What Donors Want
Most of All
(Hint: It may not be your
organization)
Jimmy La Rose
So you think you know fundraising and development. Okay, let's
put your knowledge to the test:
In order to
maximize giving from a particular donor, you need to:
- With permission, acknowledge the
leadership gift publicly;
- Consistently and creatively express
genuine gratitude for the gift;
- Meaningfully involve the donor in
your program;
- All of the above.
Jimmy
LaRose, CFRE, having served on the team that writes the test questions for the
Certified Fund Raising Executive certification exam, has a bit of an advantage.
"A lot
of people think it's 'D,'" he says. "The correct answer, however, is
'C.'
"Meaningful
donor involvement starts when you ask yourself, 'What can I do to get the donor
closer to our organization in a way that really allows him or her to experience
the people, passion and impact of the ministry?'"
Rushing to
adopt a set of proven strategies and tactics won't necessarily win you a
passing grade in the real world of raising money, says LaRose, who has invested
18 years in Christian fundraising and development.
"There
are essentially three philosophies of development. The first approach is technique
driven, from crazy direct mail to unusual special events.
"A
second approach is an institution-driven philosophy which says, 'Our
organization is making a difference; this is a safe and wise place to invest.
Share your money with us.' While I believe in using technique and in the
importance of the institutional case, the problem is that the focus is really
on the organization. In other words, 'It's all about us.'
"A
third approach, the donor-driven approach, asks the all-important
question, 'How can we help donors accomplish the personal goals to which God
has called them?' This emphasis requires the development officer to identify
needs and meet them. This method requires the creation of individual plans of
care, made up of multiple points of contact, which allows the case for support
to be introduced in a customized fashion, in a way that ensures donors'
objectives are met." The donor approach is ultimately realized through the
relationship cycle.
LaRose said
he learned this lesson years ago, when he was raising funds for a children's
home. "I tested direct mail letters to people age 65 and over, with a net
worth of least $1 million each. A woman named Mrs. Waugh responded to this cold
mailing with a $10,000 gift. I met her and learned she had a love for
children's education.
"After
months of cultivation, I invited her to become the chairperson of a $250,000
campaign to build a new cottage for the children. I was slightly let down when
she said she'd give another $10,000. However, it didn't take more than a few
seconds to realize I hadn't really listened to the thing she most cared about.
"A year
later, we launched a $500,000 campaign to build a new Christian school to which
she made a lead gift of $100,000. Not long after, she invited me to join her to
call on her girlfriends, each of whom made generous gifts. That's what happens
when you identify and honor a donor's priorities."
Finally,
once you've established your donor-driven philosophy of development, and you've
committed to the relationship-building process, you must make the case support
in a way that's visceral for the donor. Jimmy sums it up this way: "The
biggest obstacle to success in raising major gifts quite often is that the
agency doesn't articulate the project in a compelling manner. Executives must
understand that money 'chases after ideas,' and that there would always be
generous people who will amply support a great dream backed by a sound
plan."
The case for
support must answer every question a major donor has about the integrity of a
project. Here are the main elements:
- History/Mission
- People/Leadership
- Finances/Stewardship
- Services/Product
- Uniqueness/Distinction
- Future Vision—Two- to Three-Year Plan
- Immediate Investment Opportunity
There was a
time when meaningful donor involvement took place primarily over the course of
good conversation, or in the spacious living room of a major donor. No more.
Today, a growing number of faith-based organizations have developed an
innovative fundraising approach, combining a universal love of travel with the
luxury of a three- or four-day escape, allowing them to build strong ties with
their donors.
All hear
this: Donors and the ministries they love are rendezvousing—for fun and
fundraising—on cruise ships.
Travel
specialist Honnie Korngold, founder of Christian Travel Finder, is seeing
churches, parachurch ministries and other faith-based organizations come aboard
ships in groups from 50 to 2,700. "They've been down the road of the
time-intensive efforts of organizing a banquet and paying $50, $70 or $100 per
plate, only to see a crowd of prospective donors trickle out the door."
Many
ministry leaders are amazed at the value of a cruise. Groups can actually save
50-75 percent over a traditional conference retreat event. From the development
standpoint, cruising offers a captive audience, the convenience and opportunity
of mingling, and conversing and getting to know people in a leisurely setting.
Cruising is
just one example of "philanthrotourism," a recently invented word for
innovative approaches to bring donors on a vacation with a purpose. Christine
Moore, with the Jordan Tourism Board, remembers welcoming Habitat to Humanity
donors to recently built homes near the Golan Heights.
"During
the course of the evening," she said, "one of the local boys rushed
in with cans of soda pop he had purchased for the visitors, at great sacrifice,
with his own money. It's very powerful when you can see one person who's been
affected by the work your organization has done and your donors have
supported."
Development
officers, be they ministry vice presidents or outside consultants eager to
cultivate meaningful donor involvement, are already aware of another reality.
"More and more," says La Rose, "philanthropists are entrusting
their dollars to their own private family foundations. They're hiring an
executive director, performing the needed due diligence and then directing
their gifts to very special projects that match their personal goals and
spiritual calling.
"These
new family foundations are being formed by people in their 40s and 50s. No
longer are they simply giving to good Christian causes in which they believe.
They're looking to be intimately involved in the particular ministry. They want
to understand the nuances. They're wanting to support a great dream, backed by
a sound plan."
That's not
unlike Mrs. Waugh, who gladly gave her treasure to support the desires of her
heart—all because someone, aware of what ultimately matters most to a donor,
became meaningfully involved in her life.
JimmyLa Rose
is thefounder of the National Development Institute, Development Systems
International, and JimmyLaRose.com. You may contact him at jimlarose@development.net.
