United Way of Canada Centraide Canada

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United Way of Canada Centraide Canada National
Conference
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How the economy is affecting Canadian
Philanthropic Trends and how we respond
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Diverse, vibrant sector.
Distribution of Charities

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Many causes, many interests.
Individual giving, by value and donor rate.

Source CSVGP
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Enduring growth.

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Individual Giving.

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What were seeing.

• Donors still receptive to discussions
• Gifts being confirmed
• Pledge timelines may be extended
• Campaigns in planning or active phases moving
  forward with adjustments to strategy
• Volunteer engagement challenging

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Adjustments to strategy.

• Sharp, relevant case for support
• Intensive, extended cultivation period
• Longer timelines
• Flexibility with donors
• Giving options
• Respect for donors
• Individual plans of action

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The predictions.
The surprises.
The next decade.
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90 of funds will come from 10 of donors,
Relationships will be key, Accountability will be
a cornerstone not a sidebar, Volunteers will be
prized resources, Corporate giving will become
more transaction-based, Individual donors will be
more discerning, Donors will be more diverse,
Technology will grow in importance, A mature
profession will develop, The strong will get
stronger.
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Increasing dominance of core donors.
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Major gifts, major impact.
of gifts by gift level
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Major gifts, major impact.
value of gifts by gift level (millions)
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Impact of gifts of securities.
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Gifts of securities.
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Remember this?
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Where to from here?
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(No Transcript)
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Opportunity for revenue stream diversification.

• Annual giving seems resilient (at this point)
• Planned giving robust
• Blending of major gifts and planned giving
  programs
• Softening in special event sponsorship
• Softening of corporate giving and gifts of
  securities
• Research key to finding opportunities to
  diversify
• Looking for ways to diversify fundraising methods
  within programs

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90 of funds will come from 10 of donors,
Relationships will be key, Accountability will be
a cornerstone not a sidebar, Volunteers will be
prized resources, Corporate giving will become
more transaction-based, Individual donors will be
more discerning, Donors will be more diverse,
Technology will grow in importance, A mature
profession will develop, The strong will get
stronger.
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Maintain the old, develop the new.
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Building the pipeline.
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Retooling programs.

• Donor retention key
• Steward according to retention strategy
• Motivate leadership to step vocally forward
  (senior admin. volunteers) i.e.
  communications strategies
• Organization integration

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Overall strategies.

• Honing of case to segmented stakeholders
  emphasis on differentiation
• Appeal to collective groups of multiple
  stakeholders
• Scenario planning to complement strategic
  planning
• Mindshifting
• Leading indicators for performance metrics

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90 of funds will come from 10 of donors,
Relationships will be key, Accountability will be
a cornerstone not a sidebar, Volunteers will be
prized resources, Corporate giving will become
more transaction-based, Individual donors will be
more discerning, Donors will be more diverse,
Technology will grow in importance, A mature
profession will develop, The strong will get
stronger.
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Diligent, multi-faceted efforts.

• Efforts at self-regulation
• Imagine Canada code, CFRE designation, Donor Bill
  of Rights
• Improvement in management tools techniques
• More investment in strategic planning
• Use of accountability vehicles
• Development of benchmarking data

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Intensity of scrutiny.
On the other.
On one hand

• Gushing with goodwill one group of Albertans
  puts a mid-life spin on philanthropy
• We are not a stingy lot
• Professionals fundraisers in demand
• Volunteers a powerful force

• Rogue charities raised millions
• Charity scams bust public trust
• Great charities can be found, but it takes
  legwork
• Charities admit fundraising mess
• Charities launch self-policing code

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Intensity of scrutiny.
On the other.
On one hand

• Gushing with goodwill one group of Albertans
  puts a mid-life spin on philanthropy
• We are not a stingy lot
• Professionals fundraisers in demand
• Volunteers a powerful force

• Rogue charities raised millions
• Charity scams bust public trust
• Great charities can be found, but it takes
  legwork
• Charities admit fundraising mess
• Charities launch self-policing code

