Whether you have a "one-person shop" or a team of development professionals, achieving the maximum, sustainable results depends upon a clear understanding of what you need to do to get to the next level of support. This webinar will emphasize that there really are ONLY two ways to increase your (and your program's) success: by increasing the number of people who give and by increasing the average level of support. We'll discuss how to be truly successful - and here's a little preview...you must DO BOTH!

1. Progressive Annual Fund Strategies /
Pushing Your Program to the Next level
Ron & Sue Rescigno
October 30, 2012
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4. Today’s Speakers
Ron & Sue Rescigno
President & Vice President
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5. Progressive Annual Fund Strategies:
Advancing Your Program
to the Next Level
Ron and Susan Rescigno

6. The Path to Success
Put simply, there are essentially
TWO ways to increase your success:
• Method #1 – Increase the number of
people giving
• Method #2 – Increase the average level
of support
Here’s the catch: to be as successful as possible,
You Must Do Both.

7. Increase the Number of Donors
Laying the Groundwork for Your Success
• Major Gift Donors
• Leadership Donors
• Repeat Annual Donors
• First-time Annual Donors

8. Increase the Number of Donors
Ask More People Ask Smarter
 Expand the number in your • Increase response rates by
solicitation pool finding new, unusual,
– reunion committees, student different ways to engage
organizations, parent & alumni your audiences
groups, volunteers, regional
campaign committees, acquisition
Ask More Often
Remember, the golden
Face-to-face

rule of fundraising:
 Social Media
If you don’t ask, you
Expand your circle

won’t get!
 Friend of a friend

9. Increase the Number of Donors
You must know the magic numbers or
you’ll get nowhere fast!
1,000 = # of prior year donors
600 = # of prior year donors who also have made
a gift in the current year
60% = Renewal rate based upon 600 prior year
donors who gave in current year – out of 1,000.
Industry Standard = 70% - 85% depending on the
non-profit institution

10. Increase the Number of Donors
Questions You Should Be Asking
•Who is your most cost-
effective donor?
•Who is most likely to
become a long-time
consistent donor?
•Who is most likely to
increase giving?
•Do you have a leadership
donor pool?

11. Increase the Number of Donors
Relationship to Institution/Organization
 What is the donor’s or prospect’s relationship to
you/your organization? Group them accordingly
 Establish hierarchy and dual relationships
Special/Different/Out-of-the-Ordinary/Unique Case
for Support – What’s Yours?
 Segments require unique messaging
Unique Objective
 Segments should have a specific objective based on
their needs or preferences

12. Increase the Number of Donors
Types of Donors
Leadership – increased giving/major gift cultivation
Potential Leadership – increase gifts to Leadership Levels
Renewing Donors – increase gifts by 30% or more
Lapsed Donors – re-activate giving; increasing is secondary in
importance
Long Lapsed/Sybunts – Even if there is a decrease, re-activate giving
Special Event/Phonathon/Memorial-only Donors – Convert! Convert!
Convert! to un-restricted annual donors
Employee Donors – Renew and increase gift; good example of
need for unique messaging

13. Increase the Number of Donors
It’s about Segmenting…not Fragmenting
 If your appeal does not have a unique message or
objective, it’s probably not a good use of your time or the
resources you will spend on it!
Appeal Codes
 We wholeheartedly endorse tracking – as long as the group
you are tracking is large enough to produce meaningful
results.
Segmentation vs. Restricted Giving
 Build rapport/a “case” based on donor interest. This does
not mean you have to restrict gifts. Your messaging needs to
be based upon stated interests.

14. Increase the Number of Donors
It is critical that you provide MULTIPLE opportunities to give
throughout the year
*As long as each preceding effort has been successful, continue to
solicit—with direct mail, you should expect that each successive
effort will be half of your preceding effort
Suggested opportunities per year:
Leadership: 3-5 Long-lapsed and Non-donors: 1-2
Potential Leadership: 5-8 Second Gift Appeal: 1-2
Renewals: 5-8 Lapsed Donors: 3-5

15. Increase the Number of Donors
Your Case for Support
 What does the future hold?
 Stress the ‘what if’; it’s almost always more powerful than the
‘what was’ or ‘what is’
The Art of the Story
 The head is a regulator of facts and figures (go easy)
 The heart is where giving comes from
 Stories that touch the heart, that compel readers to wonder
‘what if?’, are the stories people give to
 Special Offer
Peer-to-Peer is Best
 “ I gave because…now won’t you?”

16. Increase the Number of Donors
Focus on the Donor – Not your Non-profit
 Find out what is important to him/her
Impact of Gift – ‘What if’ you didn’t give or never gave?
 Not what the money will buy; what it will mean!
Vary the Case for Support
Different people give for different
reasons. It’s your job to find out what
these reasons are and speak to them
directly

17. Increase the Number of Donors
Invest in New Donors to Generate a Future
Return
• Find them through
Direct Mail

18. Renewals
As you move through the course of the
year, the objective changes:
INCREASING RENEWING
THE GIFT THE GIFT
You must Increase giving from
renewing donors to balance
the “loss” from those who do
not renew

19. Increase the Average Gift
Ask For More Ask Smarter
 Increase expectations  Identify your most
 Convince people to give more capable and willing donors
–Askingthe right people to lead
the way can pay big dividends
 Have a plan of attack:
–Ask the right way, at the right
time, with the right message, via
the right communication
channel)

20. Don’t Be “Math Shy”
Numbers tell a story—
get comfortable with them!
 Do the math

21. The Story Is in the Numbers
Client A Client B
 9,305 donors  6,406 donors
 $114 Average Gift  $226 Average Gift
 Increase Average Gift by $10  75,000 Names on list
 =$93,050 / 8.7% increase  Increase Response Rate by ½
percentage point
 =75,000 x .005
 =375 new donors x $226
 = $84,750 / 5.9% increase

22. Increase the Average Gift Amount
# of Donors Gift Income Average Gift
1,000 $100,000 $100
Prior Year Results
The Average Gift that you must have in order to
earn another $100,000 “gift income” at different
Renewal Rates:
Renewal Rate # of Donors Average Gift
@70% 700 $143
@65% 650 $154
@60% 600 $167

23. Increase the Average Gift
 If you have a leadership society, establish a “Chair” for
communication purposes
 Sell the benefits that reinforce your case for giving
– Example: on-campus activities, leadership society,
leadership emails
 Target mid-range donors and ask for a leadership gift
ONLY
 Treat them like a leadership donor – communications,
invitations, etc. that are appropriate
 Quality solicitation materials – matching the significance
of the gift
 Ask for a specific amount

24. Increase the Average Gift
Remember: your best donor is a
current donor
Solicit current year donors for a
second gift
• Vary the case for support; think
“special appeal”
• Combined annual giving is what
determines giving society levels

25. Thank You!

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