Effectiveness of your holiday fundraising appeals

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Good morning, all!

It’s been a few weeks since I’ve posted, and for that delay, I give you my apologies.

I’m working on developing a few different things here, but I wanted to take a moment to provide a blog for you all as we enter into December, where you will undoubtedly be putting together end of year appeals to your house files to close out 2010 in  a strong fashion.

A recent study written by Convio called the “2010 HOLIDAY GIVING Report” — included one chart that particularly piqued my interest. It was a survey sent to a wide array of existing and potential donors to nonprofit organizations across all sub verticals, and here is how they surveyed audience responded:

Effectiveness of Holiday Appeals

This tells us that the top two most effective appeal types are: (1) Appeals that focus on people, animals, or places in need of the donor’s financial help, or (2) Appeals that explain the need for funds now.

This goes back to the old argument of “emotion vs. logic” (which I just so happened to write about in a blog post earlier in the year — check it by clicking here).

This tells us that both with high-dollar and holiday giver audiences, that focusing on the emotional side of the coin (i.e. here’s what your funds will do to help these people/animals in need) AND creating a sense of urgency (by describing WHY the funds are needed at this time) help to drive the effectiveness of your end of year fund raising campaigns.

I also found it interesting that 40% of high-dollar donors said that they would be willing to provide a gift in the event that your appeal reminded them that they will receive a tax deduction for their end of year gift.

Perhaps segmenting your donor file into “high-dollar donors” and “average-donors” and writing two separate messages to include this sort of message in the appeal to your high-dollar donor segment might be effective. Feel free to test it & roll out the better performing message to the remainder of the email files.

Good luck this holiday season in closing out 2010 strongly!

All the best,

— GC

Further evidence that the preselected level on your conversion form increases your average sale

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Preselected Value Chart

Further evidence that the preselected value increases your average sale.

In an article that I wrote on this  blog back in July titled, “Preselected values — your donation form’s best friend,” I covered a test conducted by our friends at the Salem Web Network regarding how their average gift values were increased by sending visitors in a split test to a form with (A) no preselected values, and (B) a preselected value of $50.

In an effort to further implement this line of thinking into our processes for fund raising, we conducted a test with one of our clients in an attempt to increase our average gift (or average sale) amount.

As seen in the chart above, we had seven different donation levels, each level being given a specific dollar amount tied to each level. Our goal was to set the preselected value at “Supporting Member,” which was a $50 giving level.

We started our testing on 7/28 and ran it through 9/30.

Over the test period, we have seen an increase of “Supporting Member” or the $50 giving level amount increase by 24.2%.

One of the things that we wanted to do was ensure that there were no negative impact on other key measurement categories such as conversion rate, or a decline in upper tiered giving levels. It’s important to pay attention to these figures, as if we increase the number of $50 gifts in exchange for a large decrease in $75, or $100 gifts — we negatively impact the revenue we are generating.

Also, if we decrease the conversion rate, we’re losing donors as a result of our changes — which will have a negative impact on our lifetime donor values and subsequent year revenue figures.

I am proud to report that (at least through this test period) that we did not see a significant decrease in either of the two figures mentioned above.

In fact, you can see an increase in the next level up (“Level 3”) throughout this testing period and a decline in the amount of “Level 1” (the donor level below) throughout.

This tells us that those arriving at the site with the intent to give a gift/donate, are willing to give a gift at our preselected value level, or the next level up, as opposed to the “least expensive” option available on the form.

We’ll continue to run tests, and will be providing sporadic updates on the subject matter as time goes on.

Enjoy.

— GC

How can I measure the level of engagement a web visitor has with my website content?

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Recently, our team developed a proprietary formula to properly measure the level of engagement a web visitor has with any particular piece of web content.

By leveraging data found within Google Analytics, we build the following formulaic equation and named it the Aggregate Engagement Index™.

