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Strategic Positioning of the MSPCA: The Next 10 Years *

William Rafelson, MBA‘09 The Heller School for Social Policy and Management [email protected]

* Prepared for Prof. Thomas McLaughlin of Strategic Management

CONTENTS

1……………………………………………………………………….INTRODUCTION 2………………………………………………………………STRATEGIC POSITIONS 2.1……………………………………………………………………DEMAND 2.2…………………………………………………………………....LABOR 2.3…………………………………………………………………....FUNDERS 2.4…………………………………………………………………....COMPETITORS 3...…………………………………………………………………....SYNTHESIS 4…………………………………………………………………....CONCLUSION 5………………………………………………………...APPENDIX: SCAN SHEETS 1. INTRODUCTION

“Chores are done!” Mr. Luke said to the Emergency receptionist, as he pushed the hand-cart back to his car to pick up the last box. Mr. Luke is a tall, jovial man and self- proclaimed “cheese head,” a Wisconsin-native. Every morning, I imagined, he must wake up at 4:00AM to drive from the cape to the Jamaica Plains hospital by 6:00AM. As we went up the stairs, he noticed a piece of trash on the floor and snatched at it, the way a parent would keep their house. “These used to be scattered exam rooms,” he said, as we walked through the clinical side of the hospital. Now, after a multi-million dollar renovation, the 140-year old had a newer, contiguous clinical care facility with 33,000 square feet of space, not to mention a brand new adoption center that has seen adoption rates rise as a result. The Massachusetts Society for the Prevention of Cruelty / Angell Memorial Hospital (MSPCA-Angell) was founded in 1868 by George T. Angell, who, after hearing of two horses that were raced to their death, proposed anti animal-cruelty legislation in Massachusetts. With the support from figures such as John Quincy Adams and Ralph Waldo Emerson, the MSPCA’s actions inspired many others states to form humane societies and pass anti-cruelty legislation. 1 Over the many years, the MSPCA has played a federal role in animal advocacy, while maintaining mostly a local role in animal care. Caring for more than 250,000 , however, it is arguably the most high-yield humane society in number of animals treated than any other, including the ASPCA. For the following pages, we will create a strategic position for four relevant factors: labor, funders, competitors, and demand. Within each factor, we will note the important role that geography plays, and incorporate this into MSPCA-Angell’s strategic position for the next 10 years. With hard thinking and hard work, the organization will hopefully transcend as the leading group for direct service and advocacy for animals.

1 “: A vision unfolds.” MSPCA-Angell Website. http://www.mspca.org/site/PageServer?pagename=aboutus_History_George_Thorndike_Angell

2. STRATEGIC POSITIONS

2.1. COMMUNITY NEED / DEMAND

The epidemic of animal , combined with the lack of owners adopting, is truly heartbreaking. Each year, 3-4 million of the millions of sheltered and cats are euthanized because no home can be found for them. Although a portion of these animals are sick or aggressive, many are loving animals that are perfectly adoptable. 2 This is morally as well as financially tragic, as these animals could have “expanded out” the pet owner and animal care economy: a pet euthanized is a pet that could have brought over $200 per year to a facility such as MSPCA-Angell. 3 With owners lavishing more and more on their pets, the MSPCA-Angell can position itself to be the one-stop shop for its clients: adoption, food, medical care, grooming, and boarding. The owner who comes into MSPCA-Angell to adopt a pet should be informed about the various other services at the hospital, and should perhaps be offered a discount for the first year to incentivize the initial adoption. A recent Globe article reported that nearly 1 out of every 5 animals given up by owners to the MSPCA were due to landlord restrictions. 4 It is in the MPSCA- Angell’s financial as well as moral interest to advocate for pet owner’s rights in Boston. If the organization does not cultivate pet ownership in the city, its support will be diminished. The MSPCA-Angell could even advocate for legislation that would incentivize both tenants and landlords to help adopt animals, perhaps through the tax code. Finally, the MSPCA commands a national reputation and international presence, but its direct care services are limited to Massachusetts. If the MSPCA-Angell truly wants to compete with ASPCA and other national organizations for funding, it must take on a greater role in direct service. The organization should screen for a city with private wealth and a dearth of both private practitioners as well as an established humane society. The organization could “be” a national leader by “doing” what the ASPCA is criticized for failing in: direct service at a variety of locations across the country.

2“The Crisis of Pet Overpopulation.” The Humane Society of the United States. http://www.hsus.org/pets/issues_affecting_our_pets/pet_overpopulation_and_ownership_statistics/the_crisi s_of_pet_overpopulation.html 3“U.S. Pet Ownership Statistics.” The Humane Society of the United States. http://www.hsus.org/pets/issues_affecting_our_pets/pet_overpopulation_and_ownership_statistics/us_pet_ ownership_statistics.html 4 Boston Globe. “Please, No Pets.” 2.2. LABOR

