different perspective on the value of speaking with donors

The long view: A different perspective on the value of speaking with donors via phone

Posted On May 15, 2017

A number of my clients have asked the question, Is there still a value in conducting phone-a-thons? According to a recent U.S. government study, 50.8 percent of homes and apartments had only cell phone service in the latter half of 2016, and more than 39% of U.S. households have both a landline and cell phone service.

In September 2016, Stanford University discontinued its tele-fundraising program. They sent notifications to donors stating that they made this decision because they had taken donor feedback to heart. A humorous and smart mailing was sent and showed that they had been listening, “We never meant to interrupt your… fantasy football… virtual reality dragon rodeo… online brand repositioning… transcendental dishwashing…,” etc. This has prompted even more conversation and debate around the topic.

Call center-based fundraising can be expensive, training intensive and may not seem to offer a worthwhile return on investment. For those non-profits who use volunteers, costs may be less; however, results vary dramatically. And with today’s technology, many individual donors don’t make or take calls simply based on personal preference.

What is not being discussed is using the telephone as a component in an integrated approach to donor relations and stewardship. Engaging with donors via phone can be a vital component in cultivating long-term relationships with new and existing donors, as well as having a meaningful exchange that would not be possible via other strategies, e.g., letters, postcards, events, gifts, or experiences — virtually anything that shows gratitude or helps donors to learn more about the institution and understand how their gifts are spent. Research shows that it’s more effective — and less costly — to retain a donor than it is to attract a new one, so investing time and money in thank-yous is well worth it.

Fundraisers certainly can use the calls strategically. At the same time that they are saying thank you, they can learn more about the donor’s priorities and, yes, determine who may be inclined to support another project or make a larger gift in the same area.

Other institutions, like the College of William & Mary and Colorado State University, have a different approach to fundraising based upon listening to their donors. They find value on connecting with new donors by phone (even folks in their 20s) because they are taking a different perspective: even though revenue generated by phone may be equal to or lower than other fundraising methods (like mailings) – it is particularly valuable for gaining new donors. Even though the initial donations may be small, the call serves as a catalyst for a potential longer term goal of a modest gift evolving into an ongoing or major gift. Speaking with alums on the phone also allows for relationship building, updating of personal information, and the opportunity to talk about what is new with the organization. Another reason contact by phone may be effective for reaching a younger audience is that they may be more transient than an older audience and they may have multiple email addresses or change email addresses. In other words, it may be more likely that their phone number doesn’t change as often as other means of contact. This example shows that even though it may be common thinking that millennials may not be responsive to phone calls, taking a longer view and not making assumptions may lead to better outcomes.

In the case of Colorado State University, they use phone-a-thons as a donor acquisition tool – not fundraising – and have thrown out the scripts and instead make “care calls”. During these calls, students ask general questions about how the past alumnus is doing, where they are working, if they’re up-to-date about current events on campus, reviewing career services options, etc. The plan is to then make a follow-up call in the future and incorporate the donation request at that time.

Get creative and integrate

If you listen – your donors will tell you what their engagement preferences are. It is critical to use the data to consistently adjust your engagement approach such that it integrates their preferences in their convenience, timing, logistical and geographical factors, current technology and tools, and current cultural trends and mindsets. For example, based upon feedback, you may find that a key part of a phone-a-thon not being well received is the repetition of the same contact method – donors feeling hounded and annoyed by call after call – or that the same approach is being used time and time again. Creating a fresh perspective and new experiences for donors by combining or rethinking current connection strategies allows room to combine and leverage existing strategies, retire approaches that aren’t working and create some excitement around building a relationship that lasts.

Ideas to consider:

Frequently update and adjust call center scripts
Or, don’t use a script at all, and make the interaction more conversational
For academia-based fundraising, talk to students before they graduate to find out how they may be most comfortable interacting with you in the future
Take a cue from telethons by integrating digital or social media with calls to or from your donors (think the NBC’s Hurricane Sandy: Coming Together telethon or the ACLU’s Stand for Rights Telethon broadcast via Facebook).
Use your data to figure out what is working and what is not
Listen to your donors and call center staff
Think ‘Thank you’ and ‘Creating Relationships’ versus Raising Money!!