Course Number: Course Title:
EDLD 508 Marketing for Nonprofit Organizations
Faculty:
Parker Pike Office (858) 882-8023 E-mail: ppike@san.rr.com Please call or e-mail to set up a convenient time
Office Hours: Required Text: Required Reading:
Strategic Marketing for Nonprofit Organizations, Kotler & Andreason, 7th edition. The Cathedral Within, Bill Shore, Random House. (Use Amazon.com or similar site. Buy used, less than $4.00.) All students should regularly read the business section of the Union-Tribune, San Diego Business Journal and San Diego Daily Transcript to spot opportunities, and watch current trends.
Course Overview: Changing consumer attitudes, 9-11, an upside down economy, CSR initiatives and new technology have accelerated the need for change in thinking among nonprofits. Traditional revenue sources are shrinking, corporations are under more pressure to see a positive ROI, even from their social investments. Target audiences are changing and there is new competition in every community for limited nonprofit funding. The role of marketing, especially among senior nonprofit executives, is growing more important in determining strategic direction. This course will provide the “roll up your sleeve� fundamentals into what marketing is and what it can do. It will be a practical journey into the inner workings of nonprofit marketing concepts with emphasis on real people, companies, media and opportunities in San Diego to better prepare your organization and you for marketing and communication challenges that are ahead. Learning Objectives: 1. To provide a working knowledge of key marketing concepts and how they relate to all aspects of business. (Helping students realize they must think, at times, like a business rather than as nonprofit.)
2. To help students develop confidence in marketing decision making through peer support, review of case studies and making hundreds of “marketing decisions” in class. 3. To increase the understanding of students in the key functions of marketing and what it can do, and cannot do for nonprofits. 4. To help students understand the costs of marketing, including the prices for local media (print/broadcast, collateral etc.) and consulting agencies, along with strategies to minimize marketing expenses. 5. To present a dynamic way to help students build their marketing plan as they direct strategies and costs toward specific target audiences. 6. To provide support for student’s current marketing challenges in the area of communications, advertising, PR, branding, packaging and promotion to help with specific strategies they can employee to help their own organization. 7. To help students realize if they have the necessary background and skill to make decisions in the marketing arena for their organization, and/or provide support in getting information that will help them. 8. To help the student’s organization marketing plan be accepted and funding proposals “get to YES.” Teaching Method: Informal and interactive learning format that includes short presentations, local and national case studies, discussion & industry speakers. Since everyone’s “learning style” is different, you will be given a variety of ways to learn and to demonstrate your knowledge of marketing. “Live Fire” Help:
During the course of the semester, once students have the fundamental marketing building blocks in mind, several San Diego nonprofit executives will make a presentation in class reviewing their actual targets, objectives, past and planned marketing strategies. We will provide “on the spot” help for these local agencies by providing suggestions, while understanding their limitations and past successes/failures.
Marketing Project: Each student will develop a marketing plan and corporate partnership proposal. (This is not a grant request for a philanthropic donation.) Students will conduct an in-depth analysis of an actual nonprofit organization and create a realistic marketing plan for the organization including key target markets, specific objectives for each target, a minimum of 10 strategies and appropriate tactics/timing/costs to support the stated objective. A corporate or media partnership proposal will be included, along with a valuation of your resources. Think ROI….companies do. The marketing plans will be presented orally to the class and in a written report. Oral presentations should include a Power Point presentation or other appropriate presentation materials. For your oral presentation, you can assign our class “audience” to take on a specific evaluation role, such as your bank, your Executive
Director, your Board of Directors, your Development or Marketing Advisory Committee, etc. (Each student will also be graded individually on his or her evaluation of each team presentation.) You may (and I hope you do) select your own organization for the focus of your marketing plan and corporate partnership proposal. This plan can augment the existing marketing plan of your organization or be a completely new plan. Grading:
:
The final grade for the course will be based on the following: Midterm 20% Class participation 10% Weekly assignments 20% Final exam 25% Marketing plan/corporate proposal 25%
CLASS SCHEDULE
Class 1…Feb. 3, 2009 • • • • •
Introduction to nonprofit marketing.
Recent changes in nonprofit marketing. Marketing “history” and needs of your organization The uniqueness of Nonprofit marketing Characteristics and meaning of he customer centered mind set Marketing strategies… getting into the rhythm
Assignments • Read chapters 1, 2, 3 & 4 (Kotler) for the next class • The name (branding) game. (On going assignment) • Assignment 1. Bring in one marketing problem/challenge or question from your organization and provide two possible suggestions. • Assignment 2. Develop a marketing strategy for “California Smog.” Think beyond the physical product. Is there a nonprofit tie-in? Can you “Think Green?”
Class 2, February 10 • • • • •
Marketing Planning & Audience Behaviors
Examining the organization’s environment Overview of the marketing plan Target Audience Behaviors Development of your core marketing strategy. (Which “P“ will you emphasize?) Marketing mix variables for nonprofits. Which “P” is most important?
Assignments • Read chapters 5, 6 & 7 (Kotler); • Assignment 3. Develop a marketing strategy for “SeaBorn.” Can the product help our earth? Who would you consider to be a good marketing partner?
• Assignment 4. List the target audiences for your organization (stop at 10, we will expand later.) • Assignment 5. What mindset runs your organization? (Product? Sales? Customer?) Then 3 bullet points….why? Which is appropriate for you? • Assignment 6. “Marketing Plan Builder”…write your positioning statement for your organization or the organization you have selected for your marketing plan project for this course. (This is just one sentence.)
