10 essential steps to help you create a successful fundraising strategy

1. 10 essential steps to help you create a successful fundraising strategy Pamela Sutton-Legaud CFRE MBA Senior Consultant - AskRIGHT

2. Introduction • Who I am • What I know • What I’ll talk about today • What you will come away with • Where to go from here

3. TODAY’S PRESENTATION How Important Is Fundraising Income? The Structure of Philanthropy Market Trends What’s Happening with Donations? 10 Essential steps to help you create a successful fundraising strategy • Passion! • Commitment • Write it Down! • Allocate Resources • Gather Information • Create Impact • Collaborate/Create Leverage • Match your Channels to your Strategy • Digital and Integrated Fundraising • Build a culture of philanthropy Summary

4. HOW IMPORTANT IS FUNDRAISING INCOME? Only 8% of NFP revenue is from donors, corporates, trusts – 75% is from government

5. THE STRUCTURE OF PHILANTHROPY The HNWI, structured philanthropy and bequest areas of giving, while smaller, are the fastest growing and over the next decade are set to form a much more significant part of the giving landscape. The financial value of volunteering to the sector is 1.7 times that of donations and bequests Source – Australian Taxation Office (ATO), Australian Bureau of Statistics (ABS), Giving Australia 2016, JBWere Philanthropic Services

6. MARKET TRENDS Around 35% of tax payers claim tax deductible donations • Mass market donors currently make up almost half of total donations. This is expected to fall to around one third by 2036 • The higher cost of many non-deductible fundraising strategies such as events and lotteries discourages growth in tax-deductible giving. • More women donate and at most age brackets, they donate a larger proportion of taxable income but with lower salaries they donate less dollars. • The proportion donating and amounts given rises with income, although under 60% of those earning over $1 million per year claiming a deduction for donations. Source: JB Weir The Support Report 2018 • What you may not know…

7. WHAT’S HAPPENING TO DONATIONS? • Bequests are set to grow with an ageing population and rising house values. • There has been strong growth in large and visible giving and in structured giving through PAFs. Grants made through these will grow to 17% of all giving by 2036, up from 7% in 1996. The causes supported by this group varies from mass market giving. • The return on investment in fundraising has fallen consistently over the last decade due partly to competition, however it is still attractive at around $5 raised for each $1 spent. Source: JB Weir The Support Report 2018

8. 1. WHAT’S YOUR PASSION? • Everything begins with a passion! • Why did your organisation start? • What problem was it trying to solve? • Why are you here? • However, it only takes you so far…

9. 2. COMMITTMENT TIME, TALENT & TREASURE • Your Executive – the leadership must lead the way • Your Staff – need to share commitment to philanthropy • Your Budget – commit resources • Your Time – make it a priority

10. 3. WRITE IT DOWN • A idea in your head is just a dream – write it down and turn it into a plan • Write down your vision • Written plans can be: • Shared • Compared • Edited • Refined • Allocate a budget • Set measurable targets • Be SMART! • Plan your work and work your plan

11. 3. WRITE IT DOWN • Current situation • SWOT – Strengths, Weaknesses, Opportunities, Threats • Objectives – what are you aiming to do? • Data management – good data management is mandatory • Target audience – who will you talk to about your strategy? • Strategy – What is your approach? • Methodology – How will you implement your strategy? • Budget - what financial resources will you commit? • WHAT’S IN A PLAN?

12. 4. ALLOCATE RESOURCES • Allocate Resources • Who’s responsible for fundraising? Dedicated resources make a big difference • How will your board contribute? • How can you utilize volunteers? • What is your fundraising budget?

13. 5. GATHER INFORMATION • What are you trying to achieve? • Who will help you? • How does the project you’re fundraising for meet your organizational goals? • Who will do the work? • How much will it cost? • How will you achieve it? • By when?

14. 6. CREATE IMPACT • If you are a charity • If you are a corporate wanting to work with charities/nfp • If you want fundraising income • If you want to engage with sponsorship • NO STRATEGY = HIGH ACTIVITY/LOW IMPACT • Have a strategy

15. 7. COLLABORATE • Look for partners • Look for those doing similar/related work • Share resources • Build capacity

16. 7. CREATE LEVERAGE Examples of great leverage in Australia: • Chuck FeeneyAtlantic Philanthropic made grants to 23 organizations across Queensland, Victoria, New South Wales and Tasmania, and co-funded the creation of eight new research institutes. Atlantic Philanthropic leveraged more than $2 billion in matched giving from state and federal governments and other donors.  • David Thomas Challengeremains among the biggest single private environmental pledges made and was a matching-funds program. It generated total grants of $28.1m for biodiversity conservation programs and projects with private Australians giving $12.6m. Matching grants work! Ask your donors to consider a challenge grant. Look at giving days.

17. 8. MATCH YOUR CHANNELS TO YOUR STRATEGY • Consider the type of donors you can service/attract/invest in

18. 9. DIGITAL & INTEGRATED FUNDRAISING • Online campaigns – Movember, Dry July, Febfast • Crowdfunding – Pozible, • One to one – email, sms, apps • Integrated campaigns – annual appeals

19. 10. BUILD A CULTURE OF PHILANTHROPY • Leaders need to lead • Find ways for staff and to engage and participate • Share your strategy • Create a communications strategy to go with your fundraising strategy • Be inclusive • It’s a journey

20. SUMMARY • Board members lead the way • Commit, Commit, Commit • Write a plan, invest resources • Consider how much you are utilizing/valuing your volunteers • Develop and implement a sensitive bequest strategy • Look beyond mass fundraising – consider HNWI, PAFs, T&F • Share your vision, live your passion • Where to focus:

21. QUESTIONS? Harvard University embarked on its first fundraising campaign in 1643. According to some measures, it now receives an average of A$3.83 million a day. • THANK YOU!