Here is the formula:

((AP x AT) x (1-AB)) + (0.1 x AP)

  • AP = Average Page Views
  • AT = Average Time on Site (measured in seconds)
  • AB = Average Bounce Rate

The Aggregate Engagement Index™ enables us to compare the relative engagement levels of each traffic source to
BioLogos.org. The most engaged audience is the one that receives the highest rank value.

Notice that the formula doesn’t place emphasis upon the amount of traffic arriving at the particular page. We specifically made this decision to give all pages an “equal opportunity” against pages like the home page of a website, etc.

For a few examples of how this works, let’s take a look at some sample data below:

Referral Source Visitors Avg. Pages Avg. Time Avg. Bounce Engagement Rank
Blogs 68,849 3.14 264.32 49.72% 4.48
Facebook 16,579 1.93 146.52 70.67% 1.02
Other Social 4,159 2.99 266.29 54.79% 3.90
Twitter 6,158 1.65 98.71 74.02% 0.59
YouTube 584 4.21 355.48 38.18% 9.66


In this example, I am attempting to measure the engagement rank associated with visitors from a particular type of referral source (in this case, social networks).

As shown in the chart, visitors arriving at my website from Blogs represent the largest amount of visitors, but visitors arriving at my website from YouTube are 115.67% more engaged in my content.

Pretty cool, huh? This can tell me a number different things (I need to focus more attention on attracting visitors from YouTube, Facebook visitors are “overrated”, Twitter visitors are the least engaged, I need to focus on blog syndication, etc).

I hope you enjoyed.

— GC

How you can use search engines to test upcoming campaign message effectiveness

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If you have a direct mail, print advertisement or any other type of offline marketing campaign that you are planning on launching soon, it’s imperative that you spend the time and additional resources to properly test a few different campaign themes/messages.

It’s important to do this specifically because of the costs associated with traditional/offline marketing campaigns. When you’re outlying that amount of capital, it’s important to ensure that you can go to market with the best chance of success.

By leveraging search engines to test messaging themes, marketers can quickly, cost-effectively, and successfully collect the type of data that can provide them with the information to properly determine the most effective campaign theme/message.

The following identifies both benefits and considerations associated with leveraging this technique:

Benefits:

  • Faster data collection
    Online campaign data can be collected within a matter of days or weeks, as testing a direct mail program to a segmented test list for your direct mail file can sometime take months to fully analyze. Online testing provides immediate and actionable data that provides the organization an opportunity to subsequently increase their direct mail campaign’s speed to market tremendously, as well.
  • Lower testing costs
    The costs associated with implementing an online test for your direct mail campaign is significantly lower than the costs associated with creative design, print production, processing and mailing of a direct mail test. As previously mentioned, the data collected online to determine the most effective message or theme for your direct mail campaign can be completed in weeks, as opposed to months.
  • Numerous testing options
    Search marketing provides the ability to quickly test multiple components associated with your direct mail message, including the headline/subject, tone, call to action and any other associated creative elements like images.

Additional Considerations:

It should be noted that the audience demographics associated with Search Engine traffic may vary slightly from those of your direct mail file. Leveraging “negative keywords” may help to mitigate faulty or varying data, as it will limit the traffic types to only the most “qualified” visitors.

Testing methodology

SEM Testing Methodology for Offline Marketing Campaigns

In this example diagram, we are looking to test four separate campaign messages.

The control elements of this type of test would be:

  1. Test duration
  2. Search engines used
  3. The method of ad serving (i.e. using either a CPC or CPM model)
  4. The budget assigned to each ad
  5. The same landing page design

The variable elements for each of these message types would then only be related to:

  1. Ad headlines
  2. Ad copy
  3. Landing page copy

By setting up the test in this regard, we can successfully test which message is most effective by measuring the following categories:

  • Traffic
    • Ad impressions
    • Ad click-throughs
    • Unique number of landing page views
  • Conversion rate
    • Ad clickthrough rate
    • Landing page conversion rate
  • Average gift received / number of names collected (depending upon what the goal of the campaign is)

The winning message(s) in these categories should be proclaimed the “winner” and used in future campaigns.

