The Power of Thoughtful Donor Stewardship
When it comes to donor stewardship, small gestures can yield big results. In the case of Morton Blackwell, the president of the Leadership Institute, a simple jar of honey turned out to be a powerful tool for donor cultivation, inspiring increased generosity from his supporters. In today’s fundraising landscape, where organizations compete for donor attention and loyalty, personalized, thoughtful gestures can set your nonprofit apart from others. Let’s explore why this matters and how you can apply these principles to build deeper connections with your donors. Thoughtfulness That Stands Out Morton Blackwell’s honey isn’t just a gift—it’s an extension of his brand. He began sending jars of his homegrown honey to his most generous donors, and the results were staggering. Many recipients increased their giving significantly, some even by 10x. A follow-up A-B test further confirmed the impact: those who received the honey gave more than those who didn’t. This personal touch not only demonstrates appreciation but also keeps the Leadership Institute top-of-mind for donors. Every time they use the honey, they think of Morton and the mission they’re supporting. It’s a simple, memorable way to make donors feel special. The Value of Cultivation At first glance, sending honey to thousands of donors may seem like an unnecessary expense. But when viewed through the lens of Donor Lifetime Value, it becomes a strategic investment. By showing your donors that they are valued, you build loyalty, which translates into long-term support. This is where many organizations fall short. They focus on the immediate return of an action rather than the long-term benefits of consistent, thoughtful donor cultivation. If an investment today produces a 20x return over the next few years, wouldn’t you consider it worthwhile? Personalizing the Donor Experience One of the key takeaways from Morton’s story is the importance of standing out in a crowded donor marketplace. Many of your contributors likely support multiple causes, so how can you differentiate yourself from the others? By providing unique, personalized touches—whether it’s a jar of honey, a handwritten note, or a thoughtful gift—you make your donors feel like they are a vital part of your mission. This aligns with Richard Viguerie’s Four Horsemen of Marketing: position, differentiation, benefit, and brand. What’s your organization’s version of Morton’s honey? What gesture can you incorporate that will set you apart and remind your donors of their impact on your mission? Building Long-Term Relationships It’s not just about one-time gifts; it’s about fostering ongoing relationships. This concept ties into Roger Craver’s seven key drivers of long-term donor commitment, which include: Perceived effectiveness in achieving your mission. Consistency in communication. Timely thank-yous. Opportunities for donors to share their views. Making donors feel part of a larger cause. Genuine appreciation for their involvement. Providing clear information about who their donations are helping. By focusing on these drivers, you can cultivate relationships that lead to significant, long-term support. The Power of Storytelling and Legacy Building Personal donor gestures also help create a legacy. In Morton’s case, he has taken his generosity to the next level by sharing daylily seedlings from his garden with donors. Now, each summer when those daylilies bloom, donors are reminded of Morton and the Leadership Institute. What stories can you create for your donors that connect them emotionally to your organization’s mission? What actions can you take to ensure that your supporters are thinking about your cause not just when they donate, but throughout the year? Conclusion Thoughtful donor stewardship is about more than just saying thank you. It’s about creating memorable, personal experiences that keep your donors engaged and inspired. Whether it’s through a jar of honey, a handwritten note, or an unexpected gesture, these actions build lasting relationships and ultimately drive greater support for your cause. By incorporating small, thoughtful touches into your donor strategy, you can transform your organization’s effectiveness, increase lifetime value, and truly Go Big!
