• Team participation

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WHY PEOPLE PARTICIPATE

• Affinity to activity

I like to run.

• Affinity to third party group

I want to support my company’s initiative to take an active role in

the event.

• Affinity to participants

I like to spend time with my neighbors.

• Affinity to cause

I want my children to live in a world without breast cancer.

• Affinity to organization

I believe strongly in Susan G. Komen for the Cure.

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REGISTRATION FEE

• The registration fee is a barrier to entry

• Con: Acts as a “price” that drives down attendance

• Pro: Helps you segment out people who have little

inclination to fundraise

• The biggest problem: Participants are allowed to

view the fee as an ending point rather than a

starting point

• Engage participants immediately upon

registration:

• Goal

• Self-donation

• Tools

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Mission

Revenue

Gifts

Donors

Participants

Event

DONORS

• Donors are the key indicator of fundraising

participants

• You can significantly influence the number of donors

• What to watch for:

• Goal activity signals fundraising awareness

• Email activity signals fundraising activity and is

strongly correlated to funds raised

Key metrics:

• Number of donors

• Average and median donors per participant

• Number of participants with zero donors

• Number of self-donations

• Number of participants with goal

• Average and median number of emails sent

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THE IMPORTANCE OF A FEW

0%

5%

10%

15%

20%

25%

30%

35%

40%

25th 50th 75th 90th 95th 99th Top 1%

Registrations

Fundraising

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Mission

Revenue

Gifts

Donors

Participants

Event

• The single best predictor of overall revenue

• Number of gifts is mainly influenced through

effective participant communication

• Average gift amount can be influenced

through donors directly

Ease of use

Suggested levels

Timely acknowledgment

Key metrics:

• Number of gifts

• Average and median gift amount

GIFTS

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Mission

Revenue

Gifts

Donors

Participants

Event

• The overall summary of performance

• Most organizations focus too heavily on costs

• To increase performance more than historical trends,

you must make operational and tactical changes

• Be aware of setting a revenue target based on your

budget need

• Watch the $0 balance percentages: They show how well

you are developing a fundraising culture

Key metrics:

• Overall revenue and fundraising revenue

(gross and net)

• Compounded annual growth rate (benchmarked)

• Fundraising revenue per participant

• Overall revenue per participant is misleading and

basically useless

REVENUE

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THE EVENT LIFECYCLE

0

5000

10000

15000

20000

25000

30000

35000

40000

$0

$200,000

$400,000

$600,000

$800,000

$1,000,000

$1,200,000

$1,400,000

$1,600,000

$1,800,000

1989 1991 1993 1995 1997 1999 2001 2003 2005 2007 2009

Your tactics should change based on your place in the lifecycle.

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Participants

Fundraising

SOME BENCHMARKS

Driver Benchmark

Number of Participants 2,500

Fundraising Per

Participant

2008 average was $859; median $110

Fundraising Growth 2008 average was 280%, median 15%

Attendance Growth 2008 average was 45%, median 11%

Registration Fees 75% of events have a registration fee;

average fee is $27

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EXAMPLE: DRIVING ATTENDANCE

Number of Participants 1,100

Total Fundraising $165,000

Percent Participants on Team 60%

Percent Participants with Goal 40%

Percent Participants at $0 65%

• Small event with good fundraising

Growth in attendance will drag fundraising performance but is probably

worth it

• Action steps:

Focus on participant acquisition

Drive team participation

Consider registration fee incentives

Continue to bolster fundraising culture© 2009 Event 360 | 24

EXAMPLE: ATTENDANCE VERSUS FUNDRAISING

Number of Participants 21,059

Total Fundraising $1,105,000

Percent Participants on Team 80%

Percent Participants with Goal 61%

Percent Participants at $0 85%

• Question the ROI of any attendance-based activities

The event already has healthy attendance

A fundraising culture is lacking

• Action steps:

Drive team fundraising through team captains

Segment and focus on getting participants with goals off the dime

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THE ART

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Mission

Revenue

Gifts

Donors

Participants

Event

MISSION MATTERS

• Ultimately, the event is a mission vehicle –

so, the mission must resonate throughout

the event

• The more you rely on the event and the

less you rely on mission, the harder you will

have to work to establish a fundraising

culture

• Do not take for granted that people agree

that your mission is important, let alone

even understand what it is!

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THE CHALLENGE OF MATURITY

• Internal

Get comfortable from our success

Struggle to maintain the same level of passion

Make assumptions

Feel certain jobs are „done‟

• External

Changes cause brand confusion

Lose differentiation amongst competitive clutter

Lose edge - known for marketing, not for effectiveness

Big, but better?

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How would you ask for support in one sentence?

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THE POWER OF CASE

• A clear, compelling statement describing

what you do and why it is important

Problem: “Over one million women are

diagnosed and 465,000 women die

each year of breast cancer worldwide.”

Work: “We‟re working together to save

lives, empower people, ensure quality

care for all and energize science to

find the cures.”

Vision: “An end to breast cancer

forever.”

• The case is NOT the description of

everything you do or aspire to do. It is a

tool to ask for support.

Our vision

The problem

Our work

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YOU MUST ASK

• In event fundraising, there are two „asks‟ – we ask people to

participate and they ask people to give

• The number one reason people do not give is because they

are not asked

• The “Six Rights” of the Ask:

Right person asking the right prospect for the right

amount at the right time for the right reason in the right

way.

• Make it easy: Templates, emails, reminders, address books

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YOU MUST THANK

• Relationship management is

key

• People give for 3 basic reasons:

To feel good

To belong

To be acknowledged

• What is the participant/donor

perception based on their

experience?

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THE POWER OF EXAMPLE

• While the power of event

fundraising comes from the

bottom, the leadership must

come from the top

• Is the board all participating?

• Are they fundraising?

• Does the board have a

fundraising goal?

• Does the staff?

• What culture have they

created?

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THE SECRET IS CHANGE

• Ultimately, different outcomes come from a change in the way we act

• Rome was not built in a day

The next two sessions will cover more specifics.

• What can I do immediately?

See what percentage of your participants raise nothing.

Review your internal conversations and event messaging asking,

“Do we focus on fundraising?”

Think through your event from a participant perspective – how

are you removing obstacles and excuses for the participants not

to fundraise?

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QUESTIONS

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More webinars for you

© 2009 Event 360 |

The Artez Mobile CommunicatorTuesday, March 23rd at 11:30 a.m. EST (North America)

Give your Golf Tournament Fundraiser a MakeoverThursday, March 25th at 2 p.m. EST (North America)

Expert Guests:

Linda Yielding, Manager – Special Events, Reach for the Rainbow

Kelly Hagerman, Program Manager – Events (GTA), Kids Help Phone

Register at www.artez.com

Calendar Notes

© 2009 Event 360 |

• March 30th – ArtezInterAction USA, Washington, D.C.

Hear from top fundraising strategists & digital experts including :

Dan Pallotta, Ted Hart and Dharmesh ShahMore info @ www.artez.com

• April NTEN in Atlanta & AFP in BaltimorePlease come by & say “hi” to us!

Thank you

© 2009 Event 360 |

www.event360.com

Thank you

© 2009 Event 360 |

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