Derwin Dubose

Don’t wait to engage millennial donors

// June 2nd, 2008 // 2 Comments » // Blog, Fundraising, Non-Profits

For fundraising, most organizations solely look to boomers and seniors for donations. As a major gifts officer, I completely understand it. The prospect pool is much higher because of the sheer population numbers and income.

This conventional wisdom often leads organizations to completely ignore young donors, but they are making big mistakes if they don’t build donor relationships with millennials.

Millennials are willing to give. The Center on Philanthropy at Indiana University (working with Campbell & Company consultants) released an excellent report confirming that millennials are just as likely as any other generation to donate. In a study of 10,000 people representing each generation, the average giving level of millennials is on par with that of other generations.

The study also found that millennials are more likely than any other generation to cite the “desire to make the world a better place to live” as a key motivation for their philanthropy. According to the Association of Fundraising Professionals, this response suggests that younger donors will respond better to messages that focus on the global impact of an organization’s work.

Millennials are willing to raise money. From activities like Jump Rope for Heart to collegiate dance marathons, philanthropy has been part of most millennials’ complete educational careers. Fundraising allows us to scratch the entrepreneurial itch, and more college and even high school students are stepping up to the philanthropic plate.

Non-profits would be remiss to not engage students in their fundraising efforts. My organization, the Ronald McDonald House and Family Room of Durham, is working with Duke University through DukeEngage, a program that places Duke students in summer internships at non-profit agencies. Our great interns are engineering a program called Schools of Hope that will engage local elementary and high school students in fundraising for the Ronald McDonald House.

Millennials are willing to take on executive volunteer roles and make major gifts. I serve on the board of Traction, a 501c3 organization that engages young people in civic life, and I’m a major donor to both Traction and the Ronald McDonald House. My best friend Josh is a trustee of his church and contributes over 10% of his salary to the church and it’s non-profit foundation. We both deduct manageable amounts each month from my paycheck that add up to major gifts for the organizations.

One of the best ideas I’ve heard is from Tracey, a VP for Development at the United Way who commented on my blog over at Brazen Careerist. Her organization is starting a Young Leaders Society to encourage major giving among 20 and 30-somethings.

And millennials could become lifetime donors. Investing in young donors now can be very profitable for organization’s long-term success. Getting a donor engaged in her 20s — even at a low-dollar level — and effectively stewarding her generosity could develop a lifetime donor. Over a potential 30+ year relationship, donations will grow with her income and she’d be perfect for capital projects and planned giving as years go on.

Universities have long realized these points. UNC, my alma mater, begins donor relationships from the day you enroll. Their HeelRaisers Society and senior campaigns even allow students to network and solicit other students via Facebook. Once you graduate, you’re invited to join the Young Alumni donor network and given “discounts” to join the University’s highest giving societies.

The sooner non-profit organizations borrow these ideas and engage with young donors, the better their outlook for the future.

How non-profits can attract young board members

// May 19th, 2008 // 2 Comments » // Blog, Non-Profits

The non-profit sector is providing a remarkable opportunity for twenty-somethings in all walks of life. Most non-profit leaders, especially board members, are retiring soon, leaving a void that we should step up and fill.

I’ve written before that twenty-somethings should extend their volunteer roles to include executive-level volunteering such as joining boards and committees for non-profit organizations. However, organizations have to provide key things if they want to attract young people to help lead them:

A sense of purpose. Good board members want to connect with a noble cause and “give back” to the community. They want to connect with a defined mission that helps someone else. For the Ronald McDonald House of Durham, where I work, it’s helping critically ill children and their families. For Traction, the organization whose board I’m on, it’s getting more 20 and 30-somethings involved in civic life.

Clarity. Recruiting board members should be taken as seriously as hiring new staff. With many organizations, people are simply asked to “join the board” without details on what they will be expected to do. Instead, potential board members should be given a clear, concise job description that outlines roles, responsibilities, or expectations.

Accountability. Good board members need to be managed effectively and held accountable for their performance. Staff at non-profits should regularly touch base with all board members, make sure they are engaged, and help them accomplish their goals for the organization. And if they aren’t, you should ass them to “piss or get off the pot.” Good board members will want their colleagues to be held accountable as well — no one wants to pull a disproportionate amount of weight.

