A CASE study of the University of Sheffield over the last nine years – focusing on philanthropy Miles Stevenson Director of Development The University of Sheffield, United Kingdom 9 th March 2011

09/05/2015© The University of Sheffield / Department of Marketing and Communications I aim to cover … How we built a Development and Alumni Relations office Using Sheffield as a case study – successes, achievements and lessons Questions and discussion

09/05/2015© The University of Sheffield / Department of Marketing and Communications The University of Sheffield Founded in 1905

09/05/2015© The University of Sheffield / Department of Marketing and Communications 5 June 2002

09/05/2015© The University of Sheffield / Department of Marketing and Communications 18 November 2011

09/05/2015© The University of Sheffield / Department of Marketing and Communications Building a pipeline A good team

09/05/2015© The University of Sheffield / Department of Marketing and Communications 7 Andrew Carnegie (1835–1919) “The rich man who dies rich dies disgraced.” “I resolved to stop accumulating and begin the infinitely more serious and difficult task of wise distribution.”

09/05/2015© The University of Sheffield / Department of Marketing and Communications Our aim was to create … a successful office which built a strong alumni family and brand supported my Vice- Chancellor Helped Sheffield enthused supporters and raised money Marco Van Basten

09/05/2015© The University of Sheffield / Department of Marketing and Communications Your University is sceptical/nervous Can it succeed? How much will it cost? Can you recruit good staff? Will you raise any support? Realistically, what can be achieved in the short- term? Is it essential?

09/05/2015© The University of Sheffield / Department of Marketing and Communications Confront The “B” word - Begging

09/05/2015© The University of Sheffield / Department of Marketing and Communications Fundraisers and fundraising?

09/05/2015© The University of Sheffield / Department of Marketing and Communications Institutional Audit 1 Check out the history – why haven’t they had one before? Who is the head of the institution? What is his/her (real) commitment? How much charisma? Unique selling points – if any What is the institution good at?

09/05/2015© The University of Sheffield / Department of Marketing and Communications Why Education is Important Ricketts – Penicillin – Viagra!

09/05/2015© The University of Sheffield / Department of Marketing and Communications Why Education is Important 2 Bailey Bridge – Stainless Steel – London Eye

09/05/2015© The University of Sheffield / Department of Marketing and Communications Institutional Audit 2 What resources are available? Are senior management keen? What is your reporting structure? How many alumni, how old, how famous? What is the appetite to do this? Any focus groups to test this? What other supporters exist?

09/05/2015© The University of Sheffield / Department of Marketing and Communications Institutional Audit 3 What does the institution really want? What are the expectations? How reasonable are these expectations?

09/05/2015© The University of Sheffield / Department of Marketing and Communications09/05/2015© The University of Sheffield / Department of Marketing and Communications Donors won’t pay for …

09/05/2015© The University of Sheffield / Department of Marketing and Communications The Strategic Plan A plan will involve the whole range of activity Prospect research, identification and cultivation Publications – e-bulletins Volunteers Events/Reunions Database Alumni Ambassadors Legacies/Major gifts Annual Fund Mailshots and tele-campaigns

09/05/2015© The University of Sheffield / Department of Marketing and Communications Basic Ingredients Database Time Direction Staff Backing from the top Training Energy and enthusiasm A budget

The University of Sheffield: a case study

09/05/2015© The University of Sheffield / Department of Marketing and Communications Sheffield

09/05/2015© The University of Sheffield / Department of Marketing and Communications09/05/2015© The University of Sheffield / Department of Marketing and Communications The University of Sheffield Founded in 1905

09/05/2015© The University of Sheffield / Department of Marketing and Communications Sheffield

09/05/2015© The University of Sheffield / Department of Marketing and Communications Back to 1984

09/05/2015© The University of Sheffield / Department of Marketing and Communications What went wrong?  Unrealistic expectations  Lack of commitment at the top  Ownership – “someone else will provide the money”  Parties and publications versus fundraising  Ever growing costs  No early successes = destroying confidence  Too much “choice” for donations  Alumni groups preserving independence  Staff not really believing in it - apologetic  Ultimately the cost – benefit ratio

09/05/2015© The University of Sheffield / Department of Marketing and Communications Starting point No one was asking No Development Office – so no co-ordination No thanking of existing donors = withering away No publicity to raise any awareness of why someone should give

09/05/2015© The University of Sheffield / Department of Marketing and Communications What did I do first? Scoping – pause for thought Database – expensive Questionnaire and research Internet site – with donation form Quality publications Fundraising priorities and plan Alumni Relations programme Agreed projects

