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The Management of Non-Profits in the Age of Social Media


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Presentation by David Dixon at the EUConsult Lisbon Conference, June 2011

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The Management of Non-Profits in the Age of Social Media

  1. 1. Social Media and Non-Profits Management Change, Integration and Strategy EUConsult Summer Conference June 2011
  2. 2. <ul><li>This session will NOT help you to use Facebook better.. </li></ul><ul><li>..nor how to tweet </li></ul><ul><li>..nor how to set up a Ning network </li></ul><ul><li>..nor how to get more people to read your blog </li></ul><ul><li>..actually it is not about HOW to use social networking tools at all </li></ul>EUConsult Lisbon 2011 [email_address]
  3. 3. <ul><li>This session is about how to MANAGE social media </li></ul><ul><li>It is for people who are engaged with strategic management of non-profits </li></ul><ul><li>E.g. consultants!! </li></ul><ul><li>And who want know how social media can help their work </li></ul>EUConsult Lisbon 2011 [email_address]
  4. 4. About Me <ul><li>25 Years and counting as a professional fundraiser, marketer and management consultant </li></ul><ul><li>Senior Fundraiser at Oxfam then Development Director of Oxford Playhouse </li></ul><ul><li>Set up David Dixon Associates in 1993 </li></ul><ul><ul><li>Fundraising, marketing and management consultancy in the arts (UK, Netherlands, Spain) </li></ul></ul><ul><li>Set up The Phone Room in 1997 </li></ul><ul><ul><li>telephone fundraising (UK only) </li></ul></ul>EUConsult Lisbon 2011 [email_address]
  5. 5. Why did I get Interested in Social Media? EUConsult Lisbon 2011 [email_address]
  6. 6. The Death of Direct Mail International Fundraising Conference, Netherlands 2005 EUConsult Lisbon 2011 [email_address]
  7. 7. The Tipping Point in DM Profitability Marginal RoI Volume Break even EUConsult Lisbon 2011 [email_address]
  8. 8. The Tipping Point in DM Profitability Marginal RoI Volume Break even 1) Small fall in response rates 2) Makes all this volume uneconomic EUConsult Lisbon 2011 [email_address]
  9. 9. Direct Mail Under Attack Direct Mail EUConsult Lisbon 2011 [email_address] Digital Media New generation Falling Marginal RoI
  10. 10. The volume of charity direct mail in the UK fell by 26% in 2010 EUConsult Lisbon 2011 [email_address]
  11. 11. I realised I was actually describing the death of…. … Direct Marketing EUConsult Lisbon 2011 [email_address]
  12. 12. Whoops!! EUConsult Lisbon 2011 [email_address]
  13. 13. The Phone Room is a direct marketing agency! EUConsult Lisbon 2011 [email_address]
  14. 14. I realised I needed to think hard about the future of The Phone Room EUConsult Lisbon 2011 [email_address]
  15. 15. And more recently clients of DDA have been asking me to help them use social media EUConsult Lisbon 2011 [email_address]
  16. 16. Some Clients
  17. 17. I was a bit scared! I was excited! I was ignorant! EUConsult Lisbon 2011 [email_address]
  18. 18. So I set up a new business! EUConsult Lisbon 2011 [email_address]
  19. 19. And decided to become a social media guru EUConsult Lisbon 2011 [email_address] Click picture for video
  20. 20. Voice <ul><li>Consultancy and Training, mainly in the Non-Profit sector </li></ul><ul><li>We educate on the power and mechanisms of social media. </li></ul><ul><li>We apply social media practices to help our clients achieve goals through personal relationships with supporters and donors. </li></ul><ul><li>We help them to take the lead in discussions around their brand. </li></ul><ul><li>We help organisations to discover the practical value of social media. </li></ul>EUConsult Lisbon 2011 [email_address] Vanessa Blake David Dixon Euan Semple Steve Bridger Howard Lake Sylwia Presley Adrian Phillips
  21. 21. Social Media is shiny and new! EUConsult Lisbon 2011 [email_address]
  22. 22. Facebook 2004 YouTube 2005 Twitter 2006 LinkedIn 2002 Flickr 2005 EUConsult Lisbon 2011 [email_address]
  23. 23. Social media is still in baby clothes and nobody is really an expert yet……… …… everyone is still testing EUConsult Lisbon 2011 [email_address]
  24. 24. Why does social media matter? EUConsult Lisbon 2011 [email_address]
  25. 25. Social Media is big!! EUConsult Lisbon 2011 [email_address]
  26. 26. Really, really, really, really, big!! EUConsult Lisbon 2011 [email_address] Click picture for video
