CharityMatters-NZ Charity Sector, Donor Support, Fundraising, Opinions, Other, Sector news, Uncategorized

The Demise of the Charity Shop

With recent news that Save the Children will be closing their stores it’s timely to see what’s happening, what’s changed.

Save the Children, isn’t the first and it won’t be the last to close up shop.

At one time generous landlords gave organisations cheap rentals and even reduced other costs associated with renting shop space. This has changed with landlords now, in the main, charging market rents.

With market rents being charged organisations have had little choice but to no longer sell items for $1 or $2 dollars, but to increase some prices; sure there are still great bargains and, remember every purchase benefits the organisation no matter the price, even that five cent spoon purchase has a benefit.

There is, in my opinion, also been a growth in the number of organisation having a “retail” presence, this has created competition with people having more choice as to where they can shop for a bargain. Not unlike mainstream retail.

Sure, we will see fewer organisations with a retail presence, but they will continue to be there. Some will still sell items to raise funds, but this will likely be, as it is already, be online through the likes of TradeMe.

Others will start using other methods, social enterprise for one. With some organisations already looking at this as a means to raise funds with little, in some cases no overheads; yet still making use of donated items to create an income stream away from grants etc.

CharityMatters-NZ Donor Support, Donors, Fundraising, Supporter Acquisition

Chuggers, Call to Rein Them In

Again, chuggers are in the headlines, with a call from Wellington city councillor Iona Pannett making comment that they “profit from a form of mild harassment.”

Chuggers, charity muggers, can be seen as aggressive in the way they approach people – the hands out to almost block your path, the hand out to shake yours … actions that could be seen as intimidating to some.

I’ve discussed chuggers before, Chuggers Charity Muggers, We’ll keep the lot – thank you, Charity Muggers – Skills Shortage.

What’s your view of “chuggers” – are they too aggressive, too pushy?

See also Chuggers: The truth behind the clipboard people.

CharityMatters-NZ Donor Support, Fundraising, Regular Giving, Supporter Acquisition, Supporter Retention

Donor Retention: Time for a Change

Another great piece from Michael Rosen that’s definitely worth making a coffee and sitting down to read.

Donor Retention: Time for a Change

[Publisher’s Note: From time-to-time, I will invite an outstanding, published book author to write a guest post. If you’d like to learn about how to be a guest blogger, click on the “Authors” tab above.]

This week, I have invited international fundraising superstar Roger M. Craver, a direct-response fundraising pioneer, Editor at The Agitator, and author of Retention Fundraising: The New Art and Science of Keeping Your Donors for Life to share his wisdom with us.

However, do we really need a book about something as fundamental as donor retention? I believe we do. And so does Ken Burnett, Managing Trustee at SOFII and author of Relationship Fundraising. Here’s what Burnett says in the Foreword to Craver’s book:

Our nonprofit sector is bleeding to death. We’re hemorrhaging donors, losing support as fast as we find it, seemingly condemned forever to pay a fortune just to stand still.

It’s time we stemmed the flow.”

While the latest Fundraising Effectiveness Project report, developed by the Association of Fundraising Professionals and the Urban Institute, shows that the nonprofit sector’s donor retention rate has improved for the first time in years, the number is still wretched. The nonprofit sector’s donor retention rate now sits at a shameful 43 percent! For every 100 new and renewed donors, 102 donors are lost through attrition.

As a sector, we must stop this donor churn. It’s expensive. It prevents organizations from building long-term relationships that lead to large current donations and significant planned gifts.

Read full article here

CharityMatters-NZ Communication, Donor Communication, Donor Support, Donors, Fundraising, Supporter Retention

Who’s Centre of Attention – You or Your Donor

It’s not all about you – it’s about your donor. The donor is king, without them you have a hole in your income.

How you communicate is important, they want to know that they are making a difference, that their support is what enables your organisation to do.

Tell your donors the good things their support has enabled, donors like to know the good things their support has enabled.

It could be said that boasting only about what you have achieved can make donors think “well, if you’re that good why do you need me …”

Saying things like “You have enabled us to … ” makes donors feel that their support is making a difference. Whereas, “We did blah blah …” has the potential to have the reverse effect.

The next time you plan donor communications – remember to put your donor first, tell them what they have done.

You’ll gain more if your donor is the centre of attention.

CharityMatters-NZ Uncategorized

You need a Stable Board

Your board, like any other area in your organisation will need to replace or add new members; how you go about finding the right person, introducing them and helping them in their role will have an impact on how they do their ‘job’ and how long they’ll stay.

