The document summarizes presentations from a nonprofit conference panel on how organizations listen to and engage with donors. It discusses strategies from Operation Smile and the American Cancer Society. Operation Smile tracks donor interactions, implements a "donor first" philosophy, and conducts retention calls. It also discusses thanking donors appropriately based on donation amount. The American Cancer Society discusses moving from being society-centric to constituent-centric by enhancing the constituent experience and providing choice. Both nonprofits emphasize using donor feedback to improve services and engagement.
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Breaking Through The Noise II
1. 2009 Annual Washington Nonprofit Conference2009 Annual Washington Nonprofit Conference
Breaking Through the Noise
Part II
How our donors break through the
noise to engage with us!
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Panel
• Polly Craik, Moderator
• Jann Schultz, Operation Smile
• Karen Reynolds, World Travel Holdings
• Angie Moore, American Cancer Society
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Jann P. Schultz,
Director of Donor Relations
How our donors break through the
noise to engage with us!
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What do these
FACTS mean?
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Operation Smile
• Established a full service Donor Relations
Team
• Purpose
– To effectively nurture and efficiently build long
lasting relationships with our constituents who
financially support, volunteer and advocate for
Operation Smile.
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Operation Smile Donor First Philosophy
To serve the donor with the same exceptional
care that Operation Smile provides to children
and their families around the world.
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Documented Donor Interactions
• Actions added as of 11/21/2008: 32,348
• Actions added in 2007: 20,556
• Actions added in 2006: 13,716
• Actions added in 2005: 4,794
Expectation: all donor interactions by phone, e-
mail, meeting, etc. will be documented in RE
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So what are our donors saying?
• 23% - Customer Service Requests
– 2400+ responses to DM exception mail &
correspondence
• 8% - New Donation or donation status
• 6% - Updates to Mailing Status
– 741 “Do Not Mail”
– 222 Address Change alert from donors
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Making their voice heard…
• They want to ‘manage’ their direct response
interactions
– We make it possible to meet their requests, not simply ALL
or NONE
– Online, have multiple options & personalization
– Offline, variety of attributes and solicit codes we use to
flag record with the donor request
• Requires solid database management skills – and
training of teams using the system.
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Donors want to help…
• 6% - Grassroots Fundraising
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Grassroots Fundraising
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Outreach to Donors
• 23% - Thank You Calls & hand written notes
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Donor Relations Team
Thank You Calls or Handwritten Notes
$240 - $999
Development Services Team
Thank You Calls or Handwritten Notes
$1,000 - $4,999
Donor Database Team
All donations receive Tax Receipt/Acknowledgement from Operation Smile
Development Directors
Thank You Calls and Handwritten Notes
Office of the Co-founders
Thank You Calls and/or Notes
$5,000+
Special Handling
$10,000+ and special requests
Events
Thank You Notes from Organizers
v. Sept 08
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What about the rest of our donors?
• To reach our donors who give $25-$239
• Engaged ALL our HQ staff…including Programs
and Admin
• Quarterly…
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The largest volume of calls
dedicated to our
Donor Loyalty and Retention Programs
• 31% of calls are dedicated to donor retention
efforts
• 7,600+ inbound and outbound calls
– 5,300+ calls made to CC decline, lapsed pledges
– 1,500+ calls for sustainer program cancellations
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SAVES Strategy
• Level One – retention of donor at current level of giving
– Option - provide alternate method for giving
• Level Two – retention of donor at reduced level of
giving
• Level Three – retention of donor as a fundraiser
– Option – grassroots fundraising on behalf of OS
• Level Four – retention of donor as a supporter
– Option – raise awareness, hold collections, volunteer
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Back by Popular Demand
• Electronic EOY tax receipt
• 94% positive rating when
tested last year
• Multi-channel to reach
more donors
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Key Takeaways
• Define exceptional customer service
expectations and implement across your
organization
– Donor First Program
• Establish a team focused on building
relationships and retaining donors
– Provide them with the tools and training they need
• Establish expectations for capturing donor
interactions, track and report
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Listen & respond to your donors
• Allow for flexibility within your program so
donors can define direct response interactions
• Provide tools for donor fundraising efforts
• Properly thank your donors – and listen to
what they have to say when you call!
