nonprofit marketing101

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Introduction to marketing nonprofit organizations from the Arts & Business Council of Chicago.

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Marketing 101

Sponsored by:

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What is marketing?

• Marketing is the process by which you come to understand the relationship between your product and your customer.

Source: http://www.artsmarketing.org

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What is marketing?

• Starts with the recognition of customer needs

• Connecting what you have to offer with people who want/need/value your offering

• Focus is on building long term relationships

• The link between your organization and the marketplace

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Where do you begin?

With a clear understanding of:

• Who you are and what you have to offer

• Who your customers are and what they need, want, value

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Ingredients for success

1. Clarify Vision/Mission What is it that you want to communicate?

2. Identify Target Market/Audience Who do you want to reach?

3. Specify Marketing Goals What results do you want to end up with?

4. Prioritize Ways to Implement Goals and Set Budget How will you get the word out and what will it cost?

5. Create Action Plan to Achieve your Goals How to accomplish goals? And who? And when?

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Vision

Clarify Your Vision/Mission

"Vision is a love affair with an idea."

Source: The Leader’s Voice, Clarke and Crossland

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Mission

Clarify Your Vision/Mission

A true mission is a clear and compelling goal that focuses people's efforts. It is tangible,

specific, crisp, clear and engaging. It reaches out and

grabs people in the gut.

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Mission

Clarify Your Vision/Mission

• Passion that drives the service

• Why we exist

• Purpose and values

• Includes your key constituencies

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Examples of mission statements

"This nation should dedicate itself to achieving the goal, before this decade is out, of landing a man on the moon and

returning him safely to Earth."

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Examples of mission statements

Zephyr Dance is committed to making dance accessible to diverse audiences,

and to the advancement of women and girls in pursuit of creative

endeavors.

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Examples of mission statements

The mission of Brookfield Zoo is to help people develop a sustainable and harmonious relationship with nature.

www.brookfieldzoo.org

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Can everyone on your board and

staff articulate the organization’s

mission and its activities?

Test of a good mission statement

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The Marketing Planning Process

• Establishing Objectives– Financials, forecast, budgets

• Selecting the Target Market– Customer needs, market size, growth profile

• Marketing Mix– Product, place, price, promotion, positioning

• Implementation & Control• Measure Results

– Market research

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The Marketing Planning Process

A successful plan must be:• Simple, easy to understand and

communicate• Clear, precise and detailed• Practical, realistic in its application and goal

attainment• Flexible, adjusting to changing conditions• Complete, covering all significant marketing

factors• Workable, identifying responsibilities

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Marketing Plan Components

• Objectives• Strategies• Tactics• Budget• Timeline

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Marketing Objectives

• Reasonable – based on the realities of the market and capabilities of the firm

• Obtainable – within reach of the company given its resources and personnel

• Measurable – yielding results that can be measured against projections or some accepted company yardstick

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Marketing Strategies & Tactics

Strategies:• How you plan to accomplish your

objectives• Determine the overall design or

program for achieving goalsTactics:• The “stuff” you will do - posters,

press releases, newspaper ads, etc.

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Marketing Mix

• Product• Place• Price• Promotion• People• Promotion

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Marketing StrategyDefining who you are –

Positioning

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Marketing Strategy:Defining who you are - Positioning

• Understanding where a brand sits in the mind of the consumer.

• It is the relationship which the consumer forms with the product, even though it may be functionally based, will include powerful emotional ties; together these help to transform a product into a brand.

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Marketing Strategy:Defining who you are - Positioning

Jack Trout's "five basic principles of the mind," from The New Positioning:

1.Minds are limited. Even a little information is too much.

2.Minds hate confusion. The only solution to over-communication is over-simplification.

3.Minds are insecure. They're emotional, not rational.

4.Minds don't change. A made-up mind is a closed mind.

5.Minds lose focus. Don't expect one to understand why your department store also sells insurance.