Like any other function in any organisation, a position description should be put together; outlining what the role is. From this you can’t write a person description, what type of person best suits the role – experience, contacts, abilities; what do they have to have?

Once you have done that, it’s time to start looking; your networks are the first place you should start. Ask around, someone knows someone.

And, like any other role you need to:

Introduce them to the organisation, whether this is possible face-to-face or through other means; ensure they are properly introduced.

Induct them into the organisation, explain the role and all expectations; meeting attendance, availability to attend events etc.

Bring them up-to-date, make sure make the time to tell them where things are at, mid-term goals etc; this will help them hit the ground running.

Some organisation team up a mentor, someone who has experience in the functions of the board and organisation; this is something worth considering especially in larger organisations.

Like all other roles in your organisation, you should be conducting reviews; these are an opportunity for two-way feedback on how the board member is doing, what their take on the role is, and what future plans, goals.

Keep all board members active, involved and encouraged to be part of the organisation; if you want to have a high turnover rate anywhere in the organisation, ignore their views, bore them with aimless tasks and ineffective meetings.

How do you manage new board members? Do you follow the above?

See also:

Does your board expect to be paid

Your board and trustees should be working

Are you supported by your board and staff?

Board Meetings – When do You hold them?

CharityMatters-NZ Uncategorized

Tell it like it is

How often do you send something out, an email, letter, appeal or thank you letter full of terms that are vague, jargon only known by those in the “know”?

It happens too often, we’re all guilty of it, we all use terms and phrases we’re familiar and, comfortable with.

Often the terms and phrases use are too broad and often meaningless to the reader – your supporter.

How often have you sent something out using phrases like “we help at risk teens …” or “we support people in need …” These phrases mean a lot to you, but without a story to back up what you’re saying they can be absolutely meaningless to the reader.

Many terms you may use internally and they may be in your mission statement, but they should be limited in communications with your donors.

Kids –  Youth

If you work with kids – youth, children, say kids, most people identify their children as kids, they will remember what things were like when they were kids; so say kids.

Kids does sound warm, it has a recall; say kids and your supporters will likely relate better.

Having worked with organisations who assist children/youth, I’ve had the discussion about saying “Kids”; but it seems many feel that it’s ok to say children and youth but not kids because it’s seen as too informal and, perhaps demeaning.

But why can’t we just say kids?  Surely most of the people in your organisation and your supporters refer to their own children as kids – so why not say what people relate to when it comes to children and youth – Kids.

What sounds better, what gives you a warm feeling – kids or youth?

Being hit by a Bus

Ok, know one would actually say this, but, they would say “At risk”. It’s vague, walking down the street someone could be hit by a bus, there’s the possibility something bad could happen, that’s all “at risk” is saying. Be specific.

Tell a story to say how you work with people in certain situations so something won’t happen.

Something like “Our programmes help kids deal with … and help them grow and develop into … ”

“Since James came to us, his parents and teachers have seen …”

Turning lives around, making a difference

Well if you’re not making a difference why do you exist.

Yes, it’s important that supporters know you are making a difference, but you need to be saying more than that.

If you can show what you’re doing, what you’ve done – your supporters will relate more to the work you’re doing.

Again, tell stories, show what you’re doing … “in the last six months we’ve helped x families into new homes …”

Cognitive dissonance

Confused?

If you use terms or phrases that cause confusion, you’ll have less impact from your communications. Stay on topic.

Say it as it is, avoid using any term, phrase or reference that causes confusion “we help kids see their potential”

Any other ideas you’d add?

CharityMatters-NZ Uncategorized

Stop Firefighting – Start Fires Instead

Recently I read “Fundraisers – ‘Stop firefighting and see the fire’” and thought about how collaboration and technology is changing the way organization go about their job.

Are we seeing collaboration in New Zealand – short answer, from my perspective we’re aren’t. Most organizations are for whatever reason afraid of sharing what they’re doing, how they’re doing it with others in the sector.

Reading “We are currently part of a consortium of 23 North West hospices who have collaborated on a new Granada TV advert. It is the first of what we hope will be many collaborative partnerships across the hospice movement.”  Made me think about how many organizations we have working in the same field could collaborate to spread their message.

Imagine the cost savings, potential increased reach and resultant support – why are we short sighted?

Surely the time has come for more collaboration, more sharing of ideas, tools and tricks.

Sure, some will say, but they’re our competition. But competition there can be competition without opposition – support for the common good can out weigh the negatives.

Claire Houghton  says in her piece “Local charity fundraising is often too focused on the fire fighting to see the fire”.

