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Chapter Eight-
Marketing
Kelsi Osterman
PA 3500-001: Nonprofit Orgs. & Mgt.
Pages 168-180
“Marketing is an organizational function and a set of
processes for creating, communicating, and delivering value
to customers and for managing customer relationships in
ways that benefit the organization and its stakeholder,”
(Tschirhart & Bielefeld, American Marketing Association, pg.
170).
American Heart Association
Go Red for Women:
Designed to empower women to take charge of their
health
Media relations, events, promotions, corporate
relations strategies, billboards, radio PSAs, and
celebrity spokespeople
Introduces us to an example of a successful
marketing campaign
-Made use of extensive promotion and publicity to spread the message
General Philosophies of
Marketing & Nonprofits
Three Marketing Orientations:
Product or Service Orientation
-Focus on the more efficient manufacture and distribution of the goods/
services demanded
Sales Orientation
-Focus on persuading customers to buy a certain product or service over
competitors
Marketing or Customer Orientation
-Shift focus to needs and desires of customers
Distinctive Aspects of Marketing
in Nonprofits
Marketing Mix:
Composed of the four P’s
-Product
-Promotion
-Price
-Place
Multiple Objectives:
-Deciding on goals involves compromise and consensus building
Ex) Keipos and prioritization
Multiple constituencies
-Those who subsidize the organization (donors)
-Those who use/benefit from the organization’s services
Distinctive Aspects of Marketing in
Nonprofits
Tension between mission and customer satisfaction
Ex) Meals on Wheels
Most nonprofits provide services over tangible
products
-Some nonprofits seek change in social behavior
Ex) Go Red for Women
Nonprofits under public scrutiny
-Public subsidies and donations
-Nonprofits must be careful of potentially negative public opinion
Developing a Marketing Orientation
Marketing Cycle (Peter Brinkerhoff)
Define the market
Answer the question: what does that market want?
Shape or reshape the products/ services
Set prices for, promote, and distribute the offerings
Evaluate the results of the marketing program
Start over
Developing a Marketing Orientation
The Strategic Marketing Plan
1. Evaluate the nonprofit’s environment and current
marketing program
2. Set future marketing goals
3. Develop strategies and tactics for reaching these goals
501st Legion Activity
Strategic Marketing Plan- 501st
Legion
501(c)(7)
Marketing background: well
developed webpage, Facebook,
and Intstagram with frequent and
consistent posts
Also know as “Vader’s Fist”, this
nonprofit helps to improve the lives
of those less fortunate
Mission: To promote interest in Star
Wars, to facilate the use of
costumes, and to contribute
How could this
organization
increase popularity
through strategic
marketing?
Figure 8.1- The Marketing Planning
Process
Developing a Marketing Orientation Developing a Marketing OrientationDeveloping a Marketing Orientation
Developing a Marketing Orientation
Marketing Information & Research
Marketing information to provide information to key decision makers
-
An internal reports subsystem collects date information without the
nonprofit
-
A marketing intelligence subsystem collects information from public
sources
-
A marketing research subsystem collects and analyzes data about a
specific marketing issue faced by the nonprofit
-
An analytical marketing system organizes general data, performs need
analysis and provides reports
Developing a Marketing Orientation
Problem Identification & Research Objectives
Research Plan Formulation
Data Collection & Analysis
Interpretation & Reporting of Findings
The Marketing Audit
Where are we now?
External analysis:
-PEST (political, economic, environmental, sociocultural,
technological) analysis
-Analyze competitors, collaborators, and stakeholders
The Marketing Audit
Internal Analysis:
-Trends: what are significant trends in the nonprofit’s
programs, services, participation, and support?
-Share of market: How much of the market does the
nonprofit have in relation to competing organizations?
-Stability: Has the nonprofit demonstrated “staying power”?
-Efficiency: Has the nonprofit been cost effective in its use
of facilities, personnel and other resources?
-Flexibility: Has the nonprofit been able to adapt to market
and environmental changes?
Figure 8.2- Product Life Cycle
Products and goods pass through predictable usage stages
The Marketing Audit
Portfolio Analysis
-Considers the main products, services, or programs
of a nonprofit
-Evaluates them against criteria judged to be
important to the organization
-Three dimensions:
Program attractiveness
Competitive position
Alternative coverage
Works Cited
The 501st Legion. (n.d.). Retrieved from
http://www.501st.com/
Tschirhart, M., & Bielefeld, W. (2012). Managing
nonprofit organizations. Hoboken, NJ: Jossey-Bass.

