Nonprofit Lowdown Episode #323: Killing Your Fundraising Darlings

Release Date: February 3, 2025

Host: Rhea Wong
Guests: Brooke Richie Babbage, Tanya Bhattacharya, Rachel Babauer, Cindy Wagman, Jess Campbell

Introduction

In Episode #323 of Nonprofit Lowdown, host Rhea Wong delves into a provocative topic: identifying and eliminating ineffective fundraising strategies for 2025. Titled "Killing Your Fundraising Darlings," this semiannual 10x mastermind brings together industry experts to discuss the necessity of "killing" beloved yet outdated fundraising practices to enhance efficiency and authenticity in nonprofit operations.

1. Killing the Gala

Speaker: Rhea Wong
Timestamp: [00:33]

Rhea Wong opens the discussion by addressing one of the most traditional fundraising methods—the gala. She argues that galas are becoming increasingly inefficient, citing that it costs approximately 50 cents to raise a dollar through these events, not accounting for soft costs like mental strain and resource allocation.

“No one likes it... it feels weird to spend all this money to raise money for a cause that is serving populations that cannot afford to be in the room.”
— Rhea Wong [00:33]

Rhea emphasizes the shift in donor preferences towards authenticity and meaningful connections over extravagant gatherings. She suggests exploring smaller, more intimate events or experiential moments that foster genuine relationships, instead of large-scale galas that may not yield a positive return on investment.

2. Killing Social Media Posting

Speaker: Jess Campbell
Timestamp: [03:27]

Jess Campbell challenges the conventional reliance on social media for fundraising, urging organizations to evaluate the effectiveness of their social media efforts in achieving their core objectives—building a community and raising funds.

“If you are not using social media to drive people to your email list, you're using it incorrectly.”
— Jess Campbell [03:39]

Jess points out the intensive effort required for effective social media engagement, including content creation and active interaction. She advises nonprofit leaders to cut back on social media if it's not delivering tangible results, thereby reclaiming valuable time and mental energy. Instead, she recommends focusing on platforms like LinkedIn for more professional and impactful interactions.

3. Killing Stale Major Gift Prospect Lists

Speaker: Cindy Wagman
Timestamp: [06:07]

Cindy Wagman addresses the inefficacy of maintaining stale major gift prospect lists. She recounts her experience of inheriting a list of prospects who, despite appearing promising, did not convert into major donors after multiple outreach attempts.

“Just because you have someone's name, that does not mean they're inclined to give.”
— Cindy Wagman [07:58]

Cindy advises organizations to regularly update and cleanse their prospect lists, moving unresponsive individuals to annual campaign lists rather than allocating major gift resources to them. This approach ensures that fundraising efforts are directed towards prospects with a higher likelihood of contributing.

4. Automating Donor Stewardship

Speaker: Rachel Babauer
Timestamp: [08:30]

Rachel Babauer highlights the importance of automation in donor stewardship. She emphasizes that automating routine tasks such as thank-you notes and donor follow-ups can significantly enhance donor retention without increasing the manual workload.

“It's so much cheaper to retain somebody, retain a donor, have them give again, than it is to find a new donor.”
— Rachel Babauer [09:38]

Rachel provides examples of how automation has successfully re-engaged lapsed donors and tripled donor numbers for certain organizations. She advocates for setting up automated workflows to nurture relationships, thereby reducing stress and allowing fundraisers to focus on strategic initiatives.

5. Killing Perfection (Pisces Vibes)

Speaker: Tanya Bhattacharya
Timestamp: [11:25]

Tanya Bhattacharya encourages nonprofits to drop the pursuit of perfection in their public personas and communications. She argues that striving to appear flawless can create barriers to authentic connections with donors and stakeholders.

“Show up as yourself. Show up as a human.”
— Tanya Bhattacharya [12:49]

Tanya advises fundraisers to embrace their genuine selves in interactions, whether on social media, during speeches, or in everyday conversations. Authenticity fosters deeper connections and aligns with the modern donor’s preference for genuine engagement over polished presentations.

6. Meta Darling: Letting Go of Habitual Practices

Speaker: Brooke Richie Babbage
Timestamp: [13:37]

Brooke Richie Babbage sums up the discussion by urging organizations to rethink and reevaluate their existing practices. She stresses the importance of aligning all activities with the organization's North Star—its core mission and long-term goals.

“Anything that doesn't fit that, let's go of it.”
— Brooke Richie Babbage [13:38]

Brooke advocates for data-driven decision-making, encouraging nonprofits to analyze their programs and strategies critically. If certain activities do not contribute to the desired impact or align with the organization’s vision, they should be discontinued, regardless of how long they've been part of the routine.

Conclusion

Rhea Wong wraps up the episode by framing 2025 as a year of challenges and opportunities, emphasizing the need for nonprofits to be nimble and resilient. She underscores that by eliminating ineffective fundraising strategies, organizations can better position themselves to navigate uncertain times and continue making meaningful impacts.

“Rough seas make good sailors. And I think 2025 is going to be rough, y'all.”
— Rhea Wong [14:46]

Rhea encourages listeners to reflect on the discussed "darlings" and consider which practices to retire in favor of more effective, authentic approaches. She invites feedback and engagement from the audience, fostering a community of proactive and strategic nonprofit leaders.

Key Takeaways:

1. Evaluate Traditional Fundraisers: Reassess the effectiveness of events like galas, considering their cost and impact.
2. Optimize Social Media Use: Focus on strategies that directly contribute to community building and fundraising goals, or reduce dependence on social platforms.
3. Maintain Active Prospect Lists: Regularly update and prioritize major gift prospects to ensure fundraising efforts are efficient.
4. Leverage Automation: Implement automated systems for donor stewardship to enhance retention and reduce manual workload.
5. Embrace Authenticity: Present a genuine and imperfect self to foster deeper connections with donors and stakeholders.
6. Align with Core Mission: Continuously evaluate all activities to ensure they support the organization's primary objectives and vision.

By thoughtfully "killing" these fundraising darlings, nonprofits can streamline their efforts, focus on high-impact strategies, and build stronger, more authentic relationships with their communities and donors.