Making Advocacy Pay: Understanding the Link Between Activism & Giving
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Making Advocacy Pay Understanding the Link Between Activism and Giving Presented by: Vinay Bhagat, Convio Yvonne Garrett, OMP Randy Paynter, Care2.com Ryann Miller, Care2.com March 24, 2011 For Audio Call: 1-408-792-6300 Meeting Number: 668 671 770
description
Are you looking for a way to engage your donors without always asking for a donation? Do you need strategies and tactics for doing online acquisition? This session talks about the relationship between advocacy and fundraising, how organizations are using advocacy successfully for list growth and engagement, and shows you valuable case studies from successful organizations. We also discuss best practices in assessing ROI (return on investment) for online acquisition, so you can see how to make advocacy pay. "Making Advocacy Pay: Understanding the Link Between Activism and Giving" This thought-provoking session features these industry leaders: -Vinay Bhagat, Founder & Chief Strategy Officer, Convio -Yvonne Garrett, Partner, OMP -Randy Paynter, Founder & CEO, Care2 About the Presenters: Vinay Bhagat, Founder & Chief Strategy Officer, Convio: Vinay Bhagat is Founder and Chief Strategy Officer of Convio. Vinay founded Convio in April 1999 after volunteering at a public television pledge drive and seeing the opportunity to leverage Internet technology to drive better fundraising results. Today, as chief strategy officer, he oversees corporate strategy and is actively involved in research and client success strategies. A frequent speaker at conferences, Vinay has addressed events hosted by the Association of Fundraising Professionals, Direct Marketing Association Nonprofit Federation, Council for the Advancement and Support of Education, Independent Sector, Integrated Media Association, Politics Online, Public Broadcasting System and National Voluntary Healthcare Association. Vinay also is a widely published author, including a chapter in "People to People Fundraising: Social Networking and Web 2.0 for Charities" and articles that appear regularly in DM News, Journal of the Direct Marketing Association Nonprofit Federation and on OnPhilanthropy.com. Vinay holds degrees from Harvard Business School (MBA) where he graduated as a Baker Scholar, Stanford University (MS) and Cambridge University (MA) in England. He has volunteered for several Austin and international nonprofits. Yvonne Garrett, Partner, OMP: Yvonne Garrett
is a Partner at OMP, Inc., a full-service fundraising and communications agency that serves leading causes in the U.S.
Yvonne has been deeply involved in political and advocacy fundraising for almost 20 years. Working with candidates and groups such as the Natural Resources Defense Council and Oxfam America, she has helped helped her clients achieve dramatic fundraising success and list growth. Today, Yvonne specializes in helping organizations develop cross-channel programs that blend advocacy and fundraising. Prior to joining OMP in 2004, Yvonne was Vice President of the Share Group. Randy Paynter is the Founder and CEO of social action network Care2.com. With over 15 million members, Care2 is the largest online community of people making a difference for human rights, animals, the environment and o
Transcript of Making Advocacy Pay: Understanding the Link Between Activism & Giving
Making Advocacy Pay
Understanding the Link Between Activism and Giving
Presented by: Vinay Bhagat, Convio Yvonne Garrett, OMP
Randy Paynter, Care2.com Ryann Miller, Care2.com
March 24, 2011
For Audio Call: 1-408-792-6300 Meeting Number: 668 671 770
Using • Chat & Raise hand • If you are having internet audio problems, you
can dial-in using a landline: 1-408-792-6300, Meeting Number: 668 671 770 • If you lose your internet connection, reconnect
using the link emailed to you • WebEx Support: 1-866-229-3239
For Audio Call: 1-408-792-6300 Meeting Number: 668 671 770
• This webinar is being recorded. • The webinar recording will be available on
Frogloop blog at http://www.frogloop.com • You will receive a link to this presentation
following the webinar. • Tweeting the webinar? Use Twitter hashtag: #Care2
For Audio Call: 1-408-792-6300 Meeting Number: 668 671 770
Agenda
• What is online advocacy? • What does advocacy have to do with
fundraising? • How does it work? • Making the economic case.
What is online advocacy?
Advocacy – The active support of an idea or cause etc.; especially the act of pleading or arguing for something
Defini'on from: wordnetweb.princeton.edu/perl/webwn
What does advocacy have to do with fundraising?
Advocacy starts the conversation.
NRDC Activist Conversion
Finding New Supporters
• 73,000 new wolf activists through paid and organic sources
• $40,000 spent on paid sources
One Year Later…
• 31,000 took another action
• 700 converted to donors online
• 1,325 converted to donors via mail
• Break even – 15 months
Advocacy builds relationships.
Actions Increased Donor Value
Advocacy keeps donors engaged.
