Is It Time for Your Nonprofit or School to Make a CRM Change?

It was a client kickoff call like so many others. After we made introductions, I asked about their donor CRM, jotting notes as they shared their hopes, frustrations, and data woes. As their list of frustrations grew and their unfulfilled hopes piled up, they asked me if I thought it was time to change to another donor CRM.

My answer began with one word: Maybe.

There is no simple answer to the question of whether to consider a new constituent relationship management system. If, like my client, you’re asking if it’s time to change your fundraising CRM, the starting point is understanding your current situation (your team, your data, and your needs) as well as your goals for the future.

Know Your Current Situation

Frustrations with your CRM may be due to the limitations of the tool, but they may also be due to the way your team has chosen to use the tool, or a lack of training. Many data problems can be fixed by using your CRM as it was intended to be used, streamlining codes, or standardizing your practices. The key is to avoid repeating the same issues moving forward. That lies in fully understanding the pain points in your current system.

• Data: Have you been realistic about the quality of your data? Do you have duplicates to merge or data that lives in multiple places? This can be particularly problematic if team members use different fields for the same information and there’s a lack of consistency.
• Processes: Have you fully analyzed all data processes to understand why you are limited in your current CRM? I often consult with clients who aren’t able to use functionality in their CRM because of choices they have made with their data. Be aware: if you don’t address them, those choices could follow you to another CRM and lead to similar consequences.
• Training: What is the current skillset of your team and what is their capacity for adding new skills? Does your team have the time and technical aptitude to evaluate and learn a new system? Do you need to invest in your people as well as in software for a new tool to be successful? Could it be more time- and cost-effective to invest in training on your current CRM?
• Change management: How does your team respond to change? How do they feel about your current tool? You can’t make your decision solely on feelings, but it is helpful to think through how your team might respond, hear their concerns, and prepare internally for a system shift.

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Before you invest in a new CRM, determine the root cause of your frustrations and limitations, as that will enable you to be strategic in how you proceed. Changing systems without careful reflection is a recipe for future data frustration.

Dream as a Team About Your Ideal CRM

Once you’ve established your current situation, it’s time to dream about what you’d like to be able to do with your data. Dream big and dream together as a team. Don’t limit yourselves by what you’ve had before or what you think you can afford! Save budget talks for the evaluation phase. Use this time to imagine the best possible CRM functionality for your organization.

• What would your daily data processes look like for all users (from gift officers to data entry to leadership)? What type of access to the system do different team members need? What would that functionality look like? Would you like to automate certain processes?
• What tools would you like to integrate (or possibly replace)? Do you have a separate
  email marketing system that you love and want to keep (with an option to integrate data back to your CRM)? Would you like a peer-to-peer fundraising option that lives in your CRM rather than one that you must integrate? Would you like to connect your CRM with your financial management system?
• What about reports? Which ones would change your fundraising or help leadership? How would they be accessed (emailed to team members, view-only dashboards that refresh, etc.)?
• How could your CRM improve your donor experience? What would you look for in
  regards to acknowledgments, donor portals, or online giving?

Answering these questions takes time, but working through them as a team will give you a better understanding of your organization’s needs and a vision for the best path forward.

Why do major gift officers love Blackbaud Raiser’s Edge NXT? See the lookbook!

Evaluate Your CRM Options

Once you’ve reviewed your current situation and dreamed together as a team, it’s time to begin the evaluation process. Consider your budget, research specific software providers, and decide if changing tools is the right decision for your organization.

• Stay within budget: What are the true costs of changing CRMs? Be sure to find out about all migration fees, training costs, and any other financial commitments that may come up when implementing a new system. Compile a list of all the data-related tools that you’re currently using. In addition to your CRM, document any third-party tools you use: email marketing, event management, volunteer tracking, etc. Calculate your total investment in all these tools so you can accurately compare pricing alongside functionality. Read contracts carefully to avoid surprises. Know the true cost as well as your actual budget in advance so you don’t fall in love with a CRM that is out of your price range.
• Purpose-built for fundraising: Is the CRM you’re considering designed with nonprofits in mind? Can you easily identify information you need for legal tax receipts, fundraising, recognition credit for gifts, etc.?
• Align to needs: Does the CRM have the functionality built in for your specific type of organization? If you manage memberships, does your CRM store that information in a usable function? If you work at a school, are you able to track education and family relationships easily?
• Prioritize features: What features matter most to your organization? Do you need to track volunteers, create event registration forms, track employee giving, create segmented mailing lists, etc.? Determine your top features so you can verify how they work in the CRMs you’re evaluating.
• Identify the upsides: Consider the benefits of a new system. Would it provide you with additional functionality that will increase your fundraising efforts? How will you judge your ROI?
• Narrow the possibilities: Create a list of CRMs that interest you and schedule demos. Include as many team members as necessary to make an informed decision. Watch recorded demos as well and be sure to review all publicly available product documentation.
• Get the lowdown: Ask for references, but don’t be afraid to find your own as well! I’m a huge fan of online nonprofit communities and software review sites, as well as local communities such as Association of Fundraising Professionals (AFP) chapters. Seek out people already using the tool and ask about their experience.

The Right CRM Can Help You Meet Your Goals

What did my client decide? They’re still considering their current situation and building their dream list. Then we’ll start the evaluation process. I can’t say yet if it’s time for them to change their CRM, but I am excited to see how they grow their fundraising program with the use of better data, whether in their current system or a new one.

So, what about you? Taking the time to carefully consider your tools, build a plan, and invest in a CRM to streamline your fundraising will be worth all the effort that you put into it. To get started, check out the total fundraising solutions from Blackbaud, the world leader in CRM software purpose-built for fundraisers.