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Building Philanthropy Fundraising programs any library can do that will create donors

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Title: Building Philanthropy Fundraising programs any library can do that will create donors


1
Building Philanthropy Fundraising programs any
library can dothat will create donors!
  • Rob Lavery CFRE,
  • Resource Development Consultant,
  • Southern Ontario Library Service

2
Building Philanthropy
  • Session Outline
  • Some definitions
  • The Charitable Sector Whos the competition?
  • Sources of Revenue
  • Focus on Individuals
  • Move to Philanthropy
  • Most common methods of FR
  • What are libraries doing?
  • Next steps

3
Moving to Philanthropy
  • Moving from transactions to relationships
  • Incentive-based decision vs. ideals and
    value-based decision
  • Friend-raising to Donor-raising

4
What is Philanthropy?
  • Any effort to relieve human misery or suffering,
    improve the quality of life, encourage aid or
    assistance, or foster the preservation of values
    through gifts, service or voluntary action,
    external to government involvement or marketplace
    exchange.

5
What is a donation?
  • According to Canada Revenue Agency
  • A gift is a voluntary transfer of property for
    which the donor receives no benefit in return.

6
What is a Charity?
  • According to Canada Revenue Agency
  • A charity is an organization that has been
    registered with CRA
  • It operates for a charitable purpose
  • It cannot make its income available for the
    personal benefit of its members
  • Issues receipts for tax purposes

7
The Charitable Sector Whats the competition?
  • 90,000 registered charities in Canada
  • Increasing by 10 a year
  • Approximately 200,000 non profit groups
  • 50 of charities have revenue of less than
    50,000 annually
  • 60 have 0-1 employee
  • 86 billion flows to sector annually

8
Sources of revenue for Charities
  • Government
  • Earned income (fees, contracted services)
  • Foundations
  • Corporations
  • Individuals

9
Sources of revenue for Charities
  • Government 57
  • Earned income 33
  • Private Giving 10
  • Foundations and Corporations 15
  • Individuals 85
  • Over 10 billion!

10
Fun with numbers!
  • For more information on charitable giving and
    volunteering, go to
  • www.givingandvolunteering.ca
  • Statistics from the National Survey on Giving,
    Volunteering and Participating
  • Fact sheets
  • Manuals
  • Reports

11
Focus on Individuals
  • Individuals give almost 8.5 billion
  • 47 of that comes from 5 of donors
  • These donors give over 900 annually
  • The next 20 of donors give 33 of
  • Combined, 25 of donors give
  • 80 of all charitable dollars

12
The Ways Individuals Give
  • Individuals
  • person to person asks
  • Direct mail
  • Special events
  • Door to door canvassing
  • Telephone canvass
  • Major donations, or large specially-named gifts
  • Planned gifts - bequests, insurance
  • Memorial, celebration cards
  • Direct-response to paid ads or PSAs

13
Focus on Individual Philanthropy
  • Donor Motivations - Why do people give?
  • because they were asked
  • getting something in return (intangible)
  • to relieve a sense of guilt
  • to feel good about themselves
  • peer pressure
  • recognition
  • want to make a difference
  • family tradition
  • financial planning

14
Moving to Philanthropy
  • Moving from transactions to relationships
  • Incentive-based decision vs. ideals and
    value-based decision
  • Friend-raising to Donor-raising

15
Transactional Giving
  • Always searching for new donors, not working with
    existing donors
  • Short term thinking
  • Selling attitude, consumerism
  • Not developing donors

16
Relational Giving
  • Matching philanthropic interest with investment
    opportunity
  • Encouraging first-time givers to become habitual
    givers and committed donors
  • Planning the relationship for the long term
  • Looking for a meaningful moment that a donor can
    respond to

17
Most common methods
  • Special Events - strengths
  • the most common way to raise money - competition
  • donor loyalty, volunteer motivation, fun
  • profile in community
  • prospect and first time donors
  • forum for education
  • sponsorship opportunities
  • volunteer and leadership recruitment

18
Most common methods
  • Special Events weaknesses
  • very resource heavy time and energy
  • high risk
  • lots of planning
  • sales dependent
  • cost-effectiveness increases over time
  • Transactional - doesnt promote philanthropy

19
Most common methods
  • Direct Mail - strengths
  • Lots of smaller donations
  • Cost-effective over time
  • Can be very scientific/mathematical good
    reporting, becomes more personal
  • Very predictable, trackable, repeatable
  • Good demographic for libraries
  • Philanthropic donations

20
Most common methods
  • Direct Mail - weaknesses
  • Increasingly competitive
  • Contracted services investment capital
  • Acquisition is expensive
  • Cost-effectiveness dependent on volume
  • Perceived as impersonal
  • Losing audience

21
Mail Programs
  • Library Examples
  • Cobourg PL Foundation
  • Oxford County Library

22
Most Common Methods
  • Memorial Programs
  • Adopt a Book
  • Adopt a Magazine
  • Library Samples
  • Oxford County Library
  • Welland Public Library
  • Thunder Bay Public Library
  • Windsor Public Library

23
Most Common Methods
  • Planned Giving
  • Library Samples
  • Barrie Public Library
  • SOLS

24
Celebrating the Gifts
  • Newsletters
  • Saying thanks! (donor recognition)
  • Profiling other ways to give
  • Showing donors how their gifts are being used
  • Library Samples
  • Oxford County Library
  • Barrie Public Library
  • Cobourg Public Library

25
Next Steps
  • Gaining confidence in personal asks
  • Formalize a Case for Support
  • Developing infrastructure
  • Donor records
  • Issuing receipts
  • Sending thanks, donor recognition
  • Renewing support
  • Ask!

26
Questions Answers
  • Rob Lavery CFRE
  • rlavery_at_sols.org
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