Some guidelines to maintain quality donor communication throughout the year:

• Includes 1-2 personal contacts annually with top donors, mixed with other media. Remember last week I defined personal as in-person or on the phone.
• Keep your mission relevant without being intrusive.
• Maintain some sort of monthly contact via newsletters, e-alerts, annual report, special donor message, etc.
• Whenever possible, send a special message to a segmented group of supporters. e.g. Multi-year donors get an “Insiders” message a couple times a year or are invited to an exclusive meeting with your CEO.
• Don’t let too much time pass with no communication. Especially if you want the donor to give again this year. The “void” of time between asks is especially important.

This tool has been refined and used by many organizations over the years. I first started using a plan like this many years ago as both a development and executive director. Then, when I worked as a senior instructor at Raising More Money, now called Benevon™, we coached organizations to create plans similar to this one.

More information can be found on how to create a donor communication plan in chapter 14 of Raising More Money: A Step By Step Guide to Building Lifelong Donors, by Terry Axelrod.

Notice the red circles on the chart below. Those indicate there is too much time with little to no communication for key supporters on this plan.

To keep this manageable: You don’t have to create the whole year-long calendar all at once. Start with a couple of months at a time. Just be sure that before January 2011 you have a full year completed and ready to guide you.

Scheduling time to complete a plan like this one is invaluable. It allows you and your team to decide which months are too busy, which months need more touches and where to “put” the personal touches with key supporters so they know you’ve noticed them and their gift is special to your organization.

I’d love to hear from you about what kind of plan you’ve created.

Just because they aren’t as easily accessible doesn’t mean we shouldn’t make the effort to stay in touch with them. In fact, 46% of donors stop giving for reasons connected to a “failure to communicate” according to Penelope Burk’s book, Donor Centered Fundraising.

I suggest year-round communication that ensures supporters know you are thinking about them and their gifts matter. Make a plan for keeping donors and volunteers “in the loop” and stick to it, even this summer. Here are a few quick suggestions:

• Maintain a monthly schedule of donor thank you calls as financial and in-kind contributions arrive. Ideally these are made by a volunteer within about 48 hours of receiving the gift. Leaving a voice mail message can have as much impact as speaking directly with the person. And now they know for sure you noticed their gift and it matters to you that they made a contribution.
• Stay in touch via electronic monthly email newsletter updates that are 250 words or less. These short, compelling messages should generate some “feeling” about your work while also providing some factual information. Less is more in length.
  Format to use:
  - Share a short story or quote from a client
  - Tell what’s working – briefly
  - Give at least one example of what’s missing (i.e what you need more of to serve more people)
• Make a phone call to invite a selected group of financial supporters to participate in a summer event. Invite them to your client picnic, a special day at camp or to stop by for a short visit in the morning when people are lined up to be served by your foodbank.
  It’s the personal invitation that counts. Keep the amount of time short for them to participate in your event and allow the donor to bring their family or a colleague. Most importantly make sure the time spent is meaningful. Have a client shake their hand and thank them for their support or have them arrive just in time to see the kids get their end of camp awards.
  Remember: The donor doesn’t have to attend the event to have the invitation be of value. The phone call inviting them keeps you on their radar and reminded them of how important they are to your organization.
• Have some of your clients create handwritten thank you notes to send to selected supporters.This is a great exercise in teaching youth about the value of thanking others or giving elderly clients a feeling of “helping out.” The note reminds your supporters that there are real people being touched by their contributions.

Creating connections that keep your mission on your supporters minds will impact the effectiveness of your year-end appeal.

I, too, have been both a CEO and a development director for small nonprofits. I’ve found the work energizing, overwhelming, and never dull.

What I learned, as Reynold Levy tells us in Yours for the Asking, is that when a fundraising program is really humming, it resembles a ladder and the seasons of life.

“It resembles a ladder, because ideally individual and institutional sources find donations habit forming and their relationship to your organization or cause strengthens over time.”

