The challenge of a recognition program is to be tactful and proceed with great care. According to Dr. Edward H. Pearce, Associate Director, Department of Development, Queen’s University, “It is just good manners to say “Thank you” in an appropriate way; it completes the donor solicitation cycle; and it is the beginning of a lifetime relationship between the organization and the donor.” At the recent Orchestrating Opportunities planned giving symposium held by the Canadian Association of Gift Planners in Cambridge, Ontario, Pearce argued that institutions need a donor recognition program.

Some of the distinct benefits of a program, as Pearce sees it: it helps assure that donors do not change their minds; it may lead to further gifts, a larger bequest, or outright gifts of cash; it may stimulate others to make gifts; it may encourage anonymous donors to report their arranged gift; it promotes dialogue between the organization and the donor; and it will help ensure not only that the gift is meaningful to the donor but also that it meets the needs of the organization. A special side benefit is that it often encourages the donor to become more involved with the organization and may encourage gifts by other members of their family.

“There are many unnamed issues surrounding the drawing of a will, life insurance, gift annuity or charitable remainder trust,” said Pearce. “These include issues of mortality, family succession, individual privacy, and the fact that a planned gift such as a will is usually considered a confidential document.” Professionals should move very carefully, and be aware of the two most obvious concerns which often lead to awkward situations: the incorrect spelling of the donor’s name, and the fact that recognition should be sincere and appropriate to both the organization and the type of gift.

Simple donor recognition programs, suggested Pearce, may include, but not be limited to:

• The “Thank you” letter – which should be sent as soon as possible after notification of an arranged bequest. “It’s important that a significant member of the organization sign the letter – the CEO, the president of the foundation, etc. If the bequest is being directed to a specific area, it may also be appropriate for the department head, researcher, or worker to write a letter as well,” said Pearce.
• Donor walls, books, plaques and donor lists – the first three of which are ideal ways to offer permanent recognition. They can also encourage gifts to a capital appeal. Donor lists, while sometimes used in capital appeals, are more often used to recognize annual campaign gifts.
• Specific naming opportunities – an important technique in moving donors to a higher gift level. Often the first indication of a bequest is a modest specific amount. “Once the donor learns of specific gift opportunities, however, many are inclined to increase their bequest to the recommended amount,” Pearce points out. Naming opportunities are very compelling, giving donors the ability to have their name or the name of a loved one associated in perpetuity with their favourite charity.
• Luncheons and tours – are a cost-effective and very personalized form of recognition based on a simple invitation for the donor to visit the charity, perhaps to an area of interest (such as room or lab.) or to see the program or type of program named in the will. This enables a face to face meeting where the CEO and other staff members can personally say “Thank you”. The visit can include a small luncheon.
• Testimonial ads and donor profiles – in a newsletter or other in-house publication are often a very effective way to recognize a donor. This expresses the organization’s appreciation in bold print, but it also has the added benefit of encouraging similar gifts from prospects who read the newsletter and say, “I could do that too.” “There may be other benefits as well,” said Pearce. “For example, I once recognized an insurance agent who had himself made an insurance gift. The donor felt great satisfaction at being recognized, but he also received something else. The profile announced that he was an agent who supported the cause, and by implication he could help others to make a similar gift. And Queen’s of course would be delighted if others made insurance gifts.”
• Donor Recognition Societies – specific giving clubs for deferred gift donors, can serve two purposes. They both recognize the donor and have a stewardship component. The Society becomes a means to periodically keep in touch with the donor, and allows the donor to give feed back to the organization. Those created for bequest donors bear names such as The Codicil Club or The Wills Club. Other names in use are The Heritage Society, or The 21st Century Club. Don’t overlook the important little details that can cause you grief, such as criteria for membership; crediting policies; and tokens given upon membership.