Site Demonstrationfor a new cultural marketplace

Monday, September 17, 2012

• Donor’s giving habits are changing– Donors are turning to online giving more and more– Online giving platforms have been wildly successful

• DonorsChoose.org• Kiva.org• Kickstarter.com

• Donor’s preferences are changing– More frequent, smaller gifts– Desire for transparency as to the impact of gifts– Restricted giving over unrestricted giving

The Giving Landscape is Changing

FACT:85-90% of Cultural Patrons are

NOT Donors

Opportunity is Knocking

• Online marketplace for cultural projects

• Opportunity to match donor interests and passions to projects in the community

• Fundraising and marketing tool

• Personalized solicitations that leverage technology and social media

What is power2give?

Projects posted by Cultural Organizations

Projects promoted through personal

solicitations

Donors contribute to specific projects

Donors share passion for projects through

social media

Posting organizations thank and engage

donors in new projects

What is power2give?

• Acknowledges donor trends– More frequent, smaller gifts– Utilization of online tools– Desire for transparency as to the impact of gifts– Restricted giving over unrestricted giving

• Cultural consumers have less overlap with cultural donors than expected

Why power2give?

• Dozens, but most popular:– Kickstarter – for profit and non-profit– IndieGoGo – “campaign” based– Donors Choose – classroom projects– US Artists – individual artists projects

• None of these platforms – Is designed specifically for non-profit cultural sector– Relies on local or regional host organization to support

platform – Has matching sponsor capability

Other Croudfunding Platforms

Niche BroadSector Focus

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pro

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p2g has advantages which point to potential opportunities

CrowdFunding Marketplace

• Niche market • Nonprofit structure

• Targets nonprofit project postings

• Site designed for fundraising and marketing with built in tools to train and share best practices in marketing and promotion

• Incorporates matching and challenge grants to incent compelling projects and individual giving

• Nonprofit platform• Gift card functionality can drive personal

philanthropy as well as corporate employee recognition plans

How Is It Different?

• Registered 501(c)3 organization, State Solicitation license

• Posting eligibility policies determined by local host– In Charlotte:– Projects that advocate history, science, arts, and culture– Located within Mecklenburg County– Received a grant from ASC within the last five years

• Also possible: posting arts-related projects by non-arts orgs – e.g. Boys & Girls Club art camps

Who Can Post?

• Administrative fee of deducted from gifts to cover – determined by host organization – generally 12%- Credit card charges- Web hosting- Marketing and promotions- Transaction processing

• Posting organizations may choose to include this cost in the amount of the project

What Does it Cost to Post?

Site Demonstration

Dane County Site

Results to Date

National Expansion

Implemented

Charlotte, NC | Greensboro, NC Kentucky & So. Indiana | Madison, WIMiami, FL | Winston – Salem, NC Houston, TX | Atlanta, GA

Committed

Broward County, FL | Fayetteville, NC NC Statewide | Eau Claire WIRaleigh NC | Durham NC

Negotiation/Exploratory

Birmingham, AL | Cincinnati, OHDenver, CO | Detroit, MI | Fairfax, VA Indianapolis, IN | Kansas City, MO Los Angeles, CA |Memphis, TNNew York City, NY | Philadelphia, PA Pittsburgh, PA | St. Louis, MO Salt Lake City, UT | San Jose, CA

• Eau Claire Regional Arts Center promotes site and obtains matching funds

• Cultural organizations post compelling projects

• Organizations promote projects to cultural constituencies

• Donors make gifts to projects and invite others to do the same

power2give Keys to Success

Donors

Cultural Partners

power2give.org Platform

• Posting Organizations submit compelling projects• ECRAC screens, approves, and posts projects• Organizations promote their projects• Donors make gifts within project funding window

(typically 90 days)• power2give.org and organizations thank donors• Organizations are provided donor data and funds• Organizations share project success with donors

Process Summary

Questions & Answers