Levy uses an example from Kenneth N. Dayton, the former chairman and chief executive of Dayton Hudson Corporation. Dayton describes the stages of giving for himself and his wife this way (p. 18):
1. Minimal response
2. Involvement and interest
3. As much as possible
4. Maximum allowable
5. Beyond the max
6. Percentage of wealth
7. Capping wealth
8. Reducing the cap
9. Bequests

Here’s the thing: These stages are only likely to occur for a donor if someone in the organization has made it their focus to maintain meaningful relationships with key supporters.

That is not to say the executive director must do all the donor tending. An engaged board, key community volunteers who may also be financial supporters, and of course staff, can all play a role in the efforts. The executive director sets the tone by their own actions and focus on individuals.

An example of a gifted fundraising executive director is Clint, a man who is the President of a large social-service organization. He has a development staff of only one, between 400-500 other employees, and an organization that delivers more than 25 different programs throughout his community.

I’ve watched Clint and his tiny but mighty development staff work to engage more people to assist them in keeping key donors connected both with their time and their dollars. Eight or so years ago the organization had maybe 30 or 40 people who gave major gifts. Now they are just shy of 400. These are people who make gifts of $5000, $10,000, and even $50,000 or more each year. Clint knows each and every one of those people by name and sight.

He’s told me, “I plan on 45 minutes when I run to the store to pick up milk. There are just too many people to say hello to and thank.”

Clint has made it a policy to personally phone or send handwritten notes to anyone who makes a gift of $500 or more. He does it the minute he learns of the gift and then is done with it, so it’s not something waiting on his to do list.

What Clint has created is an environment of caring and really “seeing” the people who love the work of his organization. Does this take him time? Yes. Does he have to make choices to not do other equally important tasks? Absolutely.

When I asked him why, he said to me recently:

“I learned a long time ago, I have to be less of a lone-ranger and more of a recruiter. My job is to keep identifying people who have a passion for our work and then regularly keep them engaged and feeling special.”

Clint’s organization has hundreds of financial supporters at all the stages of giving outlined above. People give more and for long periods of time because they know for certain their gifts matter to both Clint and to the organization.

If your organization has any individuals who have given you their time or their money for more than a year, do you know them by sight? By name? Do you schedule regular times throughout the year when you can meet with a handful at a time or one-on-one?

I invite you to reach out to someone today who is a supporter. Surprise them with your call and attention. Share a short example or story with them of how your organization has changed someone’s life this past week. And then listen. Really listen.

Being a board member is not just an honor to bestow on people who show up at meetings. Board seats are critical to the financial success of your organization.

I can just feel some people squirming as I write this. I can read your mind, too: “But Lori, you don’t know my organization—my board can’t/won’t agree to that!”

Are you sure?

The reality is, without FULL board participation and a clear understanding of your financial needs, your work as an organization is far more difficult.

How do you get the board to support your fund development work? Start with an expectation and accountability discussion. When the board members started their term of service, were they told directly that being a part of fund development is expected of them? Was their role clearly defined? And do you have one or more advocates on your board who will strongly support your efforts to get all the board members, well, “on board”?

Here’s what I mean: In the interview process, it’s critical that both fundraising (the raising of assets) and fund development (raising of visibility and deepening engagement) activities be thoroughly discussed and outlined. New board members must know beyond any doubt that they will be included in some of the “doing” as well as the giving.

A frequent frustration I bump into is that the development staff doesn’t know—because they haven’t discussed it or created a plan around it—what they want from the board, so the board is left to figure it out on their own. It’s as if you want me to know how to scuba dive because I love being in the water, but no one ever takes the time to teach me to do it.

Participation doesn’t mean the board members must directly ask for financial contributions. Here’s a short list of things that a board member or key volunteer can do to assist your organization in maintaining deep, connected relationships with donors, and they do not ever have to ask someone else for a financial contribution:

• Make phone calls to donors to thank them for their recent contribution.
• Invite donors, volunteers, community members, family, friends, colleagues, and others to your events, including the “get to know us” type of events that are free.
• Take a current or former donor to coffee to thank them for their recent gift. Obviously it’s not practical to take every donor out; set a minimum donation goal for this type of activity.
• Make an introduction to the community affairs person at their workplace.
• Give a heartfelt—but short—speech at their church or civic group to invite interest in your organization.

