Is your phonathon and annual giving program seemingly running uphill and against the wind? Donor retention issues continue to befuddle nonprofit fundraisers—and it’s not getting easier. The competition between nonprofits for the same charitable dollar has never been more fierce and losing the resulting battle could mean giving back any gains you made with donor acquisition and retention the previous year. While it’s not easy, there are practical strategies you can employ to improve your chances for success and plug the leaky bucket. We’ll discuss building a multi-pronged strategy, including solicitation, stewardship, technology, changing cycles of communication, marketing, and constituent-based messaging that puts the wind at your back and gets you running downhill.

1. Winning the War of Attrition:
Keeping & Building Your Donor Base for
Annual Giving Success
Jason Fisher, CFRE
RuffaloCODY

2. Understanding the Landscape
1) Understanding the Landscape and Challenge
2) Planning and Forecasting for Success
3) Stewardship and Marketing Aren’t Add-ons
4) Investing in Data Resources
5) Channel Fundraising—How Does Your Pie
Look?
#AligningExperts

3. Understanding the Landscape
#AligningExperts

4. The Uphill Battle
Alumni Participation (VSE)
#AligningExperts

5. Nonprofit Competition
• The Rise of the Internet Age
• Philanthropic Priority List
• Maintaining Relationships
• Donor Fatigue
FACT: Higher education is in tremendous competition with
other non-profits for discretionary, charitable spending.

6. The Philanthropic Priority List
Competition for the Charitable Dollar Has Never Been Greater
• Constituents consider many
organizations before deciding
where to give.
• Factors include:
– Best or most worthy charities
– Loyalty
– Nostalgia
– Impact of potential gift
– Responsibility to give back
– Recognition
– Education on subject
– Previous giving and
investment
#AligningExperts
At the beginning of the internet
revolution in 1995, there were 1.1
million U.S. based nonprofits. In 2008,
that number was 1.5 million*- a 35%
increase. Higher education must state
their case emphatically!
Stats courtesy of the National Center for
Charitable Statistics (NCCS).

7. The Gen Y Impact
A Look Inside Why Young Alumni Do Not Give
Phonathons Must Address and Prepare for Student Loans / Rising Tuition Objections
*Sample Size- 700 students from 36 institutions
*Information courtesy “The Gen Y Impact” - Josh Robertson, Director of
Operations at RuffaloCODY.

8. The Gen Y Impact
Why Young Alumni Do Give
Loyalty, Appreciation, and Self-Interest Stand Out for Reasons to Give.
These Should Be Reflected In Phonathon Scripts and Training Materials
*Information courtesy “The Gen Y Impact” - Josh Robertson, Director of
Operations at RuffaloCODY.

9. Changes to our Industry
Five Certainties in Future Years
1) The smallest details matter now more than ever. A failure in planning and
strategy will greatly reduce the chances for success.
2) Institutions that do not identify and gather cell phones and improve overall
demographic quality will fall behind and ultimately fail.
3) Communication must be focused on relationship building before, during, and
after the solicitation. Start early- before they graduate.
4) Personal, two-way communication will continue to drive successful annual
funds, particularly as it relates to leadership and major gift cultivation.
5) Donor education must be a top priority to move your institution higher up on
the Philanthropic Priority List. Use social media and other new technologies
as a marketing and alumni relations tool.

10. The Major Gift Influence
The Focus in Today’s Development Offices
• Increased Funding
Needs at Institution
• Tighter Budgets and
Fiscal Restraint
• Fewer Staff/Resources
• Increased Annual Goals
Institutions must take caution not too focus too heavily on major gifts at the
expense of annual giving resources. Eventually, the forest must be replanted
before new trees can be harvested.
During the economic challenge of the past
5 years, the trend to focus heavily on the
upper level donors who can contribute
significantly is increasing. Alumni
participation is important and should not
be overlooked, but cultivating leadership
gifts is an undeniable primary outcome of
annual giving.