  27. 27. <ul><li>Every one of the  Forbes  top 200 charities surveyed uses at least one form of social media in its communications strategy </li></ul><ul><li>Charities’ adoption of blogging outpaces both the Fortune 500 and the Inc. 500 by 23% and 50%, respectively; 64% of these top performing charities maintain a blog for their organizations. </li></ul><ul><li>97% of these charities have a Facebook presence, 96% have Twitter accounts and 92% use YouTube. </li></ul><ul><li>Source: Society for New Communications Research at the University of Massachusetts Dartmouth March 21, 2011 </li></ul>And it’s big for Non-Profits too ! EUConsult Lisbon 2011 [email_address]
  28. 28. <ul><li>55% of these charities are using online video to deliver their message and inform their audience about their mission. </li></ul><ul><li>These charities report using search engines and social networking sites (76% and 75%, respectively) in their recruiting and evaluating processes. </li></ul><ul><li>90% of respondents consider social media to be very important in increasing awareness of their charity mission . </li></ul><ul><li>Source: Society for New Communications Research at the University of Massachusetts Dartmouth March 21, 2011 </li></ul>And it’s big for Non-Profits too! EUConsult Lisbon 2011 [email_address]
  29. 29. Social Media is scary because it is so big…. … and VERY disruptive of management and of brand!! EUConsult Lisbon 2011 [email_address]
  30. 30. The defining characteristic of social media is that control is distributed… … so how should it be managed? EUConsult Lisbon 2011 [email_address]
  31. 31. How NOT to manage social media! New York City Ballet March 2011 EUConsult Lisbon 2011 [email_address]
  32. 32. EUConsult Lisbon 2011 [email_address] Dancer Devin Alberda of the New York City Ballet (Referring to Peter Martin, CEO of the Ballet who had been charged with drunk-driving) &quot;Thank goodness riding the subway while intoxicated isn't a misdemeanor offense”
  33. 33. <ul><li>Peter Martin immediately created a new social media policy for the Ballet…. </li></ul><ul><li>… .The Wall Street Journal got hold of the policy in draft form. Among the restrictions: </li></ul><ul><li>Disclaimer on any social media site </li></ul><ul><li>Ban on disclosing dancer injury or illness </li></ul><ul><li>Ban on posting photos of anything having to do with the ballet </li></ul><ul><li>NYCB can monitor all dancers' posting and order them to take them down </li></ul>EUConsult Lisbon 2011 [email_address]
  34. 34. EUConsult Lisbon 2011 [email_address] A good Example!
  35. 35. EUConsult Lisbon 2011 [email_address] A good Example!
  36. 36. “ The Army encourages members of the Army Family to use social media to connect and tell their stories, but it also advises everyone to do this in a safe and secure manner” “ Members of the Army Family are experiencing a special time in their lives. They have a lot to share with family, friends and others. Social media is an opportunity to instantly reach out and connect regardless of time, space or distance.” EUConsult Lisbon 2011 [email_address] A good Example!
  37. 37. Every Non-Profit must have a social media policy Acceptable use of social media must form part of staff contracts EUConsult Lisbon 2011 [email_address]
  38. 38. What is Social Media good for in a Non-Profit? EUConsult Lisbon 2011 [email_address]
  39. 39. Customer (and donor) Service <ul><li>Complaints handling </li></ul><ul><li>Technical support </li></ul><ul><li>Sharing experience and tips </li></ul><ul><li>Early warning of problems </li></ul><ul><li>Providing them with control of communications </li></ul><ul><li>Evidence of care for customers/donors </li></ul>EUConsult Lisbon 2011 [email_address]
  40. 40. Human Resources <ul><li>Recruitment </li></ul><ul><li>Training </li></ul><ul><li>New contracts including social media rules </li></ul><ul><li>Internal communications </li></ul><ul><li>Valuing and empowering staff </li></ul><ul><li>Supporting them in using social media </li></ul>EUConsult Lisbon 2011 [email_address]
  41. 41. Volunteers <ul><li>Recruitment </li></ul><ul><li>Training </li></ul><ul><li>Online advocacy </li></ul><ul><li>Closed volunteer communities </li></ul><ul><li>Volunteer communications </li></ul>EUConsult Lisbon 2011 [email_address]
  42. 42. PR & Media <ul><li>Ongoing relationships with journalists </li></ul><ul><li>Media monitoring </li></ul><ul><li>Firefighting </li></ul><ul><li>Alerts for the media </li></ul><ul><li>Video, foto and audio content provision </li></ul><ul><li>Bloggers are journalists! </li></ul><ul><li>Celebrity support </li></ul>EUConsult Lisbon 2011 [email_address]
  43. 43. Product Development <ul><li>Crowdsourcing of new products </li></ul><ul><li>Product testing </li></ul><ul><li>Packaging </li></ul><ul><li>Advertising </li></ul>EUConsult Lisbon 2011 [email_address]
