BIG’s Blog: Giving up my Blackberry was Hard

Can we all agree that Change is hard?

We have purchased my mother a computer and walked with her step-by-step in how to use it to do simple things, like using email and finding Websites. She keeps saying it is too hard, however, and doesn’t use it. The same with the cell phone we bought her a few years ago.

Change is one of the constants in life, but at some point some people just don’t want to change . . . and it seems the vast majority of Development Directors fall into that category. Admittedly, most are over age 55, but age really has nothing to do with it.

I’m over 60 and you know what? There are a lot of elements of life today that I enjoyed more before the Internet . . . but I’m not sitting around trying to keep my finger in the dike of technological change. Do you really want to give up your laptop, your tablet, and your smartphone and go back to mail and landline telephones as our sole means of personal communication?

And for the core element of your fundraising strategy, you’re going to keep doubling down on direct mail appeals? Direct mail? Take a breath and step back for a moment. What part of the narrative of the struggling U.S. Postal Service don’t you get? You’ve heard of the coming rate hike? And somehow that rate hike won’t affect your mail program’s net margins?

Am I anti-direct mail? Of course not; I ran two large companies built on direct mail.

If your direct mail program is still generating positive returns, then by all means keep it going. But also . . . please . . . realize that there are forces at play that will eventually undermine the profitability of your organization’s direct mail fundraising program.

I get it that 100% of any group will not all adopt an innovation at the same time. I clearly understand that the adoption of any innovation is an S-Curve. But Development Directors walking and whistling into an unprecedented collapse of their major means of generating new donors as if nothing has changed . . . is just silly.

Two Facts that are Hard to Miss:

1. Generational Shift: Though the Depression and WWII generational cohorts only make up 11% of the population today, they make up upwards of 85% of your supporter base.
2. Technological Communications Shift: This is more commonly referred to as the shift from analogue communications to digital. Who is reading your direct mail? Answer: the aforementioned Depression and WWII generations. Everybody else, including the Baby Boomers, is online.

But this post isn’t about the Postal Service or the world of digital communications . . . it’s about people acting old and not liking the fact that the world (their fundraising world) is changing faster than ever.

I am flummoxed by the change as much as any of you . . . but I am not letting it overwhelm me. And please don’t think that I am some wunderkind early adopter; I refused to give up my Blackberry until I was forced to. Yes, I know . . . no apps on a Blackberry!

But “the facts” and the dynamics of our new online communications infrastructure (not to mention how Powerful and Cost Effective it is in reaching people) are undeniable. Want proof? I transformed my consulting practice into a 100% online model and, in the process, transformed it into an education and training organization. I also could afford to lower my price 86% from what I had been charging for in-person, on-site consulting, which lead to increasing the number of nonprofit fundraising organizations I helped by 533%.

But as Mark Twain (Samuel Clemens) said, “I’m all for Progress, it’s Change I don’t like.”

Nobody our age likes change. But, come on, there are new online fundraising models that are 100% online. I just happen to think ours is the best . . . and apparently more and more fundraising organizations are agreeing.

Join us.

-Mike

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BIG’s Blog: Orphans aren’t just in Haiti

Sometimes you just need to step back from the day-to-day of thinking about fundraising and remember the many reasons WHY we raise those dollars.

Most of my readers know that we (mostly my wife) are involved in orphan care in Haiti. But as those of you who are involved in the world of orphans know, many are right here in our midst in the US of A.

Each and every orphan is not only a person, but a person with a story . . . and the common part of the story of every orphan is to belong to a family. Something that most of us take for granted.

Here is a reminder in the story of one young man named Davion. Here is his story …

An orphan goes to church and asks someone, anyone to adopt him

ST. PETERSBURG — As soon as they pulled into the church lot, Davion changed his mind.

''Miss! Hey, Miss!" he called to his caseworker, who was driving. "I don't want to do this anymore."

In the back seat, he hugged the Bible someone had given him at the foster home. "You're going to be great," Connie Going said.

Outside St. Mark Missionary Baptist Church, she straightened his tie. Like his too-big black suit, the white tie had been donated. It zipped up around the neck, which helped. No one had ever taught Davion, 15, how to tie one.

''Are you ready?" Going asked. Hanging his head, he followed her into the sanctuary.

This had been his idea. He'd heard something about God helping people who help themselves. So here he was, on a Sunday in September, surrounded by strangers, taking his future into his own sweaty hands.

Davion Navar Henry Only loves all of his names. He has memorized the meaning of each one: beloved, brown, ruler of the home, the one and only.

