Posted 8/21/21
When I was a salesperson for a wood refinishing company, I learned the hard way that managing customer expectations was tremendously important. Because the company provided a specialized type of service, the outcome of a refinishing job could be unpredictable. Regardless of the color chosen from the samples by the customer, a natural product such as wood can react differently to the stain depending on the cut, grain, softness, existing color shades and other variables. As a result, the customer can be disappointed, even upset if he/she expected the outcome to match the color chosen from the samples and it turns out differently (I learned quickly to pay attention to expectations). It is important to inform customers prior to purchase, of the possible outcomes so that the expectations are more realistic and not so surprising, thus avoiding upsetting results. We all know how quickly a negative experience can spread throughout a community, especially with social media.
How does this translate to fundraising? Many donors also carry with them expectations regarding the use and impact of their donations. In working with larger gifts, the cultivation that you, as the fundraiser, carry out, should give you a good idea of donor expectations if you ask the correct questions during the process. Maybe clarifying the impact of the donation, how many people will be helped by the funds, some donors wonder about the operating overhead, was the contribution expected to be restricted or unrestricted, is it acknowledged or anonymous? The more you understand and communicate with the donor, and the more you ask direct questions regarding expectations (if you are not sure), the better the donor experience will be.
I have seen a great example of managing donor expectations in a variety of nonprofit organizations. In one particular case, an argument arose regarding the question of why a percentage of donors’ contributions are used to compensate employees and pay general operating expenses when the people who are hungry, homeless or abused for example, need it most and should receive it directly? A reasonable question and common misunderstanding. I am not going to go into the explanation of this question in any depth, but a short answer would be comparable to business in that you need to pay overhead and salaries for people to produce an item or deliver a service, just like the expenses in a nonprofit are needed to help build and deliver programs for those in need. Unless the misunderstanding is addressed and managed before it becomes a larger issue, the table will be set for disappointment and possible negative image of the organization.
Now, this information is probably obvious to seasoned fundraisers, but it is always good to receive a reminder as the damage to the organization’s reputation can happen quickly. It is also helpful to newer fundraisers as one can fall into the trap of rushing the relationship under the pressure of goal attainment, yet fail to cultivate properly and uncover potential crucial
expectations of the donor. It is an easy strategy to overlook, with potentially damaging consequences. Hopefully this saves some headaches along the way, for the fundraiser, the organization and the donor. Transparency is always the best policy for managing donor expectations, or you can risk losing long-earned trust.