• Train your staff to retain donors – offering
alternatives for donors to remain engaged
• Test new ROR programs and roll out with
positive response
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Sources
• Accenture Survey, July-August 2008
– http://www.directmag.com/crm/poor-service-
not-price-survey-1999
• Non-Profit Sector in Brief, May 2008
– Urban Institute and National Center for Charitable
Statistics
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Speaker Contact Info:
Jann P. Schultz, Director of Donor Relations
Operation Smile
Global Headquarters: 6435 Tidewater Drive,
Norfolk, Virginia, USA
757-321-7645
jschultz@operationsmile.org
Twitter: @jannschultz
LinkedIn: Jann Schultz
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Karen Reynolds,
Director of Customer Service
World Travel Holdings
How our donors break through the
noise to engage with us!
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World Travel Holdings is one of the nation’s largest online and
offline leisure travel companies
Owned Brands:
Partner Brands:
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What we do…
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How we listen to our customers…
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Cruise Product
How well did this cruise meet your expectations?
Both individual ships and cruise line as a whole are rated on a 1-7 scale
Comments
•Best performing products
•Products experiencing difficulty
•Comment themes
Cruise Product Team
Cruise Line Execs
Sales and Service Teams
Web
Intranet
Customers
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Q3 Highest Rated
Ships
(of ships with 25+
survey responses)
Survey
Score
Q3 2007
(1-
7scale)
Survey
Score
Q3 2008
# of
CR
cases
durin
g Q3
RCC Mariner of the
Seas
6.05 (92) 6.24 (41) 2
RCC Liberty of the
Seas * +
6.20 (46) 6.05 (40) 1
HAL Oosterdam 6.25 (12) 5.96 (28) 0
CCL Inspiration 5.59 (29) 5.91 (33) 1
CCL Conquest 5.94 (33) 5.89 (27) 2
CCL Victory 5.11 (98) 5.86 (37) 4
How well did this cruise meet your expectations?
1 2 3 4 5 6 7
Not at all Exceeded
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Top 20 ShipsTop 20 Ships
Past six monthsPast six months
Ship scoring:
•Survey:
•5.50 or better (out of 7)
•At least 20 responses
•CR cases:
•.50 or better complaint
ratio
•Reviews:
•4.60 or better (out of 6)
•At least 10 reviews
Ship
Comp vs.
Dept
Review
Score
Survey Score
Promoter
Score (1 – 7)
DCL Disney Wonder 0.15% 5.41 (34) 6.02 (33) 6.12
RCC Freedom of the Seas 0.19% 5.21 (24) 6.18 (49) 5.63
RCC Liberty of the Seas 0.13% 5.21 (34) 6.11 (85) 6.06
HAL Oosterdam 0.00% 5.17 (30) 6.00 (68) 6.35
RCC Rhapsody of the
Seas 0.00%
5.08 (12) 6.05 (22) 5.91
CCL Carnival Legend 0.09% 5.04 (54) 5.95 (116) 5.89
HAL Westerdam 0.10% 5.00 (25) 5.82 (45) 5.62
RCC Mariner of the Seas 0.13% 4.90 (40) 6.07 (109) 6.16
RCC Voyager of the Seas 0.19% 4.86 (21) 6.21 (39) 6.10
RCC Adventure of the
Seas 0.14%
4.83 (30) 5.74 (66) 5.88
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Problem Resolution
– Any score of 3 or lower is addressed personally with a
return email or a follow-up call
– Problem is worked until customer is satisfied
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Example of problem resolution:
I would like to see the following:
-Credit towards final invoice
-Discount that was promised, 15%, on shore
excursions that we booked while on ship.
-The Kids Club service was horrendous on the ship.
Would like for you to complain to Carnival.
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Agent Feedback and Recognition
Bruce,
I would like to take a moment of your time to thank you for the excellent
customer service I have been receiving from Margo. Over the course of
this year I have had many horrifying experiences with customer service
departments from many different companies. Working with Margo has
been such a breath of fresh air for me. She has been so helpful and
enjoyable to work with during what could have been a much worse
situation. Margo and I are still working on resolving some issues with
another company and I am glad she is my agent!
Thanks again!
