Selling Your ImpactCentral Appalachia RegionCross-Sector Partnership WorkshopJanuary 26, 2012
Why So Expensive?                                       Cost Per $100 Raised  $25  $20  $15  $10     $     $5     $0      ...
We Have No LeverageCentral Appalachia Cross-Sector Partnership Workshop                                                   ...
Charity is Declining                                                       For the second year in a row,                  ...
Where We Are TodayCentral Appalachia Cross-Sector Partnership Workshop                                                    ...
Business Model for Charity in Jeopardy                                              September 23, 2011                    ...
Jobs is the New Philanthropy                                                  October 28, 2011                       “Are ...
CSR Has Only One Bottom Line                                                            June 14, 2011        “To Be Good C...
Social Innovation Can Take Many Forms                                                                               Octobe...
New Models at the Intersection                                                October 12, 2011                “New Compani...
A New Generation of CSR                                                            CSR 3.0                                ...
Today, It’s All About Impact and Value  Headache Medicine                             Low Prices             Website   A P...
Social Innovation ExamplesCentral Appalachia Cross-Sector Partnership Workshop                                            ...
Central Appalachia Cross-Sector Partnership Workshop                                                       14© 2012 Missio...
New Sources of Funding       The Independent Sector                               The Social Capital Market               ...
A new set of stakeholders               Independent Sector:                                       Social Capital Market:  ...
Impact buyers: what’s in it for them?                                                  Sees social and                    ...
Impact buyers     Buyer                                    Description                          Examples                  ...
New realities1. Social outcomes now have economic value2. Its okay to expect an economic return from doing good3. Not all ...
High-value outcomes                   High                                Strategic Philanthropy           High-Value Outc...
Change the conversation            OUR NEED TO SELL                                THEIR NEED TO BUY             Case for ...
The Formula         Capture Your                            Market             Sell           Impact                      ...
Key Questions•      What does this new market mean for us?•      What outcomes can we “sell”?                             ...
Sell Your ImpactRonald McDonald House Charities Example                                               Children & Families ...
Sell Your ImpactExample: Value Propositions                                   Outcome or          Shared                  ...
Sell Your ImpactFree the Children Example                                         Youth Participants                      ...
Sell Your ImpactExample: Value Propositions                                     Outcome or          Shared                ...
BreakCentral Appalachia Cross-Sector Partnership Workshop                                                       28© 2012 M...
Exercise: Overview         Capture Your                            Market             Sell           Impact               ...
Round 1: Capture Your ImpactDiscussion: What Outcomes Do We Produce?                                          30 mins 1.  ...
Round 1: Capture Your ImpactNotes: Success Equation Exercise                                                              ...
SUCCESS EQUATION: EXAMPLE                                   Priority Outcomes                                            I...
Round 2: Market Your ImpactDiscussion: Who Values Our Outcomes?                                                           ...
Stakeholder Engagement•      What are the key business objectives of your company? (Potential       categories to prompt i...
What is our Shared Value?Your Asset /                       High Value          Shared               Impact               ...
Round 3: Sell Your ImpactWhat is Your Business Case?                                                Impact Buyer: Need to ...
The 7 Immutable Laws of Selling Your Impact1. Go through the front door, not the back door.2. Always use value pricing, no...
Where We Go From Here•      Articulate your value•      Test with impact buyers•      Develop business case•      Innovate...
Extra SlidesCentral Appalachia Cross-Sector Partnership Workshop                                                       39©...
Mission Measurement Overview                                                Our Mission                                   ...
Mission Measurement Overview: Our ClientsCentral Appalachia Cross-Sector Partnership Workshop                             ...
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Jason Saul on Selling Your Impact - From Cutting Edge Collaboration, Jan 25th and 26th, 2012

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Jason Saul on Selling Your Impact - From Cutting Edge Collaboration, Jan 25th and 26th, 2012

  1. 1. Selling Your ImpactCentral Appalachia RegionCross-Sector Partnership WorkshopJanuary 26, 2012
  2. 2. Why So Expensive? Cost Per $100 Raised $25 $20 $15 $10 $ $5 $0 Obama McCain Corporations NonprofitsCentral Appalachia Cross-Sector Partnership Workshop 2© 2012 Mission Measurement, LLC.
