Friday, June 15, 2012


In the last three weeks. I’ve been to four different conferences talking about my bestseller, “Let’s Have Lunch Together.” My keynotes focused on relationship-centered fundraising and major gifts. Other presenters talked about special events, selling products to raise money, integrating social media, prospecting for major gifts and marketing.

One presenter did, however, mention that nonprofits continue to lose their donors at an alarming rate, with typical new donor retention running at only 30%. Why does this matter? Even small improvements in loyalty have a dramatic impact on the lifetime value of fundraising.

To me, it’s a simple equation. Just as in business, the cost of retaining a customer is far less than the cost of acquiring a new one. Loyal customers or donors become a strong community voice for your organization or as I call them, “Relationship Ambassadors.”

Here’s what I didn’t hear at these conferences – How to Train Everyone in Your Organization to Become Relationship-Centered.

When I asked community-based organization staffers to identify their customers, they all said, “the recipients of the services.” I disagreed: “Those are the beneficiaries of your good works. Your true customers are your donors, board, supporters, volunteers and, even grant makers. Without them you could not provide the services.”

What are you doing to involve everyone in cultivating and stewarding those who make your organization survive? Could you do more to make it thrive?

American Express recently told Fortune Magazine (April 30, 2012) how it transformed the Customer Call Center from transaction-oriented to one that capitalizes on building on the relationship with the customer. “We converted from a robotic, scripted environment to a conversational environment that brings the personality to life and brings one-to-one connections, which is what ultimately builds and sustains relationships.”

Couldn’t everyone in your organization from the Chairman of the Board to the receptionist to the program directors and the Executive Director learn how to seize opportunities to interact with each “customer” and build powerful alliances?

On my website, under Free Resources, I’ll show you some amazing results with Relationship-Centered Fundraising. Call me and I’ll show you how everyone in your organization can work together.