09/05/2015© The University of Sheffield / Department of Marketing and Communications Public backing by Vice-Chancellor Talk to all heads of department on my second day Support from Vice- Chancellor Acknowledgment of difficulties Immediate expressions of interest

09/05/2015© The University of Sheffield / Department of Marketing and Communications Essential stakeholders You need key constituents on your team 1.Your Vice-Chancellor/your boss 2.The senior managers 3.Your staff 4.Your supporters/donors 5.The academic champions

09/05/2015© The University of Sheffield / Department of Marketing and Communications Building participation Leadership to agree on objectives Case for support Communication to departments and faculties Champions – internal and external Determine past and current supporters Find new supporters Create gift clubs and donor recognition points

09/05/2015© The University of Sheffield / Department of Marketing and Communications My starting point Some data – no database 1 ½ alumni relations staff No magazine – limited website 6 regular donors – c. £100 p.a. No organised fundraising But … evidence of philanthropy from the past

09/05/2015© The University of Sheffield / Department of Marketing and Communications Teams Database and Research Fundraising – Annual Fund Telephone and direct mail Fundraising – Projects Fundraising – Major Gifts Fundraising - Legacies Finance and Stewardship Alumni Relations

09/05/2015© The University of Sheffield / Department of Marketing and Communications Development and Alumni Relations Office Office established June 2002: To reconnect with alumni, staff and friends of the University To raise donations To build up endowments Now 17 staff

09/05/2015© The University of Sheffield / Department of Marketing and Communications Sowing the seeds Alumni Relations prepares the ground for increased reputation, brand recognition, better recruitment and ultimately donations. Don’t treat alumni as a “cash cow”

09/05/2015© The University of Sheffield / Department of Marketing and Communications Ordinary alumni?

09/05/2015© The University of Sheffield / Department of Marketing and Communications Now worth $73 billion (ish)

09/05/2015© The University of Sheffield / Department of Marketing and Communications William Squire You need processes You need a little luck You can create luck You don’t need to convert everyone

09/05/2015© The University of Sheffield / Department of Marketing and Communications09/05/2015© The University of Sheffield / Department of Marketing and Communications 38 My first donor People invest in success

Our Alumni Former students, staff and friends 130,000 +

09/05/2015© The University of Sheffield / Department of Marketing and Communications Hard and soft benefits Word of Mouth Donations Reputation Speakers

09/05/2015© The University of Sheffield / Department of Marketing and Communications Famous Alumni David Blunkett, Sir Harry Kroto, Sir Richard Roberts, Eddie Izzard

09/05/2015© The University of Sheffield / Department of Marketing and Communications Addressable Alumni (02/02/2009) 09/05/2015© The University of Sheffield / Department of Marketing and Communications Africa 1,497 Russia & Central Asia - 28 Europe 9,546 Middle East/Gulf 1,888 N. America 2,601 S. America 338 S. Asia 1,194 S.E. Asia 5,345 E. Asia 4,580 Caribbea n 443 Australasia 849 UK 98,308

09/05/2015© The University of Sheffield / Department of Marketing and Communications Alumni Publications

09/05/2015© The University of Sheffield / Department of Marketing and Communications Building the communications Your Alumni Magazine Establish a brand identity Make it interesting – not just propaganda! Regular publishing Ensure a mention of philanthropy/beneficiaries Your Website Websites do not replace magazines – they complement them Websites can provide information/new/services Use it to collect information - link to your database

09/05/2015© The University of Sheffield / Department of Marketing and Communications Building the communications 2 Donor Publications Donor newsletter – validates and motivates Legacy/Bequest guide – important to attain big gifts (Amsterdam example) Guides to giving – avoid one size fits all – tailor each one Project/Campaign publications – avoid over- reliance on expensive productions

09/05/2015© The University of Sheffield / Department of Marketing and Communications09/05/2015© The University of Sheffield / Department of Marketing and Communications 46 Sort out publicity! You need to start working on all your audiences immediately – every medium Switchboard Home web page Donation Form Cases for giving You need a success story

09/05/2015© The University of Sheffield / Department of Marketing and Communications Centenary DVD to 25,000

09/05/2015© The University of Sheffield / Department of Marketing and Communications09/05/2015© The University of Sheffield / Department of Marketing and Communications 48 Make your gift first! The number one rule … If you can’t persuade yourself, you won’t persuade anyone Gifts that “hurt” – not token gifts All part of the training

09/05/2015© The University of Sheffield / Department of Marketing and Communications Gift Clubs

09/05/2015© The University of Sheffield / Department of Marketing and Communications Building the processes Stewardship Effective mechanisms to thank supporters Effective mechanisms to recognise supporters Regular cultivation devices Validation tools (newsletter) Thank, thank, THANK - Ευχαριστώ Your most likely future donor is a past donor