11. The Origin of Leadership Giving
Cultivation Cannot Be Skipped
Results from an actual institution. This clearly shows that leadership gifts take time to cultivate. A recent University
reported it took an average of 26 gifts over 17 years to reach the lifetime giving threshold needed to be classified as a
major gift. Annual giving program s are judged annually, while the true benefit takes much longer to materialize.

12. Why Cultivation Matters
A Snapshot of One Institution’s Top 7 Donors
#AligningExperts

13. Planning and Forecasting
#AligningExperts
Focus on the cone, not the geographic middle of your data.
There is always some forecasting error. Learn from mistakes
and refine your assumptions over time. But, always have a plan.

14. What Forecasting Isn’t
#AligningExperts
Forecasting is an art form and a science. There is little guesswork
involved, particularly for the established program.

15. Details Matter in Forecasting
The value in forecasting isn’t being 100% accurate, it’s
measuring the variance from your educated decision-making.
All forms of solicitation should be mapped out—phonathon,
direct mail, etc. Leave nothing to chance.
#AligningExperts

16. Dig Deeper
Analyze Data In a Different Way
#AligningExperts
This graph shows how long it took for a direct mail gift to be receipted vs. the
actual send date. Knowing this level of detail helps you more effectively time
your pieces within the solicitation calendar for maximum impact.

17. Statistical Analysis
Grad Year Analysis
#AligningExperts
If you’re not analyzing your previous results at a granular level, you
cannot properly strategize about where to allocate your resources.

18. Proximity Comparison
Participation- Overall Database Example
0.00%
5.00%
10.00%
15.00%
20.00%
25.00%
30.00%
2006 2007 2008
In-State
Out of State
479 Area Code
This analysis from the University of Arkansas several years ago (Sybunt population)
shows a definitive difference in how out-of-state alumni view the UA experience.

19. Visual Data Example
Donor Growth Charts
#AligningExperts
Fiscal Year 2013
TOTAL LIVING ALUMNI: 14,706
Objectives to improve current donor volume and alumni participation:
1) Identify lost alumni and develop a research plan to increase solicitable pool.
2) Concentrate donor education most heavily on recent graduates and current students.
3) Continue stewardship and alumni relations efforts, especially the last 15 class years.
4) Analyze donor retention figures and develop a plan to maximize those efforts. Good news/bad news:
5) Continue current efforts to introduce new technologies into annual giving. Good: A full two-thirds (67%) of living alumni have given in their lifetime.
6) Concentrate on pipeline cultivation efforts to increase leadership gift opportunties. Bad: 33% last gave 6+ years ago, nearly half the total living donors.
7) Review current "dashboard" statistics and benchmark reporting to conform with critical areas. *We need to identify areas of opportunity for long-lapsed reaquisition.
8) Identify areas of reconnection within long lasped population.
Key Figure-- 67% (2/3) of total alumni have given in their lifetime.
*Recent graduates (1-10 years) make up 20% of total alumni, but 30% of all nondonors.
NOTE: This is an estimate based on typical industry figures.
Lost= No valid telephone, e-mail, or mailing address
*All 3 must be missing to qualify as lost and "not solicitable".
**Finding lost alumni is key to increasing volume of donors pre-campaign.
XYZ University Donor Cycle Report 50% is a respectable figure for senior class giving. However, to improve alumni
participation rate, we will need to increase this figure by introducing philanthropy
immediately as students step foot on campus.
*15% is not a poor figure if the long lapsed rate wasn't so high. Too many
sybunts are dropping to a longer lapse of giving. Reacquisition of one-year
lapsed will be an important component in improving donor volume.
Nondonors
Sybunts
Long Lapsed Donors
NewGrads
Nondonors
Lybunts
Donor Aquisition
Retention%
LL Reaqusition %
Reacquisition%
Sr. Class Nons
Lost Records
4,882
?,??? 2,168
4,898
160 2,758
SeniorClass
Donors
154
Sr.ClassDonors
33%
49%
19%
33%
15%
51%
15-20% ?
Visually understand the flow of donors in and out of your database.
Know precisely what it takes to move your program up a notch or two.

