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Since 2020, the South Florida’s growth has received global attention, and we’ve seen the impact play out across virtually every sector of industry, from education and healthcare to finance and entertainment. As Miami emerges as a global hub for business and culture, philanthropy is following a similar trend, creating an environment that is ripe with opportunity for nonprofit growth and impact.

With some of the wealthiest American philanthropists setting their sights on the region, and new and longstanding community members alike eager to make their mark on its future, now is an opportune time for nonprofits to understand and maximize fundraising opportunities in South Florida.

Consider South Florida’s Population and Demographic Trends to maximize Your Organization’s Fundraising Opportunities

At a transformational time for South Florida when the population, demographics, and politics are shifting, local nonprofits should remain abreast of the region’s needs and consider their marketing tone, donor base, and visibility in the community as philanthropic opportunity expands accordingly.

Florida is the third fastest growing and the third most populous state in the nation, following a consistent trend of net migration in recent years. In 2022, Florida topped the list with an annual population growth rate of 1.9%. Today, the state is home to 23 million, 9 million of whom live in South Florida (which encompasses Miami-Dade, Broward, and Monroe counties).

Demographic variables are also shifting. Currently, the estimated median age of a Florida resident is 42. Approximately 45% of Floridians have a college degree, and the median household income is around $39,000 annually. While still a popular retirement and snowbird destination, South Florida is seeing an influx of younger professionals, particularly in finance, tech, and real estate, many with young families looking to settle for the long-term.

Florida is also changing politically, evidenced by the 2024 election results. Once considered a swing state, Florida went solidly red on November 5th. Notably, President-elect Donald Trump also won Miami-Dade county, making him the first Republican presidential candidate to do so since former President George H.W. Bush in 1988.

Factors that Bolster Fundraising Opportunities in South Florida

There are a few notable factors that contribute to the favorable culture of philanthropy in South Florida, where a marked uptick in giving, including transformational gifts, has made headlines in the last year.

1. The Economy and an Influx of Wealth

South Florida’s economy is strong and continually growing and diversifying alongside the population. Florida does not have a capital gains, state, or estate tax, which makes it a desirable home base for the affluent. Moreover, South Florida’s finance, tech, healthcare, education, and real estate sectors are booming. In fact, Amazon is expanding to Miami following Jeff Bezos’s move to South Florida, and financier and philanthropist Ken Griffin recently relocated his hedge fund, Citadel, to Brickell. Other prominent financial institutions like Blackstone, Apollo, Thomabravo, and Goldman Sachs have also moved to or expanded their existing offices in South Florida. Various news outlets have dubbed Miami “Wall Street South” in a nod to the influx of financiers who have descended upon South Florida.

With this corporate migration comes corporate philanthropy and many newcomers arriving from other cities throughout the U.S. where charitable giving is robust. Donors appear interested in building a culture of philanthropy in Miami like the one they may have left in Boston, New York, or San Francisco.

Arts, culture, sports, and entertainment in Miami are also on the rise, evidenced by the increasing popularity of Art Basel, Formula 1, and Inter Miami FC. This shift is positively impacting local nonprofits in the sector, who are benefiting from increased visibility and demand. One notable example is Miami City Ballet. The Ballet recently closed an extremely successful programmatic capital campaign, which has positioned the Company for a next effort to strengthen its endowment.

2. The Presence of the Ultra-Rich and Long-Time Philanthropists

In 2024, Florida was home to 54 of the Forbes 400 Richest Americans, including the likes of Paul Tudor Jones II, Dirk Ziff, Carl Icahn, Isaac Perlmutter, Ken Griffin, Jeff Bezos, and Norman Braman. There are currently 107 billionaires living in Florida, and approximately a quarter reside in the southern region of the state.

In the past decade, the population of millionaires in Miami has grown by 75%. Miami is also the second fastest growing city in the US for millionaires and the number one town where millionaires are buying second homes. As Florida joins California and New York as the top home states for the richest Americans, fundraising opportunities in South Florida abound, particularly for transformational giving from already well-established philanthropists.

Notable Stories of Ultra-Wealthy Philanthropists in the South Florida Philanthropic Landscape

Since relocating to South Florida in 2022, Ken Griffin, CEO and Founder of Citadel, one of the world’s top hedge funds, has made numerous headline-making philanthropic investments in Miami. Notable recent gifts include $50 million to Baptist Health Miami Neuroscience Institute, $50 million to Sylvester Comprehensive Cancer Center at the University of Miami, $25 million to Niklaus Children’s Hospital, $20 million to Miami Dade College, $10 million to the Perez Art Museum Miami (PAMM), $5 million to The Underline, and $2.1 million to Cristo Rey Jesuit High School.

Of Griffin’s recent $50 million gift to Baptist Health, Alex Villoch, CEO of Baptist Health Foundation, remarks:

Kenneth Griffin’s gift in support of Baptist Health Miami Neuroscience Institute has been significant in so many ways. Yes, it’s the largest gift to Baptist Health in its nearly 65-year history, but it also supports the incredible work that the Institute, led by Dr. Michael McDermott, is doing in treating disorders like essential tremor and Parkinson’s disease. It recognizes Miami Neuroscience Institute’s leadership as a nationally ranked center for brain and spine care and its potential for developing groundbreaking new therapies. Philanthropic gifts like these are transformational not only for our organization, but also as an investment in this field of medicine.

– Alex Villoch, CEO of Baptist Health Foundation

Darlene and Jorge Perez, longtime Miami residents and nationally recognized patrons of the arts, have recently ramped up their philanthropic giving in South Florida. As of this fall, they’ve given a total of $135 million to the Miami Foundation. In 2023, the couple made a $25 million gift to the Perez Art Museum Miami (PAMM).

3. A Philanthropically-Minded Community

Extreme wealth aside, recent statistics indicate that Florida is becoming a more philanthropic state across the board, which is good news for fundraising at every level. In 2022, the Florida Nonprofit Alliance published a report indicating that 70% of households in Florida made charitable donations in 2021, the majority of which donated to organizations based in the state. Moreover, high-net-worth households gave an average of $15K annually and 41% of high-net-worth households have named a charity in their will or living trust.

The Miami Foundation’s 2023 “Give Miami Day” raised more than $39 million from its online campaign – double the amount it raised from the same campaign in 2019. Donations to the Miami Foundation have seen a steady rise over the last five years, and the Community Foundation for Broward County has increased by six times in the last decade.

Maximize Fundraising Opportunities in South Florida

In 2024, many factors have coalesced to make South Florida the ideal environment in which nonprofits across sectors can cultivate new prospects, elevate giving from existing donors, and strategize for soliciting big gifts that could have a transformative impact on programmatic goals. Here are our final recommendations for your organization to make the most of fundraising opportunities in South Florida:

1. Make bold personal connections

From what we’ve seen, personal connections go a long way in South Florida – reportedly, 56% of high-net-worth donors in the area say that they give because their friends do. Now is the time for local nonprofits to meaningfully engage with long-term champions and ask them to open doors to their social and professional communities. Communicating to board members and volunteer leaders the potential impact of their partnership in this way and requesting that they host targeted gatherings and make personal connections to new potential donors and leaders in South Florida is a great way to expand your nonprofit’s network in the community.

2. Leverage wealth research technology

Given the influx of wealth into South Florida, nonprofits might leverage appropriate wealth research and affinity indicators to mine for new fundraising prospects. By staying aware of philanthropists who are giving in the region, as well as identifying new prospects through tried-and-true wealth screening tools like iWave, Wealth Engine, and Wealth-X, nonprofits can grow their prospect pool and make more informed asks amidst growing capacity and generosity in South Florida.

3. Prepare your vision and operations to support large gifts

It’s also the moment to dream big when it comes to gift size.  With growing generosity in the region and as big-time philanthropists like Griffin are raising the bar for giving in South Florida, now is the time for nonprofits to consider making bigger and bolder asks.

Local nonprofits may consider scaling their programs to align with the region’s changing landscape, so we recommend simultaneously thinking about how significant gifts of $5, $10, $20 million or more could impact programs and services. A nonprofit’s ability to outline why gifts of this size are needed and how the funds will be used is crucial to these cultivation conversations with potential donors.

Prospective donors at this level want to know that their philanthropic investment will have a notable impact. They will also likely want to see a clear outline for the nonprofit’s use of their gift and how they (the donor) will be recognized for their generosity.  With that said, as we’ve seen evidenced by recent transformational giving in the region, if you can clearly articulate your organization’s strategic vision for impact, philanthropists interested in helping to build the future of South Florida may be eager to learn more.

