9. #CauseSD ™
18th Annual San Diego AMA
Cause Conference
• It’s what companies want
• It’s what media want
• It’s your way to differentiate your
proposals from 1,000’s of others !
11. #CauseSD ™
Return on Community Investment
• Expected from corporate funders
• Whether nonprofit or new business
-- It’s still their money
• Won’t consider funding
without ROCI
12. #CauseSD ™
Cause Marketing….
Partnership Marketing….
•A Commercial relationship – 2 way
•Marketing-based cooperative effort
•Focus - profitability and competitive
position for companies
•Focus - increased awareness and
funding for non-profit organizations.
13. #CauseSD ™
Why? Because it works !
•American Express
•Statue of Liberty Renovation
•Spent $14,000,000 in
Advertising
•Card usage up 26%
•Powerful differentiator
14. #CauseSD ™
A New Normal
•Increased competitive pressures
•Unreliable government funding
sources
•Competition for funding getting
more sophisticated
•Considering new strategies
15. #CauseSD ™
Partnership Marketing… Good news
• Nonprofits are desirable
partners
• Our partnership is worth money
• Our partnership could build
volunteer resources, reach new
customers, support Employee
Engagement....
17. #CauseSD ™
2012 Corporate View Survey
Please answer two questions
regarding two proposals sent
to your organization.
The proposal is from ABC
Nonprofit that does fit your
giving guidelines.
18. #CauseSD ™
Corporate View Survey
In both proposals, your financial
support of $2,000 makes your
organization the presenting
sponsor at the nonprofit’s annual
event supporting 400 high school
students with needed technology
resources for their classrooms.
20. #CauseSD ™
Proposal 1
To thank you and recognize your organization’s support, we
will provide the following:
•Recognition in a promotional message - SD Business Journal.
•Full page, color message in the event program.
•Your logo on 4 main event banners.
•Logo on nonprofit homepage of website for one month.
•Inclusion of your promotional flyer - 1 direct member mailing
Article and photo – your employees participating at event in
eNewsletter.
•Recognition in all materials, publicity and social media.
21. #CauseSD ™
Proposal 2
Description Reach Value
• Recognition for company in the SD Business Journal,
primary logo in ¼ pg. promo message. 45,000 readers $1,500
• Full page, color message - event program. 3,000 attend/mbrs 750
• Logo on 4 event banners. Banners 20’ long. 1,500 event attendees 250
• Logo on homepage - website for 1 month. 5,000 web visitor 1,000
• Inclusion of your flyer in 1 direct mailing to mbrs. 1,500 members 750
• Article/photo – your employees participating - eNewsltr. 1,500 members 500
• Recognition in all publicity. 100 media kits, logo
on letterhead for 1 year, social media with 5 prtnrs. 25,000 viewers/readers 2,000
producing 20,000 views & clicks), guaranteed recognition
with 2 local media partners.
Totals 82,500 $6,750
Ask: $2,000
ROI for $2,000 investment approx. 3:1
22. #CauseSD ™
Corporate View Survey
Which proposal do
you think companies
prefer? (First question on survey.)
#1? #2?
24. #CauseSD ™
2012 Corporate View Survey
Second Question for companies:
______% of proposals that
you receive that provide
some form of reach and/or
value information?
25. #CauseSD ™
Corporate View Survey
True Average of 10 companies:
Only 11% provided reach/value
Take out the highest score (50%) and
lowest (0%)....average is:
Only 8% provided reach/value
.
26. #CauseSD ™
Which Means…..
By following a few simple
guidelines, your proposals can
be…
of all nonprofit proposals today
in San Diego.
29. #CauseSD ™
Corporate comments...
“Rarely do nonprofits offer
any specific detail…which, of
course, is helpful in
determining whether or not the
partnership is valuable.”
30. #CauseSD ™
Corporate comments
“More often than not, proposals
look like #1. However, when
presented side by side, #2 seems
like they are more responsible and
have taken an active interest in
researching before submitting
their proposal.”
32. #CauseSD ™
Corporate comments
“We get hit up for sponsorships like
this multiple times per week.
I’ve been with _______ for 12
years, and I don’t think I’ve ever
seen a funding request that even
attempts to quantify the ROI like
option 2 does.”
33. #CauseSD ™
Corporate comments
“We constantly evaluate proposals.
