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The integrated campaign approach:
How to use communications tools to increase the
effectiveness of your direct mail program
Lois Ephraim
Creative Director
Russ Reid
Jann Shultz
Director of Donor Relations
Operation Smile
2
3
―We need a new word for over.‖
-Carrie Bradshaw
4
―Gone are the days when nonprofits could just shine the spotlight on
themselves and hold out their hands. That lazy, ineffectual approach of
talking at donors is so over that we need a new word for how over it is.
The word ‗donor‘ itself even seems one-dimensional these days
because it simply doesn't speak to the depth of the relationships
supporters are looking to build with their organizations of choice….
5
…Relationships with donors are very much like those with friends,
family members and spouses, etc. Neglect, arrogance, abuse and
other negatives are just as damaging; respect, nurturing and
communication are just as beneficial. As in the best interpersonal
relationships, it pays to be honest, to be genuine, to be vulnerable, to
be the best ‗you‘ you can possibly be and go from there.‖
Fundraising Success
August 2011
6
Integration:
The intentional coordination in timing and messaging
of multiple media vehicles, response channels, or
engagement devices.
Integration is using every channel possible to
engage donors
Mail
Phone
E-mail
Website
Social Media
Video
Personal reps
Teleconferences
7
Pay particular attention to importance/value of the donors
The philosophy of integration
• The cliché is true: the total is greater than the sum of its parts
• Donors don‘t behave as linearly as we would like them to
• More touch points lead to more effective campaigns
8
9
The heart and soul of integration:
Look at it from the donor’s perspective, not yours!
10
Listen carefully.
11
Honor your donor’s preferences.
12
Make them an offer they can’t refuse.
13
Communicate the problem
+ solution + success in all
channels, in all messages
14
Report on the success.
15
Thank them over and over again.
16
Measure success &
invest appropriately.
17
Repeat.
18
Truth: Direct Mail is still king
Direct mail
19
20
Truth: E-mail boosts response
Direct mail donors with email addresses are as
much as 150% more valuable
• Effective use of integration shortens time to 2nd gift
• Increases retention —more than double one-time first year
givers
• Not only higher retention
• 50% more gifts
• Average gift that is 65%+ higher
Source: Amergent. www.amergent.com
21
Mail versus online? Or mail and online?
22
41%
44%
57%
77%
71%
61%
54%
38%
25%
11%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
18-24 25-39 40-54 55-69 70+
Mail
Online
Truth: Speaking to a living, breathing
person is good.
23
24
Are you using telemarketing?
14%
17%
0%
5%
10%
15%
20%
Refused phone donation Pledged phone donation
(excludesphone gift)
Lift inincome per donor, post-call
25
How a live phone call affects subsequent giving
• Giving behavior was monitored for 5 months after donors
received a live phone call.
• Even when the donor refused to donate by phone, subsequent
giving was 14% greater than for donors who weren‘t reached by
phone.
Both panels were compared
to like donors who were not
reached by phone.
26
More truths from Jann
• Partner with the right telemarketing vendor
• Train the staff yourself
• Operation Smile Donor First Philosophy
• Welcome to ―my‖ team
27
Operation Smile Bolivia
Case study: Spring Middle Donor Campaign
29
How to approach donors giving at mid-levels
• Invest carefully in donors who represent a disproportionate
amount of your revenue.
• Develop customized offers that let donors achieve measurable
impact.
• Create a cultivation environment that is dynamic and flexible.
• Measure success at both the program, campaign and donor
levels.
Challenges
• Healthy donor file of donors who had given the gift of a $240
surgery
• Previous cultivation approach: minimal versioning and customized
dollar handle asks
• Wanted them to give again AND upgrade
• Needed to raise net income!
30
31
Strategy:
Upgrade our donors with a urgent, compelling offer
communicated through an integrated real-time
campaign?
32
Capturing the compelling story & offer
Rwanda 2010
33
First mission – huge crowds
34
Children were turned away
35
36
Offer:
Your donation today will help us provide surgeries
to waiting children in countries like Rwanda.
