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annual giving
Study: D.C. Nonprofits Could See Better Days This Year
May 14th
Washington, D.C.-area nonprofits, which received fewer dollars in 2011, are bracing for better times this year, according to a new study by the Center for Nonprofit Advancement (CNA).
The study, as reported on by The Washington Post, showed that nearly half of the organizations surveyed report that their donors plan to maintain or increase contributions in 2012. This is in contrast to only 27 percent last year, and 15 percent in 2009. The CNA study canvassed nonprofits in D.C., Northern Virginia, and Montgomery and Prince George's counties in Maryland.
Another huge problem for D.C.-area organizations in 2011 was the amount of "rainy-day" reserves they had to use up as a result of the declined contributions. This practice appears to be fading in 2012, ad the CNA study found that the number of nonprofits dipping into reserves fell from 46 percent to 31 percent. In addition, organizations reporting a decline in revenue dropped from 48 percent to 40 percent.
Glen O'Glvie, CNA's chief executive, told The Washington Post that the reason for this comeback in giving appears to come from individual donors. He noted that it's much easier for one person to donate than for foundations and corporations. This notion appears to be validated because, as was reported in The NonProfit Times, corporate philanthropy is experiencing a sharp decline, according to a new study from the Council on Foundations.
Although the decline in donations seems to be slowing, CNA warns that it's not enough to quell the increasing demand for nonprofit services. 53 percent of respondents reported a higher demand for their services last year as a direct result of the economic downturn.
You can read the full story in The Washington Post.
The study, as reported on by The Washington Post, showed that nearly half of the organizations surveyed report that their donors plan to maintain or increase contributions in 2012. This is in contrast to only 27 percent last year, and 15 percent in 2009. The CNA study canvassed nonprofits in D.C., Northern Virginia, and Montgomery and Prince George's counties in Maryland.
Another huge problem for D.C.-area organizations in 2011 was the amount of "rainy-day" reserves they had to use up as a result of the declined contributions. This practice appears to be fading in 2012, ad the CNA study found that the number of nonprofits dipping into reserves fell from 46 percent to 31 percent. In addition, organizations reporting a decline in revenue dropped from 48 percent to 40 percent.
Glen O'Glvie, CNA's chief executive, told The Washington Post that the reason for this comeback in giving appears to come from individual donors. He noted that it's much easier for one person to donate than for foundations and corporations. This notion appears to be validated because, as was reported in The NonProfit Times, corporate philanthropy is experiencing a sharp decline, according to a new study from the Council on Foundations.
Although the decline in donations seems to be slowing, CNA warns that it's not enough to quell the increasing demand for nonprofit services. 53 percent of respondents reported a higher demand for their services last year as a direct result of the economic downturn.
You can read the full story in The Washington Post.
Alabama Gives Day Expected To Generate Crucial Funding
Jan 31st
With many states across the country having success with the Gives Day movement, Alabama has decided to join the fun for the first time.
The Montgomery Advertiser reported Sunday that the first annual Alabama Gives Day will begin on Thursday, Feb. 2. Beginning at 12:01 a.m., Alabamians will be able to donate to charities via an online portal alabamagivesday.org. More than 800 nonprofits within 12 categories are registered to participate in the event. Among the participating nonprofits are the Hospice of Montgomery, the Mid-Alabama Coalition for the Homeless, and the Montgomery Area Food Bank.
The Gives Day movement has been very popular since its inception in Minnesota in 2009. Its purpose was to increase philanthropy and increase donor acquisition for nonprofits. The concept has had plenty of success stories, like Colorado Gives Day, which recently had 52,000 donations totaling $12 million. There is no monetary goal set for Alabama Gives Day; organizers simply want as many nonprofits as possible to participate.
If the Gives Days of the last few years are any indication, Alabama Gives Day should be a great source of funding for local nonprofits. Read more about the event in The Montgomery Advertiser.
The Montgomery Advertiser reported Sunday that the first annual Alabama Gives Day will begin on Thursday, Feb. 2. Beginning at 12:01 a.m., Alabamians will be able to donate to charities via an online portal alabamagivesday.org. More than 800 nonprofits within 12 categories are registered to participate in the event. Among the participating nonprofits are the Hospice of Montgomery, the Mid-Alabama Coalition for the Homeless, and the Montgomery Area Food Bank.
