Seven Practical Ideas to Optimise

your Charitys Fundraising

David Hopkins

We are Charities Aid Foundation

Our mission is to create a society
motivated to give ever more effectively,
helping to transform lives and
communities around the world.

Overview of Charities Aid Foundation

Charities Aid Foundation (CAF) is comprised of CAF Bank, CAF Venturesome
and CAF Philanthropy Services
CAF pioneers effective ways for donors and charities to achieve greater social
impact
CAF Philanthropy Services works with individual, family and business donors
globally to optimise their impact through advisory and transactional services
CAF Bank and CAF Venturesome offer deposit, lending and social investment
solutions to over 16,000 charities and social enterprises
We are the UK market leader in managing philanthropic capital with +1.1 billion
held in custody for donors
Last year we distributed grants totaling 6.3m, reviewed over 1,800 charitable
organisations, supported 204 unregistered charities outside of the UK with a
further 67 within the UK. In addition through our donor-advised giving we
distributed over 400 million to charities in 2012.
We are one of the UKs largest charities with over 80 years of experience and
offices in 9 countries

Income trends from 2006-2011

2010/11

2009/10

2008/09

2007/08

2006/07

Total income

38.3 billion 38.3

billion

38.1 billion 39.5

billion

38.9 billion

Voluntary income

14.7 billion

14.4
billion

14.4 billion

16.3
billion

15.9 billion

Earned income

21.4 billion

20.5 billion

2.3 billion

19.6
billion
3.6 billion

19.9 billion

Investment income

21.5
billion
2.4
billion

Income from
individuals

16.5 billion

16.3
billion

15.5 billion

16.1m
billion

16.1 billion

Income from statutory

sources

14.2 billion

14.3
billion

14 billion

14 billion

13.4 billion

Income from National

Lottery distributors

0.5 billion

0.5
billion

0.5 billion

0.6 billion

0.6 billion

Income from other

sources

7.2 billion

7.2
billion

8.1 billion

8.8 billion

8.8 billion

3.2 billion

3.1 billion

Source

Individuals
(The general public,
including trading
activities and excluding
charitable foundations
set up by individuals)
Statutory sources
(Government and its
agencies in the UK, EU
and international
governments)
National Lottery
distributors
Voluntary sector
(such as trusts and
grant-making
foundations)

Earned
(from the sales of
goods & services,
including the gross
income of trading
subsidiaries)
8.07 billion
(fees for services
provided; membership
subscriptions with
significant benefits;
11.23 billion
(public sector fees;
payments for contracted
services)

483.1 million
(grants from National
Lottery distributors)
1.24 billion
1.99 billion
(services provided under (grants from charitable
contract)
trusts; grants distributed
by charitable
intermediaries)
836 million
841.9 million
(sponsorship; research or (corporate grants and
consultancy; patent
gifts)
royalties)

Private sector
(excluding charitable
foundations set up by
businesses)
Investment income
(Proceeds from
investments, excluding
gains on value of
Typology of voluntary
investments)

Areas
Total

Voluntary
(income freely given,
usually as a grant or
donation, for which
little or no benefit is
received by the donor)
8.40 billion
(individual donations;
covenants; legacies;
membership
subscriptions without
significant benefits)
2.95 billion
(funding grants; grants to
charitable
intermediaries)

Investment
Total
(proceeds
generated from
investments &
cash balances)
16.47
billion

14.18
billion

483.1
million
3.23
billion

1.678
billion

2.291 billion
2.291
(dividends;
billion
interest
payments; rent
organisations income type and sources
2010/11
from investment
property)
green 21.373
represent
a greater than
5% billion
rise in income2.291
between
2009/10
and
billion
14.133
billion
38.336
billion

shown in
2010/11
Areas shown in red represent a greater than 5% fall in income between 2009/10 and 2010/11
Areas shown in grey have seen income remain relatively static over the period.

The rise of charity as service provider or

The sector as a whole earns more income through trading selling
social
business
goods and services- than it raises through giving donations,

legacies and grants. In 2010/11 earned income accounted for 21.4

billion, while voluntary income that given freely in donations and
grants accounted for 14.7 billion. This has been the case since
2003/04, when earned income overtook voluntary income to become
the largest source of income.

