Fundraising Nan McConnell, CFRE, President The McConnell Consulting - - PowerPoint PPT Presentation

Myth-busting: Campaigns Hurt Annual Fundraising

Nan McConnell, CFRE, President The McConnell Consulting Group Suzanne Bissell, CFRE, Principal Bissell Philanthropy Services

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Oxford Dictionary

myth /miTH/

Noun:

1 A traditional story, especially one concerning the early history of a people or explaining some natural or social phenomenon, and typically involving supernatural beings or events.  traditional stories or legends collectively 2 A widely held but false belief or idea.  a misrepresentation of the truth  a fictitious or imaginary person or thing  an exaggerated or idealized conception of a person or thing

Synonyms : legend, fable, delusion, hallucination

I’m here to save the day and the annual fund

What is Annual Fundraising ?

Raising dollars:

• critical for support of your organization’s

mission every day, every year.

• builds the foundation for a strong,

comprehensive development culture.

Capacity Building

Donors

RENEW INCREASE NEW LAPSED MAJOR GIFT COMMITTEE CHAIR

Volunteers

NEW LAPSED BOARD OF DIRECTORS

Donor Centric

Board of Directors Executive Director Development Communication and Marketing Frontline Staff Finance Program Staff

The Culture of Philanthropy

Transformational Gift $$$$$$$ Campaign Planned Gift Gift Gift Transformational Gift Volunteers Visitors

The House of Development

Annual Fund / Membership

What is a Campaign ?

Raising dollars:

• With a focus on raising a large dollar goal,
• Within a defined period of time,
• For an extraordinary opportunity that exceeds

capacity of annual fundraising.

Myth 1: Campaigns Compete with Annual for Donors and Dollars

Myth-busting:

• No competition - the case is different
• The case for Annual Giving is mission based.
• The case for a Campaign is the prospectus for

an investor in a major fundraising effort.

Myth 2: Campaigns Detract from Annual Fundraising

Myth-busting:

• Annual fund helps achieve campaign goals.
• Campaigns bring an organization-wide focus

to fundraising.

Myth 3: Every Organization is Ready for a Campaign

Myth-busting:

• Campaigns require preparation and planning

 Consider: organizational readiness

2000 4000 6000 8000 10000 12000 200 400 600 800 1000 1200 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Dow-Jones Industrial (Jan 1) Annual Fund Contributions ($000) Years (1979-2003)

PRE-CAMPAIGN ANNUAL FUND ANALYSIS

Tracking with Dow-Jones

Annual Fund/Parents Dow Jones Ind

Scoring

25-30 points = Your organization is ready to conduct a planning study or to launch a campaign. 20-24 points = Your organization can consider a campaign, providing you address campaign readiness weaknesses. Fewer than 20 points = Your organization has work to do before considering a campaign.

Myth 4: Campaigns Divert Development Resources

Myth-busting:

• Campaigns identify new donors.
• Campaigns identify new volunteers.
• Campaigns strengthen development systems

and infrastructure.

Myth-busting Case Study

Homeless Services Organization

Major Donors 2010 (year before Campaign) $132,000 2011 (Campaign starts) $150,000 2012 $166,000 2013 (Campaign Ends) $173,000 2014

* 60% increase

$225,000

Myth-busting Homeless Services Organization

• New foundations (5)
• Lapsed foundations/renewed (2)
• New corporate supporters (4)
• Major donor prospects – rated and never solicited (12)
• New board members (1)
• Trained solicitors on Development Committee (2)
• Planned giving visits: confirmed (1); gift to campaign

(1); gift to annual (1).

Myth 5: Campaigns Steal Donors from Annual Fund

Myth-busting:

• Annual is first priority for giving during a

campaign.

• Campaigns create opportunities to strengthen

relationship to donors and build donor base.

Myth 6: Donors Are Tapped Out After Campaigns

Myth-busting:

• Donors are energized– seeing the impact and

possibilities created by the campaign’s success.

• Many donors never solicited for campaign.
• Campaign donors transition into higher levels of

annual giving.

Myth-busting

• Annual fundraising is the foundation of a

successful campaign.

• Campaigns will succeed by building upon the

annual fund and protecting it unconditionally.

Annual fund saved. Campaign successful.

References

Myth-Busting Presentation References and Recommended Reading

• Artful Journey, Cultivating and Soliciting the Major Gift, 2nd Edition, by William Sturtevant (available

through Institute for Giving)

• Underdeveloped, A National Study of Challenges Facing Non-Profit Fundraising, Compasspoint and

Evelyn and Walter Haas, Jr. Fund (available at www.compasspoint.org)

• Strategic Fund Development, Building Profitable Relationships That Last

Simone P. Joyaux (Aspen’s Fundraising Series for the 21st Century)

• Giving USA 2013

Thank you!

Nan McConnell, nancyfmcconnell@aol.com 202-223-0207 Suzanne Bissell, suzannehbissell@gmail.com 571-217-8986

Don’t forget to visit the Solutions Showcase!

Many of the ideas discussed today are on display at the Solutions Showcase!

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