Marketing For Nonprofits Workshop

Marketing for Nonprofit Organizations

Mitchell Community College Corporate Training

Presented byJohn B. Marek

Introductions

• John Marek– AIPM Certified Marketing Practitioner– Director of Marketing and BRE, Greater

Statesville Development Corporation– Corporate Trainer, Mitchell Community

College– 25 years marketing experience; start-ups to

Fortune 500 companies

Marketing Fundamentals

“Marketing is the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large.

Marketing Fundamentals

PROCESSmarketing/sales is a process

“process thinking”

Marketing Fundamentals

• What is the relationship between sales and marketing?

SALES

MARKETINGDESIRED

OUTCOME

Marketing Fundamentals

• The “Four P’s” of marketing– Product– Price – Place Distribution – Promotion

Marketing Fundamentals

CV

A Model for Process Marketing/Sales Deployment

Strategy

Communication

Deployment

Marketing Fundamentals

MARKETa group of prospective customers

who have common wants and needs and a common profile relative to

such factors as competitors, distribution and packaging

Marketing Fundamentals

MARKETmarket segment

market sectortarget market

Marketing Fundamentals

BRANDthe total personality of an organization, its products or

services, as it is perceived by current and potential customers

Marketing Fundamentals

• Identity– Logo– Word mark– Style– Color– Package

Marketing Fundamentals

• You cannot promote your brand until you live your brand– You are your brand– Your employees are your brand– Your place of business is your brand– Your marketing materials are your

brand– Your advertising is your brand

Marketing Fundamentals

it is marketing’s job to take a competitive brand and turn it into a winner

Marketing Planning

who is your ideal customer?

target audience profile (TAP)

demographics

business demographics

psychographics

Marketing Planning

Positioning StatementPosition Statement

How you would like your business to be seen by potential and existing customers

Statement of PositionHow your potential and existing

customers really perceive you

Positioning Your Brand

• X times faster• X times less expensive• X times less wear• More aesthetic• More convenient• More entertaining• More customer friendly

Positioning Your Brand

• Advantages of “small” companies– Exploit custom requirements– Exploit personnel niches in larger

companies– Quick to change, adapt, adopt

Positioning Your Brand

• Be just one thing, two at the most– We can cut your costs by 50%– We can cut your costs by 50% and

handle all your billing

– Nike doesn’t say “Just dot it, and our shoes last longer, and we have more colors.”

Positioning Your Brand

• Do the research yourself– Talk to your customers, suppliers, etc.– What can I do to serve you better?– Minimum of ten opinions

Reinforcing Positioning

• Understand your Market Share– Market Leaders– Market Strivers

• Critique all markets– What are companies in a similar

position in other markets doing?– Unique strategies that are increasing

sales– “Will it work for me in my market?”

Reinforcing Positioning

• Concentrate on 98 percent– Area important to your customers– Can deliver at a level of excellence

The Marketing/Sales Plan

the purpose of the marketing/sales plan is to translate your positioning

statement into recognized and preferred brands

The Marketing/Sales Plan

• Product or Service Section• Marketing Communications Section• Sales Section• Customer Service Section• Research/Technology Section• Internet and E-Com Section

Product/Service Section

• Sets the specifics of your marketing plan– Pricing Strategy– Market Variables– Revenue Projections– Marketing Budget– Income Projections ???

Product/Service Section

• Marketing Budget– Percent of sales– Arbitrary (customary) amount– Set a marketing objective for each

variable in the what-if model, determine your strategies and tactics for reaching those objectives, and add up the costs for execution

MarCom Section

• Advertising• Sales Promotion• Public Relations

MarCom Section

• Unique selling line– Depending on the creativity of your

internal staff, this may be an area where professional assistance is a good investment

– Look at what others are doing– What’s effective, what’s not

MarCom Section

• Creative Strategy– An outline or summation of your

marketing communications– Contains basic selling line and copy

points that support it– May also state the tone or flavor of

your communications– Provides constraint and direction for

management and the marketing team

MarCom Section

• Advertising Budget– Reach

• The number or percent of your target audience that has the opportunity to see your message at least once

– Frequency• The average number of times your target

audience has the opportunity to see or hear your ad

– Gross number of impressions• Total number of times your audience has the

opportunity to see or hear your ad

MarCom Section

• Selecting Advertising Media– Type of message– Budget– Audience profile

MarCom Section

• Selecting Advertising Media

– CPM = Cost per thousand– To calculate:

Cost of medium/audience/1000

MarCom Section

• Selecting Advertising Media– Outdoor Advertising

• Billboard – 30 Sheet Poster• Low CPM: Typically $1.25 to $1.80• Hard to target specific markets• Relatively high production costs• Message must be 6 words or less

