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Seven mistakes charity fundraisers make, and the lessons we can learn

Charitable giving is huge part of our culture, but it isn’t easy. As service demand continues to rise, so too does the need for donations. As much as we would like to imagine a world of spontaneous giving, the fact is that money does not raise itself.

Most gifts are prompted, and you are going to need a fundraiser for that. But fundraising isn’t just a job, it is a profession. One that takes a great deal of skill. It isn’t easy. Even the most seasoned of fundraisers make mistakes. What is important is that you learn from them. That’s why we have taken a look at some of the most common fundraising ‘faux-pas’ and the learning you need to fundraise successfully.

Posted 26/07/2020

 

⦸  THE MISTAKE: ‘We need money. I’m going to ask the whole world right away.’

There’s a funding gap and pressure is on to fill it. You blanket mail everybody you know – individuals, trusts, corporates – and ask them for money.

 ✔ THE LEARNING: Spraying and praying is not a sustainable approach. Sure, some asks will stick. But if you do not take the time to tailor your mailing list (and ask) you are wasting valuable resources. As the IOF remind us: fundraising isn’t about persuasion. It’s about alignment. Approach your warmest prospects first. This will help you screen out those who are unlikely to respond – reducing the number of unwanted approaches and making your fundraising campaign more efficient. What better way to boost ROI?

 

⦸ THE MISTAKE: ‘There is so much need out there. If we show people how much, they’ll donate.’

You capitalise on the numbers, stories and photographs that will shock and shame people into giving you money.

 ✔ THE LEARNING: Yes, you need to tell the situation as it is, but fundraising is not about using other people’s pain. Before you brief your next direct mail appeal, or publish your next case study, think about the people in the pictures and how you share their story. Your job is to amplify their voice, not speak for them. And remember. Good fundraising should not rely on guilt and pressure tactics. It is about offering people hope. The chance to be part of the solution.

 

⦸  THE MISTAKE: ‘I don’t need evidence, I know what our donors want.’

You have just drawn your charity donor profile. You have a basic outline of donor demographics, and that tells you everything you need to know.

 ✔ THE LEARNING: A successful fundraising strategy should always be based on what you know, not what you think you know. Demographics are a good first step. But the more you understand why donors give to your charity, the better. Look at the data. What is it telling you? If it’s a little thread-bare, do some fundraising research. Build a questionnaire into your next newsletter, run an-on-line campaign, talk to your charity donors. Get creative and get out there. Because a fundraising strategy based on assumptions will soon run dry.

 

⦸  THE MISTAKE: ‘We’ve been doing it this way for years, we know what works.’

You’ve tried pretty much everything. You have a recipe that works and see no need to take a risk or try anything new.

 ✔ THE LEARNING: Fundraising is a profession that is continuously evolving. You only need to look at the growth of digital technologies to see how much. Take some time to scan the landscape around you. To keep an eye on changing and best practices. Just because the Jones’ are doing it, does not mean you have to. But if you do not innovate you limit the potential of your fundraising practice, and risk finding yourself at the sharp end of digital disruptions.

 

⦸  THE MISTAKE: ‘Yes! Someone’s just given us money. We must ask them for more right away.’

The money’s in the bank. Your next campaign is due to go out, so you skip the thank you and add your new donor to the mailing list.

✔ THE LEARNING: When someone takes that first step and makes a donation, it is up to you to follow-up. The goal, of course, is to sign each charity donor up as a regular giver. To increase their giving levels and work towards a final, legacy donation. It’s a process that takes years. So don’t feel like you need to get the next ask out straight away. Fundraising is about relationships. Your donors are not credit cards, they are people. Say thank you. Plan for communications that engage and don’t just ask. This improves donor retention and makes fundraising more sustainable - helping you to build a database of long-term, engaged charity donors. That’s far better than spending to refill a bucket of one-off donations. 

 

THE MISTAKE: ‘ ‘Fundraising is easy. I’m going to triple our income this year.’

It’s strategy planning time, and expectations are high. There’s a new fundraiser on board, and that means organisational income is going to explode overnight.

✔ THE LEARNING: Fundraising is not a quick fix. Whether you are working with individuals, trusts or corporates, developing a sustainable fundraising model takes time. Your board might be expecting miracles, but you need to push back. Don’t just pick a figure that makes people happy. Look at existing trends, response rates, donor profiles and spread. Take stock of past campaigns. What’s worked? What hasn’t worked? Don’t just put it in a file. Use this information to develop research-led fundraising strategies that drive your organisation forward.

 

 THE MISTAKE:  ‘I can send what I want to who I want, it’s all covered by legitimate interest.’

GDPR isn’t so bad. We don’t worry too much about consent. Of course all our donors have a ‘Legitimate Interest’ in our work. It’s fine.

✔ THE LEARNING: Love it or hate it, data protection matters. Consent matters. Yes, Legitimate Interest gives you a degree of flexibility, but it is not a cover-all. If you want to talk to potential charity donors through Legitimate Interest, you must pass the ‘purpose’ and ‘necessity’ test. And remember, electronic communications have their own guidelines (PECR). Familiarise yourself with the legal requirements, and make sure your organisation has the systems and tools to manage consent correctly.

 

Phew! It’s quite the list. Did any sound familiar? Perhaps you have made some of these mistakes yourself in the past. Or maybe you know another organisation that has. Don’t worry. Fundraising is a process, and a good fundraiser knows they will never stop learning. So put some time aside to take stock of your successes and mistakes. Learn from them, and use this experience to create a fundraising strategy that takes you - and your organisation - to the next level.