Mythbusters

1. Mythbusting
Presented by
Sean Triner
Pareto Fundraising

2. Mythbusting
Presented by
Sean Triner

3. © Pareto Fundraising 2009-2014

6. ANALYTICAL
-Your Growth
- Your donor
Behaviour
-Used for targeting
ENVIRONMENTAL
-How much is given
- Growth
- Competition
PERSONAL
-Transactions
- Legacy status
- Pet name
STRATEGIC DATA
- informs
TECHNICAL DATA
- used
Types of data

7. Introducing Sean Triner
© Pareto Fundraising 2009-2014

10. Mythbusters
© Pareto Fundraising

15. The two most important outcomes

16. RFV modelling
Recency Frequency Value
0-12 months >1 a$1000+
13-24 1 b$500-$999.99
25-36 c$250-$499.99
37-48 d$100-$249.99
49-60 e$50-$99.99
61-72 f$25-$49.99
73-84 g$10-$24.99
85+ h$0.01-$9.99

17. Flipchart

23. $1,200,000
The danger of the anecdote
$1,000,000
$800,000
$600,000
$400,000
$200,000
$-
Small Pack 'Big' Pack
© Pareto Fundraising 2009-2014

24. © Pareto Fundraising 2009-2014

27. ANALYTICAL
-Your Growth
- Your donor
Behaviour
-Used for targeting
ENVIRONMENTAL
-How much is given
- Growth
- Competition
PERSONAL
-Transactions
- Legacy status
- Pet name
STRATEGIC DATA
- informs
TECHNICAL DATA
- used
Types of data

30. “Some manufacturers
illustrate their advertisements
with abstract paintings.
I would only do this if I wished
to conceal from the reader
what I was advertising.”
David Ogilvy

32. Push Pull

36. $4,000,000
$3,500,000
$3,000,000
$2,500,000
$2,000,000
$1,500,000
$1,000,000
$500,000
$-
0.9
0.8
0.7
0.6
0.5
0.4
0.3
0.2
0.1
0
Net
Gross
COF
Cost of fundraising year on year…
Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7

37. $4,000,000
$3,500,000
$3,000,000
$2,500,000
$2,000,000
$1,500,000
$1,000,000
$500,000
$-
0.9
0.8
0.7
0.6
0.5
0.4
0.3
0.2
0.1
0
Net
Gross
COF
Cost of fundraising year on year…
Massive
investment in
acquisition
Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7

38. $4,000,000
$3,500,000
$3,000,000
$2,500,000
$2,000,000
$1,500,000
$1,000,000
$500,000
$-
0.9
0.8
0.7
0.6
0.5
0.4
0.3
0.2
0.1
0
Net
Gross
COF
Cost of fundraising year on year v net
Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7

39. $4,000,000
$3,500,000
$3,000,000
$2,500,000
$2,000,000
$1,500,000
$1,000,000
$500,000
$-
0.9
0.8
0.7
0.6
0.5
0.4
0.3
0.2
0.1
0
Net
Gross
COF
Cost of fundraising year on year v net
Maintained
slight growth
in net –
money to
spend on
cause
Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7

40. $4,000,000
$3,500,000
$3,000,000
$2,500,000
$2,000,000
$1,500,000
$1,000,000
$500,000
$-
0.9
0.8
0.7
0.6
0.5
0.4
0.3
0.2
0.1
0
Net
Gross
COF
Cost of fundraising year on year v net
Maintaining
acquisition,
but rewards of
year 2
acquisition
beginning to
show through
Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7

41. $4,000,000
$3,500,000
$3,000,000
$2,500,000
$2,000,000
$1,500,000
$1,000,000
$500,000
$-
0.9
0.8
0.7
0.6
0.5
0.4
0.3
0.2
0.1
0
Net
Gross
COF
Cost of fundraising year on year v net
Decided to STOP
acquisition for
one year – nearly
$1.5m bonanza
for capital
projects and
service
development –
COF plummets
Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7

42. $4,000,000
$3,500,000
$3,000,000
$2,500,000
$2,000,000
$1,500,000
$1,000,000
$500,000
$-
0.9
0.8
0.7
0.6
0.5
0.4
0.3
0.2
0.1
0
Net
Gross
COF
Cost of fundraising year on year v gross
Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7

43. $4,000,000
$3,500,000
$3,000,000
$2,500,000
$2,000,000
$1,500,000
$1,000,000
$500,000
$-
0.9
0.8
0.7
0.6
0.5
0.4
0.3
0.2
0.1
0
Net
Gross
Cost of fundraising year on year v gross
COF Reduced
acquisition leads
to slight decline
in gross
Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7

44. $4,000,000
$3,500,000
$3,000,000
$2,500,000
$2,000,000
$1,500,000
$1,000,000
$500,000
$-
0.9
0.8
0.7
0.6
0.5
0.4
0.3
0.2
0.1
0
Net
Gross
COF
Cost of fundraising year on year v gross
Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7

45. $4,000,000
$3,500,000
$3,000,000
$2,500,000
$2,000,000
$1,500,000
$1,000,000
$500,000
$-
0.9
0.8
0.7
0.6
0.5
0.4
0.3
0.2
0.1
0
Net
Gross
COF
Cost of fundraising year on year v gross
Growth phase complete –
charity stabilises, but still
acquiring more donors than
losing, hovering around 0.4
cost of fundraising
Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7

54. Thank you!
Seantriner.blogspot.co.nz