Money in the Middle: How to Make the Most of Midlevel Donors August 2, 2016

The Chronicle of Philanthropy MARGIE FLEMING GLENNON Sr. Editor, Online Learning and Professional Resources

The Chronicle’s Online Resource Center Subscribers, see more at philanthropy.com/resources

• Toolkits

• Case Studies

• Templates • Advice • Checklists

Three Approaches to Mid-level Giving Young and Mature Programs: Opportunities & Challenges

Gretchen Mais, American Farmland Trust

(Former) Sr. Director of Development & External Relations

Liz FitzGerald, American Civil Liberties Union

Director, Special Gifts

Anthony Escobar, WNET Public Media Executive Director, Development

Some Key Considerations Mid-level donors often = 1% percent of donors but 34% of a nonprofit’s revenue.* Some mid-level donors aren’t on their way to major gifts. Develop a mid-level strategy: from communications to relationship managers.

Good news and bad news? No one way to do this well. * ”The Missing Middle,” Sea Change Strategies study 2014. Based on gifts between $1,000 and $10,000.

6 Steps to Building a Midlevel Giving Program Handout 1: For those just getting started, this article from The Chronicle walks you through the steps to you’ll need to take. www.philanthropy.com/article/Keys-to-Midlevel-Donor/233133

American Farmland Trust: The Barnraisers Society GRETCHEN MAIS Sr. Director, Development & External Relations

American Farmland Trust Mid-Level Program - Pre-2012 Barnraiser Society ($1,000+) 2 appeals / 3-4 cultivation mailings per year Major gifts management Mid-Level Program – 2012 and onward Two tiers (mid-level low and mid-level high) 3 appeals / 7+ cultivation mailings per year Shared management

American Farmland Trust

American Farmland Trust

American Farmland Trust

Gained leadership support

Grew the pipeline

Completed analysis

Invested resources

Set goals and indicators for success

Set procedures and execute the plan

American Farmland Trust

Gained leadership support

Grew the pipeline

Completed analysis

Invested resources

Set goals and indicators for success

Set procedures and execute the plan

American Farmland Trust Seeking Opportunities for Growth

Year 1

Year 2 Mid-Level Low

Year 3 Mid-Level High

Year 4

American Farmland Trust Mid-Level High $1,000 - $9,999

Mid-Level Low $250-$999 REVENUE

REVENUE

1% of donors

$ 47%

3% of donors

$ 10%

#philwebinar • 14

American Farmland Trust

Gained leadership support

Grew the pipeline

Completed analysis

Invested resources

Set goals and indicators for success

Set procedures and execute the plan

American Farmland Trust

Gained leadership support

Grew the pipeline

Completed analysis

Invested resources

Set goals and indicators for success

Set procedures and execute the plan

American Farmland Trust

American Farmland Trust

American Farmland Trust

American Farmland Trust Images coming

American Farmland Trust Quarterly Newsletter

American Farmland Trust

Gained leadership support

Grew the pipeline

Completed analysis

Invested resources

Set goals and indicators for success

Set procedures and execute the plan

American Farmland Trust Tools and Tricks Black out calendar allows us to quickly pick drop dates and act HDD Scans Writing a playbook and getting buy in

American Farmland Trust

American Farmland Trust The Next Frontier

Gained leadership support

Grew the pipeline

Completed analysis

Invested resources

Branded welcome experience

Set goals and indicators for success

Set procedures and execute the plan

Multichannel Experiences

More Moves Management for Mid-Level

Money in the Middle: How to Make the Most of Mid-level Donors

Gretchen Mais

Membership Director Center for Biological Diversity 520.561.2744 [email protected]

Strengthen Ties to Donors Who Give Modest Sums Handout 2: For those with young and growing programs, this article from The

Chronicle provides an overview of strategies employed at several

nonprofits. https://www.philanthropy.com/article/Many-Charities-Are-Doing-More/160711

ACLU’s Mid-Level Program LIZ FITZGERALD Director, Special Gifts, ACLU

ACLU Mid-Level Program Overview Mid-level file contains roughly 24,000 people $250-$24,999 cumulative annual giving, with focus on $1000+

Mixes C3 and C4 giving, national and affiliate giving Based on a traditional direct-mail program Major gifts is focused on 6-7 figure prospects

ACLU Mid-Level Program Challenge: Re-focusing donor From renewal To philanthropy

ACLU Mid-Level Program Challenge: Valuable to many different programs Online Action Taker

Grassroots/ Grasstops Direct Action

Major Gifts Prospect

Planned Giving Prospect

Mid-Level Donor Affiliate Board/Donor Prospect

Special Appeal Donor Membership Donor

ACLU Mid-Level Program Lessons Learned: Help donors understand their role in the organization

ACLU Mid-Level Program Lessons Learned: Help donor understand role

ACLU Mid-Level Program Lessons Learned: Your metrics should reflect your goals. Direct mail metrics will leave you chasing the bottom line.

