Tips for Gaining Social Networking ROI

Social media isn't going to miraculously solve all your organizations problems overnight by itself. It should play a pivotal role towards your marketing and fundraising goals and compliment more traditional methods of fundraising. Like any other program, it will take time and resources to set up, so you should be looking for a return on your investment.

Below are some tips for gaining social networking ROI from Bob Cramer, co-founder, CEO, and chairman of ThePort™ Network, Inc. This is an excerpt from the April issue of the Fundraising Well newsletter.

Many charitable groups are concerned about gaining ROI from social networking investments. The following are some tips for making the most of your online social community:

Make it easy to donate. Fundraising links spotlighted in highly trafficked areas of social communities can help facilitate online donations and keep the goal of fundraising top of mind as members participate. For instance, CARE, a leading humanitarian organization, places a “Donate Now” button on its main community page, just above its “Latest News” feeds, and just below a registration button for first-time visitors. Donating is automated, simple, and fast.

Monitor members’ interests and needs. By monitoring member discussions in forums within social communities, nonprofits can get a glimpse into what their constituents care about most. For example, a nonprofit focused on a chronic disease might see a surge in discussions related to new healthcare legislation, alternative treatments, or clinical trials. In turn, the nonprofit will know to increase site content and programs focused on those areas. Keeping abreast of supporters’ true interests is key to retaining their support.

Give supporters a voice. Most nonprofits understand the benefits of a regular blog authored by their director or other key personnel, but social communities can also give members the ability to publish blogs in order to share their own unique stories. Such testimonials can help to prompt other members’ generosity as they read human-interest pieces and learn about others’ experiences firsthand. As an example, the Arthritis Foundation uses a robust blog roll to let members tell each other about their trials and triumphs related to the disease.

Identify leaders in your supporter base. Monitoring member discussions will also enable nonprofits to identify their most active online members, who can then be utilized as campaign evangelists and organizers. Often, these members will be receptive to suggestions about topics they can raise within the community, as well as requests for helping launch fundraising drives within their own geographic locales.

Use social networking to find new revenue streams. Social networking presents opportunities for carefully selected vendors to interact with members in controlled and appropriate ways. For instance, a sponsoring vendor might be allowed to publish a blog or Q&A column in its field of expertise, or host a member forum on a relevant topic. As nonprofits seek to ride out the current economy, finding new and unconventional revenue streams can help to offset operational costs and supplement reduced donations.

Attract a younger generation of supporters. Beyond the current economic crisis, nonprofits must also think about maintaining their supporter base as baby boomers begin retiring. There are more than 76 million “Millennials” – Americans born between 1978 and 2000 – who will enter the workforce over the next decade. This next generation grew up with the Internet, and the members of this generation are familiar with — and expect — social community features on websites. Nonprofits that develop social media strategies to reach this audience will have a competitive edge.

Building connections with supporters is especially important in a down economy, when many donors are feeling pressure to reduce the amount they give. Having a strong social networking community can actually help keep supporters involved.

Because social media tools transform passive, online audiences into active members, they help to create stronger bonds that are less likely to be broken. As mentioned previously, relationships enabled through social media can be between the nonprofit and its advocates, or between the advocates themselves as they form friendships and bonds over similar interests and concerns. In fact, in trying times, having a sense of community can be the incentive many supporters need.

The bottom line: While many nonprofits may be considering delaying social media initiatives due to cost, now is actually the right time to deliver these essential new outreach programs.