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Intensity of scrutiny.
Globe and Mail November 2, 2008 Universities
eye 'painful' cuts in wake of crisis
Ottawa Citizen November 6, 2008 Market woes
hobble key charity group Community Foundation of
Ottawa has less money to give, greater demand
Globe and Mail October 3, 2008 Workplace
charity drives prepare for lean times
Globe and Mail November 14, 2008 Investing in
Charity Could there be a more compelling reason
or time to give generously?
Globe and Mail September 30, 2008 Rotman to
grow, despite downturn
Globe and Mail October 5, 2008 Donation stats
point to charitable perfect storm
Globe and Mail September 23, 2008 Charities
brace for drop in donors
Ottawa Citizen November 12, 2008 Give
generously Difficult times are when we most need
our charities
St. Catharine Standard November 11, 2008 Market
woes haven't hit Brock too hard
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Accountability 3.0.

• Accreditation, education and study of governance
  in the sector
• Risk management
• Expectations more rigorous for staff and board
• Less tolerance of average
• Accountability costs

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90 of funds will come from 10 of donors,
Relationships will be key, Accountability will be
a cornerstone not a sidebar, Volunteers will be
prized resources, Corporate giving will become
more transaction-based, Individual donors will be
more discerning, Donors will be more diverse,
Technology will grow in importance, A mature
profession will develop, The strong will get
stronger.
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The enduring role of volunteers.
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Understanding volunteer motivation.
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90 of funds will come from 10 of donors,
Relationships will be key, Accountability will be
a cornerstone not a sidebar, Volunteers will be
prized resources, Corporate giving will become
more transaction-based, Individual donors will be
more discerning, Donors will be more diverse,
Technology will grow in importance, A mature
profession will develop, The strong will get
stronger.
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Focus of corporate philanthropy and sponsorship.
Corporate support by sector
Source Imagine Canada
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Big businesss big givers.
Corporate giving by industry
Source Imagine Canada
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Reasons large companies give.
Source Imagine Canada
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Challenges to giving.
Source Imagine Canada
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Strategic giving.
Source Imagine Canada
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Merger of marketing and philanthropy?

• (Product)RED
• Consortium of companies (Apple, Dell, GAP,etc.)
  raising funds to fight HIV and AIDS in Africa
• Outcomes/results of embedded giving controversial
• Cause marketing, or marketing gimmick?

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90 of funds will come from 10 of donors,
Relationships will be key, Accountability will be
a cornerstone not a sidebar, Volunteers will be
prized resources, Corporate giving will become
more transaction-based, Individual donors will be
more discerning, Donors will be more diverse,
Technology will grow in importance, A mature
profession will develop, The strong will get
stronger.
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Motivations for giving.
New
Traditional

• Right thing to do
• Long-time relationships
• Responding to peer pressure
• Local

• Vision, facilitating success
• Seeking to create peer pressure
• Matching funds, opportunity to leverage
• Funding long-term solutions
• Local and global

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Motivations for giving.
New
Traditional

• Right thing to do
• Long-time relationships
• Responding to peer pressure
• Local

• Vision and case, facilitating success
• Seeking to create peer pressure
• Matching funds, opportunity to leverage
• Funding long-term solutions
• Local and global

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Paradigm shift donor activist.
Adapted from Inspired Philanthropy, Tracy Gary,
2007
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90 of funds will come from 10 of donors,
Relationships will be key, Accountability will be
a cornerstone not a sidebar, Volunteers will be
prized resources, Corporate giving will become
more transaction-based, Individual donors will be
more discerning, Donors will be more diverse,
Technology will grow in importance, A mature
profession will develop, The strong will get
stronger.
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Diversity is diverse.
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90 of funds will come from 10 of donors,
Relationships will be key, Accountability will be
a cornerstone not a sidebar, Volunteers will be
prized resources, Corporate giving will become
more transaction-based, Individual donors will be
more discerning, Donors will be more diverse,
Technology will grow in importance, A mature
profession will develop, The strong will get
stronger.
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Importance definitely grows

• Web 1.0
• Information onlinestrictly a one-way published
  media
• Fundraising the donate now button
• Web 2.0
• Web design that facilitates creativity,
  information sharing, collaboration
  (social-networking, wikis, blogs)
• Fundraising new world of possibilities

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Beyond profiles the new role for research.