How to install Google Analytics on your Facebook Fan Page

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Browsing through the far reaches of the internet for some interesting ideas for tracking Facebook Fan Page statistics led me to fall upon a very cool blog that walked through how to install and setup Google Analytics tracking on your Facebook Fan Page.

Below is the article, originally posted here.

We launched our Facebook fan page earlier this month and as with all Facebook pages only Facebook Insights program is available to page administrators. Facebook Insights shows demographic details and interactions on your pages BUT limited to show information of fans only. It is far less sophisticated and comprehensive when compared to the free Google Analytics. One of the limitations of Facebook Fan pages is that you can only run limited Javascript on it and Google Analytics needs Javascript code included to correctly track visitors. We have successfully managed to get ALL functions of Google Analytics working on our Facebook fan page (including visitor statistics, traffic sources, visitor country, keyword searches with all other powerful reporting & maps overlays etc).

Google Analytics Example

Google Analytics Example

How to setup Google Analytics on your Facebook fan pages

The workaround we use in our code is to include Google Analytics as an image instead of setting the standard Javascript. This method tracks every visitor to the custom Facebook pages on Google Analytics. It required a combination of server side cookie management and an additional <img> tag to the bottom of the Facebook fan page. Here are the steps to get Google Analytics working on your Facebook fan page.

1) Setup Google Analytics account. If you already have one, create a new website profile. You can name it Facebook.com or Facebook.com/your_page_name. You will finally get your tracking code which looks like this UA-3123123-2

2) Create your custom image tag for each of your pages you like to track. EG: contact form, services, products etc. You can use our tool to create the Google Analytics link generator for Facebook pages.

3) Add the entire custom image html tag from step 2 to the bottom of each Facebook fan page that you need to track.

That is all there is to it! Google Analytics is not real-time, so you will need to give it some time. Approximately a day before you see the fruits of your “hard” work.

For advanced users

Use this method, if you don’t want to use our hosted link redirection as mentioned in the method above. You can download the entire source code which is just about three files to get this setup working on your own server (running PHP4.3 or above). The code is written in PHP and essentially creates the Google image tracking URL with the referrer, page information, ID, etc. The additional advantage of hosting this on your own server and domain is that visits from your website to your facebook fan page gets tracked, etc. You will also be able to customise further if you wish. Please do share any useful updates you apply to the tracking link code.

Facebook – Google Analytics Tracker v1.1 (Updated 21st Feb, 2010). For advanced method – Download this code to use on your server.

If you don’t have a Facebook fan page yet, visit our tutorial for code and help on creating customised Facebook fan pages.

PS: We could not find any other source / blog that described how to get Google Analytics on Facebook fan pages! There is support for canvas pages and applications but nothing for StaticFBML fan pages. Hope this helps and please leave your comments below.

UPDATE:

1) You can definitely track visits on your Facebook page Wall as well. You will have to create a new static FBML box and place the img tag html code in it. To see this in action, Go to our fan page wall, you will see a box on the lower left called Articles which has a Google Analytics tracking code.

After you create your new StaticFBML, go back to edit your fan page. Under Application Settings for the entry you created, you can remove tab and add a box. Once a box is added it will be displayed under the Boxes section. All you have to do is to click on the little edit icon and select “Move to Wall”.

Doing the above will place your tracking code into the wall page and you will be able to track users on your fan page wall! Its easier than I made it look. Give it a go!

2) Here is a screenshot to a staticFBML where the code should be placed

I hope you make this actionable. Tracking within Facebook has always been relatively underdeveloped, so any additional information and insight you can glean from how Facebook users interact with your brand will give you an opportunity to truly evaluate your social media program, as opposed to making “educated guesses”.

All the best,

— GC

What anxiety exists within the most popular marketing channels?

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Throughout the recent years, I’ve been asked by a number of different marketers (both traditional, brand marketers and online marketers) on how they can leverage some of the newer marketing channels (namely social and mobile) to their advantage.

