Info You Can Use: Speak Passionately, Persuasively…and Briefly

I love it when, in the course of a few minutes, I come across different web pages that seem to go together like chocolate and peanut butter in a Reese Peanut Butter cup.

In this instance one link was provided by Drew McManus who noted Harvard Business School’s “Elevator Pitch Generator.” Based on the old scenario that you might get lucky enough to gain access to a powerful decision maker in a place away from their gatekeeper staff like an elevator, enterprising people are encouraged to find a way to talk about their idea or business in a compelling way in under a minute. The pitch generator coaches you through the process of formulating that pitch.

After answering who you are, what you do to bring value, why you are unique in delivering value, what your immediate goals are and how the listener is involved in those goals, the generator analyzes the pitch. The generator tells you your word count, how long it might take to deliver it and notes how many times you repeated words. You have the opportunity to revise your pitch or email/print it off for use.

The second web page I came across (I apologize for not properly noting the source of the link) was on Katya’s Non-Profit Marketing Blog. Katya Andresen references Charles Green’s Trust-Based Selling where he talks about the six toughest questions customers ask sales people.

Katya uses this to create the 5 Toughest Questions Donors Will Ask:

1. Why should we choose to donate to your organization?
2. What makes your organization different?
3. What experience do you have?
4. We aren’t interested, why should we pay attention to you?
5. Why is your overhead so high?

She provides suggested answers to each and acknowledges there may be more toughest questions to add by asking readers what tough questions they have been asked.

The response I liked the best was to the last one, probably because it was expounded up at length in a separate blog post of its own.

“This is not about salaries. This isn’t about overhead. It’s about your heroic staff, creating amazing arts programs that transform the people you touch. The end results of your efforts is the story you tell in your fundraising pitch. That’s not self-serving! Your CEO talking about the lives you change is not self-promotion—it’s the beating heart of your mission. Say it loud and proud.

If I were at your arts organization, I’d tell an incredible story about one child touched by a single performance. And I’d say what made it possible was my small, dedicated team. With a donor’s support, more of that magic can happen.

You raise money by talking about the impact of your work—not about budget line items. If a donor demands to see the numbers and asks about pay, tell a great story about one of your staff to illustrate my point: that nothing wonderful happens without a creative, committed team. (I assume your staff isn’t being paid $1 million a piece—that’s something I can’t spin.)

The bottom line: Don’t be afraid of talking about your people. They aren’t overhead – they are change agents. If they do great work, put them front and center in your stories of transformation. To use a theater term, they deserve center stage.”

There is so much focus on minimization of overhead as a measure of a non-profits success, mostly brought on by a very small number of charities paying executives a great deal of money, that it is helpful to have a little guidance on the subject. Mostly, she is reminding us that it is the work that really matters and that is what should be talked about. Saying we need to pay a liveable wage to retain talented people may sound too similar to the arguments banks make that they need to pay big bonuses to retain the top talent for people to make a distinction. It is probably better to focus on the fact you are employing people who bring both talent and passion to effect change and follow Katya’s advice not to focus on the money.

It seems to me that you can use the elevator pitch generator to hone how you talk about your organization, especially to donors. Talking about how people have been affected may need to take longer than a minute to be properly persuasive. But while you don’t want to gloss over a compelling anecdote in order to tell the story of your organization in under a minute, what is said still needs to be lean and to the point.

Info You Can Use: Tix, Pix, Kits and Internships

I am a busy, busy boy this week which is why I ended up not posting yesterday. Hopefully things will calm down a little by next week. So by way of recompense for not posting yesterday, I offer you four links to practical information for use in your arts organization. I am sure at least one of these links will prove useful to you.

First up, Richard Kessler recently posted a toolkit for getting parents involved in arts education, Involving Parents and Schools in Arts Education: Are We There Yet? What is special about this guide is that it is written by parents for parents. Presumably, parents will know what best motivates them to get involved. As Kessler says, “You have to admit, there’s something to be said about a guide that emerges directly from the work of parents, educators, and partners, rather than from staff.”

