A FUND RAISER'S NEWSYLETTER FROM JOYAUX ASSOCIATES
A periodic bulletin featuring fund raising, management, and board information.
Winter 1999

Don't assume you know your future donors. Their perceptions differ greatly from yours. Tailor your communications to fit their life experiences, not your own! Consider:

  • Students entering college this fall were born in the 1980's.
  • They were 10 or 11 when the Soviet Union broke up. They don't remember the Cold War.
  • They're too young to remember the space shuttle disaster.
  • The Vietnam War is ancient history.
  • They've never known a world without AIDS. And they've never had a polio shot.
  • Atari predates them. So do vinyl albums. They've probably never seen an 8-track. And CDs were introduced when they were infants.

    Want more donations? Improve your standards of practice. Total giving in the U.S. rose 7.5% in 1997, to $133.46 billion. Better oversight and stewardship by not-for-profit boards is one reason; a strong economy helped, too.

    Few not-for-profits were involved in scandals in 1997. And charities have raised their standards to meet public expectations. That placed them in better position to ask for support and plan for the future.

    Also in 1997:

  • Giving by living individuals rose 6.8%, to $109.26 billion.
  • Giving via bequests increased 10%, to $12.63 billion.
  • Foundation giving rose 11.4%, to $13.37 billion.
  • Companies and corporate foundations increased their giving by 7.5%, to $8.2 billion.

    Giving to religious groups increased (up 6.1%), as did donations to international affairs organizations (up 15%), educational causes (up 12.3%), human services programs (up 4.1%), environmental groups (up 7.4%), and groups that benefit the public or society (up 10.8%), such as civil-rights organizations and consumer-protection campaigns. Giving to health causes was flat, however, and donations to arts and cultural groups declined 2.8%.

    [Source: Giving USA, 1998. Available for $49.94 plus $6 shipping and handling ($54.95) for the print version, or $135 plus $6 shipping and handling ($141) for the CD-ROM version, from the American Association of Fund-Raising Counsel's Trust for Philanthropy. To order, call 888-5-GIVING, write to 25 West 43rd St., Suite 820, New York, NY 10036, or complete an order form on the group's Web site: http://www.aafrc.org]

    Tune in to better media coverage. Designate a media-relations coordinator -- someone who knows your day-to-day operations and can answer basic questions. The coordinator should handle all media calls, and arrange interviews with other staff as necessary.

    Don't wait for the press to come to you. Find out which newspaper, TV, Internet and magazine reporters you should contact if you have a story. Set up a meeting to educate them about your group. Stress your group's goals and how your activities help achieve them.

    Make your board a resource for reporters. Identify who on your board will be good with the press. Keep them up-to-date on organizational activities. Connect reporters to those who have direct experience with subjects you are pitching as news.

    Finally, seek out opportunities to get your group's position in the paper or on TV. Both offer ways for not-for-profit leaders to express their opinions on hot topics. Let the editor know what you'' like to write about, and when you can deliver it.

    [Source: "Get The Media Coverage You Want for Your Nonprofit," April Moore, Board and Administrator, Special Report, October 1998. Aspen Publishers, Inc., 7201 McKinney Circle, Frederick, MD 21704; 800-638-8437.]

    Looking for support from up-and-coming corporations? Most firms don't give until they make a profit. Then, giving is initially local -- driven by employee involvement, or even the CEO.

    Growing companies that can't afford to give money can still provide volunteer support. Once a relationship is established, cash donations could follow. Be patient.

    [Source: "The Next Big Thing," Corporate Philanthropy Report, October 1998. Aspen Publishers Inc., 1101 King St., Suite 444, Alexandria, VA 22314, 703-683-4100.]

    Let local companies know -- the public smiles on in-kind donations! 42% of people surveyed said they were most impressed by companies that gave products and services to charity. Employee volunteer efforts ranked second, at 36.5%. 'Checkbook philanthropy' came in last, at 12.3%.

    Companies are most likely to impress customers by giving to educational causes, followed by donations to health and social-services groups.

    For more information, see the survey conducted by Hill and Knowlton's Strategic Philanthropy Practice, available online at http://www.hillandknowlton.com or free from Hill and Knowlton, 1100 Peachtree St., N.E., Suite 2150, Atlanta, GA 30309; 404-249-8550.

    [Source: "Product Donations are Better than Cash?" Corporate Philanthropy Report, October 1998. Aspen Publishers Inc., 1101 King St., Suite 444, Alexandria, VA 22314; 703-683-4100; and "Americans Place High Value on Non-Cash Corporate Gifts," The Chronicle of Philanthropy, September 24, 1998; P.O. Box 1989, Marion, OH 43305; 800-728-2819; fax 202-223-6292.]