The first step in understanding how to leverage these marketing channels is to understand that your potential customers have a certain level of anxiety associated with providing you with their contact information within said marketing channels.

Marketing Channel Anxiety

In your online marketing efforts, you must truly understand the anxiety that your prospective audience has when it comes to providing information about themselves. If you look at your available marketing channels, you can begin building plans around the marketing channel in an attempt to upgrade people slowly over time for optimum results.

In an attempt to properly depict how I view the building anxiety associated with providing you their contact information, I show in the chart above, the progression that dramatically increases when you get more personal or start infringing upon two factors: (1) where the person lives, and (2) when the target can start incurring additional fees associated with receiving marketing campaigns and messages from your company.

In an attempt to provide more information and detail, I’ll reiterate the information shown in the graph above, within the following paragraphs:

Little Anxiety: Twitter

Twitter is possibly the lowest anxiety marketing channel available to marketers to use at the time of writing this article, but it also has possibly the highest “noise” factor. According to a recent study published by Mashable, 80% of Twitter activity is classified as “conversations” or “pointless babble”, while 15% of activity is categorized as either “Spam” or “self promotion”.

Additionally, the report indicates that Twitter account usage has a 60% abandonment rate — where a user will register for an account on their first visit, then 6-out-of-10 new accounts will never be visited or used again. This means that marketers need to be wary about pumping too much time and energy into their Twitter account activities, but those engaged followers that do use the accounts consistently that choose to follow your brand will indeed be looking at your messages, or “Tweets”.

I list Twitter in the category of “little” anxiety due almost exclusively to the point that it is the truest form of “opt-in” marketing. Adversely, it is also the easiest marketing channel to “opt-out” of, as well. If someone wants to stop seeing your Tweets/marketing messages — they simply unfollow you and that is the end of your ability to connect with them through the channel.

Marketers should build strategies around how to easily opt-in followers (by offering special offers, or exclusive content), but then have a messaging strategy that is focused on driving the engaged Twitter audience to convert in another marketing channel (i.e. “… become a ‘Fan’ on Facebook and receive X”, etc).

Low Anxiety: Facebook

Facebook is becoming the darling of social networks — and rightfully so. In a recent demographic report that I read online, Facebook has grown from 1/4/2009 – to – 1/4/2010 by 144.9% in the United States alone, to reach an overall network size (just within our country) to a total of 103,085,520 accounts. On the network, potential targets provide a number of different pieces of information that can be leveraged by smart marketing professionals for behavioral purposes. Identifying the “fan” page’s favorite music, television shows, books and movies in conjunction with the creation of the Facebook Fan Page gives marketers the opportunity to quickly an easily provide content onto the homepage of every “fan”.

Additionally, you can easily provide “fan” page members with the ability to, within a single click of a “Like” button, to post to their home page (where all of their networked contacts will see updates in their own homepages) your message, post, or Fan Page URL. It is a true viral network that is still increasing the level of its sophistication and opportunity.

The anxiety, albeit listed at “Low”, is still higher than Twitter in the fact that a large portion of people on the network will guard personal information (pictures, videos, etc.) from those that they do not know. This personal information will create pause in the mind of the target before agreeing to “fan” or “like” your content for just a moment. It is also listed at this level due to the fact that they can quickly and easily remove you from their follow list with a single click to remove you from their profile.

Marketers should leverage this marketing channel for advocacy purposes, allowing those that feel passionate about your cause, product, or company to share it with other like-minded friends and family members. It’s essentially the digital version of the most effective kind of marketing of all time: word-of-mouth marketing.

Medium Anxiety: Email

All of you marketers out there that have been developing name acquisition campaigns, or more specifically, online marketing campaigns to capture email addresses that you can continue to cultivate purchasers/donors from, you know of the difficulties associated with email capture. In fact, Convio released their annual Nonprofit Benchmark Study, which showed that the email registration rate from 2008 to 2009 across all nonprofit verticals dropped from 3.22% to 2.12% (which represents a 34.16% decline year over year).

