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How Nonprofits Can Use Behavioural Economics to Increase Fundraising Revenue

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How Nonprofits Can Use Behavioural Economics to Increase Fundraising Revenue

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https://bloomerang.co/resources/webinars/

Did you know that your subconscious makes a decision a full seven seconds before you're consciously aware that you've made the decision?

In this webinar, you'll learn about the role that psychological, social, cognitive, and emotional factors play in donor decision-making, and how you can use this understanding to increase your fundraising revenue. Leah will share lots of research and examples, and leave you with plenty of action items.

Participants in this webinar will:

leave with an understanding of what influences donors to make giving decisions
learn how to fine tune their fundraising efforts to increase revenue
see the presented concepts in practice through Leah's sharing of real life examples

https://bloomerang.co/resources/webinars/

Did you know that your subconscious makes a decision a full seven seconds before you're consciously aware that you've made the decision?

In this webinar, you'll learn about the role that psychological, social, cognitive, and emotional factors play in donor decision-making, and how you can use this understanding to increase your fundraising revenue. Leah will share lots of research and examples, and leave you with plenty of action items.

Participants in this webinar will:

leave with an understanding of what influences donors to make giving decisions
learn how to fine tune their fundraising efforts to increase revenue
see the presented concepts in practice through Leah's sharing of real life examples

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How Nonprofits Can Use Behavioural Economics to Increase Fundraising Revenue