Analysis of Advocacy’s Impact on Fundraising
Activists: 2+ actions Sept – Nov = 4x more likely to give at year end
Emails Action TakersOnline
ConversionOffline
Conversion UnsubsMoved into 2+, Highly Responsive: 6,172 9.0% 1.0% 0.2% 1.9%Stayed in L: 88,293 0.7% 0.2% 0.1% 2.0%
Prior 2+ Action Takers: 66,239 12.2% 1.0% 0.3% 1.9%
Moved into L: 30,817 2.3% 0.4% 0.1% 3.7%
Donors: 2+ actions Sept – Nov = 26% more income at year end
Emails Action TakersOnline
ConversionOffline
Conversion UnsubsMoved into 2+, Highly Responsive: 6,172 9.0% 1.0% 0.2% 1.9%Stayed in L: 88,293 0.7% 0.2% 0.1% 2.0%
Prior 2+ Action Takers: 66,239 12.2% 1.0% 0.3% 1.9%
Moved into L: 30,817 2.3% 0.4% 0.1% 3.7%
How Does it Work?
Activist Relationship Management
Recruit Engage Convert
Deepen
Recruit • Be thoughtful about form of ask
– Pledge vs. contact your legislator – Constituent relevance
• Multiple venues in addition to your website – Paid online (e.g. Care2) – Social media – In the field
• Strong user experience
• Viral marketing including social media
Engage • Acknowledge returning Web visitors
• Send tailored updates/ stories
• Related appeals
• Multi-channel appeals - email, text, social
• Rewards/ incentives
Convert • Campaign specific donation forms
• Email welcome/ conversion series
• Follow up in timely fashion with mail, TM
• Apply filters to prioritize investment
• Select appeals based on advocacy actions
Website Activist to Donor Conversion
Food for Thought
• Major donors frequently active
• It’s increasingly critical to track messaging intensity/congruency across programs and channels
Making the Economic Case
Online Advocacy Increases Dona2ons
No Online Ac2on Took Ac2on Online
.07%
.47%
Source: : Charitable Memberships, Volunteering and Discounts: Evidence from a Large‐Scale Online Field Experiment. May 2009, Na2onal Bureau of Economic Research, A. Lange, A. Stocking. Sample size = > 700,000 subjects.
How do you measure economic value?
• Time to pay back investment • Cost per donor • Cost per dollar raised • Return on Investment
Online Recruitment: It’s a Relationship
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Cumulative Donation Income (over 36 months)
Source: M&R Strategic Services
Return on Investment = Lifetime Value!
* * Source: 2010 Convio Online Benchmark Study of roughly 300 nonprofits. Email addresses are “usable” only (approx 50% of total addresses) Years 2 through 5 assume 50% per year drop off in donations.
Annual Donations
Human & Social
Services
Environ-ment & Wildlife
Public Affairs
Animal Welfare ALL
Year 1* $17.18 $4.81 $3.36 $15.91 $11.68
Year 2 $8.59 $2.41 $1.68 $7.96 $5.84
Year 3 $4.30 $1.20 $0.84 $3.98 $2.92
Year 4 $2.15 $0.60 $0.42 $1.99 $1.46
Year 5 $1.07 $0.30 $0.21 $0.99 $0.73
Avg Lifetime Value Per Email $33.29 $9.32 $6.51 $30.83 $22.63
Value of an Email Address
Online Recruitment: Multi-Channel Returns
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Cumulative Donation Income
Online Direct Mail Telemarketing
Source: M+R Strategic Services
Fully Load Your Expenses • Direct Expenses
– Campaign costs (fixed and variable) – Search Engine Marketing (SEM) – Email appends – etc.
• Indirect Expenses – Consultants (fixed and variable) – Social Media Outreach (Facebook, Twitter, etc.) – etc.
The True “Cost per Lead” If I spent $1,000 to acquire 1,000 new leads, I spent $1.00 per lead. Great price! But what if… • 100 leads have bad addresses; and 200 leads unsubscribe within first 3 mo. • Now I’ve only got 700 leads, so the real cost per lead rises to 1,000/700 = $1.42 And what if… • Only 30% are opening my message. • Now I’ve got only 210 active leads, and the real cost per lead is 1,000/210 = $4.76 And what if… • Only 10% of these people click through and only 10% of those donate? • Then I paid $1,000 to buy two (2) donors, and my true cost (“Investment”) was $500
per donor.
Quality Matters!
List Growth: Speed vs. Value
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Low Quality
High Quality
Rapid Growth (>10k/month)
Targeted List Swaps
Niche site e.g. Democrats.com
Google Adwords
Collecting Opt-ins on your site
Banner Advertising
Social Networks Canvassing
Name Acquisition Large, General Audience
List Append
Paid Acquisition from targeted audiences
Viral Campaigns
Slow Growth (<1k/month)
Calculate the Value of your Leads
SocialNetworkCalculator.com
Ryann Miller Director, Nonprofit Services 416-651-9098 [email protected]
Randy Paynter CEO & Founder, Care2 [email protected]
Yvonne Garrett Partner, OMP [email protected]
Vinay Bhagat Founder & Chief Strategy Officer, Convio [email protected]
