Developing a Relationship Management System
Presented by:Jennifer Filla
July 10, 2014
1:00 – 2:30 p.m. Eastern Noon – 1:30 p.m. Central 11:00 a.m. – 12:30 p.m. Mountain 10:00 –11:30 a.m. Pacific 9:00 – 10:30 a.m. AlaskaAssociation of Fundraising Professionals
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The Association of Fundraising Professionals
WEB/AUDIOCONFERENCE 2014 July 10, 2014
Jennifer Filla
Developing a Relationship Management System
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was excited to transfer her skills. Now she leads Aspire Research Group,
ensuring that fundraising operations across the country have access to the
benefits of professional prospect research. She is a popular speaker and trainer
on using prospect research effectively.
Jen received a B.S. from Neumann University and is a member of the
Association for Professional Researchers for Advancement (APRA) and the
Association for Fundraising Professionals (AFP). She co-wrote with Helen Brown
the book,
Prospect Research for Fundraisers: The Essential Guide
, which is part
of the Wiley/AFP Fund Development Series. She is a former trustee of Habitat for
Humanity of Delaware County and The Center Foundation.
with Jen Filla
Aspire Research Group LLC
Jen Filla, President
Aspire Research Group LLC
Aspire Research Group assists organizations throughout the country that are...
• Concerned about finding the right prospects
At the end of this webinar, you should be able to...
1. Explain the three main parts
2. Name the fundamental pieces
3. Get started creating (or tweaking)
Actions or Moves Ratings
solid prospect management programs.
Organizations that seemingly out-raise their
potential have dedicated systems focused on their
constituents. The entire organization revolves
around the prospect relationship.
-Joshua Birkholz in Fundraising Analytics: Using Data to Guide Strategy
•
No urgency to reach goals (what goals?)
•
Spend your scarce time with those who can’t give
In your office, does everyone know what actions lead to a major gift?
1. Yes! We have agreed on a few simple, clear actions.
2. Yes! But we have more than 5 types of actions to be tracked. 3. No. Actions? Is that the same
as sending mail appeals?
•
Phone calls
•
Face to Face Visits
And those other things...
•
Benevon Point of Entry
Tours
•
Corporate and
Foundation Relations
Actions or Moves Ratings ReportsIt’s an action if one of these
happened:
•
Outcomes met the purpose
•
Advanced the prospect
relationship
•
Something new was learned
•
Contact resulted in a next
step
Credit: Lisa Howley at Johns Hopkins
Actions or Moves Ratings Reports
•
Assign numbers
•
Look at past
performance and/or
track and then evaluate
•
Incorporate into your
staff performance
outcomes
Actions or Moves Ratings ReportsGift Asked Gift Made
Months between 1st action & gift
# of F2F Visits # of Phone Calls $100,000 $50,000 18 3 5 $1 MM $1.5 MM 24 15 23 $500,000 $500,000 19 5 10 Average (Mean) 20 8 13
Remember Mean – Median – Mode?
Does your leadership use the reporting from your Relationship Management System to make decisions or otherwise take action?
1. Yes! We know if we are going to meet our fundraising goals. 2. No. Reports? What reports? 3. System? We don’t have a
•
Actions
•
Prospect Review
•
Leadership Review
Actions or Moves Ratings Reports•
Daily, weekly, monthly
•
Whatever works to make
sure you take the action
•
Every prospect assigned to a
staff member should have an
action in the future
Actions or Moves Ratings
•
In-person meeting
•
Review all prospects in pool
•
Review prospects that
haven’t moved
•
Discuss obstacles
•
Assign new prospects
•
Do NOT make this a recitation
of visits made!
•
Should be one-hour or less
Actions or Moves Ratings
Reports
Who What Jan Feb Mar
DD Face to Face Visits 5 10 15
DD Phone Calls 30 25 40
ED Face to Face Visits 2 5 4
As of: Successful Solicitation % of Goal Planned Solicitation Total Solicitation % of Goal Campaign Goal for FY2013 6/11/2013 $125,000 50% $285,000 $410,000 164% $250,000
Has your fundraising office had the donor database screened for wealth?
