Suzan Jenkins, CEO of the Arts & Humanities Council of Montgomery County, moderated a convention panel on creative methods for growing new funding born out of the experiences of the recession. The rise of online funding campaigns, emphasis on creating partnerships with businesses and, more radically, treat all philanthropic support as start-up funding and don’t rely on it for core operating income were some of the ideas explored. The consensus was to, remain flexible but, above all, stay true to your mission.
Maud Lyon, executive director of the Cultural Alliance of Southeastern Michigan, used the Community Foundation Challenge in Detroit as an example of the challenges and best practices for online giving/day of arts giving campaigns. A major goal of the Challenge was to raise awareness for the arts and culture sector.
Referencing it as “Glitches to Riches,” Maud said the Challenge program raised $4,992,000 million for 75 organizations in one day. While the larger organizations raised higher dollar amounts, smaller organizations raised a higher proportion of their budget size. Existing donors were the mainstay of the Challenge (59 percent), but the Challenge brought in a significant number of new donors as well (28 percent).
Lessons learned by the arts community include: the importance of being prepared with technology and social networking in order to be able to respond quickly to challenge opportunities; the future of online giving is with younger donors; and, convenience, ease, flexibility and lack of pressure are the appeals of online commerce.
Maud emphasized the necessity of a good donor database and an excellent donor stewardship program. She personally donated to twelve different organizations during the Challenge, received very few thank you letters, and only three of the twelve followed up the following year for new donations. Lost opportunities! Read the rest of this entry »