News Blog
Legacy Fundraising - what's stopping you?
In carrying out fundraising reviews over the years, we have come across numerous charities which have really not grasped the legacy opportunity. Yes, they may know that legacies can be good money, with a fantastic ratio of return, but somehow they never quite get round to planning and running a proper campaign. What is it with these people?
OK, we know that a lot of organisations are focussed on the short term at the moment, but they are probably the ones which focussed on the short term ten years ago. If they had made the investment in legacies then, they would now be enjoying great returns. The recession is just the latest excuse.
We are not talking here about those charities which have effective campaigns in place. They are clued up ones who already recognise the potential of legacies and are reaping the rewards. We are talking about those procrastinators who never get round to it or come up with a myriad of excuses why they should not do legacy fundraising.
Previously, we have come across a wide range of excuses, such as "our trustees don’t understand legacy fundraising" (so whose job is it to tell them then?) or "we don’t have the budget for legacies" (even though they have the budget for things that raise far less money pound for pound).
Other excuses include "we’ll get on to legacies once we have sorted X, Y and Z" (usually a list of pet projects which) or "we don’t like the idea of asking people to leave us money in their will – it's too sensitive an issue" (yet some hospices manage to do it very successfully). Some even won't do legacy fundraising because they think it is high risk, just because it is a long term opportunity and they cannot measure success in hard cash in year one.
It's time we nailed this once and for all. Let's get these excuses out in the open where they can be properly debated. We have set up a survey in Survey Monkey and am inviting fundraisers to contribute their views and experiences from where they are sitting. So come on folks, tell me how it is at your charity by visiting:
We will share the results of the survey and hope that, in the process we can open up a proper debate and persuade a few more charities that investing in legacies really is worth the candle.
28/07/2010
Catch 'Em Young
The recent study into donor motivations featured earlier this month in the Chronicle of Philanthropy made for interesting – and potentially useful – reading.
I’m normally sceptical about lifting research from one country and applying it in another, (especially if the research was done in the US!), but the study by California based Hope Consulting makes some valuable conclusions that may well apply in the UK too.
In their study, funded amongst others by the Rockerfeller and Hewlett Foundations, Hope surveyed 4,000 individual donors about their giving, seeking to identify what led to their selection of charities to support. The survey targeted donors with household incomes over $80,000 per annum, as this group collectively make 75% of all charitable donations in the US.
One key finding is that donor motivations differed little between those just above the bottom end of the chosen income scale and the very wealthy. In addition, donors were found to be generally very loyal to their chosen causes. Hope’s conclusion is therefore that charities should seek to recruit donors young, i.e. before they have settled on the causes they will often support for the rest of their lives.
This is a gross simplification of a107 page report, with many interesting findings. Although some of it is specific to the US, my feeling is that there are some useful nuggets for us here too. To read the report in full see:
http://www.hopeconsulting.us/pdf/Money%20for%20Good_Final.pdf
What strikes me is that we could do with more research of this scale and quality in the UK. Let’s hope the IoF’s attempts to achieve this will be successful!
22/06/2010
Legacies and DM Appeals
So a DM agency has identified that adding a legacy info tick box to direct mail appeals reduces the cash response rate (3rd Sector magazine 16th March). Big deal!
Of course anything you do to water down an appeal will reduce the
response rate. The best results are always achieved by making it clear
and direct, asking for one thing at a time, not by confusing the donor
with a range of options. But then we knew that didn’t we?
01/04/2010 - [ more ]
Corporates want their pound of flesh
At a recent CSR presentation by a UK bank, I was struck by the highly commercial attitude this company is taking to its community involvement.
OK, we all know the days of cheque book corporate philanthropy are
largely behind us (and of course this is the banking sector!), but
listening to the presentation felt more like being on the end of a sales
pitch than “how we care for the community”.
22/02/2010 - [ more ]
How to manage your fundraising risk
As we all know, fundraising has its risks and so it is important for Fundraising Managers and CEO's to be aware of these and take action to mitigate them. So what are the main risks and what can be done about them?
Lack of a fundraising...27/01/2010 - [ more ]
Outsourcing - a growing trend?
The trend to outsourcing among UK voluntary organisations continues apace, but why is this?
Firstly, there is often a major cost saving. Not only can a salary be saved, but the add-on costs such as tax, pension and administration can...
27/01/2010 - [ more ]
More clients renew their contracts
Recent weeks have seen a raft of clients renewing their contracts with us for 2010. The following have asked us for more work, as a result of recent support:
Calibre Audio Library Graeae Theatre Company St George's House Charity...08/01/2010 - [ more ]
Troubling Time for Trust Fundraisers
As if the current recession was not tough enough already for trust fundraisers, the threat to the Lloyds TSB Foundations and the announced winding up of the J. Paul Getty Jr. Charitable Trust sound an altogether more worrying note for charities that rely on trusts.
10/12/2009 - [ more ]
Toby and the Tithers
The news that Oxford academic Toby Ord has pledged to give away £1 million during his lifetime - and is encouraging others to pledge 10% of their income to charity - made the national news recently. If Ord had been a wealthy donor, it would still...
30/11/2009 - [ more ]
Putting all your eggs in one basket...
Now I’m not one of those who sees the government (of whatever colour) as the Devil incarnate, but recent warnings about the risks of government funding cuts for charities do make me think “I told you so”.
For the last five years or...
13/11/2009 - [ more ]