Because of a generous matching donation, your gift
will double in impact
37
Audience selection of high-value donors: 0-12 month
recency with a gift of $240 or greater
38
Integrated Touchpoint strategy:
Voicemail blast (Date)
Direct mail
main drop (Date)
chaser (Date)
Two emails (Date) (Date)
Telefundraising call (Date range)
plus pledge acknowledgement VM message
39
Phone Blast from the
Co-founder
40
Main Package
41
Outer envelope
42
Letter
43
Propectus
44
Response form
45
Lift note with photo paperclipped
46
Bounceback involvement piece (with mirror stickers)
47
Follow up package
48
Letter of Eugenie with her photo
49
Email 1
50
Email 2
51
Integrated Telefundraising Call
52
Personal Representative
53
Follow up report
54
Follow up email with Habimana’s story
The Integrated Campaign Approach: Tools to Increase the Effectiveness of your Direct Mail Program
56
Campaign results – the impact of integration
• The high-value audience selected for this campaign had a 383%
higher response rate and 86% higher average gift than what is
typical for other campaigns.
383%
86%
0%
100%
200%
300%
400%
Response rate Average gift
Middle donor campaign lift
Campaign metrics were
compared to year-long average
metrics for this audience.
57
Campaign results – the impact of integration
• Exceeded campaign projections raising twice the gross revenue
forecast and 3x the net revenue compared to prior campaigns.
Tele-fundraising impact
• The phone channel generated 30% of total revenue
• Phone pledges fulfilled at an astounding 85% rate.
• Raised $9 for every $1 invested in tele-fundraising at a cost of
just 11 cents per dollar raised.
Case study: Holiday Giving Catalog campaign
59
Could Operation Smile—known for its surgery offer—
create a Holiday Giving Catalog filled with offers and
products that would inspire donors to give life-
changing gifts in the names of family and loved ones?
Especially during an economic downturn?
Our challenge
60
Operation Smile decided to plunge ahead and test. We created
the first Holiday ―mini-catalog‖ in 2008, and launched full-size
catalogs, an e-commerce website and digital campaigns in the
following two years.
61
The integrated Holiday Giving Catalog Campaign
included:
• Print catalogs: creatively position an array of products (giving
opportunities) that would drive both low-end and high-end
donors to respond online, as well as through mail and phone.
• Online catalog: employed best e-commerce strategies.
• E-mails: targeted various audience segments during the holiday
shopping season.
• New media opportunities: including search and banner ads to
create an integrated digital campaign.
• Phone Blast: reminded donors to shop
• Videos: demonstrated the impact of the gifts!
62
The primary creative messaging was to ―Give smiles this
season‖ with a selection of surgery related products—
ranging from $25 to $6000—that would inspire donors to
shop for gifts to give in the name of a loved one.
63
Operation Smile Gift Catalog – Inside Cover
64
To promote our #1 product—the $240 surgery—we
included emotional stories, compelling before and after
photos, and call outs to watch online videos—all to
demonstrate the impact of this exceptional product.
65
Key Product Placement
66
An online e-commerce catalog was developed using products
and visuals from the print catalog—plus exclusive online offers.
67
Gift cards and a selection of e-cards announcing the donation
made in honor of a friend or family member were also available.
68
Incentives were tested to increase average donations—
providing donors with tangible gifts to present to friends and
family during the holidays.
69
A series of e-mails was sent to targeted
audiences over a 10-week period
70
Email 1
71
Email 2
72
Last chance email
The Integrated Campaign Approach: Tools to Increase the Effectiveness of your Direct Mail Program
74
Results included:
• 250% increase in revenue generated through integrated
campaigns.
• 22% increase in online average gift and a 34% increase in
conversion rate.
• Online catalog sales increased 97% from 2008 to 2010.
• Through increased e-mail contacts, more focused direct mail,
and an enhanced online store, the catalog campaign revenue
grew 44% with a 20% increase in average gift from 2008 to
2010.
• Overall, the campaign generated an average gift of $176.