The Gives Day movement has been very popular since its inception in Minnesota in 2009. Its purpose was to increase philanthropy and increase donor acquisition for nonprofits. The concept has had plenty of success stories, like Colorado Gives Day, which recently had 52,000 donations totaling $12 million. There is no monetary goal set for Alabama Gives Day; organizers simply want as many nonprofits as possible to participate.
If the Gives Days of the last few years are any indication, Alabama Gives Day should be a great source of funding for local nonprofits. Read more about the event in The Montgomery Advertiser.
"Soft Asking" To Upgrade Donors
Jan 20th
Upgrading donors can be quite a dilemma for nonprofit organizations. On one hand, donors might want to become more engaged with an organization, but donor fatigue can set in if they receive too many mailings. This is where the idea of "soft asking" comes into play.
In an article that recently appeared in The NonProfit Times, we looked at how the National Baseball Hall of Fame (NBHF) used this process when upgrading donors. Instead of asking donors to upgrade their membership, the Cooperstown, N.Y.-based organization asks for an additional gift, which upgrades them into their annual donor fund. NBHF uses the same direct mail they send to non-members as part of the soft asking process. Ken Meifert, senior director of development for the organization, estimates they have converted 20 percent of their members (or 6,000) to the annual fund.
The amount of times a nonprofit goes through with a soft ask can make a big difference. Baltimore, Md.-based Catholic Relief Services (CRS) upgrades its donors by recognizing their first gift and encouraging more through mailings. According to Jean Simmons, director of annual giving at CRS, the organization usually sends requests to join a monthly giving campaign once a year to its members. Last year, however, the organization tried a different approach. It sent two mailings: The first was a monthly ask, while the second asked for a one-time only gift or a monthly gift. The result was the strongest increase CRS had seen in the past six to seven years. From their house file of between 280,000 and 300,000 people, Simmons said that 1,487 people ended up opting into the program.
The soft ask can be a very effective way for a nonprofit to upgrade their current donors. Is it the right choice for your organization? Read the full article in The NonProfit Times to find out.
In an article that recently appeared in The NonProfit Times, we looked at how the National Baseball Hall of Fame (NBHF) used this process when upgrading donors. Instead of asking donors to upgrade their membership, the Cooperstown, N.Y.-based organization asks for an additional gift, which upgrades them into their annual donor fund. NBHF uses the same direct mail they send to non-members as part of the soft asking process. Ken Meifert, senior director of development for the organization, estimates they have converted 20 percent of their members (or 6,000) to the annual fund.
The amount of times a nonprofit goes through with a soft ask can make a big difference. Baltimore, Md.-based Catholic Relief Services (CRS) upgrades its donors by recognizing their first gift and encouraging more through mailings. According to Jean Simmons, director of annual giving at CRS, the organization usually sends requests to join a monthly giving campaign once a year to its members. Last year, however, the organization tried a different approach. It sent two mailings: The first was a monthly ask, while the second asked for a one-time only gift or a monthly gift. The result was the strongest increase CRS had seen in the past six to seven years. From their house file of between 280,000 and 300,000 people, Simmons said that 1,487 people ended up opting into the program.
The soft ask can be a very effective way for a nonprofit to upgrade their current donors. Is it the right choice for your organization? Read the full article in The NonProfit Times to find out.
Tips For A Successful Annual Giving Program
Nov 7th
We all know that annual giving programs are an integral part of most successful nonprofits. But what are the best ways to tell how well it's performing? Looking at the numbers that come in is only half the battle. The key to a successful fundraising program goes a lot deeper than the amount of money you generate. The following tips, which come from a recent Association for Healthcare Philanthropy international conference, can increase the chance that your annual giving will remain strong throughout the years:
- Your program should work toward and achieve revenue goals while investing enough for long-term return.
- You might consider including personal solicitations or creating "donor clubs" to enhance your revenue.
- Donor base development should be an important part of your annual giving program. You can always use more donors. You never know when your seemingly reliable donors will fall through the cracks.
- Show your donors you love them rather than need them. You can do this with strategic communication and stewardship.
- Annual giving doesn't need to be separate from the rest of your fundraising activities. Find ways to have it work with your planned giving and major gift programs.
- Get your volunteers involved. They can end up being your best advocates and help you reach higher levels of performance. The worst mistake you can make is thinking they won't be able to help your cause.
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