  44. 44. Crowdsourcing Examples <ul><li>Insurance Products </li></ul><ul><li>TV adverts </li></ul><ul><li>The name for a stock exchange </li></ul><ul><li>Jeans </li></ul><ul><li>Men’s deodorant </li></ul><ul><li>Armoured personnel carrier </li></ul><ul><li>Translation of rebel communications </li></ul><ul><li>Music composition </li></ul><ul><li>New computer services and products </li></ul>EUConsult Lisbon 2011 [email_address]
  45. 45. Service Delivery <ul><li>Information services </li></ul><ul><li>User support groups </li></ul><ul><li>Video, foto and audio content provision </li></ul><ul><li>User feedback and service improvement </li></ul>EUConsult Lisbon 2011 [email_address]
  46. 46. Marketing <ul><li>Market Research </li></ul><ul><li>Brand and reputation management </li></ul><ul><li>Targeted advertising </li></ul><ul><li>Identification of influencers </li></ul><ul><li>Creation of word-of-mouth </li></ul><ul><li>Customer recommendations </li></ul><ul><li>Cost savings </li></ul><ul><li>Video, foto and audio content </li></ul>EUConsult Lisbon 2011 [email_address]
  47. 47. Fundraising and Sales <ul><li>Event fundraising </li></ul><ul><li>Tweetups </li></ul><ul><li>Shops in social media (f-commerce) </li></ul><ul><li>Links to donation sites </li></ul><ul><li>Customer recommendations </li></ul><ul><li>Group discounts online </li></ul><ul><li>Location based deals </li></ul><ul><li>Donor loyalty </li></ul><ul><li>Donor get donor </li></ul>Fundraising Ireland 2011
  48. 48. Campaigning <ul><li>Creation of communities </li></ul><ul><li>Action planning </li></ul><ul><li>Target monitoring </li></ul><ul><li>Petitions </li></ul><ul><li>Urgent response </li></ul>EUConsult Lisbon 2011 [email_address]
  49. 49. That’s almost everything! So who should be in charge of social media? EUConsult Lisbon 2011 [email_address]
  50. 50. EUConsult Lisbon 2011 [email_address] One Possibility!
  51. 51. EUConsult Lisbon 2011 [email_address] Even worse!
  52. 52. <ul><li>Pretend it’s not important </li></ul><ul><li>We have a Facebook page so it’s done </li></ul><ul><li>Leave it to the intern </li></ul><ul><li>Everyone does their own thing </li></ul><ul><li>Give it to Comms </li></ul><ul><li>Give it to IT </li></ul><ul><li>Give it to the webmaster </li></ul><ul><li>Give it to an agency </li></ul>Common Management Strategies for Social Media EUConsult Lisbon 2011 [email_address]
  53. 53. <ul><li>Responsibility given to one, new, young recruit in the communications department </li></ul><ul><li>Head of communications does not understand social media </li></ul><ul><li>Fundraisers have to negotiate access </li></ul><ul><li>Campaigners do their own thing </li></ul><ul><li>No agreed policy on use of social media </li></ul><ul><li>Social media learning from the donor care team not circulated </li></ul><ul><li>Everything decided in closed rooms </li></ul>A Recent Bad Example from one of my own clients EUConsult Lisbon 2011 [email_address]
  54. 54. <ul><li>Buy-in at the top level </li></ul><ul><li>Create social media strategies for all departments under one umbrella </li></ul><ul><li>Understand that this puts the donor and user much more in charge </li></ul><ul><li>Involve everyone in discussions </li></ul><ul><li>Hire experts where helpful </li></ul><ul><li>Create a social media policy and revise contracts </li></ul><ul><li>Adjust budgets </li></ul>How to Manage it Properly EUConsult Lisbon 2011 [email_address]
  55. 55. <ul><li>Train lots of people and encourage them </li></ul><ul><li>Give responsibility to a few people to do central administration, curating and policing </li></ul><ul><li>Maybe have a cross-departmental group </li></ul><ul><li>Use social media for internal comms </li></ul><ul><li>Understand that video is king! </li></ul><ul><li>Use agencies for specific tasks </li></ul><ul><li>Monitor, evaluate and report </li></ul><ul><li>Repeat the whole process at frequent intervals </li></ul>How to Manage it Properly EUConsult Lisbon 2011 [email_address]
  56. 56. <ul><li>Social Media is NOT… </li></ul><ul><li>A channel (like phone, mail, email, TV, advertising etc.) </li></ul><ul><li>It is NOT a digital medium! </li></ul><ul><li>Supporters expect to communicate with one organisation, NOT departments </li></ul>Social Media Strategy EUConsult Lisbon 2011 [email_address]