Since we’re using advertising dollars,
the reach and exposure is important.”
“To be blunt, we’re still advertising—
doing good is secondary!”
34. #CauseSD ™
Corporate comments
“I greatly prefer #2. We want
to see the ROI, and, more
importantly, we want to know
that the non-profit
understands the corporate
world enough to know that
this ROI is valuable.
35. #CauseSD ™
Corporate comments
I would say roughly about
10% of all our proposals
come in like proposal #2,
but they are the first ones
we look at, and quite frankly,
they get priority.
37. #CauseSD ™
Companies are looking for...VALUE
Financial dividends
Social Dividends
Employee Engagement
Partnerships...not short
term sponsorships
38. #CauseSD ™
ROCI (Investment) For companies
Positive branding
Change in consumer attitudes
Employee benefits, perks
Higher sales... new target audience
Leveraged advertising
Volunteer opportunities
39. #CauseSD ™
Benefits for Nonprofits
Support fundraising &new sources
Increase Volunteer base
Increase membership/donor base
Increase awareness & branding
Create media partnerships
Generate advertising, with no ad
budget
40. #CauseSD ™
Nonprofit proposal evaluation
•Receive 1,000’s of proposals
•Strategic from company
perspective
•Evaluation based meeting
company guidelines, not your
needs.
41. #CauseSD ™
12,300 nonprofits in SD
•Have passionate talented people
•Focused on a great mission
Not relevant unless we can…
•Help company meet it’s mission
•Provide tangible benefits from
community and business perspective
44. #CauseSD ™
SDAMA 18th Annual Cause Conference
(Handout One....)
Step One:
Resource audit
Are you ready...or not?
Is your board on board?
45. #CauseSD ™
SDAMA 18th Annual Cause Conference
(Handout Two....)
Step Two:
Reach & Valuation Worksheet
Real numbers
Estimated dollar value
Is your board still on board?
46. #CauseSD ™
SDAMA 18th Annual Cause
Conference
(Handout Three....)
Step Three:
Reach...show them your impact
Estimated CPM (advertising
equivalency)
ROI...show them your value !
47. #CauseSD ™
Valuation criteria
Recognition in Your “Touch Points”
•Newsletters (Hardcopy & e-newsletters)
•Websites & social media
•Offices, building & events
•Media coverage - newspaper, magazine
•Board….volunteers….staff
48. #CauseSD ™
Nonprofit Organization Assets
Requesting financial support
Resource Reach Value
Direct Mail
Website
Events
Total
Ask: $10,000
49. #CauseSD ™
Nonprofit Organization Assets
Requesting financial support
Resource Reach Value
Direct Mail
Website
60,000
300,000
$3,000
$6,000
Events
Total
300,000
660,000
$9,000
$18,000
Ask: $10,000 Leverage
factor 2 to 1
50. #CauseSD ™
Resource Reach Media
Direct Mail
Website
60,000
300,000
$3,000
$6,000
Events
Newspaper
300,000
1,000,000
$9,000
$8,000
Television
Total
1,000,000
2,660,000
$15,000
$41,000
Ask $10,000 Leverage
factor 4 to 1
Nonprofit Org.& Media Assets
51. #CauseSD ™
SDAMA 18th Annual Cause Conference
To add more HOW....
I interviewed local
corporate executives
52. #CauseSD ™
Here is what they said!
What they would give in dollars
$$$ for your ‘touch points.”
Assumption...your organization matches
corporate giving guidelines.
53. #CauseSD ™
San Diego
Nonprofit Valuation Survey
Methodology
Email survey
12 San Diego communication agencies
& companies
Asked to provide estimates
Ave. time 25 minutes to complete
5x longer than time to review proposals
54. #CauseSD ™
Trends...
Newspapers & Magazines
News stories 4 times more
valuable than promotional space
Space value…about 1/3 ad rates
63. #CauseSD ™
Trends...
Recognition - “all event & program
materials and news releases”
Wide range of responses…low-high
No ROI presented…worthless
But still has ‘value’ with some people
64. #CauseSD ™
18th Annual San Diego AMA
Cause Conference
Social Media
Harder to understand-- variables
Guidelines:
Facebook: Share $14....Like $8
Twitter: Tweet $5.....Follow $2
Source: Cone Communications