The Fundraisers’ Lemniscate

March 24, 2014      Admin

There’s no way fundraisers can achieve a brighter future by repeating the same tactics, recycling the same thinking again and again. Tactics and thinking that clearly no longer work the way they did a generation ago.

You know the signs: falling acquisition rates, lousy retention, diminishing donor value and commitment.

Different times require different thoughts, different theories and different practices. Only when we challenge and change our practices will we be able to change the situation we now face.

And so I was delighted to learn that two venerable fundraising frameworks — the donor pyramid and the donor journey — are coming under attack as too simplistic and outmoded to be helpful in 21st century fundraising.

The latest assault will be launched this morning in San Antonio at the AFP’s 51st International Conference on Fundraising in a theatrical, multi-media session titled ‘Kaleidoscope of Change’, led by veteran fundraiser Tony Elischer and social change innovator Jon Duschinsky.

I reached Tony on his way from London to San Antonio and here’s the essence of his message today:

  • “After 30 years in fundraising, I’ve firmly concluded there is no such thing as a ‘donor pyramid’ that donors climb; or a ‘donor journey’ that donors follow.”
  • “In fact, these constructs never did exist. That’s because donors follow their own routes, do their own thing, in their own time, on their own terms.”
  • Tony argues, and in my view correctly, that in today’s climate where multiple channels rule, “we need to open as many channels as practically possible and allow people to take more control of how they want to express their values and beliefs though our causes and brands”.

According to Tony, the key to a far more productive future lies in employing channels based on frameworks that are “logical, informed, integrated and, if possible, donor centered”.

In short, we need to get rid of the old, rigid, transaction-determined constructs like the donor pyramid and the linear, technique-driven donor journey and substitute them for a more accurate, more contemporary framework. What Tony calls “The Fundraisers’ Lemniscate.”

The common, garden variety ‘lemniscate’ reduced to a graphic dimension is what you and I recognize as the symbol for infinity, the mathematical construct for a value that increases without limits.

In order to get to a fundraising future without limits Tony has constructed what he calls the Fundraisers’ Lemniscate. Here’s a graphic illustration of how Tony envisions this framework for success.

All of us should be feeling considerable urgency to begin debating, discussing and applying ourselves to the daily task of giving donors a simple, clear and inspiring understanding of what our organizations do, how, and why … in ways that inspire donors.

For Tony the key to success is ‘inspiration’ — the constant challenge of delighting, surprising and continually connecting with donors.

This is not some fuzzy, nice-thing-to-do concept according to Tony. He puts it in the stark terms of survival by noting:

  • Donors are becoming increasingly rare. No longer is it sufficient to “take” existing market share. Nonprofits must figure out “how to grow market share.”
  • ‘Techniques’ no longer sufficient. We must work on building real relationships and experiences that pull donors toward our vision and work, not simply pushing them to give “which in reality will always be short term and short lived.”
  • ‘First Date’ obsession is easy but not productive. Obsessing over acquisition or recruitment is at the heart of our problems today. This obsession needs to be balanced with greater investment in moving donors’ emotions, understanding and motivations as soon as possible after their initial gesture of support.
  • Concept of ‘Donor Loyalty’ may be outmoded. Far better to create causes and brands/organizations that people can belong to and believe in.
  • ‘Spirituality’ no longer connected to faith. Today spirituality is about the way people want to see the world, relate to the world and how they want to take their responsibility for how they leave the world.

As for the role of ‘fundraising’ in today’s world, Tony changes or at least modifies the conventional job description:

“Fundraising is not about asking for gifts, it is about giving gifts, the gifts of enabling people to express themselves, their values and their beliefs; we help people make sense of this crazy world we live in and restore the belief that every action can make a difference and that there is good in everyone.”

For stirring the pot, for inspiring new thinking, we’re giving Tony an Agitator Raise.

What are your thoughts on putting the Fundraisers’ Lemniscate to work?

Roger

P.S. Words are a powerful way to get people to think differently, view things differently and to act differently. In a sector where we must drive more change and constantly innovate to thrive and grow, words are one of the few tools that are available to everyone.

I also recommend you download a paper Tony published last year titled: “WORDS:  A New Lexicon of Fundraising”It’s available without charge at Fundraising 101.

 

 

3 responses to “The Fundraisers’ Lemniscate”

  1. I 100% agree with this approach. If you want gifts you must give them.

    This model is not new. I’ve used a version of it for years, having learned from Kay Sprinkel Grace who talks about the “Transformational Infinity Loop” in her book “High Impact Philanthropy.” The key is transformation, a continuous process, a butterfly (in shape) as distinct from the caterpillar that simply inches along the way.

    As for the donor pyramid, others have noted that we have more of a vortex now (as I write on How Social Media Toppled the Donor Pyramid http://maximizesocialbusiness.com/social-media-toppled-donor-pyramid-means-nonprofits-10136/). Every entry point into the vortex offers a pathway to deeper engagement.

    It’s not your mother’s donor engagement model. That traditional donor engagement model has been completely disrupted by the digital revolution. There are a multitude of ways for potential donors to find your nonprofit and interact with you — and you’re no longer in control.

    That does not, however, mean that the donor is not on a journey. Nor does it mean that you cannot be a guide. You simply must understand that donors buy their own plane tickets and map their own routes. But you can still interact with them, interest them, involve them, inspire them and join them.

    You can be an engagement sherpa, helping donors along their ascent. Not towards the top of the donor pyramid, but towards their own vision. You can’t force donors to climb a ladder. But, like a sherpa, you can lift them up.

  2. Kudos to Tony (and to Roger for bringing us his latest insights.) A great new, frame worthy definition of fundraising:

    Fundraising . . . is enabling people to express themselves, their values and their beliefs; helping people make sense of this crazy world we live in and restoring the belief that every action can make a difference and that there is good in everyone.

    Makes me proud to be a fundraiser!

  3. Gail Perry says:

    Great article Roger! This is clearly a more sophisticated view of the entire process of fundraising and cultivating a relationship with the donor.

    Unfortunately many organizations – and particularly board members – are stuck in a “beginners” mindset about fundraising.

    My own work centers on educating well-meaning volunteers and staffers to this much more realistic, more humanistic and far more effective approach to fundraising. What we need is much more education!