That means that 97 of 100 website visitors will not provide you their email address. This is an extremely high number and usually is an indicator as to the fact that most organizations are not providing compelling enough reasons for website visitors to provide their email address and information.

If you’ve owned an email address for any extended period of time, you know how much unsolicited email you receive on a daily basis. People are tired of inbox clutter … and they’ll become far more picky as to who they will provide their email address to as we continue through the next decade.

To a marketer, email addresses are great. This is not a new concept — it’s been this way for the better part of this past decade. We can deliver highly personalized, well designed and email campaigns into the inbox of hundreds of thousands (if not millions) of people at once and analyze click behavior and provide follow-up analysis of how to reengage with anyone that interacted with your message. The only problem is that most people don’t prefer to get your email correspondence, and they’re proving it by declining year after year in terms of their email registration rate.

To collect this valuable information from your prospective customers/donors, you will need to provide a value exchange that is worth it to them. Offer incentives, free resources, access to special areas of your website, etc. in exchange for the email address, but understand that you’re likely going to fail more than you will succeed (unless, of course, your direct response marketing agency is KMA Direct Communications … yes, I know … a very shameless plug).

Moderate Anxiety: Physical Mailing Address

If you don’t know who I am — would you give me your address if I asked for it? Of course not, and in fact, people online are less likely to provide you their home address unless you’re shipping them something, they’re buying something (and have to in order to complete a transaction online), or they’re providing you a donation.

This one is quite obvious, but you would be surprised by those that I speak with that insist they need it. If you do not absolutely have to have it — I repeat, HAVE TO HAVE it — do not ask for it online.

Again, many organizations that I talk to will try to fight me tooth and nail on why it’s imperative that they have the mailing address of someone that wants to opt-in to receive their quarterly newsletter.

I can assure you … people looking to sign up to receive your newsletter email campaign don’t see it the same way.

If you feel like you have to have the mailing address, ask for it in a subsequent follow-up email. Look, if someone has given you their first name, last name and email address — you have the means through which to connect with them a countless number of times moving forward. So, collect that information now … and back fill the other information that you want to collect (mailing address, number of kids, household income, social security number … or whatever else it may be) at a later date.

Don’t force them to give it to you all at once. The odds are against you if you try to collect too much information too early. Play the odds.

High Anxiety: Mobile Phone

Just about every marketer nowadays wants to know how they can incorporate mobile (most notably, SMS/text messages or MMS) into their marketing campaigns. It usually starts by providing an opportunity for visitors to your website to provide their mobile device number into your database, at which point you need to have a system to administer and send a mass SMS/MMS campaign to those numbers. There are a number of FCC hoops that you will need to jump through, but more notably — you’re going to have a difficult time in getting those numbers from your website visitors.

Why? Because the cell phone carriers will, in most cases, charge your audience an additional fee to receive your SMS/MMS message(s). If you send several appeals or messages per month — those fees can stack up quickly and you’ll have a very disgruntled recipient, who will be far more likely to opt-out of receiving such messages than to clickthrough or convert for your campaign.

With the creation of smart phone (iPhone, Blackberry and Droid) applications, you can make special offers and send “push notifications” via your application to those that have downloaded it. You can connect with them efficiently this way, but as is such with any new technology, the pricing and capabilities for an application development firm can vary wildly.

As such, the cost to administer, run and promote mobile marketing is extremely high for most marketing organizations. Yes, you will have about the lowest amount of “noise” in this channel (most organizations are shying away from this until later down the road), but you will also pay a premium fee to reach those contacts via this channel.

On top of all of that — this definitely reigns supreme as the highest anxiety channel. I ask you: What SMS/MMS marketing lists are you on? Probably none.

I hope you found the post to be informational and enlightening and are now prepared to think about your marketing endeavors in a different light now that you fully understand the anxiety associated with receiving information from your organization via each of the aforementioned marketing channels.

— GC

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