Posts by Peter Panepento


March 16, 2009, 01:07 PM ET

What's on the Mind of Your Donors? Join Our Online Discussion Tomorrow

As the economy continues to struggle, many fund raisers are becoming more aggressive in their efforts to seek gifts from donors.

But for donors, many of whom are already facing tough choices about how to best direct their charitable contributions, the influx of appeals can be paralyzing.

The often wonder how best to make decisions and what questions to ask.

Donors will get a chance to get answers to these and other questions during a one-hour live discussion tomorrow (March 17) at noon Eastern time.

This event is a good opportunity for fund raisers to hear what’s on the minds of people who are deciding whether to support their causes. It’s also a chance for your donors to learn more about how to make decisions about their giving. Encourage your donors to participate in this discussion so they will learn more about how to make smart decisions about giving.

A full transcript...

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March 12, 2009, 05:09 PM ET

Talking to Donors About Obama's Charitable-Deduction Plan

How should fund raisers handle questions from major donors about President Obama’s proposal to lower the deduction wealthy taxpayers receive for donations to nonprofit groups?

In a discussion with Chronicle readers about Mr. Obama’s proposal, Bruce Flessner, a Minneapolis fund-raising consultant, offered three ideas:

Nothing is certain: “As we talk with individual donors, we should remind them that the proposals are still in the early stages,” Mr. Flessner said. “The tax rates have not changed and any proposal to change deductions is still being discussed.”

Focus on mission: “We know that they did not make their gifts for tax purposes but because they believe in our mission. We also know that they enjoyed the tax deduction and it may have helped motivate the size of the gifts and shape other financial decisions,” he said. “We hope we will continue to earn their respect, their...

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March 2, 2009, 11:31 AM ET

Ask Your Donors for Advice -- and Donations Will Follow

When Sam Prince is looking to make a connection with a potential new donor, he doesn’t begin with an ask for money.

Instead, Mr. Prince, director of development at Legal Aid of Northwest Texas, in Dallas, starts the relationship by asking for advice.

“You would be surprised at the people who will give you free advice (and their time). While asking for their advice, you can also feel them out for present or future giving,” Mr. Prince said in a recent live discussion the Chronicle held to help fund raisers learn the best ways to solicit individuals.

“But if you get them hooked on helping you solve a problem that doesn’t involve them writing a check, you have usually insured yourself of a check — the only question is how much and when.”

Have you tried this approach? If so, has it worked?

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March 2, 2009, 11:28 AM ET

The State of Corporate Philanthropy

Caroline Preston, a senior reporter at The Chronicle of Philanthropy, met with some of the nation’s most prominent experts in corporate giving to ask them what they expect as the recession deepens. You can listen to her audio report here.

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February 3, 2009, 05:47 PM ET

Offer Special-Event Sponsors Low-Cost Options, Fund Raiser Suggests

Jim Leighton, director of events and programs at the Children’s Cancer Research Fund, in Minneapolis, offers the following advice to fund raisers who are trying to sell advertisements in event program books in the face of the recession:

“I would make sure you have ads available at several investment levels,” Mr. Leighton said during a live discussion with Chronicle readers. “The company that may have bought the full-page ad last year may only be able to buy a half page this year. You should adjust your pricing accordingly.

“Although this may result in a different-looking end product, you will still be raising some revenue.

“I would not suggest lowering your rates from the previous year. Once you bring the price down you have diminished the value of your product and it will hard to bring it back to the same level in the future.”

For more advice on holding fund-raising events...

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February 2, 2009, 12:42 PM ET

Should Donors Know You Need Them?

Should donors believe your organization would survive without them?

Many in the nonprofit world believe donors are more likely to support causes that are self-sufficient.

The reason is simple, writes M. Sue Woodward, a fund-raising consultant, on the blog Sue’s Muse.

“No one wants to donate money to what they perceive as a sinking ship!” Ms. Woodward writes.

But the fund-raising consultant Jeff Brooks has an opposite view.

Mr. Brooks, writing on Donor Power Blog, says that donors are more likely to give if they believe their donation is necessary to sustain a worthy cause.

“Donors want to be wanted,” writes Mr. Brooks “Years of experience, including head-to-head message testing, tells me this: An appeal that says, ‘We may have to cut programs unless people like you give’ outperforms an optimistic ‘Things are great, please join us’ message by dramatic margins.”

Which theory...

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January 27, 2009, 03:51 PM ET

Treat Donors Like Investors, a Top Philanthropist Urges

The philanthropist Lorry I. Lokey has some simple advice for fund raisers who want to cultivate strong relationships with wealthy donors: be friendly, no matter what.

Mr. Lokey, a businessman who has appeared on The Chronicle‘s list of America’s top donors every year since 2000, said in a live online discussion with readers that he works best with fund raisers who treat him as an investor — not as an ATM machine.

“I like gift officers who approach me on a peer level and truly are friendly whether or not I say yes. And if I become a donor, I, in effect, am adopting that organization as if I worked there or owned it or had close experience ties with it,” Mr. Lokey says.

“It becomes an investment that I want to follow and see success. My grants are not gifts. They are investments.”

To read the rest of Mr. Lokey’s thoughts on fund raising and philanthropy, read the transcript of...

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January 27, 2009, 10:41 AM ET

The Absurdity of the "Pre-Ask"

Some nonprofit organizations send letters and e-mail messages to potential donors with the goal of raising awareness.

Weeks or months later — presumably after recipients understand the cause — the nonprofit group follows up with a more formal appeal for money or support.

Is such a tactic successful?

Katya Andresen, vice president of marketing at Network for Good, answers that question with an emphatic “no” on Katya’s Non-Profit Marketing Blog.

Ms. Andresen says the initial effort to raise awareness amounts to nothing more than “wasted breath.”

“Most people treat the pre-ask as a non-ask,” she writes. “Any response to a pre-ask is not to be trusted. The real answer will only come when you do ask.”

Her advice: ask for something — whether it be a donation or some other call to action. The key is to make sure that you are trying to inspire the recipient to engage with your...

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January 14, 2009, 05:15 PM ET

The Unofficial Hierarchy of Donors

The New Yorker writer Bruce McCall offers a tongue-in-cheek program for a charity benefit that offers a window on how average Americans view fund raising.

People who donate the most money to the charity planning this fictional event, for example, are placed in the “Grand Panjandrum’s Diamond Cabal”.

There, they are treated with perks that include “arrival and departure via hot-air balloon; security-check waiver; sedan-chair intra-ballroom transportation; between-courses tableside bar service; tableware from the pantry of the court of Tsar Nicholas II.”

Those who give significantly smaller sums are provided less-ornate service at the event. Donors in the “Brushed-Aluminum Motley” category are treated to a “sandwich; unlimited water-glass refills; simulated autograph of Guest of Honor on cover of official event program; preferred coat-check queue position; use of rest room...

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January 13, 2009, 03:21 PM ET

How a Food Bank Achieved a 12% Gain in Hard Times

The Food Bank for New York City faced a precarious situation heading into December.

The hunger-relief charity, which provides food to the needy throughout New York City, had seen its food donations drop by roughly 40 percent as food manufacturers and wholesalers took steps to reduce their food overruns to save money and as the recession gripped New York.

At the same time, demand for its services had jumped my more than 30 percent.

But the Food Bank for New York City was able to end 2008 much better than expected.

Cash donations totaled $8.9-million, nearly 12 percent more than in 2007.

How did the organization manage to make such a jump under such dire circumstances?

Brennen Jensen explains how in this video report:

For more on how charities fared during the year-end fund-raising season, read the Chronicle‘s special report.

How did your group fare during the year-end ...

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