1. Yes! We used a vendor and the ratings are in the database. 2. No. We have not had a wealth
• Using the term loosely – includes key fields for tracking
• Minimum fields: • Capacity
• Affinity/Inclination/Propensity • Readiness or Prospect Stage • Target Ask and Date
• Assigned staff Actions or Moves Ratings Reports Track Prioritize Report • Leadership Buy-In
• Policies and procedures
• Tied to Performance
• If your executive director refuses to enter any call reports...
• If leadership doesn’t want it, staff accountability suffers
Policy solves problems like these:
• Multiple interpretations of terms
• Confusion over who is responsible
• How to solve disputes
Procedures solves problems like these:
• Staff leaves and new person has no idea how to enter a contact report
• Staff with only partial role forgets what to do
• Gift officers must be evaluated on specific action and other goals
• “If it’s not in the database, it didn’t happen”
• “If it’s not in the database, it didn’t happen”
• As much as possible, reports should print right from the database
•
Small local food bank
•
Community hospital
•
University with multiple schools
Reports
Ratings
Actions
• Daily actiondashboard
• Monthly action report that gets reviewed weekly in a 20-min impromptu • Quarterly prospect review • Executive review of dollar goal • Casual performance review from monthly
• RFM score
• Capacity
• Solicitation status
• Proposal – target ask; target ask date; gift amount
• Assigned staff
• Tracking face to face, calls and tours • Description of what happened – no special format • Always a future action (prospect review helps)
Reports
Ratings
Actions
• Daily action dashboard • Monthly prospect review meeting • VP review of $$ and performance (3 reports) • Annual performance reviews • Capacity rating • Affinity score • Prospect stage • Prospect type • Proposal – target ask; target ask date; gift amount; gift type • Assigned staff • Assigned board member • Tracking face to face, calls, stewardship • Description of what happened – no special format • Always a future actionReports
Ratings
Actions
• Dashboard withactions & key metrics
• Weekly action & performance report reviewed with supervisor • Monthly prospect review meeting • VP review of $$ and performance for each school • Quarterly performance reviews • Capacity rating • Affinity score • Inclination score • Internal Score • Prospect stage • Prospect readiness • Prospect type • Proposal – target ask; target ask date; gift amount; gift type
• Assigned primary and secondary staff
• Assigned volunteer • Tracking all actions attached to major gift proposal by type • Specific format • Always a future action
Take Action!
• Leadership: Do you need it? Does leadership want it? Will staff be held accountable for performance?
• Actions/Moves: Sketch a flow chart for your major gift cycle. Turn that into a first draft of your relationship management policy. • Infrastructure: Can your database handle
what you need? Are additional modules available? Do you have the manpower for the roles you describe in your policy?
Jennifer Filla
Aspire Research Group
[email protected] Twitter: @jenfilla
Andrew Welkley Product Marketing Manager
@blackbaud
Your Guide to the Donor Experience
As people have evolved, so have their fundraising preferences and expectations. The Constituent Lifecycle, the latest eBook from Blackbaud, breaks the lifecycle of a constituent into four steps, identifying strategies you can apply to connect with and engage supporters in today’s digital world. www.blackbaud.com/desktopreference
For a listing of the 2014 AFP Webinar Series, please visit our website at www.afpnet.org in the professional development section.
Coming Next….
July 22, 2014 1:00 – 2:30 p.m. ET
Building Donor Loyalty: How to
Double Your Major Gift Revenue
The 3 Gears in Motion
1.
Actions or Moves
• Actual calls and face-to-face visits with prospects • This is the largest piece in terms of time, energy and
resources
2.
Ratings
• Ratings prioritize your list and keep you focused on those who are most willing and capable
• Ratings are the items you track so that you can measure your progress and might include:
o Capacity
o Affinity and Inclination o Readiness or Prospect Stage o Target Ask and Target Ask Date
3.
Reports
• Actions – Frequent or daily report to keep on top of and count the actions that matter most • Prospect Review – Report that allows you to regularly review the assigned donor pool • Executive Review – Report that demonstrates your team’s progress toward goal at a glance
Super User Tips
Lisa Howley, Director of Relationship Management at Johns Hopkins Institutions, uses a clear definition of an action you may wish to adopt at your organization. An action must meet one of the following criteria:
• Outcomes met the purpose
• Advanced the prospect relationship • Something new was learned
• Contact resulted in a next step
In his book, Fundraising Analytics: Using Data to Guide Strategy, Joshua Birkholz calls upon his years and experience as a consultant to make the following statement:
Actions or Moves Ratings
Remember that creating and implementing a prospect tracking system will create more work for your team. It means recording information and meeting and reviewing regularly to be sure you are on track. The goal is to turn that extra effort into stronger performance - more and larger gifts. A tight focus on prospects should also begin to shorten the time between identification and solicitation.