  1. 1. How  Nonprofits  Can  Use   Behavioural  Economics   to  Increase  
 Fundraising  Revenue   2/4/16   1pm  Eastern   The  presentation  will  begin  shortly.
  2. 2. 3 This  presentation  is  being  recorded!  
 The  recording  and  slides  will  be  emailed  to  you.   Please  chat  in  any  questions  for  our  guest.     We  will  answer  them  in  the  formal  Q&A  session     at  the  end  of  the  presentation.   Follow  along  on  Twitter  with  #Bloomerang  @BloomerangTech.   For  best  audio  quality,  dial  in  by  phone.
 (check  your  email  for  dial-­‐in  info  from  ReadyTalk) Before  we  get  started  »
  3. 3. 3 https://bloomerang.co/demo/video
  4. 4. 3 Our  guest  presenter  » Leah  Eustace,  M.Phil,  CFRE,  ACFRE Principal, Good Works Chair of the AFP Foundation for Philanthropy-Canada. Co-Chair of AFP’s Inclusive Giving Project. In 2014, Leah became the 101st person in the world to receive the ACFRE accreditation. She was also honoured with the AFP Ottawa Chapter Outstanding Fundraising Executive Award for 2014.
  5. 5. @LeahEustaceBloomerang: Behavioural Economics February 2016 HOW NONPROFITS CAN INCREASE FUNDRAISING REVENUE THROUGH BEHAVIOURAL ECONOMICS
  6. 6. @LeahEustaceBloomerang: Behavioural Economics February 2016 Say what?
  7. 7. @LeahEustaceBloomerang: Behavioural Economics February 2016 Behavioural economics be·hav·ior·al ec·o·nom·ics noun a method of economic analysis that applies psychological insights into human behavior to explain economic decision-making. (wikipedia)
  8. 8. @LeahEustaceBloomerang: Behavioural Economics February 2016 In other words … What impact does your subconscious have on the decisions you make? And, how can we use that knowledge to increase our fundraising revenue?
  9. 9. @LeahEustaceBloomerang: Behavioural Economics February 2016 How we think we make decisions @LeahEustace #NPStoryConf
  10. 10. @LeahEustaceBloomerang: Behavioural Economics February 2016 How we actually make decisions @LeahEustace #NPStoryConf
  11. 11. @LeahEustaceBloomerang: Behavioural Economics February 2016 Emotion versus logic Artwork courtesy of Mark Phillips www.bluefroglondon.com
  12. 12. @LeahEustaceBloomerang: Behavioural Economics February 2016 Emotion versus logic
  13. 13. @LeahEustaceBloomerang: Behavioural Economics February 2016 Emotional Contagion
  14. 14. @LeahEustaceBloomerang: Behavioural Economics February 2016 Relevance to Fundraising?
  15. 15. @LeahEustaceBloomerang: Behavioural Economics February 2016 Scarcity theory Simply put, humans place a higher value on an object that is scarce, and a lower value on those that are abundant. Photo by Matt Wetzler / CC BY-SA 2.0
  16. 16. @LeahEustaceBloomerang: Behavioural Economics February 2016 I’d better act fast!
  17. 17. @LeahEustaceBloomerang: Behavioural Economics February 2016 Limited sponsorships, naming opportunities, timelines
  18. 18. @LeahEustaceBloomerang: Behavioural Economics February 2016 Mere exposure theory
  19. 19. @LeahEustaceBloomerang: Behavioural Economics February 2016 Reciprocity theory Give Receive
  20. 20. @LeahEustaceBloomerang: Behavioural Economics February 2016
  21. 21. @LeahEustaceBloomerang: Behavioural Economics February 2016
  22. 22. @LeahEustaceBloomerang: Behavioural Economics February 2016 Social Proof Social proof is a psychological phenomenon where people assume the actions of others in an attempt to reflect correct behavior for a given situation. (wikipedia)
  23. 23. @LeahEustaceBloomerang: Behavioural Economics February 2016 Social proof
  24. 24. @LeahEustaceBloomerang: Behavioural Economics February 2016 “Every day, people just like you … “
  25. 25. @LeahEustaceBloomerang: Behavioural Economics February 2016 Authority We feel a sense of duty or obligation to people in positions of authority.
  26. 26. @LeahEustaceBloomerang: Behavioural Economics February 2016 Authority The Milgram experiments
  27. 27. @LeahEustaceBloomerang: Behavioural Economics February 2016
  28. 28. @LeahEustaceBloomerang: Behavioural Economics February 2016 Anchoring theory The anchoring rule of thumb describes the common human tendency to rely too heavily on the first piece of information offered (the “anchor”) when making decisions. Once the anchor is set, decisions are then made by adjusting around the initial anchor, regardless of the legitimacy of the actual anchor. (source: http://disenthrall.co/)
  29. 29. @LeahEustaceBloomerang: Behavioural Economics February 2016
  30. 30. @LeahEustaceBloomerang: Behavioural Economics February 2016 Has this happened to you? Photo by Ann Larie Valentine / CC BY-SA 2.0
  31. 31. @LeahEustaceBloomerang: Behavioural Economics February 2016 Campbell's soup sale
  32. 32. @LeahEustaceBloomerang: Behavioural Economics February 2016 How much jail time? Photo by Ken Teegardin/ CC BY-SA 2.0
  33. 33. @LeahEustaceBloomerang: Behavioural Economics February 2016 Save 50,000 sea birds “Would you be willing to pay $5….”? $20 “Would you be willing to pay?” $64 “Would you be willing to pay $400…?” $143
  34. 34. @LeahEustaceBloomerang: Behavioural Economics February 2016 Be thoughtful about what your first ask is
  35. 35. @LeahEustaceBloomerang: Behavioural Economics February 2016 People look to an anchor to help them make a decision, but they make multiple decisions before making a gift, so there's an opportunity for multiple anchors: “Should I open the package?" "Should I read the letter?" "Should I agree to the meeting?"
  36. 36. @LeahEustaceBloomerang: Behavioural Economics February 2016 What’s the anchor … in Toronto
  37. 37. What’s the anchor?
  38. 38. @LeahEustaceBloomerang: Behavioural Economics February 2016 What’s the anchor?
  39. 39. @LeahEustaceBloomerang: Behavioural Economics February 2016 What’s the anchor? “I don’t want to ask for $1,000,000 and get thrown out of your office, but I don’t want to ask for $100,000 either if $500,000 is more your speed.”
  40. 40. @LeahEustaceBloomerang: Behavioural Economics February 2016 What’s the anchor?
  41. 41. @LeahEustaceBloomerang: Behavioural Economics February 2016 What’s the anchor?
  42. 42. @LeahEustaceBloomerang: Behavioural Economics February 2016 What’s the anchor?
  43. 43. @LeahEustaceBloomerang: Behavioural Economics February 2016 • Impact • Break the cycle • You make the difference • The time to act is now • Our programs work • There’s no better place to ask for help than YSB • Saving lives … and look at the eyes
  44. 44. @LeahEustaceBloomerang: Behavioural Economics February 2016 Extremism aversion
  45. 45. @LeahEustaceBloomerang: Behavioural Economics February 2016
  46. 46. @LeahEustaceBloomerang: Behavioural Economics February 2016 Leah Eustace, ACFRE Chief Idea Goddess, Good Works leah@goodworksco.ca www.goodworksco.ca @LeahEustace #NPStoryConf
  47. 47. Questions?
  48. 48. https://bloomerang.co/resources •Nonprofit  Wrap-­‐Up   •Bloomerang  TV   •Bloomies •Daily  blog  post   •Weekly  webinars   •Downloadables
  49. 49. Our  next  free  webinar  » The Party’s Over: Special Event Audits Thursday, February 11th - 1:00pm Eastern Alice L. Ferris, CFRE, ACFRE & James S. Anderson, CFRE https://bloomerang.co/resources/webinars

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