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July 27th, 2007 11:11 am
p>If you missed the launch of Facebook Apps Platform almost two months ago, you’re already way behind the times. The technology "enables anyone to build any application that…Facebook could build." The Causes application by Project Agape enables anyone with a Facebook account to support and engage their Facebook networks to support a "Cause" - be it "Save the Seals!," "End Global Warming!," or "Fight Hate".
All of the Causes have to be linked to a Guidestar-verified 501(c) (3).The developers hope to revolutionize the way people give money, using the principles of group fundraising and social networking.
We took a sampling from all of the Causes to get a sense of what the potential is. There are currently about 8,000 Causes, and we sampled about 10% of them. Lots of zero dollar donations in that sample (555 out of the 774 we sampled). Of the 218 causes that actually had donations, the average money earned was about $290, and the average number of supporters was about 6,600 (that was after throwing out all of the zeros). That works out to an average of about $1.24 per supporter. The total donations ran from $5 to $22,871. The members range from 0 to several hundred thousand. Here are the graphs of the results below. It’s a pretty long tail. If you’re a spreadsheet junkee, you can email me and I’ll send you the data.


Perhaps more relevant than the average in this case, however, are the median (36 for Cause members, $0 for donations or $30 if you throw out all the instances of zero donations) and the mode (6 for members and $0 for donations — $10 if you throw out the 555 instances of zero). Translation: you’re more likely to get between $0 and $30 per Cause — not the average of $290.
As much as there is potential for "free" money, social networks — and the apps that go with them — are not a silver bullet, yet. To be fair, though, this particular tool is only about two months old.
If you want to venture into social networks for promoting your org, the same old organizing rules still apply. The "Field of Dreams" strategy doesn’t usually work anywhere on the web, social networks included. However, they’re different from other mediums in that they tap into some basic human needs in a new way — the need to be part of a group, need to be creative, need to have a voice heard in a public forum — but it’s tough to get in the middle of that as an organization. It takes a lot of time and a personal touch.
So for now, we’ll remind you to think like a rock band if you want to spend your time in these mediums. Seriously, pay attention to what rock bands do to mobilize people on social networks. And yes, you should be everywhere, but prioritize.
If you want to get down and dirty with the costs and benefits of social network recruiting, we have put together a Social Networks ROI Calculator you can use to help with your decision-making as well as a few how-to articles and case studies .
Justin Perkins, Nonprofit Services Director, Care2
James O’Malley, Chief Blogger, frogloop.com
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June 29th, 2007 10:00 am
Over the past few years, as natural disasters have increased, so, too, has the need for financial aid.
Hurricane Katrina alone caused more than $80 billion in damage, and the Christmas tsunami in 2004 was responsible for nearly $11 billion in rebuilding costs. But these bills weren’t solely the burdens of their respective cash-strapped nations. People from around the world accepted the financial challenges as their own – with an outpouring of unprecedented proportion.
When the call-to-action sounded to assist the tsunami-ravaged southeast Asia, we opened up our wallets to the tune of $13.6 billion. Likewise, through telethons, emergency fundraisers and the like, the general public offered the Gulf Coast more than $4 billion.
These examples are – despite the situations’ abundant images of despair and darkness – shining moments in humanitarian history.
They are also isolated examples. As if the world is without crises until there’s a global headline dominating the news.
Of course, we know the exact opposite is true. There are conflicts and disasters everyday, in every part of the world. Crises in which people starve, have no shelter or medicine, and die. All preventable predicaments – given that there are funds to prevent them from the get-go.
That’s perhaps why CNN has taken a proactive approach to fundraising with its "Impact Your World" initiative directing viewers to charity and relief efforts connected to some of its stories. The news network recently launched this special Web site containing contact information to charities in categories like refugees and homelessness, poverty, children, health, and natural disasters. When CNN reports on relevant stories related to these causes, viewers will be informed about the site.
