> Forthcoming conference sessions – come and say Hello!

9 03 2010

I’m just back from holiday and straight-away immersed in all sorts of client work, as well as getting-down to preparing presentations for several conferences I’m speaking at over the next few months. As it’s often only at conferences that I get an opportunity to meet folks who subscribe to my blogs, I thought I’d give them a quick plug here – then if you’re attending you can come by and say ‘hello’.

The first is the 2010 National Convention for Fundraisers in Ireland, which is being held in Dublin on March 23rd and 24th. I’m presenting late morning on 24th on Community Fundraising 2.0 – when I’ll be talking through some of the latest online fundraising developments worldwide as well as focusing specifically on some really interesting home-grown Irish initiatives.

Next month, from 14th to 16th April I’m over in Germany at the Deutscher Fundraising Kongress, presenting sessions on ‘Using Research to Generate Supporter Insight’ and ‘Online Community Fundraising’. I know that quite a few German fundraisers do subscribe to my blogs – so hopefully I’ll have an opportunity to meet some of you there.

Then, of course, in July (5th to 7th) it’s the Institute of Fundraising National Convention here in London, where I’m co-presenting a ‘Hot Topic’ session with Jason Potts of Think Consulting – where we’ll be sharing what we think are some of the hottest developments in digital fundraising. Given how quickly things are changing in the digital space, that’ll be one that we prepare right at the last minute!

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> Social Media is not killing Email – so what’s your next excuse for not using Email as well as you could?

1 03 2010

Each time we see a significant evolution in the way consumers communicate there is always a temptation to jump to the conclusion that the latest method will surely kill-off the previous methods. Presumably such predictions were bandied about after Alexander Graham Bell made his first telephone call back in 1876 – yet the mail service didn’t die-out as a result of the adoption of telephones. Rather more recently, there have been suggestions that email will kill-off traditional mail ever since I got my first email address back in the early ’90s (remember Compuserve?) – but it hasn’t happened yet (although that debate does continue).

As such, following the incredibly rapid adoption of Social Media over the last few years it’s not surprising that people are having the same discussions again – ’surely if everyone is tweeting or facebooking then they’ll no longer be using email?’. Indeed, this was the very idea being put forward in a WSJ Tech Article I spotted towards the end of last year entitled: “Why Email no longer rules”.

However, it turns-out based on a growing body of research evidence that the rumours of Email’s imminent demise at the hands of Social Networkers are incorrect. Here are just a couple of examples to illustrate what I mean:

Firstly research from Nielsen back at the start of last year. This is particularly interesting because Nielsen analysts had previously gone on record stating that Social Media was more popular than email, based on a global analysis of internet usage. However, when they went on to do more detailed research examining just how Social Media use decreases Email use they actually ended-up disproving their original hypothesis and instead proved that social media use actually leads to increased Email use – as illustrated in the chart below. You can read more about their research here.

More recently, this same finding has been confirmed by US Relationship Marketing Agency Merkle in its ‘View from the Social Inbox’ report released just last month. Based on research conducted in late 2009, they too found that active social network users are more likely to be avid email users. With 42% of social networkers checking their email 4+ times per day compared to just 27% of non-social networkers (as shown below). You can download the full Merkle report here.

So, now that we have a growing body of evidence that Email is continuing to be a key online communication channel – despite the overwhelming popularity of various forms of social media – here comes the important question… Given Email’s continued, if not growing, importance – just how happy are you with the way you’re using it to engage with your supporters?

This question has been particularly front of mind for me recently as I’ve been working with two large UK charities to help develop their online fundraising strategies and in both cases opportunities to improve email use have offered some of the greatest income growth wins.

If you’re in the same boat, then don’t feel too downhearted – because you’re certainly not alone. According to the 2009 Adestra/Econsultancy Email Marketing Census, 72% of email marketers (from both commercial and non-profit organisations) admitted that they are not using email as effectively as they could – despite acknowledging that it offers the best ROI of any online activity other than natural search. Interestingly, as shown below, the top two reasons given for not using email effectively were ‘Quality of email database’ and ‘Lack of strategy’, with ‘Poor technology’ 7th in the list – reflecting the fact that many organisations now have access to the technology required to undertake pretty sophisticated email programmes, but their strategic planning has yet to catch-up:

With most of the online fundraising buzz these days tending to be focused on some form of social media activity, it’s good to be reassured that dear old email is here to stay – and, in the light of this, to be prompted to make time to consider whether you’re online income is suffering because you’re not using it as well as you could be.

(First published on my givinginadigitalworld.org blog)

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> Crowdsourcing our way to the future of fundraising

18 11 2009

As is usual towards the end of the year – and even more so towards the end of a decade – people tend to start postulating as to what the future will hold, leading to a pre-Christmas flurry of articles and blog posts about key trends to watch going forward.

In the good old days this used to involve journalists calling-round or sending emails in early November and then collating whatever their contacts contributed into an end of year trends piece.  In an interesting sign of the times, this year social media has undoubtedly taken-over as the key way of sharing and collating thoughts on the future – with a range of crowdsourcing initiatives underway focusing on just this topic. So much so that Philanthropy 2173 blogger Lucy Bernholz is saying that this is the point at which the whole idea of crowdsourcing trends has ‘jumped the shark‘.

