Members of the Association for Healthcare Philanthropy, which includes 2,200 hospitals, has seen an 11 percent drop in giving from 2008-2009, from $8.6 billion to $7.7 billion. But William C. McGinly, president and CEO of the association, says there are still ways for fundraising to prosper in these hard times. Here he itemizes seven actions fundraisers can take to shore up their efforts.
1. Don’t bring up your problems. "People don’t want to donate to an institution they have fears about," Mr. McGinly says. "They want to be confident in what they are supporting."
2. Have a story to tell. Rather than approach donors with hat in hand, "have a good story to tell." For example, talk about the child who was difficult to diagnose who was successfully treated at the hospital.
3. Protect fundraisers from layoffs. When fundraisers who have relationships with donors are laid off, building those relationships up again is a very slow and time-consuming process. "Organizations that best survived last year’s worsening economy were those who persevered by keeping sufficient staff and resources to maintain well-rounded philanthropic opportunities and programs," Mr. McGinly says. Some of the most successful fundraisers are academic healthcare systems and children's hospitals, which often maintain large fundraising staffs. The association's Dec. 2008 survey of members showed a 10-14 percent drop in staff dedicated to charity, but layoffs were much lower in Dec. 2009 survey.
4. Put more focus to major givers. When times are tough, focus on the big donors. "There is a larger payoff opportunity with large donors," Mr. McGinly says. It takes time to build relationships with donors. The money may not come through immediately but there may be a payoff later.
5. Ask for long-term pledges. Even major donors may not have the money now, but they will in the future. A Minneapolis donor, for example, signed on to a seven-year pledge of several million dollars, confident that he could honor his commitment in that time period.
6. Keep in touch with donors. When a major capital campaign has ended, keep in touch with major donors and show them the projects their donations have wrought. "You should embrace them," he says. "Invite them in to show them what is happening with the money you have collected."
7. Fundraising should inform outreach. The fundraising arm of the institution can help the organization focus its mission to the community. The message to the community should be one of caring rather than competition or "business first." Summa Health System in Akron, for example, allowed its foundation to take the lead in deciding the system's community initiatives. Working closely with the hospital, the foundation saw an impressive return on investment, Mr. McGinly says.
8. Get your message out. "Make sure the community knows all the things you are doing," Mr. McGinly says. One hospital listed its initiatives on the last page of the annual report. "The people who read the annual report already know what the hospital is doing," he says. The organization needs to go out into the community. For example, representatives should attend meetings of groups like the Kiwanis and Elks, reach out to the local media and communicate through the organization's website.
9. Look to your own community. Physicians, board members, management and employees are better informed about the institute and "respond magnificently," Mr. McGinly said. Gifts from physicians and physician groups averaged $5,000 in 2009, up $3,000 from 2008.
10. Realize all fundraising is local. Success in fundraising is not even regional. It is local, influenced by the financial picture in each community. This makes it hard to compare your success with others. Things that work in one community may not work in another.
Find out more about the Association for Healthcare Philanthropy.
1. Don’t bring up your problems. "People don’t want to donate to an institution they have fears about," Mr. McGinly says. "They want to be confident in what they are supporting."
2. Have a story to tell. Rather than approach donors with hat in hand, "have a good story to tell." For example, talk about the child who was difficult to diagnose who was successfully treated at the hospital.
3. Protect fundraisers from layoffs. When fundraisers who have relationships with donors are laid off, building those relationships up again is a very slow and time-consuming process. "Organizations that best survived last year’s worsening economy were those who persevered by keeping sufficient staff and resources to maintain well-rounded philanthropic opportunities and programs," Mr. McGinly says. Some of the most successful fundraisers are academic healthcare systems and children's hospitals, which often maintain large fundraising staffs. The association's Dec. 2008 survey of members showed a 10-14 percent drop in staff dedicated to charity, but layoffs were much lower in Dec. 2009 survey.
4. Put more focus to major givers. When times are tough, focus on the big donors. "There is a larger payoff opportunity with large donors," Mr. McGinly says. It takes time to build relationships with donors. The money may not come through immediately but there may be a payoff later.
5. Ask for long-term pledges. Even major donors may not have the money now, but they will in the future. A Minneapolis donor, for example, signed on to a seven-year pledge of several million dollars, confident that he could honor his commitment in that time period.
6. Keep in touch with donors. When a major capital campaign has ended, keep in touch with major donors and show them the projects their donations have wrought. "You should embrace them," he says. "Invite them in to show them what is happening with the money you have collected."
7. Fundraising should inform outreach. The fundraising arm of the institution can help the organization focus its mission to the community. The message to the community should be one of caring rather than competition or "business first." Summa Health System in Akron, for example, allowed its foundation to take the lead in deciding the system's community initiatives. Working closely with the hospital, the foundation saw an impressive return on investment, Mr. McGinly says.
8. Get your message out. "Make sure the community knows all the things you are doing," Mr. McGinly says. One hospital listed its initiatives on the last page of the annual report. "The people who read the annual report already know what the hospital is doing," he says. The organization needs to go out into the community. For example, representatives should attend meetings of groups like the Kiwanis and Elks, reach out to the local media and communicate through the organization's website.
9. Look to your own community. Physicians, board members, management and employees are better informed about the institute and "respond magnificently," Mr. McGinly said. Gifts from physicians and physician groups averaged $5,000 in 2009, up $3,000 from 2008.
10. Realize all fundraising is local. Success in fundraising is not even regional. It is local, influenced by the financial picture in each community. This makes it hard to compare your success with others. Things that work in one community may not work in another.
Find out more about the Association for Healthcare Philanthropy.