Is philanthropy ready for the new consumer?

This is the topic of a recommended new white paper from the marketing agency BBMG. I very much agree with the findings, which assert that consumers are expecting three things of brands:

1. Practical benefits: An understanding of how the brand improves their life in personal and practical ways.

2. Social benefits: Proof of how the brand makes a difference in the world or at least is not contrary to their value set.

3. Tribal benefits: A way to connect to a community of shared values. Author Mirm Kriegel coins the term “Passionate 10 Percent” to describe brand evangelists.

I think consumers are expecting these same three things from nonprofits. Namely, I think:

1. Personal revelance: People usually only support a cause if they feel a personal affinity for it. So you have to build a connection based on their values, not just your own.

2. Social benefits: People want proof that your organization is doing what it says it will - making a difference about something that matters. So you have to show tangibly the effect of your work.

3. Tribal benefits: Friends to friends fundraising is taking off thanks to social networks. People want to talk about you - let them have the freedom to do so. Don’t try to control it. Encourage it. It’s not about creating your own community around your cause. It’s about participating in the communities of your evangelists.

The full paper is here, and below is a presentation I did earlier today that highlights these and other trends among nonprofits. Nonprofit marketing friends, take note: these are trends that aren’t going away in my view. We all have to do a better job forging connections, showing impact and participating in community to survive.

Successful Fundraising in Tough Economic Times

View more presentations from katyaa.

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Comments

Excellent post! Thanks for all the information. I work for a small charity, and we’re trying our hardest to integrate these principles into our fundraising program and social media outreach. It’s hard work, and progress has been incremental thus far.

Posted by Andy Stitt on 10/02 at 06:55 PM

IMHO, The bottom line (no pun intended) is this… If you are asking someone for money then you are selling something. Period. Too often the cry (pun intended) of the 501(c)(3) is, we’re different. Well, yes and no.

Yes, you might not be handing over a product or a service in exchange for the donation. But none the less a person has to buy into your cause before they surrender their money. Simply standing there with a tin cup and a whoa is me frown isn’t going to do it. In fact, in not having something tangible to exchange the sell has to be even better. (Note: I said better, not hander.)

No, you’re not any different because a given person has only so much money. If you are to be awarded some of that money then you have to compete (read: sell) with every other message being shot at that “consumer”. Again, playing the pity card probably isn’t going to rise above the clutter - everyone has a cause now a days. You have to do what everyone else is trying to do - convince them that you’re worth the money relative to all their other options. “But we’re a non-profit… Please?” probably isn’t going to cut it.

Looking in the mirror and repeating, “We’re different” is not the way the market see you. So suit up and get in the game that is, not the one you wish would be.

Posted by Mark @ AlchemyUnited.com on 10/08 at 06:50 PM