The MSPCA has both significant challenges and opportunities with its labor force. Centered in Boston, a Mecca for students, it can easily attract hundreds of bright, young volunteers. However, there is a shortage of essential staff, especially veterinary technicians. In a personal interview with Carter Luke, CEO, he mentioned that a significant number of them were leaving for private practice positions that, although offered fewer tuition and health benefits, gave them a higher take-home pay. There are two opportunities for the organization to help strengthen its technician workforce: increased marketing of its benefits through HR and introducing a flexible benefits program (the two are not mutually exclusive). If technicians are granted flexibility, and can trade in certain holidays or days off for more pay, then perhaps management can halt their leaving to primary care. For example, management might even be able to market a “range” of salaries for the technicians, arguing that if they maximize the number of days worked and opted for fewer benefits, they could make anywhere between $17 to $22 per hour. Additionally, Human Resources should market the benefit of tuition reimbursement, and provide technicians with a database of local continuing education programs that are acceptable. Proper surveying of the technicians’ needs is necessary: do they desire to pursue business degrees or finish their Bachelor’s? With greater information, Human Resources can respond quickly to the change of tastes in the workforce. To attract new technicians, the organization now knows of each of the 9 schools that train veterinary technicians in New England. Greater marketing of opportunities at MSPCA-Angell at these sites can help ease the effects of the technician shortage. Finally, according to data from the Department of Labor, animal technicians at hospitals are generally paid more than those in private practice, and thus may expect a higher pay due to the extensive services they provide. 5 MSPCA-Angell may need to respond to the market by increasing technician compensation. With respect to the volunteer population, the MSPCA-Angell can capitalize on the demographics of Boston by offering a formalized program for pre-veterinary and - medical students, as many seek medical and community service experience throughout their four years. A more formalized program, such as that based on Brigham and Women’s Medical Exploration Program, could help attract volunteers at a relatively low cost.

5 “Veterinary Technologists and Technicians.” U.S. Department of Labor. http://data.bls.gov/oes/datatype.do 2.3. FUNDERS

As Mr. Luke pointed out in the interview, donors’ expectations continue to rise. Instead of blindly giving to charities, more donors wish to see their name attached to the gift, and have some ability to manage exactly where it goes. While the high-yield donors can easily have a wing or building named after them, it is harder to show something tangible to the donor who merely gives less than $250. Unless the MSPCA innovates as the ASPCA has (i.e., offering a membership for low-yield donors), it may fail to capture a significant portion of public support. The Center on Wealth and Philanthropy at Boston College is an excellent source for estimates of donation in the Boston area and elsewhere. Reports from the center have estimated that as much as $1.3 trillion of wealth will be transferred between generations in the Boston-area by 2055. Additionally, the center has found that volunteers are two to four times more likely to donate to a charity than non-volunteers. 6 7 Given these and other statistics, the MSPCA-Angell must position itself over the next 10 years to become the primary choice for bequests and donations for older, wealthy, baby-boomer animal lovers. One strategy would be to recruit more volunteers who fit the demographic of high-yield donors. Between 2005 and 2006, the organization has found that increasing its geographic scope with fundraisers has increased public support. The organization should continue to hold state-wide events, and perhaps lead a New-England-wide event. Finally, more support can be found online. MSPCA-Angell has the opportunity to start a national initiative for , in the manner that Eric Ding of HSPH did for cancer research and the Brigham and Women’s Hospital. More customized and focused electronic fundraising will help maximize support while minimizing cost.

6 Havens, et al. “Wealth Transfer Estimates: 2001-2055: Boston Metropolitan Area.” Center on Wealth and Philanthropy. Boston College. November 7, 2005. www.bc.edu/research/cwp/meta- elements/pdf/bostonwte.pdf 7 Havens, et al. “Charitable Giving: How Much, By Whom, To What, and Why.” http://www.bc.edu/research/cwp/meta-elements/pdf/charitablechapter.pdf

2.4. COMPETITORS

The MSPCA-Angell has a variety of competitors, from the ASPCA, Animal Rescue League of Boston, and the Humane Society of the United States (Direct), to PETA and Pet Smart (Indirect). Learning from its direct competitors, the organization can start to offer something tangible for its lower-yield donors, ranging from a web-page listing of all names to a t-shirt to “official MSPCA” membership. While membership may be construed as a flimsy marketing tactic, it has worked in favor of promoting the ASPCA brand. In 2005, the APSCA spent 19 times as much as the MPSCA did on direct mail costs, and claimed greater public support from a similar pool of funders. With no U.S. hospitals or shelters outside of Massachusetts, the MSPCA-Angell is not building on two strengths: 1) national reputation and 2) the increased demand for animal care. While MSPCA-Angell has an international reach and reputation, its national reach is currently limited to Massachusetts. As a result, many funders misconstrue MSPCA as a subsidiary of ASPCA, and fundraising dollars are diverted; little do they know that the MSPCA actually cares for far more animals than does its misattributed parent. There is an opportunity for an interstate network of MSPCA shelters, such as MSPCA-NJ and MSPCA-Maine. This would transcend the question of renaming the organization and the group would lead by action, by setting up a shelter or clinic in a state outside of Massachusetts. Finally, the MSPCA-Angell can respond to the ASPCA’s innovation by offering its own brand of pet insurance. By increasing the number of clients with insurance, the organization will reclaim more costs in treatment, rather than having more pets be euthanized, thus gaining little financially.