Technology and social networking. Keeping millennial board members engaged will require thinking outside of the box for decision-making and communication. In-person meetings will always be necessary for some things, but organizations should start using conference calls, voice over IP, online document collaboration, chats, and social networking groups that can allow busy people to contribute outside of boring meetings.

Benefit to them. The best board members will stay with organizations because there is a personal and professional benefit to their involvement. Organizations should provide opportunities for networking, professional development, skills extension, fun and other benefits to board members.

A sense of accomplishment. Board members need to see the fruits of their labor. Organizations should set SMART goals (smart, measurable, attainable, realistic, and timely) and involve board members in accomplishing them. Giving them specific tasks, creating an action-oriented culture, sharing the organization’s success will surely keep great board members around — as opposed to many groups, whose boards do little other than sitting around and talking about what should be done.

Organizations that don’t provide these things for board members will lose severely. Board members could feel unchallenged, unneeded, or like they’re spinning their wheels. And given how busy talented millennials are, they’ll likely move their time toward structured activities and organizations.

The smartest organizations will use these tactics now to ensure sustained participation and leadership from the best and the brightest our generation has to offer.

Social enterprise is the future of non-profit organizations

// April 30th, 2008 // 1 Comment » // Non-Profits

I spent today with social enterprise on the brain. In a class that’s part of my non-profit management program at Duke University, David Rendall, a Mt. Olive College business professor and author of some very cool books, proposed social enterprise as the future of non-profit funding.

As of 2006, there were nearly 1 million 501(c)(3) organizations in the US — a nearly 70% increase from the 536,000 there were ten years earlier — and I’ve heard that number currently grows at a rate of 1,000 per month. As the number of non-profits grows, inefficiency within our field goes up while the pool of available donors shrinks. Competition will be high for donations, and only well-oiled organizations will be able to thrive in the super-saturated market.

Given the conditions of the market for non-profits, how can non-profits protect themselves for the future? One way to look at becoming a social enterprise: a non-profit organization that generates earned income to support its social purpose. Earned income is revenue that’s received in exchange for products or services

Here are some notes from David’s class:

Organizations should combine service with business. A great example is TROSA, an organization in Durham, NC, that provides residential rehabilitation to recovering substance abusers. TROSA gives their program participants jobs in several businesses, including landscaping, framing, moving, and event logistics. The men in the program get job experience and structure to continue their rehab, and the organization gets much-needed funding from their enterprises across the state. In fact, my home-owners association contracts with TROSA to do our yard work.

Social enterprise should participate in the Experience Economy. More and more, consumers are paying top dollar to have unique experiences. It’s why Wilco broke new ground — ignoring the naysayers — by providing albums for free to generate million-dollar interest in their tours. It’s why people from all over the Mid-Atlantic region flock to Durham for the World Beer Festival and why people go to the symphony. They want non-replicable experiences. Non-profits should consider eco-tourism, travel, direct service opportunities, and experiential events as new fundraising mechanisms.

Don’t take on business models that have been rejected by the private sector. In the age of eBay, we don’t need another thrift store. Goodwill still manages to make it work very well (while linking it to their direct service to the public), but unless you have the capacity to launch a national chain, you should leave it alone.

Consider other audiences for our organization. Too often, groups dismiss social enterprise because the people they serve can’t afford to pay. Don’t concentrate solely on your service constituency, but think about businesses and individuals who are willing to pay for what you give. For example, one of my classmates today runs a violence alternative training program for prisoners and at-risk youth. They could slightly modify their program and teach conflict resolution and alternative dispute resolution techniques to corporations. The corporate training and consulting could completely fund their prison and school programs.

And finally, don’t start a non-profit, start a social enterprise that can make money and then fund charitable pursuits. Starting a business is far, far easier than starting a non-profit. All of the forms, legal information, reporting, and liability with a non-profit added to the super-saturated market for non-profits is reason enough to concentrate on social enterprise.

David’s class was by far the best I’ve had in the Duke non-profit program, and he’s an excellent thinker on leadership and how we can expand the non-profit sector. Check out David’s blog to learn more about his teaching, speaking, and international consulting and stay tuned for more info on him. I think he and I will be sharing a lot of ideas in the future.

Four tips for twenty-somethings to navigate the generation gap at work

// April 9th, 2008 // 2 Comments » // Blog, Career, Education

I ran across this Chronicle of Philanthropy article, which discusses generation gap challenges in the non-profit workplace. As someone who has been the youngest person in every organization I’ve worked with, I can fully understand the challenges of balancing that gap.

