Todays Agenda Information vs Insight FY20 Public Media Performance - PowerPoint PPT Presentation

Today’s Agenda • Information vs Insight • FY20 Public Media Performance Benchmarks

Information vs. Insight • Information : • “Just the facts”- often without context • Answers simple questions - and creates new ones • Insights : • Explain patterns • Find problems • Identify opportunities

Donor 5-Year Value – Which is doing better?

Overall Donor Retention – Which is better?

Lifecycle Mix

2nd Year Retention – Crisis? Yes or No? 70% 60% 50% 40% 30% 20% 10% 0% FYTD15 FYTD16 FYTD17 FYTD18 FYTD19 Multi-Year 61% 62% 60% 62% 62% 2nd-Year 34% 34% 32% 28% 24% Reactivated 30% 34% 30% 32% 32%

Channel Mix

Conclusion No slide or metric exists in a vacuum. Each one informs the others if you know where to look and can ask the right questions.

FY20 Public Media Performance Benchmarks & how you can use this information

Revenue Index (Gifts under $5,000) UNDER $5K INDEX 140% AFG Benchmark 120% 100% 80% FY20 revenue up 33% from donors giving < $5k compared to FY16. 60% Has your station been experiencing similar growth? 40% 20% 0% FY16 FY17 FY18 FY19 FY20 AFG Benchmark 100% 109% 119% 121% 133%

Revenue Index (Gifts of $5,000+) $5K+ INDEX 400% AFG Benchmark 350% 300% 250% 200% Revenue from $5,000+ donors tripled in the last 4 years. 150% 100% Do you have a thoughtful plan for moving donors up the giving ladder? 50% 0% FY16 FY17 FY18 FY19 FY20 AFG Benchmark 100% 147% 167% 192% 338%

Revenue by Week: January - June 2020

Insights Key Finding: COVID 19 has neither increased nor decreased giving to Public Media Stations. Recommendations:  Don’t be concerned about “donor burnout.” Donor cultivation should continue as usual.  Organizations that continued to fundraise during the early months of the pandemic raised as much – if not more – than the same time period in the prior year.  Do re-evaluate control packages for tone & messaging. Some urgent messaging that worked well last year may sound “tone deaf” today. Be mindful of what the situation is in your community but keep fundraising. Expected Outcome : Continued support of donors without declines in donor retention or revenue.

Revenue Index (Gifts under $5,000) Sustainers vs Single-Gift Program UNDER $5K INDEX 200% 180% Sustainer revenue has nearly 160% doubled since FY16, while revenue from Single-Gift 140% programs has improved 13%. 120% 100% 80% 60% 40% 20% 0% FY16 FY17 FY18 FY19 FY20 Sustainers 100% 127% 152% 167% 192% Single-GIft 100% 104% 107% 104% 113%

Share of Revenue (Gifts under $5,000) Sustainers vs Single-Gift Program PERCENT OF REVENUE 90% During the analysis period, revenue from Sustainers has increased from 27% to 39% of 60% total revenue. At the same time, the share of revenue from Single-Gift donors 30% has declined from 73% to 61%. 0% FY16 FY17 FY18 FY19 FY20 Sustainers 27% 31% 34% 37% 39% Single-GIft 73% 69% 66% 63% 61%

Active Donor Index ACTIVE DONOR INDEX 140% AFG Benchmark 120% 100% 80% Active donor counts are up 34% since FY16. 60% Are you utilizing all channels to drive donor acquisition – including digital lead generation? 40% 20% 0% FY16 FY17 FY18 FY19 FY20 AFG Benchmark 100% 113% 122% 123% 134%

Active Donor Index Sustainers vs Single-Gift Program ACTIVE DONOR INDEX 220% The number of Active 200% Sustainer Donors has 180% doubled over the analysis 160% period, while Active Donors 140% from Single-Gift programs 120% have remained steady, 100% 80% gaining 7% since FY16. 60% 40% 20% 0% FY16 FY17 FY18 FY19 FY20 Sustainers 100% 131% 155% 176% 208% Single-GIft 100% 107% 108% 103% 107%

Consider the following  Do you have a multi-channel approach for converting single-gift givers to Sustainers?  Are you utilizing digital lead generation to convert warm prospects to Sustainers?  Have you tested a Sustainer-first ask in direct mail?  Is your donation page set to recurring giving as the default?

Revenue per Active Donor REVENUE PER DONOR $200 AFG Benchmark Revenue per Active Donor $160 has remained consistent throughout the analysis $120 period, at $146 in FY20. $80 $40 $0 FY16 FY17 FY18 FY19 FY20 AFG Benchmark $138 $137 $142 $142 $146

Revenue per Active Donor Sustainers vs Single-Gift Program REVENUE PER DONOR $160 On an annual basis, Single- $140 Gift donors are of a similar value to Sustainers. $120 $100 $80 $60 $40 $20 $0 FY16 FY17 FY18 FY19 FY20 Sustainers $137 $134 $137 $136 $133 Single-GIft $135 $136 $142 $141 $145

Insights Key Finding : Revenue per Active Donor has remained remarkably stable during the analysis period while the file composition has changed a great deal. Both programs yield similar revenue per active donor metrics. Recommendation: You can’t ignore Single-Gift donors. You need an “And” strategy – one that focuses on both parts of your program. Expected Outcome : Optimizing each program will yield higher revenue for the station.