3. SYNTHESIS AND CONCLUSION

Where does MSPCA-Angell want to be? What is it willing to do to get there? From my meeting with Mr. Luke, there was the impression that the organization was held captive to the economic climate in Massachusetts, and thus was unable to assert its reputation as a national leader in animal care. As was seen in the case of the Springfield hospital, MSPCA-Angell cannot thrive in cities that have a dearth of private wealth and are saturated with private practice. Where does the MSPCA-Angell grow from here? As stated in the introduction, we see that geography pervades through each of the relevant strategic factors, as the organization is dependent on the local climate. However, if the MSPCA-Angell wishes to overtake the ASPCA, an arguably “idle” national organization, it must seek more of the national spotlight. The MSPCA-Angell must continue to bring its research to bear on national issues such as animal cruelty and human growth and development. We now live in a borderless age. Instead of attending Cornell University-Ithaca, one may also earn a degree in Cornell-Qatar; instead of having to travel to Rochester, MN to access the services of the Mayo Clinic, one can stroll in their sandals to the Florida satellite. While many organizations once thought their name was so inevitably tied to its location, they realized that it was actually to the quality of the services they provided . The same may apply to an animal welfare organization: if the services the MSPCA-Angell provides are the best in the country, why limit it to Massachusetts?

APPENDICES – MSPCA-ANGELL SCAN SHEETS: RESEARCH AND IMPLICATIONS FOR RELEVANT STRATEGIC FACTORS

APPENDIX A: INTERNAL STRATEGIC FACTORS

I. Community Need – Demand

II. Fact-based Trends:

 Each year, the MSPCA gives care to more than 250,000 animals, more than any other humane society in the nation, including the ASPCA. 8  In 2006, MSPCA opened a new Copeland Animal Care and Adoption Center, after which adoption rates climbed to 52% for cats, 25% for dogs, and 43% overall. 1  The society’s seven shelters care for nearly 30,000 animals per year. 9  In 2005, 11,522 animals were placed in proper homes; in 2006, 12,674 animals were placed into proper homes. 1, 10  In 2005, 7,400 people attended over 300 educational programs. In 2006, 7,700 people attended over 300 educational programs. 1,3  In 2006, 1,050 people and their dogs attended 160 training classes. 1  In 2005, 335 foster homes took care of 2,601 animals not yet ready for adoption. In 2006, 320 foster homes took care of more than 3,000 animals not yet ready for adoption. 1,3  In 2005, 127 children participated in the MSPCA summer camp. 160 children participated in the 2006 MSPCA summer camp. 1,3  In 2005, Angel medical centers treated 74,980 animals. In 2006, 61,077 animals were treated. 1,3  Nearly 700 radiation treatments were administered in 2006. 1  286 animals underwent an MRI in 2005; 308 animals underwent an MRI in 2006. 1  MSPCA-Angell oversees The American Fondouk in Fez, Morocco, a charitable animal hospital. In 2006, the hospital treated 22,000 animals. 1  In 2006, MSPCA-Angell Medical Center had record revenue growth and clients, treating nearly 75,000 animals and experiencing revenue growth by 11% over 2005. 1  From 2005 to 2006, revenue from hospital services grew by 1.1%, or $3.3 million. 1  In July of 2007, the MSPCA closed its Western New England hospital due to financial losses that grew from $900,000 in 2003 to $1.5 million in 2006. Among the factors for such losses were a downturn in the local economy and increased competition from private veterinary services. 11  The MSPCA trains and employs officers to investigate cases of animal cruelty in Boston. A study by the MSPCA in 1987 found that comparable cities spend, on

8 “Annual Report 2006” MSPCA-Angell http://www.mspca.org/site/DocServer/MSPCA126_AnnRprt_r12.pdf?docID=1401 9 “Larry M. Hawk, D.V.M., Appointed President, CEO of Massachusetts Society for the Prevention of .” U.S. Newswire. February 3, 2003. 10 “Annual Report 2005” MSPCA-Angell http://www.mspca.org/site/DocServer/MSPCA040_AnnRprt_r6_-_Larry.pdf?docID=921 11 “MSPCA-Angell to Close Its Springfield Animal-Hospital.” May 24, 2007. http://www.mspca.org/site/News2?page=NewsArticle&id=8355&security=1222&news_iv_ctrl=-1 average, more than $2.8 million on animal control (adjusted for inflation), which is more than 4 times what the city of Boston spends. Similarly, comparable cities employed an average of 50 employees in 1991, whereas Boston only employed four personnel. 12,13  In 1994, 19 percent of all animals surrendered to MSPCA shelters were due to landlords not allowing them. 14

III. Implications:

 Demand for sheltering and placing animals will continue to grow.  The customer who adopts from MSPCA may or may not purchase routine care services at the medical center, and the customer who uses routine care at the medical center may or may not adopt in the future from MSPCA. The organization has an opportunity to market across seemingly different departments: for example, one who adopts from the adoption center may be enticed to become a long-term Angell customer if there is an introductory discount for services, such as vaccination and spaying/neutering.  The demand for advanced treatment at Angell medical centers, such as MRI and radiation treatment, will continue to grow.  The MSPCA, if it wishes to expand geographically, must screen for locations that have demonstrated a strong local economy with a dearth of private practitioners. A third factor may be the presence of private wealth (see “Funders” section).  If the MSPCA-Angell wants to experience both financial and geographic growth, it may want to expand beyond Massachusetts, perhaps even New England.  MSPCA-Angell commands an international presence and reputation in animal care, yet its national presence is limited to Massachusetts.  Demand for MSPCA-Angell’s youth and educational services will continue to grow.  Uncooperative landlords are a major limiting factor for the recruitment of pet owners (and thus, purchasers of services) in the Boston area. It is in MSPCA- Angell’s financial and moral interest to advocate for pet owners’ rights. The MSPCA-Angell could even advocate for legislation that would incentivize both tenants and landlords to aid in the rescue of animals, perhaps through the tax code.