More Insights

Publication

2024 Philanthropic Landscape, 13th Edition

September 9, 2024

This report provides a comprehensive look at the current state of US philanthropy, compiling and analyzing annual data from Giving USA and other prominent research to ensure your organization stays up-to-date on the most significant industry trends.

In partnership with CCS Fundraising, the Cincinnati Symphony Orchestra (CSO) has embarked on strategic fundraising initiatives to ensure its long-term sustainability and relevance. This Q&A with the CSO’s Chief Philanthropy Officer, Mary McFadden Lawson, explores the orchestra’s comprehensive efforts to transform its vision to strategy by adapting to modern challenges and leveraging opportunities for growth. Glean insights on nonprofit innovation, diversity, digital engagement, and unprecedented philanthropy through our conversation, below.

About the Cincinnati Symphony Orchestra

The Cincinnati Symphony Orchestra, one of the oldest and most respected orchestras in the United States, has long been a beacon of artistic excellence and community engagement. Known for its rich classical repertoire, the CSO is also performs as the Cincinnati Pops, bringing a wide range of popular music to diverse audiences. Deeply involved in the community, the CSO offers educational programs and free concerts, and maintains a strong focus on diversity, equity, and inclusion, which is reflected in its organizational structure and programming.

A vision of Relevancy Across the US

What is the long-term vision for the Cincinnati Symphony Orchestra, and how are current operations aligned to achieve this vision?

Our vision is to be the most relevant orchestra in America. As part of our 10-year strategic plan, we’ve thoroughly examined every aspect of the organization to align our work with this vision. This has included adding two new departments: Diversity Equity & Inclusion, led by a new Chief Diversity & Inclusion Officer, and a Digital Content & Innovation team within our Communications department. We’ve also made quieter, yet significant, changes in how we hire, train, and retain staff, along with auditing our language and accessibility. We’ve challenged ourselves to deeply examine our Board and governance, and to find sustainable ways to host free community concerts. Every step, big or small, is in service to our overarching vision.

How Arts and Culture Strategies Can Shift

Can you discuss any recent strategic shifts or innovations the orchestra has undertaken to enhance its artistic and operational success?

It starts with our mission to seek and share inspiration, and we lean heavily on the seeking part.

Recently, the orchestra has undertaken significant strategic shifts and innovations to enhance both its artistic and operational success. We crafted a comprehensive strategic plan and implemented several key changes, including the creation of a DEI (Diversity, Equity, and Inclusion) department and a Digital Content & Innovations department, which did not exist before. These changes are part of a broader effort to fine-tune every aspect of the organization, from artistic planning and supplier lists to musician recruitment and audition processes, as well as shaping the board. All these changes are aimed at making the orchestra the most relevant in America. The initial results and feedback have been overwhelmingly positive, fuelling our determination to continue pursuing these strategic goals.

Embracing Diversity and Community

Could you share a specific initiative or project that demonstrates the orchestra’s commitment to social justice and its impact on the community?

Our approach is grounded in a longstanding care for the community, and our work today represents a much greater intentionality—an unapologetic effort to make music for all. We believe that music is for everyone and strive to eliminate barriers to access. While some may not support our focus on engaging those historically excluded from classical music, we remain committed to this because our priority is to serve the broader community, not just a select few. We offer free community concerts, collaborate with community partners, and provide a variety of ticket discounts and pay structures. We focus on addressing engagement deserts by guiding our decisions through data, ensuring that we reach areas and demographics not previously represented in our database.

A picture of three violinists playing.

Translating Vision to Strategy at Arts and Culture Institutions

As a leading arts and culture institution, Could you shed light on the orchestra’s fundraising strategies and how they have evolved to meet changing economic landscapes?

Nonprofit innovation doesn’t always mean creating something entirely new. For example, by examining how nonprofits outside the arts sector engage younger, more diverse donors, we can find valuable strategies for our own organization. Leveraging our online presence and social media for fundraising, while being data-driven in analysing results, can significantly enhance our approach. It’s crucial to focus on our organizational identity and messaging, rather than solely on our activities. Diverse voices within our team offer essential perspectives, as evidenced by our monthly e-newsletter. One team member highlighted the need to feature a story that represents a broader aspect of our community. We’re now taking a more holistic view of our messaging to foster deeper philanthropic connections. Language plays a key role in this process, and we’re grateful to CCS for initiating that important discussion.

How would you define a culture of philanthropy?

The culture of philanthropy at the CSO is defined by the understanding that every team member’s role contributes to the success of fundraising efforts. It’s about recognizing how each aspect of our work—whether it’s delivering a phenomenal concert experience, ensuring a seamless ticket purchasing process, or supporting music education in schools—enhances our ability to engage and impact donors. In this culture, there is a shared sense of celebration when gifts come in, not just by the philanthropy team but across the entire staff.

It’s not a siloed approach; rather, there is a clear understanding of how all departments’ efforts support the overall pathway to success. This shift towards a broader perspective on philanthropy, highlighted by changes such as the transition from my title as VP of Development to VP of Philanthropy and now to the role of Chief Philanthropy Officer, emphasizes the importance of integrating philanthropic goals with the work of all other areas, from marketing and communications to artistic programming.

How significant is the role of donor engagement and philanthropy in sustaining the orchestra’s mission, and what innovative approaches are you taking to enhance donor relations?

Donor engagement is how we make the intangible tangible. Connecting beyond the concert experience to how it comes together, to the people who make it happen, to spaces not often explored by audiences, to observing young listeners experience the full orchestra—each of these are mission moments and we lean into them for our donors. What is a normal day for us “at the office” is radically different than the average donor’s day, so we invite them in because we have found that experience speaks louder than a branded tote bag.

Harnessing Digital Trends for Expanded Reach

How has the Cincinnati Symphony Orchestra adapted to digital trends to reach wider audiences and engage with fans in innovative ways?

The Cincinnati Symphony Orchestra has adapted to digital trends by creating and integrating a Digital Content & Innovation department into our Communications team—it’s the intersection of storytelling, art and technology. Recognizing that digital and social media are now the primary channels through which people receive news and influence, we’ve built our digital strategy to complement rather than replace existing practices, ensuring we don’t alienate our established audiences. Our digital presence includes free, full-length concert livestreams, in-depth explorations of programs, sneak peeks of rehearsals and behind-the-scenes shorts, curriculum-supporting education videos, radio broadcasts, and commercial recordings. All of these elements have been well-received, reflecting our commitment to consistent and engaging digital efforts. We also offer digital program notes and detailed content that caters to enthusiasts to complement Fanfare Magazine print edition which focuses more on storytelling in a magazine format on an in-concert audience.

Future Challenges for Translating Vision to Strategy at Arts and Culture Institutions

What are the biggest challenges facing the Cincinnati Symphony Orchestra in the next five years, and how are you preparing to address them?

One major challenge is overcoming the persistent elitist perceptions associated with orchestras, perpetuated by media such as TV shows and movies. Despite our efforts to be community-focused and move beyond these outdated stereotypes, popular culture continues to reinforce them, making it difficult to change public perception.

Another significant challenge is demonstrating ongoing value and relevance to our audience. Even as we celebrate our successes, we must work to maintain engagement and show that there is always a need for continued support and involvement, ensuring that people don’t become complacent with what they already have.

To address these challenges, we are constantly revisiting our strategic plan, holding it up to changing trends and issues relevant to our field and community. This doesn’t mean we take a whiplash approach to what’s next, but it does mean we earnestly evaluate how our current work addresses impact and how we need to change the way we operate to be even more effective in the future. We look at trend lines instead of relying on a crystal ball, ensuring that our strategies remain adaptive and forward-looking.

Translating Vision Into strategy In the Coming Years

What opportunities do you see for the Cincinnati Symphony Orchestra in the next five years, and how do you plan to leverage them?

Despite the challenges, there are significant opportunities to redefine and broaden our image. A key opportunity lies in integrating our new Music Director into this work, leveraging his energy and artistic perspective to further our commitment that music is for all. This integration allows us to enhance our community connections and innovate in our engagement strategies, supported by digital trends and content innovations.

By folding in our new Music Director’s vision and focusing on inclusivity, we can more effectively reach wider audiences and deepen our impact, ensuring that the orchestra continues to evolve and resonate with diverse communities.

The Cincinnati Symphony Orchestra (CSO) continues to stand as a pillar of artistic excellence and community engagement, driven by a deep commitment to diversity, equity, and inclusion. Through strategic partnerships like the one with CCS Fundraising, the CSO is navigating the complexities of modern nonprofit innovation to secure its long-term sustainability and relevance. To discuss how to transfer vision to strategy at your arts and culture institutions, reach out to CCS.

