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Institute of Fundraising

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Title: Institute of Fundraising


1
  • Institute of Fundraising
  • IT Special Interest GroupMay 5th 2005

E-Mail SMS Integrating New Channels With
Traditional Fundraising By Claire Hart Caspian
Partnership Ltd
2
Agenda
  • Background facts and figures
  • Why you should include new media
  • Case Studies
  • Things to Consider
  • Useful Contacts

3
What you will get out of this presentation
  • Justification
  • Rationale as to why you should consider using
    email and SMS within your marketing mix
  • Inspiration
  • Some ideas as to how you might use them
  • Clarification
  • Save time learn from previous case histories

4
Background facts and figures
Justification!
5
Is New Media being integrated fully?
  • Half of all Voluntary sector organisations now
    have a web site
  • 50.4 have a fundraising element on their site
  • Of these 9 have raised no funds at all online!
  • Highest amount raised 400,000
  • Average 1,250
  • Cost to develop web site- average 2,900

6
The power of email
  • Over a trillion e-mail boxes worldwide by end of
    2004
  • 10 of e-mail recipients click-thru to a senders
    website
  • 2.5 of those make a purchase
  • c.40 have given an address for use in email
    marketing
  • Although most were for online stores 31 were for
    promotions
  • 40 use home computer for access

Robert Starch Worldwide
International Data Corp IDC
7
The power of email
  • Approx. 65 of UK population have been on-line in
    the last month
  • 70 of people with e-mail claim to not get
    enough! 
  • Average UK 25 emails per day.
  • 51 of companies are using email as a marketing
    tool, with increasing importance
  • Business, preferred 48.5 Vs 39 against the
    telephone and 3.5 for postal mail

Robert Starch Worldwide
International Data Corp IDC
8
Why use email?
  • Similar rental cpt to DM
  • Low set up/dispatch costs
  • Faster delivery time than direct mail
  • Quicker response time
  • Potentially higher response rates
  • Able to test / change message easily.

9
Barriers to email marketingWhy consumers havent
given out an email address
10
What are the pitfalls?
  • Poor selectability
  • Reduced analysis potential
  • Unsubscribe easy
  • Cost of data
  • Many players few experts
  • High student population
  • Confused marketplace
  • Back end ROI analysis The jury is still out!.

11
Winning Creative
  • Good email and SMS consists of
  • 40 quality list
  • 40 strong offer
  • 20 creative approach.
  • The Source
  • Relevance/Message
  • Targeting
  • Testing.

12
Do Emails work?
  • DoubleClick found open rates to be
  • 5.4 for text mails
  • 12.9 for HTML mails
  • Forbidden did a campaign (Dec 2003) for a client
    using videomail the open rate was 24.
  • rich media increases brand awareness from 5 to
    7
  • brand favourability increased from 4 to 6.

13
Do Emails work?
  • streaming media (video and audio) ads have been
    shown to deliver five times the click-through
    rate of a traditional banner
  • 4.8 time click-through rate reported by eMarketer
    and eAdvertising Report.
  • streaming media has a 70 response rate for
    content, a 60 response rate for advertising
    information and a 49 "buy in
  • Exposure to streaming media increased ad recall
    by up to 118, increased recall of key message
    points by up to 197, and increased the
    likelihood of a purchase by up to 25.
  • brand recall was 160 higher after seeing the
    streaming ads
  • Rich media generates click-through rates 4 to 5
    times the average for non-rich media

14
Measurement
  • So, what measurements should one use if not hits?
  • Page impressions, unique visits, and unique
    visitors.For explanations of these terms visit
    the Interactive Advertising Bureau UK's
    glossarywww.interactivejargonguide.org

15
SMS Mobile Marketing
16
The power of SMS
  • Globally
  • 75 billion text messages sent globally in Q1 of
    2002
  • an increase of more than 50 on same period 2001
  • Forecast total for 2004 estimated at 395 billion
  • Worth about 2.5bn a year by 2006.

17
The power of SMS
  • UK
  • Launched commercially in 1995, the MDA indicated
    a total 20 billion text messages were sent in the
    UK at the end of 2003 compared to the figure of
    16.8 billion for 2002 . In May 2004 MDA claim
    figure was 2.19 billion. Increase of 28 year on
    year.
  • 78 of the UK population own a mobile phone, of
    which over 70 send text messages
  • Text messages contribute up to 16 of operator
    revenues
  • 95 of 16-24 year olds use text messaging
    regularly, each sending an average of 100 texts
    per month. Saga targeting Grey market via radio
    Txt.

18
The power of SMS
  • UK mobile phone owners now send 55 million text
    messages on a typical day across the four UK GSM
    network operators
  • On average, over 2.3 million messages are sent
    every hour in Britain.
  • The total number of text messages sent in the UK
    during July 2003 totaled 1.68 billion, compared
    to 1.3 billion in July 2002
  • Response to SMS averages from 6 to more than
    40!
  • The peak hours for texting are between 10.30pm
    and 11.00pm.

