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Getting Started with Online Donation Tools

Getting Started with Online Donation Tools. Nonprofit Technology Conference March 2008. What We’ll Cover. Donation Strategy in Four Minutes or Less Types of Online Donation Solutions Features and Functions The Joy of Fees A Selection of Vendors. Introductions.

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Getting Started with Online Donation Tools

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  1. Getting Started with Online Donation Tools Nonprofit Technology Conference March 2008

  2. What We’ll Cover • Donation Strategy in Four Minutes or Less • Types of Online Donation Solutions • Features and Functions • The Joy of Fees • A Selection of Vendors

  3. Introductions What do you hope to get from this session?

  4. Donation Strategy in Four Minutes or Less

  5. For many online donors, your website is your organization. Would You Donate to Your Website? Does it say what you want it to say?

  6. Are You Making the Case? More people will donate if you ask them to, and you give them compelling reasons for why they should help www.aspca.org Ask them to help. Tell them why.

  7. Surveys show that donors really want to know what you’re going to do with the money. And what you’ve done with it in the past. Are You Backing Up Your Words? www.careusa.org Give them some actual figures.

  8. An online donation tool does not create donations any more than taking credit cards over the phone does. A Button is Not An Outreach Strategy Online donation tools are irrelevant if donors aren’t on your site

  9. Email pulls people to your website Reach Out Through Email Ask them to donate, or to act, or just to view something on your website. www.moveon.org Give them a reason to come – and, ideally, to donate

  10. Put your URL on your business cards, on your letterhead, on event information, in your email footer – everywhere you can Market Your Website Post articles on your website and then promote them widely www.urban.org Optimize your site so that people can find it through search engines How else could you market your site?

  11. If you do get a lot of donations… How Will You Manage the Donations? Will you need to register to fundraise in additional states? How will you thank your donors? Who will be in charge of the process? How will you know if it worked? There’s a lot more to think about than just donation tools

  12. What will you need to do to be ready to make the most of online donations? Do you need to update your website? Do more to promote your website? Perfect areas of your strategy? Other things? Quick Group Work Form groups of 3-4, and take five minutes to discuss

  13. Types of Online Donation Solutions

  14. Three Different Methods • Use a hosted stand-alone tool • Use an integrated tool that supports email, tracking constituents, etc as well • Build your own payment processing application

  15. Hosted Stand-Alone Tool With a hosted stand-alone tool – like PayPal or Groundspring – you link to a donation form on the vendor’s site. It may look like your site, but it isn’t. For those looking to get their feet wet, or for a solution they can plug-in to an existing set of tools

  16. Integrated Tool An onlineintegrated tool – like Democracy in Action, Convio, or Kintera– is also hosted, and could manage emails, constituent data, and more in addition to donations. You might build your whole site with it, or you might link to it. For those who have many online needs, particularly those who don’t already have a strong infrastructure

  17. Build Your Own Or you can create your own tool by: • Building a form functionality • Hooking it to a database • Integrating it all with a payment gateway such as PayPal Pro, Payflow, or AuthorizeNet If you’re already taking donations, and have unusual needs or expect tons of donations

  18. Online Donation ToolsFeatures and Functions

  19. How Donation Tools Work

  20. Look of the Donation Form Some forms can be tailored to match your website’s look and navigation

  21. Fields on the Donation Form Some support eNews sign-ups, tribute gifts, customizable donation amount text, employer matching, custom fields… Some allow you to have multiple forms

  22. Payment Types Your payment processor might support American Express, Discover, PayPal, recurring monthly donations, eChecks, donations from outside North America…

  23. Fraud Prevention Vendors might check addresses, credit card CSV codes, or look for patterns to find fraudulent donations

  24. Merchant Account & Gateway Charges are routed by a payment gateway into a bank account called a merchant account

  25. Whose Merchant Account? Reasons to Use Vendor’s It’s easier Likely cheaper for small orgs Reasons to Use Your Own Receive money faster Your org is shown on credit card bill Cheaper for a high volume More flexibility

  26. Acknowledging the Donation The donor is thanked and emailed a receipt. The receipt might be customizable, tax ready, or account for less than 100% deductible gifts

  27. Reporting Once the card is charged, the donation can usually be seen online via reports – from basic to sophisticated

  28. Exporting to Another Database Most tools can export a text file – some provide tools to customize the file or allow you to access data via an automatic batch program

  29. Receiving the Money You may receive your money by transfer or check. It may take a couple of days, or you may get paid once or twice monthly

  30. Whew!

  31. The Joy of Fees

  32. How Many and How Large? Estimate the donations you expect get so you can compare fees. • How many donations? • How much on average?

