Agenda. Current Landscape & Trends Constituent Engagement Fundamentals. Convio, Inc. Page

Transcription

1 The Constituent Engagement Journey: Presented db By: Kenneth Kuhler Senior Account Specialist Convio 1

2 Agenda Current Landscape & Trends Constituent Engagement Fundamentals The Evolution of Nonprofit Operations 2

3 The Nonprofit Landscape 3

4 Competition for Awareness and Support Total Fundraising $19.7 Billion* * Adjusted Convio, for Inc. inflation Page 4giving has not grown since 2000 and giving as a percent of GDP is down 16% since 2006.

5 Competition for Awareness and Support # of Nonprofits 43% since

6 Competition for Awareness and Support Messages Targeting Supporters Every Day 6

7 Competition for Awareness and Support New Donor Acquisition 23.4% since 2006 Source: Convio, Target Inc. Analytics Page 7 Donor Centrics Index of National Fundraising Performance: 2011 First Calendar Quarter Results

8 Competition for Awareness and Support Renewals & Lifetime Vl Value Mostly Flt Flat Average Annual Gift/Attrition Rate = LTV 8

9 Deepen Relationships & Build Loyalty 9

10 Constituent Expectations Have Changed. 10

11 Constituents Want to Engage on Their Terms & in Their Channels 11

12 Online Fundraising Continues to Grow Rapidly Billions raised online by Convio clients: Did Convio, you Inc. know? Page 12 Convio clients combined raised 3x the amount of any other solution in 2010.

13 Peer Solicitation Is Broadly Accepted % say appropriate solicitation channel (rank ordered by very important blue) Peer to Peer Mail Social Media Phone Text 52% 41% 28% 22% 15% 8% Did Convio, you Inc. know? Page 13 Convio clients raised 70% of event funds raised by the top 30 events in 2010.

14 Value of Multi-Channel Engagement New Donor Renewal Rate Donor Value 12 Months Lifetime Donor Value $ % 34.4% +48% 50.9% +95% $96 $187 $314 Mail Multi-Channel Mail Multi- Channel Mail Multi-Channel Sources: Study entitled Integrating Online Marketing (ecrm) with Direct Mail Fundraising by Convio and StrategicOne Traditional defined as offline use. Internet Enabled defined as both offline and ecrm use. 14

15 Value of Multi-Channel Engagement New Donor Renewal Rate Donor Value 12 Months Lifetime Donor Value 30% $ % +16% +103% 61% $ $ $ Mail Multi-Channel Mail Multi- Channel Mail Multi-Channel Sources: Study entitled Integrating Online Marketing (ecrm) with Direct Mail Fundraising by Convio and StrategicOne Traditional defined as offline use. Internet Enabled defined as both offline and ecrm use. 15

16 Multi-Channel Grows Total Revenue Millions $50 $47M $45 $40 $35 $30 $25 $20 $15 $10 $5 $0 $28M $28M Online Direct Mail 16

17 Multi-Channel Strategy 17

18 The Vision: Constituent Engagement g If You Could Anticipate your constituents needs Know their interests, passions & preferences Offer more relevant interactions & opportunities to engage You Would Improve acquisition & referrals Establish lifetime relationships Grow support & fundraising 18

19 Constituent Experience Current Landscape: Disjointed constituent experience Fragmented messaging from a variety of channels Less engagement 19

20 Constituent Experience Goal: Unified constituent experience Integrated messaging across a variety of channels Optimized engagement 20

21 Better Engagement with Supporters = Better Results for Your Organization 21

22 Constituent Engagement Fundamentals 22

23 Constituent Engagement g Fundamentals Constituent Centricity Presence in Multiple Channels Thematic Integration ti Integrated Process Integrated Measurement 23

24 Constituent Centricity Align processes and communication to respect constituent preferences, needs and interests Tailor channel mix, content and program participation and message frequency Ask, What matters to a constituent? 24

25 Constituent Centricity Donor Version A Single with Conditional Content Survivor Version 25

26 Presence in Multiple Channels Direct Mail Web Page 26

27 Thematic Integration Integrated tiger appeal results show 40% better response rate Offline Envelope back Appeal & Envelope Online Appeal, Included Envelope Image 21 27