12 PR Newswire. “Boston Takes a Bite Out of Animal Control.” 13 “Inflation Calculator.” http://data.bls.gov/cgi-bin/cpicalc.pl 14 Cassidy, Tina. “Please, No Pets.” The Boston Globe. July 23, 1995. I. Labor

II. Fact-based Trends:

 MSPCA-Angell Memorial Hospital has 22 board certified specialties for animal care. 8 4  In 2006 there were 56 veterinarians, 20 residents, and 25 interns working at Angell Medical Centers. 1  MSPCA-Angell has over 520 employees on staff. 15  The staff receive 12 holidays plus 11 sick days throughout the year. 8 4  A significant number of nurse technicians, however, are leaving for private practice positions that do not have as many benefits (such as retirement plan and tuition assistance), but pay a few dollars extra per hour. 8 4  Founded in 1868, MSPCA-Angell is the second-oldest humane society in the United States. 16  The MSPCA operates 7 regional shelters in Massachusetts and 2 veterinary care centers – in Boston and Nantucket. In June of 2006, the Helen Schmidt Stanton Clinical Care Center and the Copeland Animal Care and Adoption Center opened, enhancing capacity and quality of services to animals. 17  In 2005, 600 volunteers helped to take care of animals. 850 volunteers helped to take care of animals in 2006. 1,3  In 1996, MSPCA-Angell researchers published a groundbreaking study that found that children who abuse animals are five times more likely to commit violence when they grow older. This study was cited by numerous media sources after the Columbine shooting. 18

III. Implications:

 A system of flex-time and flex-benefits might be more attractive to veterinary technicians, some of whom are leaving for higher-pay positions with fewer benefits.  There is an opportunity for Human Resources department to market its benefits more strongly among new and existing veterinary technicians.  The MSPCA-Angell is well-positioned to be regarded as one of the leading veterinary hospitals in the country. The organization has a potential to market this not only through its own media channels, but on popular 3 rd party websites, such as Wikipedia, Facebook, MySpace, and Yelp.com. In the past, some of these websites have drawn a great deal of popular and financial support. (See Funders – external).  Greater community involvement, e.g., volunteerism, will result in greater popular and financial support for the organization, as well as further imbed it within the Boston community.

15 Personal Interview with Carter Luke, CEO of MSPCA-Angell. April 17 th , 2008. 16 “About the MSPCA-Angell.” http://www.mspca.org/site/PageServer?pagename=aboutus_About_the_MSPCA 17 “George Thorndike Angell: A Vision Unfolds.” MSPCA-Angell http://mspca.convio.net/site/PageServer?pagename=aboutus_History_George_Thorndike_Angell 18 “Link Between Animal Abuse and Other Crimes.” MSPCA-Angell . http://www.mspca.org/site/PageServer?pagename=lawenforce_Link_Animal_Abuse_Other_Crimes  The MSPCA-Angell is not only a premier advocacy and care center, but a premier research center. More sociological inquiries will garner more attention and respect for the organization.

I. Funders

II. Fact-based Trends

 In 2005, the MSPCA received $4,804,698 in bequests. 3  In the 2005 Annual Giving Program, Hospitals and Adoption Centers received $9,761,526. 3  During two signature fundraising events for the MSPCA in 2005, $.43 million was raised. 3  $117.304 was raised by three trees and 1,750 ornaments during the MSPCA Holiday Tree Lighting Events of 2005. 3  Two MSPCA auctions held in 2005 collectively raised $57,000. 3  Over 2,000 walkers and 800 dogs teamed up for the MSPCA walk for animals in September of 2005, which raised nearly $200,000. 3  In 2005, 4000 online donors and 400 referring veterinarians received MSPCA’s quarterly newsletter, which updated them on MSPCA-Angell news and donor opportunities. 3  In a personal interview, MSPCA-Angell CEO Carter Luke noted that more of the organization’s funders want their or their pet’s name attached to the gift. 8  As a result of 16 direct-mail fundraising mailings and 3 telemarketing campaigns, nearly $1.8 million was raised in 2006. 1  In 2006, over 3,000 walkers and 1,200 dogs participated in the first-ever state-wide Walk for Animals held in Boston, Hyannis, and Springfield. Over $290,000 was raised. 1  At the 2006 Animal Hall of Fame Dinner, 380 guests helped to raise $350,000. 1  $75,000 was raised during the 2006 Boston and Western New England Holiday Tree Lighting Events. 1  Over 600 guests attended two MSPCA auctions to help raise a total of $61,000 for the organization. 1  In 2006, there were 15 direct mail fundraising appeals, 12 e-solicitations, 12 All- Star mail updates, and 3 telemarketing campaigns to help generate $1,300,882. 1  In 2006, 8000 online donors and 900 referring veterinarians received MSPCA’s quarterly newsletter, which updated them on MSPCA-Angell news and donor opportunities. 1  In 2006, over 400,000 television viewers saw MSPCA’s new advertisements, and more than 600,000 radio listeners heard MSPCA’s public service announcements (PSA) to promote the newly renovated Boston hospital. 1

