Company Background

The new way to move nonprofits forward

While volunteering for a nonprofit pledge drive, Convio founder and technology leader Vinay Bhagat saw that the traditional process for managing interactions with donors was not as efficient and effective as it could be. There simply had to be a better way.

With insights he had gained from working for a software company, he understood that technology could be the key. It could help nonprofits reach more people, raise more money and reduce costs.

So, in 1999, after talking with more than 1,000 nonprofit executives and assessing their unique needs, he set out to change the status quo for nonprofits. He launched the first comprehensive, on-demand platform that addresses the unique fundraising, communication, advocacy and relationship management requirements of nonprofit organizations.

In early 2007, Convio acquired GetActive Software, a software provider that was, like Convio, leading the movement to help nonprofits use the Internet to inspire and mobilize people to support their missions. Founded by staff members of a leading environmental advocacy organization, GetActive's heritage of experience and engagement with the nonprofit community has reinforced Convio's ability to help its clients increase donor/member retention rates, realize operational efficiencies, empower constituents to become more engaged, and efficiently manage a dynamic web presence.

Recently, the company added a CRM system to its product offerings to help nonprofits move beyond just storing donor data in their traditional donor databases, to using supporter data for raising money more effectively and advancing their mission.

The nonprofit sector

Nonprofit organizations make up a significant part of the US economy — $1.3 trillion (total of operating expenditures). More than one million entities carry the 501(c) tax-exempt status, with sectors including associations, cultural organizations, education, healthcare, human services, political and advocacy groups, and public broadcast. According to Giving USA 2008, the yearbook of philanthropy published by Giving USA Foundation™ (researched and written by the Center on Philanthropy at Indiana University), Americans gave an estimated $306.39 billion during 2007.

Because many nonprofits have scarce resources, they're rethinking traditional models for communication, fundraising and advocacy. As the Internet has fundamentally changed the way people connect with each other, nonprofits are increasingly turning to the online channel to reach, motivate and retain constituents and drive results in fundraising, advocacy and other communications programs. It has become the growth engine for many nonprofits.

The Internet also is changing the software market by putting control in the hands of the nonprofit user — allowing nonprofits to do more for less. Convio's on-demand (multi-tenent Software-as-a-Service {SaaS}) model is helping nonprofits focus on their mission - not infrastructure — by removing the IT hassles, headaches and costs associated with traditional, on-premises software.

Many of the world's leading nonprofit organizations are experiencing the benefits of using the SaaS model, pioneered in the nonprofit sector by Convio:

No hardware or software to install and maintain
Faster and lower-risk deployment
Automatic upgrades that don't impact IT resources
Applications that are accessible wherever an internet connection is available
Empowered constituents and staff
Predictable expenses
World-class service delivery, including scalability, disaster recovery, and impressive uptime numbers

Results

Through the first six months of 2008, nonprofits were using Convio to power more than 3,500 web domains, deliver more than 1.4 billion email communications, 24.6 million advocacy calls to action and process more than $377 million in online donations.

Convio clients have driven consistent and measurable results in online fundraising, advocacy and other communications using proven strategies and Convio's suite of online marketing and fundraising products. These results include:

increases in house files
record-breaking fundraising campaigns
highly successful advocacy efforts supporting various causes
expanded membership and volunteerism
larger events with increased participation

Ownership

Privately held company
Investors: Austin Ventures, Granite Ventures, Adams Street Partners, El Dorado Ventures, Rembrandt Venture Partners, Adobe Ventures, Silverton Partners, and Pacific Partners