Integrating Major Gift & Planned Gift Programs

Dana R. Todsen, ACFRE

President

Todsen & Associates, LLC

Integrating Major & Planned Gift Programs into Your Campaign


• Twelve firms studied the characteristics of 218 charitable donors.

• Discretionary income >$1 million who had made gifts >$50,000.


The Seven Typologies Communitarians: “Doing good makes

good sense.”

26% of givers.

Often local business owners.

Don’t just give, get involved.

Benefit is the network.



Devout: “Doing good is God’s will.”

21% of givers.

Give 94% to churches.

The Seven Typologies


Investor: “Doing good is good business.”

15% of givers.

One eye on the cause, and one on taxes.

Give broadly.


The Seven Typologies The Socialite: “Doing Good is Fun.”

11% of givers.

Enjoy social network.

Special events.

Not board members.

Give to arts and education.



Altruist: “Doing Good Feels Right”

9% of givers.

The Selfless Donor.

Moral imperative.

Tend not to serve on boards.

Give more to social causes.


The Repayer: “Doing Good in Return”

10% of givers.

Constituents first, donors second.

Have personally benefited.

Feel loyalty, obligation.Give to hospitals, schools.



The Dynast: “Doing Good is a Family Tradition”

8% of givers.

Inherited wealth.

Believe it is expected.

Variety of causes; each generation chooses its own.



Who will give to you?


Communitarian26%

Investor15%

Dynast8%

Socialite11%

Repayer10%

Devout21%

Altruist9%

PhilanthropyBased in values

DevelopmentUncovers shared values

Fund Raising

Gives people opportunities to act on their

values

Kay Sprinkel GraceHigh Impact Philanthropy


Transactional Bell CurveTraditional Method


Transformational Infinity Loop



Planned

Gifts

Major Gifts

Annual Gifts Participation

Active Involvement

Increasing Commitment

Long-term Investment

Constituent or predisposed to the cause

Gift Pyramid

Three Types of Organizational Gifts:

Current/operational tied to calendar 100% asking

Capital/project tied to special gifts 50% cultivation 50% asking

Planned/ultimate tied to need of the individual 90% cultivation 10% asking



What is a Major Gift? • Each organization must define.

• Best definition: “A stop and think about gift”.


Major and Planned Gifts are Everything?

• Gift tables are changing.

• Donors are much more selective.

• Constituency wants to do what they can.


What is a Gift Table?• A standard of giving, the gift table is

a concrete mathematical demonstration of the essential importance of major gifts to a successful capital campaign.

• A tool representing gifts to date.


Why and When Should You Develop a Gift Table?

• Indicates number and size of gifts needed.

• Test for leadership gifts needed.• Required for a feasibility study.


Why and When Should You Develop a Gift Table?

• Defines the goals that must be set.

• Raises donors’ sights.

• An essential management tool.

• An evaluation tool.


Who Uses the Gift Table?• Staff• Volunteers• Management• Donors


Standard of Giving in a Campaign:• Top Gift: 10 - 15% of goal (minimum).

• Top 12 - 15 Gifts: Equates to 40 - 50% of goal.

• Next 100 - 150 Gifts: An additional 35 - 40% of goal.

• Balance of Gifts: 10 - 15% of goal.


Rule of Thirds:• One will give nothing.

• One will give a token gift.

• One will give what you ask.


Break Down the Campaign into Mini-Campaigns:

• Advance gifts.

• Leadership gifts.

• Major gifts.


What is a Planned Gift?• Future gift.

• Gifts requiring professional assistance: Real Estate Securities

Personal Property

• Gift of assets rather than cash.

• Estate gift.

• Gift of accumulated wealth.

All of the above are major gifts!


Planned Gifts Are Now More Important to Success:

• 20 - 25% of goal.

• Include endowment.

• Recognize gifts in campaign.


Planned Giving Shouldn’t Be Optional:

• Enhances your program.

• Allows you to serve a more sophisticated donor.

• Provides long-term security.

• Personal wealth growing rapidly.


Why We Should All Raise PGs• May be the only way donor is able to make a major

gift.

• May be the only way donor is comfortable making a major gift.

• A fundraiser who can’t recognize a PG prospect and close a gift is not doing all he/she can do for their organization.

• A sustained effort brings a regular major gifts.


“Planned Gifts that have been recorded for more than 3 years begin to mature

at 10% to 12% annually.”

Ford-Thompson, 2006


Education

Integrating Major Gift & Planned Gift Programs