Maximising retention and securing ongoing gifts.
Optimising life time value of donors
* effective stewardship
* securing second and ongoing gifts
* upgrade and conversion opportunities
8. • We acquire more community / peer-to-peer and event donors than
any other kind (1/3 of total in Aus)
• We acquire more cash donors then regular givers (this will change
here based on UK and Aus market tracking)
• Our regular givers make us more $$ in the short term
• We acquire more community / peer-to-peer and event donors than
any other kind (1/3 of total in Aus)
• We acquire more cash donors then regular givers (this will change
here based on UK and Aus market tracking)
• Our regular givers make us more $$ in the short term
11. Cash dominated
by direct mail
Cash dominated
by direct mail
Regular Giving
dominated by
Face-to-Face
Regular Giving
dominated by
Face-to-Face
12. 1/3 of cash
income comes
from donors
who have
been giving for
over 10 years.
2/3 from those
recruited five
or more years
ago.
Value comes
from a life
time of
giving, not
the short-
term.
13. We can decide
who we
recruit with a
view to the
gains over
time.
Older is still
better.
Until you have
all the older
donors
consider why
you are trying
to get the
young ones.
21. Objective Actual
Gross Income $96,763
Total Cost $66,730
Cost Per Unit $1.67
Net Income $30,033
RR% 7.6%
ROI 2.36
# Responded 3,038
Avg Gift $31.81
Mailing Volume 40,025
Campaign 1Campaign 1
ResultsResults
February 2011February 2011
29. Track Value
FirstGift 1 Recruits 1,968 First Gift 1 Recruits 11,557
Channel 1 CPA $58.30 Channel 1 CPA $34.67
Year 9 Ave Gift $44.52 Year 9 Ave Gift $37.50
Appeal 3 Recr ROI 0.76 Appeal 3 RecrROI 1.08
Premium 3 Max IncYr1 $2,250 Premium 2 Max IncYr1 $10,000
Year1RG% Year1Ratio Year1Inc Year 1ROI 2nd Gift1Yr Year1RG% Year1Ratio Year 1Inc Year1ROI 2nd Gift 1Yr
2.7% 1.85 $82.41 1.12 46.2% 1.2% 1.81 $67.87 1.37 39.2%
0%
10%
20%
30%
40%
50%
60%
2nd gift 90
days %
2nd gift 180
days %
2nd gift 270
days %
2nd gift 1
Year %
0%
10%
20%
30%
40%
50%
60%
2nd gift 90
days %
2nd gift 180
days %
2nd gift 270
days %
2nd gift 1
Year %
35. Charity Recruitment
Volume
Second Gift
Rate
Number of
donors giving a
second gift
after 12 months
A 3,000 45% 1,800
B 10,000 30% 3,000
If charity A recruited 10,000 donors that
year they would have had 4,500 donors
giving a second gift after 12 months
36. Why do they give again?
Because they
were asked
Because they had
multiple opportunities
to give again
Because they
were thanked
Because they
are charity
donors
37. Building Your Second Gift
Strategy
Why did they give the first time? They don’t care about everything you do
(yet), they have shown they care about
one thing
How did they give the first time? What channel did they respond via?
When is the quickest you can ask again? The longer you wait the less likely they
will remember why they did it the first
time
Can you ask in the thank you? It’s an opportunity to do more after
understanding the impact I’ve just had
What can you ask for? Cash? Regular Gift?
Is it a good ‘ask’ vehicle Newsletter vs. an Appeal
38. What the data says
1. Ask fast: within in 6 weeks
2. Ask often: 8 asks in the subsequent year will
get a higher second gift rate than 3
3. Ask for the same thing they first gave to
4. Use the channel they did
5. Use any additional channels you have the
means to
39. Direct Mail
Acquired
Telephone
Acquired
Welcome
Package
Welcome
letter/Receipt
48 hours DM 2nd Gift
Mailing
TM RG
Conversion
6 Weeks
Ongoing
Coms
Appeals,
Upgrades,
Donor Care etc.
