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Final PresentationCS 410 Yellow GroupDecember 13, 2010
Team StructureTeam Structure
November 15, 2010 Fall 2010 Yellow Group 2
Conventional Fundraising Conventional Fundraising Methods are InefficientMethods are Inefficient
November 15, 2010 Fall 2010 Yellow Group 3
Poor Economic TimesPoor Economic Times
• The national unemployment rate was up to 9.8% in November 2010.
• U.S. banks repossessed nearly 270,000 homes in the second quarter of 2010, a 38% jump from the second quarter of 2009.
November 15, 2010 Fall 2010 Yellow Group 4
Sources: U.S. Bureau of Labor Statistics, Los Angeles Times
Declining DonationsDeclining Donations
• Total giving was down 3.6% in 2009, the largest decline since 1956.
• Contributions to colleges and universities were down 11.9% in 2009 , the greatest decline ever recorded.
November 15, 2010 5Fall 2010 Yellow Group
Sources: American Association of Fundraising Counsel, Council for Aid to Education
Changes in Giving in Years Changes in Giving in Years with with
8+ Months of Recession8+ Months of Recession
November 15, 2010 Fall 2010 Yellow Group 6
Sources: The Giving USA Foundation, Center on Philanthropy at Indiana University
Overhead for OrganizationsOverhead for Organizations
• Between 2004 and 2008, fundraising overhead cost the Children’s Health Foundation 86% of their donations.
November 15, 2010 Fall 2010 Yellow Group 7
Source: CBC News Canada
Reasons People Stop GivingReasons People Stop Giving
November 15, 2010 Fall 2010 Yellow Group 8
Source: 2010 Bank of America Study on High Net-Worth Philanthropy
Reasons People Stop GivingReasons People Stop Giving
Source: 2010 Bank of America Study on High Net-Worth Philanthropy November 15, 2010 Fall 2010 Yellow Group 9
ProblemProblem
November 15, 2010 10Fall 2010 Yellow Group
• Rising overhead and declining donations make it hard for small non profit organizations to meet goals and financial objectives.
CustomerCustomer
• Non profit organizations that need to:• Save money on advertising• Attract new donors• Maintain communication with current donors
• Over 1.6 million nonprofit organizations registered with the IRS
November 15, 2010 Fall 2010 Yellow Group 11
Source: National Center for Charitable Statistics
Introducing uRai$eIntroducing uRai$e
• Targeted fundraiser notifications• Support for mobile donations• Social network integration• Low overhead• Bank account integration• Internet-based: 24/7 availability
November 15, 2010 Fall 2010 Yellow Group 12
November 15, 2010 13Fall 2010 Yellow Group
Current Donation ProcessCurrent Donation Process
November 15, 2010 14Fall 2010 Yellow Group
Current Manual Overhead Current Manual Overhead ProcessProcess
uRai$e Donation Process uRai$e Donation Process FlowFlow
November 15, 2010 Fall 2010 Yellow Group 15
Mobile DonationsMobile Donations
• Over $30 million raised via mobile donations so far
• 80% of Americans use a cell phone• Over 20 mobile donation campaigns
supported Haiti
November 15, 2010 Fall 2010 Yellow Group 16
Source: MSNBC
Mobile Donation Process Mobile Donation Process FlowFlow
November 15, 2010 Fall 2010 Yellow Group 17
Social Networking Social Networking IntegrationIntegration
November 15, 2010 Fall 2010 Yellow Group 18
Facebook Twitter
•More than 500 million active
users
•Average user has 130 friends
•People spend over 700 billion
minutes per month
•26.22% of the World’s
population are currently
Facebook users
•Second most visited site on the
web
•More than 100 million
registered users
•50 million tweets per day in
2010
•51% of active Twitter users
follow companies, brands or
products on social networks
•Tenth most visited site on the
webSources: Facebook, PC World, Alexa, Edison Research/Arbitron Internet & Multimedia Study
Recent Growth of Social Recent Growth of Social NetworkingNetworking
• Social networking growth:– Twitter: grew from 2 million users in 2008 to 32
million in 2009– Facebook: 400 million active users in February 2010
to 500 million active users in July 2010• Social networking awareness:― Twitter: exploded from 5% of Americans 12 and
over in 2008 to 87% in 2010― Facebook: from 50% awareness to 88% in the
same period.• U.S. visits to social networking Web sites rose
62 percent from September 2008 to September 2009.
