Year-End Strategies to Boost Your Fundraising in 2020
Episode Summary:
Co-founder of 7-Figure Fundraising and the CEO of the Foundation for Government Accountability, Tarren Bragdon, is an expert in fundraising and nonprofit success. Today, he’s highlighting the actionable, intentional steps necessary to tailor your year-end communication in a way that is both thoughtful and unforgettable.
Show Notes:
Tarren Bragdon is the co-founder of 7-Figure Fundraising and CEO of the Foundation for Government Accountability. When he started his nonprofit, the Foundation for Government Accountability in 2011, he had only $50K in seed money. Today, they raise more than $13 million in revenue yearly with a development staff of three.
Over the years, they have perfected the art of year-end mailings, an important moment for nonprofits to communicate with their donors.
Year-End Mailing
2:42 “One of the exciting things about the year-end mailing… it can be an incredible time for people to give even more or give again if it’s done well.”
Tarren emphasizes that your relationship with donors is not transactional. It is a partnership. The year-end touchpoint is an opportunity to honor their generosity and remind them of what you’ve accomplished together.
While many nonprofits see giving increase in the fourth quarter, it’s not true across the board. It all depends on your donors and when they like to give.
Tarren shares that in his nonprofit, they only make an ask once a year. This allows donors to enjoy updates from your nonprofit, knowing your communication isn’t a constant ask for more support.
Avoid These Common Mistakes
Tarren sees nonprofits make several costly mistakes in their end of the year communication.
Don’t send out tax receipt mailing before the end of the year (what if your donor was planning on making a year-end donation?).
Don’t send a receipt that looks like a Quickbooks excerpt.
The Year-End Mailing That Makes an Impact
Instead, he recommends implementing these thoughtful pieces into your year-end mailing:
A cover letter that celebrates everything you and the donor have accomplished.
A receipt that quantifies what the donor gave. This receipt should note whether the donor’s gifts are tax-deductible and include details needed for tax purposes. It also shows them how their investments have made an impact.
For smaller donors, a reply envelope in case they would like to make a year-end gift.
This mailing package allows you to begin and end your year with communicating to donors your gratitude
Include a Signature Gift
In addition, Tarren shares that they send chocolates to their major donors and donor handlers. Spending this extra bit of money sets them apart and acts as a signature gift many donors look forward to each year.
To create a signature thank you gift, Tarren recommends:
Tie it to a local business.
Don’t stamp your logo on it.
Make a note of donors who have told you they do NOT want gifts.
Something consumable, like baked goods or chocolate, is almost always a great idea.
“How to Never Lose a Customer Again” by Joey Coleman is a good resource for ideas in this area.
Acknowledging Gifts and Planning
While the year-end mailing is critical, Tarren emphasizes the importance of the very first thank you and acknowledgment of donors’ gifts.
He recommends revisiting your thank you letters on a quarterly or twice-a-year basis and write down exactly what you want to communicate to your donors to make it spectacular. This is not a task to simply complete. Almost all nonprofits send thank you notes, but spending time to send great thank you notes will make your organization really stand out.
17:38 “This can either be a meaningless piece of paper or it can be a valuable renewal of that relationship and reminding them why they gave or gave again.”
Another important end-of-year task is planning your ask calendar. Tarren highlights that planning your ask calendar will help you estimate next year’s budget. He focuses on the donors who make up 90% of their growth and plans around their giving schedule.
A Key Takeaway
25:09 “You’re not fundraising out of desperation. You’re not spending money you don’t have. You’re not trying to think up what’s the next shiny object I can sell. You’re laying out a long-term vision, you’re getting major partners, and you’re growing.”
Shifting to this mindset of partnership instead of desperate pleas changes the feel that your nonprofit extends to potential donors. Tarren shares that he has seen students who go through the 7-Figure Fundraising workshop make this change and grow their organization in the way they envision as a result.
You can get the signature 7-Figure Fundraising end of year receipt letter template by emailing trevor@7figurefundraising.com.