28 2010: Year of the Tiger A Multimedia Year Long Effort Direct Mail Social Media TV (Custom Web) Celebrity Leadership Outdoor Ads Web Mobile WWF: For 1st time ever, heads of state convene 2 try 2 save tigers. Tell the US 2 commit to global l tiger conservation. (reply STOP 2 unsub) 28

29 Integrated Process Frequency Target Q2 week 1 Q2 week 2 Q2 week 3 Q2 week 4 Q2 week 5 Q2 week 6 Q2 week 7 Q2 week 8 Q2 week 9 Q2 week 10 Q2 week 11 Q2 week 12 General Communications enewsletter Weekly - Fridays Subscribers Quarterly Update mailer 2nd Week / Quarter $50+ donors Gala Promotion Biweekly - Tuesday General Direct Mail Once $100+ Donors Telemarketing $200+ Donors Mother's Day Campaign ~Biweekly - Thursday Direct Mail Once Prospects, Donors Telemarketing Select targets Inbox / Received Send Event 29

30 Integrated Measurement Establish metrics that: Measure donor behavior and campaign performance across channels Focus on long-term value Collect and aggregate constituent data to correlate and extract meaningful information 30

31 Cross-Channel Contact Information 31

32 Key Acquisition Metrics Tracked 32

33 Tracking of Retention Metrics 33

34 Donor Value By Channel Tracked 34

35 Donor Channel Migration Tracked 35

36 Constituent Engagement Fundamentals Difficult Without t Organizational ational Alignment Constituent Centricity Presence in Multiple Channels Thematic Integration ti Integrated Process Integrated Measurement 36

37 The Evolution of Nonprofit Operations 37

38 Where Are You? Early Stage Traditional Coordinated Optimized Minimal Online Marketing Calendar-Based Campaigning Not Financially Committed to Second Channel Separate Metrics & Team for Online Marketing No Calendar / Campaign Coordination 2 nd channel constitutes 5-20% Direct Response Revenue Separate databases for online/offline Thematically Integrated Limited sensitivity to solicitation frequency Decisioning beyond RFM Shared Metrics Some consolidation of data across channels Unified Strategy & Real-time data integration Measures Success Across Channels, Not By Channel Donors behaviors and interests drives communication stream Shared budget and resources 38

39 Where Are You? Integrated marketing sophistication and size don t closely correlate. 39

40 The Trajectory of NP Evolution Consistent messages across channels Aggregate and improve constituent data Aggregate and improve constituent data Dynamic response to interactions Increased personalization & relevance Optimize channel mix & message cadence 40

41 Keys to Evolution Organizational Alignment Technology / Infrastructure 41

42 Organizational Alignment Traditional Communications IT Separate Metrics & Team for Online Marketing No Calendar / Campaign Coordination 2 nd channel constitutes 5-20% Direct Response Revenue Separate databases for online/offline Government Affairs Development Others (?) 42

43 Organizational Alignment Coordinated Thematically Integrated Limited sensitivity to solicitation frequency Decisioning beyond RFM Shared Metrics Some consolidation of data across channels Communications Government Affairs Coordinating Teams Development IT 43

44 Organizational Alignment Optimized Coordinating Teams Unified Strategy & Realtime data integration Measures Success Across Channels, Not By Channel Donors behaviors and interests drives communication stream Shared budget and resources Development Online Communications Marketing 44

45 Infrastructure Challenge Support Business Units Track Performance Understand Data Coordinate Departments Add New Channels Integrate Systems 45

46 Remember: It Is an Evolution. Identify where you are and map your key 2012 steps now today, while you re thinking about it! Every step toward Constituent Engagement will have an impact on your bottom line. Start with fundamentals. Evolving understanding di of metrics can drive you forward faster. Be aware of opportunities to evolve the operational structure shared goals, team alignment, technology 46

47 In Conclusion More donors does not mean more engagement or revenue but more engaged donors will mean more revenue/ltv. Donors feel more engaged and more inclined to give if they are hit up on multiple channels with consistent messages Therefore, your organization needs to be organized to ensure a consistent and integrated experience on multiple channels. No silo s. 47

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