The gardening catalogs, those heralds of Spring, are piling up on my desk. I’m way behind in ordering.

Part of the reason the delay is that for many organizations where I volunteer, it’s budget time. And paying attention and advising them on their budget priorities is far more important than ordering the latest hybrid tea rose.

So today I’m gonna combine some gardening experience with nonprofit budgeting experience.  Specifically, I want to address the issue of ‘weeding’.

Over the years I’ve found that many organizations are as obsessed with cost reductions in the same way many of the gardeners I’ve known are obsessed with weeding. They weed and weed and, eventually, their gardens are bare.

The proper care and cultivation of donors are seen as costs by far too many organizations. Costs need to be identified and ripped out every chance they get. Thus, in the budgeting process the ‘weeds’ are identified.

“Let’s replace the live receptionist with an automated phone tree and voice mail.”

”Let’s get rid of those ‘expensive’ snail mail thank yous and do it by email.”

“Let’s cut out the live membership meetings and donor briefings and use Facebook”

“And since we can go digital we can probably cut some staff and save even more money.”

Look at those costs drop!

Of course, with this sort of mindset two things happen: 1) the organization loses even more human touch with its donors; and 2) donors lose human contact with the organization. Automation and digital are used as a sort of Roundup—a donor herbicide to weed out costs.

The immediate result will be a tighter expense budget for the coming year. The long-term effect of this ‘weeding’ will be a diminished yield caused by declining retention rates and decimated lifetime values as donors flee or decide to invest more elsewhere.

So, if you too find yourself in the midst of the budgeting process, please be alert to the importance of investing in — not cutting — donor service. In fact, any organization serious about improving its retention rates and the lifetime value had better be deadly serious at budget time concerning the quality of donor services it provides.

To help you get ready to stand-up for the donor at budget time, here are three Agitator posts that offer plenty of ammunition to fight the bean counters:

• Donor Service:  Cost Center or Profit Center?

• Why Donors Drop Out ?

• “Your Call Is Important to Us. Please Continue to Hold”

Are you aiming for increases or decreases for donor service expenditures in this year’s budget?

Roger

P.S. The discussion last week over retention rates and lifetime value was robust and helpful. Already we’ve received numerous suggestions for what metrics and explanations should be included in Jay Love’s idea for a “Donor Retention Board Meeting Kit!” Please keep ‘em coming.

And Grumpy Tom’s If You Must Deal With The Boss and Board sparked helpful, clear-headed insights all around.

Both these threads got me wondering what a small organization with just one or two folks could do about all this. And then I received notice from Pam Grow on a course that seems tailor-made for small shops.

It’s called The Power of Thank You | Basics and More and here’re some of the topics covered in just one of the courses; all germane to retention, lifetime value and boards:

• Write inspiring thank you letters — and get them out the door within 48 hours
• Learn the power of hand-written
• Get your board members involved in the gratitude process
• Create the kind of gratitude culture in your workplace that enables everyone, from your CEO to your board to your program staff to your volunteers, to share in the thanking process
• Use social media to give your supporters warm hugs
• Create your “next gift” system for new donors
• Engage event donors…beyond the event

Browse through the course offerings — many taught by Agitator readers — and then put your ongoing-education in the budget.

You can register here.