Creating Personal Donor Journeys: A Path to Long-Term Success
When it comes to cultivating long-term donor relationships, one size does not fit all. The most successful fundraisers know that creating personal donor journeys, tailored to each individual’s goals and passions, is key to fostering loyalty and maximizing impact. But how do you begin crafting these personalized experiences, especially when you’re looking to secure major gifts or transform your organization’s fundraising efforts? Let’s walk through some actionable steps to create donor journeys that lead to meaningful connections and long-term success. Understanding the Donor’s Motivations The foundation of any strong donor relationship starts with understanding why someone is passionate about your cause. Every donor has unique motivations that drive their giving decisions, and discovering those motivations is essential for building a lasting partnership. Here are some key questions to ask: What are the donor’s personal experiences with the cause? What are the most pressing problems they want to solve? How do they want their contributions to make a difference? Once you have a clear understanding of their motivations, you can tailor your outreach and stewardship efforts to align with their personal goals. This creates a powerful connection that goes beyond the transaction—it becomes a shared mission. Mapping Out the Donor Journey Every donor journey should have a roadmap, just like any strategic campaign. Start by identifying where your donor is in their relationship with your organization. Are they just getting acquainted, or have they been a long-time supporter? Understanding this helps you create a personalized plan that evolves with them over time. A basic donor journey might look like this: Introduction and Engagement: Share your mission and engage through events, newsletters, or personal outreach. Building Trust: Provide updates on how their initial support made a difference. This is the stage where trust and credibility are established. Deepening the Relationship: Offer opportunities for the donor to get involved in projects that align with their passions. This is the moment to introduce larger, more impactful giving options. Major Gift Proposal: Present the donor with a significant opportunity to leave a legacy through a major gift. The proposal should be framed as a way for the donor to help solve a big, tangible problem in alignment with their goals. Ongoing Stewardship and Gratitude: Once the gift is secured, focus on keeping the relationship strong through consistent updates, personalized thanks, and opportunities for deeper engagement. Creating Opportunities for Collaboration Donors who are engaged in a collaborative process are more likely to make significant contributions. Think of your donors as partners, not just supporters. Involve them in strategic discussions and show them how their ideas and input are valued. Questions to foster collaboration include: What specific challenges do you think our organization should focus on? How would you like to be involved in shaping our approach to these challenges? By allowing donors to play an active role in the strategy, they become emotionally and intellectually invested in the success of your mission. The Power of Personal Touches Never underestimate the power of personal touches. Whether it’s a handwritten note, a phone call to share an exciting update, or a small but meaningful token of appreciation (like Morton’s honey from a previous story), these gestures make your donors feel valued and appreciated. Consider creating moments that are exclusive to them: Private events or tours showcasing the impact of their gifts. Custom reports that highlight the specific outcomes their donations have achieved. Personalized thank you gifts that reflect their passions or interests. These thoughtful gestures can turn a donor into a lifelong supporter, and as we’ve seen time and again, small actions can lead to big results. Building a Legacy Together When you take the time to create a personal donor journey, you’re not just securing gifts—you’re building legacies. Donors want to know that their contributions are making a lasting impact, and by guiding them through a journey that speaks to their goals, you empower them to leave their mark on the world. As you look to Go Big with your fundraising efforts, remember that every donor’s journey is unique. Personalize their experience, create meaningful collaborations, and continuously show your appreciation. In doing so, you’ll build relationships that not only secure major gifts but also transform your organization for the long term.
Have You Faced These Fundraising Questions?
When it comes to your fundraising efforts, have you ever wondered: What’s the right amount to ask from a prospective donor? Should you ask an existing donor to introduce you to her friends and associates? What’s the least amount you can spend on a direct mail acquisition experiment? Should you give a written proposal when asking for a major gift in person? How frequently can you conduct fundraising campaigns? Is hiring an outside fundraising consultant important for launching a campaign? What should be included in your Case for Support? These are common yet crucial questions that every fundraiser encounters. Recently, these same questions were raised by over 150 participants at the Leadership Institute’s International School of Fundraising in Jerusalem. A World-Class Fundraising Learning Experience At the International School of Fundraising, participants spent four intensive days honing their skills. They covered the fundamentals, like establishing vision and mission, and explored advanced topics like mega gifts and comprehensive fundraising campaigns. Key areas of focus included: Defining your Vision and Mission: The foundation of any successful campaign. Understanding your Position, Differentiation, Benefit, and Brand: The “Four Horsemen of Marketing” approach. Applying Mises’ Model of Human Action: Framing problems and solutions in a way that resonates with donors. From Tactics to Strategy The event covered everything from direct response tactics and personal solicitations to long-term donor stewardship. It was a hands-on approach that encouraged participants to immediately apply what they learned. Here’s why programs like this are essential: Focus on Fundamentals: Solidify your vision and how it aligns with donor interests. Hands-On Training: Go beyond theory and apply proven, real-world strategies. Going Big!: Learn to attract planned gifts, mega gifts, and run successful comprehensive campaigns. The Global Perspective The participants came from across the globe—Middle East, Latin America, the U.S., Canada, and beyond—making the discussions rich with diverse insights. Learning alongside peers from varied backgrounds was a reminder that no matter where we work, the challenges of fundraising are remarkably similar. Ready to Level Up? If you’re serious about increasing your organization’s resources and maximizing your fundraising potential, consider engaging in continual learning. Programs like the Leadership Institute’s International School of Fundraising provide the tools, knowledge, and confidence you need to take your fundraising to the next level.
