Selling.Good.Works.Chris Houchenswww.ChrisHouchens.com@shotgunconceptsFundamentals of Marketinga Non-Profit Organization

Marketing is not a dirty word.

Non-profits have customersNon-profits are a businessNon-profits need marketing

There are over1,500,000non-profit organizations in the United States

Source: National Center for Charitable Statistics (NCCS)

You and your cause areinsignificant(to most people)

Marketing is not a dirty wordMarketing is an attention-grabbing toolMarketing is persuasion toolMarketing is an information tool

Marketing?To communicate a consistent intended message to a specific intended audience.Marketing is NOT just advertising.Marketing is NOT just PR.Marketing is NOT just sales.Marketing helps CREATE the sales opportunity.Successful marketing develops long term relationships

Textbook Ps include Price, Promotion, Place, and Product.Think about Passive vs. Active Marketing

Great MarketingBegins with the Product

Driven by Message

Sustained through the Relationship

Tastes likeChickenis NOT a compliment

Marketing messagesshould be conversations,not announcements.

Voice overs no longer have the voice of God announcer I.e. don pardo, johnny, ed macmahonJeff Bridges for DuracellRichard Dreyfuss for HondaGene Hackman Lowes and Oppenhimer Fundsconsumers aren't eager to be ordered around by a stern baritone. Rather than obeying an authoritative voice, they look to the voice of a friend for guidance

Typical Non-Profit Message Cycle

Effective Non-Profit Message Cycle

Keys to marketing message successRespect the audienceAsk for the audiences attention firstShare relevant information with a relevant audienceCommunicate truthfully

BRANDAny organizations most valuable asset

Successful non-profit brands have a face

Case Study: Brand KentuckyState was spending $2.5 million annually for separate & overlapping ad agencies and marketing campaignsGovernor proposed an unified state brandGoal: Provide an unified message for tourism & economic developmentCitizens voted for logo at welcome centers & online

Case Study: Brand Kentucky=As viewed from the other 49 states,Brands are created by the consumer, not the marketer!Logo Brand

Branding SuccessMicrowave vs. Slow Cooker

Non-profit Branding StrategiesAbstract ideas are hard to sellTell storiesDevelop a unified consistent lookMaintain a core message

Public RelationsWhat is P.R.?Unpaid coverage of your business in the mediaNOT Public perception (thats your brand)A PR program is PART of your marketing strategy....... not the other way aroundBest Part - $$ - FREE - $$Worst Part Lots of time and workExtremely effective & credibleOVERALL GOALS of a PR Program: Establish credibility and Become a sourceFree Coverage

PR Hints and TipsPress ReleasesIs it News or an Ad?Media OpportunitiesMedia List / ContactsMedia / Press KitsPersistence with media is the keyMUST be ongoing and active

Non-profit Marketing TroublesMoneyPeopleLimited marketing knowledge / experienceHigh turnover rate = loss of relationshipsMultiple messages to multiple audiencesCoordinating delivery of those messagesFocus on the mission rather than the marketingApathy

Working with a small (no) budgetMore than half of all non-profits have annual budgets less than $200,000Solutions:Make every dollar work (marketing plan)Media Relations / PRBecome a pro-bono marketing clientGuerilla Marketing

Low Cost Guerilla Marketing#1 Method - Word-of-Mouth / BuzzReferrals from customers, friends, vendors, etcBrochures / Posters / Printed LiteratureBuild marketing into current paper trailBusiness cards, fax sheet, letterhead, e-signaturesOn-Hold MessageCommunity Events / Trade ShowsArticles / PublishingAd Specialties / GiftsCross Promotions / AlliancesNetworkingSeminars / WorkshopsPublic Relations - Press Releases - Media Show

People ProblemsMajority of non-profits have less than the equivalent of 2 full time employeesAverage non-profit employee only stays with the organization for 1.5 yearsMajority of non-profit work is done by volunteers

AlliancesONLY when 1+1=3Other non-profitsSchoolsBusinessesGovernmentMediaChambers of CommerceCivic Groups

Dealing with Multiple AudiencesThe BIG 3 target markets for non-profitsClients / ConstituentsDonorsVolunteersOther important groupsMediaStaffBoard MembersGovernment / LobbyOther?Each group needs attention in the marketing plan

Databases are your friendDeal with multiple audiences & itemsSegmentationDonorsEventsOtherMethodologypersonalmailingscallselectronicResearch leads to positive market development

Only 46% of non-profits have a strategic or business plan.

