Understanding Nonprofit Donors’ Preferred Types, Qualities and Sources of Information

I was happy to speak to a sold-out crowd of 60 nonprofit professionals last week about how to reach out to potential donors based on the information they are interested in, not just what nonprofit organizations want to send them.

Discussing nonprofit donor information preferences at
the GVSU Johnson Center for Philanthropy.

The presentation was at the GVSU Johnson Center for Philanthropy, as part of its “Brown Bag Lunch and Learn” series.

I was sharing data and information from my chapter “Nonprofit Financial Communication: Donors’ Preferred Information Types, Qualities and Sources.” The chapter is included in the recently published Handbook of Financial Communications and Investor Relations. The study of the information nonprofit donors seek is an extension of my research on individual investors when they are considering purchasing a stock: “The Value of Public Relations in Investor Relations: Individual Investors’ Preferred Information Types, Qualities and Sources”.

Attendees were interested in the results of my survey of a sample of 173 donors to a large community foundation. The book chapter includes a lot of statistical analysis of results (which can be read if you acquire the book via the link above). In the presentation I hit the high notes of practical take-aways about the types of information (i.e. content), qualities of information (ranging from length to tone and more) and the sources of information (meaning the people or communication tactics). The brief results are as follows:

Top preferred types of information:

  1. Mission of the organization
  2. Impact of the organization and the donations received
  3. Where money is spent by category
  4. Location of organization (local, regional or national)
Top preferred qualities of information:
  1. Personalized appeal
  2. Focused on organizational need
  3. Stressing a specific giving opportunity versus general gift to organization
  4. Focused more on results of organizational work vs its need for support
Top preferred sources of information:
  1. The organization’s web site
  2. The organization’s newsletter
  3. Other donors (i.e. word of mouth)
  4. The organization’s annual report
  5. Conversations with staff of the organization (ie interpersonal)
It is interesting to note that the news media does not rank highly in the responses of donors as a source of information for donors to nonprofits. Media relations and publicity are helpful, but it turns out not the most persuasive form of communication strategy when trying to gain attention and raise funds. The news media was valued, but came in after other sources of information when donors were asked what was the “most useful” source of information and presented with people and organizations, not tactics. Their response in order of preference was:
  1. The nonprofit organization itself
  2. Other donors
  3. A charity expert (such as a financial planner)
  4. The news media
When so many people confuse “PR” for publicity, it is important to note that the strategic communications and relationship building aspects of public relations–the real root of the profession–are most effective in the minds of donors.
In my study, and to a degree in my Johnson Center presentation, I went over the association of variables. In other words, when donors are looking for specific types of organizations, they look to specific sources. I also explained that when they want certain qualities of information they favor specific sources. These are illustrated in the latter slides in my presentation, which is available on my Slideshare page.
The room full of nonprofit pros had a good variety of questions and observations. In the end, the discussion showed that public relations, and nonprofit public relations and fundraising, is far more sophisticated and strategic than “getting the word out” or “just raising awareness.” Nearly everyone said they left with something specific they could apply back at the office, which made me more motivated when I got back to my office.

No-Show Events A Bow to Busy Culture

I recently received an invitation from an area non-profit organization that really caught my eye. It was for a ‘No-Show Gala.”

I was cordially invited “NOT to attend.”

“No need to hire a sitter. No meed to buy a new outfit. No need to remember how to tie a black tie. We’ve got NOTHING planned!” So went the hilarious copy.

Then, of course, came the response card.

“Don’t go out. Send it in.”

I loved it, partly because of the creativity. But also because it seemed to acknowledge a feeling that I have and suspect is not unique–I’m busy, I’m overwhelmed with invitations and requests to get involved and sponsor and support and attend.

In fact, a simple Google search on “no-show gala” yielded quite a few images of similar invitations. This is now what the young people call “a thing.”

As a  PR professional and professor, I know of the value and purpose of events. But my skeptical side often says, what a lot of hullabaloo when you’re really just asking for a donation. This latest direct mailer cut to the chase and I felt it was refreshing.

But it also is a cautionary tale. If people are so overwhelmed then it gets more and more challenging for PR pros to break through and not just get attention, but foster relationship and earn involvement and support.

So while this invitation I received acknowledges that society is busy, it also caves in to making the appeal a simple fiduciary relationship. And we all lose something there, something simple yet big. We lose a sense of meaning and human bonding. We lose the essence of PR–relationship.

My advice to non-profits and businesses and political candidates and others is to stop thinking of events as mass appeal and think of them as intimate opportunities. Also, stop thinking of events in terms of an occasion to make the case for a cause and use them as a venue to celebrate achieving it. Have interesting speakers, positive messages about what has been done. Make it feel-good, not fill-the-bucket.

People might then send it in later with greater feeling of connection, and possibly therefore in larger amounts. If you tell them “don’t go out” too many times they may just go away.