This is a tough time for leaders of non-profit organizations.  The current economic challenges facing not only the U.S., but the world, are translating into a reduction in donations (also known as charitable giving), and it's a trend that's likely to continue.

This is troublesome because it's often during these tough times, that people most need the services and support that non-profits offer.

So how do non-profits survive in this environment?  Even better, how do they thrive?

The good news is; there are relatively simple solutions to the current challenges. 

And it starts with "Giving in Order to Receive."

Over the last month I've received email, voice-mail, and physical mail from a number of non-profits I've supported in the past.  I've also heard a message common to theirs when I've been watching my local PBS television station and listening to NPR radio.  The theme of the message boils down to this; times are tough, people are donating less, donations have dropped, please, please, please support us. 

They are very heavy on the three please approach.  The problem is, that's not very compelling.  First of all, since many non-profits are using this approach, it's not unique.  Second, the three please just isn't enough to make someone open their wallet and donate when they are having trouble paying their own bills.

Here is a better solution.  Instead of asking louder, and more frequently, inspire donors to donate by giving them something of enough value that it justifies in their mind that the donation makes economic sense.  

Here's the thing.  People have mental budgets.  They have their mortgage/rent budget, their food budget, their entertainment budget…, on down to their donation budget.  Most non-profits are in effect competing against each other for a piece of people's donation budget.  This is problematic because in tough economic times, the donation budget is one of the first to get reduced, or cut entirely. 

If your non-profit is going to survive and thrive, you need to be tapping a different budget. 

For example; Dreams for Kids, an organization out of Chicago that I support, has started giving away a copy of founder Tom Touhy's book - Kiss of a Dolphin, to every person who donates.  Their minimum donation is $25.  I think there is room for Tom's organization to structure their pitch better, but they are certainly heading in the right direction.  In essence, the link they need to be drawing for people, is -"Hey, you make a $25 donation and you get a $20 book."  Therefore in people's minds, they are only tapping the donation budget for $5.00.  The rest is from their entertainment budget. 

Now yes, there is a cost to this method, but the cost is way less than the actual value of the gift, and far less than the value of the donation.  Bought in bulk, Tom's books probably cost $2-$3 each, but they have a VALUE of $20.

Sadly, right here is where I find some non-profit leaders disengage.  I've had many tell me - "It doesn't make sense to pay out $2-$3 for the give-away, and another $2.50 to ship it, when the person is making the $25 donation anyway." 

Except that without the give-away, the person won't make the $25, or $50, or $1,000 donation.  In tough economic times, the altruistic result of the donation IS NOT ENOUGH.

What it boils down to is this.  You need to be giving, in order to receive.  And the gift has to have a high enough perceived value, and be useful enough, that it enables the donor to tap into another mental budget, when the donation budget box is closed.

A coffee mug, key chain, or some other disposable item that someone can get for $1 won't do it.  The value and usefulness aren't there.

Books and CDs are great items.  They have a perceived value that is in the $20-$500 range depending on the quantity in the set, and yet can be purchased in bulk for much less than the retail value. 

To maximize your success, choose give-a-ways that are either very topical to your organization, like Tom's is, or have a high prestige value for some reason.  Ideally the give-away is both topical AND has high prestige value. 

For example, I've partnered with non-profits before who used my books because they are inspirational, which is topical to the altruism of the organization, and because of my best seller status.  For donors, the best seller part ranks high on the prestige side.  A way to even increase this is to give signed copies.  Autographed books and CDs have a very high prestige value.

Willing donors and their donations are readily available.  Savvy non-profit leaders are bringing those donations in, by giving gifts out.

To reach John P. Strelecky for questions about the ideas in this article, or to use his books and CDs as give-a-ways for your charity, contact him at jstrelecky@bigfiveforlife.com or 407-342-4181.