Lead Newsletter Articles

In many mature non-profit organizations, planned giving (PG) revenue from bequests, gift annuities, and charitable trusts can provide a significant source of revenue for endowment or as much as 1/3 or more of annual operating revenues. A strong PG program can diversify revenue streams and stabilize an organization’s operating budget, especially when economic times are uncertain and other sources of income may fluctuate. In 2004, bequests accounted for $19.8 billion in charitable giving to nonprofit organizations in the U.S.A. (AAFRC Trust for Philanthropy, 2005). During the next 50 years the baby boomer generation will inherit approximately $25 to $41 trillion, with charities expected to receive an estimated $6 trillion (Havens & Schervish, 1999). Is your organization prepared to capture its share of this tremendous source of potential funding?
 
The key to a successful PG program is comprehensive, consistent, repeated, clear communication through a synergy of various marketing media. In addition to traditional methods such as direct mail marketing and recognition societies, here are some other techniques to reach more prospects from within your organization through your best donors, volunteers and staff.
 
Start From the Top of the Organization. Present regular overviews and tips on the benefits of planned giving to your senior leadership, board and staff so they can act as ambassadors/door-openers for other PG prospects. These same groups of people should also be encouraged to make planned gift commitments to set an example for potential supporters.
 
Appeal to the Donor’s Initial Reason for Involvement in Your Organization. Be pro-active in promoting your mission and priority funding initiatives in your literature and at your planned giving events. A PG donor is usually first emotionally drawn to your organization’s mission, and then to the rational tax and income benefits of a particular gift type.
 
Give Before You Ask. Invite your best PG prospects to high-level cultivation events where they will learn key information from your organization’s senior leadership and program staff. These events may include tours of your facility headquarters, state-of-the agency presentations, PG Seminars, home-based donor receptions, mission information seminars, “friendraisers”, open-houses, etc. By providing prospects with exclusive information and connecting them with your senior staff members, you will build a stronger relationship with each prospect and set the stage for a successful future ask.
 
Get Your Message Out There. Particularly if your organization has limited funds for the marketing of planned gifts, be sure to incorporate and piggyback PG messaging on existing communications media such as annual reports, newsletters and mail appeals, benefit journals. Include articles about ways of giving, testimonials about why people have made planned gifts, ads, tag lines with the phrase “Remember (your organization) in your will,” and check-off boxes giving donors the opportunity to self-identify that your organization is already in their will, or to request more information.
 
Your Best PG Prospects Are Your Current Donors. Build a planned giving presence at your organization’s regular fundraising events where wealthy individuals are present. Include PG staff at volunteer planning committee meetings and in pre- and post-strategy sessions for events, as well as have them attend events, and introduce them to honorees, committee members, and loyal volunteers.
 
Reward Leadership Giving and Inspire Other Donations. Consider special awards to honor donors who have included your organization in their estate plans, or have made a significant leadership gift in order to encourage others to establish similar gifts.
 
Recognize Staff Who Provide PG Leads. Develop a non-monetary based incentive program to recognize and encourage non-fundraising staff to promote PG leads/gifts. Announce gift lead “assists” in your in-house newsletter or monthly email or at staff meetings. Consistently marketing planned giving within your organization and keeping the emphasis of your messaging on the mission will help position your organization to receive its share of this valuable revenue source.

Lisa Lager is Senior Director for Planned Giving at the American Cancer Society, Eastern Division. Throughout her 22 years of fundraising experience, Lisa has worked closely with donors and their advisors to help them realize their financial, estate and charitable goals, and has raised millions of dollars in leadership gifts to benefit ACS and other organizations, including Memorial Sloan-Kettering Cancer Center, the Jewish Guild for the Blind and New York Hospital-Cornell Medical Center.

This message is part of this month’s newsletter, which is available online. Please click here to read Fundraising News.