• Prospect/stakeholder identification and
  qualification
• Value-added analysis
• Environmental scanning
• Data mining

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Must not be lost in translation.

• Decision-makers at many organizations not in
  touch with this technology
• Must recognize and resource for its growing
  importance
• Relationships still rule

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90 of funds will come from 10 of donors,
Relationships will be key, Accountability will be
a cornerstone not a sidebar, Volunteers will be
prized resources, Corporate giving will become
more transaction-based, Individual donors will be
more discerning, Donors will be more diverse,
Technology will grow in importance, A mature
profession will develop, The strong will get
stronger.
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A work in progress.
Not-so-good news.
Good news

• Young graduates choosing this as a field
• Greater professionalization
• Transferable skills Nonprofit world attractive
  to new entrants

• Demand still outstrips supply
• Training gaps exist

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A work in progress.
Not-so-good news.
Good news

• Young graduates choosing this as a field
• Greater professionalization
• Transferable skills Nonprofit world attractive
  to new entrants

• Demand still outstrips supply
• Training gaps exist

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Continuing the work in progress
Beyond Hiring
Beyond Experience

• Competencies
• Service Orientation
• Systems Thinking
• Goal Orientation
• Stewardship
• Functional Acumen
• Social Agility
• Communications Savvy

• Onboarding programs
• Performance management
• Leadership and management training/professional
  development
• Retention strategies

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Continuing the work in progress
Beyond Hiring
Beyond Experience

• Competencies
• Service Orientation
• Systems Thinking
• Goal Orientation
• Stewardship
• Functional Acumen
• Social Agility
• Communications Savvy

• Onboarding programs
• Performance management
• Leadership and management training/professional
  development
• Retention strategies

56
90 of funds will come from 10 of donors,
Relationships will be key, Accountability will be
a cornerstone not a sidebar, Volunteers will be
prized resources, Corporate giving will become
more transaction-based, Individual donors will be
more discerning, Donors will be more diverse,
Technology will grow in importance, A mature
profession will develop, The strong will get
stronger.
57
90 of funds will come from 10 of donors,
Relationships will be key, Accountability will be
a cornerstone not a sidebar, Volunteers will be
prized resources, Corporate giving will become
more transaction-based, Individual donors will be
more discerning, Donors will be more diverse,
Technology will grow in importance, A mature
profession will develop, The strong will get
stronger.
58
90 of funds will come from 10 of donors,
Relationships will be key, Accountability will be
a cornerstone not a sidebar, Volunteers will be
prized resources, Corporate giving will become
more transaction-based, Individual donors will be
more discerning, Donors will be more diverse,
Technology will grow in importance, A mature
profession will develop, The strong will get
stronger.
challenges

• Economic uncertainty
• Mindshifting
• Donor retention
• Competition
• Donor acquisition

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90 of funds will come from 10 of donors,
Relationships will be key, Accountability will be
a cornerstone not a sidebar, Volunteers will be
prized resources, Corporate giving will become
more transaction-based, Individual donors will be
more discerning, Donors will be more diverse,
Technology will grow in importance, A mature
profession will develop, The strong will get
stronger.
possibilities

• Diversification
• Research
• Technology
• Retooling

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90 of funds will come from 10 of donors,
Relationships will be key, Accountability will be
a cornerstone not a sidebar, Volunteers will be
prized resources, Corporate giving will become
more transaction-based, Individual donors will be
more discerning, Donors will be more diverse,
Technology will grow in importance, A mature
profession will develop, The strong will get
stronger.
where to focus

• Donor retention
• Stewardship
• Accountability
• Building the pipeline
• Volunteer engagement

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A new K.I.S.S. principle.

• Keep it simple and strategic
• Stewardship, Stewardship, Stewardship
• Back to basics fundraising 101
• Missionfocused
• Relationships are key
• Staff and volunteers
• Have a plan, work the plan
• Be open and accountable
• Be grateful

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Discussion