More Insights

Article

Maximizing Fundraising Opportunities in South Florida

December 18, 2024

South Florida is experiencing great philanthropic growth, and the momentum looks likely to continue well into the future. In this article, we help you understand the most important trends and components of the philanthropic landscape that will help you maximize fundraising opportunities in South Florida.

Article

Donor Cultivation Through Associate Boards

November 18, 2024

Seeking ideas for donor cultivation ahead of “the Great Wealth Transfer”? Learn how to establish and maintain an associate board to engage the next generation of donors.

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Among other tools, organizations can drive donor cultivation through the creation and engagement of an associate board.

Known as “The Great Wealth Transfer,” Baby Boomers will pass on an estimated $84 trillion over the next two decades – the largest wealth transfer in human history. At the same time, the number of retirees is rapidly accelerating. These factors will significantly alter nonprofits’ donor base and have an outsized impact on the composition of governing boards as new generations become the leading stewards of organizations’ missions.  Nonprofits that seek to get ahead of this trend are focusing on nonprofit donor cultivation through associate boards.  

The data is clear: now is the time to act. As discussed in our recent publication Finding, Engaging, and Retaining the Next Donor Generation, over the last decade, the average millennial (those born between 1981-1996) household has increased its giving by more than 40%. Millennials have surpassed Gen X as the second most philanthropic generation in America, second only to Boomers. Despite this, donor participation rates are going down overall, meaning organizations have an imperative to prioritize sourcing their next generation of mission-champions.

Volunteerism has always played an important role in philanthropy. In fact, nearly half of major donors report that they volunteer for their top philanthropic priority organizations. The volunteer-to-donor overlap is even more significant among younger generations, for whom service and activism are frequently embedded in their upbringing. These generations are also more likely to be influenced by their peers’ giving and by peer-endorsement of institutions and brands (i.e., those already volunteering for an institution).

What Is an Associate Board?

Associate boards (sometimes coined ‘young’, ’emerging leaders’, or ‘junior’ boards) are volunteer boards that can be a powerful affinity-building opportunity; seed a donor pipeline for future decades; and have numerous short- and long-term benefits on an institution’s culture of philanthropy, contributed and earned revenues, and community engagement writ-large. 

In this article, we’ll describe the five necessary factors and steps needed to launch – or revive – your associate board. We’ll articulate how building a vibrant culture of philanthropy in your associate board can emanate outwards, inspiring your institution via the power, passion, and vision of these motivated Millennial and Gen Z leaders. 

  1. Define your “Why”
  2. Ensure you have your champions for this initiative
  3. Value the program fiscally inside your organization
  4. Embrace that this will be a resume and network building opportunity
  5. Manage your “cliff” – transitions are key

We’ll model these 5 key steps with a successful case study from Nashville Symphony, an internationally regarded, Grammy® Award winning orchestra, and long CCS partner on various projects since 1998.  

THE NASHVILLE SYMPHONY STORY

A clear, winning strategy for a thriving associate board 

The Symphony founded their Associate Board in 2017 to champion the Symphony’s fledgling Crescendo Club audience development initiative for under-40 patrons.  

By adhering to these principles, the Symphony’s associate board has driven hundreds of thousands of dollars in new contributed revenue, launched a signature event which is now the Symphony’s third largest annual fundraiser, and placed several Associate Board members on the organization’s fiduciary Board of Directors as well as on other prominent boards in Middle Tennessee.  

Nick Deidiker, former Associate Board Chair and current Board Development Committee Chair shares that “Serving on the Associate Board was one of the most rewarding experiences I’ve had the honor of being part of. I’m proud of what we started and continue to be impressed and encouraged by all that successive Associate Boards have been able to accomplish.”

Step 1: Define Your “Why”

Before you start, we recommend that you ask yourself: is launching or reviving an associate board an initiative you can support long-term? Be prepared to experiment for at least three to five years before deciding whether to continue. If you decide to move forward, center this conversation in your values and your mission.

Consider how long-term donor cultivation will impact your organization and donor base over the coming years and decades, and proactively plan according to these trends. 

Discuss these questions with your team: fundamentally, why are you launching this initiative? What will you change or achieve through the enhanced efforts of these new volunteer leaders? How will you align your associate board’s operations with your larger institutional goals and your current strategic plan? Are you aligning your needs to local and national philanthropic trends? The answers to these questions will inevitably evolve, but specificity at the start is key to your success. 

Keep expectations realistic and clear. An associate board will not solve all your institutional woes. Be particularly wary of the idea that your associate board can quickly change or fix issues with your larger fiduciary board. However, with a well-defined vision, an associate board can play a transformational role in your organization’s advancement — as is evident from the Nashville Symphony’s own path. 

Ask yourself: is our goal with launching (or reviving) our associate board to…

  • Advance goals related to diversity, equity, inclusion, and belonging for our organization?
  • Grow our pool of mid-level dollar donors?
  • Cultivate Millennial and Gen Z philanthropy (and our broader community)?
  • Develop new audiences / patrons / customers (especially in a target demographic(s))?
  • Develop an ongoing pipeline to grow and enhance our Board of Directors?
  • Vet prospective board members?
  • Improve engagement with a particular community related to our organization’s model?

THE NASHVILLE SYMPHONY STORY

The Nashville Symphony’s “Why” focused on championing the organization’s new 40-and-under Crescendo Club; and on long-term engagement of the next generation of the Symphony supporters.   

The Symphony quickly delegated success of the signature Spirits of Summer fundraiser to the associate board. Under their highly ambitious leadership, the evening grew from a 30-person gathering into the third-largest fundraiser for the Symphony in just five iterations. The event is now a hallmark of Middle Tennessee’s social calendar, attracting not just younger attendees but those of all ages. 

“Our first event was a learning opportunity. We sold tickets at $150 for a cocktail reception before a $35 outdoor concert. It did not work. The next year, we rewrote the script: $50 ticket prices, cocktails paired to each piece of music, and our orchestra members interwoven among the crowd. It was not a concert, it was a ‘festival’ — and it definitely worked. Once you get the details right, a good time is an easy sell.”

– Hank Ingram, Inaugural Associate Board Chair, and current Board Secretary

Step 2: Ensure You Have Your Champions To Launch/Revive Your Associate Board

All associate boards require a champion for success – a staff member who will drive this project together. They will need to both address short-term operational needs and foster the vision for long-term growth. Don’t underestimate the time and attention that a new associate board will require, especially for the initial two to three years of liftoff. 

One of the key needs for your champion is to drive a decision regarding where the associate board will sit structurally in your organization. Ensure anyone who will be impacted is included in some way during the planning process. These include your chief executive; their assistant; various departments and staff members throughout your institution; your board chair; governance committee chair; development committee chair, and other board members as relevant.

Equally critical is buy-in from the board. This is most effectively done by identifying one to two dedicated board members who will actively help to make this governance structure a reality.

Ask yourself: who will our associate board’s champion be…

  • Our CEO or President?
  • Our CEO or President’s Office (i.e., an executive assistant, coordinator, or special projects team member)?
  • Someone on our Marketing team?
  • Someone on our Community Engagement team?
  • Someone on our Philanthropy team?
  • A board member? (And on which committee(s)?)

Once a decision has been made, be sure that your organizational chart is formally revised and that everyone impacted has both verbal and visual articulation of how the associate board will fit within your operations and organization. Continue keeping board members apprised.

THE NASHVILLE SYMPHONY STORY

The Symphony faced a key decision when launching its Associate Board: where it would be placed in the institution. The Symphony decided the development team would make the best home, leveraging the Development team’s unique Patron Engagement Officer role (a hybrid gift officer and VIP donor concierge), its special events team, and the ability to leverage existing strong relationships with board members who could refer prospective associate board members. The development team continued its already-close work with senior leadership as well as the marketing department to ensure associate board activities had full-institution support. The Symphony also leveraged the board’s existing best-practices, bylaws, and structure for efficiency and to create parallels in board operations.

“We knew we would soon find ourselves in need of new leaders to step up and champion our organization. Why would we wait for those leaders to emerge when we could help to foster them ourselves? Placing the associate board within the fundraising team – and inviting them to our full board meetings – is the best way to create the conditions we need. Now, our institution’s future leadership pipeline is bright for many years to come.”

– Alan D. Valentine, President & CEO, Nashville Symphony

Step 3: Value the Program Fiscally Inside Your Organization

As the adage goes, “If you want to know someone’s values, look at their budget.”

Ask yourself:

  • What is our fiscal commitment to funding this program? How much can we allocate?
  • What expenses do we project?
  • What is our revenue expectation from this board?
  • What will our “give/get” policy be? It can be a percentage of income; a “top three” request; a certain amount or threshold; or tangible ways to track give/get.