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Chp 8 student led facilitation ppt

  • 1. Chapter Eight- Marketing Kelsi Osterman PA 3500-001: Nonprofit Orgs. & Mgt. Pages 168-180 “Marketing is an organizational function and a set of processes for creating, communicating, and delivering value to customers and for managing customer relationships in ways that benefit the organization and its stakeholder,” (Tschirhart & Bielefeld, American Marketing Association, pg. 170).
  • 2. American Heart Association Go Red for Women: Designed to empower women to take charge of their health Media relations, events, promotions, corporate relations strategies, billboards, radio PSAs, and celebrity spokespeople Introduces us to an example of a successful marketing campaign -Made use of extensive promotion and publicity to spread the message
  • 3. General Philosophies of Marketing & Nonprofits Three Marketing Orientations: Product or Service Orientation -Focus on the more efficient manufacture and distribution of the goods/ services demanded Sales Orientation -Focus on persuading customers to buy a certain product or service over competitors Marketing or Customer Orientation -Shift focus to needs and desires of customers
  • 4. Distinctive Aspects of Marketing in Nonprofits Marketing Mix: Composed of the four P’s -Product -Promotion -Price -Place Multiple Objectives: -Deciding on goals involves compromise and consensus building Ex) Keipos and prioritization Multiple constituencies -Those who subsidize the organization (donors) -Those who use/benefit from the organization’s services
  • 5. Distinctive Aspects of Marketing in Nonprofits Tension between mission and customer satisfaction Ex) Meals on Wheels Most nonprofits provide services over tangible products -Some nonprofits seek change in social behavior Ex) Go Red for Women Nonprofits under public scrutiny -Public subsidies and donations -Nonprofits must be careful of potentially negative public opinion
  • 6. Developing a Marketing Orientation Marketing Cycle (Peter Brinkerhoff) Define the market Answer the question: what does that market want? Shape or reshape the products/ services Set prices for, promote, and distribute the offerings Evaluate the results of the marketing program Start over
  • 7. Developing a Marketing Orientation The Strategic Marketing Plan 1. Evaluate the nonprofit’s environment and current marketing program 2. Set future marketing goals 3. Develop strategies and tactics for reaching these goals 501st Legion Activity
  • 8. Strategic Marketing Plan- 501st Legion 501(c)(7) Marketing background: well developed webpage, Facebook, and Intstagram with frequent and consistent posts Also know as “Vader’s Fist”, this nonprofit helps to improve the lives of those less fortunate Mission: To promote interest in Star Wars, to facilate the use of costumes, and to contribute How could this organization increase popularity through strategic marketing?
  • 9. Figure 8.1- The Marketing Planning Process
  • 10. Developing a Marketing Orientation Developing a Marketing OrientationDeveloping a Marketing Orientation Developing a Marketing Orientation Marketing Information & Research Marketing information to provide information to key decision makers - An internal reports subsystem collects date information without the nonprofit - A marketing intelligence subsystem collects information from public sources - A marketing research subsystem collects and analyzes data about a specific marketing issue faced by the nonprofit - An analytical marketing system organizes general data, performs need analysis and provides reports
  • 11. Developing a Marketing Orientation Problem Identification & Research Objectives Research Plan Formulation Data Collection & Analysis Interpretation & Reporting of Findings
  • 12. The Marketing Audit Where are we now? External analysis: -PEST (political, economic, environmental, sociocultural, technological) analysis -Analyze competitors, collaborators, and stakeholders
  • 13. The Marketing Audit Internal Analysis: -Trends: what are significant trends in the nonprofit’s programs, services, participation, and support? -Share of market: How much of the market does the nonprofit have in relation to competing organizations? -Stability: Has the nonprofit demonstrated “staying power”? -Efficiency: Has the nonprofit been cost effective in its use of facilities, personnel and other resources? -Flexibility: Has the nonprofit been able to adapt to market and environmental changes?
  • 14. Figure 8.2- Product Life Cycle Products and goods pass through predictable usage stages
  • 15. The Marketing Audit Portfolio Analysis -Considers the main products, services, or programs of a nonprofit -Evaluates them against criteria judged to be important to the organization -Three dimensions: Program attractiveness Competitive position Alternative coverage
  • 16. Works Cited The 501st Legion. (n.d.). Retrieved from http://www.501st.com/ Tschirhart, M., & Bielefeld, W. (2012). Managing nonprofit organizations. Hoboken, NJ: Jossey-Bass.