The One-Handed Economist: Navigating Fundraising with Precision
President Harry Truman once famously exclaimed, “Just give me a one-handed economist!” His frustration came from seeking advice and only receiving ambiguous answers. In the world of fundraising, this dilemma is all too familiar. Many times, the response we get starts with “It depends…” But rather than hedging bets, this approach emphasizes how nuanced fundraising truly is—tailored to each unique situation. Let’s dive into some common fundraising questions to explore how “it depends” often leads to a precise strategy. How Much Should You Ask From a Donor? The answer depends on your relationship with the donor. Are they a cold prospect, a long-time partner, or somewhere in between? New Prospects: Start with an amount aligned with their previous giving habits, based on research. Long-Time Partners: Consider a stretch ask that’s around 10-15% of the total project cost. Rarely will a donor want to take on more than that portion. Should You Ask a Donor for Introductions to Their Friends? This depends on your offer. For specific, urgent projects, personal endorsements from engaged supporters can be very effective. However, asking for general operational support from friends doesn’t typically yield results. Recruiting new donors based solely on your mission is a tougher sell. How Much Should You Spend on a Direct Mail Acquisition Test? If you’re experimenting on your own, a test mailing of 5,000-8,000 names can work. Aim for at least 40 responses, as this gives statistical significance. Costs can range from $0.50 to $3.00 per package, offering a ballpark estimate for your budget. Should You Present a Written Proposal During a Major Gift Ask? This also depends on the meeting stage. A written proposal can strengthen the conversation but should never replace a direct ask. Typically, present the proposal after the ask to reinforce your message. How Frequently Can You Conduct Fundraising Campaigns? Campaign frequency depends on the perceived urgency and credibility of your initiative. During emergencies, more frequent campaigns are acceptable, but you must always maintain professionalism. Only launch campaigns when you can make a compelling, credible case for action. Should You Hire a Fundraising Consultant? The answer depends on your goals. If you’re serious about Going Big, hiring a consultant with specialized skills can yield far greater results than going it alone. The increase in funds raised usually more than covers the consultant’s fees. What Should Be Included in a Case for Support? This one doesn’t depend—it’s clear-cut. According to the legendary fundraiser Jerry Linzy, your written case for support should include: Program Objectives and Scope Operating Highlights Expected Results Necessary Professional Staffing A Timetable Financial Information Evaluation and Reporting The Key to Fundraising Success: Continual Learning No matter where you are in your fundraising journey, continual learning is crucial. By understanding how to navigate the complexities of fundraising and applying tailored strategies, you can make significant progress towards achieving your goals.
Stirring the Hornet’s Nest: Controversy in Donor Communications
“Mass envenomation”—that’s what happens when you disturb a hornet’s nest, and apparently, that’s exactly what I did with last week’s Fundraising Tip. The topic of donor communications, specifically the advice from Jeff Brooks, seems to have struck a nerve. In case you missed it, we discussed some key principles Jeff Brooks advocates for effective donor communication: Express urgency Keep it simple and easy to read Long messages can work better Focus on stories, not statistics Make it about the donor, not the organization Your responses to this advice fell into three categories: Followers and Fans: Some of you are already on board with Jeff’s insights and appreciated the reinforcement of what you already knew. Intrigued but Skeptical: A few of you were curious but unsure if this advice would really apply to your specific donor base. “Our Donors Are Different”: The majority of responses fell into this group, expressing doubts that your donors, who you believe are more sophisticated, would respond to these tactics. Are Your Donors Really Different? It’s a common belief that “our donors are different”—that what works for one organization won’t work for another. But Jeff Brooks, in a recent blog post, counters this by saying, “Donors are donors. Where they live, what faith they follow, their education and culture…those things matter. But fundamentally, they are human beings.” Even seasoned fundraisers sometimes struggle with this truth. As Doug Kruse from Pacific Legal Foundation shared, early in his career he learned a critical lesson: You are not your audience. It’s easy to assume that what would move you would move your donors—but that’s often not the case. The trick is understanding what truly resonates with your donor base, not what resonates with you personally.