I haven’t gotten a chance to look at the whole thing, but I am encouraged that the second chapter is “Understanding Parents” and the fifth chapter is “Motivating Parents” with the “Educating Parents” in between. In the arts I think we often want to skip past the understanding and educating parts and move straight to motivating audiences into the action of attendance. The handbook reminds us of the proper order of things. The guide is 45 pages long. Fifteen pages are devoted to interacting with parents, the other 30 odd are sample forms, checklists and templates to use in organizing parents toward a school arts event.

Next, a link from our friends at the Non-Profit Law blog to the Department of Labor’s fact sheet about what is allowed during an internship under the Fair Labor Standards Act. It should be noted that these rules only apply to for-profit businesses at the moment, but a footnote they state (my emphasis) “Unpaid internships in the public sector and for non-profit charitable organizations, where the intern volunteers without expectation of compensation, are generally permissible. WHD is reviewing the need for additional guidance on internships in the public and non-profit sectors.” So it might be prudent to design your current internship program with the for-profit guidelines in mind.

Chad Bauman talks about a plan that the Arena Stage formulated to wean people off student discounts. They used to offer $15 tickets to people under 30 during the week prior to the performance. The problem was, once they turned 31, their ticket price went up to $60. It appeared this steep price jump was discouraging people from continuing to attend.

Now their plan is to offer a “pay your age” pricing for 3% of the seats starting two months before the first performance. The hope is to not only create the idea of paying an increasing amount as you age, but also emphasize the importance of buying tickets early rather than the week of the performance.

This program is still only available to people under 30. You don’t pay $85 if you are long lived. In the comment section of the entry, Bauman addresses the potential sticker shock a person might get upon turning 31 and finding they now have to pay $60 instead of $30. I really appreciate his view of cultivating a person over 10-15 years.

“Once a patron turns 31, and we have already gotten them into a pattern of buying early for a discount, we would then offer them a 3-play preview subscription acquisition promo probably in the range of $99 for three plays (or $33 per ticket). After they “age-out,” my next major priority is getting them to subscribe. Then once they subsribe, I will work to get them to upgrade their subscription packages. This is a long term strategy that really looks at the customer over a span of 10-15 years. From first time PYA buyer to full season subscriber and donor will probably take 15 years.”

Finally, if you use images from the internet and are confused about the difference between royalty free and copyright free images or aren’t really even sure about acquiring images to use, Tentblogger has a good comprehensive guide (with supporting images, of course) dealing with all these questions and more.

Stuff To Ponder: Transparent Community Driven Grant Processes

The Hawaii Community Foundation just recently completed the first round of granting for their Island Innovation Fund. I was really very impressed by the way they went about their very transparent granting process. Instead of having a grant disappear into the bowels of the foundation offices, they got the community involved in the process of providing feedback and guidance at every step.

The blog for the local technology radio show, Bytemarks Cafe, did a good job last October of summarizing the approach they took.

On my preview, the proposal review was a 4 step process. The first step in the process is the Concept, where you submit your idea and any associated material, be it photos, video, documents or presentations. There is an open period for submittals and a deadline to meet.

Next the process enters into the Collaboration phase where proposal material is made public (public as in registered users of the site). The public has about 30 days to comment or ask questions. Applicants are able to respond to comments and make improvements to their Concept.

During the third phase, HCF personnel will review the revised Concept. Projects that best demonstrate the principles and goals of the Island Innovation Fund will be ask to submit a Proposal.

Finally in phase 4 the Omidyar Network and Hawaii Community Foundation staff will review and evaluate Proposals. The most compelling proposals get invited to present a 15 minute presentation to an independent panel of judges for final selection. This judging is open to the public. Winning proposals will be announced one week after the final presentations.

I listen to the radio show pretty regularly, but I must have missed the show where they originally discussed this because I would have definitely participated in the feedback portion of the concept phase. I think that is the best part of the entire program. Not only does it allow applicants to understand what the community needs are and adjust their application accordingly, but it also provides the Hawaii Community Foundation (HCF) with a better understanding of what the community needs from them.