But he has never had a home or felt beloved. His name is the last thing his parents gave him.

He was born while his mom was in jail. He can't count all of the places he has lived.

In June, Davion sat at a library computer, unfolded his birth certificate and, for the first time, searched for his mother's name. Up came her mug shot: 6-foot-1, 270 pounds -- tall, big and dark, like him. Petty theft, cocaine.

Next he saw the obituary: La-Dwina Ilene "Big Dust" McCloud, 55, of Clearwater, died June 5, 2013. Just a few weeks before.

----

In church, Davion scanned the crowd. More than 300 people packed the pews. Men in bright suits, grandmoms in sequined hats, moms hugging toddlers on their laps. Everyone seemed to have a family except him.

Davion sat beside Going, his caseworker from Eckerd, and struggled to follow the sermon: something about a letter Paul wrote. "He was in prison," said the Rev. Brian Brown. "Awaiting an uncertain future ... "

Sometimes Davion felt like that, holed up at Eckerd's Carlton Manor residential group home with 12 teenage boys, all with problems. All those rules, cameras recording everything.

Davion wants to play football, but there's no one to drive him to practice. He wants to use the bathroom without having to ask someone to unlock the door.

More than anything, he wants someone to tell him he matters. To understand when he begs to leave the light on.

''You may be in a dark place," said the preacher. "But look for the joyful moments when you can praise God."

Picking at his fingers, Davion wondered what to say. And whether anyone would hear him.

----

Davion always longed for a family. His caseworker took him to picnics, put his portrait in the Heart Gallery, an organization devoted to helping foster kids find permanent homes. But he had thrown chairs, blown his grades, pushed people away.

When he learned his birth mother was dead, everything changed. He had to let go of the hope that she would come get him. Abandon his anger. Now he didn't have anyone else to blame.

''He decided he wanted to control his behavior and show everyone who he could be," Going said.

So someone would want him.

''I'll take anyone," Davion said. "Old or young, dad or mom, black, white, purple. I don't care. And I would be really appreciative. The best I could be."

All summer, he worked on swallowing his rage, dropping his defenses. He lost 40 pounds. So far in 10th grade, he has earned A's -- except in geometry.

''He's come a long way," said Floyd Watkins, program manager at Davion's group home. "He's starting to put himself out there, which is hard when you've been rejected so many times."

Davion decided he couldn't wait for someone to find him. In three years, he'll be on his own.

''I know they're out there," he told his caseworker. Though he is shy, he said he wanted to talk at a church. "Maybe if someone hears my story ... "

----

The preacher spoke about orphans, how Jesus lifted them up. He described an epidemic, "alarming numbers of African-American children who need us."

Then he introduced Davion, who shuffled to the pulpit. Without looking up, Davion wiped his palms on his pants, cleared his throat, and said:

''My name is Davion and I've been in foster care since I was born ... I know God hasn't given up on me. So I'm not giving up either."

(At publication time, two couples had asked about Davion, but no one had come forward to adopt him. If you want more information about Davion -- or any of the 120 foster children in Pinellas and Pasco counties who are waiting for families, call Eckerd at (866) 233-0790. If you can't adopt but want to donate time or money, call Eckerd at (727) 456-0600.

© 2013 Naples Daily News. All rights reserved.

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BIG’s Blog: Quit drinking the Kool-Aid

Look, here's the thing. For 60+ years you've had a very successful methodology that generates you large numbers of small donors through direct mail. Most of you understand the math of direct mail marketing, but let's just summarize by saying the math works if you get a very minimal response . . . say 2 to 3 %.

This direct mail methodology has been very good to your organization. It allowed you to build a base of supporters that you could go back to repeatedly. And of course once you had the repeat giver metrics down, you knew what you could spend to acquire a new donor. Acquiring new donors allowed you to grow.

But all that is beginning to fail.

The good news is that a new methodology is rising and it is built 100% online. This new methodology allows you to cost-effectively generate very large numbers of small givers, and some of those small givers - just like your direct mail methodology - will turn into larger givers, and some will leave you bequests.

But it won’t happen if you keep thinking that mixing online with offline is the magic potion to prosperity. How is that integrated marketing working for you?

Exactly how much mail does Amazon send out? Do you think they would do better if they integrated mail with their Web marketing? Seriously?

If your mail appeals are still working . . . don’t mess with it. If it is starting to slide, sending out email blasts and linking to your campaigns on Facebook isn’t going to bring them back.