Common expenditures for an associate board may include:

  • Leadership development activities, such as speakers, training, or books
  • Meeting materials, supplies, and refreshments
  • Discounted admissions, memberships, or other institutional costs
  • Engagement and stewardship activities, such as special events or outings

Associate boards require both start-up and ongoing costs. At the same time, they should drive new revenue for the organization (though as a leadership investment opportunity, they may not always be revenue-positive). With the right framework, associate boards can even have a transformational impact on an organization’s bottom line — as has been the experience for the Nashville Symphony.

THE NASHVILLE SYMPHONY STORY

From the start, Nashville Symphony’s Associate Board was given significant trust in shaping Crescendo Club events and their annual Spirits of Summer fundraiser. As next-gen leaders with a thirst for innovation and growth, the Associate Board defined clear give-or-get donation policies for themselves and set ambitious revenue targets for activities from the get-go. This ambition continues to fuel the board’s recruitment, activities, and oversight.

As a result, the Associate Board’s Spirits of Summer event has grown from a small initiative into the third largest fundraising event for the institution by dollars raised.

“We’ve come a long way in a short time. I think that our success was largely due to two primary factors: passionate members, and support from the Symphony’s staff and existing board of directors.

When the associate board was originally empowered to ‘own’ our event, Spirits of Summer, there were a lot of questions about whether we could even pull it off… But giving the associate board the responsibility to create, market, and produce its own event (all within the confines of a fairly modest budget) provided the spark that set off a fire of enthusiasm. The event made everyone realize how important it was to not just reach new patrons of the symphony, but younger patrons, future patrons, and that this could be successfully accomplished through an associate board structure.” 

– Nick Deidiker, former Associate Board Chair; current Board Development Committee Chair

Step 4: Embrace That This Will Be a Resume- and Network-Building Opportunity

Leadership development and networking are key to any board. These will hold outsized value for an associate board. As younger professionals, associate board members may take a transactional or skill-development-driven approach to their service. Embrace and leverage this reality. Ensure strong screening for new members, set clear expectations, and select early leaders who can model the kind of service you wish to see in all associate board members.

Your designated associate board champion and their team (see step two) should research generational workstyles and volunteerism to ensure you incorporate best practices, relevant language and culture, and operational frameworks to maximize engagement among your Millennial and Gen Z volunteers.

Ask yourself:

  • What is our associate board term length and structure? Have we accounted for some members transitioning to new organizations and/or new careers during their term?
  • Are we structuring board service for members to ‘grow’ their leadership skills as much as they ‘give’ in time, talent, and philanthropy?
  • Have we included meaningful opportunities for our Associate Board to engage with members of our primary Board of Directors/Trustees and institutional leaders?
  • Where have we incorporated learning, leadership development, and mentorship into our work? Are our expectations reasonable for board members’ demographics?

THE NASHVILLE SYMPHONY STORY

Among many decisions, the Nashville Symphony needed to decide if and when associate board members would have access to board meetings. In addition to their own associate board meetings, all associate board members are also able to optionally attend full board meetings (with the exception of executive sessions). This allows for the organic building of relationships, and opportunities for associate board members to glean best practices and key information.

“Overall, serving on the associate board helped propel me into a larger role in the Nashville arts community, including being asked to join the Board of Directors at the Nashville Repertory Theatre. Our associate board has the ear and recognition from Symphony leadership. We are seen as pivotal to the continued growth of the Symphony… I’m not only grateful for the impact I’ve been able to make to the Symphony, but ultimately the impact the Symphony and the associate board have had on my life and career.”

– Samantha Breske Magee, former Associate Board Chair and 2024 Spirits of Summer Co-Chair

“Nashville is such a transient community with so many young professionals. As a newcomer to Nashville, I knew the best way to integrate was to get involved with an organization and ask, “How can I help to make it better?” In doing so, I not only became more invested in Nashville, but met others who were aligned to my life priorities philanthropically and as emerging leaders. The associate board connected me with others I would not otherwise have met – influential peers but also authentic introductions to Symphony board leaders who were valuable, high-caliber connections at key moments in my career.”

– Mandi Kane, former Associate Board Chair

Step 5: Ensure Smooth Transitions

The way associate board members enter and exit their service term is key. Given the demographics of typical associate board members, plan for higher fluidity and turnover than on your governing board (including both members of the board transitioning employers, and in rolling off the board generally).

Ask yourself:

  • How are we designing the pipeline to ensure success (i.e., term length, any leadership/officer structures on your board)?
  • What are our expectations for associate board members following their term?
  • Do we have a clear pipeline for understanding who from the associate board may be a good fit for your Board of Directors/Trustees – and who will not be a good fit?
  • What communications and stewardship plans do we have in place to manage former associate board members? How will we continue to engage and leverage their enhanced affinity for our organization?

Designing meaningful transitions for each retiring associate board is key to your success in managing your post-service ‘cliff’. Create opportunities for celebration, reflection, and continued stewardship. Organizations should treat this ‘cliff’ as an opportunity. Work with each associate board member to identify next steps post-service. Most of your associate board alumni will not directly join your organization’s fiduciary board. Ensure you define meaningful transitions for these engaged, passionate volunteers in whom you have invested so much time.

THE NASHVILLE SYMPHONY STORY

Similarly to its fiduciary board, the Symphony asks all associate board members to make a personally meaningful gift to the annual fund. However, the Symphony offers a unique framework: associate board members receive benefits double to their gift amount (as do at-large members of the Symphony’s general young adults group, the Crescendo Club). This creates opportunities for associate board members to receive significant stewardship that may not be accessible to emerging professionals in their 20s and 30s.

“While this benefit may initially feel transactional, it offers incredible capacity to develop emerging leaders. As Associate Board members become more involved in supporting the mission of the organization, a culture of philanthropy forms – over time, giving becomes less about what can be received as a ‘benefit’ and much more about making a meaningful difference for the institution and our impact on the community.” 

– Jake Tudor, Patron Engagement & Crescendo Club Manager

Beyond philanthropy, but equally as important, as Associate Board members reach the end of their service, the Symphony ensures that each associate board member who rolls off has a meaningful and defined pathway towards remaining engaged with the organization as a subscriber and supporter.

Nonprofit Donor Cultivation Is Possible With An Associate Board

The Great Wealth Transfer is coming, and it can significantly impact your organization. By launching or reinvesting in an associate board, you can cultivate the next generation of donors and ensure success during this wave of philanthropic opportunity. We encourage you to use this article and our worksheet to initiate a conversation with your team regarding launching your own associate board.

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Vision to Strategy at Arts and Culture Institutions | Q&A Cincinnati Symphony Orchestra

December 2, 2024

Learn how to go from vision to strategy at your arts and culture institution with the Cincinnati Symphony Orchestra, focusing on diversity, digital engagement, and unprecedented philanthropy.

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Grateful Patient Fundraising: Leveraging Data for Donor Cultivation

September 30, 2024

In this article about grateful patient fundraising, we explore using data to curate a communication journey that best cultivates grateful patients, converts them to donors, and creates a pathway for annual and consistent future giving.

The 2024 presidential election of Trump was set against a backdrop of economic and political uncertainty. Economic volatility, including inflation and fears of a potential recession, can create a challenging environment for fundraising. With policy shifts on the horizon and diverse donor bases to consider, it is crucial for fundraising professionals to proactively adapt their strategies. This article explores how the election may influence higher education fundraising while offering actionable insights for navigating this season of change and uncertainty. 

All nonprofits, especially higher education institutions, must prepare for the ripple effects this season may have on their fundraising efforts. The impact of Trump’s education and economic policy agendas, combined with political polarization, can make fundraising seem unreliable. Amidst challenges, one thing is certain: Americans are inherently generous, underscored by the $577.2B given to charitable causes in 2023. Generosity endures, even in times of upheaval, from pandemics, to elections, to recessions. In fact, charitable giving grew in 90% of the last 10 election years. 

As advancement professionals, you can capture this generosity by staying proactive in your preparation and remaining aware of any changes on the horizon. 

Preparing Your Fundraising Team  

Advance Relationship-Centric Fundraising

Genuine connections, hyper-personalization, and prioritizing donor relationships over transactions are key. These relationships allow you to tailor your approach to each donor’s priorities and concerns while emphasizing the long-term impact of their contributions. This approach helps you navigate challenging subjects and secure sustained support​. 

Relay Urgency & Emphasize Immediate Impact

Donors may adopt a “wait and see” approach, delaying significant gifts until the political and economic climate stabilizes post-inaguration. Fundraising professionals must emphasize the immediate impact of donations and prepare for varying donor sentiments based on election outcomes. Highlighting how contributions immediately benefit students, faculty, and campus improvements makes for a compelling case for support. 

