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The Constituent Engagement Journey:The Constituent Engagement Journey:
P t d BP t d BPresented By:Presented By:
Kenneth KuhlerKenneth KuhlerSenior Account SpecialistSenior Account SpecialistConvioConvio
1©Convio, Inc. | Page
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Agendag
• Current Landscape & Trends
• Constituent Engagement Fundamentals
• The Evolution of Nonprofit OperationsThe Evolution of Nonprofit Operations
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The Nonprofit Landscape
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Competition for Awareness and Supportp pp
Total Fundraising $19 7 Billi *$19.7 Billion*
4©Convio, Inc. | Page* Adjusted for inflation giving has not grown since 2000 and giving as a percent of GDP is down 16% since 2006.
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Competition for Awareness and Supportp pp
# f f# of Nonprofits 43% since 2001
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Competition for Awareness and Supportp pp
3000+ Messages3000+ MessagesTargeting SupportersTargeting Supporters
Every DayEvery Day6©Convio, Inc. | Page
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Competition for Awareness and Supportp pp
New Donor AcquisitionNew Donor Acquisition 23.4% since 2006
7©Convio, Inc. | PageSource: Target Analytics Donor Centrics Index of National Fundraising Performance: 2011 First Calendar Quarter Results
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Competition for Awareness and Supportp pp
& fRenewals & Lifetime V l M tl Fl tValue Mostly Flat
Average Annual Gift/Attrition Rate = LTV
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D R l ti hiDeepen Relationships& Build Loyalty
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Constituent ExpectationsHave CChanged.
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Constituents Want to Engageon Their Terms & in Their Channelson Their Terms & in Their Channels
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Online FundraisingContinues to Grow RapidlyContinues to Grow Rapidly
Billions raisedBillions raised online by Convio clients:
12©Convio, Inc. | PageDid you know?Convio clients combined raised 3x the amount of any other solution in 2010.
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Peer Solicitation Is Broadly Acceptedy p
% say appropriate solicitation channel (rank ordered by very important –blue)
52%
41%
Peer to Peer
28%
22%
Social Media
15%
8%
Phone
Text
13©Convio, Inc. | PageDid you know?Convio clients raised 70% of event funds raised by the top 30 events in 2010.
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Value of Multi-Channel EngagementLifetime Donor ValueDonor Value 12 MonthsNew Donor Renewal Rate
Value of Multi Channel Engagement
$694$
+121%
+48%
$187
+95%$314
34.4%50.9%+48% $96
Sources: Study entitled “Integrating Online Marketing (eCRM) with Direct Mail Fundraising” by Convio and StrategicOneTraditional defined as offline use Internet Enabled defined as both offline and eCRM use
Mail Multi-Channel Mail Multi-Channel Mail Multi-Channel
14©Convio, Inc. | Page
Traditional defined as offline use. Internet Enabled defined as both offline and eCRM use.
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Value of Multi-Channel EngagementLifetime Donor ValueDonor Value 12 MonthsNew Donor Renewal Rate
Value of Multi Channel EngagementLifetime Donor ValueDonor Value 12 MonthsNew Donor Renewal Rate
+103%
$ 94.37+16% +16%
$ 94.37
30%61%+103% $ 81.18 $ 81.18
Mail Multi-Channel Mail Multi-Channel Mail Multi-Channel
Sources: Study entitled “Integrating Online Marketing (eCRM) with Direct Mail Fundraising” by Convio and StrategicOneTraditional defined as offline use Internet Enabled defined as both offline and eCRM use
15©Convio, Inc. | Page
Traditional defined as offline use. Internet Enabled defined as both offline and eCRM use.
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Multi-Channel Grows Total RevenueMulti Channel Grows Total Revenue
$47M$50 $
$35
$40
$45
$28M $28M
$25
$30
$35
Mill
ions
Online
$10
$15
$20
M Direct Mail
$0
$5
$10
1990 2000 2010
16©Convio, Inc. | Page
1990 2000 2010
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Multi-Channel Strategy
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The Vision: Constituent Engagement
If You Could…
g g
You Would…• Anticipate your
constituents’ needs• Know their interests
Improve acquisition & referralsEstablish lifetime• Know their interests,
passions & preferences
Establish lifetime relationshipsGrow support &
• Offer more relevant interactions & opportunities
ppfundraising
opportunities to engage
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Constituent Experiencep
Current Landscape:• Disjointed constituent
experience • Fragmented• Fragmented
messaging from a variety of channels
• Less engagement
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Constituent Experiencep
Goal:• Unified constituent
experience • Integrated messaging• Integrated messaging
across a variety of channels
• Optimized engagement
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Better Engagement with Supporters = Better Results for Your OrganizationBetter Results for Your Organization
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ConstituentConstituentEngagement
FundamentalsFundamentals
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Constituent Engagement Fundamentalsg g
• Constituent Centricity
• Presence in Multiple Channels
Th ti I t ti• Thematic Integration
• Integrated Processg
• Integrated Measurement
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Constituent Centricity
• Align processes and communication to respect constituent preferences needs and interests
y
constituent preferences, needs and interests
• Tailor channel mix, content and program participation and message frequencyparticipation and message frequency
• Ask, “What matters to a constituent?”