20. Planning and Forecasting
Donor Growth Matrix
Fiscal
Year
Total
Alumni 18.75% 19.00% 19.50% 20.00% 20.50% 21.00% 21.50% 22.00% 22.50% 23.00% 23.50% 24.0% 24.50% 25.00%
FY'13 14,706 2,758 2,794 2,868 2,941 3,015 3,088 3,162 3,235 3,309 3,382 3,456 3,529 3,603 3,677
FY'14 15,001 2,813 2,850 2,925 3,000 3,075 3,150 3,225 3,300 3,375 3,450 3,525 3,600 3,675 3,750
FY'15 15,301 2,869 2,907 2,984 3,060 3,137 3,213 3,290 3,366 3,443 3,519 3,596 3,672 3,749 3,825
FY'16 15,616 2,928 2,967 3,045 3,123 3,201 3,279 3,357 3,436 3,514 3,592 3,670 3,748 3,826 3,904
FY'17 15,931 2,987 3,027 3,107 3,186 3,266 3,346 3,425 3,505 3,584 3,664 3,744 3,823 3,903 3,983
FY'18 16,256 3,048 3,089 3,170 3,251 3,332 3,414 3,495 3,576 3,658 3,739 3,820 3,901 3,983 4,064
FY'19 16,600 3,113 3,154 3,237 3,320 3,403 3,486 3,569 3,652 3,735 3,818 3,901 3,984 4,067 4,150
#AligningExperts
Calculate anticipated growth in the solicitable base and factor
that into your charts. How much does 1% represent? How
many donors over time will it take to achieve that increase?

21. Understanding the Database
• Know the profile
of key segments
or constituencies
• Build plans with
the details that
are often
overlooked
• Challenge
Assumptions
#AligningExperts

22. The Purposeful Jigsaw Puzzle
Building a Comprehensive Solicitation Calendar
#AligningExperts
Multichannel Master Calendar- FY'14
XYZ University
Project Title Category Medium Audience Quantity Frequency
Target Launch/Drop
Date
Fiscal Year 2014 Kickoff E-Solicitation Solicitation E-mail
All Alumni with e-mail
addresses 5,000 Once
Online Survey- Alumni Online Survey E-mail
All non-young alumni donors
with e-mail address 10,000 Once
Online Survey- Young Alumni Online Survey E-mail
All young alumni donors will
e-mail address 15,000 Once
Bad Phone Letters Solicitation Direct Mail Letter
All alumni with coded
response of DIS, RN, and WU 17,000 Daily
CYE E-Solicitation- Alumni Solicitation E-mail
All alumni with prior gift
history that have not yet
made FY'14 gift 21,000 Once
CYE Direct Mail Letter Solicitation Direct Mail Letter
All alumni with prior gift
history that have not yet
made FY'14 gift 30,000 Once
CYE E-Solicitation- School of Business Solicitation E-mail
All School of Business
graduates with valid e-mail
address 12,000 Once
CYE Direct Mail Letter- Parents Solicitation Direct Mail Letter
All parents with valid
physical mailing address 7,500 Once
Parent New Year E-Solicitation Solicitation E-mail
All parents with valid e-mail
address 4,000 Once
Project Information

23. Stewardship and Marketing
• Start with Constituent
Education
• Build a Brand Identity
• Think Like a Small
Nonprofit; Execute Like
a Successful Business
• Donors Want
Transparency and
Tangibility, Not Simply
Just a Thank You
#AligningExperts

24. Changing Personal Communication
• More channels, less
direct conversation
– Two-way dialogue has
been altered
– Affects ability to have
conversation and
negotiate
– Relationships must be
developed first!
“People are choosing large networks with shorter, more to-the-point
conversation, rather than smaller network with longer conversations”.
Soren Gordhamer, Changing Communication as We Know It: Twitter.
Social media such as Twitter
has altered how people
communicate