I say – light the fire, ignite interest in your sector, pick up the phone and have a chat with an organization doing similar work to you – ignite the passion to collaborate and engage on a regular basis.

Don’t fight fires, start them.

CharityMatters-NZ Uncategorized

Personal Information – Given for One Reason, Used for Another

You walk down the street and get confronted by an organization asking you to sign their petition; you do so only to find out down the track that they have used your information for other purposes – how do you feel?

Recently an organization was “outed” for using names and contact information to add to their calling or mailing list; and when the organization was asked about this practice they simply said something on the lines of ‘people know there’ll be communication from us’.

Is this right? Remember you only gave your contact information so as to sign a petition, you didn’t, or most likely didn’t do it to be added to a phone or mailing list.

Is this another form of “chugging”?

When the NZ Privacy Office says people who give their information it is reasonable to assume they would be used to contact you, one has to wonder if this is the right attitude from a body set up to protect people’s privacy and to ensure information supplied is used for the purposes for which it is given.

In signing a petition, name, address etc are given mainly for the purposes of ensuring all names collected are bona fide.

If an organization then uses this information for other than what you supplied them for, from a personal perspective this surely must be in breach of the Privacy Act.

If you were to receive letters, emails or phone calls from an organization through this practise, would it put you off supporting them further?

CharityMatters-NZ Uncategorized

More Openness and Accountability Needed

Again, we’re hearing stories about one NZ organization which appears to have not used funds in the way donors had intended. If this is truly the case, and I have no evidence either way other than what I (like you may have read, or heard in the media); then perhaps Charity Services need to look at some random auditing process.

A random auditing process may help stop organizations from using funds for purposes for which they weren’t intended.

One of the ideas behind the Charities Commission, now Charity Services, was to help register and monitor the sector, and an offshoot of this was to help build public confidence in the sector; a sector that generates around billion of dollars annually.

When people hear about things such as the Wellington foodbank it doesn’t foster confidence in the sector and, not only relates to the one organization but, the flow on effect can impact on continued support and giving for other organizations.

In October 2012 I posted Public trust and confidence in charities – survey results, it found “ … that 44% of respondents had a high level of trust and confidence in charities, down by 11% since 2010, and 14% since 2008”, confidence and trust in organizations, knowing that organizations are doing what they set out to do are reasons why people support.

When the public read about funds not getting to where they were intended, or about high overheads, high cost of campaigns etc; it can (and does) turn people away.

Do we, all of us working within the sector owe it to ourselves, and the sector as a whole to look out for one another, to help ensure a high level of accountability. Or do we leave it to others?

How will do the general public know about the role of Charity Services – do the general public know that roles of Charity Services included:

  • Monitoring and investigation of registered charities, and governance and management education and support provided to charities by the Commission
  • The Charities Commission receives and responds to complaints from and about charities

And, that the Charities Register contains the details of all registered charities, including their rules, officers, contact details, and financial information, and is open for scrutiny by members of the public

We always see ads advising people how to make a complaint about something they’ve seen on TV, heard on the radio or in the papers – but, when was the last time you saw how people can make complaints or raise issues with the “governing body” when it comes to charities?

Everyone working in the sector needs to help build and maintain its reputation, perhaps individual members in the sector could as a sign of openness have content on the website or other collateral of how people can ask questions and lay complaints should an organization appear not to be fulfilling its duties and responsibilities.

What are your thoughts?

CharityMatters-NZ Uncategorized

Personal Information – Given for One Reason, Used for Another

You walk down the street and get confronted by an organization asking you to sign their petition; you do so only to find out down the track that they have used your information for other purposes – how do you feel?

Recently an organization was “outed” for using names and contact information to add to their calling or mailing list; and when the organization was asked about this practice they simply said something on the lines of ‘people know there’ll be communication from us’.

Is this right? Remember you only gave your contact information so as to sign a petition, you didn’t, or most likely didn’t do it to be added to a phone or mailing list.

Is this another form of “chugging”?

When the NZ Privacy Office says people who give their information it is reasonable to assume they would be used to contact you, one has to wonder if this is the right attitude from a body set up to protect people’s privacy and to ensure information supplied is used for the purposes for which it is given.

In signing a petition, name, address etc are given mainly for the purposes of ensuring all names collected are bona fide.

If an organization then uses this information for other than what you supplied them for, from a personal perspective this surely must be in breach of the Privacy Act.

If you were to receive letters, emails or phone calls from an organization through this practice, would it put you off supporting them further?