24©Convio, Inc. | Page
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Constituent Centricityy
Donor Version
A Single Email withA Single Email with Conditional Content
Survivor Version
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Presence in Multiple Channelsp
Direct Mail
EmailWeb Page
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Thematic IntegrationgIntegrated tiger appeal results show 40% better response rate
Envelope backOffline Appeal &Appeal &Envelope
Online Appeal,Included Envelope
ImageImage
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21
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2010: Year of the Tiger A Multimedia Year Long Effort
Direct Mail Email Social Media TV (Custom Web)
Celebrity Leadership
Outdoor Ads
Celebrity Leadership
WWF: For 1st time ever, heads of state convene 2 try 2 save tigers. Tell the US 2
it t l b l tiMobile
Web commit to global tiger conservation. http://bit.ly/dp0ovd(reply STOP 2 unsub)
28©Convio, Inc. | Page
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Integrated Processg
Frequency Target Q2
wee
k 1
Q2
wee
k 2
Q2
wee
k 3
Q2
wee
k 4
Q2
wee
k 5
Q2
wee
k 6
Q2
wee
k 7
Q2
wee
k 8
Q2
wee
k 9
Q2
wee
k 10Q
2 w
eek 11
Q2
wee
k 12
Frequency Target
General Communications
eNewsletter Weekly - Fridays Subscribers
Quarterly Update mailer 2nd Week / Quarter $50+ donorsy p
Gala Promotion
Email Biweekly - Tuesday General
Direct Mail Once $100+ Donors
Telemarketing $200+ Donors
Mother's Day Campaign
Email ~Biweekly - Thursday
Direct Mail Once Prospects, Donors
Telemarketing Select targets
Inbox / Received Send Event
29©Convio, Inc. | Page
Inbox / Received Send
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Integrated Measurement
• Establish metrics that: M d b h i
g
• Measure donor behavior and campaign performance across pchannels
• Focus on long-term value
• Collect and aggregate constituent data to correlate and extract meaningful information
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Cross-Channel Contact Information
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Key Acquisition Metrics Trackedy q
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Tracking of Retention Metricsg
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Donor Value By Channel Trackedy
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Donor Channel Migration Trackedg
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Constituent Engagement Fundamentals –Diffic lt Witho t Organi ational AlignmentDifficult Without Organizational Alignment
• Constituent Centricity
• Presence in Multiple Channels
Th ti I t ti• Thematic Integration
• Integrated Processg
• Integrated Measurement
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The EvolutionThe Evolution of Nonprofit OperationsOperations
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Where Are You?
Coordinated OptimizedTraditionalEarly Stage
• Minimal Online M k ti
• Thematically • Separate Metrics & T f O li
• Unified Strategy & Marketing
• Calendar-Based Campaigning
• Not Financially Committed to Second
Integrated
• Limited sensitivity to solicitation frequency
• Decisioning beyond RFM
Team for Online Marketing
• No Calendar / Campaign Coordination
Real-time data integration
• Measures Success Across Channels, Not By ChannelCommitted to Second
ChannelRFM
• Shared Metrics
• Some consolidation of data across channels
• 2nd channel constitutes 5-20% Direct Response Revenue
• Separate databases for online/offline
• Donors’ behaviors and interests drives communication stream
• Shared budget and resourcesfor online/offline resources
38©Convio, Inc. | Page
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Where Are You?
• Integrated marketing sophistication and size don’t closely correlatedon t closely correlate.
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The Trajectory of NP Evolutionj y
DynamicOptimize channel mix &
Increased personalization & relevance
Dynamic response to interactions
& message cadence
Aggregate
Consistent messages across channels
Aggregate and improve constituent data Aggregate and
improve constituent data
40©Convio, Inc. | Page
constituent data
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Keys to Evolutiony
• Organizational Alignment• Organizational Alignment
• Technology / Infrastructure
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Organizational Alignment
TraditionalTraditional
g g
Separate Metrics & Team
Communications IT
• Separate Metrics & Team for Online Marketing
• No Calendar / Campaign Coordination
d
Development
• 2nd channel constitutes 5-20% Direct Response Revenue
• Separate databases for li / ffli
Others (?)Government Affairs
online/offline
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Organizational Alignment
CoordinatedCoordinated
g g
Communications Development• Thematically Integrated
Coordinating Teams
y g
• Limited sensitivity to solicitation frequency
• Decisioning beyond RFM
Government Affairs
IT• Shared Metrics
• Some consolidation of data across channels
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Organizational Alignment
OptimizedOptimized
g g
Coordinating Teams
• Unified Strategy & Real-time data integration
• Measures Success Across Channels, Not By Channel
• Donors’ behaviors andDevelopment Online Communications Marketing
Donors behaviors and interests drives communication stream
• Shared budget and resources
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Infrastructure Challenge
Support Business Units
g
Support Business Units
Track Performance
Understand Data
Coordinate Departments
Add New Channels
Integrate Systems
45©Convio, Inc. | Page
g y
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Remember: It Is an Evolution.• Identify where you are and map your key 2012 steps
now…today, while you’re thinking about it!y, y g
• Every step toward Constituent Engagement will have an impact on your bottom line.
• Start with fundamentals.
E l i d t di f t i d i f d• Evolving understanding of metrics can drive you forward faster.
• Be aware of opportunities to evolve the operational• Be aware of opportunities to evolve the operational structure – shared goals, team alignment, technology
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In Conclusion –
• More donors does not mean more engagement or revenue but more engaged donors will meanor revenue but more engaged donors will mean more revenue/LTV.
• Donors feel more engaged and more inclined to• Donors feel more engaged and more inclined to give if they are hit up on multiple channels with consistent messages
• Therefore, your organization needs to be organized to ensure a consistent and integrated g gexperience on multiple channels. No silo’s.
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Want More? Download Our Research.Want More? Download Our Research.
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F i f b t C iFor more info about Convio1-888-528-9501 (toll-free) www.convio.com
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