It is something of a win-win for everyone. Even if the applicants aren’t proposing something that fits into the HCF or fund goals, they get valuable feedback about their concept should they wish to pursue it with another granting organization. Those who are invited to proceed, but don’t get funded also receive important feedback and I believe some will be allowed to reapply for the next round. Being able to walk away knowing how to make your proposal better and speak about it effectively is valuable in itself because you often don’t get any feedback in that vein from granting organizations.

In understanding what the community needs, HCF can begin to think about their own approaches and priorities, including assumptions about community needs they may have made. Perhaps some of the proposals didn’t adequately address how the specific submitter would effectively approach a need in the community. The need still remains and now HCF may be able to bring resources to bear having read the feedback on the community forums suggesting what considerations need to be made in effecting a solution.

I should also note that even the final presentations to the independent panel was conducted very publicly and was streamed live over the internet. The video may still be viewed on the Island Innovation Fund website.

Now in a bit of serendipity, Diane Ragsdale addressed the pursuit and funding of innovation in the arts on her blog today. She mentions that receiving funding for innovative work can actually destabilize an organization as they try to meet the heightened expectations that such recognition brings.

But she also notes that often the most innovative work is passed over in favor of more tame versions because real innovation risks failure by necessity:

“Finally, it’s perplexing and annoying to others in the arts sector when funders give ‘innovation grants’ to projects and organziations that are not, actually, innovative–particularly when one knows the projects that did NOT get funding. I’m not sure how this happens but I suspect it is in large part because ideas that are truly surprising, that may even defy written rules and conventions, are unlikely to make it all the way through the grantmaking process at most risk-averse foundations (in no small part because they make lawyers nervous).”

I am not going to claim that those awarding money from the Island Innovation Fund, even given their intriguing granting process, are any less risk averse than any other foundation out there. However, I would think that efforts toward innovation in the arts would benefit from a granting process like the one they conducted. The one benefit I hadn’t mentioned yet about this program is that even if one isn’t an applicant for the grant, just participating in the question and commenting phase can help a person refine their own nascent ideas and understand how better to execute them.

Info You Can Use: Beware Non-Profit Identity Theft

Non-Profit Law Blog editor Gene Takagi encourages all non-profits to take note of a recent investigation by Forbes magazine that uncovered someone redirecting non-profit registrations to a post office box in Las Vegas. The majority of the registrations have been for religious organizations, but the weakness in the IRS’ system could be exploited to hijack nearly any non-profit’s registration.

Someone has hijacked the tax identity of more than 2,300 tiny or defunct nonprofits, apparently taking advantage of a hole in a new electronic Internal Revenue Service filing system to list the same person as a charitable official at the same mail box drop in Las Vegas.

[…]

A search on Melissa Data of nonprofits in that zip code produced 2,370 listings. A random spot cross check by Forbes of dozens of them on the official IRS site listed Alexander and the N. Rainbow Blvd. address in every instance. The nonprofits originally were located elsewhere all across the country.

[…]

Another nonprofit listed by the IRS as being led by William Alexander out of Las Vegas is Godsline Ministries. The clothes-donation charity used to be located in McMinnville, Ore.–and died there about seven years ago, according to Rob Rabon, who ran it with his then-wife. “It only lasted two or three years,” he said. “We went to the state and filed papers dissolving it.”

Yet the IRS proclaims Godsline alive and well, with the same tax identification number as when the Rabons ran it.

The problem has its roots in the recent requirement that non profits making less than $25,000 file a statement to that effect. If you recall, there was a big panic last year that these small non-profits would lose their status because they were unaware of the requirement. Since these small entities don’t have a lot of resources, the IRS endeavored to make it easy for them to verify their status with a simple postcard or online filing.

Because so few details are required in the filing, there isn’t a lot of verifiable data being supplied to the IRS. This makes it easy to slip in and replace the authentic organization. The Forbes articles notes that the names of the small non-profits in danger of losing their status were published in an attempt to make people aware of the impending change, but in fact may have been serving to let fraudsters know which organizations were vulnerable to identity theft.