A statement on CNN’s "Impact Your World" pages states, "As part of an initiative across all CNN networks and platforms, CNN is offering you resources to take action on the news you witness and to impact your world. Beginning with six categories, we highlight some immediate ways you can help. The organizations listed under those categories are composed of some of the highest-rated charities by CharityNavigator.org (an independent and nonprofit organization that evaluates and rates thousands of charity groups based on financial stability)."
In simpler terms, "Impact Your World" encourages random charitable giving, especially in non-emergencies.
Which, unbeknownst to many, is when nonprofits need it the most.
Michael A. Knipp, Copy Chief, Creative Direct Response
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June 22nd, 2007 2:10 am
The Internet represents an extremely powerful and cost effective relationship management tool. Yet most nonprofits continue to market the same messages to constituents regardless of how they incepted on their file and their current level of involvement. A CRM approach requires that nonprofits identify key constituent segments according to their current involvement; establish goals as to how they would like to see them progress; and define "relationship pathways" along which they will try and direct constituents. Examples of such pathways are:
- Moving someone who knows very little about your organization to learn more about your mission by visiting your Website and subscribing to your e-newsletter
- Moving a e-newsletter subscriber to take some kind of action e.g. advocating
- Moving a participant (e.g. advocate) to become a donor
- Moving a new or one-time donor to become a repeat donor
- Moving a repeat donor to become a volunteer solicitor, attempting to raise money and other forms of support from friends, family and co-workers
- Moving a long-term repeat donor of the appropriate age to consider a planned gift
One area where several nonprofits have started to implement distinct "relationship pathways" is for new constituents joining their file. Consider the welcome process for the faith-based organization Walk Thru the Bible. New online subscribers who have not donated or bought a product are presented with a series of product purchase offers. New purchasers are encouraged to become repeat purchasers and then asked to become donors. New donors are thanked and then encouraged to become monthly or at minimum repeat donors.
Early results suggest that implementing CRM style fundraising pays strong dividends. One well known national nonprofit group we work with has been able to convert 1%+ of new email subscribers to donors within 60 days of inception on file through a targeted welcome series in stark contrast to the typical 0.1-0.2% response rate achieved through email acquisition campaigns.
Vinay Bhagat, Founder & Chief Strategy Officer, Convio
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May 22nd, 2007 11:09 am
About six months ago, I was scanning terrestrial radio stations – while driving my fossil fuel overeating car – and heard a priest, a minister, a rabbi and an imam discussing "religion and the internet."
Each listened politely as the others talked of the websites they operated or were affiliated with. Everyone got along, standing together on the thoroughly modern high ground of electronic outreach, searchable content and community building.
They all ecumenically agreed that the ‘net is a great way to encourage spirituality in our young people. And sure enough, their sites feature contemporary graphics, special interest groups and even streaming video on a variety of relevant topics.
Next, the talk show host moved things along with the obvious question: So how’s the traffic these days? Similar chants from the panelists: the site just recently went live … web stats are starting to show … fast growing … an interesting trend seems to be developing, etc.
Then, listeners were invited to call in. Would we find people out there "shopping" for a new religion, just waiting for the kind of interactive menu of spirituality offered by these new websites? Would the Wicca’s in the audience demand equal time?
Nope, very few questions. Instead, the callers spoke volumes about the future of the web – and of the future, period.
There was the Catholic woman trying to reconcile her love of the Church with its rigid stance on social issues; the young Jewish man grappling with the idea of interfaith marriage; the Islamic private school teacher questioning the traditional separation of girl students.
None of these call-in participants fit the "techno geek" profile, and they definitely weren’t kids. But each had the web-wherewithal to click, link and connect with others who share similar spiritual questions and experiences. Invariably, they found and benefited from what they were looking for.
I suspect that, after the show, the minister, rabbi, imam and complimented each other on the innovativeness of their respective brochure-like websites and their radio performances. Maybe they even agreed to keep in touch and share e-best practices.