Is the Sky Really Falling? Navigating Tough Fundraising Trends
There’s no denying that storm clouds are forming on the fundraising horizon, leaving many of us asking: How concerned should we be? As you’ve likely seen, current trends point to a challenging climate for fundraising, but don’t worry—there’s still a path forward. Join us for a special Zoom discussion next Tuesday with one of the industry’s leading experts, Jeff Brooks, as we tackle the tough questions about today’s fundraising landscape. Jeff’s deep experience, combined with his data-driven insights, will help you understand what’s working, what’s not, and how you can stay ahead of the curve. Key Trends to Watch Here’s a preview of the critical topics we’ll discuss: Dismal Reports on Giving: Benchmark studies like Giving USA have reported that last year experienced the largest year-to-year drop in giving ever. And the downward trend seems to be continuing this year. Are you feeling the pressure? You’re not alone, and Jeff will provide strategies for weathering this storm. Declining Donor Numbers: For over 15 years, donor counts have been falling, but many organizations have offset this by increasing the size of major gifts. The bad news? Recently, both donor numbers and gift sizes are dropping together. How can we stop this trend from harming our fundraising efforts? Resting Donors After a Gift? A Costly Mistake: One common myth in fundraising is that donors need to “rest” after making a gift. Jeff will explain why this is not true and how re-engaging recent donors is key to success. The Power of Direct Mail for Major Donors: Many fundraisers believe that major and mid-level donors don’t respond to direct mail. Jeff will debunk this myth and show how direct mail can still be a powerful tool for reaching your top supporters. The Big-Problem Dilemma: We often think that presenting large-scale problems motivates donors to give, but research shows that big numbers can actually discourage giving. Jeff will share how framing your appeals differently can lead to more effective results. Why You Shouldn’t Miss This Jeff Brooks has spent decades testing and refining what really works in fundraising. His insights will help you navigate today’s tough climate and boost your efforts, even when the trends look bleak. If you’re looking to 10x your fundraising and make a lasting impact, this discussion is a must-attend.
Did You Get the Order? The Importance of Results in Fundraising
In fundraising, activity alone is not enough. It doesn’t matter if you had a great donor meeting or an impressive event—what matters is whether you got the commitment. As my mentor, Dino Cortopassi, a highly successful agribusinessman, would ask, “Did you get the order?” The lesson here is that all of our efforts—whether it’s a meeting with a potential donor, a marketing campaign, or a new initiative—should lead to a clear result. That result, in fundraising, is a contribution or a commitment. Activity without results is like running a race without a finish line. Marketing: What Works vs. What We Think Works A friend of mine learned this lesson the hard way when he launched a financial services company. His initial approach was a beautifully designed, visually stunning ad with clever phrasing. He was proud of it, and it looked like an award-winning ad—except it didn’t produce results. Only a handful of people responded. When he asked for advice, I pointed him to the counter-intuitive approach that David Ogilvy, the father of advertising, advocated for: long copy that told a compelling story. My friend reluctantly followed the advice and placed a text-heavy ad that focused on the benefits of his product. The result? It generated 200 times more responses than the first ad. This story highlights a key point: we often have biases about what we think will work. Beautiful design and clever phrasing might win awards, but they don’t always sell. What matters is how well your message resonates with your target audience and drives them to take action. Lessons for Fundraising In fundraising, we can fall into similar traps. We may focus on creating impressive events or crafting elegant messages, but if we don’t make the ask, or if the message doesn’t lead to action, it’s all for naught. Here are a few takeaways: Focus on the ask: Did you clearly communicate what you want from the donor? Did you make it easy for them to respond? Tell a compelling story: People respond to stories that pull them in and show them how they can make a difference. Measure results, not activity: It’s not about how many meetings you had or how many people attended your event; it’s about how many commitments you received. Overcoming Bias As Jeff Brooks, author of The Fundraiser’s Guide to Irresistible Communications, points out, donor focus groups often reject the very messages that work best. Why? Because conscious judgments about what appeals to us don’t always reflect what actually drives action. The key is to test your messaging and focus on what works in practice, even if it defies conventional wisdom. Ready to 10x Your Results? By focusing on what truly works—compelling, benefit-driven communication and clear asks—you can dramatically increase your results. You may not need the “artsy” designs or clever wording, but you will need a message that speaks directly to your audience’s interests and motivates them to take action.