19
Who uses SMS?
  • The profile
  • 43 of all UK adults use text messaging (rising
    fast)
  • Users by age
  • 76 of 18-24 year olds
  • 68 of 24-35 year olds
  • 41 of 35 year olds
  • 8 out of 10 mobile users are open to receiving
    marketing promotional offers via text message
  • 70 of mobile users saying they would prefer to
    be sent MMS content than a straight text message.
  • Source Mobile Data
    Association 2003
  • Empower 2004

20
Why consider these new media?
  • Speed of delivery
  • Ability to customise and personalise
  • Accommodates testing
  • Files can be attached
  • Sent to many people at once
  • True one to one communication- precise targeting
  • Low fulfilment costs
  • Sent messages can be stored
  • Paper, fax and telephone costs reduced
  • 2-way communications
  • New media- exciting and innovative
  • 3D messages
  • Linked to other digital media
  • Immediate results- trackable and measurable.

21
Why consider these new media?
  • Maximise accessibility
  • Exploit SMS as part of CRM process
  • Build database, create viral interest
  • Increase supporter brand interaction
  • Adds value to product or service offering
  • Offer instant supporter satisfaction and access
    to information
  • Empower supporters with choice of communication
    methods
  • Creates brand and charity loyalty
  • Ease of use
  • Bespoke branding opportunity
  • Cross-promote other media
  • Push related services
  • Generate revenue.

22

How to use email and SMS
  • Retaining supporters
  • Newsletter information requests
  • Drive traffic to announcements
  • Web site updates/news
  • Flashes and Alerts
  • Catalogues

23
How to use email and SMS
  • Event driven
  • Welcome
  • Donation transaction confirmations
  • Trading customer account information
  • Statements
  • Notices

24
How to use email and SMS
  • Increase Revenue
  • Cross-sell-from donations to trading, to
    committed giving
  • Up-sell to bigger gifts and legacies
  • Acquire new supporters and volunteers.

25
How to use email and SMS
  • Campaigning
  • Call supporters to action Petitioning, Opinion
    Polls etc
  • - eg Greenpeace Mookia
  • GM foods campaign with Sainsbury's, Catholic
    Church In Scotland

26
Case Studies
27
Case Study 1 - Unicef Integrated Campaign
  • Objectives
  • Integrated postal and email campaign
  • Drive traffic to website
  • Promote new gift catalogue to wider audience and
    achieve stand out in crowded sector
  • Portray them as a forward thinking global
    organisation.

28
  • Mechanics
  • Pre- catalogue mailing email sent to existing
    supporter base
  • Alerting them to fact new Unicef Catalogue was in
    post (Spring, Summer and Christmas), highlighting
    benefits of buying
  • Used one screen with headline facts and links to
    website, done in HTML template to adapt for each
    campaign and simpler text format too
  • Real time online tracking system also set up
  • Follow up email sent as a reminder if no action
    identified
  • Thank you email sent to those that bought and
    inviting viral aspect to send to a friend.

29
Unicef email results
  • First broadcast generated hit rate of over 22
    (clicking onto buy on line web pages)
  • Substantial uplift in sales year on year
  • Of those sent an email, over 27 purchased goods
    online
  • Low Unsubscribe rates- less than 0.5
  • Good interaction, with supporters emailing back
    to provide updated info and dialogue
  • Went on to test cold lists with similar success.

30
Unicef and SMS
  • Unicef also undertook a trail using SMS numbers
    printed on the back of Bus Tickets
  • Ads ran on 1 million Bus tickets in London and
    Oxford in Nov 2002
  • Text Xmas plus name, House Number and postcode
    to a short code to receive a catalogue
  • Users charged 1.50 on mobile bills. Percentage
    going straight to Unicef, minus operators charge.

31
Case Study 2 Comic Relief
  • Client Objective
  • Comic Relief wished to raise additional funds and
    engage a new audience to take part in Red Nose
    Day 2003.
  • Solution
  • Comic Relief used Flytxt Direct to add mobile to
    a number of their TV and radio initiatives.
    Mobile allowed TV and radio audiences to interact
    with Celebrity Driving School, Celebrity Fame
    Academy, Comic Reliefs Nationwide Football
    Challenge and BBC Radio Ones Battle of the
    DJs.
  • Flytxt Direct allowed Comic Relief to run votes,
    competitions and alerts generating more donations
    for Red Nose Day 2003 and encouraging new donors
  • to participate.

32
Comic Relief Results
  • Mobile dominated Celebrity Driving School
    giving 52 and 64 of total entries.
  • Entries cost 1, plus standard network charge,
    with at least 70p going to Comic Relief.
  • Over with 232,000 mobile votes for Fame Academy
  • 3,000 loyal fans signed up for the Fame Academy
    text alert service.
  • 343,000 entries for Comic Relief Nationwide
    Football Challenge.
  • Entry to the competition cost 1, plus the
    standard network charge, with at least 70p going
    to Comic Relief.
  • Listeners to the Radio One Battle of the DJs were
    encouraged to vote off the DJ they liked least.
    Got 19,557 entries.
  • Each SMS vote costs listeners 25p, plus their
    standard network charge, with at least 15p going
    to Comic Relief.