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Customer Reviews
www.cruisesonly.com
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Average Disney Wonder Rating
Pros:
Great organization by Cruises Only and Disney Cruises
Cons:
no negatives
As first time cruisers we really appreciate the great communication and
organization by Cruises only and Disney. We are very satisfied and would
highly recommend Cruises Only and Disney Cruise Lines
Great Cruise by Mitch H from Charlotte, NC
Sailing date: Dec 2008
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Customer Service Suggestion Box
– Allows CS agents to pass along direct feedback
from customers once their call has ended
– Allows CS agents to ask questions, make
suggestions or express concern anonymously
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Suggestion Box example:
In Customer Service we received a lot of calls regarding
Advanced Guest forms. Each of us seems to have a
different level of knowledge about each of the different
cruise line forms. I've learned the quirks of some of them,
realized that others could benefit from perhaps more
hands on to each of them. Some of my coworkers may
never have cruised or prefer to leave the passengers to do
their own. It would help us and the passengers if we all
had some working knowledge of each one. Perhaps a
study?
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Recommendations:
If you are going to collect feedback from customers, use it!
– Take action on negative items
– Share positive responses with those involved and with management
Use customer feedback in methods that are visible to the
customer
– Contact customers regarding negative replies
– Post reviews, customer comments, etc.
Consider both external and internal customers
– Internal customers’ (coworkers, employees, etc) feedback can help the
organization learn and grow as well
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Speaker Contact Info:
Karen Reynolds, Director of Customer Service
World Travel Holdings
2875 Sabre Street, Suite 300
Virginia Beach, VA 23454
757-233-5387
kreynolds@wth.com
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Breaking Through the Noise
Part II
How our donors constituents break
through the noise to engage with us!
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American Cancer Society
• $1 billion in annual revenue ~ strong brand awareness and
confidence
• Dedicated to eliminating cancer as a major health problem by
preventing cancer, saving lives, and diminishing suffering
from cancer, through research, education, advocacy, and
service.
• Constituent base includes cancer patients, caregivers,
survivors, donors, volunteers, advocates, special event
participants, medical professionals, children, etc.
• Over 63 million constituents in constituent database – 22
million actively engaged over the last 36 months.
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Constituent
Relationship
Management
Experiences
“Remember
Me”
“Be Relevant”
“Listen to Me”
Loyalty
Satisfaction
Commitment
Opinions
Word-of-Mouth
Referrals
“Meet my needs”
“Follow-through”
42. CONSTITUENT
FOCUS
REMEMBER UNDERSTAND ACT & IMPROVE
TOOLS SIEBEL VOICE MEASUREMENT
ORGANIZATION VERTICAL HORIZONTAL
ORGANIZE AROUND
CONSTITUENT
PROCESSES
CONVENIENT FOR
SOCIETY
BUILT FOR CONSTITUENT
METRICS SOCIETY-SPECIFIC CONSTITUENT-BASED:
Satisfaction
Relevance
Refer & Recommend
Retention
Broaden
Constituent-CentricSociety-Centric Our Evolution….
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The Society
Providing Exceptional
Relationships…
Enhancing the Customer Experience
Creating a “Learning” Relationship
Cross Selling
Presenting “One” Organization
Providing Choice
Protecting privacy & preferences
Constituents
Leads to…
More lives saved
More mission moved
More money
More volunteers
More advocates
Higher customer satisfaction
Higher renewal & retention
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Our “View”
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The View We Needed
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CHALLENGES
• “Knowing” our
constituents
• Lack of “integration”
across the enterprise
• Donor retention
• Segmentation
conflicts
• Data capture
• Data “sharing” and
organizational
intelligence
OPPORTUNITIES
• Validate marketing
strategies
• Decrease redundancies
• Increase net revenue
• Integrate the cancer
continuum and the
fundraising continuum
• Drive return on CRM
system investment
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3% 2%
20%
26%
49%
5% 5%
24%
26%
40%
0%
10%
20%
30%
40%
50%
60%
70%
Very Dissatisfied 2 3 4 Very Satisfied
Donors
The Rude Awakening
Survivors
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0%
10%
20%
40%
60%
80%
100%
Poor Fair Good Excellent
Zone of
Defection
Zone of
Indifference
Loyalty
0%
10%
20%
40%
60%
80%
100%
Poor Fair Good Excellent
Zone of
Defection
Zone of
Indifference
Loyalty
The Reason to Worry
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The “Burning Platform”
versus The “Carrot”
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Constituent Relationship
Management (CRM) is a
strategy for building and
maintaining the relationships
that are key to accomplishing
our mission through strategic
data capture and analysis,
relationship strategies, and
customized marketing.
Constituent Care
is a CRM strategy which
involves segmenting our
constituents and
activating an annual,
strategic planning
process across the
enterprise to drive greater
satisfaction and stronger
relationships through
improved
communications and
decision making.
