"Nonprofit Management" - Chapter 10

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"Marketing & Communications" from "Nonprofit Management - Principles and Practice," Michael J. Worth, 3rd edition.

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"Nonprofit Management" - Chapter 10

  1. 1. Chapter 10: Marketing and Communications © 2014 SAGE Publications, Inc.
  2. 2. Defining and Understanding Marketing • Approaches to marketing • Commercial marketing -- seeks additional customers for programs and services • Social marketing -- seeks to change human behavior and improve society • Marketing mind-sets • Product mind-set -- effective marketing depends on the quality of the product • Sales mind-set -- effective marketing depends on convincing consumers • Target-audience mindset -- effective marketing depends on focusing on the needs and wants of consumers © 2014 SAGE Publications, Inc.
  3. 3. Need for Marketing • Nonprofit organizations operate in a competitive environment • Competition for funding from corporations, foundations, and individuals • Competition in advocating a particular cause or social goal • Competition for attention amidst everyday “noise” • Competition against other nonprofits, for-profit companies, and public organizations engaged in similar activities • Generic competition against alternative uses of individuals’ time and money • Caveat -- marketing must serve the mission and not become the primary driver of the nonprofit organization © 2014 SAGE Publications, Inc.
  4. 4. Communication and Marketing • Communication and marketing are not synonymous • Communication -- the transmission or exchange of information • Marketing -- communications with the purpose of influencing the behavior of someone else • Communication as broader and more complex • Understanding the principles by which information is transmitted and received • Understanding the various technologies that can be employed • Marketing may encompass communications with a very specific purpose • Draws on theories of communication © 2014 SAGE Publications, Inc.
  5. 5. © 2014 SAGE Publications, Inc.
  6. 6. The Marketing Mix • • • • • Product -- the good or service being offered (including intangibles) Place -- the location at which the product or service is available Promotion -- the visible efforts undertaken to gain visibility and notice for the organization’s products Market segmentation and target markets • Demographic variables, geography, and behavioral measures • Psychographics • Marketing to the individual Price -- the cost of the good or service (or the benefits exchanged) • Cost-oriented pricing • Competition-oriented pricing • Value-based pricing • Price discrimination © 2014 SAGE Publications, Inc.
  7. 7. Branding Terminology • Brand -- “a name, term, sign, symbol, design, or a combination of these that is intended to identify the goods and services of one seller or group of sellers and differentiate them from those of competitors” (Burnett, 2007, p. 179) • Brand attributes -- the collection of perceived qualities of the organization or its products • Brand promise -- the expectations that you have about what you will receive when you buy a specific product or service • Brand equity -- the monetary value that a brand image brings to an organization © 2014 SAGE Publications, Inc.
  8. 8. © 2014 SAGE Publications, Inc.
  9. 9. Effective Marketing • Integrated Marketing Communication (IMC) -- the messages and values that an organization communicates permeate every aspect of the organization’s work • Marketing and branding as rooted in reality • Organization’s brand unlikely to settle too far from the reality of what the organization actually does or what it really is • Official publications and communication via news media unlikely to outweigh firsthand knowledge and communication via word-of-mouth • Effective messages are those that CRAM (Andresen, 2006) • Connection - establish a connection • Reward - promise a reward • Action - inspire action • Memory - stick in memory © 2014 SAGE Publications, Inc.
  10. 10. © 2014 SAGE Publications, Inc.
  11. 11. Online Media • Websites – static or interactive • Social network presence • Facebook • LinkedIn • Social media presence • Twitter • YouTube • Flicker © 2014 SAGE Publications, Inc.

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