Tag Archives: donor research

Millionaires use Social Media

Discussion, Focused Fundraising, , , , , ,

In a Wall Street Journal blog post, Robert Frank reports that “According to a survey of millionaires from Fidelity Investments, 85% of respondents use text-messaging, smartphone applications and social media.  One third use social media professionally, with 28% using LinkedIn.”

Are Millionaires Talking to You?
Over the past couple of years I have been hearing prospect researchers talk about mining Facebook and alumni forums for phone numbers and emails. More recently I’ve been hearing that gift officers are communicating with their major gift prospects on LinkedIn, Facebook and, yes, even Twitter.

Sometimes it is obvious that the donor prospect is oblivious to how public these forums are or can be. But mostly I am hearing that the donor prospect initiates the contact through social media.

For Donors, Philanthropy is Personal, not Professional
If 85% of respondents are using social media, but only 33% of them use it “professionally”, it makes me speculate that donor prospects view their giving as “personal” not “professional” activities. Kind of obvious, huh?

So why should we care if millionaires are using social media? Well, for fundraising it’s a no-brainer. Our organizations need to be engaging and involving donors in social media as another cultivation tool in the toolbox. But what about prospect identification and qualification?

Social Media for Identification and Qualification
The murky issues of privacy and trust begin to swirl when we talk about mining data from social media – especially with privacy conscious millionaires! But I also think that using social media in fundraising serves to highlight how prospect researchers and fundraisers work best when working together. Here’s how:

(1) If a gift officer is invited to friend a donor prospect over a private network, it is the same as visiting the prospect in her/his home. You get to view the photographs on the mantel – so to speak – such as pages liked, friends, photos, videos and of course, posts. But that information can only be known and used by a researcher if it is communicated (yes, I’m talking about notes in the database as well as verbal conversations)

(2) A prospect researcher shouldn’t ignore relevant public information, even when it is left open on a social media network. Conversations with the gift officer might be necessary and wise before saving personal information gleaned from Twitter, blogs, Facebook etc., but key insights into giving motivations can be found and should be communicated. We never, ever want to record embarrassing things on a donor prospect record, but ignoring social media is not acceptable either.

More on Privacy and Prospect Research
If you want to learn more about privacy and prospect research, check out the video below by Aspire Research Group that puts a little fun into the subject. For comprehensively researched prospect profiles, click here.

How to get from $250k to $40m

Focused Fundraising, , , , , ,

You *want* to read this story about how the Wishard Foundation took a donor prospect from “If you’re coming to ask for money, I don’t even want to meet with you” to a $40 million naming gift. And when you’re done come back to this post and I’ll tell you what the prospect researchers were doing behind the scenes!

Where’s the Researcher?
Okay, if you look at the Wishard Foundation Staff page you won’t see a prospect researcher listed, but with that many gift officers and a manager of development services you’d at least expect a gift entry person, so let’s just speculate that there is someone with at least partial responsibility for research.

Getting the Edge with Donor Profiling
The president comes back from meeting a multi-millionaire who tells him to come back with a fundraising proposal and to make it “bold”. I betcha President Vargo was HOT for every scrap of information that could be found on Mr. and Mrs. Eskanazi. In my imagination I can see that prospect researcher sweating it out hour after hour, posting questions on PRSPCT-L, calling her APRA colleagues for tips and finally, hopefully, being a part of the conversation with the president about how much to ask for.

Identification – The First Step
But we all know prospect research happened MUCH earlier in the process, right? Somehow Mr. and Mrs. Eskanazi were identified and qualified for a $250,000 first gift. President Vargo’s amazing feat was to establish high affinity in one meeting. Granted, there was luck involved (they were looking for a legacy opportunity), but Vargo was ready. Mr. and Mrs. Eskanazi were identified and Vargo told a really powerful story. Pair that up with luck and presto! The Wishard Foundation received a $40 million gift. That is success!

Do you want a Professional Prospect Researcher?
If you don’t have a prospect researcher in-house, do not lament! Aspire Research Group can help you from identification all the way through to the ultimate solicitation. Check out our rating, profile and consulting services. Unfortunately, our magic wand is out for repair so we can’t manage the luck part right now, but we’re working on it.

