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November 8, 2024

Carl G. Hamm web

From the Desk of

Carl G. Hamm ¦ Partner

The Business of Philanthropy


Every time I open my inbox, I am reminded what a big industry the business of philanthropy has become. On any given day, I could participate in half-a-dozen webinars and learn from the experts on everything from how to maximize my year-end giving strategies, amplify my Giving Tuesday results so they don’t fall flat, or learn how to avoid the most common pitfalls in fundraising. And those are just a few of the opportunities I’ve been given this week.

With Giving USA reporting that the number of 501(c)(3) organizations has grown by 3.2% per year over the past ten years to nearly 1.5 million nonprofits, it is only natural there would be a significant increase in the number of companies marketing to the nonprofit community.

I am often overwhelmed and disappointed by the volume of unsolicited email I receive from vendors attempting to sell me something to improve my approach to practically every aspect of the development profession. Quick fix, too-good-to-be-true advice on how to win at fundraising confronts us at every turn.

It sometimes feels disingenuous and insulting to me when the depth and wonderful nuance to the effective practice of our noble profession is reduced to a clever AI-generated subject line. The outcome of our work should be so much more than filling an arbitrary number in a budget spreadsheet, and there is no shortcut or silver bullet to replace the hard work of building authentic, lasting relationships with those inclined to support our organization’s mission and programs.

Professional development is essential for all of us to stay on top of best practices and learn new approaches. But alongside the unfiltered barrage of sales-focused marketing information about the tools of our trade infused into our lives, we should remember that the essence of an effective development program is more than just a loose collection of freestanding tactics to be improved. The business of philanthropy is still rooted in advancing work that benefits humankind, not the philanthropic industry itself.

Client Partner Historic Campaign

The University of Maine Foundation received the largest single gift from an individual in UMaine’s 159-year history — a $16 million donation from the estates of alumnus Pierre “Pete” Labat and his wife, Catherine Clair Labat.
 
“This transformational gift will establish the Pierre D. Labat and Catherine C. Labat Athletic Leadership Fund, which will provide critical support for Black Bear student-athletes and athletic facilities,” said Foundation President/CEO Jeff Mills. “The Labats’ generosity reflects their love for UMaine and their belief in the role athletics can play in helping young people develop and practice self-discipline in the personal, academic, and career aspects of their lives.

Congratulations to our Client Partner on this historic gift!
 

Election No Distraction for Younger Diverse Donors

Recent research findings challenge the long-held belief that elections negatively impact overall charitable giving by drowning out nonprofits in favor of political campaigns. Survey data found that younger and more diverse donors are planning to ramp up their gifts to charities this year, according to research tracking giving intent amid a turbulent election year.

The survey, conducted in August, was a follow-up to an earlier round of research in April.

Key Findings

  • Compared with April, those surveyed in August were overall more likely to be planning to donate to a cause or campaign. In August, 66% of respondents said they planned to donate to a charity soon, up from 42% in April with the largest increase coming from those ages 25 to 34.
  • 27% of donors of color said they planned to raise their charitable donations compared with 14% of white donors.
  • Midlevel donors, who made a gift of $1,000 of more, were more likely to say they planned to give more to a charitable cause than they have in previous years.
  • Respondents who listed candidates or political causes as among their top three giving priorities were also 26% more likely to say they planned to increase their overall charitable giving.
  • 60% of respondents said they had seen or received political fundraising requests within the previous year, up from 41% in April.
  • Organizations that would be directly affected by the outcome of the election should have messaging ready to go regardless of which candidate wins to avoid a repeat of the 2016 election.
  • While many nonprofits have relied primarily on urgency in their year-end appeals, more organizations pivot to a message of hope and optimism that could play better with donors.

The survey was conducted by fundraising and advertising consultancy Blue State. COP, 10-23

What to Say Now and How to Say It

Philanthropy for Active Civic Engagement (PACE) recently published a language resource guide in advance of the elections, when tensions mean words could trigger firestorms or worse. As part of five years of research, PACE analyzed a nationally representative survey that measures the reaction of more than 5,000 registered voters to 21 words. Its report includes an index, based on the survey, that ranks whether words are met with a favorable response and can bring people together. Conversely, it looks at whether a word is received negatively and pulls us apart.

The guide offers advice for after the election.

Lean on words that can unify.
“Community” has the highest score on the PACE index and aligned with the values of survey participants across politics and age and regardless of whether they lived in rural or urban areas. Other words: “service,” “belonging,” “liberty,” and “freedom.”

The wrong word can shut down a conversation before it starts.
For instance: Because “democracy” doesn’t register well with some, the report suggests using it in close proximity to “patriotism.”. Other suggested pairings to help connect with the left and the right: “American” and “diversity,” “republic” and “equality.”

Recognize that some words are too vague or open to interpretation.
Most survey respondents couldn’t get a fix on “civic,” although the word is widely used in phrases such as “civic engagement” and “civic health.” (The report suggests “community” might serve as a proxy.)

Response will depend on the audience.
The report studied how survey participants from various demographics reacted to the words and whether they embraced them as reflective of their values. “Diversity,” for instance, was warmly received by liberals, young people, and those living in cities. Conservative, older, and rural participants found alignment in “patriotism” and “republic.”

Go here for the full report. COP, 10-24

December 3, 2024

giving tuesday

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For more than 35 years, Alexander Haas has been a fixture in the nonprofit community. We are honored to have worked with so many large and small college and universities; both public and private institutions, across the country. These schools that help mold today’s young adults into tomorrow’s leaders. Take a look at our list of higher education clients, past and present.

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Whether your need is in Capital Campaign, Annual Fund Campaign, Major Gifts, Leadership Annual Giving, Planned Giving or all of the above, we take a fresh approach to nonprofit fundraising.