09/05/2015© The University of Sheffield / Department of Marketing and Communications Saying thank you

09/05/2015© The University of Sheffield / Department of Marketing and Communications Recognition

09/05/2015© The University of Sheffield / Department of Marketing and Communications Building the processes 2 Your database The database is your most important resource – it is crucial for “corporate memory” Buy an “off the shelf model” – resist in-house designs Send out questionnaires Link your website to the database Use it to record information, gifts, stewardship and events Track and record affinity - attendance

09/05/2015© The University of Sheffield / Department of Marketing and Communications Building the processes 3 Prospect Management Build a prospect identification process Establish rigorous and thorough prospect cultivation and tracking processes Prospect profiles, meeting reports and data collection methods Programme of prospect cultivation meetings Prepare ways to invite prospects back (dinners, lectures, careers advice, mentor)

09/05/2015© The University of Sheffield / Department of Marketing and Communications Building the processes 4 Finance and gift tracking Make friends with the Finance Office or Bursar Clear guidelines for responsibility and actions Appropriate gift aid reclamation processes Agreement on who deals with general donations Agreement on who deals with bequests/queries When gifts go wrong – the £1 million bounced cheque

09/05/2015© The University of Sheffield / Department of Marketing and Communications Visibility The Development Office must be visible People must be able to find this office – and quickly You need to know all tax issues and documentation perfectly You must inspire trust and confidence – some people are actually just “testing” you

09/05/2015© The University of Sheffield / Department of Marketing and Communications Defining targets Set time frame over next 4 – 5 years “10p to gain £1” or 20p or 30p … Establish key stages when budget/staff can be increased Track and measure donations and legacy pledges Improve accuracy of database (fewer returns) Improve database content ( s, phone numbers) Growth in number of donors and value of gifts

09/05/2015© The University of Sheffield / Department of Marketing and Communications You must also have non-financial measureables Get measuring

09/05/2015© The University of Sheffield / Department of Marketing and Communications Some recent successes at Sheffield

09/05/2015© The University of Sheffield / Department of Marketing and Communications Gifts and Pledges  £ 24 million raised since 2002  Funds raised for every faculty  9,500 donors  c. 90% of the gifts were “ untied ”  431 legacies confirmed

09/05/2015© The University of Sheffield / Department of Marketing and Communications09/05/2015© The University of Sheffield / Department of Marketing and Communications 61 SITraN It is the research that counts …

09/05/2015© The University of Sheffield / Department of Marketing and Communications Opportunity does come knocking

09/05/2015© The University of Sheffield / Department of Marketing and Communications09/05/2015© The University of Sheffield / Department of Marketing and Communications 63 Exhibition Space

09/05/2015© The University of Sheffield / Department of Marketing and Communications09/05/2015© The University of Sheffield / Department of Marketing and Communications 64 Pro Bono Law

09/05/2015© The University of Sheffield / Department of Marketing and Communications09/05/2015© The University of Sheffield / Department of Marketing and Communications Scholarships

09/05/2015© The University of Sheffield / Department of Marketing and Communications The Alumni Foundation

09/05/2015© The University of Sheffield / Department of Marketing and Communications Legacy figures 431 confirmations that Sheffield is remembered in a will A further 1,370 people have requested a legacy brochure Since 2000, we have received legacies from 43 individuals worth: £3,395,776

09/05/2015© The University of Sheffield / Department of Marketing and Communications You MUST … 1. Believe in the cause – this will give you conviction and passion 2. Make your own gift – you can look the donor in the eye 3. Get out of the office and meet people

09/05/2015© The University of Sheffield / Department of Marketing and Communications You MUST … 1.Know your University inside out – history, facts, achievements 2. Identify what makes your University special – its U.S.P. (Unique selling point/s) 3. Win the trust (and time) of the senior management and academics

09/05/2015© The University of Sheffield / Department of Marketing and Communications You MUST … 1. Have good “saleable” projects – on two sides of paper! 2. Put these through a vigorous testing 3. Identify and research who might support you 4. Get out and “sell”

09/05/2015© The University of Sheffield / Department of Marketing and Communications Managing expectations

09/05/2015© The University of Sheffield / Department of Marketing and Communications You will need … Process Staff and resources Early successes Steady nerves Belief in the cause Patience And a bit of luck

09/05/2015© The University of Sheffield / Department of Marketing and Communications Short-term gains versus long-term planning “We build long-term fundraising relationships in institutions that think short-term.” Scott Nichols Harvard Law School

Discussion and Questions