Prospect Research Has Always been Mainstream

Focused Fundraising, , , , ,

When asked by Blackbaud’s NonprofitTrends blog, Jay Frost tells it straight: prospect research has always been mainstream. And it feels so good to hear someone else saying it! Every time you find a quick company bio or a phone number on your prospect you are performing prospect research.

But Jay doesn’t stop there:

The danger in not making the distinction between the type of cursory review most offices do and the kind of work performed by a professional prospect research unit is that they miss opportunities, ask for too little and, because they are spending time looking things up rather than seeing donors, they ask less often than they could. All of these things put organizations without professional level prospect research at a significant short and long term fundraising disadvantage. [emphasis added]

So what does that mean to you as a fundraiser? You have to research stuff on your own because otherwise it wouldn’t happen, right? But Jay is not advocating all or nothing. I like to use the plumber analogy.

I am a do-it-yourselfer and I am not afraid to plunge a clogged drain or change the washer on a faucet. But if I told you that I was an expert plumber because I could plunge a drain or change a washer you would definitely have to stifle a giggle. And if I attempted to repair a leaking supply pipe I could end up wasting hours of time and end up in a pool of water.

So learn some basic search techniques and find what you need for that first donor prospect visit. But as cultivation deepens and you involve leadership or begin approaching the solicitation, don’t skimp on professional prospect research. If you need help identifying prospects for your campaign, don’t wait until you are struggling to reach your goal. Use professional prospect research before you risk thousands, perhaps millions, in gifts.

Aspire Research Group sells a fabulous how-to tool, Search Tips for Fundraisers, that has been helping fundraisers use their time effectively. At Aspire Research Group we recognize the fundraiser’s reality and craft solutions that empower you to effectively close on your major gifts. Check us out sometime at www.AspireResearchGroup.com.

Are you headed for handcuffs?

Discussion, , , ,
Latour “LT” Lafferty

What would you want to know about ethics from a white collar crime lawyer? I had the privilege of hearing Latour “LT” Lafferty who practices with Fowler White Boggs, give me an inside look at the downward slide away from integrity and some practical advice on how to avoid it, when he presented at the June 21, 2011 luncheon for Association of Fundraising Professionals (AFP) Suncoast chapter.

Most interesting was Lafferty’s perspective of the white collar criminal. He suggested that these are not bad people. In fact they are just like us and the people we work with. What has happened is that their unethical behavior has built up like a snowball rolling downhill in a snow storm.

The example that Lafferty gave us was simple. Say that a person submits travel or business expenses that fall slightly outside the parameters, and he is not corrected. Perhaps he is even informally rewarded. Maybe “everyone” in the organization pads expenses. He continues to submit expenses that are farther and farther out of bounds until – bam! – he is investigated for his fraud and labeled a criminal.

How do we counter this behavior? Lafferty tells us that according to John Maxwell who wrote the book, A Winning Environment, we can:

  • Hire people of good character
  • Train them
  • Inspire them with good leadership

Lafferty encouraged us to evaluate our organization’s culture and to lead in ethical behavior. He tells us that if we don’t expect, demand and reward ethical behavior, we are at risk of destroying our donor’s trust and our organization’s ability to thrive and achieve its mission. Yikes! I won’t name names, but we all know the organizations that have made the news headlines. The risk is real.

So what does that mean for the prospect researcher? While more and more researchers are finding their way to the management table many of us may feel we have little influence. I am a member of the PRSPCT-L community and the ethics issues raised online are very real and are likely to be just the tip of the iceberg. I believe anyone of any position in life can model ethics. Here’s how:

Care about ethics: Care that the donor prospects you research are treated with respect and dignity –by you!

Educate yourself: Maybe your organization won’t or can’t send to you APRA’s sensational conference, but you can participate in the list-serv discussions and read about issues of privacy and data generally –it’s everywhere! (Even Aspire Research Group has a fun 7-min. video on ethics)

Lead: Yes, I’m talking to you. All of us can lead. Open your mouth when talk of data and research arises. We can tell stories and introduce empathy with comments such as, “I read about that, but I didn’t put it in the profile because I would be so upset if someone treated me that way”.