To illustrate what I mean by this, in just the last couple of days I’ve been sent details of two specific social media initiatives aiming to capitalise on crowdsourcing to highlight key philanthropy and fundraising trends. The first is the US-based FutureLab, which kicked-off mid-year and has now got 60 ideas and discussion questions under debate. The second is  Fundraising Scenarios, created by UK-based consultancy The Management Centre. Then, you can add to this the Twitter equivalent which is fast gathering pace under the hashtag #nonprofit2010.

With all this going-on, there’s really no need for me to add any specific 2010-2020 insights here – other than to say that I predict fundraisers going into strategic planning for the next decade with a very long list of trend-related things to try to take into account.

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> Why do so many segmentation projects fail to deliver the goods?

3 11 2009

segmentation

For quite a few months now I’ve been working with the team at Cancer Research UK to help develop a new segmentation for their frankly massive supporter database. After countless days spent working through transactional analyses, quantitative and qualitative research findings, and segment profiles we’re now pretty much reaching the point where the segmentation is due to launch. So, it was perfect timing for one of my old colleagues there to email me a link to a very interesting blog post by Brad Bortner of Forrester Research – explaining “Why good segmentations fail”. Thanks Bob!

Bortner explains that recent Forrester research reveals most segmentations never fully deliver their planned business results – not because they haven’t been well developed, but because effective plans are not put in place to ensure that the segmentation is properly adopted and used across all parts of the organisation.

He then provides some very sound advice on how to avoid this happening, including

  • Ensuring cross-functional buy-in from the very start – so you don’t end-up with a wonderful segmentation that no-one is interested in using
  • Providing clear guidance as to which segments should be prioritised for development – to prevent diffusion of effort as teams try to target all segments for fear of missing an opportunity
  • Supporting development of an integrated approach to the priority segments – such that all teams work together to get the most from the segmentation
  • Hosting a one- to two-day Segmentation Adoption Session with all key stakeholders at which as a team you bring the segments to life; confirm priority segments; define optimal segment products, channels, and messaging; and agree how to measure successful implementation going forward.

Undoubtedly well worth a read if you are considering reviewing your supporter or customer segmentation anytime soon.

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> If the Royal Mail is in a sunset industry, where does that leave your fundraising?

2 11 2009

postman-pat

Here in the UK we are in the midst of a series of country-wide strikes by our national mail carrier Royal Mail. The strikes are all down to disagreements relating to ‘modernisation’ – which the management say is essential to overcome market changes that have led to core business deliveries falling at 10% per year. But which that the mail workers’ union fears will result in job losses.

One commentator I heard the other day, speaking of the need for modernisation and whether it was simply too little too late, summed-up the fundamental challenge the Royal Mail faces thus… “They are operating in a Sunset Industry. In ten or perhaps twenty years time there simply won’t be any bulk mail as we know it today. There will just be home deliveries and everything else will be online.”.

This set me thinking… Firstly, how this seems like a classic example of a once monopoly supplier walking myopically into obscurity, not unlike the big gas mantle suppliers as the world shifted to electric light. Right from the early days of email, I could never understand why the Royal Mail didn’t get in on the act. Our national telephone company did, resulting in British Telecom now providing the bulk of of all broadband connections in the UK. But not Royal Mail. Not sure which bit of the term ‘e-mail‘ they didn’t find relevant to their business?

Secondly, and more relevantly, this is a very timely reminder to all strategically minded fundraisers not to get trapped in a similarly myopic manner – unless they want to be part of a Sunset Industry too. Because, of course, most individual donor programes are still predominantly reliant on direct mail – leading this week’s issue of trade publication Third Sector to sport the front page headline “Charities ‘will lose millions if the post strikes continue’”.

For several years now response rates to most cold and warm direct mail campaigns have been falling, yet surprisingly few fundraisers have seriously begun to consider how they might significantly reduce their reliance on the postal system. Mind you, if the forecast is correct of “ten, or perhaps twenty years” before people no longer use personal mail as we know it, then perhaps you feel you’ve actually got more pressing issues to deal with?

If so, then bear in mind that if there’s one thing that the amazingly fast growth of social media usage has shown us, it is that the pace of digital communications change has a tendency to surprise even the most enthusiastic observers. So, perhaps you should allow some time to think about it? If Third Sector’s headline predictions come true and Christmas Appeal income is slashed due to non-delivery, then you’ll certainly have the basis of a clear business case for seriously considering the alternatives – because it seems likely that these won’t be the last such strikes that we see as the sun continues to set on Royal Mail.

So, whether the strikes continue through Christmas or not, how about you make a New Year’s resolution to kick-off 2010 with a thorough contactability audit of your individual donor database – properly assessing just what proportion of landline, mobile phone, and email addresses you have across the key segments of your database? Then set yourself specific annual targets for improving non-postal contactability and a clear strategy to test and learn how to make most effective use of alternative channels going forward.

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