A Marketing Plan...Defines Marketing CostsShows Marketing ValueDefines Mission / Provides FocusWritten Game PlanEvolving Document

A Marketing Plan isOn PaperOn Purpose

Tracks CostsMeasures Value / Cash Flowa step-by-step guide to what you are spending money on and when. budget marketing expenses--helping you keep control of your expenditures, manage your cash flow, track sales to marketing expense ratio, and measure success of your marketing efforts. ensures that dollars are not wasted. Helps with Focusgives the company something to rally behind.helps staff understand goals and become customer-focused. It also empowers them to make decisions on their own that are consistent with the company's objectives.Charts Success: Serves as a Business HandbookCaptures Thinking on Paper: The finance department isn't allowed to run a company by keeping numbers in their heads. It should be no different with marketing. Your written document lays out your game plan. If people leave, if new people arrive, if memories falter, the information in the written marketing plan stays intact.Reflects the Big Picture: In the daily routine of putting out fires, it's hard to turn your attention to the big picture, especially those parts that aren't directly related to the daily operations. Writing your marketing plan helps in determining your current business status and provides a roadmap for business goals. Becomes a Document to Build On: Creating your very first marketing plan is a time and resource consuming endeavor, but well worth the effort. Once the plan is complete, you just need to make minor adjustments and tweaks to it; you won't have to re-create it from scratch. It will serve as a template and benchmark for you to work from as you define your objectives and strategies for next year. It becomes a living document for measuring sales success, customer retention, product development, and sales initiatives.

Essential elements of a Marketing PlanA bare bones marketing plan should include:Who / what you are (brand)Where you want to goHow youre going to get thereWho do you want to talk to? (target market)BudgetSimple summary of strategyTimetable of ActionsLess is (sometimes) more

Wheres your web presence?

WebsiteEmailFacebookTwitterSearchResultsViralVideo

Online (digital) giving keeps growing2001 -- 9/1120% of giving was online2004 -- Asian Tsunami33% of giving was online2006 -- Hurricane Katrina50% of giving was online2010 -- Haiti81% of giving was online or digitally based

Fundamental E-MarketingOnline SpendingBudget for WebsiteBanner AdsContextual Search AdvertisingSEO Search Engine OptimizationE-mail MarketingPhishing / SpamPermission-BasedBlogs / Social Media

65% of American households have internet access. This has all happened in the When you consider it took 30 years for the same penetration when radio was invented and 20 for television, you can see that the Internet is becoming a dominant medium for Americans.

What do you mean bySocial Media?BlogsMicroblogsTwitterVideoGoogle & YouTubeRevverSocial NetworksMySpaceFacebook

WikisPhotoFlickrPhotobucketVirtual realitySecond LifeSocial / News BookmarksDiggRedditDel.icio.us

Community / user generated content

BrandStrategy

PREfforts

Advertising

CorporateMessagesMedia&Press

GatekeepersConsumers&PublicWordOfMouthTraditional Marketing

Social Media MarketingBrandStrategy

PREfforts

Advertising

CorporateMessagesConsumers&PublicWordOfMouth

Social Media areNOTmass media.

Warhol RevisitedIn the future,everyone will be famous for 15 minutes.

With social media,everyone is famous to15 people.

Do NOT use Social Media asa press release machine

KaimanaShantiAuroraHumphrey Mikaela Kaimana

Mr. Splashy Pants

Greenpeace has been running a poll to name some whales that are traveling in the Pacific.

29 of the 30 nominations are for either mythical, Zen-ish, or new-age-type names like Kaimana, Shanti, and Aurora.

And then scanning down the list, you see "Mr. Splashy Pants".

And he's winning the vote. Overwhelmingly.

While there was some noted vote tampering (votes that are not going to be counted), the reason that Mr. Splashy Pants is winning is because he went viral on the net through blogs and other forms of social media.

Greenpeace saw the opportunity and grabbed it. They've extended the voting to capitalize on the buzz. They quickly mobilized to develop Mr. Splashy Pants merchandise. They're embracing it on their blog.

The entire affair is getting lots of press and it will probably pop up in the MSM in next few days. It's an immeasureable PR coup for the cause.

But when you read through the comments on their blog and posts on other blogs, you'll find some Greenpeace supporters who are not happy at all about the name.

