Online Form Platform Fee

Question

I have no idea if Blackbaud will allow this post, but here goes.

Anyone else feel this new fee is unethical? I do not understand how a company whose mission is to drive positive change in the world could, with 6 weeks notice, take such an enormous chunk of income directly out of their client's pockets.

I've dome some preliminary math based on the volume of our current year's transactions and our $10K/year annual contract next year will cost us between $60K and $70K. Does Blackbaud have any ideas where we are supposed to source that lost income next year?

I truly hope that people from Blackbaud will see this. And I hope the community will flood these boards and tell them what we think of this.

This fee materially changes the economics of our contract. We should ALL object to new mandatory fees being added during an active contract term.

Howie Sell · Answer

While their Integrated Payments Terms allow Blackbaud to add or amend "Payment Services Fees," this "1.5% Online Form Platform Fee" is tied to using a specific fundraising platform feature (Online Forms) rather than uniformly applying to all BBIP payment transactions. This is not a payment processing fee IMO; it is a new platform charge for fundraising functionality (which we already pay for on our Order Form in the "Payment Enablement Fee" line).

Based upon our last 12 months' history, this adds an additional $24K annually for us. It took a while to calculate this; it's based upon one-time and the first recurring gift payment using their online forms. Also I took out 30%, which is the percentage our donors are covering right now. We do not use Complete Cover (which is another story).

Lois Williams · Answer

I would like to see the data behind the claim that "form users raise 20% more and save tens of millions of dollars through streamlined data integrations and fee offset capabilities".

Nicole Holt · Answer

This fee materially changes our cost structure, and we just signed a new contract last year. My quick math put this at a 33% increase relative to our annual c, excluding merchant processing fees and assumes the next 12 months will look the same as the previous 12 months.

Fundamental change in cost structure. Had we known this pricing structure was under consideration before renewal, it may have affected our evaluation process. I wish we were given that opportunity.