75
How to measure response for your campaign?
76
Truth: Integrated campaigns inherently
create discomfort
77
What no one wants to talk about
• Donors don‘t behave as linearly as we‘d like them to
• They are often inspired by one channel, but respond to another
• Channel interaction directly impacts results of all media
• Sometimes it takes multiple interactions before donors give
• Simplest - the last channel receives the ―credit‖
• In an integrated environment, this ―fuzzy‖ relationship is common
78
Truth: Don‘t sabotage your efforts by
cancelling ―non-performing‖ channels
79
Be Creative
• Measure each channel on it‘s own
AND
• Use bottom line measurement to quantify success
Tolerate results that may not be directly attributable
80
If you do nothing else, do this!
81
Basic integration
• Same message delivered across multiple channels increases
impact of message
• Identify your primary fundraising channels and complement with
other channel opportunities – if not email, try the phone!
Why?
Donors engaged through multiple channels have higher response
rates, retention and lifetime value.
Thank You
Jann Shultz
Director of Donor Relations
Operation Smile
jschultz@operationsmile.org
+1 757.593.6560
+1 757.321.7645
Twitter: @jannschultz
LinkedIn: Jann Schultz
Lois Ephraim
Creative Director
Russ Reid
lephraim@russreid.com

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The Integrated Campaign Approach: Tools to Increase the Effectiveness of your Direct Mail Program

  • 1. The integrated campaign approach: How to use communications tools to increase the effectiveness of your direct mail program Lois Ephraim Creative Director Russ Reid Jann Shultz Director of Donor Relations Operation Smile
  • 2. 2
  • 3. 3 ―We need a new word for over.‖ -Carrie Bradshaw
  • 4. 4 ―Gone are the days when nonprofits could just shine the spotlight on themselves and hold out their hands. That lazy, ineffectual approach of talking at donors is so over that we need a new word for how over it is. The word ‗donor‘ itself even seems one-dimensional these days because it simply doesn't speak to the depth of the relationships supporters are looking to build with their organizations of choice….
  • 5. 5 …Relationships with donors are very much like those with friends, family members and spouses, etc. Neglect, arrogance, abuse and other negatives are just as damaging; respect, nurturing and communication are just as beneficial. As in the best interpersonal relationships, it pays to be honest, to be genuine, to be vulnerable, to be the best ‗you‘ you can possibly be and go from there.‖ Fundraising Success August 2011
  • 6. 6 Integration: The intentional coordination in timing and messaging of multiple media vehicles, response channels, or engagement devices.
  • 7. Integration is using every channel possible to engage donors Mail Phone E-mail Website Social Media Video Personal reps Teleconferences 7 Pay particular attention to importance/value of the donors
  • 8. The philosophy of integration • The cliché is true: the total is greater than the sum of its parts • Donors don‘t behave as linearly as we would like them to • More touch points lead to more effective campaigns 8
  • 9. 9 The heart and soul of integration: Look at it from the donor’s perspective, not yours!
  • 11. 11 Honor your donor’s preferences.
  • 12. 12 Make them an offer they can’t refuse.
  • 13. 13 Communicate the problem + solution + success in all channels, in all messages
  • 14. 14 Report on the success.
  • 15. 15 Thank them over and over again.
  • 16. 16 Measure success & invest appropriately.
  • 18. 18 Truth: Direct Mail is still king
  • 21. Direct mail donors with email addresses are as much as 150% more valuable • Effective use of integration shortens time to 2nd gift • Increases retention —more than double one-time first year givers • Not only higher retention • 50% more gifts • Average gift that is 65%+ higher Source: Amergent. www.amergent.com 21
  • 22. Mail versus online? Or mail and online? 22 41% 44% 57% 77% 71% 61% 54% 38% 25% 11% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% 18-24 25-39 40-54 55-69 70+ Mail Online
  • 23. Truth: Speaking to a living, breathing person is good. 23
  • 24. 24 Are you using telemarketing?
