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The Science & Art of Event Fundraising




                      Dianne Sheridan     Jeff Shuck
                      Artez Interactive    Event 360
Webinar Tips
• This webinar is being recorded and will be
  available on our website short

• If you have any technical troubles, use the
  “chat” feature

• We will take all questions at the end. Please use
  “raise hand” or “chat” features


© 2009 Event 360 |
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.




© 2009 Event 360 | 3
© 2009 Event 360 | 4
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




© 2009 Event 360 | 5
THE IMPORTANCE OF FOCUS




© 2009 Event 360 | 6
YOUR EVENT CHALLENGE




© 2009 Event 360 | 7
YOUR FUNDRAISING CHALLENGE




© 2009 Event 360 | 8
YOUR MISSION CHALLENGE




© 2009 Event 360 | 9
THE EVENT IS
                        A MEANS TO AN END




© 2009 Event 360 | 10
Mission

                         Revenue

                           Gifts

                          Donors

                        Participants

                           Event



© 2009 Event 360 | 11
THE SCIENCE




© 2009 Event 360 | 12
What benchmarks are important to you, and why?




© 2009 Event 360 | 13
EVENT
• Facilitates mission by providing revenue through     Mission
  fundraising participants
• More events create more mission impact              Revenue
  because participants increase with number of
  events                                                Gifts
• Consider multiple events or multiple dates,
  or both
                                                       Donors
• Event quality matters! It speaks to the care you
  put into your brand and your mission
                                                     Participants
Key metrics:
• Number of events                                      Event
• Participant satisfaction
• Repeat attendance

© 2009 Event 360 | 14
PARTICIPANTS
•    In general, more participants correlate with higher     Mission
     revenue
•    However, a myopic focus on attendance leads to         Revenue
     many long-term problems
•    Focus on recruiting participants who will fundraise
•    What to watch for:
                                                              Gifts
         Time as a registrant correlates positively
          with number of donors                              Donors
         Team membership correlates positively with
          retention and fundraising
                                                           Participants
Key metrics:
•    Average and median registration time measured            Event
     in days prior to event
•    Team participation


© 2009 Event 360 | 15
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.


© 2009 Event 360 | 16
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

© 2009 Event 360 | 17
DONORS
•    Donors are the key indicator of fundraising                    Mission
     participants
•    You can significantly influence the number of donors          Revenue
•    What to watch for:
        •    Goal activity signals fundraising awareness
                                                                     Gifts
        •    Email activity signals fundraising activity and is
             strongly correlated to funds raised
                                                                    Donors
Key metrics:
•    Number of donors                                             Participants
•    Average and median donors per participant
•    Number of participants with zero donors                         Event
•    Number of self-donations
•    Number of participants with goal
•    Average and median number of emails sent
© 2009 Event 360 | 18
THE IMPORTANCE OF A FEW
40%

35%

30%

25%

20%                                                                 Registrations
                                                                    Fundraising
15%

10%

  5%

  0%
               25th     50th   75th   90th   95th   99th   Top 1%

© 2009 Event 360 | 19
GIFTS
                                                   Mission
• The single best predictor of overall revenue
• Number of gifts is mainly influenced through
                                                  Revenue
  effective participant communication
• Average gift amount can be influenced
                                                    Gifts
  through donors directly
      Ease of use
                                                   Donors
      Suggested levels
      Timely acknowledgment                     Participants
Key metrics:
                                                    Event
• Number of gifts
• Average and median gift amount

© 2009 Event 360 | 20
REVENUE
•    The overall summary of performance
                                                              Mission
•    Most organizations focus too heavily on costs
•    To increase performance more than historical trends,    Revenue
     you must make operational and tactical changes
•    Be aware of setting a revenue target based on your
     budget need
                                                               Gifts
•    Watch the $0 balance percentages: They show how well
     you are developing a fundraising culture                 Donors
Key metrics:
• Overall revenue and fundraising revenue                   Participants
  (gross and net)
• Compounded annual growth rate (benchmarked)                  Event
• Fundraising revenue per participant
• Overall revenue per participant is misleading and
  basically useless

© 2009 Event 360 | 21
THE EVENT LIFECYCLE
   $1,800,000                                                                                            40000

   $1,600,000                                                                                            35000

