The Nonprofit Sector’s Most Pressing Issues: The C-Level Exec’s Point of View
Harrison next posed the question of how you respond and what is needed from the staff when the board of directors says fundraisers are wasting too much money on snail mail because the world is going digital.
“Understand truly what the value of each channel is, and explain why you invest in it,” McGregor said. He also proposed asking yourself how you can generate more income. “Have a finance committee going through what makes money, how it makes money, what the lifetime value is, metrics, ROI, where to invest,” he added. Then use that detailed data to explain why direct mail — or any other channel for that matter — is a good investment. Let the numbers do the talking.
“Get data information on a regular basis proactively,” Harrison agreed.
Tandon added these suggestions:
- Show me the numbers.
- Are we optimizing expenditures?
- Are we maximizing ROI on total investment? The best way to do that is to diversify channels.
- Staff must know the data like the back of their hand.
“I find that if you know those answers, the questions of why you are doing things hardly come up,” Tandon said.
Check back next week for part 2.