Podcast Summary: Nonprofit Leadership Podcast with Dr. Rob Harter

Episode Title: What is the Fundraising Report Card?
Guest: Greg Warner, CEO of MarketSmart
Date: April 13, 2026

Episode Overview

This episode centers on the importance of leveraging data to foster stronger donor relationships and enhance fundraising effectiveness in the nonprofit sector. Dr. Rob Harder interviews Greg Warner, founder of MarketSmart and creator of the Fundraising Report Card—a free tool designed to help nonprofits better understand and manage their donor data. Together, they explore how technology, particularly AI and focused analytics, is reshaping how nonprofits engage donors, analyze giving trends, and build sustainable, meaningful fundraising strategies.

Key Discussion Points & Insights

1. Moving from Transactional to Relational Fundraising

• Greg (00:03–00:44) and Rob (01:20–03:55) discuss the sector’s unfortunate tendency to treat donors as "ATMs" or mere transactions rather than as real people with whom to build genuine relationships.
• Key Insight: Sustainable fundraising hinges on authentic, empathetic connections—not just asking for money.

Quote:
"You never want to treat your donors as walking ATM machines...Never treat people, never treat donors as just a transaction."
—Rob Harder (03:55)

2. Greg Warner’s Origin Story & Approach

• Greg (05:24–09:23) recounts his transition from agency work to nonprofit focus, spurred by dissatisfaction with how he was treated as a mid-level donor.
  • Personal experience led him to develop a donor-centric, data-driven approach.
  • Early solutions involved surveying supporters to self-qualify and leveraging automation to personalize outreach.

Memorable Moment:
Greg becoming a volunteer caller for a charity to demonstrate his method, setting the stage for MarketSmart’s evolution.

3. The Fundraising Report Card: Purpose & Evolution

• Origin: Born from collaboration with Bill Levis (Urban Institute, FEP)—originally a C-programmed tool for donor metrics, reimagined by Greg for speed, accessibility, and wider adoption. (10:04–13:08)
• Functionality: Provides easy-to-understand dashboards on donor trends, lapsed donors, segmentation, and growth metrics. (13:27–14:54)
• Practicality: Widely used for board reporting and identifying areas needing attention (e.g., major lapsed donors).

Quote:
"It gives any leader their high level metrics instantly so that they can report to the board...And especially in the lapsed figures, they can very easily see by just clicking on it, you can then see which are the donors that have lapsed."
—Greg Warner (13:27)

4. The Role of AI & Future Developments

• Upcoming Changes: New version in development will include AI-driven features—real-time benchmarking, deeper segmentation/customization, consultant tools, and conversational interfaces for querying data. (15:09–17:04)
• Real-Time Benchmarking: Unlike quarterly, delayed sector benchmarks, the Fundraising Report Card will offer up-to-the-minute metrics, with some trade-offs in data "cleanliness." (17:04–18:33)
• AI’s True Value: Automates repetitive tasks, enabling fundraising professionals to focus more on donor relationships.

Quote:
"The biggest thing [with the new version] is really the AI capability...It'll let the user talk to it, ask it questions...There's just all kinds of questions you can ask it. I think the AI is probably the biggest benefit."
—Greg Warner (15:09)

5. Top Fundraising Metrics & Common Blind Spots

• Lifetime Value is Key: Far more predictive than backward-looking metrics; reflects the total expected revenue from a donor over time. (19:02–20:48)
• Clean Data is Crucial: Decision-making is only as good as the integrity of the data—messy records and shifting definitions undermine analysis. (21:36–24:07)
• Stop Measuring Just Activities: Traditional focus is on number of calls, meetings, solicitations—metrics that are inward-facing. Instead, focus on donor-centric outcomes (e.g., level of engagement, permission to be contacted).

