Let’s Talk Marketing Strategy
If you’re a new nonprofit, you’re trying to figure out how you can raise funds to fund your mission, you’re sure? You’ve heard of grants and a wealth of free federal funds that are accessible for anyone who wants to help society But have you conducted any thorough research into the methods that help sustain an organization over the long run?
Let’s begin with a few bits of common misinformation:
Grants are long-term.
It’s far from reality. Grants are like aid. The idea of putting aside a sum of cash is that it will assist an organization start a new project or to keep a practical project running in times of difficulty. The grant money doesn’t intend to support an organization altogether.
Grants are offered to all.
The majority of grants are made accessible to government agencies and non-profit organizations. If you’re a private or for-profit business, your grant application will be exhausting. In addition, you’ll likely invest more effort in obtaining the grant than you receive in the event that you receive funding. So, applying for assistance is not a very effective marketing strategy for virtually every non-profit.
Grants are offered for all kinds of things.
The grant money is for causes that help advance the social mission. Federal funds for particular and foundation-funded projects are set aside to further the specific goals set out by the foundation. While it is true that foundations can support minority-owned companies, the competition for funds is intense. There are thousands of others similar to you looking for the same amount of money.
Does that suggest that you should quit? Absolutely Not.
However, you must develop your strategy using this information. Utilizing a transaction cost analysis (TCA) framework, we’ll examine some of the most cost-effective types of marketing available to ANY non-profit organization. Then, we’ll talk about how it all connects to your overall funding search. There are six main types of marketing options for companies with social mission statements:
Many of us think of direct mail as those small flyers that are stuffed between newspapers or postcards that offer 50% off the sale at the next department store. Direct mail has proven to be effective in capturing the attention of prospective donors as well as keeping in touch with those who have already donated money to an organization. Direct mail is relatively cost-effective, yet it doesn’t get an overwhelming response.
Direct Response Marketing
Direct response marketing encompasses various methods but is usually connected to practices like magazines, television, and radio ads in which consumers are encouraged to participate in an immediate call to move. Direct response marketing is costly and ineffective at reaching the right people.
Catalog marketing is typically a method employed by companies that sell packaged services. However, it is also used by non-profit organizations that sell merchandise that promotes causes. While catalog marketing has a meager rate of return but it has been observed to rise with the different marketing strategies.
We’re all familiar with telemarketers-primarily the reason telephone marketing gets a bad rep, but it can be a very productive means of personal selling if done correctly and legally. One of the most significant issues in the field of telephone marketing is the need for training to ensure that all calls comply with the regulations and that sales reps themselves are effective in presenting your company.
Just as it sounds, personal selling refers to any face-to-face meeting that has the potential to become an opportunity to invest in your campaign. Face-to-face selling is an excellent percentage of returns. However, it takes the highest amount of resources of any marketing technique due to the fact that it requires planning, research the meetings, coordination, and sometimes numerous meetings between senior executives.
It is not a secret online has revolutionized the way we do business and is one of the most cost-effective ways of marketing. The issue is that many companies have not kept up with the latest trends and haven’t invested in the online marketing process and even the online marketing strategy. To ensure that a social venture will succeed today, it’s nearly impossible not to invest in a website or social media.
In a recent study released in the Direct Marketing: An International Journal, TCA was used to evaluate how effective these strategies are in relation to the degree to which direct marketers control (DM) resources with regard to the costs involved in implementing each method. The most effective ways of marketing included personal selling phone, direct mail, and online. The most expensive ones had immediate response and catalog. The findings of this research are consistent because they favor the use of multiple methods of advertising as an efficient strategy.
What is marketing got to do with fundraising? have to do with fundraising?
Many non-profits are tiny, and a lot of them are able to sustain their work by relying on contributions from donors instead of grants. This implies the fundraising (or fundraising) is among the most critical metrics every business should pay careful at when deciding how they can maintain their activities, pay their employees, and expand their capacity. If we decide to make grants out of the equation and instead look at different revenue-generating options, like:
1. Individual Pledges
2. Corporate Giving
4. Fundraising Events
6. Major Donations