  • 25. 14% 17% 0% 5% 10% 15% 20% Refused phone donation Pledged phone donation (excludesphone gift) Lift inincome per donor, post-call 25 How a live phone call affects subsequent giving • Giving behavior was monitored for 5 months after donors received a live phone call. • Even when the donor refused to donate by phone, subsequent giving was 14% greater than for donors who weren‘t reached by phone. Both panels were compared to like donors who were not reached by phone.
  • 26. 26 More truths from Jann • Partner with the right telemarketing vendor • Train the staff yourself • Operation Smile Donor First Philosophy • Welcome to ―my‖ team
  • 28. Case study: Spring Middle Donor Campaign
  • 29. 29 How to approach donors giving at mid-levels • Invest carefully in donors who represent a disproportionate amount of your revenue. • Develop customized offers that let donors achieve measurable impact. • Create a cultivation environment that is dynamic and flexible. • Measure success at both the program, campaign and donor levels.
  • 30. Challenges • Healthy donor file of donors who had given the gift of a $240 surgery • Previous cultivation approach: minimal versioning and customized dollar handle asks • Wanted them to give again AND upgrade • Needed to raise net income! 30
  • 31. 31 Strategy: Upgrade our donors with a urgent, compelling offer communicated through an integrated real-time campaign?
  • 34. First mission – huge crowds 34
  • 36. 36 Offer: Your donation today will help us provide surgeries to waiting children in countries like Rwanda. Because of a generous matching donation, your gift will double in impact
  • 37. 37 Audience selection of high-value donors: 0-12 month recency with a gift of $240 or greater
  • 38. 38 Integrated Touchpoint strategy: Voicemail blast (Date) Direct mail main drop (Date) chaser (Date) Two emails (Date) (Date) Telefundraising call (Date range) plus pledge acknowledgement VM message
  • 39. 39 Phone Blast from the Co-founder
  • 45. 45 Lift note with photo paperclipped
  • 46. 46 Bounceback involvement piece (with mirror stickers)
  • 48. 48 Letter of Eugenie with her photo
  • 54. 54 Follow up email with Habimana’s story
  • 56. 56 Campaign results – the impact of integration • The high-value audience selected for this campaign had a 383% higher response rate and 86% higher average gift than what is typical for other campaigns. 383% 86% 0% 100% 200% 300% 400% Response rate Average gift Middle donor campaign lift Campaign metrics were compared to year-long average metrics for this audience.
  • 57. 57 Campaign results – the impact of integration • Exceeded campaign projections raising twice the gross revenue forecast and 3x the net revenue compared to prior campaigns. Tele-fundraising impact • The phone channel generated 30% of total revenue • Phone pledges fulfilled at an astounding 85% rate. • Raised $9 for every $1 invested in tele-fundraising at a cost of just 11 cents per dollar raised.
  • 58. Case study: Holiday Giving Catalog campaign
  • 59. 59 Could Operation Smile—known for its surgery offer— create a Holiday Giving Catalog filled with offers and products that would inspire donors to give life- changing gifts in the names of family and loved ones? Especially during an economic downturn? Our challenge
  • 60. 60 Operation Smile decided to plunge ahead and test. We created the first Holiday ―mini-catalog‖ in 2008, and launched full-size catalogs, an e-commerce website and digital campaigns in the following two years.
  • 61. 61 The integrated Holiday Giving Catalog Campaign included: • Print catalogs: creatively position an array of products (giving opportunities) that would drive both low-end and high-end donors to respond online, as well as through mail and phone. • Online catalog: employed best e-commerce strategies. • E-mails: targeted various audience segments during the holiday shopping season. • New media opportunities: including search and banner ads to create an integrated digital campaign. • Phone Blast: reminded donors to shop • Videos: demonstrated the impact of the gifts!
  • 62. 62 The primary creative messaging was to ―Give smiles this season‖ with a selection of surgery related products— ranging from $25 to $6000—that would inspire donors to shop for gifts to give in the name of a loved one.