Several years ago, when I was still drinking the Kool-Aid of integrated marketing for nonprofit fundraisers, I actually visited the corporate headquarters of Borders Books. Do you know what their senior marketing manager told me? You guessed it; he told me they believed that their bricks-and-mortar business model combined with their corporate Website would someday overtake Amazon.

Talk about drinking the Kool-Aid.

Quit drinking the Kool-Aid.

Join us.

-Mike

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BIG’s Blog: Guerrilla Marketing Lives On

Jay Levinson died earlier this month. You may not recall the name, but you have heard of his book, Guerrilla Marketing.

Jay studied Psychology in college, which lead him into the advertising world working for some of the big agencies in the heyday of advertising (as depicted in the television series, Mad Men). Though no one would accuse Jay of being anything like the Mad Men characters, he was the cerebral thinker . . . the creative mind.

Working for the big agencies like Leo Burnett and J. Walter Thompson, he created (or co-created) memorable campaigns such as the Marlboro Man, the Pillsbury Doughboy, Allstate’s good hands, and United’s friendly skies.

His real fame, however, came later in life when in his 50s.  He authored Guerrilla Marketing, which described how to employ unconventional ways to promote a business, brand, or an organization on a limited budget. The book was a runaway bestseller with over 21 million in print and translated into 62 languages.

Two things really stand out about Jay Levinson’s life.

First, even with 50 or 60 years behind you, you can be innovative and an agent for change.

Second, we desperately need Jay Levinson-type people in the nonprofit fundraising world today.

Join us.

-Mike

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BIG’s Blog: It’s Relationship

This is a very important post.  

Some might even say it’s an urgent topic . . . but statistics and surveys tell me that all of my readers won’t take the time to finish it.

Cliffs Notes have become too long.

We . . . you and me . . . plus your donors and potential donors have grown accustomed to the ways of our world, and it is hurting us and our fundraising organizations.

We don’t have to wait for our favorite song on the radio; we can get it on Spotify now. We don’t have to sit all afternoon watching the NFL on Sunday; we get Sports Center’s condensed scoreboard and best plays of the day before bed. We don’t even have to see a whole movie . . . the previews have all the best parts. And we really don’t want to read (or even open) your latest mail appeal; we would much prefer a 140-character version.  

You know I’m right . . . so what are you going to do about it? How are you going to get people to take notice of and care about your organization?

The answer is hard. Increasingly, you can’t.

Push-message-marketing, whether TV, newspapers, or direct mail, is slowly failing. What is hard is that push-message-marketing, broadcast, print, or direct mail is all we know. And because it is what we know, it’s still how you get your message out today in your nonprofit fundraising.

Increasingly, people don’t want to read or even listen to your message. But what about you?  Don’t you blow through the TV commercials on your DVR at home? Don’t you think that other people might think and act like you?

So how do people hear about and connect with your mission or ministry?

We are in the social era. People are open to learning about your organization from a friend, or they might stumble on your work from a third party like a blog or a story they come across online. They might even come across your organization as they are looking for something else.

Today’s donors are not your father’s Buick, and neither are you. How scary is that? Look at how your habits and behaviors have changed, even as the techniques and ways of fundraising in your organization have not changed.

Your fundraising group needs to catch up with you and those 30 and 40-somethings sitting in your office. Your fundraising needs to shift into the mode of inviting, establishing and deepening relationships with every person that connects with your organization. Relationships with people that are “bought in” to your mission or ministry are what it is all about today . . . but it starts with letting them find you!

Curious?

Join us.

-Mike

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BIG’s Blog: I Have Been Challenged – Mail Bag

My blog readers are smarter than the average bear (reference to the famous Yogi Bear for my Millennial readers). While I haven’t heard from all of my readers, it constantly amazes me when I get an email out of the blue with a thoughtful comment from somebody I have never met, but knows me through my blog. So keep those cards and letters (speaking metaphorically) coming.

Apparently some time back I must have touched a nerve with some of my readers. The statement of mine was, “it doesn’t just feel that things are moving faster, they actually are.”

I got several comments about that statement that is best summarized by Mr. GM. “Mike, I think you just need to take a break from reading tech publications (how did he know I read tech publications??). The world isn’t spinning any faster, it just seems that way as you age.”

Ouch . . . thanks for reminding me of my last birthday, GM. I’ve run GM’s comment past some of my baby boomer friends and colleagues and they pretty much agree with GM.

So I guess I am still the odd man out since I really believe that we are experiencing something here that the world has never experienced before. Something is new. And I believe what many are missing is that the invention of the Internet is changing and at the same time speeding up society in many ways we have never seen before.

