Tough Talk: The Conversations Development Directors Consistently Face

1
Tough Talk The Conversations Development
Directors Consistently Face

• Explaining to a new boss why you need to do lose
  a LOT of money

2
Session format - improvisation

• Youre listening in on two people talking
• We have prepared obvious issues
• We welcome input and ad hoc questions
• We might defer to a more appropriate time
• Were here to help you, meet your needs
• There are scheduled breaks when well ask you for
  feedback and direct next episodes

3
Tough Talk issues

• Whos in control here?
• You spend how much?
• Why does this mailing lose money?
• Why do they want to meet me?
• I dont like asking for money
• Lets just ask everyone for 1
• My mother doesnt like our mailings
• Guys in my community say its too slick

4
Whos in control here?

• Whos best suited for crafting the Development
  strategies and plan?
• Long-term professional staff person
• Someone dealing with donors needs daily
• Finance
• Operations (produces mailings)
• Fulfillment (opens answers gift responses)
• Communications
• Outside counsel

5
You spend how much?

• Development is long-term proposition
• There are many different scenarios
• Long-standing donor friends
• Guess where they came from?
• New donor friends
• You need to wade through a lot of suspects
• Prior friends who need to be re-inspired
• Major gift visits
• Special events so donor friends can mingle/golf

6
How many experienced post-traumatic stress from
that?
7
Why does this mailing lose money?

• Acquisition is an investment proposition
• Mailing 1 investment produces donors
• And it incurs a loss that will be recovered
• Year 1 communications solicits/nurtures
• Goal is repeat giving behavior
• Year 2 has multiple objectives
• Solicit and nurture 2nd gifts from
  non-respondents
• Inspire regular giving from multiple, repeat
  givers
• Breakeven on overall Investment when?

8
Practice patience

• Net investment (106,000) short of breakeven
• 22,000 will come in from DM 5,000 misc.
• Net cost per new DM donor at lt5.00
• CUM Net Return over 5 years 480,000

9
Practice patience (history) income doubles in 4
years
10
Review every list choice as an individual
investment choice
11
Why do they want to meet me?

• How many of you have ever served in a parish,
  hospital, school or overseas?
• You answered a call to serve God
• Leadership picks you for Development
• You need to deal with staff problems
• Welcome to the world of salary negotiations
• Major donors want to meet you, have you visit
• Instead of holding a hand, you have reports

12
I dont like asking for money

• You have to help your donors clearly understand
  what youd like them to do
• So they can please you and feel good
• People give what they are asked to give
• If you ask for too little, thats all you get
• Major donors have been around the block
• Dont be surprised if some tells you
• you really should be asking me for more money

13
This is a LOT more than just basic business
decisions
14
Lets just ask everyone for 1or just ask
once a year

• Donors dont think about you all the time
• They have busy lives of their own
• Their DNA makes them consider many worthy
  charitable requests
• Donors have different capacities for giving
  (wealth) and different affinities for you
• Even your very best and loyal donors are going to
  skip every opportunity to give

15
Look who renews and who doesnt
16
Impact of higher initial gift givers
17
My mother doesnt like our mailings

• Too many organizations fall victim to managing
  their programs, making strategic decisions, based
  on negative feedback
• What about manging to those donors whose needs
  and expectations youre meeting?
• Donors will use stamped reply envelopes
• Donors give willingly to phone calls from friends
• Hand addressed mail is works (wedding RSVP)

18
Guys in my community say its too slick

• You live with them
• Theyre probably older... if youre still going
  into the office every day
• Youre in touch with your donors
• You understand what similar groups are mailing to
  your donors in common
• You cant win this one, can you?

19
Diplomacy or Jack Daniels