Be Honest about the Influence of the 2024 Presidential Election on Higher Education Fundraising and mission

Changes in federal and state policy can lead to shifts in funding streams for many higher education institutions, presenting an opportunity to engage in discussions about why philanthropic support is essential. Often, philanthropy fills critical gaps, sustains mission-driven initiatives, enables transformational programs, and unlocks future potential for students. Creating fact-based, mission-focused talking points that highlight the connection between philanthropy and potential policy changes can help development officers respond to donor questions effectively. 

Utilize Institutional Resources

Policy experts at your institution in public affairs, legal, or other departments can help with questions you may have about current or future state policies. Regularly engage these offices in the lead up and after the results of an important election. These departments can also help teams understand scholarship policy shifts. 

Engage Younger Donors

As donor demographics shift, institutions need to engage younger alumni who prioritize different causes such as environmental and social justice issues. Tailoring fundraising messages and strategies to resonate with prospective donor values is essential for securing support from the next generation of donors​.

 

The Influence of the 2024 Presidential Election on Higher Education Fundraising

Policy Changes on the Horizon  

Issues at stake for the influence of the recent election on higher education fundraising will impact the philanthropic landscape, including higher education. 

  • Charitable Act Extension and Tax Policy Changes: This legislation, if extended, is expected to boost charitable giving by allowing more substantial tax deductions for donations. Conversely, changes in tax deduction caps and limits could impact the timeline or urgency of larger gifts from high-net-worth individuals. Fundraising professionals must stay informed about these changes to communicate the benefits of giving​. 

Some policy issues will more specifically impact higher education fundraisers.

Staying informed and agile will enable your team to adjust strategy as needed and maintain donor support. 

  • Federal Funding for Higher Education: Cuts in federal support may require institutions to increase philanthropic fundraising to cover budget shortfalls. Conversely, increased federal funding could ease financial pressures, allowing institutions to focus on endowment building and other long-term goals​. With potential changes on the horizon, institutional advancement leaders should prepare their teams to be adaptable. 
  • Local Policy Priorities: Be mindful of the policy priorities of local incoming officials. An administration’s focus can influence the availability of grant funding in specific sectors — whether for research, student financial support or relief, or the types of institutions that are prioritized for federal and state dollars. Pay close attention to these platforms and consider the opportunities and challenges each may present.  
  • Student Loan Policies: Enhanced loan forgiveness programs could reduce the financial burdens on graduates, potentially increasing their capacity and willingness to donate to their alma maters. Conversely, restrictive loan policies strain graduates’ finances. Being mindful of these changes will help you engage recent graduates or parents.  
  • Estate and Gift Tax Reforms: Policy that effects planned gifts can be particularly relevant to the higher education landscape, where endowed scholarship funds, positions, and programs are prevalent. Estate taxes may motivate donors to include charitable bequests in their estate planning to reduce tax liabilities. On the other hand, lower estate taxes might decrease the urgency for planned giving, affecting long-term fundraising prospects for universities​. Staying aware of estate tax reform will help you carry out a targeted blended gift strategy.  

Colleges and Universities can ensure fundraising excellence in 2025 and beyond

For fundraising professionals at universities and colleges, staying ahead of the influence of the recent election on higher education fundraising is crucial. By focusing on the specific needs and values of their donor base, higher education institutions can ensure continued financial support and success in their fundraising endeavors. 

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Maximizing Fundraising Opportunities in South Florida

December 18, 2024

South Florida is experiencing great philanthropic growth, and the momentum looks likely to continue well into the future. In this article, we help you understand the most important trends and components of the philanthropic landscape that will help you maximize fundraising opportunities in South Florida.

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Donor Cultivation Through Associate Boards

November 18, 2024

Seeking ideas for donor cultivation ahead of “the Great Wealth Transfer”? Learn how to establish and maintain an associate board to engage the next generation of donors.

SEE ALL IN: Higher Education

During the 2020 US presidential election, political campaigns collected over $25.3 billion ($29.8 billion after adjusting for inflation). More recently, presidential candidate Kamala Harris’ team raised more than $81 million in the 24-hour period after Biden dropped out of the 2024 race, claiming to be the largest single-day total in the country’s history. This massive influx of funds highlights the intense financial efforts and strategic planning involved in modern political campaigns. As experts in campaign fundraising, we work with leading nonprofits to stay on the cutting edge of campaign technology, borrowing techniques from leading strategies across sectors. What similarities can be drawn between nonprofit and political fundraising campaigns? In this article, we share with you some strategies from the political fundraising landscape that can be applied to your organization.  

The Structure of Fundraising Campaigns 

Your Development Team is LIKE a Political Action Committee 

Most of the funding for the 2024 election – over 65%, or nearly $5.6 billion – comes from political action committees, otherwise known as PACs. PACs are organizations that raise and spend money to support candidates and influence elections. They can represent industry groups, labor unions, or individual companies. They run advertisements on specific issues or for candidates, finance get-out-the-vote drives, do research on election issues, and more. In a way, these PACS are like a nonprofit’s development team, but on a much larger scale. However, there are some tactics we can learn from them and implement in our own fundraising efforts. 

Timeless Pillars of Philanthropic Fundraising

Every fundraising mission, including political fundraising, begins with “case, leadership, prospects, and plan.” 

  • CASE. Create and communicate your case for support. Outline the need, urgency and impact of your efforts. 
  • LEADERSHIP. Empower leaders for your task force/campaign committee. Execute strategic priorities. 
  • PROSPECTS. Identify and segment donors – recognize opportunities, timing, request amounts and overall approach. 
  • PLAN. Monitor and track activity with weekly and quarterly benchmarks, adjusting when necessary.  
A picture of a political action committee, nonprofit and political fundraising campaigns.

Political Fundraising Pillars 

There are three key political fundraising pillars that drive PAC’s impactful efforts. These pillars focus on effective communication, engaging donors and volunteers, and utilizing diverse fundraising channels. Nonprofits can learn from these strategies to enhance their own fundraising efforts and build stronger, more engaged communities. 

  • Effective Communication and Relationship Building
  • Donor/Volunteer Engagement and Mobilization
  • Diverse Fundraising Channels

One: Effective Communication and Relationship Building in nonprofit and POLITICAL FUNDRAISING CAMPAIGNS 

Effectively conveying mission and impact is paramount during election years to build relationships with donors and volunteers, as well as during nonprofit and political fundraising campaigns. It requires not only a clear understanding of the donor’s interests and motivations, but also an alignment of those factors with the PAC’s objectives and activities. A nonprofit could replicate this approach by fostering a culture of transparency and gratitude. This can be achieved through regular updates on how donations are being utilized, success stories that highlight the tangible outcomes of their support, and opportunities for donors and volunteers to engage directly with the organization’s mission.  

Additionally, creating tailored engagement plans that recognize and celebrate individual contributions can further strengthen these relationships, ensuring long-term commitment and support. During the last US presidential election cycle, 64% of voters reported receiving text messages and 60% reported receiving emails from political campaigns. However, an even greater percentage (78%) indicated they were reached through more traditional methods, such as printed mail or fliers. As donors and potential donors receive more political outreach during this time, nonprofits should ensure communication is as personalized as possible, updating donors on how contributions have made a difference. 

TWO: Donor/Volunteer Engagement and Mobilization 

A grassroots approach requires diligence and a strong online presence, and PACs must also rely on word-of-mouth, local events, and volunteer activities. Nevertheless, the method can be highly effective, especially for PACs that are supporting hot-button topics that constituents are passionate about. Nonprofits can replicate this by leveraging similar strategies to engage their communities. By focusing on personalized outreach, hosting community events where volunteers can be active participants, and maintaining active communication channels, nonprofits can build strong, lasting relationships with their supporters to get them involved. Additionally, utilizing social media and other digital platforms can amplify their message and mobilize a broader audience, ensuring their mission resonates with a wider group of constituents. 

THREE: Diverse Fundraising Channels

TRADITIONAL
Events
Canvassing
Phone banking
Merchandise

ONLINE
Recurring gift prompts
Social media promotion
Digital advertising
Email and text

Political fundraisers often solicit contributions through direct mail campaigns, fundraising events, door-to-door solicitations, and meet-and-greets with political figures in the form of talks or dinners. For nonprofits, this could mean sending personalized letters or newsletters to potential donors, highlighting their mission, recent achievements, and how contributions make a difference. Hosting events such as charity galas, auctions, or community fairs, visiting neighborhoods to share information about the nonprofit’s work, and organizing talks or dinners with key figures in the nonprofit sector can provide additional channels to connect and build lasting relationships with supporters. 

