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[ASK AN EXPERT] How Important Is It To Promptly Acknowledge Receipt Of A Supporter’s Input?
Be it money, advice or some other offer of help?
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Our Ask An Expert series features real questions answered by Claire Axelrad, J.D., CFRE, our very own Fundraising Coach, also known as Charity Clairity. Today’s question comes from a nonprofit supporter who wants advice on how and when organizations should acknowledge nonprofit supporter input:
Dear Charity Clairity,
As a major supporter at a number of charities, I’m becoming increasingly frustrated with the dismal lack of personal interaction I have with these organizations. It’s perhaps most manifest by what I consider inappropriate acknowledgement of receipt. If I take the time to make a monetary gift, offer community feedback, or even send along a useful article from an expert like you, I expect someone to react and interact with me. Show me you noticed! Just something to make me feel there are real people who see me and care about the support I’m offering. Something that reassures me my gift was appreciated, and did not fall into a black hole. Often I’m testing organizations while I consider whether to become more or less involved. When I make a four or five-figure gift, I’d appreciate hearing directly from a board member. By phone. To me, it’s ridiculous how reluctant they are to make a personal connection. Even if I reach out, I don’t get a reply. Isn’t it part of the role of a board member to make friends with people who care about the organization? I’d love to get to know the organization better, and it goes both ways. If the “exchange” is all one-way, they’re not getting my money. And they’re not going into my estate plan. Do these nonprofits even realize that by not reaching out, even minimally, they’re leaving money on the table?
— Very Frustrated. Why is This Happening?
Dear Very Frustrated,
There are three perspectives from which to look at this, so allow me to take them one at a time.
Wearing the donor hat
I feel your pain! Your complaint is not uncommon, and I’ve felt it myself. There’s nothing wrong with wanting a response so you know your gift has been received and appreciated. Maimonides talked about the 8-step ladder of giving. While the top rungs may have been giving anonymously, with no requirement of acknowledgement, there were plenty of other rungs – and all of them count as meaningful. Generosity, and its rewards, is complicated.
The most successful charities tap into donor motivations for giving, of which there are many. In the times in which we live, giving is often manifest as part of an existential search for meaning. This quest is short-circuited when the gift is not promptly and personally acknowledged. We know this from researchers like Penelope Burk (author of Donor-Centered Fundraising), who found in study after study across the U.S. and Canada that what donors most wanted was for the charity to “show me that you know me.” Here are a few direct quotes:
“There were two instances this year where I made gifts over and above what I had intended and they both involved personal contact from someone in the development office (director or gifts officer). Being thanked for my previous gift was much more persuasive than receiving multiple emails and direct mail letters.”
“What my friends and I talk about is how donors who make smaller gifts are dismissed as unimportant.”
“I am very impressed with their follow-up. To have the organization thank me and explain how the dollars were used WITHOUT asking for more money actually made me want to give more.”
You’re in good company.
Wearing the board member hat
There’s nothing more important for board members to do than lead. Yet, people aren’t born knowing the role of a nonprofit board member. Nor do they learn it in school. They learn it on the job. If they’re lucky, they learn it from more seasoned board members who have good experience with fundraising and relationship building. If they don’t have any of those, they need to rely on staff to teach them. Alas, too many charities don’t support their board members in their important role. This makes it easy for board members to sit back.
Assigning blame is easy. Often I hear from staff that “board members don’t do enough.” At the same organization, board members tell me “staff never ask us to do anything specific.” Hmm…
Like you, other donors may want to blame board members for not reaching out to them. But, where does the buck really stop?
Wearing the staff hat
I say the buck stops, and begins, with staff. At the top. With the culture established by the executive director. If this individual does not understand the importance of donor stewardship, the rest of the organization is unlikely to make up for this deficiency.
A terrific development director can move the needle. But, I’ve certainly been in that role, told my ED we needed to get donor acknowledgements out more quickly, and been told that two weeks was perfectly fine.
Of course, it’s not. We live in a world where Amazon can send people what they order overnight. Folks expect nonprofits to be able to say thank you within that time frame. But, that’s the bare minimum.
I counsel nonprofits to do the following:
- Always promptly acknowledge receipt. This applies, even if the donor just offered advice. Let them know you heard them.
- If the donor gave a remarkable gift, give them a remarkable response. What’s remarkable for any given charity or donor will vary, but give it some thought and develop a written plan. For example, I like to call donors who give an above-average size first-time gift (this could be $100, $250 or more). I also like to have the executive director call all major donors (this should generally be $1,000+, and this holds true even if your organization receives lots of five, six and seven figure gifts). Why? Any gift of this size shows the donor truly values your work, and may have the capacity to give more.
- Respond as personally as possible. Think about the ways you get close to your friends. It’s probably not through automated emails. Being face-to-face or voice-to-voice with someone creates a stronger connection than mere paper communication. If you can’t phone or meet personally, try texting a quick video of yourself saying thank you.
- Ask donors if there are other ways they’d like to be involved. You can even ask them if they’d like to meet with a board member. This gives you a great assignment to make to your board, and it generally draws them closer to your organization as well.
- Assign thank-you calls to board members. Do this in addition to making prompt staff calls when the gift is received. I’ve found they love doing this, and it has the added benefit of getting them comfortable talking with donors (and on a path to becoming more comfortable with fundraising). Whenever I’ve done this, after a while folks actually asked me to give them these calls!
Let’s review
Donors give for many reasons. If it helps further the mission, each reason is a good one. It’s not for anyone else to judge their motivations. Or to deny them the meaning they seek in exchange. 70% of donors would increase their philanthropy if they received what they needed from charities (Penelope Burk, Donor-Centered Fundraising).
Boards have an important leadership role. Someone has to assume the responsibility for donor relations. Maybe this is the board chair or development committee chair. Fundraising should be on the agenda at every board meeting. Opportunities and strategies for acquiring, retaining, and upgrading donors should be discussed.
Staff have an equally important leadership role. Since they are paid (unlike board members), it truly is their job to assure everyone in the organization is on board with the importance of philanthropy in fulfilling their vision and mission.
As you suggest, true friend raising is very personal. When a donor declares their friendship, the board and staff have a job to (1) at the very least notice, and then (2) do something to show they noticed. Here are other examples of relationship-building action steps.
What about thinking about this in terms of the Golden Rule? This requires staff and board to empathize with supporters, focusing on the ways they can better connect with them. Do for all others, both directly and indirectly, what you would want done for you.
I am sorry you are frustrated. I hope nonprofit leaders read this and think harder about coming from a place of love.
— Charity Clairity (Please use a pseudonym if you prefer to be anonymous when you submit your own question, like “Very Frustrated” did.)
How and when do you acknowledge nonprofit supporter input? Let us know in the comments.
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