Keep prospect review meetings to under two hours and set the agenda to match the need. For example, if gift officers are not moving highly rated prospects, set the agenda to review specific prospects. As you near the end of the third quarter, you might want to set the agenda to review all solicitations scheduled to close in the fiscal year.
In her book, A Kaleidoscope of Prospect Development: The Shapes and Shades of Major Donor Prospecting, Bobbie J. Strand tells us the following:
Prospect management meetings are intended (and, therefore, should be designed) to bring development staff together in a routine and systematic fashion so that they can:
• Build skills and share insights
• Discuss management issues they may have with new or assigned prospects
• Share and review prospect information
• Assign management for strategic plans and actions
• Track individual prospect and overall fundraising progress
Whether you are planning a new prospect tracking system or re-structuring an existing system, be sure to set aside enough time to think it through carefully and test it out with staff member feedback. Any system you implement needs to work both in the database and with every staff member who must interact with it.
Get leadership to weigh-in early on about what is most important to know. What questions do they want to have answered about prospects? If you are in a small development office you may find that you can work well answering a few key items about your prospect pool. If you are in a very large office
Rank your current Relationship Management system from 1 to 10 on the line for each area. 1 is the center of the circle and 10 is the outside of the circle by the words.
What works well in your Relationship Management system?
What needs to be changed?
Is your system too simple or too complicated to raise productivity?
Actions
Proposals
Ratings
Action
Reports
Executive
Review
Clean
Data
Urgency /
Commitment
Prospect
Review
Relationship Management Policies
University of Chicago, Prospect Management Process & Policy Guidelines (2011)
https://griffinhelp.uchicago.edu/griffinhelp/Policy%20%20Procudure%20Documents/UniversityPMPolicy-4-28-2011.pdf
University of Washington, University Advancement, Relationship Management Policy (2011)
https://depts.washington.edu/uwadv/wp-content/uploads/2011/10/University-of-Washington-CURRENT-Relationship-Management-Policy.pdf
University of Southern California, University Advancement, Relationship Management Policies
and Procedures (2011)
http://www.usc.edu/advancement/pdfs/RMATS/USC%20RMATS%20Policies-and-Procedures.pdf
RMIT University (Australia), Donor Relationship Management Procedures (2012)
http://www.rmit.edu.au/browse;ID=s1nwtrxxa1fu
4 essential elements of relationship management (Lisa Howley), The NonProfit Times (2011)
Rating Term: “Capacity” “Wealth” “Ability”
What it is: The largest dollar range within which the prospect is capable of giving
Who does it: Usually determined through research such as a wealth screening, peer review, or a profile
What it might look like: $1 million+
$500,000-$999,999 $50,000-$499,000 $5,000-$49,999
Rating Term: “Inclination” “Propensity”
What it is: Past giving to you or other organizations, private foundation giving, and volunteer and leadership positions; also known as philanthropic inclination
Who does it: Usually determined through research; might become known through conversation or news interviews with the prospect
What it might look like: Donor to us - Donor to us and others - Donor to others - Non-donor
Rating Term: “Affinity”
What it is: How close the prospect is to your organization (e.g., trustees are very close and someone who has no contact with you is not close)
Who does it: Can be determined by indicators in your database (e.g., event attendance, consecutive giving, volunteering, etc.) and through personal contact with the prospect
What it might look like: Insider - Active - Inactive - Distant
Rating Term: “Readiness” “Prospect Stage”
What it is: How ready the prospect is to make a gift; what stage of the gift cycle is s/he in
Who does it: Usually determined by the person who is interacting directly with the prospect or based on that Could this fit your
I was a participant in the AFP Webinar held
July 10, 2014
1:00 – 2:30 PM Eastern
Developing a Relationship Management System
Presented by:
Jennifer Filla
Full participation in this session is applicable for 1.5 points in Category 1.B – Education of the CFRE International application for initial certification and/or recertification.
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Developing a Relationship Management System
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