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AMA Nonprofit Strategy Session

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AMA Nonprofit Strategy Session

  1. 1. AMA NONPROFIT MARKETING CONFERENCE July 19-21, 2004
  2. 2. WHY Innovate? <ul><li>Key Trends </li></ul><ul><ul><li>Reduced corporate & government support </li></ul></ul><ul><ul><li>Aging donor base & need to attract younger donors </li></ul></ul><ul><ul><li>Growth in online transactions (shopping, giving, advocacy, etc.) </li></ul></ul><ul><ul><li>Technologically-savvy baby boomers </li></ul></ul><ul><ul><li>Increased marketplace “noise” (email, websites, etc.) </li></ul></ul><ul><ul><li>Growth in consumer empowerment (ability to punish/reward companies based on their social responsibility) </li></ul></ul><ul><li>Value of innovation in brand development </li></ul><ul><li>Urgency & risk of late adoption </li></ul><ul><li>Bottom line: Innovate or become extinct </li></ul>
  3. 3. Those Who Missed the Point <ul><li>“ Nonprofits will never generate enough money with these </li></ul><ul><li>‘ shop & give’ concepts – we saw that in the tech bust of the </li></ul><ul><li>late ’90’s” </li></ul><ul><li>VP Marketing & Development, Anonymous Nonprofit, 2003 </li></ul><ul><li>“This telephone has too many shortcomings to be seriously </li></ul><ul><li>considered as a means of communication. The device is </li></ul><ul><li>inherently of no value to us.” </li></ul><ul><ul><ul><ul><li>Western Union Internal Memo, 1876 </li></ul></ul></ul></ul>“I think there is a world market for maybe five computers.” Thomas Watson, Chairman, IBM, 1943 “There is no reason why anyone would want a computer in their home.” Ken Olsen, Founder Digital Equipment Corp., 1977
  4. 4. ASSESS Your Situation <ul><li>Where’s Your Pain? </li></ul><ul><ul><li>Shifting donor dynamics </li></ul></ul><ul><ul><li>Budget & resource cuts </li></ul></ul><ul><ul><li>Outdated technology systems </li></ul></ul><ul><li>Know your culture </li></ul><ul><ul><li>What are your organization’s strengths & weaknesses? </li></ul></ul><ul><ul><li>Is your organization more like a chameleon or a dinosaur? </li></ul></ul>
  5. 5. <ul><li>The Chameleon Mentality: </li></ul><ul><li>Adapts to change, early to mid-stage adopters, encourages/rewards innovation, open to (calculated) risk-taking </li></ul>
  6. 6. <ul><li>The Dinosaur Mentality: </li></ul><ul><li>Slow to adapt, joins reluctantly at end of product/concept lifecycle, key staff build internal silos, eventually becomes extinct or irrelevant in marketplace </li></ul>
  7. 7. Where does your organization fall on the innovation scale?
  8. 8. EVALUATE Your Options <ul><li>What are your options? </li></ul><ul><li>What marketing mix makes sense for your organization? </li></ul>
  9. 9. The Landscape Loyalty Marketing: Large and Growing Market <ul><li>$236 billion media spending </li></ul><ul><ul><li>Ad agencies, consultants and other services $141 billion+ </li></ul></ul><ul><ul><li>Loyalty and incentive industry estimated to be $85 billion </li></ul></ul><ul><li>Cause Marketing is expected to eclipse $1 billion in 2004 </li></ul>
  10. 10. <ul><li>The time is right : </li></ul><ul><ul><li>Convergence of 3 key trends: changing consumer, technological advances and corporate philanthropy </li></ul></ul><ul><ul><li>NPOs should consider “Cause-Related Loyalty Coalition” as an option in integrated mktg. plan </li></ul></ul><ul><li>Urgency – act now </li></ul><ul><ul><li>Someone is going to own this space – we’re positioned to be leader </li></ul></ul><ul><ul><li>100+ retailers and merchants with brick & mortar on horizon </li></ul></ul><ul><ul><li>LOIs with nationally recognized nonprofits and unsolicited enrollments </li></ul></ul>Cause-Related Loyalty Coalition An Innovative Evolution of Proven Methods The New Landscape
  11. 11. Benevolink: How it Works For consumers… For nonprofits…
  12. 12. <ul><ul><li>Boosts bottom line </li></ul></ul><ul><ul><li>Raises brand awareness </li></ul></ul><ul><ul><li>Creates infrastructure for partnering </li></ul></ul><ul><ul><li>Taps into corporate funding </li></ul></ul><ul><ul><li>Efficient, national and localized </li></ul></ul><ul><ul><li>Leverages new support from current contributors </li></ul></ul><ul><ul><li>Generates interest from new donors </li></ul></ul><ul><ul><li>Engages supporters 4 times per year </li></ul></ul><ul><ul><li>Limited and targeted engagement of staff & volunteers </li></ul></ul>Benefits of Partnering with Benevolink Best of all, it’s absolutely free to your organization and supporters!
  13. 13. Benevolink Example Enrolled, plan summer mailing with back-to-school theme to its parent base, live demos and parent/consumer enrollment campaign at it’s Fall Festival and engagement of volunteer “champions” – all to drive shopping and giving during Q4 holiday season The Atlanta International School, comprised of 500+ HH’s, seeking alternative fundraising tool that will increase unrestricted giving and engage first-time donors WHAT: HOW: & Atlanta International School
  14. 14. ACT Now! <ul><li>Innovate or become extinct! </li></ul><ul><ul><li>Must become marketers </li></ul></ul><ul><li>Think in terms of web years vs. calendar years </li></ul><ul><li>To paraphrase Nike, “Just Do Something” </li></ul>
  15. 15. REPEAT the Process <ul><li>Principle of ‘Kaizen’ </li></ul><ul><ul><li>Continuous improvement, innovation </li></ul></ul><ul><ul><li>Innovation is an ongoing process </li></ul></ul><ul><li>Size doesn’t matter (really!) </li></ul><ul><ul><li>Attitude vs. size drives action </li></ul></ul><ul><ul><li>Do what works best for your organization & resources available </li></ul></ul><ul><ul><li>Technology coupled with guerrilla tactics create impact </li></ul></ul>
  16. 16. Questions

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