WONDERING AND WAITING

Will Roger said, "Even if you're on the right track, you can still get run over if you're not moving." There is a lot of wondering and waiting going on in the nonprofit world right now. Some pretty big organizations that have enjoyed amazing ROI in the past have gotten cold feet. Anticipating that asking more donors for more money won’t be successful, they have chosen to ask for less and/or to ask less often. They’ve reduced development staffing; donor communications have suffered. Fear of failure can become a self-fulfilling prophecy!

People want to help 'causes' they believe in; so why are many nonprofits waiting to see what happens with the current economy and will re-think fundraising in 2010? We are facing the fourth quarter, traditionally the period when the lion’s share of income is generated. As I said a year ago in this blog, " Practical and tactical decisions will have more influence on resources than the economic downturn." It is important for leadership to focus on the path that leads out of the cramped habit of self-defeatism. My suggestions:

1. Don’t cut back on your fundraising efforts. If you can stick with your original budget, but do more with less, test your tactics to see what’s working. This is what will keep your organization before those who can still support your efforts. Disappearing from view can have disastrous long-term effects.
2. Retaining the supporters you already have should be the major focus, rather than more expensive acquisition and recruitment programs. For every $6 charities raise in new dollars, they lose $5 through donor attrition.
3. Not everyone has lost money in this economy. Solid prospect research gives volunteer solicitors a clear picture from which to work. Employ tried and true mechanisms to move your supporters "up the ladder" to increased giving.
4. Don’t diminish donor communications. Invest in massively improving the donor experience. There are creative ways to convey messages at less cost, like e-communications and social media. Even those donors who have to withdraw support for economic reasons will return when times are better -- if asked.
5. Stay positive. Take a can-do attitude with staff and volunteers. Be transparent about your organization's plans for these times. Otherwise, employees can become anxious, affecting performance, and donors won’t contribute.
6. Call your current supporters to thank them for their past support. Have conversations. Be empathetic to those in need. Find out if stakeholders have new ideas or access to new sources of revenue. You never know who can help, if you don’t ask.

Let action rather than reaction guide your fundraising. Call me, if you need help: 847.227.7174