DM RG
Conversion
Mailing
Phone
Number
Available?
Yes +
eligible
Yes to RG
No to RG + Yes to
Cash
Yes/No
(2 mths
later)
No orNoteligible
DM 2nd Gift
Mailing
6 Weeks
(Up to 1 mth
later)
(2- 3 mths
later)
Yes
/No
Segmentation considerations: Credit Card vs No-credit card, 1st
donation value
Yes/No
New Cash Donor
Journey
NonContacts &
No to RG
or Cash
40. What do ADA do?
Second Gift: Ask soon and appropriately
Ongoing: Aim to build supporter relationships and trust
through:
• Regular storytelling and dialogue
• Beneficiaries
• Stakeholders
• Their work
Evidence & Education = Familiarity & Trust
54. Why
1. To thank & show them their impact
2. To ask, because you have a need &
need their help
“If your story is not about the donor, its
about nothing at all” Tom Ahern
56. How: Multi channel?
• Direct mail donors with an email address
are up to 150% more valuable
• Effective use of integration shortens time
to second gift
• SMS around a direct mail renewal can
increase response by 25%
60. Content
1. What do your donor’s wants or need?
2. All content is assessed aginst these
“If your story is not about the donor, its
about nothing at all” Tom Ahern
62. ADA Retention Program
Timing What & How Why
January Donor Care Pack
Direct Mail
Thank, additional opportunity to give
January Survey
Direct Mail
Invovle, additional opportunity to give
February Appeal
Direct Mail & Email
Opportunity to give
May & June Tax Appeal
Direct Mail & Email
Opportunity to give
July Donor Care Pack
& Tax Receipts
Direct Mail
Thank
September Appeal
Direct Mail & Email
Opportunity to give
November & December Christmas Appeal
Direct Mail & Email
Opportunity to give
Various Regular Giving Conversion
Direct Mail
Phone
Opportunity to do more
66. Emotional Connections
Name of sponsored child
Name of pet
Name of a loved one lost
Why someone first donated
Country / area of interest
67.
68. What else do ADA
do?
• Always send a thank you
• Send a survey with first donation receipt
• Have an acknowledgment stratgey that increases
personal contact based on value
• Ask about dog ownership on response mechanisms and
in surveys
• Capture dog names
• Use this information in renewal and retention
communincations
• Continually test and measure
69. Value to Date Monitoring
Metric Description
Recruits How many donors were recruited
Recruitment ROI ROI of the initial activity
Total Rec Cost Cost of the recruitment
Recruitment Income
Income from recruitment (first cash gift or actual year RG income
Year 1 Cost Ongoing expenditure
Year1 Warm Income Subsequent Year 1 income
Year1 income all Recruitment Income + Warm Income
Year1 ROI Year 1 income all /(Recruitment Cost + Year1 Cost)
Year1 Net Income per Recruit
Year1 Income per Recruit
Year1 Ratio Ratio of the total year 1 income to the initial gift
Year1 Warm income per rec Year 1 warm income /recruits
Max of Year1 income Identifies outliers in data
2nd gift 180 days % 2nd gift rate as % of all recruits
2nd gift 270 days % 2nd gift rate as % of all recruits
2nd gift 1Year % 2nd gift rate as % of all recruits
Cost per recruit Rec Cost / Recruits
Ave First Gift
RG Ever % % of all recruits that have converted
Cash Gifts Year1 per donor Number of cash gifts in year 1
% upgraded 2nd cash 1 year % that made a second gift bigger than their acquisition gift.
80. Convert to Regular Giving
Regular Giver
who makes
additional cash
donations 3 times
more valuable
than cash only
donor (giving
twice as much
cash plus their
regular gift)
81. ADA Conversion
Pack
• 4pp Letter
• RM
• BRE
• Echo Lift
• Backpack Lift
• DLW with large
window
Cash ask on RM for RG + Cash Pack:
82. Develop a High Value Strategy
Average high
value donor gave
$4,442 in 2013
85. Be Best in Class
Is your customer service
exemplary? Through all channels?
Is it a priority in your organisation?
