Major Gifts: Staying Focused on Your Prospects – All the Millionaires

To paraphrase one on my colleagues, “Do you know what the all major gift donors have in common? They had the money to give!”  If you think about it, it is a pretty rock solid concept.  One of our challenges in fundraising is that we will run after new shiny objects.  For example, last week Forbes published an awe inspiring article about America’s Millionaire Capitals which talked about concentrations of wealthy individuals. It might be a good plan to check your prospect pool for anyone who lives in those communities.

I want to encourage everyone not to get too distracted by the big houses, fancy cars, etc.  While there are many generous donors, who live in these houses I am always struck by the other donors I meet and am convinced no one would think they have the resources that they do based on their life style — often a very middle class or upper middle class existence.  Note this guy’s house in Omaha (note: Omaha was not on the Forbes list) I found on the web, admittedly a nice house with a taxable value of $690,000. Most people would not assume that the world’s 3^rd wealthiest person and a great philanthropist lives there – Warren Buffett.

What is the point of showing you Mr. Buffett’s House? Stay focused on the people you have had a relationship with and believe can make significant gifts.  This doesn’t mean we shouldn’t go off hunting for mega-gifts, but don’t do it at the cost of abandoning existing prospects.  About once a month you see the article about the little old couple down the street that shocked everyone with a $13 million gift to their alma mater or hospital.

Prospect research is a powerful thing, but it is not perfect.  Check your prospect list and examine individual donors through personal interaction:

• Why do I think this prospect may have resources? Where would they have come from (inheritance, investments, income)?
• How does their lifestyle mesh with resources acquired?  High income, but simple lifestyle. Modest income, flashy lifestyle. The list goes on…but be a detective.

Stay focused on your prospects no matter where they live.  Millionaire’s have capacity whether they conveniently congregated for development staff to find them or whether they are living in middle class neighborhoods.  Good Luck!

–          Mark Marshall

Strategic Cultivation: What are you doing?

At my first development conference over 20 years ago, a wise gentleman shared the phrase “Don’t confuse action with progress”.  For years that phrase was on my desk in some manner and served as a directional beacon for various work efforts.

With this in mind I have seen over and over again the need for development staff to focus on cultivation.  It is the largest part of the development cycle, yet it is likely the least thought about of our efforts. There is a lot of attention on cold calling and lots of attention on solicitation, while cultivation is that critical link.

My recent article in the Association for Healthcare Philanthropy Journal (Spring 2011) shares with you insights about the Marshall Law of Cultivation: A prospect will remain unmoved or unmotivated unless deliberately acted upon.  I am pleased to share it with you thanks to the good folks at the AHP Journal. The AHP Journal is an outstanding publication that offers signiciant value to any development professional.

Click here to download the article ThePowerInStrategicCultivation-Spring2011AHPJournal-Marshall.

For a short video on the same subject, see below…