November 15, 2010 Fall 2010 Yellow Group 19
Sources: Facebook, Edison Research/Arbitron Internet & Multimedia Study, Hitwise
Distribution of Income and Distribution of Income and AgeAge
November 15, 2010 Fall 2010 Yellow Group 20
Facebook:
Twitter:
Income Distribution
Income Distribution
Age Distribution
Age Distribution
Source: AdPlanner
Major Functional Components Major Functional Components DiagramDiagram
November 15, 2010 Fall 2010 Yellow Group 21
Software DeliverablesSoftware Deliverables• Web services• User interfaces• Service Engines
– Fundraiser Suggestion– Alerts Services– Credit Card– Mobile Donation– Banking Integration
• Business Rules Application Logic• Business Objects Domain Model• uRai$e Data Access Layer• uRai$e database• Fundraiser Suggestion Data Warehouse
November 15, 2010 Fall 2010 Yellow Group 22
Site MapSite Map
November 15, 2010 Fall 2010 Yellow Group 23
Donate to Fundraiser Donate to Fundraiser ScreenScreen
November 15, 2010 Fall 2010 Yellow Group 24
User Profile ScreenUser Profile Screen
November 15, 2010 Fall 2010 Yellow Group 25
Fundraiser Report ScreenFundraiser Report Screen
November 15, 2010 Fall 2010 Yellow Group 26
Alerts AlgorithmAlerts Algorithm
November 15, 2010 Fall 2010 Yellow Group 27
Get Donor Get Donor Tags
Find fundraisers with matching tags
Get suggested fundraisersCreate alert message
[Found fundraisers]
Send Email Alert[Accepts emails]
[Does not accept emails]
Send Text Message Alert[Accepts text messages]
[Does not accept text message]
Post to Facebook wall[Accepts Facebook]
[Does not accept Facebook]
[No fundraiser found]
Fundraiser Suggestion Fundraiser Suggestion AlgorithmAlgorithm
November 15, 2010 Fall 2010 Yellow Group 28
Find fundraisers with matching tags Find donors with matching tags Find donors with common donation history
Get new fundraisers Get new fundraisers
Aggreate fundraisers
Calculate interest rank
[Get next fundraiser]
[Done ranking]
Get top ranked fundraisers
Get all suggested fundraisers
[Not for reporting]
[For reporting]
Get donor
Database DiagramDatabase Diagram
November 15, 2010 Fall 2010 Yellow Group 29
Donor
Id FirstName Lastname Email Phone Address City State Zip Password
Fundraiser
Id OrganizationId (FK)Name Description StartDate EndDate Goal
Tag
Id Tag (O)
FundraiserTag
Id FundraiserId (O) (FK)TagId (O) (FK)
Organization
Id Name Description Email Phone Address City State Zip
Member
Id OrganizationId (FK)FirstName LastName Email Phone Password
DonorTag
Id TagId (O) (FK)DonorId (O) (FK)
CreditCardDonation
Id DonorId (FK)TransactionDate Amount CreditCardType Last4OfCreditCardNumber CreditCardDonation
MobileDonation
Id DonorId (FK)FundRaiserId (FK)TransationDate Amount MobileCarrierId (FK)
URaiseApp
Id Name AuthorizationKey
URaiseAppCreditCardDonation
Id CreditCardDonationId (FK)URaiseAppId
MobileCarrier
Id Name
Benefits for DonorsBenefits for Donors– Profile creation for targeted alerts– More features, such as mobile donating,
makes the process of donating easier– Offers more transparency so donors
have a better understanding of how their money is being used and how much money is needed
– Streamlined payment options– Ability to stay connected with
organizations without donating
Competition MatrixCompetition Matrix
April 21, 2023 31
uRaise Acceptiva YourMembershipDonorPerfect
Mobile donations
X
Call center donations
Online credit card
donationsX X X X
Create your own
fundraiserX
Monitor funds
X X X
Fundraiser event
updatesX X X
Social network
integrationX X
Yellow Group, Fall 2010Sources: Acceptiva, YourMembership, DonorPerfect
• 5 million page views per month for FREE
• Highly available & fault tolerant platform
• 99.9% uptime service level agreement