  33. The Wacky World of Fees Transaction Paid per donation, may be a flat fee or a percentage or both Setup Paid up front to start the service Discount Rate Transaction fees charged by the credit card Monthly The “rent” for the service Merchant Account Additional monthly or transaction fees to the merchant account, if you’re using your own Gateway Possible additional monthly fee to the gateway provider, if you’re using your own merchant account. Ask to be sure.

  34. What are the key features that you need out of an online donation tool? Quick Group Work Back into your groups. Three minutes!

  35. A Selection of Hosted Stand-Alone Vendors

  36. Where Did These Recommendations Come From? • Spoke to users • Interviewed vendors • Compared prices and features We reviewed fees and features for 27 online donation tools

  37. Stand-Alone: Few Donations, Price Is Critical www.clickandpledge.com No fees except for 4.75% of each donation. Some customization of the form; strong international support Basic Donate Nowwww.networkforgood.org Low cost – no fees except 4.75% of each donation - but not customizable at all. The visitor leaves your site for the NFG site www.paypal.com The cheapest of the tools at 2.9% of each donation. The donation form is unmistakably PayPal, but with the trusted PayPal name that could be a good thing www.chipin.com A widget that sits on your site and shows donation progress – and integrates with PayPal. Fees are the same as PayPal, for now

  38. Stand-Alone: Best Values for Good Tools (1 of 2) www.auctionpay.com Mid-priced specialist in donations, events, and registration. Fairly flexible donation form. Although it’s their merchant account, your org’s name appears on the credit card bill www.etapestry.com Most affordable tool with your own merchant account. Their whole donor database comes free with it, as long as you keep your database under 500 donors. www.gifttool.com Completely integrated and fairly flexible donation form, with support for products and events as well. They offer Canadian tax receipts and multiple language support.

  39. Stand-Alone: Best Values for Good Tools (2 of 2) Custom Donate Nowwww.networkforgood.org DonateNow (formerly by Groundspring) is an affordable basic tool that can be completely integrated into your site. www.memberclicks.com Their “build your own form” tool is a good option for those who don’t want to go through the vendor for every change.

  40. Stand-Alone: More Expensive for More Features www.charityweb.com Half a donation tool and half a web development shop with a specialty in payment processing. A great choice for those ready to invest in a custom solution. www.contribute.com The highest transaction fees of any tool here, but they provide complete tailoring of forms and the tools to integrate data with offline databases. Takes 6-12 weeks for any form changes. www.givengain.com Extensive support for organizations and donors outside North America; there are probably better choices if this is not a priority

  41. A Selection of Integrated Online Tools Under $100/month • Wild Apricot • Network for Good Donor Suite • GivenGain Under $200/ month • CitySoft • Democracy in Action • eTapestry • MemberClicks • Z2 Neon Mid Market • Artez • LocalVoice • Orchid Suites • CitySoft Lower Cost, Website Focused • CivicSpace • CivicSpace on Demand • Joomla (with integration) • Nonprofit Soapbox From Consulting Firms • AMP from Radical Designs • 44Fish from Antharia The Big Kahunas • Convio (+GetActive) • Kintera • Blackbaud NetCommunity

  42. Discussion: Which Looks Best For You? Which tools makes the most sense for your organization, or an organization that you’ve worked with? Thoughts?

  43. Much More Online! • Detailed report on stand-alone tools • Charts of features and prices • Detailed reviews of all these vendors and seven more • Articles about • Options for simple websites • Integrated tools • Options for building a payment processing system • Data integration • And much more! See much, much more at www.idealware.org

  44. Questions?

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