1. Building A Successful Major Gifts Program
Jamie Phillippe, CFRE
Non-Profit Executive Program
University of Notre Dame
November 8, 2012

2. LEARNING OBJECTIVES Utilize the “cycle of donor relations”
Participants will learn how to:
Utilize the “cycle of donor relations”
Create a cultivation plan
Create solicitation strategies based on donor motivation
Conduct a face to face solicitation
Maximize gift results
Verbally state the learning objectives
FOLLOWING LEARNING OBJECTIVES:
Ask the class how much money they might guess was given philanthropically in the United States this past year. Let them guess at it for a little while. AND ask them what percentage of that they think came from individuals versus corporations or foundations.
Put up the AAFRC/Giving USA slide showing total giving divided by sources. Emphasize that today’s course is primarily focused on major gifts from individuals because that is where the money is, not with corporations and foundations. I usually ask how many of them have boards who believe that corporations and foundations will be our saviors. There usually is some consensus in the room. I explain where this research comes from, that they can obtain it and use it with their boards as training and education.
Then put up the overhead showing total giving by purpose. Review it briefly. Then hand out the paper copies of the pie charts.

3. Difference Between Annual Gifts and Major Gifts
Given each year and can range from $10 to $1,000
Often given as a one-time commitment of significant resources
Given from current income
Given from capital assets- appreciated which save on capital gains tax
Motivated essentially from “general loyalty” to institution and often unrestricted
Stimulated by donor’s interest in a specific program and therefore often restricted

4. Difference Between Annual Gifts and Major Gifts (cont.)
Solicited on a cyclical basis, against a short-term deadline and process is repeated each year
Timetable dictated in part by donor’s financial circumstances and therefore has a wide time range
Volunteers handle many more prospects at a time and often “close the deal” on their own
Volunteers work on one or two prospects at a time, supported by a wide range of institutional resources: CEO, chief fundraiser; etc.
Made out of interest & involvement
Made out of deep commitment

5. Key Points to Remember in Major Gift Work
Average length of time to get a "cold" prospect to the point of making the gift they are capable of making is ________.
People make major gifts out of a sense of engagement and involvement.
People give for emotional reasons - later they find the rationale to support their emotions.
The first bullet, “Average length of time to get a “cold” prospect to the point of making the gift they are capable of making is ______” ANSWER: months. Then discuss the importance of this length of time and what it means to overall fund raising efforts.

6. Key Points to Remember in Major Gift Work (cont.)
Do not talk about the needs of your organization - instead talk about the need in society and how your organization addresses that need or problem.
Listen to the donor's needs and interests.
Talk the language of the prospects, rather than institutional or programmatic jargon.

7. CYCLE OF DONOR RELATIONS
Identification Research
Cultivation
Solicitation
Stewardship
Acknowledgement

8. CULTIVATION
Cultivation is the process by which you involve and engage the prospect in your organization and its mission to the point that they want to make a significant investment.

9. Brainstorm cultivation opportunities
Step #4: Involving the Prospect. Use the flip chart to brainstorm ways to cultivate a prospect.

10. The Five I’s of Fund Raising
Before making a major gift to a campaign, each
prospect passes through five phases of interest.
“Cultivation” is the process by which prospects are
led through the phases.

11. Identified: First, the constituent is identified as a donor
prospect. For a major donor prospect, those
leading the campaign should learn about the
prospect’s gift potential, level of interest, contacts
among other constituents, etc.

12. Informed: Once identified as a prospect, the individual
must be fully informed of the organization’s
distinctiveness, place in the community, history
of success and funding needs. This takes place
through repeated personal visits from the
President and volunteers, informative special
events and publications such as mailings,
newsletters and fact sheets.

13. Interested: Once informed, prospects are then helped to
decide that the project is important to them.
When the prospect begins to react to the
information he/she has received--asking
questions, making comments, offering
suggestions--it is clear that he/she is ready to be
involved in the fund raising program.

14. Involved: Interested prospects are invited to take some
action in support of the fund raising effort. By
attending a meeting, making some calls, giving
input on the project, co-hosting a social
gathering, joining a committee, agreeing to help
solicit, etc., the prospect signals that he/she is
personally committed to the success of the
organization.

15. Invested: After a prospect is clearly committed to the
project, then he/she should be asked to invest
financial support. If the prospect has really
passed through all of the phases, then he/she
will participate financially to the limit of his/her
potential and interest. If the prospect is rushed
through the process, the gift is bound to be
smaller than it might have been.

16. CYCLE OF DONOR RELATIONS
Identification Research
Cultivation
Solicitation
Stewardship
Acknowledgement

17. Best to have a team of two solicitors
Determine in advance which of the two solicitors will ASK FOR THE GIFT
Have a specific dollar amount in mind
Helpful words to use:
"consider"
"join me"
The Ask may be either in the form of a question or a statement
Be quiet after the Ask!!!!

18. Be prepared with a fall-back position, just in case
Do NOT leave pledge card
Verbally outline next steps
Close meeting graciously
Send "thank you note" for their time and consideration, even if they have not yet given you their answer

20. The Solicitation Visit
Set the meeting
Prepare for the meeting
The meeting
Opening
The presentation
Questions and comments
Move to the prospect specific
The “ask”
Prospect reactions
Establish next steps
Follow-up
Systems

21. Closing the Solicitation
Follow-up as agreed upon in meeting
Keep to the time frame
Send letter acknowledging their pledge
Enclose pledge card and return envelope with acknowledgment
Inform other solicitors of results

22. CYCLE OF DONOR RELATIONS
Identification Research
Cultivation
Solicitation
Stewardship
Acknowledgement

23. Post-Solicitation Follow-Up
Continue to steward the relationship
Insures fulfillment of pledge
Will lead the donor to give again in future years
Always easier to retain existing donors than to acquire new donors

24. STEWARDSHIP Acknowledgement Fulfillment of obligation Reporting
Recognition
Cultivation

25. CYCLE OF DONOR RELATIONS
Identification Research
Cultivation
Solicitation
Stewardship
Acknowledgement

26. The Seven Faces Of Philanthropy By Russ Prince and Karen File
THE ALTRUIST: Doing Good Feels Right THE REPAYER: Doing Good in Return THE DYNAST: Doing Good is a Family Tradition

27. The Seven Faces of Philanthropy (cont.)
THE COMMUNITARIANS: Doing Good Makes Good Sense THE INVESTOR: Doing Good is Good Business THE SOCIALITE: Doing Good is Fun THE DEVOUT: Going Good is God’s Will

28. The Seven Face of Philanthropy

29. LEARNING OBJECTIVES Utilize the “cycle of donor relations”
Participants will learn how to:
Utilize the “cycle of donor relations”
Create a cultivation plan
Create solicitation strategies based on donor motivation
Conduct a face to face solicitation
Maximize gift results
Verbally state the learning objectives
FOLLOWING LEARNING OBJECTIVES:
Ask the class how much money they might guess was given philanthropically in the United States this past year. Let them guess at it for a little while. AND ask them what percentage of that they think came from individuals versus corporations or foundations.
Put up the AAFRC/Giving USA slide showing total giving divided by sources. Emphasize that today’s course is primarily focused on major gifts from individuals because that is where the money is, not with corporations and foundations. I usually ask how many of them have boards who believe that corporations and foundations will be our saviors. There usually is some consensus in the room. I explain where this research comes from, that they can obtain it and use it with their boards as training and education.
Then put up the overhead showing total giving by purpose. Review it briefly. Then hand out the paper copies of the pie charts.