Preparing for Fall: Shifting Focus to Mega Gift Fundraising
As summer fades and we approach the fall season, it’s a natural time to reflect on the past few months and prepare for the final stretch of the year. In Northern Virginia, where I’m writing this, we’ve hit what we affectionately call “False Fall.” It’s that short, cooler period before the summer heat comes back in full force—just like the surge of activity that hits fundraisers before year-end. While fall might feel like it’s “almost here,” it’s a reminder that we’re entering a busy time. End-of-year campaigns, donor communications, and annual appeals will soon be upon us. For fundraisers, now is the perfect time to shift gears, take stock, and prepare for the big opportunities ahead—especially for those of us looking to Go Big with Mega Gift Fundraising. Wrapping Up the Summer Series on Donor Communications Before diving into Mega Gifts, let’s reflect on our recent series on donor communications. Last week, we discussed the powerful impact of storytelling through a direct mail campaign by the Bedford Boys Tribute Center. Here are a few key takeaways from feedback shared by readers: Storytelling: Many readers praised the emotional storytelling, which captured attention and moved people to action. Some even admitted it brought them to tears, showing the power of a heartfelt narrative. Clarity: However, a few noted that while the letter was impactful, it could have benefitted from more editing to improve flow and readability. Ultimately, the letter succeeded in cutting through the clutter, a critical step in any fundraising effort. If a piece doesn’t get opened or read, it won’t inspire action—and this package passed that first test. Launching a New Series: Going Big! with Mega Gifts Now, as we transition into fall, it’s time to take on an exciting new challenge: Mega Gift fundraising. Over the next few weeks, we’ll dive into a comprehensive series focused on strategies for securing transformative, high-impact gifts that can propel your organization forward. Here’s a preview of the topics we’ll cover in this new series: What is the definition of a Mega Gift? How do I evaluate if my organization has programs that could attract Mega Gifts? How can I collaborate with my team to develop or enhance programs that attract Mega Gifts? How do I prioritize and qualify donors who might be open to a Mega Gift? How do I create “journeys” for individual donors who might consider a Mega Gift? What due diligence should I do with the donor to ensure my prioritization is right? How do I initiate a Mega Gift conversation? What should I avoid? What do I do if the donor says yes to considering a Mega Gift? What do I do if the donor says no? How do I co-create a Mega Gift with the donor? How do I execute the solicitation for a Mega Gift? What do I do if the donor declines the solicitation? What do I do if the donor agrees to the gift? How do I steward the Mega Gift over the long term? Ready to Go Big? If you’re looking to elevate your fundraising game this fall, then Mega Gift fundraising is where you can make a BIG impact. Stay tuned as we embark on this journey together, exploring how to engage with donors at a transformational level and build lasting partnerships that change lives.