III. Implications:

 Donors’ expectations will continue to rise. Even if the organization does not plan to build new facilities, old facilities can still be remodeled and renamed. Furthermore, the MSPCA can respond to its competitors by forming a “membership” for donors who want a name attached to their gift, but probably won’t give over $250.  As the population of baby-boomers in Boston and New England ages, the opportunity for bequests will also grow. The MSPCA-Angell must strategically position itself to be the primary choice for animal lovers’ bequests.  State-wide events will bring more financial and popular support for MSPCA-Angell than Boston-only events. Expansion to New-England-wide events may garner even greater support.  More fundraising dollars are being captured by electronic fundraising, which requires very little overhead. The organization can grow its web-presence on several websites and capture even more support (see Fundraising – external).  The MSPCA’s fundraising events have been able to capture a great deal of funds from relatively low number of participants. Continued tracking of donor demographics will help focus future events.  The MSPCA’s marketing will continue to help grow public support. Web marketing may also be helpful on websites that pet owners / lovers frequent. Google, for example, offers reduced rates for marketing of charitable organizations.

APPENDIX B: EXTERNAL STRATEGIC FACTORS

I. Competitors

II. Fact-based Trends:

 The MSPCA’s largest direct competitors are the ASPCA (no affiliation) and the Animal Rescue League of Boston. Its largest indirect competitors are PETA and the Humane Society of the United States.  In FY2005, Animal Rescue League of Boston received $2,567,803 in public support, 19 and a total of $7,168 , 431 in revenue. ARL Boston incurred expenses of $8,857,402.  In FY2004, Animal Rescue League of Boston received $1,302,186 from direct services, and $1,633,845 in gross from interest. 12  In FY2005, the ASPCA received $64,160,973 in direct public support, $1,131,869 in indirect support, $7,870,008 in program service revenue, $2,662,102 in interest from securities. $58,208,035 in expenses. Of the expenses, some of the leading costs were $17,060,538 for salaries and wages (including compensation of officers and directors), $9,670,082 in direct mail costs, and $4,205,154 in advertising and other professional services. Of the total expenses, ASPCA spent $10,109,119 on fundraising. Of program services, $3,187,040 was spent on Animal Placement and Behavior Training, $8,065,447 was spent on Animal Hospital and Mobile Clinics, and $17,453,493 was spent on Humane Education. 20  In FY2006, People for the Ethical Treatment of Animals (PETA) received $29,360,636 in public support. (Although PETA’s services and mission vary greatly from MSPCA, they share a similar pool of funders.) 21  According to the U.S. Department of Labor’s 2006 statistics, roughly 75% of veterinarians work in private practice, with an average starting salary of $55,031. In Massachusetts, the average mean wage for veterinarians was $77,430. For the Boston metropolitan area, the average mean wage was $79,950. 22,23,24  Recently, the ASPCA began to offer health insurance for pets underwritten by the Hartville group. For an 11-year old Jack Russell Terrier owned by the author, “Primary” coverage (maximum benefit of $8,000.00 per year) costs $286.44 per annum. 25  In August of 2007, the ASPCA led a team of animal-behavior experts to advice the Department of Justice after NFL player Michael Vick was indicted for charges of

19 “Animal Rescue League of Boston: Form 990.” GuideStar http://www.guidestar.org/FinDocuments/2005/042/103/2005-042103714-02b7668c-9.pdf 20 “ASPCA: Form 990” GuideStar . http://www.guidestar.org/FinDocuments/2005/131/623/2005- 131623829-0396cab8-9.pdf 21 “PETA: Form 990” GuideStar . http://www.guidestar.org/FinDocuments/2006/521/218/2006- 521218336-02c44806-9.pdf 22 “Veterinarians.” U.S. Department of Labor. Bureau of Labor Statistics. http://www.bls.gov/oco/ocos076.htm 23 http://data.bls.gov/oes/datatype.do 24 http://data.bls.gov/oes/datatype.do 25 “Free Pet Insurance Quote from the Hartville Group.” https://www.aspcapetinsurance.com/dare/QuickQuoteFinish.aspx?id=08435bb4-9fca-4ec4-a744- d655eb85fb40 animal cruelty. After the event, the ASPCA offered comments to many news sources to condemn the behavior. 26  Compared to its competitors, in 2005 the MPSCA-Angell spent $2,295,437 on fundraising and $43,602,266 on programs and services. The organization spent $589,943 on direct mail. 27  For as little as $25.00, an ASPCA donor can become a member of the organization. The MSPCA does not, at this point, offer such a program. 28  In 2003, the MSPCA changed its name to MSPCA-Angell, to better showcase its extraordinary services and geographical reach. 9