  • 63. 63 Operation Smile Gift Catalog – Inside Cover
  • 64. 64 To promote our #1 product—the $240 surgery—we included emotional stories, compelling before and after photos, and call outs to watch online videos—all to demonstrate the impact of this exceptional product.
  • 66. 66 An online e-commerce catalog was developed using products and visuals from the print catalog—plus exclusive online offers.
  • 67. 67 Gift cards and a selection of e-cards announcing the donation made in honor of a friend or family member were also available.
  • 68. 68 Incentives were tested to increase average donations— providing donors with tangible gifts to present to friends and family during the holidays.
  • 69. 69 A series of e-mails was sent to targeted audiences over a 10-week period
  • 74. 74 Results included: • 250% increase in revenue generated through integrated campaigns. • 22% increase in online average gift and a 34% increase in conversion rate. • Online catalog sales increased 97% from 2008 to 2010. • Through increased e-mail contacts, more focused direct mail, and an enhanced online store, the catalog campaign revenue grew 44% with a 20% increase in average gift from 2008 to 2010. • Overall, the campaign generated an average gift of $176.
  • 75. 75 How to measure response for your campaign?
  • 76. 76 Truth: Integrated campaigns inherently create discomfort
  • 77. 77 What no one wants to talk about • Donors don‘t behave as linearly as we‘d like them to • They are often inspired by one channel, but respond to another • Channel interaction directly impacts results of all media • Sometimes it takes multiple interactions before donors give • Simplest - the last channel receives the ―credit‖ • In an integrated environment, this ―fuzzy‖ relationship is common
  • 78. 78 Truth: Don‘t sabotage your efforts by cancelling ―non-performing‖ channels
  • 79. 79 Be Creative • Measure each channel on it‘s own AND • Use bottom line measurement to quantify success Tolerate results that may not be directly attributable
  • 80. 80 If you do nothing else, do this!
  • 81. 81 Basic integration • Same message delivered across multiple channels increases impact of message • Identify your primary fundraising channels and complement with other channel opportunities – if not email, try the phone! Why? Donors engaged through multiple channels have higher response rates, retention and lifetime value.
  • 82. Thank You Jann Shultz Director of Donor Relations Operation Smile jschultz@operationsmile.org +1 757.593.6560 +1 757.321.7645 Twitter: @jannschultz LinkedIn: Jann Schultz Lois Ephraim Creative Director Russ Reid lephraim@russreid.com

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  2. Lois
  3. Lois
  4. JANN: Here are some stat’s from the 2011 Target Analytics Internet and Multi-channel Giving Benchmarking Report.Direct Mail acquisition is responsible for three quarters of all new donors…however, the internet is becoming a significant source of new donor acquisition. At Operation Smile, we are currently conducting match back analysis on our newly acquired donors to see how many of our new online donors were prompted by a recent acquisition mailing. Is anyone else currently doing this?As we are really focusing today on integrated cultivation programs – the question then becomes, is mail still king for cultivation? For organizations participating in the benchmarking groups…the vast majority of gifts are still made through direct mail (79%) – while only 10% of gifts were given online.The value of bringing them in online or through mail – but cultivation through mail still has the greatest response.
  5. LOIS: Let’s take a minute and compare mail and online, two critical channels.Our first observation is this: mail is predominant among older donors, but it’s still well-used by younger donors. Over four in ten donors between the ages of 18-39 have given via mail.Our second observation is this: clearly, online is increasing in importance and value. Comfort levels with the channel rise on a clear, clean trend line as we move from established to emerging donor groups.If you are fundraising in a single channel – you do so at your peril.One thing we find interesting is this nexus in the 25-54 year old group. The donors who will be most important to us in the coming decade seem equally comfortable with both mail and online.
  6. Jann: If we are to build a true relationship with a donor – we must have personal contact. Speaking to a living, breathing person is the right thing to do. So how do we add a personal touch with a donor?