I wonder if it dawned on any of them that there’s a revolution in the making, and it won’t have anything to do with their prophets or their prophecies. The battle for the hearts and minds of their flocks will be waged in a new theater that is already being created by those very hearts and minds.
It’s called the Web.
The web will transform notions of "gospel" truth by linking people and their ideas, by enabling participation, collaboration and self-expression. The "congregation" will no longer simply be preached to: they will question back, while having the ability to freely connect with others who will share and listen.
Websites will not empower the congregation … the congregation is already empowered!
Consumers are already empowered.
Your donors are already empowered.
Gary Kline, President, SCA Direct
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May 18th, 2007 10:26 am
The steep decline in open rates from institutional e-mail seems unstoppable. To understand why – and find the cure – means saying the ugly news out loud so we can focus on raising money: Because e-mail is overwhelmingly spam and advertising, people have learned to use the delete button like a weed-whacker to clear a path through their in-box. And much honest non-profit e-mail is "spam-by-association." It comes from organizations, so it fails the only true test of e-mail value: it is not from someone I know. Too much is well-meaning but dull and promotional. Glorious HTML images shout "Institutional, not urgent." No wonder these messages stand little chance of joining genuinely personal e-mail in the "must read" category.
I agree with technology observers that the rapid rise of Web 2.0 "social media" tools will swiftly reduce organizational e-mail in terms of fundraising importance. Effective e-fundraising will increasingly be from a friend, colleague, relative or at least a known volunteer. So have a fast-paced "conversion" series of e-mails that go within days of someone’s registration, focused on turning them into "representatives" of your cause. For a great example visit www.kiva.org and click on "Get Involved."
Let me hasten to add that institutional e-mails have an important place, just like your print newsletters and annual reports, providing stewardship and information. They are one way people expect to hear from you. They just won’t raise as much money as e-mail from a personal acquaintance. The social media tools and online communities are easily available. The challenge is making them a central part of your fundraising communications.
Got a good example? Let the Integrator hear about it!
Richard McPherson, President, McPherson Associates
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April 25th, 2007 1:33 pm
Our rural community is so small, “you know everyone twice” says my wife. She means that the bank teller is also the den mother, and the garage mechanic also sings in our choir. We learned early on, too, that when tragedy strikes our community, we know that person, too. When a young man dies in an auto wreck on graduation weekend, we know his parents.
So too, in our fundraising community, we are touched by the murders at Virginia Tech. According to our local paper, Daniel O’Neil, 22, of Rhode Island, was the son of Connecticut College director of major gifts Bill O’Neil. And one of the victims who survived is the son of Christian Children’s Fund’s new President, Anne Goddard, according to our friends at CCF.
At NPA, we’re internet fundraisers, with a particular interest in how young people use the web for philanthropy and action, so we’ve studied and witnessed, and indeed participated in, the online outpouring of sorrow and solidarity. The first news I received came via text messages with my search and rescue colleagues, some of whom serve with the Blacksburg, VA Rescue Squad. A friend who is a Hokie alum shared her new MySpace picture, the VT symbol with a halo on top and last Monday’s date on the bottom.

Messages of support and prayer spread around MySpace and via email. I heard about “Maroon and Orange Effect Day” via email and passed it to my family and friends (including my 85 year old Mother, who complained that she has nothing with those two colors to wear).
Within hours, as friends around the country, including my three daughters, worried about their friends on campus, a special FaceBook page was created to let people know “I’m OK @ Virginia Tech”
“Maroon & Orange Effect Day” was Friday, April 20 – the day after the anniversaries of the Waco and Oklahoma City disasters, and the seventh anniversary of the Columbine massacre.
It’s scary that there are so many of these momentous tragedies in my children’s young lives. It also makes me proud that I’m working in an industry that reaches out to both the mentally ill and to the victims of their violence; to the supporters of higher education, of youth programs, and of every opinion’s right to free speech. I’m proud to be a fundraiser every day, but especially today.