ENGAGE ON SOCIAL MEDIA

Beyond direct engagement, digital outreach is critical in this post-pandemic virtual world, and social media is a leading online fundraising tool. Fifty-five percent (55%) of people who engage with nonprofits on social media subsequently donate or volunteer. By creating compelling content and targeted advertisements, PACs tap into networks of potential donors who share their political views or interests, and once they have built a strong social following, they maintain their momentum in and out of campaign season, allowing for consistent fund generation.

Nonprofits can apply this method to their own organization by leveraging social media to share impactful stories, engage with their audience regularly, and create targeted campaigns that resonate with their supporters’ values and interests. This not only attracts new donors, but also retains existing ones by keeping them informed and involved in the nonprofit’s mission and activities. 

CONSIDER BRANDED MERCHANDISE

Selling branded merchandise is another way in which PACs raise funds. Items like t-shirts, hats, bumper stickers, and other memorabilia generate revenue, consolidate a brand identity, promotes the PAC’s cause, and can be a tool to recruit others to their mission and maximizes visibility. Effective merchandising relies on strong branding, so PACs often use slogans, logos, or symbols that resonate with their target audience to create a sense of identity and community among supporters. Former President Barack Obama’s slogans “Yes We Can” and “Change We Can Believe In” and Reagan’s 1984 slogan “It’s Morning Again in America” were among the most well-known, and were featured on merchandise sold across the country during their campaigns, demonstrating the power of effective branding.

Interestingly, 70% of buyers hope their political merchandise will influence others to support the same candidate and 75% view the purchase of political merchandise as a political donation. Since many buyers already perceive merchandise purchases as donations, nonprofits can capitalize on fundraising opportunities by offering their own merchandise. Additionally, merchandise can enhance engagement and loyalty while strategically spreading the organization’s core values and mission through well-designed items.  

Lessons in nonprofit and political fundraising campaigns  

In political and nonprofit fundraising, continually assessing and refining strategies is crucial for success. Below are key focus areas and essential questions to help your Development Team consider “borrowing” from the political fundraising playbook.

CASE: 

  1. Are our appeals urgent and emotionally engaging? 
  2. Is our language consistent? 
  3. Are our case statements too long?  
  4. Are our asks specific? 
  5. What is the copy for our :15, :30, :60 advertisements? 
  6. Are we working to drive virality?  
  7. How are we utilizing “merch”? 
  8. What is our brand angle and audience?  
  9. Are we communicating by email and text too much or too little?
  10. Do we have message/branding discipline? 
  11. Have we considered being featured in advertisements?

LEADERSHIP: 

  1. Who are our surrogates?  
  2. Are we using our surrogates effectively?
  3. Who are our (local) celebrity spokespersons? 
  4. When was the last time we simulated a donor interaction (parallel to “debate prep”)? 
  5. Are we “staffing” our leaders appropriately?
  6. Do we have a strong advance team to allow our leaders to not “sweat the small stuff”? 

PROSPECTS: 

  1. Have we done the appropriate donor tracking and research?
  2. When was the last time we did some polling (surveys), canvasing (one-on-one interviews), and/or focus groups? 
  3. Are we empowering prospects to be volunteers, or are we attempting to gain volunteers first and prospects second?  
  4. Do we track volunteers? 

PLAN: 

  1. Are we benchmarking our progress?
  2. Do our timelines include concentrated bursts of energy?
  3. Are our events for fundraising or to build support (like a political rally)?
  4. Have we considered a “town hall” event? 
  5. Do we have something similar to a “convention,” or large-scale event? 
  6. What is our annotated table of gifts, mirroring a “path to 270” or election plan? 
  7. Have we considered recurring gifts in our plan? 
  8. Have we defined our “field operation” and its components?   

Leverage Political Campaign Fundraising Tactics at Your Nonprofit  

Political fundraising offers key strategies that nonprofits can adopt to boost their efforts. By learning from PACs, nonprofits can enhance donor engagement, build strong relationships, and develop an effective online presence. By integrating these proven methods, nonprofits can drive greater impact and achieve their fundraising goals more efficiently. 

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Charitable Giving During Presidential Elections

February 23, 2024

As we approach the 2024 US presidential election, many nonprofit professionals wonder if and how politics will affect this year’s charitable giving landscape. Read on as we examine research that helps us understand the relationship between nonprofit fundraising and political giving.

Publication

2024 Philanthropic Landscape, 13th Edition

September 9, 2024

This report provides a comprehensive look at the current state of US philanthropy, compiling and analyzing annual data from Giving USA and other prominent research to ensure your organization stays up-to-date on the most significant industry trends.

DOWNLOAD PRESENTATION SLIDES

This on-demand video builds on insights from our paper, “AI in Fundraising,” providing an opportunity to learn from leading experts and practitioners in the field. Learn how AI can and may already be used by your team, additional opportunities to leverage it for fundraising, and where to start with AI integration, including ethical considerations.

PRESENTED BY

Greg Hagin

Greg Hagin

Principal & Managing Director

Ashutosh R. Nandeshwar

Ashutosh R. Nandeshwar

Senior Vice President, Data Science & Analytics

Jeff Kula

Jeff Kula

Senior Vice Chair, Philanthropy

Cleveland Clinic
Craig Leonard

Craig Leonard

Executive Director, Pipeline Development and Strategic Initiatives

University of Michigan
Lindsey Nadeau

Lindsey Nadeau

Vice President, Philanthropy Insight

UNICEF USA
David Ritchie

David Ritchie

Assistant Vice President, Information Management and Analytics

Thomas Jefferson University Hospitals

Frequently Asked Questions (FAQs)

What are the AI tools, platforms, or vendors that fundraisers can use for different tasks, projects, and experiments?

Below are examples of AI tools, platforms, and vendors that can help with specific fundraising initiatives and processes. When selecting AI tools, consider factors such as integration capabilities with your existing systems, scalability, user-friendliness, and cost-effectiveness to ensure they align with your organization’s specific needs and objectives.

What strategies can fundraisers use to determine when they have sufficient data to justify investing in AI, as well as help their organization best adopt AI tools?

You can start now! Generative AI tools can help you be more efficient in creating solicitation emails and stewardship and cultivation letters. Even for prioritizing donors, you can start with simple engagement scores that can be generated in a spreadsheet. That being said, AI is most effective when it can work with well-structured, relevant data, so if your organization lacks sufficient data, focus on improving data collection processes first (e.g., capturing donor interactions, tracking event attendance, or logging campaign outcomes). Define specific areas where AI can make a significant impact (e.g., predicting donor churn, personalizing outreach, or automating reporting), and calculate potential ROI based on time savings, cost reductions, or improved fundraising outcomes. You can educate the rest of your organization on these points, and ensure that this type of collaboration extends across departments, particularly IT and Legal as it concerns data security. In adoption, nonprofits should start small, with a pilot experiment to ensure controlled use, evaluate scalability, and create guidelines or policies for safe use.

How can organizations address data privacy and ethical concerns when using AI?

This is an important issue that many organizations are dealing with. One idea is to use AI tools embedded in internal systems to analyze data without exposing it externally, and/or partner with vendors offering robust security and compliance measures. You want to avoid sharing sensitive data with external Generative AI tools. Your organization should define clear policies on what AI can and cannot be used for, approved tools, and compliance measures. It should also conduct training for all staff and maintain transparency in how AI handles data.

What advice would you give to smaller nonprofits on getting started with AI?

We believe you should focus on high-impact and low-cost or free tools, like ChatGPT, Grammarly, or Canva, to enhance donor communications, draft outreach emails, and create visuals. You can also leverage AI features in your existing CRM, such as Salesforce Einstein or HubSpot’s AI tools, for donor segmentation and engagement insights. If your data is well-structured, explore simple AI-driven donor segmentation or predictive modeling to prioritize high-potential prospects. As with any AI adoption, start small, scale gradually, and measure your outcomes to justify further investment.

What are AI applications for direct mail and/or our annual fund?

There are many applications of AI to help improve the ROI of direct mail initiatives, including your annual fund. Predictive AI models can be built that predict the likelihood of someone making a gift for an upcoming mailing. They can also be used to estimate the optimal ask amounts for each prospective donor. These types of giving inclination scores and ask amount values can be combined to help prioritize mailing lists so that the mailing generates an optimal ROI. In addition, Generative AI tools can be used to help create draft letters and refine communication. Furthermore, Unsupervised Learning tools, such as K-means Clustering, can be used to segment populations and identify the key characteristics of those populations.

How do you provide clear instruction when inputting information into Generative AI tools, so the output provided is a strong starting point?