Quote:
"The most powerful metric any leader should absolutely pay attention to is lifetime value...It's the only one that's forward-looking, while all the others are pretty much backward-looking."
—Greg Warner (19:02)

6. The Ultimate Goal: Donor Autobiographical Heroism

• Empathy & Value Exchange: Major and transformational gifts only happen when nonprofits offer donors an avenue for "heroic" self-realization—the chance to be part of a meaningful narrative. (33:03–37:00)
• Sector Trends: Percentage of Americans giving to charity has dropped from 66% to 47% in the last 20 years—Greg links this to transactional mindsets and lack of donor empathy.

Quote:
"The art, the science. Everything about philanthropy and giving is to help support the advancement of the donor's autobiographical heroism...Support their advancement so they can gain a hero story and an identity where they look in the mirror and they say, 'I did good. I'm a good person.'"
—Greg Warner (33:03)

Star Wars Analogy:
"In Star Wars, you have Luke Skywalker as the hero...Obi Wan Kenobi is just the guide. Be the guide. Don't try to be the hero. Support your supporters."
—Greg Warner (36:37)

7. Resistance to AI and Tech Change

• Staffing Paradox: Use of AI often increases human staffing needs—improving relational work while automating repetitive tasks. It's about optimizing staff for higher purpose, not replacing them. (30:04–31:59)
• Overcoming Fear: Many leaders fear AI displaces people; Greg’s experience is the opposite: better value = more business = more need for real human relationships.

8. Balancing Transactional and Relational Mindsets

• Two “Businesses”: Charities operate in both transactional (e.g., events, direct mail) and relational (major donor, stewardship) modes. The pull toward transactionality is strong; leaders must consciously pivot toward relationships for larger gift potential. (37:42–39:58)

Quote:
"Gravity always pulls you back to the transactional. It's always easier and more convenient to behave transactionally...But we also need to pivot and change our mindset from transactional and extractional to relational."
—Greg Warner (37:42)

Actionable Takeaways

• Try the Free Fundraising Report Card: Visit fundraisingreportcard.com for instant, actionable donor metrics (still free for at least six more months).
• Prioritize Data Hygiene: Establish organizational discipline for consistent, clean data entry and management.
• Focus on Donor Lifetime Value: Shift KPIs from “how many calls” to “how strong is our relationship and long-term value?”
• Harness AI for Good: Use technology to free staff for the relational aspects only humans can provide.
• Adopt a Donor-Centric Mindset: Make the donor the “hero” of your narrative; measure (and celebrate) their journey, not just your internal activities.
• Prepare for Change: The sector is evolving rapidly—embrace tools and mindsets that emphasize empathy, relationship, and data-driven insight.

Notable Quotes & Timestamps

• "You never want to treat your donors as walking ATM machines..." —Rob Harder (03:55)
• "The most powerful metric any leader should absolutely pay attention to is lifetime value..." —Greg Warner (19:02)
• "The art, the science...is to help support the advancement of the donor's autobiographical heroism." —Greg Warner (33:03)
• "Be the guide. Don't try to be the hero. Support your supporters." —Greg Warner (36:37)
• "Gravity always pulls you back to the transactional...But the gifts are going to be exponentially greater [if you shift to relational]." —Greg Warner (37:42)

Important Segments & Timestamps

• Donor Relationships vs. Transactions: 00:03–03:55
• Greg’s Background & MarketSmart’s Origin: 05:24–09:23
• The Fundraising Report Card: 10:04–14:54, 15:09–18:33
• Critical Fundraising Metrics: 19:02–20:48
• Data Cleanliness Challenges: 21:36–24:07
• AI Integration in Fundraising: 24:54–31:59
• Donor Heroism & Empathy: 33:03–36:37
• Advice on Balancing Transactional vs. Relational: 37:42–39:58

Resources & How to Connect

• Greg Warner’s LinkedIn: Greg Warner on LinkedIn
• MarketSmart: imarketsmart.com
• Fundraising Report Card: fundraisingreportcard.com
• Nonprofit Leadership Podcast Website: Nonprofit Leadership

This episode is essential listening for nonprofit leaders seeking actionable ways to integrate data, technology, and a relationship-first mindset into their fundraising strategies—helping them turn donors into long-lasting champions for their cause.