Are you staff trained?
“My name is Ruth. If you
have any questions, please
call me.”
86. REVIEW YOUR RETENTION
PROGRAM
Many of our communications are filled with inconsistencies
• An inconsistent experience
• Online Experience compared to Offline experience.
• Inconsistent messaging
• Message online is different from what is fed back in
subsequent communications
• Reason for giving is not clearly defined
• Sometimes there is no messaging at all
93. Priority - Phase 1 Priority - Phase 1 Priority - Phase 1 Priority - Phase 1 Priority - Phase 1 Priority - Phase 1
MANDATORY MANDATORY MANDATORY MANDATORY MANDATORY MANDATORY
Stage SIGNUP WELCOME JOURNEY
Communication title
Thank you and welcome
email
Supporter Details Leadership Thank You Mission moment Get involved Introductory eNews
Communication #
Timeframe 0 Day 3 Day 5 Week 3 Week 6 Week 13
Channel/s Email Email Email (video) Email (picture/video) Email
Overview
Instant recognition of action
taken and welcome
Delivering high quality
supporter service and care
Personal and heartfelt thank
you from SCA leadership
Child voice focused story to
generate emotional reward
Cross-promote other actions
to take in support of mission
Transition to ongoing
supporter communications
Donor response objective
Real-time acknowledgement
of action taken
Validation of successful
transaction and sign-up
Experience emotional reward
for action taken
Positive supporter service
experience
Establish relationship and
trust
Overcome remorse and
cognitive dissonance
Shared values, beliefs and
mission to make a difference
Recreate original emotional
connection
Reinforce donation impact
Reinforce donation impact
via focus on a single child
Demonstrate effectiveness
Build donor-beneficiary
connection
Reinforce organisational trust
Increase understanding of
organisation and activities
Inspire to take additional
steps to support
Understand the ongoing
communications and how
they'll be kept updated and
informed
Organisational objective
Easy, seamless and engaging
sign-up experience
Create great first impression
Start relationship
Reinforce product name and
proposition
Friendly and and efficient
supporter services
Introduce main contact and
offer proxy contacts
Open-up two way
communications
Drive self-identity belief
through product and brand
positioning
Build relationship through
shared values and mission
Establish 'voice' of
organisation
Reinforce product and key
beneficiary group/s
Demonstrate donation 'at
work'
Deepen relationship
Increase # supporters
engaged in multiple actions
Set clear expectations for
supporters
Increase eNews open rates
and engagement
How should Donor feel?
Acknowledged, Excited,
Enthusiastic
Valued, Respected
Affinity, Appreciated, Proud,
Gratified of self worth
Powerful, Uplifted, Inspired to do more Informed, Appreciated
Prominent Value(s)
expressed
Passion, Optimism Respect, Responsibility Trust, Determination Achievement Effective
Impactful; Expert;
Appreciative
Focus - proposition and
messaging
Assure successful sign-up and
welcome to the movement
for 'children in crisis'
Important information to
note
Ways to connect and contact
us
Build concept of 'we-ness'
and self-identification i.e. one
who cares about 'children in
crisis'
Single child story the
supporter can related to and
connect with to affirm impact
of gift
Other actions you may like to
take in support of our mission
Keep informed about the
work you are achieving for
'children in crisis'
Case Study / Story N/A
Video reel showcase of
'children in crisis' being
helped
Case study - TBC N/A
Content
Thank you for taking action
and welcome to the frontline
for 'children in crisis'
Join the community on social
media
Confirmation of supporter
details: supporter number,
payment date, payment
amount, starting date,
update details online form
SCA contact details: email,
phone
Join a campaign
Shop with us
Volunteering
Events
Signatory Supporter Services Supporter Services CEO CEO Supporter Services Supporter Services
New RG Donor On Boarding
94. Retention Communications
1. Everything you send is about
retaining
2. Asking is the only way to get a gift
But never forget to thank or feedback
1. The more a donor interacts the more
likely they are to give again
2. Compelling, emotional stories lead to
action, fact / figures lead to thought