Office: 293.1489
nancy@hansonphoto.com
Mass Communications 307
Public Relations Processes
Overview of Fund Raising (Development)
 | IRS tax filing status for public-spirited organization. |
Incorporation means that:
|
| Taxes aren’t paid on excess revenue (plowed back into doing the NPO’s mission) |
|
| Charitable contributions are tax deductible. |
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| Not a "loophole" — conscious decision by U.S. Congress |
Widespread apprehension: "I’ll do anything except ask for money."
| Attitude is key. |
| Don’t apologize for asking. |
| ** Sharing the good news!** |
Who gives?
| At least 80% of gifts to capital campaigns come from INDIVIDUALS. | ||
| Businesses 10-15% | ||
| Foundations 5-7%
|
Giving USA 2001 (quoted in Nonprofit Times)
| BASED SOLELY ON ITEMIZED DEDUCTION DATA – (IRS almost certainly understates the amount) | ||
|
2000
– giving topped $203
billion – up 6.6
percent
| ||
| 1989 – $98.43 billion .... more than doubled in 10 years |
Active foundations – 2,700 new in 1998 – total 47,000 (twiced as many as in 1980 number)
| May or may not have personal involvement of those whose money they give away |
Areas of fund-raising organizations (In order of overall rank in donations)
1. Religion
| 36% of giving 2000 ($74.3 billion) |
| Lots of unknowns about these groups |
2. Education ($28 billion)
3. Health organizations ($19 billion)
4. Human service organizations ($18 billion)
5. Public/social benefit ($11.6)5.
6. Arts, culture & humanities ($11.5)
7. Environmental ($6 billion)
8. International ($2.7)
P.R. professional’s role in development:
1. Lay groundwork for successful fund-raising efforts through ongoing PR program.
| Awareness — climate of support. |
2. Contribute to development of "case" or "case for support"
| Case = succinct statement of mission, history, needs & solutions |
3. Produce supporting materials — development "collateral"
| Brochures |
| Case statements |
| Speeches — scripts and visuals |
| Video |
| Direct mail — appeal letters |
| Newsletters |
4. Media relations — not necessarily about campaign
| Highlight needs and solutions. |
| Highlight organization’s mission. |
5. Donor relations
"Thank you" is a critical part of every human relationship
Theory: thank in 7 ways
| Personal phone calls ... |
| personal letter from fund-raiser ... |
| personal letter from president (also possibly by beneficiaries)... |
| recognition in newsletter ... |
| recognition in media ... |
| recognition among peers (events) ... |
| reminder of appreciation (recognition plaque) |
Two basic varieties of development efforts
Annual giving ... capital campaigns
1. Annual giving
| Can be much harder than capital campaign because it's used for operating expenses and lacks glamour and high profile |
| Memberships
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| Annual memberships
| ||||||||
| Direct-mail appeals and membership invitations
|
Annual appeal (seldom made only once a year)
| Often p.r. dept. responsibility (or development officer) |
| Seldom just "annual" |
| Why frequency is important – awareness; good intentions; timing |
| "Bounce-back" gifts – ask for another with thanks for the last one |
Special events
| Generally not big money-makers. |
| Generate awareness and good feelings among supporters. |
| Generate media coverage (awareness of organization, need for funds) |
2. Capital campaigns
"Capital" — long-term assets
| Buildings, Programs, Endowments |
| Often use fund-raising consultants |
| Long-term commitment to p.r. paves the way. |
Consultants
| When you ask time .... look at your watch. |
| Volunteer training |
| They provide planning, guidance and training in fund-raising. |
| They do NOT go out and call on prospective donors (except perhaps the prospects for the largest lead gifts) |
Pyramid of gifts
| Largest gift must = goal of campaign |
| 20% of donors ... 80% of gifts |
| 80% of donors ... 20% of gifts |
| (Actually closer to 10% ... 90% today) |
Role of foundations
| Major supporters of some kinds of campaigns — but not the bread & butter. |
| Grant-writing — research is more important. |
| Must convey same excitement and enthusiasm about possibilities as other p.r. |
| Case statement is a guide for writing grants. |
The Case Statement
Makes "case" for giving.
Foundation of entire approach to campaign
Elements:
| 1. Overview of need and proposed solution. |
| 2. History/background of problem (and organization). |
| 3. Discussion of needs. Why they’re urgent. |
| 4. Detailed discussion of proposed solution. |
| 5. Opportunities for giving. |
Reminder about Direct Mail readership ...
U.S.P.S. Home Diary survey (1997):
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| People read more than 68% of their mail |
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| When it’s from known business or org – 80% + |
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| More than half is read immediately |
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| "Junk mail" term was coined by broadcast advertising industry to counter perceived threat of direct mail marketing. |
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