One of the main reasons that so many non-profits (and for-profit businesses) languish is that they spend most of their time talking to the people who are already familiar with the cause and are already ardent supporters. While it's important to cultivate your core, you have to find new people in order to grow. For some of the inside core, this feels like outsiders are hijacking the organization.

Some people are so comfortable and locked up in the "normalcy" of the cause or the business that they can't see the massive opportunities right below the surface.

This seems obvious -- but the best way to get attention is to stand out from the crowd.

Tracking / Effectiveness

"I know that half my advertising works...I just don't know which half." John Wanamaker (1838- 1922)If this is true of your business...STOP ADVERTISING

Were not finishedBiggest opportunity for FAILURE is right after the marketing beginsInform all your touchpointseveryone who gets a paycheck from you all volunteers!Develop a tracking system

TakeawaysNon-profit marketing is not evilCraft marketing messages that appeal to what the market wants to hear; not what you want to sayDevelop a marketing planCultivate the brandGet onlineThe challenge is worth it

Thank YouConnect with Chris &read his marketing blog:www.ChrisHouchens.com

Follow Chris on Twitter:twitter.com/shotgunconcepts

Find Amazon links &more about the book at:www.BrandZeitgeist.com

Find these slides online atwww.slideshare.net/shotgunconcepts

Textbook Ps include Price, Promotion, Place, and Product.Think about Passive vs. Active MarketingVoice overs no longer have the voice of God announcer I.e. don pardo, johnny, ed macmahonJeff Bridges for DuracellRichard Dreyfuss for HondaGene Hackman Lowes and Oppenhimer Fundsconsumers aren't eager to be ordered around by a stern baritone. Rather than obeying an authoritative voice, they look to the voice of a friend for guidance

Tracks CostsMeasures Value / Cash Flowa step-by-step guide to what you are spending money on and when. budget marketing expenses--helping you keep control of your expenditures, manage your cash flow, track sales to marketing expense ratio, and measure success of your marketing efforts. ensures that dollars are not wasted. Helps with Focusgives the company something to rally behind.helps staff understand goals and become customer-focused. It also empowers them to make decisions on their own that are consistent with the company's objectives.Charts Success: Serves as a Business HandbookCaptures Thinking on Paper: The finance department isn't allowed to run a company by keeping numbers in their heads. It should be no different with marketing. Your written document lays out your game plan. If people leave, if new people arrive, if memories falter, the information in the written marketing plan stays intact.Reflects the Big Picture: In the daily routine of putting out fires, it's hard to turn your attention to the big picture, especially those parts that aren't directly related to the daily operations. Writing your marketing plan helps in determining your current business status and provides a roadmap for business goals. Becomes a Document to Build On: Creating your very first marketing plan is a time and resource consuming endeavor, but well worth the effort. Once the plan is complete, you just need to make minor adjustments and tweaks to it; you won't have to re-create it from scratch. It will serve as a template and benchmark for you to work from as you define your objectives and strategies for next year. It becomes a living document for measuring sales success, customer retention, product development, and sales initiatives.

65% of American households have internet access. This has all happened in the When you consider it took 30 years for the same penetration when radio was invented and 20 for television, you can see that the Internet is becoming a dominant medium for Americans. Greenpeace has been running a poll to name some whales that are traveling in the Pacific.

29 of the 30 nominations are for either mythical, Zen-ish, or new-age-type names like Kaimana, Shanti, and Aurora.

And then scanning down the list, you see "Mr. Splashy Pants".

And he's winning the vote. Overwhelmingly.

While there was some noted vote tampering (votes that are not going to be counted), the reason that Mr. Splashy Pants is winning is because he went viral on the net through blogs and other forms of social media.

Greenpeace saw the opportunity and grabbed it. They've extended the voting to capitalize on the buzz. They quickly mobilized to develop Mr. Splashy Pants merchandise. They're embracing it on their blog.

The entire affair is getting lots of press and it will probably pop up in the MSM in next few days. It's an immeasureable PR coup for the cause.

But when you read through the comments on their blog and posts on other blogs, you'll find some Greenpeace supporters who are not happy at all about the name.

One of the main reasons that so many non-profits (and for-profit businesses) languish is that they spend most of their time talking to the people who are already familiar with the cause and are already ardent supporters. While it's important to cultivate your core, you have to find new people in order to grow. For some of the inside core, this feels like outsiders are hijacking the organization.

Some people are so comfortable and locked up in the "normalcy" of the cause or the business that they can't see the massive opportunities right below the surface.

This seems obvious -- but the best way to get attention is to stand out from the crowd.