Compared to 2000/01, earned income has increased by 92% in real

terms, while voluntary income is only 3% higher, and investment
income has fallen by 23%.

This is reflective of the ever-increasing tendency for statutory

agencies to commission services, rather than provide them directly
income from statutory contracts more than doubled between 2000/1
to 2010/11 from 4.5 billion to 11.2 billion.

Charities have also been trading more with the public while the
increase was smaller than that seen from the state, it was still an
increase of more than 40% - or 2.3 billion in real terms

Corporate Giving Scale and Scope

Corporate giving continues to represent a small slice of overall charitable

giving in the UK, providing around 2% of charity income, against the 43%
provided by the general public.

Research by the Directory of Social Change published in June 2013

places for those companies analysed giving as a percentage of pre-tax
profits at 0.4% with cash giving at 0.3%, still well below the 1% standard
advocated by many as a benchmark.

The DSC estimates that the total giving by companies to UK charities is

worth between 700m and 800m a year a 27% fall in giving levels from
last year.

Corporate Giving Trends

The top 3 causes supported are community and social welfare, education
and children and young people (with more than 50% of companies
supporting these causes). The most money given by companies goes to
educational projects.
People used to be very suspicious if your activity was linked to core
business. Now they are suspicious if it is not.
Andre Dunett, Director, Vodaphone Foundation
Companies of the future may look to how community programmes can help
them to gain a foothold in a new market, reach out to people, apply their
skills, innovate and learn.
Frank Krikhaar, Global Head of Corporate Responsibility, Aegis Group

Major Donor Giving Scale and Scope

Estimates suggest there are almost 300,000 high net worth individuals
(HNWIs) in the UK, defined as those with more than 1m in assets
outside their primary residence.

Estimates suggest there are 5,000 individuals with more than 20m in
assets.

For the first time in 11 years of the Sunday Times Giving Lists history,
2012 saw 100 of the UKs richest people donating at least 1% of their
residual wealth, and like-for-like giving among the top 100 philanthropists
showed a 305m increase, rising to 1,772m from 1,467m

The 2012 Million Pound Donors Report from Coutts, which shows a
similar trend 2010/11 saw the highest number of 1m+ donors and
donations since the annual study was launched in 2008.

Major Donor Giving Trends

15 years ago 75% of the Sunday Times Rich List had inherited their
wealth and 25% were self-made. Today that ratio is reversed and this is
impacting on the approach major donors are taking.

CAF research has found that Generation Y-Givers are far more
enthusiastic than previous generations of philanthropists to get personally
involved with the causes they support. They are embracing the venture
approach to philanthropy, offering support, providing advice and involving
their own networks.

Research shows that when asked what type of givers they want to be,
those under 30 place significant weight on the importance of making a
tangible difference with their philanthropic activity, whilst those over 45
are notably more understated about their giving, more commonly wanting
to remain anonymous.

Who gives?
Proportion of adults in UK giving to charity in a typical month
58

58

57
56

56

56
55
54

2004/05

2005/06

2006/07

2007/08

2008/09

2009/10

2010/11

2011/12

Median donation per month by age and gender

15

14
11

10

10
8

Men

Women

16-24

25-44

45-64

65+

15

Direct Debit still the Gold Standard

Up from 26%
in 2006

Source: CAF 2012,

UK Giving

Mobile
Use web on
phones 44%
(up 13%)

Mobile
ownership
92%
Pay monthly
58%
Smartphone
ownership up
to 45% (up
13%)

Tablet
ownership
24% (up from
11%)

Source: OfCom 2013,

Communications Market
Report (August)

ACTIVITY
What changes have you noticed and how have you
adapted?
Groups of 2 or 3
Burning feedback

Practical
Ideas

Optimise
Online

Optimise Online
Obvious donate
button on every page
Keep the donors
inside your site
Match the colours
and fonts
Show them what their
donation buys
Offer single or
regular giving
Immediate thanks
and receipt

