State Of Mobile Fundraising & Engagement

May 9, 2011      Admin

On May 19th my colleague Kevin Schulman and I will host a session titled What’s Next in Mobile” as part of  the Fundraising Success Virtual Conference and Expo.

In preparation for that session, I wanted to first determine “What’s Happening Right Now in Mobile?”  The answer is somewhat unsettling when it comes to the nonprofit world.

In his keynote presentation at the March Innogive Conference in Washington DC , Major George Hood of the Salvation Army proclaimed, “Everything will happen in the palm of your hand.  Mobile is where you need to be.” I couldn’t agree more.  In fact, for the past 7 months we’ve been digging deeply into this … and all the statistics of mobile growth, adoption, usage and virtually any other metric imaginable sure point to accuracy of Major Hood’s conclusion.

But, if 2011 is supposed to be “The Year of Mobile” as others have proclaimed, there’s little factual or experiential reality to back that up where the nonprofit world is concerned. Not surprising. As is often the case — and that sure was true fifteen years ago where the early promise of online fundraising was concerned— hyperbole and enthusiasm often outrun reality.

I’m still as convinced  today— in fact even more so —  than I was back in December, 2010, when Stephen King of Direct Intelligence and I did a webinar on the power and potential of mobile engagement for non-profits. And since then, as we’ve worked on designing various mobile applications and tools, there’s been nothing to dampen my belief or enthusiasm in the importance of mobile for the future of the nonprofit sector.

However, I do think a realistic appraisal of how far we’ve come — and how far we have still to go — is in order as we reach the mid-point of 2011. Here are five areas of concern and opportunity:

1. Very, very few non-profits are doing any exploration of or experimentation with mobile. A survey by Smart Online reveals that 90% of nonprofits use e-mail or social media marketing, but only 19% plan on having a smart phone application and only 16% a mobile web page in 2011.

2. Text-to-Give or Text-to-Donate — despite its horrendous fundraising  limitations — seems to pass as leading-edge ‘mobile engagement’ in the minds of too many nonprofits. This is understandable given the ease of use and the attendant hype that’s surrounded the American Red Cross’ Haiti and other disaster-related campaigns. In reality this is the mobile equivalent of equating a 1920’s crystal radio set with HDTV.

3. False or Misunderstood Technical Choices. Too many organizations think they have to make a choice between going “mobile web”, building an iPhone or Android App, or being content to stick with Text-To-Give. In tomorrow’s world the correct choice will be “all of the above”. All channels/avenues of distribution must be available, and integrated so your organization can gain maximum distribution. Remember, when it comes to mobile we’re talking about ‘engagement’ … and today’s and especially tomorrow’s reality is that supporters, donors, activists and volunteers engage through multiple channels.

4. New Metrics Needed for the Mobile Age. I know. I know. Compared to direct mail we don’t even have the metrics down pat for online yet, and now we’re looking at mobile. But, the reality is that the new age of mobile will require new metrics and measures of success.

Don’t make the mistake of looking only at Return on Investment (ROI) in the conventional sense. If you’re waiting to measure immediate return of $ from your new mobile web site or your latest app, chances are you’ll not only be disappointed, but you’ll miss the point of the power of mobile entirely.

Rather, start measuring ROE—Return on Engagement. How many new sponsorship and partnership and team-building opportunities present themselves? How many missionaries or recruiters do you win when your organization is always in your supporters’ pockets and purses? What are the improvements in average gift and retention rates that show up in the direct mail or online channel?

5. “Under Construction” — Technically and Creatively. No question that the commercial world has thrown much more money, skill and speed into the emerging world of mobile than we. And they’re reaping enormous benefits from increased online search, advertising, click to buy e-commerce, and games and applications that build customer loyalty and ever-increasing sales.

We’ll get there too.  But not until we see one-touch donation forms that integrate seamlessly into an organization’s CRM. Not until we give our supporters easy-to-use, highly focused applications and tools that empower them to become part of our mission and help deliver on that mission.

In short, we need less focus on Text-to-Give and far, far more focus and creativity on “Text-to-Do” or “Touch-to-Do.”

There is absolutely no doubt in my mind that all this and much, much more is coming soon on the phones in the pockets of our donors, supporters, constituents and beneficiaries. How fast and far this evolution/revolution occurs is limited only by creativity and experimentation.

This is no time to sit back and wait while the parade passes you by.

Roger

P.S.  I hope you’ll join Kevin and me at the FREE Fundraising Success Virtual Conference and Expo on May 19th at 1 p.m. Eastern for our session “What’s Next in Mobile”.  You can register here without charge.

2 responses to “State Of Mobile Fundraising & Engagement”

  1. Andrew Davis says:

    I think one of the key obstacles to a more widespread use of mobile for fundraising, specifically on the user-end, is something you touched on in item five.

    There are far too few options for actually donating via mobile. It can’t work like email where you send people to a mobile landing page and have them enter their credit card number on a form. I would venture to say most people (including myself) do not feel comfortable using a mobile device to transmit this information — no matter how secure that data may be. It’s a strong reason why text-to-donate works so well. There is no transmission of financial information that could be susceptible to data theft.

    That, and it’s really, really easy to do.

    I agree with you that as more options are developed, mobile will get a greater focus from non-profits. But, for non-profits that don’t have “hot” fundraising campaigns like the Red Cross, text-to-donate is weak. Unfortunately, it’s one of a very limited number of choices currently available.

  2. martin haigh says:

    Roger
    thanks for your excellent commentary above.
    Ive just joined the mobile fundraising group and stumbled upon your article

    I’d love to engage further
    some comments in order

    1.
    Totally agree its now 2012 and I’ve hardly found any charity mobile sites (even for the largest charities)
    I’ve seen quite a few Apps but they limit the charity to targeting a limited audience, (unless they are rich and build 9 different Apps for 9 different operating systems). Also money donated via Apps is very low. Apps are mainly used for Gaming, News, Social networking, reference.Less than 3% of all Apps are opened again after 10 days (money badly spent perhaps)

    2
    Totally agree again
    Text giving is so limited, very little data, no real engagement, low donation threshold, long time lag to when the charity receives the money, and the telcos quite often take a big slice of the money (although this seems to be changing – in the UK its free for instance)

    3
    Totally agree again
    By why not connect everything to your ever present mobile phone. The mobile phone has the ability to be at the heart of the charities fund-raising and awareness campaigns not just an isolated island. The reason why that does not seem to be a choice is that the telco push you into a nationwide cul de sac, and the handset manufacturers lush you into building Apps that will limit your audience. Why not use a web based solution that is telco and operating system app-nostic?

    4
    Agree, but how about measuring ROI and ROE and a lot more besides.
    Making it very easy for your supporters to engage with your charity through the device that they use most often (their mobile phone), then making it very easy for them to spread the word and become mobile ambassadors.. then you have a mobile army thats fundraising for you.

    5
    it is coming
    The on-line donation market place is crowded with companies competing in the PC world. Mobile marketing and payment solutions are coming.
    4md is developing one, there will be others, the mobile marketing and fundraising market is wide open.

    happy to engage further
    martin