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The “Constituent Care” Hypothesis
By focusing on constituents and taking “care” of
those relationships, we will……
– Ensure a consistent, positive constituent experience
– Increase constituent retention, loyalty & satisfaction
– Optimize relationships through thoughtful & targeted
offerings
– Increase fundraising productivity & ROI
– Increase ROR ~ “return on the relationship”
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Constituent Care
• Two-Year pilot with 18 states
• Founded in market research
• New segmentation introduced – “affinity-based” model using
all engagements – 6 affinity segments and 2 lifecycle segment
• Communication cataloging across all levels to drive
constituent-based communication strategy & planning
• Decision-making & processes assessment around what is
communicated, when, and to whom
• Relationship-building communications deployed with no asks
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Measurement
• Movement from one affinity segment to another –
up and down
• Movement into and out of high-affinity segments for
rapid response
• Increase in annual worth
• Relationship retention improvement
• Conversion from non-donor to donor
• Conversion from non-volunteer to volunteer
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Status
• Processes deployed successfully
• Retention and annual worth statistics are showing
greater improvement than non-care Divisions/states
• Full results ready later in 2009
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Thank You
Angie C. Moore
Managing Director, CRM
American Cancer Society
Angie.Moore@Cancer.org
Notas do Editor
DMANF Presentation – Breaking through the Noise Part II January 2009 Operation Smile Case Study – Jann Schultz, Director of Donor Relations REQUIRED PREP: RED and GREEN ½ sheets of paper, 1 of each on each chair. To be used in the first activity.
OK, we are going to do a bit of MYTHBUSTING today… you are going to vote on whether the following are MYTH or FACT. <Ask participants to respond to the following questions use GREEN (FACT-TRUE) or RED (MYTH-FALSE) colored sheets of paper: First a couple of practice ones for you…since I’m from Virginia Beach, here is one for you – You are more likely to be struck by lightening than to be attacked by a shark. True or False? TRUE - According to the National Weather Service, the odds of being struck by lightning in the United States in any given year are 1 in 700,000. By contrast the odds of being attacked by a shark in the United States are roughly 1 in 8 million. How many of you brought your lap top to the conference? Here is one for you… In 1977, the CEO of a major computer company said, "There is no reason for any individual to have a computer in his home." True or False? TRUE - Ken Olsen, co-founder and CEO of Digital Equipment Corporation, did indeed utter those words at a 1977 meeting of the World Future Society. OK, here is a myth that may be a bit closer to our work… 47% of consumers in the US say they have switched service providers in the past year due to poor customer service. True or False? FALSE – The actual number is 73, yes - 73% of Americans surveyed changed due to service - compared to 47% who switched due to lower prices. Consumers are more demanding year over year. True or False? TRUE – nearly one third said their service expectations were higher than they were just one year ago. Most consumers said technology has improved customer service. True or False? FALSE – less than half of consumers in mature markets believe that technology has improved customer service. So – what does this mean for us? <go to next slide>
FACT: There are approximately 1.4 million non-profit organizations registered with the IRS. FACT: With so much choice, if you are not providing exceptional service and ways for your donors to break through the noise…you will lose them. You must be developing strategies and implementing methods so that you can hear your donors through the day to day background noise! Listen to what they have to say and take action. Listen or lose them. What I want to share with you today are the strategies we have implemented at Operation Smile to hear our donors and what we have learned from the interactions we have with our donors. These may be obvious– and my apologies in advance if this is simplistic to you. The bottom line is, this isn’t rocket science. In the face of our economy and struggles – we have to go back to the basics. My goal is to provide you with some takeaways that you can use when your return to your job on Monday.
To better communicate with our donors, we had to re-design an existing service team, a small internal call center. We re-purposed them into a full service Donor Relations Team – staffing up from 2.5 members to 5 – one supervisor and 4 team members. They have been given clarity as to their role – you see their purpose here - and they have been given the tools, training and flexibility to achieve their success metrics. In addition to training on relationship fundraising and customer service skills, the team has been fully trained and utilizes our donor database, the Raisers Edge. This allows us to capture the voice of the donor and report back on specific requests, trends and results.
You must define your expectation for exceptional customer service. For Operation Smile, we have utilized the Operation Smile Donor First Philosophy. It is our way of turning background noise into individual donor voices that we can understand, respond to, and cultivate.
