1. Presented by Kathleen E. Pavelka, CFRE, President, Telecomp, Inc. James B. Malezi, Annual Fund Officer, Washington & Jefferson College CASE II District Conference March xx, 2007 CREATING AN ALUMNI GIVING PLAN THAT WORKS

2. I. Start With Your Calendar Schedule solicitations to leverage your events Schedule solicitations to leverage your publications

3. II. Determine Segmentation Group prospects by their relationship to you allows you to speak to them uniquely allows you to plan solicitation frequency and timing Segmentation versus Fragmentation Segment should be: –meaningful to the potential donor –realistic in size for the solicitation method and timing –allow you to recognize their relationship –generate the appropriate results for the investment –have a specific objective

4. II. Determine Segmentation Segmentation versus Tracking Codes allows you to track smaller groups within your segments (or larger) Segmentation versus Restricted Giving allows you to appeal to their interest, but does not mean that you have to restrict their gift to their interest -- two separate and distinct issues Update Segmentation Annually based on their changing relationship with you

5. II. Determine Segmentation Common Segment: “Donors” Concern: Does not distinguish based on recency or consistency of gift. Does not distinguish between level of gift. Questions: Are some donors more important than others? Do you have a different objective for different donors? Would your solicitation method vary for different donors? Suggested Segmentation: Additional Considerations: LeadershipRestricted versus Unrestricted Donors Potential LeadershipSpecial Event Donors Lybunts (Prior Year Donors)Special Appeal Donors Lapsed ( 2 - 5 years out)Sponsors (walks, runs, etc.) Sybunts or Long Lapsed DonorsMemorial Donors

6. II. Determine Segmentation Sample Donor Objectives by Segment Leadership: Increased giving Potential Leadership: Increase gift to Leadership Level Renewing Donors: Increase gift by 30% or more Lapsed Donors:Reactivate giving; increasing may be secondary Long Lapsed/ Sybunts: Reactivate giving

7. Common Segment: “Non-Donors” Concern: Since it groups all non-donors together, does not allow you to recognize their relationship to you (other than they’re not giving) Does not allow variation in Case for Support, etc. Questions: What relationship does this non-donor have with you? Are some non-donors more important than others? Suggested Segmentation: ReunionFraternity/Sorority“Engaged” Young Alumni Degree versus No DegreeCampus Type of DegreeMajor (undergraduate versus graduate) Other Affiliation Event Attendees (athletes, for example) II. Determine Segmentation

8. III. Solicitation Method Three Primary Methods: –Face-to-Face »Volunteer »Staff –Telephone »Students (Paid or Volunteer) »Resource Partner (On v Off Campus) –Mail »Personalized »Non-Personalized –Other Methods: »Special Events »E-mail

9. III. Solicitation Method Determine which method(s) would be most effective for each segment, and the priority order BE REALISTIC –While personal solicitation might be most effective, it is very limited. Make sure you are realistic in the number of personal solicitations your institution is truly capable of making

10. III. Solicitation Method Make sure the investment is appropriate to the expected outcome

11. IV. Database Accuracy The U.S. Post Office estimates that 20% of the population moves each year. Regular updating is a MUST –NCOA (inexpensive and easy) –Address Correction Requested on all mailings (including alumni magazines and other general publications) –First Class mail, where appropriate –Telephone Number Research (computer matching and directory assistance) –Advanced search based on SSN and last known address

12. IV. Database Accuracy Investing in alumni with bad addresses or phone numbers wastes precious resources

13. V. Solicitation Opportunities Determine the number of opportunities for giving you will provide by segment Distinguish between first and second gifts General Rules of Thumb: –Solicit as long as each successive effort is cost effective –In direct mail, expect the successive effort to cut in half Suggested Opportunities per year: Leadership 3-5 Potential Leadership 5-8 Renewals 5-8 Lapsed Donors 3-5 Long-Lapsed / Non-Donors 1-2 Second Gift Appeal 1-2

14. V. Solicitation Opportunities The alumni called in the Spring were a subset of those called in the Fall Fall Telephone Solicitation Spring Telephone Solicitation FY ’05 Donors $100 - $99965%42% FY ’05 Donors $1 - $9942%34% Results of successive solicitations in a Telephone Outreach Program Fairleigh Dickinson University 2005-06 Annual Fund

15. V. Solicitation Opportunities The alumni called in the Spring were a subset of those called in the Fall Fall Telephone Solicitation Spring Telephone Solicitation FY ’05 Donors74%55% Results of successive solicitations in a Telephone Outreach Program Pace University 2005-06 Annual Fund

16. MEASURE EVERYTHING MEASURE EVERYTHING

17. VI. Measuring Success Set Overall Goals –Total Gift Income –Total Number of Donors –Renewal Rate –Increased Giving from Renewals –Retrieval Rate (Lapsed Donors) –Number of New Donors –Average Gift Set a specific target for each solicitation, by segment –Use historic performance –Use industry benchmarks Develop tracking system to measure your results against your expectations Adjust solicitation method and number of opportunities as needed

18. VII. Set the Calendar Based on the number and method of solicitations, set your calendar –Calendar year-end solicitation a MUST –Fiscal year-end solicitation a MUST (if different) Leverage special events, institutional activities and publications! –Homecoming, reunion, graduation, parents weekend, the start and end of classes each semester –Alumni magazine, class notes/newsletters –Athletic or other big “public” events

19. VIII. Set the Strategy Determine your basic strategy for this year’s Annual Fund (Case for Support; what’s our story this year) Determine variations on the basic strategy for successive solicitations (Albert Einstein said: Insanity is doing the same thing and expecting a different outcome) Tie in with other activities, publications, etc.

20. IX. Thank You Method and Frequency Determine method(s) that are appropriate –Handwritten note- Personal letter –Personalized form letter- Telephone Call –Receipt (not desired method for any donor) –E-mail- Other (flowers, candy) Determine who should thank the donor Determine how many times you wish to thank the donor (never worry that it is too many) Formal Recognition (Recognition v. Benefits)

21. X. Putting It All Together Create a Master Plan –Include Key Dates –Make it a Priority –Stick to it like GLUE –Adjust as necessary for performance reasons only!

22. Watch your program take off!!!!!!