III. Implications:

 The MSPCA-Angell has an opportunity to offer something tangible for its donors: this could range from a web-page of all donors to a t-shirt to official membership.  The ASPCA spends roughly 19 times as much as the MPSCA-Angell on direct-mail costs. The organization may find that with increased direct mail marketing, there is an increase in public support. However, with no U.S. shelters or hospitals outside of MA, it is hostage to the economic climate of Massachusetts cities.  MSPCA-Angell has an opportunity to become a consultant for media sources during high-profile animal cruelty cases. This would serve a dual purpose of furthering animal welfare as well as “free” marketing for the organization.  The MSPCA-Angell competes with the ASPCA especially on a name basis. Many funders erroneously think that MSPCA-Angell is a subsidiary organization and thus receives a portion of ASPCA’s funding. The MSPCA-Angell, however, has a greater yield in treatment of animals than the ASPCA. Both geographical expansion and focused marketing will disabuse funders of this misconception.  Both the organization’s new name and its tagline, “Kindness and Care for Animals,” do not represent its national and international reach. A tagline such as “National Reach. Local Care,” would emphasize that it succeeds both as an advocacy organization, as well as a direct service provider to animals. Because of the ASPCA’s stronghold on animal welfare, there has yet to be an innovative, inter-state network of animal hospitals and shelters.  The MSPCA-Angell has an opportunity to offer pet insurance to help owners cover the costs of care that they might otherwise avoid. If an animal needs intricate care and the owner cannot afford it, the pet is likely to be euthanized. Again, there is a missed financial as well as moral opportunity: with a third-party system, the MSPCA could have realized revenue.  If the MSPCA-Angell is to expand its medical care, a city-by-city analysis should be done using the Department of Labor statistics. An ideal location is one that is not

26 Associated Press. “ASPCA Animal-Behavior Consultants to Evaluate Dogs Seized from Vick Property.” http://www.iht.com/bin/print.php?id=7280105

27 “MSPCA Form 990 (2005).” GuideStar http://www.guidestar.org/FinDocuments/2005/042/103/2005-042103597-0396510c-9.pdf 28 https://secure2.convio.net/aspca/site/Donation2?df_id=1020&1020.donation=form1 supersaturated with private practice, where veterinarians are receiving a relatively low mean salary.  Animal rights organizations such as PETA may actually alienate funders who are unaware of the difference between “Animal Rights” and “Animal Welfare.” The MSPCA-Angell can do more to educate its potential funders about this topic, e.g., that its members do not need to be vegetarians, but they do need to care deeply about animals. I. Funders

II. Fact-based Trends:

 In 2001, the total net worth of the 2 million houses in the Boston area was calculated to be just under $1 trillion. 29  In 2001, Boston area households were, on average, $100,000 more wealthy than national average ($498,000 versus $397,000). 22  Between 2001 and 2055, there will be between $1.25 and $4.30 trillion in wealth transfers from households in the Boston area. 22  Assuming 2% growth, inter vivos giving is expected to amount to $187 billion between 2001 and 2055 in the Boston area. Combined with charitable bequests, this figure is expected to be $359 billion. If 4% growth is assumed, one can expect $1.306 trillion in charitable giving by 2055. More than 66% of this giving will be from households worth $1 million or more at the time of giving. 22  The Center on Wealth and Philanthropy predicts that between $41 and $136 trillion of wealth will be transferred from households to government, heirs, charity, and estate costs by 2052. They predict that between $6 to $25 trillion will be given to charity. 22  A report from the Center on Wealth and Philanthropy notes that decades of research, including the Boston Area Diary Study (BADS), have shown the positive association between charitable giving and the following demographics of funders: higher income, higher wealth, greater religious participation, volunteerism, age, marriage, higher educational attainment, U.S. citizenship, higher proportion of earned wealth versus inherited wealth, and a greater level of financial security. 30  Volunteers are two to four times more likely than to give charitably to their organization than non-volunteers. 23  In Greater Boston, households whose heads were between 60 and 79 years old had an average net worth of $875,000, compared to $638,000 nationally. The Center on Wealth and Philanthropy argues that because Boston’s wealth is especially concentrated among older residents, wealth transfer will occur sooner than the rest of the country. 31  In 2003, the ASPCA tested an e-mail campaign where website cookies would keep track of -lovers, cat lovers, and unknowns; the gift solicitations would be customized to each group. The ASPCA found that the test doubled the amount in contributions from those who were targeted. 32  According to the Chronicle of Philanthropy, of the $203 billion donated in 2001 to charity, only 3% went to environmental causes (including animal groups). 33

29 Havens, et al. “Wealth Transfer Estimates: 2001-2055: Boston Metropolitan Area.” Center on Wealth and Philanthropy. Boston College. November 7, 2005. www.bc.edu/research/cwp/meta- elements/pdf/bostonwte.pdf 30 Havens, et al. “Charitable Giving: How Much, By Whom, To What, and Why.” http://www.bc.edu/research/cwp/meta-elements/pdf/charitablechapter.pdf 31 “A Golden Age of Philanthropy?” www.tbf.org/uploadedFiles/GoldenAgePhilanthropy_2.pdf 32 “Cookies: Understanding Donors and Their Privacy.” NPT TechnoBuzz. http://www.nptimes.com/technobuzz/tb200704_3.html 33 “Animal Beat; Tough Times for Top Dog Departures.”  Several years ago, Eric Ding, a student at the Harvard School of Public Health, began a Facebook cause, “Support the Campaign for Cancer Research.” Since its inception, the cause has attracted 3,154,609 members, more than any other group on Facebook. Additionally, Facebook users have donated $62,395 to the cause, not including those donors from Facebook who gave directly through the website. 34