• Same infrastructure that supports Google’s
products
• Low maintenance overhead
• PCI standards compliant
Cloud Services PlatformCloud Services Platform
April 21, 2023 Yellow Group, Fall 2010 32
Source: Google App Engine
App Engine Resource App Engine Resource ExpensesExpenses
ResourceFree Default Quota
Billing Enabled Default Quota
Stored Data (billable)
1 GB1 GB free; no maximum
Number of Indexes
200 200
April 21, 2023 33
Resource Unit Unit costCost/1000 page requests
Outgoing Bandwidth
gigabytes $0.12 $0.004
Incoming Bandwidth
gigabytes $0.10 $0.003
CPU Time CPU hours $0.10 $0.027
Stored Data
gigabytes per month
$0.15 $0.004
Recipients Emailed
recipients $0.0001 $0.1
Total $0.138
Yellow Group, Fall 2010
RisksRisks• Customer Risks
– Customer data compromised • Technical Risks
– App Engine server failure– Mobile Donations
• Financial Risks– Unwillingness of organizations to use the
tool– Not enough customers to cover expenses
• Legal Risks– Credit card information stolen
November 15, 2010 Fall 2010 Yellow Group 34
Risk MatrixRisk Matrix
November 15, 2010 Fall 2010 Yellow Group 35
Key
Customer Risks:C1 – Customer data compromised
Technical RisksT1 - App Engine servers failT2 – Mobile Donations
Financial RisksF1 – Not enough customers to cover expensesF2 - Unwillingness of organizations to use the tool
Legal Risks: L1 – Credit card information stolen
How to mitigate risksHow to mitigate risks
November 15, 2010 Fall 2010 Yellow Group 36
Problem Mitigation
Customer data compromised SSL protocol will ensure confidentiality
Unwillingness of organizations to use the tool
Integration with social networks will make it easier to get the word out, and ease of use/reduction of overhead will provide incentive
Credit card information stolen Comply with PCI standards to keep credit card information secure and reduce legal liability for the customer
Mobile Donations Contract with various cell phone providers
Covering expenses Overhead will be decreased by automating various processes and reducing manual work
App engine fails System architecture can be ported to any platform
Prototype MFCDPrototype MFCD
November 15, 2010 Fall 2010 Yellow Group 37
Prototype MilestonesPrototype Milestones
• Design and implement database with test data
• Design and implement the web site• Develop Facebook application• Integrate with Twitter• Develop bank simulation service• Develop mobile donation simulation
service
November 15, 2010 Fall 2010 Yellow Group 38
Phase 1 OrganizationPhase 1 Organization
November 15, 2010 Fall 2010 Yellow Group 39
Phase 1 FundingPhase 1 Funding
• All employees are student interns• SBIR grant from the National Science
Foundation – $100,000
November 15, 2010 Fall 2010 Yellow Group 40
Phase 1 WBSPhase 1 WBS
November 15, 2010 Fall 2010 Yellow Group 41
Phase 1 StaffingPhase 1 Staffing
November 15, 2010 Fall 2010 Yellow Group 42
Phase 1 ResourcesPhase 1 Resources
November 15, 2010 Fall 2010 Yellow Group 43
Phase 2 OrganizationPhase 2 Organization
November 15, 2010 Fall 2010 Yellow Group 44
Phase 2 FundingPhase 2 Funding
• Period of up to two years• National Science Foundation Phase 2
Grant– $750,000
November 15, 2010 Fall 2010 Yellow Group 45
Phase 2 WBSPhase 2 WBS
November 15, 2010 Fall 2010 Yellow Group 46
Phase 2 StaffingPhase 2 Staffing
November 15, 2010 Fall 2010 Yellow Group 47
Phase 2 Resource BudgetPhase 2 Resource Budget
November 15, 2010 Fall 2010 Yellow Group 48
Phase 3 OrganizationPhase 3 Organization
November 15, 2010 Fall 2010 Yellow Group 49
Phase 3 FundingPhase 3 Funding
• Any extra funding needed that is not made by net profits
• Investment Groups • Additional Grants• Small Business Loans
November 15, 2010 Fall 2010 Yellow Group 50
Phase 3 WBSPhase 3 WBS