ACLU Mid-Level Program Lessons Learned: Your metrics should reflect your goals.

Metrics designed around how donor groups are performing overall will help you focus on how to better impact the donor, not how to create a better direct mail package.

ACLU Mid-Level Program More Lessons Learned

Protect the mid-level donors and your mid-level staff!  For the donors  Compromise

 Do donor experience mapping

ACLU Mid-Level Program More Lessons Learned

Protect the mid-level donors and your mid-level staff!  For the staff  Remember (and remind) that you are not a junior major gifts program (Can’t you just do these few individual proposals? Can’t you just personalize this one letter?)  Think in groups, not in individuals.  Assess what will truly move the needle

ACLU Mid-Level Program Next Frontier

Tailoring the program by track  New mid-level  True mid-level  Under $5k  Over $5k

 Major gift prospect

Money in the Middle: How to Make the Most of Mid-Level Donors

Liz FitzGerald

Director, Special Gifts American Civil Liberties Union (ACLU) 212.549.2519

[email protected]

Keys to Midlevel Donor Success: Collaboration and Engagement Handout 3: This article from The Chronicle offers tips for fostering collaboration between direct-response, mid-level giving, and major-gifts fundraisers. https://www.philanthropy.com/article/Keys-to-Midlevel-Donor/233133

A Re-Designed Patron Program WNET New York Public Media ANTHONY ESCOBAR Executive Director of Development

PATRON PROGRAM

MONTHLY NEWSLETTER VIDEO

Overview PBS Flagship Station

 Approx. 200,000 members  Largest market in the U.S.  Thirteen, WLIW 21, and NJTV

By the numbers

 $140M Operating Budget  $70M+ Fundraising and Sales

 Patron Program: $3.3M annual unrestricted ($1500 - $24,999)

Challenges Legacy institution with aging donor base Pledge w/ Premiums & “Benefits” model Departments operating in silos

Opportunities Value beyond the broadcasts Robust pool of unqualified prospects  Membership: 200,000  Patron: 1700  Major Gifts: 600

Experimental group

Let’s carve out our own unique space in the NYC philanthropic landscape.

Re-Designed Patron Program

The “what” and “how” are crucial but secondary . . . Exploit our strength – Media  Cultivation & Engagement: e.g., MoMA Patron Lounge  Communications: Multi-platform  Gift solicitations and proposals: Video

Benefits  Donor Recognition Unrestricted AND restricted giving Enhanced Segmentation  Young families, Millennials, and recent graduates Balanced offerings: current patrons and next gen

Balanced Offerings for Thanking and Cultivating Curated programs “behind the wall”

WNET Annual Patron Luncheon

Re-designed Patron Program But “why” is the core and is always primary. Serves as a social good

Facilitates public discourse Aims to achieve equity Reflects the human spirit

“While I love the content of WNET, it’s not my primary interest or why I became a board member. It’s everything else they do that interests me.”

Re-designed Patron Program But “why” is the core and is always primary. Broadcasts

Education Community Engagement

WNET and Dept. of Homeless Services Provide Temporary Learning Refuge for Homeless Children WNET partnered with the Department of Homeless Services to create a special place at the PATH Intake Center in the Bronx for children whose families are entering the homeless system as a result of domestic violence. WNET provided televisions, educational resources, and staff training to help launch the new Early Learning Center.

TRISH’S STORY MEDIA WITH IMPACT

Money in the Middle: How to Make the Most of Mid-Level Donors

Anthony Escobar

Executive Director of Development WNET New York Public Media 212-560-6925

[email protected]

Questions?

Additional Resources The Missing Middle: Neglecting Middle Donors Is Costing You Millions www.seachangestrategies.com/missing-middle/

The Chronicle of Philanthropy Money in the Middle

https://www.philanthropy.com/article/Money-in-the-Middle/165171

A “Non-Gala” Direct Mailing Gets a Big Response From Mid-Level Donors www.philanthropy.com/article/A-Non-Gala-Direct/189965

Deciding Which Donors Merit Special Attention

https://www.philanthropy.com/article/Deciding-Which-Donors-Merit/225993

Webinar: Making the Most of Midlevel Donors https://philanthropy.com/webinars/detail/1131

Money in the Middle: How to Make the Most of Mid-level Donors

Margie Fleming Glennon

Senior Editor for Online Learning and Professional Resources The Chronicle of Philanthropy 202-466-1218

[email protected] Twitter: @flemglen