Implications:

 The MSPCA should encourage volunteerism in high-yield demographics, such as older families from wealthy towns.  The MSPCA should maintain a database of its volunteers and try to identify potential future donors from that base.  The organization has an opportunity to realize greater marketing and funding through websites such as Facebook and MySpace, while incurring virtually no costs.  The organization should identify, within the next 10-15 years, those donors who are likely to leave a bequest to MSPCA-Angell by 2055. The MSPCA-Angell can then devote a greater portion of fundraising to high-yield donor events, such as dinners and auctions.  The MSPCA-Angell should recruit more of its wealthy volunteers and donors onto an advisory / community board that can vote on issues in the organization (their decisions would be non-binding, however). Fostering a greater sense of ownership and participation in the organization among donors will increase bequests and giving.  While the MPSCA-Angell is a secular organization, it can partner pan-religiously with other non-secular groups, from Christianity to Judaism. Marketing among a greater proportion of the religious, wealthy, older residents of Boston will translate into greater dividends for the organization.  The MSPCA-Angell can attract greater support by marketing to an additional city that, like Boston, has a significant population with private wealth and higher education. However, the organization must have demonstrated a commitment to direct care in this area, such as in the form of a shelter or hospital, for such a campaign to be viable.  Greater focus on donor demographics, and better, customized mailings and e- solicitations will help realize a greater amount of public support per fundraising dollar spent.

34 Facebook Causes: “Support the Campaign for Cancer Research.” http://apps.facebook.com/causes/view_cause/210 I. Labor

II. Fact-based Trends:

 According to the Department of Labor 2006 statistics for the Boston metropolitan area, the 1,220 employed veterinary technologists and technicians earned, on average, $15.55 per hour. 35  According to the Department of Labor, the average wage for veterinary technicians in Massachusetts is $15.39 per hour, or $32,020 per year. Broken down by industry, however, the national average wage for veterinary technicians in General Medical and Surgical Hospitals is $17.57 per hour, or $36,540 per year. 28  In Massachusetts, the mean wage for veterinarians was $77,430. For the Boston metropolitan area, the mean wage was $79,950. 36  The AVMA accredits veterinary technician training programs, and most programs offer an associates degree, whereas some offer a Bachelor’s. 37  In New England there are 9 schools that train veterinary technicians: Becker College, Holyoke Community College, Mount Ida College, North Shore Community College (all in MA), Northwest Connecticut Community College, Quinnipiac University (CT), University College of Bangor (ME), Vermont Technical College, and Great Bay Community College (NH). 38, 39  Tufts University’s Cummings School of Veterinary Medicine in North Grafton, MA, is the only program in New England for veterinary education. 40  A recent College Destinations index found that there are over 374,000 students in the Boston-area. 41  At the Brigham and Women’s Hospital, the volunteer department devised a formal program for pre-medical students who wish to acquire medical and volunteer experience before medical school. After completing 125 hours of service, students are guaranteed both a letter of recommendation and a set of rounds with a physician. 42

III. Implications:

35 “Veterinary Technologists and Technicians.” U.S. Department of Labor. http://data.bls.gov/oes/datatype.do 36 “Veterinarians.” U.S. Department of Labor. http://data.bls.gov/oes/datatype.do 37 “Becoming a Veterinary Technician.” http://www.avma.org/careforanimals/animatedjourneys/aboutvets/becomingtech.asp 38 “Massachusetts Veterinary Technician Programs.” http://www.allalliedhealthschools.com/find/results.php?program=veterinary-technician- programs&st=MA&submit=Find+a+School 39 “Programs accredited by the AVMA Committee on Veterinary Technician Education and Activities (CVTEA) – 2007. http://www.avma.org/education/cvea/vettech_programs/massachusetts.asp 40 “United States Veterinary Medical Schools and Colleges.” http://www.aavmc.org/students_admissions/vet_schools.htm 41 “Boston Ranks #1 Metropolitan Area as College Destination.” http://www3.babson.edu/Newsroom/Releases/Metroplitan-Study.cfm 42 “Medical Career Exploration Volunteer Program.” http://www.brighamandwomens.org/volunteer/premedical.aspx  Given Boston’s student demographics, the organization can grow its volunteer base in both animal care and advocacy. Many of these college students are pre-medical and pre-veterinary, and often search for a perfect “community service” activity during their four years. The MSPCA-Angell has an opportunity to follow in BWH’s footsteps by offering a formalized program for college students, giving clinical experience to pre- vet’s and community service experience to pre-med’s.  The organization knows its sources of veterinary technicians. It can market right from the bottleneck by setting up recruiting events at the various schools.  Similarly, the MSPCA-Angell can partner with Tufts’ Cummings School to market for veterinarians in case of a shortage.  Veterinary technicians may be expecting higher pay for the positions at animal hospitals as opposed to private practice, where animal care is not as extensive.  As stated before, a flexible benefits program would allow technicians’ to forgo certain holidays or other benefits for higher take-home pay.