   $1,400,000
                                                                                                         30000
   $1,200,000
                                                                                                         25000
                                  Participants
   $1,000,000
                                                                                                         20000
     $800,000
                                                        Fundraising                                      15000
     $600,000
                                                                                                         10000
     $400,000

     $200,000                                                                                            5000

            $0                                                                                           0
                 1989   1991   1993    1995      1997       1999      2001   2003   2005   2007   2009




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



© 2009 Event 360 | 22
SOME BENCHMARKS

Driver                   Benchmark
Number of Participants   2,500
Fundraising Per          2008 average was $859; median $110
Participant
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




© 2009 Event 360 | 23
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


© 2009 Event 360 | 25
THE ART




© 2009 Event 360 | 26
MISSION MATTERS
• Ultimately, the event is a mission vehicle –      Mission
  so, the mission must resonate throughout
  the event                                        Revenue

• The more you rely on the event and the             Gifts
  less you rely on mission, the harder you will
  have to work to establish a fundraising           Donors
  culture
                                                  Participants
• Do not take for granted that people agree
  that your mission is important, let alone          Event
  even understand what it is!


© 2009 Event 360 | 27
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?


© 2009 Event 360 | 28
How would you ask for support in one sentence?




© 2009 Event 360 | 29
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.”   Our     Our
                                                  work   vision
        Work: “We‟re working together to save
         lives, empower people, ensure quality
         care for all and energize science to
                                                      The
         find the cures.”
                                                    problem
        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.

© 2009 Event 360 | 30
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




© 2009 Event 360 | 31
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?



© 2009 Event 360 | 32
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?

© 2009 Event 360 | 33
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?

© 2009 Event 360 | 34
QUESTIONS




© 2009 Event 360 | 35
More webinars for you
   The Artez Mobile Communicator
   Tuesday, March 23rd at 11:30 a.m. EST (North America)

   Give your Golf Tournament Fundraiser a Makeover
   Thursday, 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




© 2009 Event 360 |
Calendar Notes

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

Hear from top fundraising strategists & digital experts including :
Dan Pallotta, Ted Hart and Dharmesh Shah
More info @ www.artez.com


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




© 2009 Event 360 |
Thank you




                     www.event360.com


© 2009 Event 360 |
Thank you




                     Check Out “Digital Fundraising Podcast” on iTunes
                     Follow Artez on Twitter: @artezonline
                     Become our friend on Facebook: /artezinteractive


© 2009 Event 360 |

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Artez Interactive - The Science and Art of Event Fundraising

