Alice Devitt compares the approach to fundraising adopted by the arts and charity sectors, and suggests that the arts sector should modify its attitude to fundraising and adopt a multiplicity of methods, especially individual fundraising.
Many talented arts fundraisers abhor the term ?fundraising?, and choose instead to describe their work as ?development?. Yet the most successful charity fundraisers are usually proud income-generators. Fundraising is an integral organisational aim, not an occasional regrettable necessity or something ?the posh girls down the hall do?, as one of my very senior and much respected ex-colleagues put it. This is not just a semantic difference. I have found real unease about fundraising in many arts organisations. Sharing a taxi with three senior development staff from major London arts venues I sat on the tip-up seat and observed ?Well it?s all sales really. It?s about the money.? Three pairs of rather good legs clamped shut in disgust.
Fundraising is deemed an arcane black art, when it is merely the application of well-understood marketing techniques within a strong strategic direction and realistic time-frame. An underlying terror of asking for money fuels this belief. Too many arts fundraisers can?t actually ask for money and even more can?t develop new business. Real fundraisers are never apologetic, believing the donor should feel lucky to have been asked. In the arts it?s a tough job with little organisational kudos and limited support and training. Your colleagues may refuse to get involved. For some peculiar reason there is often a complete gulf of understanding between development and marketing. Board members are often happy to receive their comps and comment on your programming, but are often reluctant to introduce prospects or ask for money.
The bigger picture
There is more to fundraising than sponsorship. I have direct knowledge of two recently redeveloped, medium-sized receiving venues. They believe they failed to raise funds because ?the sponsorship never showed up?. Leaving aside the fact that corporate sponsorship is one of the more difficult and volatile income streams to attract, the attitude in these venues seems to be that sponsorship and fundraising are synonymous. Rather fanciful business projections based on a very narrow range of fundraising sources have been accepted as perfectly feasible by funders.
Fundraising-friendly
An organisation has to be fundraising-friendly to really generate significant income. It is a sad truth that a fundraiser?s main struggles will be with colleagues and senior volunteers rather than donors. Historically, many charities betrayed a reluctant, often hostile, attitude towards fundraising and fundraisers, while at the same time making unrealistic demands. Like the arts, charities have had to compete hard to survive. The number of general charities has grown from 98,000 in 1991 to over 153,000 in 2001/2002 and yet the number of donors has fallen over the long term. Since 2000, charities have increased the overall value of individual donations, according to the National Council for Voluntary Organisations (NCVO). More charities are getting more money out of fewer people. Homelessness is a prime example. Homeless charities come in many sizes, from Centrepoint and Thamesreach to tiny local soup-runs. They provide distinctly unfashionable, unsexy services, and are prey to political and social whim. Competition is terrifying. Daniel Currie, Director of St Giles Trust and a Trustee of Homeless Link observes, ?Homeless charities operate in a mature market, increasingly undercutting each other to deliver prestige services and spending from reserves. In recent years there has been a spate of mergers as small charities face bankruptcy, and larger ones look to spread core costs and risk. Survival is now dependent on sound strategy, highly professional marketing and very effective fundraising.?
The passion and commitment within the arts is truly astonishing and nothing can inspire like great art. Yet the charitable sector still has a much greater belief in its right to ask for money, a confidence lacking in the arts. Child abuse or famine relief may be more deserving, but there are plenty of people who would rather fund your gallery ? and there are others who will give to both.
Long-term goals
Successful organisations know the value of thinking strategically. Success measurement within arts marketing and fundraising is generally fixated on this year?s targets. Charities are usually delighted if donors are recruited at a profit in year one. Working with a range of charities, I have seen compelling campaigns recruit donors or members and retain them for many years through stewardship programmes. Ancillary income from upgrades, retail, affinity and events contributes even more. These programmes take several years to build up but are well worth the investment.
Charities rarely have the luxury of a database of supporters or ticket buyers. They invest in expensive, time-consuming, cold donor acquisition. Arts organisations? databases of self-selected individuals with a declared interest in their activity are a treasure chest of possibility. Charities then develop their donors when they acquire them. I have worked in several high-profile arts flagships and have direct knowledge of others. After one-off campaigns raising money for immediate purposes, the donors are often left to moulder. One theatre hadn?t even thanked their capital donors as ?they were only small fry?. Two years later they were stone cold again. A quick glance at their élite postcodes showed that they could have been persuaded to give more if approached correctly.
A charity?s confident belief in the right to fundraise is often formally aided by a case for support, offering compelling, consistent arguments that can be used by fundraisers across all sources. Each fundraising source ? trusts, community, major donors, sponsorship, employee involvement, payroll giving, and so on ? is more suitable for some organisations than others. The fundraising mix can vary endlessly but many arts organisations rely on one or two streams. Instantaneous results are expected with little or no investment. Smaller arts organisations have charity equivalents. There are refuges, wildlife sanctuaries, children?s play centres, hostels, hospices and day centres with thought-through, vital fundraising programmes.
Attitude and expectations
There are beacons of good practice in the arts and there is much indifferent charity fundraising. However, if one looks at the general landscape and overall tendencies, the charitable sector is more confidently professional. The more successful charities have developed and delivered strategies founded on brand-positioning and values. They have committed themselves to fundraising by tapping into a wide variety of sources and understanding the need to build them up over the years, investing in long-term donor acquisition, development and retention. They support and invest in their staff. Primarily, however, they have developed the right attitude to fundraising. They have realistic expectations. If this approach could be modified to an arts context, who knows how much could be achieved?
Alice Devitt runs Mongoose Arts Marketing.
t: 07766 635552;
e: mongoosearts@yahoo.co.uk.
She has worked as a fundraiser and marketer for both charities and arts organisations.