November 15, 2010 Fall 2010 Yellow Group 51
Phase 3 StaffingPhase 3 Staffing
• An
November 15, 2010 Fall 2010 Yellow Group 52
Phase 3 ResourcesPhase 3 Resources
November 15, 2010 Fall 2010 Yellow Group 53
Advertising ExpensesAdvertising Expenses
• Google Ad Network– $5.00 Activation Fee– Cost-per-click Maximum $1.50
• Facebook– Cost-per-click $0.70
Total Budget OverviewTotal Budget Overview Phase Total
Phase 1 Staffing
$14,820 Phase 1 Resources $8,590Phase 2 Staffing $374,585Phase 2 Resources 15,095Phase 3 Staffing $391,014Phase 3 Resources $10,450Advertising $20,000Total $834,554
November 15, 2010 Fall 2010 Yellow Group 55
Pilot ProjectPilot Project• Old Dominion University
“…to accept a one-time $50 gift that we don't know we will ever receive again we have had numerous people touch the funds, creating and administering accounts, and spending the funds. In man hours alone, it costs far more than $50 to give away this $50 gift!”
Anita Friedmann Assistant Vice
President Office of Development
November 15, 2010 Fall 2010 Yellow Group 56
Marketing GoalMarketing Goal
• Acquire 1% of the market share within the first year
Strategy:– Online and social media marketing– Target middle class– Minimize advertising costs
November 15, 2010 Fall 2010 Yellow Group 57
Marketing MediaMarketing Media
• Google Ad Network– Google owns 80% of Internet advertising
network
• Facebook– Exposure to 500 million users
• Twitter– Exposure to 100 million users
• Since 2008 Internet advertising has become twice as big as broadcast TV advertising and four times as cable.
• Approximately 50% of both YouTube’s and Facebook’s American users are college educated and at least 2/3 make over $50,000 making it a great place to advertise
November 15, 2010 Fall 2010 Yellow Group 59
Sources: Google AdPlanner Data, Perry Marshall
Price PointPrice Point
• The initial price to the customer for uRai$e is $40 a month with no registration fee.
• 3.2% Processing fee/transaction.• $8.00 Credit card system monthly
fee• $8.00 Recurring transaction monthly
fee
November 15, 2010 Fall 2010 Yellow Group 60
Break Even AnalysisBreak Even Analysis
November 15, 2010 Fall 2010 Yellow Group 61
At a cost of $480.00 per year for one customer and a targeted sales of 16,000 units, we will see a profit at 1,739 units.
Return on InvestmentReturn on Investment• Minimize fundraiser processing overhead
o Reduced processing feeso Automated integration with existing LOB applications
• Maximize fundraiser earning potentialo Social network integrationo Mobile donation supporto Automated donor notifications
• Manage fundraiser with more flexibilityo Custom fundraiserso Added transparencyo Automated tax forms e.g 990 and “Thank You” letters
November 15, 2010 Fall 2010 Yellow Group 62
AppendicesAppendicesA.) Interview with Office of Development and Alumni RelationsB.) Email from Anita Friedmann, Assistant Vice President of the Office of DevelopmentC.) Work Breakdown Structure for Phase 2
November 15, 2010 Fall 2010 Yellow Group 63
Team ManagementTeam Management
• Meetings– Full team once a week on Thursday, 5:00 PM CS
LAB– Skype meeting on Tuesdays night at 7 pm– Individual member meetings
• Tools Utilized– Team Wiki: cs.odu.edu/~410yello/pmwiki/pmwiki.php– Team Forum: cs.odu.edu/~410yello/forum– Communication via E-mail, Text Messaging, and Skype
November 15, 2010 Fall 2010 Yellow Group 64
Team WebsiteTeam Website
November 15, 2010 Fall 2010 Yellow Group 65
SourcesSources• "Accept Donations and Payments Online. Church Contributions and Non-Profit
Donations and Payments Online. Acceptiva." Accept Donations Online and Non Profit Payments. Donation Software. Church Contributions and Donations. Web. 11 Nov. 2010.