  3. 3. We Have No LeverageCentral Appalachia Cross-Sector Partnership Workshop 3© 2012 Mission Measurement, LLC.
  4. 4. Charity is Declining For the second year in a row, philanthropy has seen the deepest decline ever recorded. Contributions to foundations fell 8% in 2009, following an almost 20% drop the year before.Central Appalachia Cross-Sector Partnership Workshop 4© 2012 Mission Measurement, LLC.
  5. 5. Where We Are TodayCentral Appalachia Cross-Sector Partnership Workshop 5© 2012 Mission Measurement, LLC.
  6. 6. Business Model for Charity in Jeopardy September 23, 2011 “Obama Bill Scrambles Charities”Central Appalachia Cross-Sector Partnership Workshop 6© 2012 Mission Measurement, LLC.
  7. 7. Jobs is the New Philanthropy October 28, 2011 “Are Companies Responsible for Creating Jobs? “Central Appalachia Cross-Sector Partnership Workshop 7© 2012 Mission Measurement, LLC.
  8. 8. CSR Has Only One Bottom Line June 14, 2011 “To Be Good Citizens, Report Says, Companies Should Just Focus on Bottom Line” Central Appalachia Cross-Sector Partnership Workshop 8 © 2012 Mission Measurement, LLC.http://www.nytimes.com/2011/06/15/business/15charity.html
  9. 9. Social Innovation Can Take Many Forms October 21, 2011 “For “F some of th world’s poor hope comes via design” f the ld’ h i d i ” Central Appalachia Cross-Sector Partnership Workshop 9 © 2012 Mission Measurement, LLC.http://www.nytimes.com/2011/10/23/arts/design/for-some-of-the-worlds-poor-hope-comes-via-design.html?ref=todayspaper
  10. 10. New Models at the Intersection October 12, 2011 “New Companies Combine Profit and Charity”Central Appalachia Cross-Sector Partnership Workshop 10© 2012 Mission Measurement, LLC.
  11. 11. A New Generation of CSR CSR 3.0 CSR 2.0 Social InnovationCSR 1.0 Strategic Philanthropy Charity Accountability Business ValueCentral Appalachia Cross-Sector Partnership Workshop 11© 2012 Mission Measurement, LLC.
  12. 12. Today, It’s All About Impact and Value Headache Medicine Low Prices Website A Pain Reliever A Better Life “The power to make the world more open and connected”Central Appalachia Cross-Sector Partnership Workshop 12© 2012 Mission Measurement, LLC.
  13. 13. Social Innovation ExamplesCentral Appalachia Cross-Sector Partnership Workshop 13© 2012 Mission Measurement, LLC.
  14. 14. Central Appalachia Cross-Sector Partnership Workshop 14© 2012 Mission Measurement, LLC.
  15. 15. New Sources of Funding The Independent Sector The Social Capital Market $200 Billion $6 Trillion $100 Billion carve-out for churchesCentral Appalachia Cross-Sector Partnership Workshop 15© 2012 Mission Measurement, LLC.
  16. 16. A new set of stakeholders Independent Sector: Social Capital Market: Philanthropists Impact Buyers Corporate Beneficiaries Partners Upstream BeneficiariesFoundations Board “Consumers” that can pay Social S i l Shared Benefit Value Service Social Government Providers Investors DonorsCentral Appalachia Cross-Sector Partnership Workshop 16© 2012 Mission Measurement, LLC.
  17. 17. Impact buyers: what’s in it for them? Sees social and business value Corporate Partners Relies on outcomes to create economic Values the personal value return on investment Upstream Beneficiaries “Consumers” that can pay High Value Benefit Service Social Providers Investors Sees an opportunity Allocates resources to improve services to “buy” certain offerings outcomes.Central Appalachia Cross-Sector Partnership Workshop 17© 2012 Mission Measurement, LLC.
  18. 18. Impact buyers Buyer Description Examples An outcomes-driven funder who has allocated a Social Investors specified amount of funding specifically to "purchase " a specific set of results. An individual or organization who consumes your Beneficiaries that th t can pay products or services and is able to pay for benefits received. An organization that relies on your outcomes to Service Providers enhance its service offering or achieve its own g business objectives. An individual or organization that relies on social Upstream “Consumers” Consumers outcomes produced earlier in the value chain to generate desired outcomes or income. Companies that require certain social change in Corporate Partners order to create direct economic value for the business. b iCentral Appalachia Cross-Sector Partnership Workshop 18© 2012 Mission Measurement, LLC.