25. Top 5 Social Media Websites
#AligningExperts

26. Facebook
It’s Marketing 101
#AligningExperts

27. Twitter Example
#AligningExperts

28. LinkedIn
#AligningExperts

29. Speak Their Language
Using Cell Phones in Alumni Relations and Stewardship
#AligningExperts
• Text Messaging
– Drive participation at events
– Reunion activities
– Class updates
– Institutional announcements
– Cost effective and instantaneous
• Coordinate solicitation
calendar using all contact
methods
– Integrate text messaging into a
comprehensive annual planned
calendar of stewardship and
solicitation
• Use technology to
communicate with alumni
using their preferred method
– Recent graduates in particular
– Start early (when they’re students)
for maximum effectiveness
Using text messages to solicit alumni for
contributions is not a best practice in higher
education fundraising. However, it has been
used successfully in alumni relations and donor
education. Start by using it as a marketing and
informational tool. Be sure to have them opt in
to receiving texts for legal compliance.

30. Investing in Data Resources
• 45+% of college
graduates move home
• 130K USPS Address
Changes Daily
• 17% Create New Email
address every 6 months
• Today’s data will be old
tomorrow!
• Cell Phones
• E-mail
• Mailing Addresses
• Employer Information
• Matching Gift Info
Increasing donor volume has
to begin with strategies to
increase the solicitable base.
#AligningExperts
*Stats courtesy Josh Robertson

31. Changing Communication
Investing in Data Research
#AligningExperts*Graph courtesy of CDC wireless report 2012

32. Overall Telephone Database Breakdown
Verified or Appended Telephones
Total Prospect Quantity- 2,691,144 (13 Universities)
Cell
Cell Phone Only- 581,206
Business
Business Only- 112,289
Landline
Landline Only- 1,306,573
307,462 56,359
259,916
67,339
Line Type Number Percentage
Cell Only 581,206 21.6%
Landline
Only
1,306,573 48.6%
Business
Only
112,289 4.2%
Cell and
Landline
307,462 11.4%
Cell and
Business
56,359 2.1%
Business
and
Landline
259,916 9.6%
Cell,
Landline, &
Business
67,339 2.5%
TOTAL 2,691,144 100%

33. The Blueprint for Cell Phones in Phonathon
3 Steps Every Program Should Take
• STEP 1 Data Integrity
– Identify Cell Phones From Existing Database
– Obtain Cell Numbers from Emergency Records
– Use Student Callers to Verify and Capture Cell Phones
– Send Numbers to Cell Append Research (Lost, Landline Only, Non-contacts)
• STEP 2 Managerial Tactics and Strategy
– Segment Cell Phones into Separate Calling Pools
– Scripting Adjustments and Objection Techniques
– Text Messaging in Alumni Relations and Stewardship
– The Alumni Participation Problem- Cell Phones Can Help
• STEP 3 Statistical Analysis
– Measuring Cell Phones vs. Landline Results
• Graduation Year
• Region/Area Code
• Contact Rates
• All Relevant Statistics (Participation, Average Pledge, etc.)
#AligningExperts

34. Data Integrity
Determine Opportunity
How much money is your program leaving on the table?

35. Channel Fundraising
A Changing Landscape?
• Phone
• Direct Mail
• E-solicitation
• Leadership/Personal
Solicitations
• Crowdfunding
#AligningExperts
The Demise of Personal Solicitation Has
Been Greatly Exaggerated. Still, embrace
the new methods and technology. It will take
a comprehensive approach to be successful.

36. The Death of Phonathon?
Phonathon at the Margins
– Contacts have decreased, but have not stopped.
– Communication is changing, but not stopping.
– Diversify your portfolio of solicitations. Be smarter
and more efficient with your resources.
– Have a plan. You must know precisely what you want
your phone program to accomplish. Be realistic.
– Phonathon remains the dominant donor acquisition
and retention tool on campus. Annual giving always
requires investment—phone is no different.
Phonathon is harder today than it was 10 years ago. It takes more expertise to extract the
productivity potential of a program. The fish are not jumping in the boat. Be strategic.

37. Crowdfunding
#AligningExperts
*Info courtesy ScaleFunder and UTSA

38. Online Giving Strategies
What Works in Higher Education?
#AligningExperts

39. Thank you!
For more information contact:
Jason Fisher, CFRE | jason.fisher@ruffalocody.com| (251) 422-2335
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