This is an important question. The key to successfully using Generative AI is to create and submit effective prompts that are specific, including context, purpose, audience, and desired outcome. Ask a clear question and set boundaries, such as “provide 10 bullet points outlining XYZ’s impact on ABC group.” If there are keywords you want to include, make sure you include them in your question. Finally, feel free to refine the output, for example “expand this explanation with 3 examples” or “say this in more casual language.”

How do you use AI to help with donor mapping?

There are not a lot of off-the-shelf AI tools that conduct relationship mapping, as data is required to explain how many degrees of separation are between two people. Tools that provide this type of service include RelSci, LexisNexis, WealthEngine, DonorSearch, and iwave.

How can nonprofits communicate their use of AI to prospects and donors?

You should have this in your AI policy, so everyone knows how to best communicate this information, as well as who is a resource for additional questions. Here is an example: “Our organization is committed to transparency and responsible use of technology in our fundraising efforts. We use artificial intelligence (AI) tools to enhance the efficiency and personalization of donor communications, such as drafting emails, generating campaign materials, and analyzing donor engagement trends. However, these tools are employed solely as aids to improve our outreach and operational efficiency; all final messages are reviewed and approved by our team to ensure alignment with our mission, values, and the trust donors place in us. We take donor privacy and data security seriously. AI tools are used in compliance with strict data protection policies, ensuring that no sensitive or personally identifiable donor information is shared with external systems. Should donors have any concerns or questions about our use of AI, we encourage open communication and will provide detailed information about the steps we take to ensure ethical and responsible practices in all aspects of our work.”

For a cause-based nonprofit without alumni that must do constant, new outreach, how hard is it to create a usable AI-generated database that consolidates all previous research (by name, program/cause interest/etc.) and can inform/prioritize future engagement?

RAG – retrieval augmented generation – would be an effective solution for this. This is an approach where information retrieval is combined with generative models to improve the quality and relevance of generated outputs. It involves:

  1. Retrieval: The system searches and retrieves relevant information or documents from a database or knowledge base to provide accurate and context-specific data.
  2. Augmentation: The retrieved data is used to enhance the generative process by giving the AI model additional context or facts.
  3. Generation: A generative AI model, such as a large language model, uses the augmented information to create more informed and precise responses.

This approach is particularly useful in tasks requiring accurate and up-to-date knowledge, as it combines the strengths of retrieval systems (like search engines) with the creative and flexible capabilities of generative AI models.

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Custom GPTs for Fundraising: A Nonprofit Guide

May 31, 2024

Learn about Custom Generative Pre-Trained Transformers (GPTs), their application in fundraising, and how you can harness their capabilities to streamline your fundraising efforts and forge deeper connections with donors.

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Optimize Major Gift Portfolios Using Predictive Modeling Scores

May 30, 2024

Major gift portfolios determine where relationship managers will spend their time and energy. So, how can nonprofits ensure they’re focusing on the right donors?

In part one of this series, Building a Patient-Centric Journey to Giving, we explored five ways to lay the foundation for grateful patients to engage with philanthropy.

In part two, we dive into the next stage of engagement: using data to curate a communication journey that best cultivates grateful patients, converts them to donors, and creates a pathway for annual and consistent future giving.

Effective Grateful Patient Fundraising starts with tailored communication

There is a reward for soliciting the masses through direct mail and email. While you have gift officers queued to qualify and cultivate high-prioritized prospects, effective annual giving programs are most frequently the entry point for individuals to convert to donors. These donors may become your best major and planned giving prospects in the future.

But how can you make an annual giving program effective with grateful patients? Create a communication journey that taps into their overall patient experience at your healthcare organization. In other words, leverage your knowledge of patient and donor populations to craft targeted messages that recognize their experiences as patients and highlight reasons for deeper engagement with the organization. Retail brands have found customers are willing to pay up to 16% more for a product or service if the company provides a great customer experience. They do this by leveraging customer journey mapping—a tailored roadmap for how customers interact with the brand. An annual giving program can do the same between patients and the healthcare organization. Where do you start?

Separate Grateful Patient Acquisition and Retention communication Strategies

While this seems obvious, it is important to think of acquisition and retention completely separately, as they are geared towards different audiences and require different types of data.

new patients are Your grateful patient acquisition audience

This audience has just experienced your healthcare organization for the first time and should be communicated with as such. Focus on acknowledging your new patients, welcoming them into the community, demonstrating the institution’s resources, supporting them on their healthcare journey, and converting them into donors.

New Patient ‘A’
123 Sample St, Sample City, ST
newpatient@sample.com
Clinical location: East Hospital
Doctor: Dr. Doe (Cardiology)
Hospital Visit: 14 days prior

Existing donors are your grateful patient retention audience

Your retention audience (grateful patients who have made at least one gift to your organization in the past) has not only experienced your healthcare organization as a patient, but they decided it was worthy of their philanthropic support at some point. Their communication journey should acknowledge their grateful patient relationship and focus on what you know about them through their giving preferences, priorities, and overall interests.

Retained Patient Donor ‘B’
123 B. Sample St, Sample City, ST
retainedpatientdonor@sample.com
Clinical location: West Hospital
Doctor: Dr. Sample (Primary)

Last Gift: $50 to Orthopaedics
Last Gift Date: 4 months prior
Giving History: Consistent donor 5+ years to several priorities, but all at West Hospital

Define the Data needed for Grateful Patient acquisition and retention

Separating your acquisition and retention audiences in grateful patient fundraising is important when you consider your data needs for each constituency:

Quantitative Data is key to new patient communication

Your acquisition audience of new patients means you will only have access to basic patient information permitted through Health Insurance Portability and Accountability Act (HIPPA) compliance (name, address, email, hospital location, physician name, and dates of care), and sometimes even less depending on the healthcare organization. At a minimum, contact information is the most important. If that is all you can access, you can make general assumptions about your new patients by leveraging relevant quantitative (population-based) data through market research.

You may conduct research based on the following questions:

  • What is the average household income in their county?
  • What is the average family size?
  • What health needs does their community have as identified by a Community Health Assessment Report?

These data points help guide your content choices and suggest appropriate gift sizes when making a specific ask. Consistent patient information, like hospital location and care dates, enables personalized communication journeys for those treated at community hospitals or specialized centers. For example, with a new pool of 1,000 people seen last week across various hospitals, you can customize email copy to reference the care they received at [hospital name variable].

make the most of Qualitative Data to cultivate grateful patient donors

Alternatively, retention audiences (grateful patient donors) have already given you valuable qualitative data through their past engagement with the organization. At this stage you know their:

  • Giving preferences: What did they make their gift to, when, and why (for example, did they respond to a specific appeal)? How much was the gift? Have they increased their gift over time or remained static? Do they continue to support the same priority, or has their giving designation varied?
  • Communication behaviors and preferences: Are they opening your emails and clicking through content? What content are they clicking on (patient stories? expert opinions)? Did they choose to make a gift online or in response to direct mail? How long after a communication did they make their gift?
  • Engagement behaviors and preferences: Although this is not a direct interaction with a communication journey, this long-term cultivation aims not only to retain and upgrade grateful patient donors but also to build a pipeline that leads them to qualify as a major gift prospect. To do this, interaction with the organization beyond their communication journey is a significant step! Additional engagement data you can incorporate into their journey includes event attendance, gift officer interactions, volunteer positions, and more. Defining a hierarchy of data points to prioritize will help streamline when and where qualitative data like this can be incorporated.  

New Patient ‘A’
123 Sample St, Sample City, ST
newpatient@sample.com
Clinical location: East Hospital
Doctor: Dr. Doe (Cardiology)
Hospital Visit: 14 days prior
First communication: acknowledge recent patient experience, feature past interview of Dr. Doe, share resources for East Hospital patients

find your grateful patient Data sources

Healthcare organizations vary in what data is accessible for new patients and retained grateful patient donors. Electronic medical record systems have enabled us to implement efficient and sophisticated fundraising strategies that more hospitals and health systems are able to leverage now than ever before. Now that we have defined what type of information is most impactful in guiding a communication journey for both new patients and retained patient donors, how do we retrieve the data?

Data will come from several streamlined sources, which funnel into one database for fundraising purposes. The sources you should prioritize incoming data from include:

your health system or organization’s technology services

Data is delivered directly from this source, ideally as a daily/weekly patient data feed automatically transferred through a CRM. This will require coordination with your clinical information and technology services and an investment of time and funding to implement, but it is a significant way to increase efficiency and intelligence in your program. For organizations that cannot implement this data transfer, a consistent, manually exported spreadsheet of new patient data (within HIPPA regulations) will still provide the same quantitative data points that enable you to efficiently execute your acquisition communication journeys.

