Accepting Online Donations
NPower
www.npower.org
Workshop Overview
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A definition of “Online Fundraising”
The promise & reality of online fundraising
Success stories
Management issues to consider
Action steps
Offline vs. Online fundraising
“If you know how to succeed offline, you know
how to succeed online.”
~ ePhilanthropy
www.ephilanthropy.org
Offline vs. Online fundraising
What are your current offline fundraising
strategies?
 Let’s brainstorm…
Are there opportunities for technology to enhance
those strategies?
The Promise of Online Fundraising
• New breed of potential donor that is accustomed to
transacting on the Internet
• More convenient for donors
• 85% of charitable giving in the US comes from PEOPLE
(Giving USA)
• Higher follow through rate than mail-in
• Average gifts tend to be higher online
• Americans are increasingly making the Internet their
preferred means of community involvement & citizen
participation*
*According to a study released by the Pew Internet & American Life Project
The reality of online fundraising
• Still accounts for only a small percent of
money raised by nonprofits
• Most successful for large, nationally branded
orgs or smaller, web-grown orgs with a unique
constituency or “gimmick”
• Not a get rich quick scheme
• Donors/users demand a secure, easy to use,
clear process for making gifts
• Time & strategy intensive
How many of you have given
online?
• What are the barriers?
• What are the benefits?
• What do you expect in order to feel comfortable
giving?
Success Stories – The Heifer Project
Success Stories - Surfrider
Success Stories – Public Libraries
• Posting wish-lists on their websites with links to
Amazon.com bookseller
• Posting lists right on Amazon.com
• Oakland, CA to Scandinavia,Wisconsin,
population 349
Action Steps for On-Line Giving
Active Solicitation
“If you build it, they will NOT necessarily come!”
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Who’s your audience?
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What compelling reason are you giving them to visit
your site?
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How are you driving them there?
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Why would they return?
(Easter Seals Activity)
Actions Steps for On-Line Giving
Choosing someone to accept & process your
donations online.
• The TCO of hosting your own secure giving
page is HIGH!
 Merchant account fees
 Website design & updates
 Tech Support
Online Donations Partners
Cheapest (but least flexible):
 www.NetworkforGood.org
 www.JustGive.org
Affordable:
 DonateNow 2.0
• From www.Groundspring.org
Fully-Integrated Packages:
 Kintera, BlackBaud, eTapestry, Convio, etc.
Many others at www.affinityresources.com
Network For Good
• Powered by
Guidestar
• Partnership
between AOL
Timewarner,
Cisco, & Yahoo
• Online gift
acceptance for
nonprofits at 3%
© ePhilanthropyFoundation.org
Managing for Successful
Online Fundraising
• Successful online fundraising means being aware of
state regulations and seeking advice if necessary…
a) 39 states require that organizations register for
charitable solicitation if they are going to fundraise in
that state
b) If you are using email or web to solicit funds, that
may extend beyond your home state boundaries
c) You may need to register in other states as a
charitable solicitor.
IF A & B, THEN C!
© ePhilanthropyFoundation.org
Charleston Principles
(For more information, visit http://www.nasconet.org)
You might need to register as a Professional Solicitor
in a state other than your home state if…
• You receive a significant amount of individual
donations from that state
• You receive a significant amount of contributions
from that state
• You are directly targeting donors from that state
Always seek legal counsel if you are not sure!
© ePhilanthropyFoundation.org
The Universal Registration
Statement
• The URS helps you register as a Charitable
Solicitor in 35 of 39 states that require it
• Most useful to nonprofits that solicit regionally or
nationally, but can be used by any nonprofit
Visit http://www.multistatefiling.org/ for more info
or to fill out the URS
Small steps for Success
• Start collecting email addresses – today!
• Compare some online donations processors
• Register and/or update your info on
www.Guidestar.org and www.idealist.org.
• Make your current website donor-friendly.
• Make your own gift online & learn from it!
• Visit www.groundspring.org to download the Online
Fundraising Handbook
Did you get all that?
• Successful online fundraising means a
successful communications strategy…
 Big picture – what is your overall communications
strategy?
 How will you integrate off-line communication strategies
with online ones?
• Successful online fundraising means strong
mission connections…
 “Just because you can, doesn’t mean you should.”
 Use technology to enhance or complement your bricks
& mortar fundraising efforts
Did you get all this?
• Successful online fundraising means dedicating
resources…
 Designate sufficient staff resources: time, energy, training
 Allow ample planning time and enough time to bring in wide
range of players
• Successful online fundraising means setting realistic
goals…
 Be patient.
 Don’t expect your bottom line to skyrocket just because you
introduced an e-strategy
Any Questions?
“One day quite soon, we won’t be using terms like efundraising and Internet-based fundraising. We will just
talk about plain old fundraising, and the Internet will just
be another tool. Another channel for communication.”
- Adam Corson-Finnerty, Development Officer, Author