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Marketing Strategy:Defining who you are - Positioning

The key to positioning, Trout says, is:

owning one word in your customer's mind.

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Marketing Strategy:Defining who you are - Positioning

For example: Fedex owns• the "overnight," positionCrest owns• the "cavities" positionVolvo owns• the "safety" position even if you never buy these products.

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Marketing Strategy:Defining who you are - Positioning

• Distinctive positioning– Target audience– Frame of reference/competitive set– Point of difference/what’s unique about

you?

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Marketing Strategy:Defining who you are - Positioning

What is:

The product?

Benefits?

Reasons to believe?

Personality?

One word =

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Marketing Strategy:Defining who you are - Positioning

• Distinctive positioning– Target audience– Frame of reference/competitive set– Point of difference/what’s unique about

you?

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Identify Your Target Market

Who is your audience?

Who do you want to reach?

Are they the same as your “customer”?

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Identify Your Target Market

Who is my audience/are my customers?

How many live in a market?

Where can I find them?

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Target market

• How can you define your audience/target market?– Demographics (age, income, gender,

geography)– Life-stage (young, old, cohort – veteran,

boomer, gen x, gen y)– Wants, needs, desires, attitudes,

interests (dance enthusiasts)– Barriers, concerns, pressures

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Target market

• How could your offering benefit them? Solve a problem?

• What is your image with them?• How do you reach them?• How can you segment?

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Marketing Strategy:Defining who you are - Positioning

• Distinctive positioning– Target audience– Frame of reference/competitive set– Point of difference/what’s unique about

you?

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Competition

• Competition – compare to other groups or activities

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Competition

• Who are your competitors?

• What are their strengths? Weaknesses?

• How do you compare? Contrast?

• Have you considered other kinds of competition?

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Marketing Strategy:Defining who you are - Positioning

• Distinctive positioning– Target audience– Frame of reference/competitive set– Point of difference/what’s unique

about you?

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Marketing Strategy:Defining who you are - Positioning

• Distinctive positioning– Target audience– Frame of reference/competitive set– Point of difference/what’s unique about

you?

PUTTING IT ALL TOGETHER

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Marketing Strategy:Defining who you are - Positioning

• To ________ (target audience) xyz (your company) is the ___________ (frame of reference) that ________ (point of difference/what is compelling/unique about you?)

• To music enthusiasts, Bella Voce is the premier choral chamber group that provides a wide-ranging repertoire including a cappella literature of the mid- and late-twentieth century, works commissioned from American composers, and sacred music of the Renaissance and Baroque eras.

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Branding

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Strong brands

• Brand is the relationship you have with your customers, and

• It’s the relationship your audience has with your organization, and your productions

• Emerges from the experience they have

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Importance of Brand

• Makes you unique and different

• Represents a trusted promise, encapsulates a big idea

• Distinguishes your organization from its competitors in the eyes of the customers.

• Repetition implants the purchase idea in the unconscious mind where purchase decisions are made.

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Strong Brands

• Are unique and visible. They catch the eye and stays in the customer's memory.

• Can be emotional or image-driven (Club Med transports me to a fantasy place) or factual (Kraft Macaroni & Cheese is the cheesiest)

• Source: www.artsmarketing.org

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Strong brands

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Developing Strong Brands

• Consistency in communication

• Positive experience

• Relevant to your audience

• Delight your customer!

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Ingredients for success

1. Clarify Vision/Mission What is it that you want to communicate?

2. Identify Target Market/Audience Who do you want to reach?

3. Specify Marketing Goals What results do you want to end up with? What is your

brand ID?

4. Prioritize Ways to Implement Goals and Set Budget How will you get the word out and what will it cost?

5. Create Action Plan to Achieve your Goals How to accomplish goals? And who? And when?

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Contacts

Arts & Business Council of Chicagoinfo@artsbiz-chicago.org

Websiteswww.artsmarketing.orgwww.artsbiz-chicago.org

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