Rick Christ, Partner, NPAdvisors.com
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March 27th, 2007 10:58 am
Your challenge: Double your fundraising revenue, with no additional marketing budget and no additional resources. Sound familiar? Sound impossible?
Well, it can be easier than you think, by leveraging the latest print technology and some innovative Web-based tools.
In recent years, applications that leverage the power of digital print on-demand technology have sprung up all over the Web. These Web-to-print applications provide tools that take the expense out of producing customized marketing pieces. These tools can be used to dramatically lower the cost of developing and implementing fundraising programs. Customized jobs can be digitally printed at a low cost regardless of whether the job is for 10,000 pieces – or just one.
Web sites like shutterfly.com and snapfish.com, enable users to create personalized items from family photos. By allowing everyone to utilize and personalize the same basic template, the cost of creative design is removed. The same idea can be applied to premiums used for fundraising, such as calendars. Many nonprofits send calendars to their donors and prospects, not knowing if the calendar is ever appreciated or used, or simply discarded.
But, what if your donors could create their own personalized calendar, choose which of your organization’s photos they would most like to include, and specify personal dates such as birthdays and anniversaries to be printed on the calendar? The calendar would almost certainly become more valuable to them and they would most likely be willing to donate more.
A simple html link to your new calendar-building Web site in your organization’s electronic newsletter or e-mail update will help drive traffic to the site. (Be sure to add the "tell a friend" link too.)
What better way to reach thousands of warm prospects, raise more funds and grow your e-mail lists? Cross-promote your calendar in your direct mail solicitations and get the synergy of two direct response channels.
Tips to get you started:
- Look for applications that cater to nonprofits. Be sure there are templates available that suit your needs in the areas of fundraising and direct mail.
- Look for no-cost set-ups.
- Look for applications that are "turnkey," with ready-made campaigns that practically run themselves.
- Test the online interface to be sure it is intuitive and easy for you and your donors to use.
- Check that the application provides a way to grow your e-mail address list.
- Look for reputable companies who have years of experience servicing needs of nonprofit organizations.
- Ask about assistance to help with promoting your new fundraising campaigns. Some level of assistance may be included with your sign-up.
Benjamin Arnold, Director of Business Development, OpenPrint.org, a division of Mail Computer Service.
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March 2nd, 2007 12:31 pm
Way back in 1991, at the ripe old age of 10, I made friends the old-fashioned way. Kickball on the playground. Swapping Jell-O cups for Handi-Snacks. Hiding from the requisite bully who attempted - and succeeded - in terrorizing us little guys. They were all good times.
But that was then, and this is now. I no longer require the presence of others to feel personally connected. In fact, the days of face-to-face communication are about as useful as my mom’s dust-collecting VCR and her library of obsolete cassette tapes. It’s the end of an era, say some. To that, I raise my glass.
Along with 113.4 million other Millennials - a general label given to those born after 1978 - I was raised on e-mail, AIM, and a host of online applications: Facebook, Friendster, HotOrNot, Classmates.com, the list continues. With all of that Internet exchange, there’s really no reason to leave the house. I can accomplish most - if not all - of my tasks without ever staring into the eyes of authority.
Somewhere along the line, however, factions have formed: those who can’t live life unplugged, and those who struggle to find the power outlet.
For maturing, non-Millennial generations - older than age 27 - a lot of stock is still put into conducting business verbally rather than electronically. But it stands to reason that even those who have resisted the post-modern technological revolution will soon find themselves in the minority. Not only will they discover that they’re declining in number, but also that if they do not succumb they’ll be left behind altogether.
It doesn’t have to be that way, though. We Millennials collectively stand to welcome you with open arms.
Go on: wave the white flag. The bandwagon awaits.
Michael A. Knipp, Copywriter/Editor, Creative Direct Response
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