  7. JANN: We had certain challenges that we needed to address with this campaign.We have a healthy file of donors who had given the gift of a $240 surgery, we wanted to leverage this giving history and maximize giving potential.Our previous cultivation approach to this audience had included minimal versioning and some customized dollar handle asksThe bottom line is we wanted them to give again AND upgradeAnd of course we always need to raise more net income!
  8. LOIS – real time campaign
  9. LOIS:STATS: March 6-15, 2010372 Patients Screened248 surgeries providedTeam of 70 people from 5 countriesIn its Inaugural Medical Mission to Rwanda, Operation Smile Creates 248 New SmilesRwanda Chosen after Initial Prescreening Uncovers Hundreds of Suffering ChildrenNORFOLK, Va. – In its first mission ever to Rwanda, Operation Smile, Inc., a worldwide children's medical charity, and Operation Smile South Africa brought together a team of 70 people from 5 countries to carry out a milestone medical mission in Kigali, the capital of Rwanda. In just nine days, 372 patients were screened and 248 facial reconstructive surgeries were performed for children suffering from cleft lip, cleft palate and other facial deformities. The result: new smiles, new hope and a new life for so many Rwandans.The patients included 3-year-old Dancille, who was teased and shunned all her life. And 14-year-old Eugenie, who arrived at the Operation Smile site stunted and malnourished as a result of extreme poverty and her cleft lip. Eugenie was an orphan who, until two years ago, wandered the streets begging for food and shelter. She and her guardian traveled by foot and bus for hours to reach the Operation Smile mission site. Now, along with 246 other children, Dancille and Eugenie are given a new chance at life – able to eat, drink, speak and go to school just like their peers. From March 6-15, 2010, the South African medical team – joined by medical volunteers from the United States, Kenya, Canada and Italy, as well as volunteers from the Peace Corps and the American Medical Student Association – worked tirelessly at the Centre HospitalierUniversitaire de Kigali to provide the highest number of operations ever for an Operation Smile South Africa mission. Rwanda was chosen as a new mission site after Operation Smile South Africa conducted a prescreening in September 2009, when 333 patients suffering from cleft lip and cleft palate were identified. Operation Smile is returning to Rwanda on September 16, 2010 for a six-month post-operative review.
  10. LOIS: The reality. Extremely compelling. Volunteers we could feature. Wanted to take advantage of the first hand experience.
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  14. LOIS: Crafting a new offerJANN: GREAT IDEA – hang a poster in the operating room, this is one of our lessons learned – great concept but much more difficult to implement in the field with our volunteer medical teams.
  15. LOIS: easy to read response device
  16. LOIS: Compelling story with photo from a volunteer
  17. LOIS: include an engagement device – mirror stickers
  18. LOIS – follow up package – 7 days after the first mailing
  19. LOIS – emotional compelling story – real time
  20. LOIS: Email sent after package was in homes “we recently sent you a package in a large manila envelope”
  21. LOIS: Deadline reminder
  22. JANN: Tie back to PERSONAL TOUCH, speak to the depth of the relationships supporters are looking to build with their organizations of choice. A phone call can enhance the sense of urgency and provide additional emotion touch.Utilizing a script that was tightly integrated with the campaign creative and offer, a personalized phone call was made by Strategic Fundraising’s telefundraisers to offer more information and solicit donations, with ask levels based on each donor’s gift history. This final phone push was critical to our campaign’s historic success.To further steward donors and boost fulfillment, those who pledged received another recorded phone message from Dr. Magee, expressing gratitude for their continuing support.
  23. JANN: to continue the personal touch, following the campaignDonor Care Team – tie in the message from fundraising success – personal touch
  24. JANN: Not everyone has e-mail. Sending Will back to Rwanda for follow up and telling Habimanas story and connecting with the field for follow up
  25. LOIS: Rwanda Follow-Up 9/14/2010 Sent: 6016Open: 726Open Rate: 12.07%Opened Click-through Rate: 25.21%
  26. Habimana video
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  36. JANN:The catalog was promoted front and center on the Operation Smile home page. (if we can get the grab - -otherwise, we go straight to the celebrity video)
  37. LOIS: Celebrity Video
  38. Take Questions