  19. 19. New realities1. Social outcomes now have economic value2. Its okay to expect an economic return from doing good3. Not all outcomes are created equalCentral Appalachia Cross-Sector Partnership Workshop 19© 2012 Mission Measurement, LLC.
  20. 20. High-value outcomes High Strategic Philanthropy High-Value Outcomes Affinity-based appeal to Evidence-based appeal to individuals & foundations impact buyers alue Social Va Charity Business Income Emotional appeal to Unrelated corporate individuals ( (cause) marketing ) g Low w Economic Value Low L Economic Value High Hi hCentral Appalachia Cross-Sector Partnership Workshop 20© 2012 Mission Measurement, LLC.
  21. 21. Change the conversation OUR NEED TO SELL THEIR NEED TO BUY Case for Support Business Case • Our approach, p g pp , program • Their need or pain p and services • The value you can offer • Our impact them • O accomplishments Our li h t • E id Evidence th t you can that meet their need It’s not about telling our story, it’s about showing our valueCentral Appalachia Cross-Sector Partnership Workshop 21© 2012 Mission Measurement, LLC.
  22. 22. The Formula Capture Your Market Sell Impact Your Impact Your Impact Engage Identify the stakeholders “impact Build the to develop buyers” who business case your inventory value your for current and of outcomes, outcomes, new investors assets and assets and capabilities capabilitiesCentral Appalachia Cross-Sector Partnership Workshop 22© 2012 Mission Measurement, LLC.
  23. 23. Key Questions• What does this new market mean for us?• What outcomes can we “sell”? sell ?• Where can we create the most leverage?Central Appalachia Cross-Sector Partnership Workshop 23© 2012 Mission Measurement, LLC.
  24. 24. Sell Your ImpactRonald McDonald House Charities Example Children & Families RMHC Chapters Owner/Operators Suppliers McDonald’s Corporation Grantees Hospitals DonorsCentral Appalachia Cross-Sector Partnership Workshop 24© 2012 Mission Measurement, LLC.
  25. 25. Sell Your ImpactExample: Value Propositions Outcome or Shared Impact Non Profit Need/Pain Value Value Buyer Enable family Improved Increase bed centered patient results turnover care and shorter d h t improves i hospital stays revenue Improve Increase brand trust customer Drive sales revisit intentCentral Appalachia Cross-Sector Partnership Workshop 25© 2012 Mission Measurement, LLC.
  26. 26. Sell Your ImpactFree the Children Example Youth Participants Schools & School Boards Corporate Funders Funders Overseas Communities Teachers ParentsCentral Appalachia Cross-Sector Partnership Workshop 26© 2012 Mission Measurement, LLC.
  27. 27. Sell Your ImpactExample: Value Propositions Outcome or Shared Impact Non Profit Need/Pain Value Value Buyer Improve student Character Improve student engagement education engagement and and success curriculum deliver character d li h t through social mandates & educationFree the action student engagementChildren Increase Activate youth employee Employee p y and their engagement & engagement families connection and access to through social with youth new markets action marketCentral Appalachia Cross-Sector Partnership Workshop 27© 2012 Mission Measurement, LLC.
  28. 28. BreakCentral Appalachia Cross-Sector Partnership Workshop 28© 2012 Mission Measurement, LLC.
  29. 29. Exercise: Overview Capture Your Market Sell Impact Your Impact Your Impact Engage Identify the stakeholders “impact Build the to develop buyers” who business case your inventory value your for current and of outcomes, outcomes, new investors assets and assets and capabilities capabilitiesCentral Appalachia Cross-Sector Partnership Workshop 29© 2012 Mission Measurement, LLC.
  30. 30. Round 1: Capture Your ImpactDiscussion: What Outcomes Do We Produce? 30 mins 1. What is unique and different about the region? About each of our organizations? 2. What valuable resources or capabilities do we bring to bear? 3. What social outcomes do we strive to achieve? 4. Which of these outcomes are most important and valuable to business? Change in Status g ROI Systemic Change y g Behavior Improvement Action Attitude Adoption Visibility Knowledge Touch points Engagement Awareness Efforts OutreachCentral Appalachia Cross-Sector Partnership Workshop 30© 2012 Mission Measurement, LLC.