The article reminded me of In Good Company, a 2004 film in which Topher Grace plays Carter Duryea, a naive, know-it-all twenty-something who flails in a job managing people twice his age.

In Good Company is one of my favorite movies (well worth renting or buying), and if you pay attention to the things Carter did wrong, you can learn some great lessons on how twenty-somethings can effectively handle being the NKOTB (New Kid on the Block) and use it to advance one’s career:

Enter with humility. From day one, be respectful and mannerable to all employees, no matter their rank or age and go out of your way to be nice to people. I carve time out of my day to have a conversation with each of my coworkers, and everyone in the office hears my Southern “How yall doing?” spoken to everyone I pass in our building. This shatters the stereotype of the young know-it-all punk and sets the tone for open conversation and friendships.

Build relationships with the veterans. When I took my first political job, I befriended the woman whose office was next door. She was the longest-serving employee, having served at least 7 years more than both the CEO and CFO, and had the largest state-wide network of anyone there. She not only gave me great insight into the business, but she also became my mentor, giving me valuable career and personal advice, standing up for me when a bully attacked, and giving me references. Although I moved on from that job, she and I still keep in touch.

Seek institutional knowledge. Ask the people who have been at your organization for a while to give you context on the organization’s history and current problems. Not only will you better understand the issues facing the organization, you’ll almost always learn some lessons and potential pitfalls you wouldn’t otherwise see. Plus, it helps with relationship building.

Be helpful outside of your job responsibilities. You can easily win friends and influence your older coworkers by being of service to them. At one job, the staff was responsible for taking the trash outside to the curb three times a week, and I volunteered to lead trash duty each week. At my current job, one other coworker (who is 25 and really cool) and I have helped teach MS Excel and Publisher to veterans without much computer experience. It continues relationship building and developing an office brand of being helpful and a team player.

These tips have helped me navigate the generation gap in my career, and I hope it can help someone avoid making Carter Duryea’s mistakes.

Build your fundraising credentials through professional development

// March 18th, 2008 // 2 Comments » // Blog, Career, Education, Fundraising

One of the most frustrating parts about a career in development is that there is no set path into the field. Most of the people I encounter come from seemingly random backgrounds and degree paths and connected to fundraising during parts of their careers. My mentors in development have been journalists, pharmacists, and even sociologists before becoming fundraisers, and I got into the field after a degree in history — North Carolina history, to be exact.

So how can someone get training in fundraising or make themselves marketable to development employers? The key is professional development.

There are many part-time or seminar-based programs in fundraising that not only give you great skills but can enhance your resume significantly. If you’re looking to break into the field, or if you’re a non-profit professional, you should check out these programs:

Duke University Certificate in Non-Profit Management: I’m partial to this program because I’m in it, but it offers workshop courses all over NC on all aspects of non-profits, but with the option to concentrate on fundraising courses. Most of the workshops last one day at a time — so you can take a day off or ask your employer for a professional day — and it’s quite affordable. More important, it’s taught by NC fundraising consultants and professionals, and gives a lot of options for networking.

The Fundraising School at IUPUI: The premiere place for development training, the Indiana University-Perdue University Indianapolis offers an excellent training program on all aspects of fundraising. It’s a bit expensive, but it’s definitely worth looking into if you can afford it. My boss is pursuing training there.

Association of Fundraising Professionals: The “trade organization” for fundraisers is an excellent place to get great training. Their website lists a host of information, including job listings, that is free, but membership gets you access their listserv (which is invaluable) and great trainings that are free to members or reduced in price. The biggest perk is that there are local chapters nation-wide, cutting down your travel that could be a problem for the other two programs.

There are also affordable programs in the political fundraising arena. Even if you aren’t interested in working in politics, the lessons of political fundraising can help you immensely in the non-profit world.

EMILY’s List has quite possibly the best political fundraising training there is. The organization specializes in getting Democratic, pro-choice women elected to office up and down the ballot, but their training is open to all genders. They take the show on the road, so check and see if they’re near you.

Camp Wellstone is the best thing I did during my career in politics. The training teaches people how to run campaigns like Sen. Paul Wellstone, UNC alum and all-around great guy who was tragically killed in a plane crash. The fundraising portion of the program is phenomenal, and they travel more than EMILY’s list does. They’re all over the US and on college campuses.