    People give because it makes them feel good -- and give according to what they think they can accomplish.

    80% of all donations come from people with incomes under $100,000 per year. And 60% of Americans volunteer, averaging four hours per week.

    Most Americans believe that charities have important work to do – no matter how much the government spends.

    For more information, see the National Survey on Philanthropy and Civic Renewal, available for $5 from the Hudson Institute: 1-800-HUDSON-) or 317-545-1000.

    [Source: Scripps Howard News Service, September 24, 1998.]

    Don't target your solicitations based solely on income. Many low-income families give because they feel it is the right thing to do. In some cases, residents of poor counties gave far more, per capita, than some of the wealthiest communities.

    [Source: "Generosity by the Numbers," Josh Galper, American Demographics, August 1998.]

    Raising money or looking for volunteers? Don't forget your call to action! When raising money, the call to action is your request for a specific gift. When seeking volunteers, the call to action is your invitation to join the group or committee or take on a task.

    The call to action is the interactive part of your communication – it tells the recipient what to do. A good call to action:

  • is specific.
  • conveys urgency.
  • is introduced early and repeated.
  • clearly states why your organization is the answer for an obvious and pressing problem or want.
  • explains why the recipient will feel better by acting.
  • envisions a better future as a direct result of obeying the call to action.
  • clearly communicates to the recipient that he or she is the right person to act.
  • is fun or satisfying to participate in.

    For more information, see Strategic Fund Development: Building Profitable Relationships That Last by Simone P. Joyaux, ACFRE, Aspen Publishers, Frederick, MD, 1997; 800-638-8437.

    Make sure your fund-raising strategy is cost-effective. Net income -- not gross income -- is the key to fund-raising effectiveness. Net income is the money available to further your mission after fund-raising costs are deducted.

    Direct mail initially costs not-for-profit organizations $1.25 to $1.50 to raise $1. But renewals are far more cost-effective -- typically costing 20-25¢ for every $1 raised. The larger the number of active donors available for renewal, the greater the net return they will provide. Red flags: if your renewal rate falls below 50%, or if your average gift size decreases.

    The cost-effectiveness of other types of fund raising varies. A capital campaign should cost 10-20¢ to raise $1, as should personal solicitations conducted by volunteers. Special events typically cost 50¢ for every $1 raised -- plus overhead support costs.

    For more information, see Fund-Raising Cost-Effectiveness: A Self-Assessment Workbook, James M. Greenfield, FAHP, ACFRE, John Wiley & Sons, Inc., New York, 1996.

    Are your communications falling on deaf ears? When you write, remember to address all four dominant personality types among your readers:

  • Expressive learners love 'new stuff" but are easily bored. Keep your writing lively, with bold statements, new initiatives, bright ideas.
  • Analytical learners crave facts. Give them lots of documentation, testimonials, and statistics to make your pints.
  • Bottom-liners want their directions short and sweet. Cut to the chase with summaries and capsules, and they'll make their decision just as quickly.
  • Amiables value relationships most. Address them with the word "you," and promise an ongoing relationship.

    Address all four types, or you risk losing 25% or more of your audience. Good communications offer something for everyone.

    [Source: "A few rules to review whenever you sit down to write," Tom Ahern, Ahern to Bousquet, Rhode Island. 401-397-8104; e-mail: A2Bmail@aol.com]

    Take this quick proposal-writing test. Does your proposal include:

  • Statement of the community problem, need or opportunity that you propose to address?
  • Summary of your organization's proposed response to the problem, need or opportunity?
  • Description of how you will measure the effectiveness and success of your program or project?
  • Description of how and why your institution is best capable of conducting this program or project, and how it fits with your mission and capabilities?
  • Statement about how the proposed project or program fits with the funder's priorities?
  • Summary of your institution's overall budget, your financing resources and funding needs for this program or project, a timeline for funding, and any future funding needs?

    A proposal should also have a cover letter that very briefly summarizes the above.

    [Source: Simone P. Joyaux, ACFRE, Joyaux Associates, 10 Johnson Road, Foster, RI 02825, 401-397-2534; fax 401-397-6793; e-mail: spjoyaux@aol.com]

    Are you speaking the language of the rich? Like others, wealthy donors give because they believe in worthwhile causes. But they also believe that they have a responsibility to share their good fortune.