  31. 31. Round 1: Capture Your ImpactNotes: Success Equation Exercise 30 mins High Value Outcomes Impact What changes in status, behavior or condition most directly influence “D”? What are we ultimately trying to accomplish? A + B + C = D Performance Measures How do we measure progress toward our outcomes? Key Strategies Which programs or activities will drive results?Central Appalachia Cross-Sector Partnership Workshop 31© 2012 Mission Measurement, LLC.
  32. 32. SUCCESS EQUATION: EXAMPLE Priority Outcomes Impact Build capacity to Improve job Improve Family Increase Savings manage personal readiness and Financial & Assets finances retention Stability A + B + C = D # clients who achieve # of clients who # of clients who financial literacy become job-ready become banked # clients who become # of clients placed in Client savings rate Performance financially low-risk jobs Measures # of clients who retain jobs for 90 days or moreCentral Appalachia Cross-Sector Partnership Workshop 32© 2012 Mission Measurement, LLC.
  33. 33. Round 2: Market Your ImpactDiscussion: Who Values Our Outcomes? 30 mins 1. Who directly benefits from the outcomes we produce? Corporate p 2. What if our organization(s) or Partners efforts did not exist? Who would care? Upstream Beneficiaries 3. Who is willing to pay for our “Consumers” that can pay Shared outcomes? Value 4. 4 Who is in pain because they’re they re not getting what we produce? Service Social 5. Who has a financial incentive to Providers Investors help ? h l us?Central Appalachia Cross-Sector Partnership Workshop 33© 2012 Mission Measurement, LLC.
  34. 34. Stakeholder Engagement• What are the key business objectives of your company? (Potential categories to prompt if needed: Growth, Innovation, Products, Employees, etc.) Employees etc )• What are the key challenges you face as you work to meet your business goals and objectives? g j• What changes or outcomes will help you address these challenges?• How can we help you produce these outcomes?Central Appalachia Cross-Sector Partnership Workshop 34© 2012 Mission Measurement, LLC.
  35. 35. What is our Shared Value?Your Asset / High Value Shared Impact Need/Pain Capability Outcomes Value BuyerCentral Appalachia Cross-Sector Partnership Workshop 35© 2012 Mission Measurement, LLC.
  36. 36. Round 3: Sell Your ImpactWhat is Your Business Case? Impact Buyer: Need to Buy What is their pain point or need? Value Proposition How can we solve their pain p point or need? Track Record What i Wh t is our evidence of id f success?Central Appalachia Cross-Sector Partnership Workshop 36© 2012 Mission Measurement, LLC.
  37. 37. The 7 Immutable Laws of Selling Your Impact1. Go through the front door, not the back door.2. Always use value pricing, not cost-plus3. Know your customer ( y (and speak their language). p g g )4. Sell painkillers, not vitamins.5. Sell outcomes, not programs.6. Don’t oversell.7. Don’t waste time on idiosyncratic funders.Central Appalachia Cross-Sector Partnership Workshop 37© 2012 Mission Measurement, LLC.
  38. 38. Where We Go From Here• Articulate your value• Test with impact buyers• Develop business case• Innovate (as needed)• Leverage the engine, not the fumesCentral Appalachia Cross-Sector Partnership Workshop 38© 2012 Mission Measurement, LLC.
  39. 39. Extra SlidesCentral Appalachia Cross-Sector Partnership Workshop 39© 2012 Mission Measurement, LLC.
  40. 40. Mission Measurement Overview Our Mission Thought Capital MM increases social impact by helping our clients use  measurement to improve performance, demonstrate  p p results, and attract resources. Corporate Nonprofit Public Sector • Asset building • International development • College access • Nutrition and physical fitness expertise • Corporate social responsibility • Policy change • Early childhood education • Scientific research Areas of e • Emerging markets • School reform/ transformation • Environmental strategy  • Sustainability Initiatives  • Health care access/ delivery • Workers rights • HIV/AIDS prevention / p • p Youth developmentCentral Appalachia Cross-Sector Partnership Workshop 40© 2012 Mission Measurement, LLC.
  41. 41. Mission Measurement Overview: Our ClientsCentral Appalachia Cross-Sector Partnership Workshop 41© 2012 Mission Measurement, LLC.

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