Giving Paradigm: 7 Faces of Philanthropy

Giving Paradigm: 7 Faces of Philanthropy
Featuring: Matt Hugg, Non Profit Courses

Transcript

1. Giving Paradigm: 7 Faces of Philanthropy Featuring: Matt Hugg, Non Profit Courses
2. 40k Events, 400 Million Raised
3. All about NonProfit.Courses
4. Agenda: • Giving Paradigms • Seven Faces of Philanthropy • Building Relationships • They’re Giving • How to Use this Information • Deeper study • Book give away to one attendee • Open Q+A
5. QUIZ! What’s a paradigm? • 5 cents less than a quarter? • A point of view • The latest rocket by SpaceX?
6. What is “Philanthropic Behavior”? For our purposes today we mean… • Giving money to a nonprofit organization • Volunteering your time to a nonprofit organization The UN recognizes 4 types of volunteerism: • Mutual aid/self-help • Philanthropy and service to others • Civic participation • Advocacy and campaigning
7. Who Comes Up with These Paradigms? Several Groups, such as… • Fundraisers • Financial Advisors • Social Scientists • Everyone
8. Are there many Philanthropic Paradigms? • Ethnicity • Nationality • Age/Generations • Gender • Religion • Wealth • Geography • Political Affiliation YES! Among others, there is focus on…
9. How are these Paradigms Determined? Using Good Methods and Bad • Interviews/Ethnographic Research • Surveys • Studies of Studies (Meta-Data) • “What makes Sense” (Guessing)
10. However… What’s clear is… • There is no “one size fits all” reason for philanthropy • All the above factors influence philanthropic behavior • Actions Speak Louder than Words
11. Some Caveats: The Seven Faces was… • Based on a survey of people who had substantial wealth. • Not diverse in any sense of today’s definition, in terms of gender, ethnicity, sexual orientation, national origin and more. • Most of those surveyed and interviewed are of the “Greatest Generation,” in other words, the parents of today’s Baby Boomers
13. Communitarians: 26%, Doing Good Makes Sense • Local Business Owners • Service & Giving Good for Business • When local community prospers, they prosper • Lower education levels • See benefits in networking • Prefer to solve problems thru nonprofits than gov’t • Local is important • Look to advisors and friends to determine best nonprofits
14. Devout: 21%, Doing Good is God’s Will • Members of a local faith community • Give largely to religious orgs • College educated • See giving as spiritual maturity • Giving is a moral obligation • Not strong government supporters • Decide on charities based on trust • Want attention from the nonprofit
15. Investors: 15% Doing Good is Good Business • College educated • Give with Tax and Estate awareness • Support umbrella nonprofits (i.e. United Way) • Apply investment principles to philanthropy • Tend to be critical of nonprofits • Do NOT feel morally obligated to give • Methodical in their approach to giving
16. Socialites: 11%, Doing Good is Fun! • Find events appealing • Belong to local social networks • Less interested in day-to-day operations • Tie their reputation to nonprofit’s • Look at a nonprofit’s accomplishments • Nonprofit’s brand is important • Expect a nonprofit’s attention
17. Altruists: 9%, Doing Good Feels Right • May wish to be Anonymous • High empathy for social causes • May prefer urgent causes • Giving is a moral imperative • Believe that they are true philanthropists • Focus on integrity of nonprofit’s leadership • Want you to recognize their altruistic motivations
18. Repayers: 10%, Doing Good in Return • Former users of nonprofit’s service • Feel great loyalty to your cause • Don’t support many nonprofits • Believes that wealth brings obligation to give • Want effective program/service delivery • Don’t rely on friends and advisors for giving advice • Have little need for operational involvement
19. Dynasts: 8%, Doing Good is a Family Tradition • Often inherited wealth • Learned obligation • See giving as part of who they are • Think that everyone should give • Younger will give but not to same causes • Get asked by a lot of nonprofits • Careful in their giving decisions
20. Don’t Fall into Traps • Not all churchgoers are Devout. • Not all event attendees are Socialites. • Not all alumni or patients are Repayers. • Not all small business owners are Communitarians