I. Community Need: Demand – Animal Care and Adoption (MA and U.S.)

II. Fact-based Trends:

 According to the Humane Society of the United States, of the six to eight million cats and dogs enter U.S. shelters each year, three to four million of them are euthanized. 43 However, according to the Society’s 1997 survey of 1,000 shelters, there are projections that as many as 9.6 million animals are euthanized in the U.S. annually. 44  According to the American Veterinary Medical Association, 37.2% of U.S. households own at least one dog (average of 1.7), and 32.4% of households own at least one cat (average of 2.2). 45  Massachusetts has the lowest rate of pet-ownership in New England (49.7%), and the fifth lowest in the country. 39  Maine, on the other hand, has the highest rate of pet-ownership in New England (63.9%), and the fifth-highest in the nation. 46  The Humane Society of the United States estimates that there are between 4,000 to 6,000 animal shelters in the United States. 47  According to a 2002 Boston Globe article, the greatest demand in Massachusetts is for puppies and small adult dogs. In fact, those adopting often face a wait after the holidays, when many dogs have been adopted for gift-giving. 48  Massachusetts has one of the lowest euthanasia rates in the United States. 41  According to the American Pet Products Manufacturers Association (APPMA) 2007- 2008 National Pet Owners Survey, there are approximately 74.8 million owned dogs in the United States. Approximately 63% of American homeowners own one dog, 25% own two dogs, and 12% own three or more dogs. 10% of owned dogs in the U.S. are from shelters. 49  The average American dog owner spends $219 on veterinary visits per year, including vaccinations and wellness visits. 39  75% of owned dogs in the U.S. are spayed or neutered. 42  There are approximately 88.3 million owned cats in the U.S. Nearly 34% of households own at least one cat; 56% of cat owners own more than one cat, with an

43 “The Crisis of Pet Overpopulation.” http://www.hsus.org/pets/issues_affecting_our_pets/pet_overpopulation_and_ownership_statistics/the_crisi s_of_pet_overpopulation.html 44 “ Euthanasia.” http://www.americanhumane.org/site/PageServer?pagename=nr_fact_sheets_animal_euthanasia 45 “Market Research Statistics – U.S. Pet Ownership.” http://www.avma.org/reference/marketstats/ownership.asp#companion 46 “Pet Ownership Statistics in the United States and in Michigan.” www.michvma.org/documents/site%20update%20docs/petownerstats.pdf 47 “HSUS Pet Overpopulation Estimates.” http://www.hsus.org/pets/issues_affecting_our_pets/pet_overpopulation_and_ownership_statistics/hsus_pet _overpopulation_estimates.html 48 Preer, Robert. “Homeless Dogs Find a Welcome in Mass.” The Boston Globe. January 30, 2002. 49 “US Pet Ownership Statistics.” http://www.hsus.org/pets/issues_affecting_our_pets/pet_overpopulation_and_ownership_statistics/us_pet_ ownership_statistics.html average of 2.3 per cat owner. 18% of owned cats in the U.S. were adopted from an animal shelter. 42  On average, cat owners in the U.S. spent $175 on routine veterinary visits per year. 42  87% of owned cats in the U.S. are spayed or neutered. 42  According to the American Pet Products Manufacturers Association (APPMA) 2007- 2008 National Pet Owners Survey, $41.2 billion was spent on pets in the U.S.: $16.2 billion on food, $10.1 billion on veterinary care, $9.8 billion on supplies and medicine, $2.1 billion on live animal purchases, and $3.0 billion on pet services such as grooming and boarding. 50

Implications:

 An increase in pet ownership is an increase in dividends for the MSPCA, especially if there is increased connectivity between adoption and clinical care services. While the MSPCA may not realize revenue on the day of adoption, subsequent care (including vaccinations and spaying/neutering) will nevertheless realize revenue that had never existed before.  The increase in adoption awareness and activity in New England will undoubtedly raise MSPCA’s revenue in New England, especially if Angell Medical Centers modestly discounts care for its adopted animals (thus discouraging private veterinary care).  A pet euthanized is a pet that could have brought over $200 per year to the MSPCA in direct service reimbursement. MSPCA-Angell not only has a moral stake in increasing adoption rates, but a financial one, as well.  The MSPCA can both express its national presence and increase fundraising dollars by introducing a satellite facility in a state that has both a shortage of public, animal care facilities and population with private wealth. One could imagine an MSPCA-NJ office would make it clear to funders that the MSPCA can provide direct care, with a national reputation, within a national network.  The MSPCA-Angell should continue to survey those who are adopting pets, to see whether they browsed online first or came on an impulse, what towns they came from, how many were in their home, whether they lived in an apartment or a house, etc.  Besides veterinary care, the organization can be a one-stop-shop for food, grooming, supplies, medicine, and boarding. The extent to which a single customer uses all of these services depends on the connectivity across services: for example, the veterinarian caring for a pet may market, and even offer discounts for, the MSPCA’s boarding and grooming services.  With an average of 100 shelters per state, the MSPCA-Angell may be able to do more for animal adoption by increasing its capacity past 7 shelters.  MSPCA-Angell can initiate geographic expansion within New England to more “pet- friendly” states such as Maine.  Discounting or offering certain free veterinary services to the adopted pets of prospective pet owners may incentivize pet ownership and create long-term client relationships with MSPCA-Angell centers.

50 “Industry Statistics and Trends.” http://www.appma.org/press_industrytrends.asp