We won’t always be heard. We won’t always be able to change the culture of our organizations. We will always be able to plant our ethical seeds and nurture them in ourselves and others. I can live with that. How about you?

Summer Reading from Helen Brown

Discussion, Major Gift Teams, , ,

It might not be “light” reading, but I still think you should go poolside with the suggestions from Helen Brown in her recent blog post Summer Reading: Wealth and Philanthropy.

All of the reports she mentions give great insight into donor motivations and capacity. But I can hear you moaning now: “I want to RELAX at the pool!”

All I can say to that is that I do my best philanthropy reading poolside. Sure beats being in my office. Get a blue or colored pen and circle the most important bits as you go along. When you are back at your computer, cut and paste the important bits into one document.

I went so far as to create a table with characteristics (inherited wealth, real estate wealth, etc.) in one column and the quote in the other. That way I have a quick reference guide when I’m doing my donor research profiles. Yes, it’s a little go-getter geeky, but it saves me a lot of time…

Happy reading!

Tips and Trends from Bob Carter

Discussion, Focused Fundraising, , , , , , , , ,

I am on an airplane trolling through the little notebook that I take everywhere and found my notes from Bob Carter’s talk at the APRA Florida conference. I’m realizing just how much of what he told us is showing up in the stories of the people I have been researching lately. I have to wonder if others of you are seeing these up close and personal too.

Bob Carter of previous Ketchum fame, has his own shop now, Of Philanthropy, and it is a fitting name for what he has to say. He is an engaging speaker with a global outlook. Best of all, he makes good practical sense.

The Best Solution
Carter mentioned that philanthropists are trending towards being married to the solution instead of the institution. I’ve heard this spoken of as a generational trend as well and it’s probably both, but I have written up a few donor profiles recently that demonstrate this emphatically. While the largest gifts go to the charity the donor is closest to and trusts the most to achieve the mission, giving is not guaranteed and is quickly shared with innovating organizations. Are you communicating your effectiveness at  implementing the solution?

Direct Involvement
Many speakers, not just Carter, have been talking about donors being more involved for a while now, but it has only been recently that I have seen it firsthand as so intrinsic to some donors’ giving. I heard Carla Harris speak at the AFP Florida Caucus’ Planet Philanthropy conference and she donates the proceeds of all of her gospel albums. Her occupation is Wall Street banker!

And more than usual I have been writing up donor profiles demonstrating this kind of it’s-a-way-of-life giving. I am also seeing more and more donors who don’t just give, they serve in four or five or even more volunteer capacities at the same organization!

Leveraging
Carter told the APRA Florida researchers that for every major gift there is no excuse for not getting three or four more from that donor’s network. Nothing new there, but it gave me a good kick-in-the-butt about priming my clients with possibilities when I send them a profile in preparation for solicitation. Depending on the client and the relationship I can do more than name-drop in my profiles, I can be part of the ongoing conversation and strategy.

Jennifer Kehoe of the University of Central Florida shared a great story at the APRA Florida conference about how her research department was able to add value to a major gift donor’s cultivation *throughout* and without which a gift would have been unlikely. Prospect researchers are fundraisers too – we want the big “YES” just as much as the fundraiser!

Collaborating
How do you get in with the philanthropic in-crowd in your community? Carter suggests a collaboration. The donors want it and I have watched one of my clients use a collaborative project to successfully promote the organization’s commitment and excellence to the in-crowd of philanthropists in her community. Leveraging the collaboration, donor research and excellent cultivation, she has brought her organization’s fundraising from barely there to million dollar gifts.

Provocative Ideas
But maybe the comment I liked most was when Carter talked about an organization that invited its best donors to a fundraising training. I am no longer surprised when board members show up for my Introduction to Prospect Research trainings. When board members and major donors become educated about fundraising it only makes them more effective givers. I have to wonder what other unusual cultivation activities fundraisers have begun using!

What have you been doing and seeing lately?