Marketing Is Not Just For Profit

Last week someone told me nonprofits don't ever sell, they "educate." Years ago, someone told me sales is something everyone does whether they want to or not.

So who is right? In our opinion, there's truth to each perspective.

Every day, you are selling yourself starting with the first person you meet. From the things you say to what you wear, people will make judgments about your character. The impression you make will affect the extent to which others will respect your opinions and follow your lead.

The same is true for organizations, be they for profit or nonprofit. Whether you advertise well or not at all, people form opinions about your organization from the things you say and do (or fail to do).

That said, it's true that nonprofits should not be pushing their services on clients. It's understandable that the idea of "selling" seems out of place for many nonprofits. And while we think it's important for nonprofits to market themselves, we don't think nonprofits should be focused on marketing their services but rather seeking to match their services with clients who will benefit from them.

In fact, I personally believe even a for profit business should not push products that people do not want or need. And most businesses have moved away from the "hard sell" of the middle-1900s. Just as nonprofits strive to be client-centered, corporate marketing has transitioned from a sales-oriented model to a customer-centered model. Of course, there will always be examples of nonprofits and businesses not adhering to these ideals.

This is not just a semantic discussion. Marketing is fundamentally an exchange in which one entity provides a product or service needed by a second entity. This applies as well to a nonprofit providing a service as it does to a business "selling" a product.

The question then is not so much are you selling, but how well are you selling? Or to avoid the "sell" word we could say, how well are you educating your client about your ability to meet their needs? In the end, every organization is marketing but not all properly focus on the client.

Marketing Starts at Home

When we first consult with a new client, they often come to the table expecting us to share our great ideas for advertising and promoting their organization. Instead, we spend a significant amount of time educating ourselves about their organization and their product or service lines. We simply can't produce a meaningful marketing campaign without a thorough discussion of their organization or business.

Often, clients are surprised to find they don't have much to share, either because they have not established a clear focus for their organization, or because they have simply not thought about the nature of that focus.

What do we mean by "focus"? Every company or organization provides a finite spectrum of products or services. Unfortunately, many entities do not effectively limit the range of offerings they provide. In so doing, every aspect of their operations suffer.

To establish a focus, you first must decide who is your target audience. For nonprofits, there are usually two external audiences: clients and contributors. These targets are further segmented into various groups. So your client segments may be children, adults, women, cancer patients, etc. Contributor segments may be government agencies, private foundations, or individuals.

Once you establish your target audiences and segment those audiences you can effectively choose a product mix. A product mix is simply the products or services you offer to meet the needs of your intended target audience(s). The important point is to be selective. The broader your product mix, the more diluted your marketing efforts become.

On the other hand, a selective target market and product mix produces a strong focus and fosters:

• A clear, marketable brand.


• Identification with and enthusiasm for your mission by staff.


• Operational efficiency and quality.

So the next time you consider your organization's marketing strategy, ask yourself a few questions: What is our mission? Who are our audiences? What products or services do we provide those audiences?

And when you do advertise or promote your services, select messages that specifically target each audience individually.

Establishing a clear marketing focus is one of those concepts that seems so plainly obvious, but is too often painfully overlooked. As the saying goes, "common sense is not so common."

Ready, Fire, Aim!

Imagine telephone hold music so offensively irritating you want to hang up after just a few seconds. One call to Office Depot, and you won't have to imagine anymore. Their obnoxious jingle loops every 15 seconds or so, wearing you down faster than a well-executed waterboarding session.

I could go on about Office Depot (I honestly wonder if they aren't intentionally trying to drive customers off the phone), but companies everywhere employ advertising without sound strategy. Many businesses fail to establish a comprehensive corporate identity, but those that have shouldn't just plaster it everywhere without thought.

Some might question whether hold music really counts as advertising. To that I would ask: When is an organization not advertising by what they say and do? If your sales staff is rude or unhelpful, does it matter that you advertise customer service in your television ads? If your company fails to deliver a reliable product, does it matter that you pitch quality in radio campaigns?

Thought of in this way, advertising encompasses every aspect of your operation. When you do advertise through traditional channels, customers will weigh your message against their experience with your company. Every interaction you have with them is a chance to maintain a relationship, or lose a customer forever.

A well-known brand is not enough to guarantee success. The careful application of your corporate identity, and the expression of your mission in what you do, is just as critical to gaining your customers' trust and confidence.

And sometimes it's little things—like pleasant hold music—that makes all the difference.

Groupthink Causes Brand Myopia

Want consumers to forget your competitors' brands? Advertise to them when they're assembled with their friends--during the Super Bowl, for example.

New research shows people are less likely to remember other brands when presented by an ad for a single brand in the presence of their friends. So, for example, individuals are more likely to remember other Pizza brands after they see an ad for Pizza Hut if they see the ad alone, versus with other people in the room.

Surprising as it may seem, this suggests groups are less able to be creative than are individuals. The peer environment seems to stymie individual thought even to the point of blocking memories that would otherwise be recalled.

If you're seeking to maximize brand recognition (at least in the short term), you may find greater success in advertising through outlets and at times that reach your audience gathered in groups.

Source: "Retrieval Disruption in Collaborative Groups due to Brand Cues"
JOURNAL OF CONSUMER RESEARCH