  • 1. The Science & Art of Event Fundraising Dianne Sheridan Jeff Shuck Artez Interactive Event 360
  • 2. Webinar Tips • This webinar is being recorded and will be available on our website short • If you have any technical troubles, use the “chat” feature • We will take all questions at the end. Please use “raise hand” or “chat” features © 2009 Event 360 |
  • 3. 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. © 2009 Event 360 | 3
  • 4. © 2009 Event 360 | 4
  • 5. 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 © 2009 Event 360 | 5
  • 6. THE IMPORTANCE OF FOCUS © 2009 Event 360 | 6
  • 7. YOUR EVENT CHALLENGE © 2009 Event 360 | 7
  • 8. YOUR FUNDRAISING CHALLENGE © 2009 Event 360 | 8
  • 9. YOUR MISSION CHALLENGE © 2009 Event 360 | 9
  • 10. THE EVENT IS A MEANS TO AN END © 2009 Event 360 | 10
  • 11. Mission Revenue Gifts Donors Participants Event © 2009 Event 360 | 11
  • 12. THE SCIENCE © 2009 Event 360 | 12
  • 13. What benchmarks are important to you, and why? © 2009 Event 360 | 13
  • 14. EVENT • Facilitates mission by providing revenue through Mission fundraising participants • More events create more mission impact Revenue because participants increase with number of events Gifts • Consider multiple events or multiple dates, or both Donors • Event quality matters! It speaks to the care you put into your brand and your mission Participants Key metrics: • Number of events Event • Participant satisfaction • Repeat attendance © 2009 Event 360 | 14
  • 15. PARTICIPANTS • In general, more participants correlate with higher Mission revenue • However, a myopic focus on attendance leads to Revenue many long-term problems • Focus on recruiting participants who will fundraise • What to watch for: Gifts  Time as a registrant correlates positively with number of donors Donors  Team membership correlates positively with retention and fundraising Participants Key metrics: • Average and median registration time measured Event in days prior to event • Team participation © 2009 Event 360 | 15
  • 16. 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. © 2009 Event 360 | 16
  • 17. 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 © 2009 Event 360 | 17
  • 18. DONORS • Donors are the key indicator of fundraising Mission participants • You can significantly influence the number of donors Revenue • What to watch for: • Goal activity signals fundraising awareness Gifts • Email activity signals fundraising activity and is strongly correlated to funds raised Donors Key metrics: • Number of donors Participants • Average and median donors per participant • Number of participants with zero donors Event • Number of self-donations • Number of participants with goal • Average and median number of emails sent © 2009 Event 360 | 18
  • 19. THE IMPORTANCE OF A FEW 40% 35% 30% 25% 20% Registrations Fundraising 15% 10% 5% 0% 25th 50th 75th 90th 95th 99th Top 1% © 2009 Event 360 | 19
  • 20. GIFTS Mission • The single best predictor of overall revenue • Number of gifts is mainly influenced through Revenue effective participant communication • Average gift amount can be influenced Gifts through donors directly  Ease of use Donors  Suggested levels  Timely acknowledgment Participants Key metrics: Event • Number of gifts • Average and median gift amount © 2009 Event 360 | 20
  • 21. REVENUE • The overall summary of performance Mission • Most organizations focus too heavily on costs • To increase performance more than historical trends, Revenue you must make operational and tactical changes • Be aware of setting a revenue target based on your budget need Gifts • Watch the $0 balance percentages: They show how well you are developing a fundraising culture Donors Key metrics: • Overall revenue and fundraising revenue Participants (gross and net) • Compounded annual growth rate (benchmarked) Event • Fundraising revenue per participant • Overall revenue per participant is misleading and basically useless © 2009 Event 360 | 21
  • 22. THE EVENT LIFECYCLE $1,800,000 40000 $1,600,000 35000 $1,400,000 30000 $1,200,000 25000 Participants $1,000,000 20000 $800,000 Fundraising 15000 $600,000 10000 $400,000 $200,000 5000 $0 0 1989 1991 1993 1995 1997 1999 2001 2003 2005 2007 2009 Your tactics should change based on your place in the lifecycle. © 2009 Event 360 | 22
  • 23. SOME BENCHMARKS Driver Benchmark Number of Participants 2,500 Fundraising Per 2008 average was $859; median $110 Participant 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 © 2009 Event 360 | 23
  • 24. 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
  • 25. 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 © 2009 Event 360 | 25
  • 26. THE ART © 2009 Event 360 | 26
  • 27. MISSION MATTERS • Ultimately, the event is a mission vehicle – Mission so, the mission must resonate throughout the event Revenue • The more you rely on the event and the Gifts less you rely on mission, the harder you will have to work to establish a fundraising Donors culture Participants • Do not take for granted that people agree that your mission is important, let alone Event even understand what it is! © 2009 Event 360 | 27
  • 28. 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? © 2009 Event 360 | 28
  • 29. How would you ask for support in one sentence? © 2009 Event 360 | 29
  • 30. 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.” Our Our work vision  Work: “We‟re working together to save lives, empower people, ensure quality care for all and energize science to The find the cures.” problem  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. © 2009 Event 360 | 30
  • 31. 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 © 2009 Event 360 | 31
  • 32. 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? © 2009 Event 360 | 32
  • 33. 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? © 2009 Event 360 | 33
  • 34. 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? © 2009 Event 360 | 34
  • 36. More webinars for you The Artez Mobile Communicator Tuesday, March 23rd at 11:30 a.m. EST (North America) Give your Golf Tournament Fundraiser a Makeover Thursday, 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 © 2009 Event 360 |
  • 37. Calendar Notes • March 30th – ArtezInterAction USA, Washington, D.C. Hear from top fundraising strategists & digital experts including : Dan Pallotta, Ted Hart and Dharmesh Shah More info @ www.artez.com • April NTEN in Atlanta & AFP in Baltimore Please come by & say “hi” to us! © 2009 Event 360 |
  • 38. Thank you www.event360.com © 2009 Event 360 |
  • 39. Thank you Check Out “Digital Fundraising Podcast” on iTunes Follow Artez on Twitter: @artezonline Become our friend on Facebook: /artezinteractive © 2009 Event 360 |