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Fundraising supplement:

Relationship maintenance
 
Supporter relationship maintenance must be imbedded at a strategic level, and can no longer simply be an afterthought. Emily Cubit investigates how donor care is evolving in an increasingly competitive environment
 
In years gone by charity donors would put a few coins into a collection tin and receive a simple smile and thank you from the charity’s representative by way of appreciation. But as giving methods have become more sophisticated so have donor care strategies – or at least they should be doing.

In an increasingly cluttered and competitive market, charities can no longer afford to rest on their laurels once they have acquired new donors – they need to work hard to make sure they keep hold of them.

Many charities are well versed in saying thank you for the donations they receive and keeping donors informed of the work they do, but real, high quality donor care requires more than this. Like customers in the commercial sector, charity donors need to feel valued and understood if they are to keep coming back to part with more of their cash or time.

Building a relationship with donors and understanding how they want to be communicated with is clearly important. For example, Breast Cancer Campaign (BCC) director of fundraising Amanda Williams says: “We are an event-led charity and have a lot of contact with our supporters over the phone as this is often the preferred method of contact. We aim to build one-to-one relationships with donors so, where possible, they will know someone at the charity.”

BCC has doubled in size over the past two years and is now regarded as a mid-sized charity, however Williams is keen for it to maintain its ‘family feel’ to allow supporters to better relate to it.

Friends of the Earth also regards donor care as hugely important to the success of the organisation and has two teams dedicated to the cause. Ruth Ruderham, its head of supporter development, explains: “We have an inbound processing team which looks after incoming donations and enquiries from those who want to take action and need to find out what they can do.” This team focuses mainly on email and postal contact while the second team is mainly concerned with telephone engagement.

Ruderham says the organisation has also been working on a major project to determine how to better understand and engage with its supporters and, ultimately, boost its fundraising efforts. “Donors are thanked for their donations but on top of that they also receive a welcome pack explaining what else they can do. This also goes to new activists and enquirers,” she says.

She says the early results from the project are positive, and that it seems people will increase their support of FoE if they can vary what they do.

Defining donor care

Institute of Fundraising chief executive Lindsay Boswell believes that in order to develop a successful donor care strategy, charities need to define exactly what donor care means to them. He says that different charities will have different forms of donor care depending on the culture of the organisation and where fundraising is positioned within it.

“Donor care has come to the fore as there is now a greater emphasis on better managing donors as it is becoming increasingly difficult to recruit new ones,” he says. “On top of this there is a growing sense of professionalism within fundraising and standards are rising.”

And it is not just the larger charities that are looking for innovative ways to look after their donors, proving that effective donor care doesn’t have to form part of an expensive strategy. As an example of a smaller charity, Welsh children’s hospice Ty Hafan, has developed its own successful donor care regime.

“We always write a personalised thank you letter for the donations we receive and we send out a newsletter three times a year to as many people as possible,” explains interim director of fundraising and marketing Elizabeth Read. “We also have a number of volunteers and friends groups and two dedicated members of staff who look after them, offering training and inductions, for example.”

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On top of this the charity has three people working in the regions who are always out meeting people and speaking in various places including churches, the Women’s Institute and bike clubs. Read says they are well known in the community and that people often donate for them as much as for the charity itself.

Because of its limited geographical reach a lot of the charity’s donors are local businesses and Ty Hafan is keen to look after them as well. “Some are very generous,” says Read. “And they often want to get their staff involved and encourage them to volunteer, so we have had companies come to the hospice and do the gardening as an away day activity, for instance.”

The businesses then become advocates for the brand as well, which gives the charity access to further potential donors. Ty Hafan also holds events, such as its Butterfly Ball, which enables both businesses and individuals to really engage with the brand.

Meanwhile BCC hosts a ‘thank you’ event each year to boost relationships with donors. This year saw someone who organises a walk on Hampstead Heath every year receive the lifetime achievement award, while an award was given out for ‘wear it pink’ fundraiser of the year, among others. This no doubt helps supporters engage with the brand and, ultimately, donate more time or money.

In terms of saying thank you as part of an ongoing strategy, the charity tries to thank everyone within 48 hours of receiving a donation. Williams notes: “This is well received as donors see that we turn things around quickly which proves we are efficient. It also shows them that their donation is important.”

Williams believes donor care is extremely important in such a hugely competitive market and that it is no doubt evolving. She comments: “Segmentation is often more advanced in the commercial sector and this is where the future lies for charities too. We can’t be a one-stop shop, and that includes events. We segment our audiences and don’t necessarily contact everyone in the same way to inform them about a new event – people will have different motivators.”

Moving forward

The Institute of Fundraising’s Boswell believes the online environment also offers considerable opportunities for donor care now and in the future.

“There is so much interest in the new media arena,” he says. “The MySpace generation is under-represented in giving terms so being able to seek them out and build relationships with them online could be vital.

“Meanwhile the spontaneous nature of SMS gives us a glimpse of what donor care may look like in the future. The development of mobile phone technology means spontaneous giving with payments made through the mobile could become commonplace within five years.”

However, while most charities say they do have a donor care policy in place and do view it as an integral part of their fundraising strategy, FoE’s Ruderham believes effective donor care is a detailed process which involves a lot of work. “Too many people simply pay lip service to donor care rather than doing it properly,” she says.

“You need to have dedicated teams in place who understand that donor care is their job. At FoE we are also making sure donor care evolves across the whole organisation so that no matter who someone speaks to they will receive the highest level of customer service.”

It makes sense that those donors that feel valued and well looked after will naturally become more loyal to the brand, thus boosting their lifetime value to the charity. They will also then, hopefully, become greater advocates for the organisation, something which is invaluable for many charities.

Ultimately, in order for donor care to be successful, the donor needs to feel in control of the relationship and be communicated with in a manner that suits them. And for different charities the ways in which they implement an effective donor care strategy will no doubt vary according to how the donor was recruited, what motivates them and how they want to support the charity.

As Ty Hafan’s Read points out: “No single thing is the answer. It is the mix of activity that produces the result and creates the donation.”

Retaining existing donors is clearly less expensive than recruiting new ones so it makes good business sense for charities to invest in effective donor care strategies. After all, it seems that those that don’t will ultimately pay the highest price.


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