Percent of Donors Giving to Both Programs PERCENT OF FILE GIVING TO BOTH PROGRAMS 4.5% AFG Benchmark 4.0% Over the analysis period, 3.5% between 3.2% and 4.0% of 3.0% donors give to both the Sustainer and Single-Gift 2.5% Programs. 2.0% 1.5% 1.0% 0.5% 0.0% FY16 FY17 FY18 FY19 FY20 AFG Benchmark 3.4% 3.5% 3.4% 3.2% 4.0%

Insights Key Finding : Only between 3% - 4% of active donors give to both a Sustainer and Single-Gift in any one year – or less than one-in-twenty. Recommendation:  Look for multiple opportunities throughout the year to send Sustainers an Add Gift appeal.  Be deliberate about converting donors to both programs FY21. Expected Outcome : Doubling the percent of donors giving to both programs could increase annual revenue by 4%.

New Donor Index ACQUISITION INDEX 150% AFG Benchmark In FY20, donor counts for Public Media are up 38% 120% compared to FY16, and very close to the high-water mark of 90% FY17. 60% 30% 0% FY16 FY17 FY18 FY19 FY20 AFG Benchmark 100% 139% 130% 109% 138%

New Donor Index Sustainers vs Single-Gift Program ACQUISITION INDEX 210% More emphasis has been placed on acquiring 180% Sustainers during the analysis period. 150% 120% The Single-Gift program, while dipping in FY19, rebounded in 90% the latest FY. 60% 30% 0% FY16 FY17 FY18 FY19 FY20 Sustainers 100% 152% 144% 132% 185% Single-GIft 100% 125% 115% 96% 109%

Average Gift Size AVERAGE GIFT $45 AFG Benchmark $40 As expected, as more Public $35 Media stations have transitioned to monthly giving $30 programs, the Average Gift $25 has declined over the analysis $20 period, from $42 in FY16 to $30 in FY20. $15 $10 $5 $0 FY16 FY17 FY18 FY19 FY20 AFG Benchmark $42 $37 $33 $31 $30

Average Gift Size Sustainers vs Single-Gift Program AVERAGE GIFT $90 $80 The Average Gift Size in the $70 Single-Gift Program has been in the $80 range for $60 the entirety of the analysis $50 period, compared to the $40 $16-19 range for Sustainer Donors. $30 $20 $10 $0 FY16 FY17 FY18 FY19 FY20 Sustainers $19 $18 $16 $16 $16 Single-GIft $83 $80 $80 $83 $86

Average Gift Size – New Donors NEW AVERAGE GIFT SIZE $100 AFG Benchmark $80 New Donor average gift size $60 has declined over the analysis period, again, because of the $40 increased emphasis on monthly giving in acquisition. $20 $0 FY16 FY17 FY18 FY19 AFG Benchmark $49 $34 $33 $34

Average Gift Size – New Donors Sustainers vs Single-Gift Program NEW AVERAGE GIFT The Average Gift from New $100 Donors in the Single-Gift Program $90 has been in the $80 range for the $80 analysis period, compared to the $70 $13-17 range for Sustainer $60 Donors. $50 What size Sustainer gifts are you $40 soliciting? If you’re asking for $5 $30 or $10, consider testing a higher $20 entry amount – especially online $10 where you can adjust quickly. $0 FY16 FY17 FY18 FY19 FY20 Sustainers $17.51 $14.91 $13.65 $13.98 $13.11 Single-GIft $89.29 $73.11 $74.50 $75.82 $73.54

Average Gift Size – Reactivated Donors REACTIVATED AVERAGE GIFT SIZE $100 AFG Benchmark $80 The average gift size of Reactivated Donors has also declined, but to a lesser $60 degree. $40 $20 $0 FY16 FY17 FY18 FY19 AFG Benchmark $73 $67 $65 $65

Average Gift Size – Reactivated Donors Sustainers vs Single-Gift Program REACTIVATED AVERAGE GIFT $120 The Average Reactivated $100 Gift Size in the Single-Gift Program has been in the $80 $100 range for the analysis period, $60 compared to the $20-$30 range for Sustainer $40 donors. $20 $0 FY16 FY17 FY18 FY19 FY20 Sustainers $27.82 $22.88 $25.00 $23.09 $34.57 Single-GIft $94.79 $89.77 $93.98 $94.90 $99.53

Average Gift Frequency GIFT FREQUENCY 6.00 AFG Benchmark 5.50 The transition to monthly 5.00 giving has improved overall Gift Frequency -- at 5.02 4.50 gifts per donor in FY20, the 4.00 high-point of the analysis 3.50 period. 3.00 2.50 2.00 1.50 1.00 FY16 FY17 FY18 FY19 FY20 AFG Benchmark 3.34 3.78 4.47 4.77 5.02