Multi-channel Online

Help potential
donors to
touch, taste
and feel your
impact

BUMBLEBEE CONSERVATION TRUST BEES FOR EVERYONE PROJECT

YEAR IN NUMBERS 2013
140
The total number of people who attended our Welsh and
England Conservation workshop
100
100% of respondees at the England conservation
workshop said that they were more motivated to help Bees
as a result of attending the conference.
3,500
The potential hectarage that could be managed for
bumblebees through the Bees for Everyone 3 year project
2784
The number of hectares of land for which we have
provided habitat management advice for bumblebees in
total since January 2011.
152
The amount of hectares on north Kent sea walls being
managed for bumblebees in conjunction with the
Environment Agency
67
The number of enquiries received from landowners
outside of our Bees for Everyone regions who wanted to
manage their land for Bumblebees.

900
Potential hectarage gained from giving advice by
email/phone to landowners outside of Bees for
Everyone regions
7
The number of farm days delivered by conservation
Officers
376
The number of farmers and landowners the
conservation team have engaged with in 2013
100%
BBCT input into the National Pollinator Strategy
1
Memorandum of Understanding signed with the
Ministry of Justice
830
Hectares the Sub T reintroduction project has created,
advised and assisted in the management of within the
release area of Dungeness and Romney Marsh
6
Bombus Sub T workers recorded on Dungeness the
first in 25 years

Key facts &

achievement
s
Photos

Stories
Quotes

Harness the
power of fun
and social
giving

Harnessing the power of social

Get your
ducks in a
row!

The Fundraising Process

Develop
Case for
Support

Map your
proposition

Identifying key
products & the
impact they make
Whats our story that
will make donors want
to engage?
What are the wider
benefits of association
to new donors?
Developing the
funding hooks, impact
messages and likely
audiences

Answers the question,

Why should you support
our cause?

The problem we are

solving (or opportunity)
How we tackle this
Why charity is perfectly
(uniquely) placed to do
so
The resources
required (the ask)
The difference this will
make

Prospect
Research

Identification of
prospective partners,
donors and influencers
& areas of alignment
Peer research who is
supporting work in this
space & what is the
relationship?
Which existing contacts
and relationships can be
leveraged?
Mapping warm & cold
leads

Approach
strategy

Developing targeted
pitches
Routes to engagement
i.e. the when, how and
who in making the ask
Donor cultivation and
partnership building
Mapping of resources
needed to underpin
fundraising

Develop a
legacy
proposition

Return on Investment: Average return per invested

Legacies 25.50
Trusts 7.00
Corporate 4.43
Committed Giving 3.54
Major Donors 3.17
Events 1.94

Implementing a Legacy Campaign

Phone call followed by

letter
Warmest supporters only
8.13% pledge rate

Become an
award-winning
charity

Why Awards Matter

Given our services are in the somewhat controversial field of working with those who
commit the most horrendous of sexual offences, to be recognized so appreciatively
for what we do through winning a Charity Award was a wonderful affirmation.
The added credibility and respect the award has contributed to our necessarily low
profile work has gone a long way to reassure funders and policy-makers that the
service is thoroughly worthy of their attention. Being part of the Charity Awards
marked a key milestone in our progress.
Stephen Hanvey, chief executive officer, Circles UK

"We were thrilled to win one of the most prestigious accolades in the UK charity sector.
Since winning the award, the profile of our organisation has been heightened locally,
regionally and nationally through the subsequent press and media attention and acts
as an additional motivator to all people involved in the project, helping us to help even
more young people.
Karen Edwards, chief executive, Bolton Lads and Girls Club

GSK
Impact
Awards
Queens
Award for
Voluntary
Service
Third
Sector
Business
Charity
Awards

Civil
Society
Charity
Awards

Guardian
Charity
Awards

Your
potential
hit list
National
Lottery
Awards

SCVO
Scottish
Charity
Awards

Charity
Times
Awards

Third
Sector
Excellence
Awards

2014 Scottish Charity Awards

Closing date for entries is Wednesday 26 March

Your idea
here

ACTIVITY
What has been your most powerful fundraising idea
or tip?

Questions & Answers

Thank you
David Hopkins
@davidlhopkins
dhopkins@cafonline.org

Charities Aid Foundation

@cafonline
Facebook.com/CharitiesAidFoundation