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Institutions seeking to improve fundraising efficiency should direct majority of resources to major-donor programs. Just over a fourth of total spending generates almost half of all giving. People prefer to say "yes" to individuals they know, are similar to, and they like.
Institutions seeking to improve fundraising efficiency should direct majority of resources to major-donor programs. Just over a fourth of total spending generates almost half of all giving. People prefer to say "yes" to individuals they know, are similar to, and they like.
Institutions seeking to improve fundraising efficiency should direct majority of resources to major-donor programs. Just over a fourth of total spending generates almost half of all giving. People prefer to say "yes" to individuals they know, are similar to, and they like.
Influence: Science Influence: Science & Practice & Practice
By Robert By Robert Cialdini Cialdini Rose Lester, President Rose Lester, President Lester Consulting Group, Inc. Lester Consulting Group, Inc. The Power of Persuasion The Power of Persuasion Planned Gifts Major Gifts Capital Campaigns (Special Events) THE FUND RAISING PYRAMID By Potential Dollars Direct Mail Annual Gifts Cost of Raising One Dollar Cost of Raising One Dollar Direct Mail Direct Mail $1.50 $1.50 Special Events Special Events $ .50 $ .50 Annual Fund Annual Fund $ .25 $ .25 Planned Giving Planned Giving $ .20 $ .20 Corporate/Foundation Grants Corporate/Foundation Grants $ .20 $ .20 Major Gifts/Capital Campaigns Major Gifts/Capital Campaigns $ .15 $ .15 Institutions seeking to improve fundraising efficiency should direct the majority of their resources to major-donor programs. Average Budgetary Allocation and Giving, by Activity N = 282 hospitals Major Gifts, Planned Giving, Capital Campaigns Special Events, Annual Campaigns Other Just over a fourth of total spending generates almost half of all giving Source: DeWolfe J, RH Greenwood, JF Hansen, Going to the Next Level: Changing Your Institutions Focus on Philanthrophy to Dramatically Increase the Size and Number of Major Gifts. The Power of Persuasion The Power of Persuasion Six Rules of Persuasion: Ethical Influence Liking Reciprocity Social Proof Consistency Authority Scarcity The Power of Persuasion The Power of Persuasion Liking: Liking: people prefer to say yes to individuals they know, are similar to, and they like. Applications: role of board in prospect identification key relationships: family, friends, peers, colleagues cultivation process: briefings etc. prospect identification & assignment solicitation teams 13% 87% No Yes Leveraging Existing Relationships Was a Relationship Essential to the Realization of a Major Gift? Vast majority of gifts would not have happened without [the relationship] N=149 gifts Source: The Advisory Board Survey Largest Gifts. 36% 35% Three or More Two Value of Peer-to-Peer Solicitations Number of Relationships Important or Essential to Donor Attachment Per Top Gift Nearly 3/4 of top donor relationships rely on two or more Individual relationships N=139 gifts 29% One Source: The Advisory Board Survey Largest Gifts The Power of Persuasion The Power of Persuasion Reciprocity: people try to repay in kind, what another person has provided them. Applications: grateful students & families board relationships relationships of obligation cultivation events solicitation events The Power of Persuasion The Power of Persuasion Social Proof: people view a behavior as correct in a given situation to the degree that they see others performing it. Applications: board commitments commitment of the family cultivation event testimonials list of board members list of major gift donors The Power of Persuasion The Power of Persuasion Consistency: once people make a choice or take a stand, they encounter personal and interpersonal pressure to behave consistently with that commitment. Applications: planning study research focus groups, cultivations, briefings testimonials: CD ROM, brochure solicitation tours
The Power of Persuasion The Power of Persuasion Authority: people tend to defer to legitimate authorities as a decision making shortcut. Applications: first, only, biggest, best (quantifiable) briefings/solicitation events leadership, faculty, community testimonials volunteer leadership The Power of Persuasion The Power of Persuasion Scarcity: opportunities seem more valuable when they are less available or would not be available otherwise. Applications: service gap (unmet need) the only significant consequences limitation or reduction of services the margin of excellence
The Power of Persuasion The Power of Persuasion The Principle of Rejection - Then - Retreat How a request is framed will determine the outcome. Applications: the strategy of thinking big the benefits of rejection a fall back position packaging Taken From: Taken From: Influence: Science Influence: Science & Practice & Practice By Robert By Robert Cialdini Cialdini Rose Lester, President Rose Lester, President Lester Consulting Group, Inc. Lester Consulting Group, Inc. The Power of Persuasion The Power of Persuasion