33
Case Study 4 - Save the Children
  • A video, shot on location in Ethiopia, features
    the story of Mammo whose parents both died from
    HIV/Aids
  • The message was delivered in an email newsletter
    to the charity's campaign database and website
    home page
  • The email featured a click-through to the website
    to allow campaigners to register their support
    for Save the Children HIV action programme in
    advance of the International AIDS Conference in
    Bangkok during July.
  • Used to create impact and offered as immediate
    call to action.

34
Case Study 5 - Scope
35
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36
International League for the Protection of Horses
Case Study 6 - ILPH
  • Integrated campaign to generate awareness of the
    Long Distance transport of horses for slaughter
  • Combined email, online and traditional DM, plus
    outdoor media
  • Online strategy during 2003 designed to capture
    opt-in email data, incl viral marketing
  • Leaflets and posters were also produced and
    mailed to bought in cold lists that had dual use
  • Email sent to in house file and select cold email
    data to drive people to petition online at
    www.ilph.org.

37
ILPH Results
  • Sent out pre- Christmas , when 23,000 petition
    signatures had been achieved in initial week.
  • Of which 13,000 opted in to receive further
    emails and contact from ILPH
  • To-date, over 30,000 signatures have now been
    received on the petition, believed to be the most
    successful online petition activity of its kind.

38
Txt2Give, M-Donate, SMSaid- SMS Giving
  • Ideal for spontaneous ,impulse donations with an
    immediate call to action (eg emergency appeals)
  • It combines two technologies SMS and WAP
  • Allows multiple donation amounts
  • Can collect Giftaid information and get tax
    rebate
  • Viral marketing
  • Reciprocal support

39
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40
SMS- The Future
  • Higher GPRS mobile speeds
  • Text TV- participation TV, interaction, input and
    personalisation
  • Creativity and sponsorship options, using colour
    photographs and bar codes
  • Mobile web access more content rich
  • Move on through ring tones to music and video
    clip downloads
  • Mobile games
  • Mobile postcards as speed and functionality
    improve.

41
Things to consider in using Email or SMS
42
Dos and Donts
  • Do
  • Provide instructions for your customers to
    request removal from your list
  • Provide your full contact information, including
    company name, phone number, and physical address
    on e-mails
  • Create interactive campaigns
  • Offer easy and cheap opt-out
  • Clearly display reverse billing costs
  • TPS mobile numbers
  • Know industry ethics and keep abreast of legal
    developments
  • Be familiar with The Direct Marketing
    Associations privacy principles for the delivery
    of unsolicited marketing

43
Dos and Donts
  • Dont
  • Offer opt-out through a premium rate service
  • Send continual messages at a cost to the consumer
  • Send irrelevant messages to consumer
  • Send the same message repeatedly to the same
    e-mail list.

44
Make sure that you
  • Target
  • Are not boring or irrelevant
  • Keep your message short and your file-size
    manageable
  • Identify yourself in subject line
  • Use reputable suppliers with
  • Proven quality
  • Limited mailings per month
  • Once youve got them, dont over mail or Text
  • Track responses LEARN.

45
Summary
  • Email and SMS marketing is fast, cheap and
    flexible and new data sources are becoming
    available every week
  • Costs of data are coming down
  • People still find email and SMS marketing novel
    and will respond- but open to abuse
  • Key focus should be to collect your own data
  • Incentivise supporters/prospects to volunteer
  • information and offer real ongoing benefits
    to justify their trust
  • Use e-mail for two way dialogue, but be sensitive
    and relevant
  • It is not the answer to all prayers but, like all
    direct marketing, it can be highly effective if
    used properly.

46
Summary
  • Integration not isolation
  • Collaboration
  • Be creative
  • KISS
  • Data collection is key
  • Make it relevant
  • Same rules as for traditional media apply
  • Dialogue not a monologue
  • Personal Touch
  • Maintain brand values
  • Adhere to best practice
  • Meet client expectations
  • Learn by example
  • Use a broker to source lists

47
Conclusion
  • Cross channel integration is key
  • Should not use e-mail or SMS in isolation
  • Forms part of an integrated communication
  • strategy - utilising the right medium for the
    most
  • appropriate target audience
  • Same rules as for traditional media apply
  • There is no such thing as New Media and Old
    Media
  • only
  • The Right Media!.

48
Useful Contacts
  • www.caspianpartnership.com tel 01483 487775,
    email claire_at_caspianpartnership.com
  • International Data corp www.idg.com
  • www.mdonate.co.uk
  • Txt2Give- call us on 01483 487775
  • Forrester Research
  • Mobile data association
  • http//www.text.it/mediacentre/default.asp?intPage
    ID96
  • www.text.it.com
  • www.SMSaid.org
  • www.fltxt.com
  • www.12snap.com
  • www.textually.org
  • Charities Technology Trust www.ctt.org
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