MarCom Section

• Selecting Advertising Media– Mass Audience Magazines

• People, Time• Moderate CPM: Typically $3 to $4 for a

full-color one-page ad• High cost of insertion• Regional insertion• Regional magazine

MarCom Section

• Selecting Advertising Media– Specialty Magazines

• Men’s Journal, Ladies Home Journal• Higher CPM: Typically $12 to $13 for a

full-color one-page ad in a men’s interest magazine and $9 to $10 for a women’s interest magazine

• High cost of insertion

MarCom Section

• Selecting Advertising Media– Radio

• Moderate CPM: Typically $3 to $4 for a 30 second commercial on a local station

• Frequency medium: reach a relatively small group of people many times

• Example: a 4 week schedule of fifteen spots per week will deliver a frequency of about 4, but a reach of only about 10%

• Reasonable production costs• Various formats deliver different audiences

MarCom Section

• Selecting Advertising Media– Television

• Higher CPM: Typically $5 to $7 for a 30 second commercial on a local station

• Reach medium: reach many people a few times

• Example: a 4 week schedule of fifteen spots per week will deliver a frequency of about 4, but a reach of about 70%

• Production costs can be high• Cable can provide segmentation

MarCom Section

• Selecting Advertising Media– Newspapers

• Higher CPM: Typically $7 to $9 for a 1/3 page black and white ad

• Short lead-time; can produce and run an ad in less than a week

• Production is inexpensive, often provided

MarCom Section

• Selecting Advertising Media– Trade Publications

• High CPM: Typically $50 for a full page color ad

• Generally count only one person per household and no pass-along

• Rifle approach

MarCom Section

• Selecting Advertising Media

Be careful when comparing CPMs. The only audience that counts is your target audience.

MarCom Section

• Low cost advertising alternatives– “Shoppers”– Neighborhood/church newsletters– Business card/rack card placement– Classified ads

MarCom Section

• Sales Promotion– Direct Marketing– Sell or produce leads

Direct marketing is an interactive system of marketing which uses one or more advertising media to effect response or transaction at any location

MarCom Section

• Sales Promotion– Direct mail– Telemarketing

MarCom Section

• Sales Promotion– Other promotional concepts

• Trade Shows• Sampling• Coupons (other products)• Premiums• Contests

MarCom Section

• Public Relations– Press releases– Financial reports– Seminars– Press parties– Open houses– Community activities– Interior marketing

MarCom Section

• Public Relations– Press releases

• Make sure the information is newsworthy• Tell the audience that the information is

intended for them and why they should continue to read it

• Start with a brief description of the news, then distinguish who announced it, and not the other way around

• Ask yourself, "How are people going to relate to this and will they be able to connect?"

MarCom Section

• Public Relations– Press releases

• Make sure the first 10 words of your release are effective, as they are the most important

• Avoid excessive use of adjectives and fancy language

• Deal with the facts• Provide as much Contact information as

possible: Individual to Contact, address, phone, fax, email, Web site address

• Make sure you wait until you have something with enough substance to issue a release

• Make it as easy as possible for media representatives to do their jobs

Sales Section

Nothing happens until you sell something

Sales Section

• Sales force– What is the average cost to make a

sales call?– What is the conversion or hit rate?– What is the resulting profit before

sales expense?

Sales Section

• Sales force– Effective sales presentation

• Prepare: know most of the answers before you ask the questions

• Get the prospect talking• Have the appropriate tools• Present the benefits of your

product/service, then the features that support these benefits

• Be ready for objections• Close the deal…

Customer Service Plan

• Includes the activities of all employees not covered in the sales plan who interact with the customer either directly or indirectly– Technical support– Telephone operators– Receptionists– Administrative staff– Delivery drivers

Customer Service Plan

• Five biggest problems with customer service are:1. Companies don’t hire the right people for

customer service jobs

2. It is often difficult to reach the right (or any) customer service person

3. Company policies benefit the company rather than the customer

4. They treat all customers the same

5. Poor communication between departments

Internet Plan

• Should you have a Web site?

Internet Plan

• Should you have a Web site?

Ten years ago this was a legitimate question, now it is essentially the same as asking, “does my company really need a telephone?”

Internet Plan

• Developing a Web site is not necessarily difficult or expensive

• Getting people to notice your Web site CAN be difficult and expensive

Internet Plan

• Need to determine what type of site is appropriate for your company

1. Promotional site

2. Transaction site

3. Content site

4. Customer service site

5. Combination

Research Plan

• The purpose of the research plan is to provide a system of controls for measuring the effectiveness of your marketing plan

• Monitoring your measurable objectives

Research Plan

If a benefit can be observed, it can be counted, and if it can be counted it can be measured

Thank You

johnbmarek@gmail.com

Phone: 704-657-7007

Mitchell Community College Office Hours:

Monday: 1:00 PM – 5:00 PM

Friday: 1:00 PM – 5:00 PM