  57. 57. Social Media Strategy <ul><li>Identification of strategic aims </li></ul><ul><li>Target setting </li></ul><ul><li>Choice of tools </li></ul><ul><li>Integration with existing tools </li></ul><ul><li>Budgets </li></ul><ul><li>Timings including reviews </li></ul><ul><li>Allocation of responsibilities </li></ul><ul><li>Training </li></ul><ul><li>Transition planning (change management) </li></ul><ul><li>Monitoring and reporting </li></ul>EUConsult Lisbon 2011 [email_address]
  58. 58. Social Media Strategy But…… Don Peppers, head of Peppers & Rogers thinks that companies should not “ waste money on social media until your organisation can competently handle a customer phone call or email.” EUConsult Lisbon 2011 [email_address]
  59. 59. Social Media Strategy Social Media is about people! That’s why it is social!! EUConsult Lisbon 2011 [email_address]
  60. 60. Let’s talk about money EUConsult Lisbon 2011 [email_address]
  61. 61. <ul><li>Big Brands are investing heavily in social media </li></ul><ul><li>They are using it for all of the purposes listed previously </li></ul><ul><li>They have recognised that they can save costs and generate new customers </li></ul><ul><li>They realise they need new kinds of people </li></ul>What is the commercial sector doing? EUConsult Lisbon 2011 [email_address] Click picture for video
  62. 62. McKinsey Quarterly Dec 2010 “ The attainment of higher operating margins…. than competitors correlated with a different set of factors: the ability to make decisions lower in the corporate hierarchy and a willingness to allow the formation of working teams comprising both in-house employees and individuals outside the organization. “ What is the commercial sector doing? EUConsult Lisbon 2011 [email_address]
  63. 63. McKinsey Quarterly Dec 2010 “ These findings suggest that Web technologies can underwrite a more agile organization where frontline staff members make local decisions and companies are better at leveraging outside resources to raise productivity and to create more valuable products and services. The result, the survey suggests, is higher profits.” What is the commercial sector doing? EUConsult Lisbon 2011 [email_address]
  64. 64. The Bad News It Isn’t really free! The Good News It is much cheaper than other media! Budgeting for social media EUConsult Lisbon 2011 [email_address]
  65. 65. <ul><li>The basic tools are free </li></ul><ul><li>Changes to your own website </li></ul><ul><li>Staff time to manage the social media presences </li></ul><ul><li>Training for all staff </li></ul><ul><li>Creation of social media policy and strategy </li></ul><ul><li>Investment to drive people to the social media sites </li></ul><ul><li>Possibly some hardware e.g. smart phones </li></ul>Budgeting for social media EUConsult Lisbon 2011 [email_address]
  66. 66. <ul><li>Creation of content, especially video (but not all needs to be professional) </li></ul><ul><li>Paid-for advertising requires a budget </li></ul><ul><li>Reporting, possibly third-party </li></ul><ul><li>Possibly an upgrade to the supporter database </li></ul><ul><li>Apps on Facebook and elsewhere </li></ul>Budgeting for social media EUConsult Lisbon 2011 [email_address]
  67. 67. Integration of media Online and offline are part of the same world! A study asked users what prompted them to search online for a particular company, product, service or slogan: Television advertisement: 44% Word of Mouth: 41% Magazine/Newspaper Advertisement: 35% Radio: 23% Billboard: 13% EUConsult Lisbon 2011 [email_address]
  68. 68. Integration of media <ul><li>Your supporters are completely integrated!! </li></ul><ul><li>Integration across fundraising media </li></ul><ul><li>But also integrations across all touch points with your organisation </li></ul><ul><li>Thus, donor recruitment could begin with campaigning, service users, purchasers </li></ul><ul><li>And vice versa… </li></ul>EUConsult Lisbon 2011 [email_address]
  69. 69. Integration of media Your supporters are completely integrated!! EUConsult Lisbon 2011 [email_address]
  70. 70. <ul><li>Conclusions </li></ul><ul><li>Social media is already here and you can’t ignore it </li></ul><ul><li>It is simple and will save you money </li></ul><ul><li>The whole organisation must change </li></ul><ul><li>Your people are your brand so you may need new people </li></ul><ul><li>Nobody is yet the expert </li></ul><ul><li>But a body of experience is gathering </li></ul>EUConsult Lisbon 2011 [email_address]
  71. 71. The Tipping Point Malcolm Gladwell Most change is non-linear i.e. sudden EUConsult Lisbon 2011 [email_address]
  72. 72. The future is already here……… … .it is just unevenly distributed William Gibson EUConsult Lisbon 2011 [email_address]
  73. 73. Contact David Dixon E-mail: [email_address] Mobile: 077990 66304 EUConsult Lisbon 2011 [email_address]