Your communications

Consider your communications your biggest source of qualitative data that will inform how best to customize the journey for your acquisition audiences and grateful patient donors. Each communication offers several key opportunities to collect engagement data to guide the next ‘step’ in a journey:

  • Did they open the email?
  • How much time did they spend reading the email?
  • Did they immediately delete it?
  • Did they click any of the links? If yes, which links did they click? (examples include a patient story, clinician spotlight, patient resources, ways to get involved, philanthropy information, etc.)
  • Did they make a gift?
  • Did they unsubscribe?
  • Was the email delivered, or did it bounce back?
  • Similarly, was the direct mail letter returned due to a bad address?
  • Did they send a reply envelope? Or make a gift via mail?

New Patient ‘A’
Opened the first communication and clicked on link to read interview with Dr. Doe. Second communication (one week later): Email asks Patient A if they enjoyed the interview with Dr. Doe, promotes additional spotlights Dr. Doe is featured in on the website, and offers ways New Patient A can thank Dr. Doe for their care with giving information.

Trends from other advancement teams and colleagues

Especially if a new patient is rated highly or a recurring donor has the potential for major gifts, they may move in the pipeline earlier than anticipated, giving you additional data points your colleagues enter directly into the database for you to consider long-term.

Although the qualitative data generated from your communication is specific to just one email or one direct mail piece, over time, it leads to a significant wealth of knowledge and trends that inform how effective the communication journeys are when it comes to increasing engagement and donor conversion.

consider using AI

This is a significant opportunity to use artificial intelligence (AI). Leveraging these insights, AI could help you codify how likely a grateful patient of Dr. Doe at East Hospital may make a gift if your initial communication features a patient story from the same hospital, also seen by Dr. Jones.

Further, AI may be the solution to quickly help generate ways to customize further the communication journey beyond what your email software can do to automate and populate variables to increase personalization. This is an opportunity for AI to be effective if the data is thoughtfully collected and used to inform current and future grateful patient fundraising strategies.   

New Patient ‘A’
Did not open second email for one week. Resent same email with new subject line reminding New Patient A of the email. Opens follow-up email and clicks on links to learn more about Dr. Doe’s work.
Next step in communication journey: Explicitly solicit a gift of $25 to thank Dr. Doe for his care ($25 generated from average first gift size across acquisition audiences). Feature blurb from Dr. Doe thanking patients for choosing care at East Hospital and for accelerating their work and impact with a gift to the hospital.
New Patient A makes a $25 gift in Dr. Doe’s honor, automatically adjusting his communication journey to stewarding his support.

grateful patient fundraising is supercharged by data-informed communication

Lastly, as you consider the best communication journeys to implement for your grateful patient fundraising, here are four tips to help you get started:

  • As shared in part one of this series, insights indicate a patient or patient’s family is 76% more likely to make a gift if they receive communication within the first 30 days of post-hospital visit or care.
  • Your acquisition audience is your best testing group for content, messaging, and timing. Because you consistently receive a new set of patients to contact, you can adapt the communication journey as you evaluate what generates the most engagement.
  • While you can see engagement almost immediately through email, giving your program a full one or two years to identify larger trends in engagement and donor conversion is important. You will start to see what communications generate the most interaction and tweak your engagement strategy to maximize the successful tactics.
  • Be patient and remember that every communication is an opportunity to gather more intel and data regarding who your patients are. Take advantage of each one!

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The High Holidays bring a time of reconnection and renewal for Jews worldwide. It allows us to recommit to living out our Jewish values, reminds us of the comfort that our Jewish communal spaces offer, and gives us an opportunity to rededicate our practice of Tikkun Olam (repairing the world). With so many congregants and constituents turning to their communal organizations this time of year, clergy, lay leaders, and professionals have a ripe landscape to meaningfully engage donors to inspire greater generosity in the year to come.

This article offers five ways to leverage this time of year to cultivate deeper relationships and inspire your donor base toward another year of generosity and impact.

1. Acknowledge the Challenges of This Year and Celebrate Resiliency for High Holiday Donor Engagement

5784 has been fraught with challenges for the Jewish community. Just as the New Year began last fall, the attack on October 7, 2023 and subsequent events across Israel and the Middle East have changed global Jewry for a more than a generation. In the months since, we’ve seen antisemitism reach an all-time high across the US and around the world. However, in the face of everything, giving to Jewish organizations has increased significantly over the last year as individuals and families have risen to meet funding needs across every facet of the community. CCS recently published a report on Jewish Philanthropy Since October 7 which showed significant increases in support across the sector for both regular and crisis funding, particularly in October and December 2023, and March 2024.

The front cover of the Jewish Philanthropy Since October 7 report
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We encourage you to find an opportunity over the holidays to formally acknowledge and celebrate the ways your community has supported one another over the past 12 months and the impact it has made, even in this challenging landscape.

  • Synagogues: Consider highlighting this increased generosity in the congregation president’s High Holiday remarks.
  • Summer camps: Consider sharing a summer impact report with parents and alumni of your camp.

2. Share New Year Wishes with Donors

This time of year gives us an easy touchpoint for donor engagement: Reach out to donors and wish them a sweet new year! Be it with a personalized video message from your leadership reaching a broad audience, or phone calls to individual donors, use this time to thank your community for all they have done to advance your shared mission and inspire them toward what’s ahead in 5785.

3. Engage Donors by Connecting In-Person at Synagogues or Campus-Based Organizations

At least six in 10 Jews will attend High Holiday services this fall. With so many donors and prospects entering our religious homes, clergy, lay, and professional leaders have an opportunity to prioritize personal connections with families over the High Holidays.

  • Synagogues: Identify a few loyal donors and relevant prospects and equip clergy and lay leaders to make personal contact with each of them before or after services, or in the days leading up to or following Rosh Hashanah.
  • Campus-based organizations: Consider inviting donors to attend upcoming holiday-related programming to allow them to experience the impact of their giving first-hand.

4. Create Custom Appeal Plans for Renewed Annual Giving

Leverage your existing donor data to identify those who often give or pledge their annual commitments this time of year and invite them to do so again through a customized appeal sequence. Renew expiring payment plans and invite increased giving in the year ahead given the growing and evolving needs across the community.

5. Build on these high Holiday donor Engagement Efforts into the New Year

Capturing the energy and connection following the High Holidays will keep the sweetness of the new year present and be a smooth transition into fall fundraising. Track each interaction over the High Holidays and find time in the upcoming weeks and months to sit down with donors to personally share your outlook for the year ahead, emphasizing how their continued generosity will lead to greater impact. As you make plans for the fall, find ways to align donor cultivation, donor engagement, and other constituency events with upcoming holidays and festivals like Sukkot and Simchat Torah to forge closer connections with both your mission and shared Jewish identity.

CCS Fundraising is proud to partner with Jewish organizations across the sector to advance their important missions. We wish all who celebrate a sweet, meaningful new year. Shana Tova!

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A Guide for Catholic Arch/Diocesan Philanthropy

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This report was jointly produced by ICSC and CCS. It stands as a comprehensive analysis of stewardship and development practices across 75 Catholic dioceses and archdioceses in the United States, and is a testament to the unwavering dedication and commitment of our diocesan communities to fostering a culture of advancement and generosity.

Among national trends, fundraising best practices, and recommendations to elevate your Catholic advancement office, this report also reveals:

The front cover of the National Diocesan Report.
  • Percent increases in offertory contributions and which dioceses saw over 20% growth in contributions
  • The impact of the rise in annual appeal pledges from from $278.1 million in 2019 to $300.4 million in 2021
  • How to respond to the widespread decrease in donors
  • Which digital fundraising platforms have seen the greatest adoption
  • How to harness the potential of a reported $778.2 million in unrealized gifts
  • Which arch/dioceses are leaders among foundation initiatives
  • How some respondents garnered nearly 200% of their campaign goals
  • Which strategic innovations arch/dioceses are prioritizing

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Your essential guide to philanthropy

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For the past 13 years, CCS’s Philanthropic Landscape reports have compiled and analyzed data from Giving USA and other leading industry sources to reveal an accurate, laser-focused look at the current state of philanthropy in the US.

In addition to sharing key stats, in-depth analysis, case studies, and insights on individual, foundation, and corporate giving in 2023, the 13th Edition report also reveals:

  • Election Year Insights: Understand how the US presidential election might affect philanthropic trends.
  • Sector Highlights: Find out which sectors raised the most money and why.
  • How to Build AI-Readiness: Learn how your organization can build a culture ready for new technologies integration.
Click to explore A Snapshot of the 2024 Philanthropic Landscape

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Philanthropic Landscape Archive

Discover all our Philanthropic Landscape reports throughout the years.

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