This is only a short list of the many ways board members can actively participate in fund development activities. Whatever role they play, staff and board must be clear and specific about expectations. Then staff assists by providing data so that board members can hold themselves accountable. Discussion of these metrics may cause great strides in your keeping donors connected and engaged.

Let me know what other ways your organization utilizes board members in fund development efforts.

Three things can help you be a financially savvy organization: Monitor, Stay Focused, and Ask Good Questions that lead to action.

What to monitor? Throughout the year but definitely in times of uncertainty some things to take a look at:

1.  Financial track record.
2.  Be aware of changes to income source(s) and cost structures.
3.  Note how diverse & flexible your financial support is or isn’t.
4.  Know pledge redemption history and be prepared for changes.
5.  Note how financially sophisticated the board, staff & donors are.

And for more, last week, colleague Laura Deaton from Third Sector Connector posted a great list titled: 20 Questions That You Should Be Able to Answer At Any Given Time About Your Organization’s Financial Health.

Stay focused on core programs & services. Remind yourselves why you exist in the first place. Then identify any weaknesses in funding for core or peripheral programs. Reach out into your community to shore up collaborations or partnerships if necessary to maintain what is core to your mission. For some groups I’m working with this has been a difficult conversation because state or federal funding cuts are eliminating programs. Now is when it’s critical to have your strategic plan front and center to guide the decisions that may need to be made.

Ask questions. Your organization may or may not have the answers to all the questions you are asking, but asking the right questions is key. Financially savvy organizations know the costs of their programs, where the strengths and weak links are, what the contingency plans are for cost cutting and they share that kind of information with more than just the “insiders.” I’m a fan of sharing the good news and the not so good news with donors, volunteers, board members, staff – virtually anyone who is a stakeholder.

Just a week ago, a CEO I work with, we’ll call him Charlie, shared with me that he was surprised and proud that two of his board members made it a point to ask about the funding gap for the organization. The board members brought up the topic at a recent board meeting, Charlie didn’t. 

What Charlie said is: “we’ve really trained our leadership to be asking questions and aware of what our financial situation is so they can share it with others and help us to raise the dollars we need.” Sounds like a great board to me.

The second part of asking the questions is being able to make decisions and take action when you’ve collected the information. Don’t let the indecision paralyze your organization.

One of my passions is to raise awareness of the “money” conversation that often goes on behind closed doors and doesn’t get shared until it’s too late. I believe talking about finances and fundraising costs & goals allows others to see that you have a place for them when they are ready to give.

It can sometimes feel like extra work that you just don’t have time for, but even a small nugget of information can turn a prospecting conversation into a deeper discussion when you have done your homework. I’ve been able to WOW potential donors by keeping great records on our previous conversations or knowing something about them they haven’t yet shared with me – like the name of another organization they volunteer their time or financial support.

So how do you track down good information? With Google and Bing you can find LOTS of great information on most anyone. I’ve compiled a short list of places I often use to do a quick search for information before a meeting with someone. I’m sure there are more. If you know of other good places to conduct FREE searches please add them in the comments below. NOTE: The list below does not include any information on the many firms that specialize in conducting fee-based donor research.

A very important rule of thumb: Spend no more than 15 minutes per person when doing your searches. In fact, about 10 minutes should give you plenty of background. And doing this kind of donor research is a great intern or volunteer project.

• First thing I do is to check LinkedIn to see if the person has a page. If they do I usually find LOTS there. You can also check MySpace and Facebook to learn some things if they have a public page. Other sites I use less often but work fine too: Plaxo, Classmates.com, MyLife and there are lots more listed on the Wikipedia List of Social Networking Sites.
• Next I type their full name into Google and/or Bing and see what comes up. It’s helpful if you know a middle initial or middle name so you can be certain you have the correct person in your search. I take just a few minutes to dig around on the various pages that come up. You often can find recent business transactions, event listings, contribution information, associations they are a part of, schools they attend or their children attend. Anything that is listed on the internet can usually be found through a simple search.
• Next I do a search with the person’s and add the word donations.
  For example: Lisa A. Swanson Donations
  By doing this I may pull up some information that the previous search may have missed. Either search SHOULD provide places where the name is listed on annual reports and other ways the name has been posted online. It’s often that the name is listed with a gift amount range.
• If I know it, I also do this same process for a married couple and include both names. I’ve found some pretty obscure information about people’s weddings, births of their children and more.
• To learn more about the value of a home I type the address in at zillo.com and an estimate on the price comes up.
• Another site I use is www.pipl.com – there is no fee and it sometimes can bring up some deeper information on the person.