• Alexa the Web Information Company. Web. 11 Nov. 2010. <http://www.alexa.com/>.
• Blackbaud Fundraising Software: Nonprofit Accounting Software & Nonprofit Management System. Web. 11 Nov. 2010. http://www.blackbaud.com.
• Choney, By Suzanne. "Mobile Giving to Help Haiti Exceeds $30 Million - Technology & Science - Wireless - Msnbc.com." Breaking News, Weather, Business, Health, Entertainment, Sports, Politics, Travel, Science, Technology, Local, US & World News- Msnbc.com. Web. 25 Oct. 2010. <http://www.msnbc.msn.com/id/34850532/ns/technology_and_science-wireless/>.
• Council for Aid to Education. "CONTRIBUTIONS TO COLLEGES AND UNIVERSITIES DOWN 11.9 PERCENT TO $27.85 BILLION GREATEST DECLINE EVER RECORDED." Web. <http://http://www.cae.org/content/pdf/VSE_2009_Press_Relsease.pdf>.
• "Enrollment in Educational Institutions, by Level and Control of Institution: Selected Years, 1869-70 through Fall 2018." National Center for Education Statistics (NCES) Home Page, a Part of the U.S. Department of Education. Web. 25 Oct. 2010. <http://nces.ed.gov/programs/digest/d09/tables/dt09_003.asp?referrer=report>.
November 15, 2010 Fall 2010 Yellow Group 66
SourcesSources• "Fundraising Software Pricing Info, Price List." Fundraising Software for
NonProfit Donor Management DonorPerfect. Web. 11 Nov. 2010. <http://www.donorperfect.com/fundraising-software/pricing.asp>.
• "Giving Statistics." U.S. National Park Service - Experience Your America. Web. 25 Oct. 2010. <http://www.nps.gov/partnerships/fundraising_individuals_statistics.htm>.
• "Mobile Giving: Organizations Collecting Donations by Text | Mobile Commons." Web. 25 Oct. 2010. <http://www.mobilecommons.com/blog/2010/01/mobile-giving-how-your-organization-can-start-collecting-text-donations/>.
• Membership Management Software | Membership Software | YourMembership.com. Web. 11 Nov. 2010. <http://www.yourmembership.com/pricing/>.
• "Quotas - Google App Engine." Google Code. Web. 11 Nov. 2010. <http://code.google.com/appengine/docs/quotas.html>.
November 15, 2010 Fall 2010 Yellow Group 67
Rising College ExpensesRising College Expenses
November 15, 2010 68Fall 2010 Yellow GroupSource: Council for Aid to Education
Tuition IncreaseTuition Increase• On average, tuition rates will increase at about
twice the general inflation rate.• From 1958 to 2001, the average annual tuition
inflation rate was between 6% and 9% (1)
• ODU tuition increased 7% this year.• “…tuition and fees at ODU have risen 80
percent since a state-imposed tuition freeze was lifted in 2002.” (2)
1. http://www.finaid.org/savings/tuition-inflation.phtml2. http://hamptonroads.com/2010/04/odu-board-approves-7-percent-tuition-increase
November 15, 2010 69Fall 2010 Yellow Group
November 15, 2010 70Fall 2010 Yellow Group
Changes in College Donations Changes in College Donations Related toRelated to
the Stock Market and Recessionsthe Stock Market and Recessions