    The top 1% of affluent Americans give an average of 8% of their income to charity, compared to an average of 3% among the general population. Giving by this group totaled $27 billion in 1997 -- about 25% of all personal giving.

    For more information, see the U.S. Trust Survey of Affluent Americans, available free online at http://www.ustrust.com/affluent.htm

    [Source: The Associated Press, November 17, 1998.]

    Work out a relationship with your local labor union. Unions and union members donate time, money and materials to charity. Carpenters, sheet-metal workers, plumbers and others offer valuable, specialized skills. But they are often overlooked by not-for-profit groups.

    Like big companies, labor unions want to be recognized as good corporate citizens. In California, a coalition of unions banded together to set up a Red Cross center after a flood and helped deliver supplies to victims. Union volunteers also built a college baseball stadium in Sacramento.

    Unions also host charity events like golf tournaments and raffles, and adopt local charities during the holidays. And individual union members also donate their time to good causes.

    [Source: The Sacramento Bee, September 6, 1998.]

    Put the Internet to work for your organization. Not-for-profit groups are using electronic communications for many program support activities -- not just fund raising. Groups are looking for ways that the Internet can save them money and streamline service delivery.

    For example:

  • The Leukemia Society of America simulcasted a Washington, D.C., press conference in live audio on its web site last September, attracting more than 350 listeners.
  • Youth Service America has listed more than 5,000 volunteer opportunities on its web site.
  • Mothers Against Drunk Driving has set up four live "chat" rooms for victims of drunk driving to communicate with each other, giving the group a presence even in remote rural areas.
  • The National Wildlife Federation has an employees-only web site full of information about organizational activities and operations.
  • The California Community Foundation publishes all of its materials online, saving thousands of dollars in printing costs.

    More than 114,000 not-for-profit groups now have web sites.

    [Source: "Charities Put the Web to Work," Paul Demko and Jennifer Moore, The Chronicle of Philanthropy, October 8, 1998. P.O. Box 1989, Marion, OH 43305; 800-728-2819; fax 202-223-6292.]

    Internet/World Wide Web Addresses...

    Get your fund-raising news online. A number of publications serving the not-for-profit community offer information on the Internet. For instance:

  • The Chronicle of Philanthropy's web site includes the full text of each weekly issue of "The Newspaper of the Nonprofit World," including feature articles, job postings and grant announcements. A free e-mail update service also is available: http://www.philanthropy.com

  • The Nonprofit Times publishes each month's issue online, and also has links to other not-for-profit resources: http://www.nptimes.com

  • The Foundation Center publishes the Philanthropy Digest, a weekly summary of top news from the world of philanthropy. The digest is available on the Center's web site or via free e-mail subscription: http://fdncenter.org/pnd/current/index.html

  • The Philanthropy Journal Online has foundation and corporate giving news and links, available on the web site or via a free e-mail subscription: http://www.philanthropyjournal.org

    Need a Free Computer?...

    These groups provide surplus or refurbished computers to not-for-profit organizations:

  • Computers 4 Kids: http://www.c4k.org
  • Computers for Learning: http://www.computers.fed.gov
  • The Detweiler Foundation's Computers for Schools Program: http://www.detweiler.org
  • The East West Development Education Foundation:
  • Gifts in Kind International: http://www.giftsinkind.org (membership required)
  • Marin Computer Resource Center: e-mail to mcrc@pacbell.net, or call 415-454-4227
  • National Cristina Foundation: http://www.cristina.org
  • Non-Profit Computing Inc.: call 212-759-2368
  • Share the Technology: http://www.libertynet.org/share

    Who we are...

  • Simone P. Joyaux, ACFRE, is one of the country's top-ranked fund-raising professionals. She has 23 years experience working with not-for-profits of every size and stripe. Now celebrating its 10th year, Joyaux Associates has helped hundreds of clients. In 1997, Aspen published her book Strategic Fund Development: Building Profitable Relationships that Last. An inspiring presenter, she travels frequently to speak about fund development, planning, and organizational development.

  • In 1998, IABC, the world's largest association of professional communicators, honored Ahern to Bousquet, Inc., with its top international award for not-for-profit media relations: the Gold Quill of Excellence, recognizing the firm's extraordinarily successful work promoting Roger Williams Park Zoo. A2B's fund-raising clients have included the Lifespan hospitals, Bryant College, the National Association of EMTs, Children's Aid & Family Services (NJ), etc. Principals are Lisa Bousquet, APR, and Tom Ahern, ABC. You can contact Joyaux Associates by:

    Phone: 401-397-2534
    Fax: 401-397-6793
    E-mail: spjoyaux@aol.com

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