"nonprofit management" - chapter 10

© 2014 SAGE Publications, Inc.

Chapter 10: Marketing and Chapter 10: Marketing and CommunicationsCommunications


Defining and Understanding MarketingDefining and Understanding Marketing

• Approaches to marketing• Commercial marketing -- seeks additional

customers for programs and services• Social marketing -- seeks to change human

behavior and improve society• Marketing mind-sets• Product mind-set -- effective marketing depends

on the quality of the product• Sales mind-set -- effective marketing depends on

convincing consumers• Target-audience mindset -- effective marketing

depends on focusing on the needs and wants of consumers


Need for MarketingNeed for Marketing

• Nonprofit organizations operate in a competitive environment• Competition for funding from corporations,

foundations, and individuals• Competition in advocating a particular cause or social

goal• Competition for attention amidst everyday “noise”• Competition against other nonprofits, for-profit

companies, and public organizations engaged in similar activities

• Generic competition against alternative uses of individuals’ time and money

• Caveat -- marketing must serve the mission and not become the primary driver of the nonprofit organization


Communication and MarketingCommunication and Marketing

• Communication and marketing are not synonymous• Communication -- the transmission or exchange

of information• Marketing -- communications with the purpose

of influencing the behavior of someone else• Communication as broader and more complex• Understanding the principles by which

information is transmitted and received• Understanding the various technologies that can

be employed• Marketing may encompass communications with a

very specific purpose• Draws on theories of communication


The Marketing MixThe Marketing Mix

• Product -- the good or service being offered (including intangibles)• Place -- the location at which the product or service is available• Promotion -- the visible efforts undertaken to gain visibility and

notice for the organization’s products• Market segmentation and target markets

• Demographic variables, geography, and behavioral measures• Psychographics• Marketing to the individual

• Price -- the cost of the good or service (or the benefits exchanged)• Cost-oriented pricing• Competition-oriented pricing• Value-based pricing• Price discrimination


Branding TerminologyBranding Terminology

• Brand -- “a name, term, sign, symbol, design, or a combination of these that is intended to identify the goods and services of one seller or group of sellers and differentiate them from those of competitors” (Burnett, 2007, p. 179)

• Brand attributes -- the collection of perceived qualities of the organization or its products

• Brand promise -- the expectations that you have about what you will receive when you buy a specific product or service

• Brand equity -- the monetary value that a brand image brings to an organization


Effective MarketingEffective Marketing

• Integrated Marketing Communication (IMC) -- the messages and values that an organization communicates permeate every aspect of the organization’s work

• Marketing and branding as rooted in reality• Organization’s brand unlikely to settle too far from the

reality of what the organization actually does or what it really is

• Official publications and communication via news media unlikely to outweigh firsthand knowledge and communication via word-of-mouth

• Effective messages are those that CRAM (Andresen, 2006)• Connection - establish a connection• Reward - promise a reward• Action - inspire action• Memory - stick in memory


Online MediaOnline Media

• Websites – static or interactive• Social network presence• Facebook• LinkedIn

• Social media presence• Twitter• YouTube• Flicker

"nonprofit management" - chapter 10

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