Lessons from Jimmy Buffett: Applying Marketing Mastery to Mega Gift Fundraising
When we think of Jimmy Buffett, we might picture sun, fun, and laid-back music like Margaritaville or Come Monday. But Buffett’s legacy goes far beyond his music—it’s a masterclass in marketing. With his unique blend of tropical rock and the carefree beach bum lifestyle, Buffett built a billion-dollar empire that spanned resorts, restaurants, apparel, and even retirement communities. As we reflect on Buffett’s success, it’s clear that he mastered the four key marketing principles outlined by Richard Viguerie: Positioning, Differentiation, Benefit, and Brand. These same principles are invaluable for fundraisers seeking to Go Big with Mega Gifts. Applying the Four Horsemen of Marketing Positioning: Buffett created his own category—Gulf + Western—a unique blend of country music and tropical vibes. For fundraisers, positioning means finding your organization’s “hole in the marketplace.” What unique need or problem are you solving, and how do you stand out? Differentiation: Buffett’s differentiation was clear—from Hawaiian shirts to steelpan music, he created an image and experience that was unmistakably his own. Your organization’s differentiation should reflect a distinctive approach or program that no one else can offer. Benefit: Buffett sold more than music—he sold escapism. A break from the stresses of life, allowing fans to feel like they were part of a community of carefree beachgoers. In fundraising, the benefit must always focus on the donor. How will they be part of solving a big, meaningful problem? How will their contribution improve lives? Brand: Finally, Buffett’s brand—Margaritaville—was so powerful that it became a lifestyle. For your organization, your brand should encapsulate your mission, values, and the transformative change you offer. It should be so compelling that donors want to be a part of it. What is a Mega Gift? As we shift our focus to Mega Gifts, these same principles apply. Mike Lanzara, a major gifts expert, explains that a Mega Gift is not just a large financial contribution—it’s consequential and transformational. It’s an inflection point in the donor’s relationship with your organization, and it must: Address a big problem with a credible solution Involve co-creating a solution with the donor Represent a significant financial and emotional commitment from the donor Be a source of pride and lasting impact Inspire other donors to follow suit In short, a Mega Gift is a game-changer—for the donor, for your organization, and for the cause you both care about. Evaluating Your Organization’s Readiness for Mega Gifts Before you can secure a Mega Gift, you need to assess whether your organization is positioned to attract such transformational support. Mike recommends using the Four Horsemen of Marketing as a checklist to determine your readiness. Do you have projects that: Could attract a gift 10x larger than the donor’s previous contributions? Address big, pressing problems that resonate with your donors? Reflect a unique positioning that sets you apart from other organizations? If you can answer “yes” to these questions, you’re on the right track. And if not, it may be time to reassess your organization’s strategy and develop new initiatives that can truly attract major support. The Buffett Lesson for Fundraisers Jimmy Buffett’s marketing mastery offers a powerful lesson for fundraisers: focus on positioning, differentiation, benefit, and brand, and you’ll create a compelling case for support. Whether you’re asking for a modest contribution or a Mega Gift, these principles will help you stand out, inspire donors, and Go Big.
Obvious Actions Lead to Big Results in Mega Gift Fundraising
In the world of fundraising, sometimes the best solutions are the most obvious. As Robert Updegraff highlights in his classic work, Obvious Adams, the ability to see and do the obvious is a skill we often overlook. This principle is especially relevant when we think about the pursuit of Mega Gifts in fundraising. Going Big! with Mega Gift Fundraising, lays out fourteen key questions to guide your efforts in securing transformative contributions. After covering the first three questions—defining a Mega Gift, assessing your organization’s potential, and collaborating to attract big donors—today we tackle the next critical step: How Do You Prioritize Donors for a Mega Gift? The answer, as Michael Lanzara, a seasoned major gifts fundraiser, puts it, is simple: focus on donors who get excited about solving BIG problems. These are the people most likely to contribute at a mega level. It seems obvious, right? But often we overlook this clear truth in favor of complex strategies and over-complication. Lanzara explains that while long-term donor relationships, trust, and past giving history are important, the most successful Mega Gift donors are those who have a BIG mindset. These donors are accustomed to thinking on a large scale, whether from their personal or professional lives, and are looking to make a significant impact on society. How Do You Identify These Donors? The best way to find out who’s ready to “Go Big” is to ask them. Engage with your donors through meaningful conversations, and listen closely to their goals and concerns. Lanzara recommends starting with simple, open-ended questions: What do you see as the most pressing problems facing society today? Which problems do you believe our organization is best positioned to help solve? What is one big issue you would like to address in your lifetime? These questions help donors feel involved in your mission and clarify how their support can help solve the problems they care about most. This is the foundation for a strong, win-win partnership where donors don’t just give—they invest in solving BIG challenges. Why Focus on the Obvious? As Lanzara points out, it’s easy to overcomplicate fundraising strategies. But just like in Obvious Adams, the key to success is often right in front of us. The donors who are most likely to give at a Mega Gift level are those who already think big, solve big problems, and want to make a major difference. It’s that simple.