All of this information is only good if you actually get into communication with the person. Capture what you learn in your web-based donor tracking system and then set your meeting with them. You can feel more confident when you have done your homework about someone and learned where they are already giving their time and financial support.

But do we get too caught up in the satisfaction of the action that we forget the basis of our work? Building deeper relationships with our donors? I was reminded recently by Greg, a long-time development professional, that crossing off the list doesn’t always honor someone’s connection to our organization.

At a meeting recently, Greg asked me to review a letter he was sending to a handful of donors who had lapsed on their annual pledges. He explained that these 8 people had made their initial pledges anywhere from one to three years ago. My question to him was, “When is the last time you had any personal contact with them?”

“Not for the last year or two other than the thank you call they received for their gifts,” was Greg’s honest reply. “But they all receive our newsletter two times a year.”

I pondered this and talked with Greg about the fact that while the letter was written well, these people cared enough to make a pledge at one time, when they felt deeply connected and moved by the mission. To send a letter asking for the money may feel unwelcoming on the receiving end. It would be more powerful to connect via phone with these folks who may be facing financial challenges themselves or experiencing a lack of connection to the organization. We discussed a phone approach that felt authentic, with questions about how THEY are doing in this economy, conducted a short role play about one of the donors, and I left.

The next day I received these words from Greg in an email message:

“Thank you for sharing your time, inspiration, and guidance to talk this issue through and take my work to whole new levels. Deep down I know this work is all about relationships and energy. Sometimes it is hard to remember this in the midst of all the paperwork, the nuts and bolts details to manage, and the things that come at you to juggle.

Sometimes it’s hard to make that phone call when you share an office or somebody is vacuuming. And it would just be more convenient and expedient to send that reminder letter and cross the task off a list. I can write a good letter, but I realize now that it bypasses the opportunity to authentically connect with our donors and take our relationship to the next level.”

Do you know how your top donors are faring in this economy? I hope Greg’s words will inspire YOU to pick up the phone and find out. When you do, if you are authentic in wanting to learn more about them and share something new about your organization, I guarantee the message you leave or the conversation you have WILL move things to a new level in their relationship with you.

I’ve been talking with many staff and board members who are sharing their fear about potentially dismal, awful situations. The dismal and awful has not happened yet. They are forgetting that the development team is the place we all take our cues from on how to react. So, my advice is to keep talking about what is working at your organization and what is missing. Give quarterly updates this year to your donors instead of the usual annual update.

People will respond and give when they are ready.

How do I know that donors will give? Some of my clients have reported receiving record year-end contribution totals. In fact, one of the groups I work with reported that on the final day of the year, December 31, 2008, their on-line giving total for that one day exceeded $38,000! That’s how I know. Giving continues, even in economically challenging times, when you make it easy and compelling for donors to do it.

• Fundraising in challenging times
• Sharing the story of your organization
• The power of asking versus inviting
• Donor cultivation
• And more!

Watch the calendar on this site for dates for this same session to be offered in 2009.

One area that we talked about that I’ll share with you here was how fund development work requires time, attention to details and personal contacts with your donors. If you want to have a successful fundraising program, ask yourself what is your commitment to the discipline of fund development?

Some tips for you:

• Acknowledge quickly and make it meaningful.
• Consider “asking” as an “invitation” to honor your clients/constituents.
• Use bold, clear communication that engages and inspires. Report back.
• Customize messages for your key stakeholders and major donors. Don’t change the message if they’ve told you what they are interested in.
• Share the good news and the not so good news.
• Invite donors advice, but be specific.

Happy holidays!