21. Building Relationships with Each Type (Table 9.2, p. 139: Positive Images by Philanthropic Personality) Communitarian: responsibility, supporting each other, service, serving the community, fund raising, civic responsibility, accountability, leadership, social responsibility, doing good, good for the community, effectiveness.
22. Building Relationships with Each Type (Table 9.2, p. 139: Positive Images by Philanthropic Personality) Devout: God, mission, duty, doing good, service, opportunity, sense of purpose, good works, supporting each other
23. Building Relationships with Each Type (Table 9.2, p. 139: Positive Images by Philanthropic Personality) Investors: results, efficiency, performance, effectiveness, fiduciary, well managed, professional, leadership, accountability, opportunity, doing good
24. Building Relationships with Each Type (Table 9.2, p. 139: Positive Images by Philanthropic Personality) Socialites: special event, serving the community, charity functions, leadership, fund raising, doing good, supporting each other, fellowship
25. Building Relationships with Each Type (Table 9.2, p. 139: Positive Images by Philanthropic Personality) Altruists: self-fulfillment, socially responsible, sense of purpose, doing good, self-actualization
26. Building Relationships with Each Type (Table 9.2, p. 139: Positive Images by Philanthropic Personality) Repayer: payback, supporting each other, grateful, made a difference in my life, effectiveness, doing good, socially responsible, opportunity
27. Building Relationships with Each Type (Table 9.2, p. 139: Positive Images by Philanthropic Personality) Dynasts: family tradition, supporting each other, responsibility, family history, socially responsible, doing good
28. Seven Faces Giving Strategies Donor Familiarity with Charitable Giving Strategies (Table 10.1, p. 153) • Everyone is familiar with cash • Dynasts have the most sophisticated grasp of giving options. They also tend to know about foundations. • Devout and Altruists have the least familiarity with bequests, while Dynasts and Socialites have the highest. • Devout and Dynasts have a high interest in life insurance, while Altruists have the least
29. Seven Faces Giving Strategies Strategies Promoted to Donors by Nonprofits (Table 10.2, p. 154) • All Faces hear about cash • Repayers and Socialites hear the most about bequests and life insurance • Repayers and Communitarians hear the most about charitable remainder trusts • Investors hear the most about foundations
30. Seven Faces Giving Strategies Donor Interest in Learning About Giving Strategies (Table 10.3, p. 155) • Nobody wants to hear about cash • All want to hear more about foundations • Most (except Altruists) want to hear about charitable lead trusts • There is little interest in life insurance among all, especially the Dynasts • Few want to hear more about bequests, the Devout and Dynasts least of all.
31. Whatever the Paradigm… • Most Donors and Prospects do not see their giving like you do. • You may find hybrids within a paradigm, like Repayer-Socialites • You may find a donor applies a different paradigm to different NPOs • Partners/spouses will often be different types • Other factors may influence their giving, like age, geography, politics, etc.
32. How would you use this information? • Are more of one type or another attracted to your nonprofit? • When you plan fundraising work, are you leaving anyone out? • What type fits your top donor? • To back up your view of the world.
33. Create a Donor Avatar to see the Complete Picture
34. What are the Attributes of your… • Biggest Donors? • Most Donors? • Donors who give a certain way, like… ◦ Planned Giving Donors ◦ Direct Response (email, paper mail) ◦ Social Media Donors Key: What your donors ARE, not what you THINK or WANT
35. Want to Really Geek Out on This? • Get a copy of Science of Giving
36. Questions for Discussion • Now that you see these, do you recognize them? • Have you seen other types that could be an Eighth or Ninth face? • Have you used the Seven Faces or another type of paradigm in your work?
37. Branding Event website
38. Stay in Touch with Auctria @auctria Email: hello@auctria.com FB Group: Auction Team Talk auctria.com
39. Contact Matt Hugg at: By email at: matthugg@nonprofitedu.com Or on LinkedIn at: https://www.linkedin.com/in/matthugg/ And of course, check out: https://nonprofit.courses