First and foremost, the Internet is about connecting people in as close to real time as possible. But in connecting people, ideas spread and iterate at a faster pace than we have ever seen. If an article gets published in your print newspaper and you want to share it, you used to have to copy it and mail it. Today, articles published in print publications are also published in digital form online . . . and the ability to share is enhanced by multiples we have never seen before.

An often forgotten, but very important point is that each of us who reads something brings our own perspectives (background, wisdom, and insights) to the idea or perspective that the writer has shared. And one of the people who read that article might have a slightly different insight or connects a dot that the reader was missing. This allows the reader to iterate the original idea, thus creating a leap of thought or insight. The original idea has now grown.

There is an old saying: “Two heads are better than one.” Well, then, what are 325 million (the current population of the U.S.) heads worth? With the democratization of technology and computing power that now can be literally in everyone’s hands, ideas (or art) that used to take years to iterate, now take days or hours.

How fast is this technology moving into our hands?

In 2011. . . 96 million smartphones in the U.S. and 13% of all Internet traffic was mobile.

Today . . . 230 million smartphones in the U.S. and 39% of all Internet traffic is mobile and is expected to hit 50%+ by the end of this year.

We’ve never experienced anything like this and its impact is changing things.

Are we moving faster?

Join us.

-Mike

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BIG’s Blog: I Miss Direct Mail Marketing

Boy, do I miss direct mail marketing. In the end, it was so simple. I know . . . I know . . . many fundraisers still employ it and are making it work by targeting anyone over 68 years old. But in the commercial world, those who actually measure the return-on-investment [ROI] of using direct mail are quickly shifting to the Web.

I miss direct mail marketing personally because I spent 30+ years learning and honing my skills as a direct marketer. Then, wham . . . it’s over. It’s fading away for fundraisers too. Will it end tomorrow?  Of course not, but it is sliding. Even the Direct Marketing Association [DMA] is urgently trying to reposition itself. It sees the future.

The future of fundraising is not necessarily about direct marketing in the classic sense. Classic direct marketing is sending a message and getting a response. When direct marketers like me saw the Web, we thought it was just another direct media . . .  think pop-up ads and email blasts. Come on . . . people quickly tired of the nuisance.

So is the Web your future in fundraising? Absolutely! But it won’t be the same. Being a direct marketer and understanding direct marketing methods is a huge plus, but factoring in the attitudinal shifts in younger generations and figuring out how to use new online technologies is a learning curve. Plus, we are all just starting to understand that the Web is really something new . . . not just a digital mode of our analogue world.

What does the future look like? Well, every nonprofit organization will be on the Web. Guess what? Every nonprofit is already on the Web, so the future is already here.

And if every nonprofit charitable organization is on the Web, what sets you apart? Are you transparent? Are you trustworthy? People younger than 65 want to support missions and ministries they feel they can count on. Is that your organization?

Are you giving more than you’re taking? And do you even understand why that is so important?

I miss direct mail marketing mainly because I knew everything about that world.

And while that is okay . . . it’s just human to feel that way . . . I need to get on with it so I can effectively help bring in the support that your organization and so many others need.

Join us.

-Mike

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BIG’s Blog: Unconscious Secrets

People lie. Who knew?

Young & Rubicam, a large marketing and communications firm, conducted a research project that indicates consumers are hiding their most important desires and motivations from marketers, and maybe themselves. The study found that many consumers hold views that are the opposite of what they voice.

The really interesting element of the study is that they melded traditional survey research, which reveals what people consciously think and indirect questioning, using an approach called Implicit Association, revealing their unconscious motivations that operate outside of their conscious awareness.

The table below indicates what people say they value versus what their unconscious indicates they value.

It probably doesn’t really surprise you, does it?

But what does it mean for fundraisers?

My take is that this dichotomy between some of the things that they say they value and what they really value connects to how people reconcile what they do in their private giving to charitable organizations. The longer charitable organizations continue to first ask for a donation . . . that is focusing first on the transaction . . . as opposed to FIRST building a relationship with a potential supporter, the more they will fail with younger generations, beginning with the baby boomers.

The boomers began an era of people who don’t want to be shamed or have a guilt trip laid on them to give to an organization or ministry. They may give anyway, in which case the fundraiser believes they care . . . until 60% don’t give a second gift.

Change your methodology. Develop relationships first BEFORE asking for support.

Never heard of doing it that way?

Join us.

-Mike

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