A tangible way of measuring the voice of the donor at Operation Smile is the number of ACTION Notes entered into our donor database – The Raisers Edge. Each one of these reflects an interaction with a donor - both inbound and outbound contact. You must establish STANDARD procedures for success – we have the expectation that each and every interaction with a donor is documented, so those voices, that history, is available to our fundraising team. This is just one basic way we provide exceptional customer service.
When analysis is done on these numbers, here are what our donors are saying when they contact us… The 23% Customer Service Requests include phone calls and correspondence. The team responded to more than 2400 donors who contacted us with comment mail on our Direct Mail or correspondence to HQ. The majority of these are simply thanking us for our mission – and we respond to everyone one of those by hand, or the second most common is asking for more information – often clarification on financials (sound familiar?!), followed by requests for more photos of children, or having more information to share with friends. 8% of our contacts have to do with new donations or information on donation status. We love these donors! 6% of these contacts are calling to request a change to their mailing status. We have noted 741 who have requested that we “Do Not Mail” – this includes the DMA requests that we download monthly. But what I find fascinating..is we had 222 donors call to alert us of their address change – making sure they continue to receive our mailings! WE LOVE THESE DONORS! 6% of our donors are interested in helping Operation Smile with grassroots fundraising efforts.
Our donors want to help – and 6% of our callers are seeking ways to support Operation Smile, beyond donating themselves. We have created a fundraising guide, with step by step instructions and chock full of ideas and other donor success stories. Materials are customizable, and sent via email in PDF form. We stress emailing for the donor to print to help us save money and serve more children. ASK: Please raise your GREEN sheet, if you offering the ability to customize materials for donors? <identify a “yes” response.> What do you offer to your donors? Some of our customizable In Lieu of Birthday Gift Cards for adults and children In Lieu of Wedding Gift, or Baby Shower Gift Cards Donation forms – specialized for the event Student/school based fund raising ideas & How-to Operation Smile “SMILE SHEETS” one-sheet fundraising “how-to’s” Lemonade Stand fun sheet Make-over night fun sheet Movie night fun sheet Moms babysitting club fun sheet Customizable donation forms (must include a code and be higher dollar earning potential) Tribute or Honor Donation Sheet; i.e. Reema’s Smile a fundraising effort in honor of a VaTech shooting victim; this should be used when the fund raising effort is to honor a specific person. Spread the Word/Spread The Smiles program where donors are engaged in spreading the word as an advocate for Operation Smile
ASK: Please raise your GREEN sheet, if you offering the ability to customize materials for donors? <identify a “yes” response.> What do you offer to your donors? Some of our customizable In Lieu of Birthday Gift Cards for adults and children In Lieu of Wedding Gift, or Baby Shower Gift Cards Donation forms – specialized for the event, coded for tracking purposes. Operation Smile “SMILE SHEETS” single-sheet fundraising “how-to’s” such as - Lemonade Stand for kids, Make-over night for teenagers, Movie night “in” for youth groups and even a Moms babysitting club Spread the Word/Spread The Smiles program where donors are engaged in spreading the word as an advocate for Operation Smile
The development team has fully implemented a successful strategy for thanking donors personally, if they have made a donation of single cleft lip surgery, $240, or higher. Across the team, more than 4500 calls were made to our donors to thank them for helping us transform the lives of children. Now making calls to DRTV pledgers – will be tracking response to see if call within 1 week of giving improves fulfillment rate.
Thank You Strategy Multiple Touch Points
Thank A Thon Donors who fall outside the TY Strategy Entire HQ staff Calling donors to thank Positive feedback from staff – will implement quarterly
Retention of cancelling donors Offering other ways to remain engaged with Operation Smile
Offering ways to remain engaged with Operation Smile, being sensitive to donors desire to help and current financial situation.
TEST programs that provide a return on relationship – not necessarily a high short term ROI. EOY Online Tax Receipts - test 94% Positive Response last year, generated additional $20K in revenue With new web platform, created our own internal program to provide this service and expand to donors who have not given us their e-mail
Recap Key Takeaways
DMANF Presentation – Breaking through the Noise Part II January 2009 World Travel Holdings Case Study – Karen Reynolds, Director of Customer Service REQUIRED PREP:
DMANF Presentation – Breaking through the Noise Part II January 2009 Operation Smile Case Study – Jann Schultz, Director of Donor Relations REQUIRED PREP: RED and GREEN ½ sheets of paper, 1 of each on each chair. To be used in the first activity.