2.04.2008

Q & A: Project Funding

What motivates you to donate money?
Source: Envision PR

Have you been approached by an organization requesting that you donate money to them as part of a planned giving strategy? What makes you give? What turns you off about this request? I especially want to know what messages or request techniques are particularly effective in getting people to open up their wallets. Would appreciate any ideas you care to share.

Kate Armstrong Lee
Communications & Community Affairs Manager

Having worked as a Community Affairs Manager for several companies, I am constantly exposed to many,many non-profit organizations. Those organizations solicit for corporate donations & sponsorship at the same time that they add me to their mailings and call lists for annual donations, special events, and "urgent needs." To determine which organizations I will support, I look to a number of criteria - 1/ are they effectively addressing an issue that I find important, whether the state of education, social services, etc? 2/ is the management sound - do they have a board that works to ensure success, have they hired the right personnel to achieve success? 3/ are they constantly assessing their achievements and making adjustments when needed to reach the goals? 4/ does the organization look to partner with other organizations in an effective way to deliver services? I want to see organizations work together to increase the impact, rather than taking a "we are the only solution" approach. 5/ for established organizations, I look at the financial stability and impact statements. For newer organizations (under 5 years' operation), I consider the potential of the organization - does it have a clear mission and plan? Has it acquired influential supporters that will lead others to provide financial support? 6/ local or global - both are important, depending on the mission. I try to balance my donations to address both, but find that global needs tend to be more about addressing hunger, poverty and literacy. Local needs that I find compelling seem to be about improving education achievement, arts, and certain social/welfare concerns. What appeals work best for me? Write to me, ask for my time to explain the mission, the need and what will be done with my funding. Offer to let me see the work in progress, such as a school tour. Make sure I received (electronically or otherwise) periodic stewardship reports. But ... what doesn't work: sending "address labels" or other items; mass-marketing approaches like blast-emails. Crisis appeals are the most likely to fail - unless it's a natural disaster, a crisis appeal gives the aura of poor management / lack of planning / ineffective operations. Marilyn - be happy to talk with you offline about this topic, if you'd like.

Jim Parker
Responsible for Product Marketing & Management for CDMA, UMTS & Mobile WiMAX Wireless Infra & Femtocell product lines.

To the extend that it is a worthwhile cause and that the firm can efficiently donate to the cause, (after expenses...).

Adena Franz
Portfolio Manager & VP, MacDougall, MacDougall & MacTier Inc.

This is a great question. Thanks for asking. I am motivated to give money: 1.) Relevance. Can I relate to what the organization is trying to accomplish. Larger organizations that support multiple projects are uninteresting. I appreciate and relate to focused efforts. 2.) Communication. Will I be kept informed of the organization's activities and/or progress of their projects? If so, how and when? 3.) Respect. Have I been approached with a respect for my time and money? Will my wish for anonymity be respected. 4.) Difference. How much of a difference will my giving make. I respond well to requests for donations in lieu of flowers/gifts at weddings and funerals because there's a connection between the people that made the request and their interest in one or more organizations. I am repulsed by corporations that solicit (read pressure) donations from their employees. It insults their employees ability to make choices. Marilynn, I give big. I do not give often. I agree with all the points in Kate Lee Armstrong's answer. Adena

Barbara Johnson
Broker at Realty World First Coast

With over 30 years of fundraising experience I have found that there are only 4 motivating reasons why people give:
1. Fear: Cancer would be a good example. People fear cancer, they have lost someone to cancer or they have cancer. They give in hope that their contribution will find a cure and alleviate the fear they have of the disease.
2. Guilt or Obligation: Religious organizations often fall in this category. People are taught guilt or obligation in their religious up-bringing and give to the church to assuage that guilt or fulfill that obligation.
3. Pride. Colleges are examples giving out of pride. Graduates are proud of their association with their school and give to participate in its ongoing success.
4. Recognition; People give so they gain recognition among their peers or in their community. Put their name on a building, on a brick or publish it in the paper. It's all about everyone knowing that they have the money to contribute. Any fundraising campaign must address all four of these motivations to give in order to push the buttons for the greatest number of potential donors.

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