Class 3, February 17 • • • • • •
Marketing Research, Segmentation and Branding
Introduction of the “Marketing Plan Roadmap” Qualitative Research….and gathering information on a budget (legally) The brand platform Ways of pre-testing new offerings Competitive research, yes - you have competition. Targeting, yes targeting volunteers and board members
Assignments • Read chapters 8, 9 & 10 (Kotler) • Assignment 7. Social enterprise planning. Develop a marketing strategy for The International Sand Festival on Mission Bay. (Think about revenue streams and nonprofit options.) • Assignment 8. List 3 target audiences and 2 “behavior” changes you would like to see for your organization. • Assignment 9. “Marketing Plan Builder”…Outline your “situation analysis” including competitive chart.
Class 4, February 24 • • •
Managing Your Value, New Offerings and Costs
Product and Service Marketing Idea generation and new “Product” launches Price setting
Assignments • Review chapters 1 -10 for Mid-term • Assignment 10. Develop a brand platform for your organization. Use Ppt. presentation as model and base that I will email to you. Questions are in the presentation. • Assignment 11. “Marketing Plan Builder”…develop your “problems/opportunities section or SWOT analysis
Class 5, March 3, • • • •
“Fast Pitch” presentations for AMA Cause Conference & Mid-term.
Finalists in AMA Cause Conference Fast Pitch Competition – practice round for coaching from our team. They will compete for $10,000 graphics package. Mid-term on chapters 1 – 10. The cause marketing audit and nonprofit valuations study from the San Diego American Marketing Association. (Introduction) Strategies behind writing proposals to corporations and media companies.
Assignments • Read chapters 11, 12 & 13 for class 6 • Assignment 12. Develop the nonprofit resource audit for your organization, complete with reach estimates. Audit details to be emailed to you. • Assignment 13. Case study on your organization: one successful fundraising strategy and one failure. Provide explanation (causes) behind the success and failure. Was marketing behind the success, or failure? • Assignment 14. “Marketing Plan Builder”…look back on assignment 4. Expand your list, add more definition. Try to go to 20 target markets for your marketing plan. Just need a short, 10 word description of the target market. • Assignment 15. List 3 ways your organization has changed its communication vehicles and strategies over the last 5 years. Areas to consider…budget changes, media changes, use of Internet, internal resources etc.
Class 5 ½
March 11
11th Annual AMA Cause Conference at USD
All marketing students will be given scholarships to attend at no charge. USD is a partner in the event. Time 8 AM to 4:30 PM. Breakfast, lunch and refreshments are included. (20 speakers, like an MBA in-a-day in cause and partnership marketing.)
Class 6 March 24 • • • • • • • • • • • •
Communications Strategies and Advertising
How to develop an advertising budget….with no line item for advertising Introducing marketing into various nonprofit “corporate” cultures Cost effective marketing mix… for your organization. Planning you marketing expense budget in San Diego with real numbers Developing your competitive matrix for products and services A look at your organizations “moments of truth.” Discuss marketing resource/asset audits. Assessment of 2006 nonprofit valuations for San Diego. Steps in the communication process Role of the web…how it changes everything Understanding major media functions and pricing Components to an advertising strategy Understanding how advertising agencies work
• • • • •
Setting advertising budgets – advertising costs in San Diego Evaluating your communication options, Inexpensive ways to test your advertising message The “Holy Grail” of nonprofit collaboration -- A media partnership
Assignments • Read chapters 14, 15 & 16 for class 7 • Read The Cathedral Within by Bill Shore. Prepare for discussion. • Assignment 16. Develop your marketing expense budget for your plan. • Assignment 17. Read – Catalyst AMA Nonprofit Valuation Survey (To be emailed to you by instructor) Place a value on at least 5 of your nonprofits resources based in the AMA model. Focus on reach AND value of your resources. • Assignment 19. “Marketing Plan Builder”…Outline your corporate partnership proposal using current valuation information. (How have you “listened,” what social problems will you solve, what is your reach, value and “ask?”)
Class 7 • • • • • •
March 31
Public Relations, Income options and attracting human resources
Discuss corporate proposals and how to make them targeted and realistic PR…not just another pretty face….not just another “P” Understanding the value of media relations Understanding how PR agencies get paid Why news releases don’t get published….and the role of partnerships How marketing differs from PR.
Assignments • • • •
Read chapters 17, 18 & 19 for class 8 Assignment 18. List 3 new “products” your organization could develop within the next year. List two ways the new offering could be pre-tested. Assignment 20. Prepare for discussion - two public relations strategies your organization uses and past results. Assignment 21 “Marketing Plan Builder”…Complete the marketing resource/asset audit for the organization that is the focus of your project. (This will become a main part of your corporate proposal.)
Class 8, • • •
April 7
Private Sector Strategies, Implementation and Control
Optional strategies for approaching companies….partnerships Advertising partnerships Monitoring and Control of campaigns Assignments: Prepare for oral presentation and corporate proposal
Class 9, April 14
Marketing Plan Oral Presentations Marketing Evaluation & Control Marketing Plan Workshop (Open questions) (Open session and review - discussion of past topics and marketing plan questions)
Assignment • Prepare for final exam • Complete marketing plan and corporate proposal.
Class 10, April 21
Review or Proposals Final Exam Final marketing plans due at 6 PM.
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MARKETING PLAN PROJECT Guidelines for the Written Report I.
Title Page
II.
Table of contents
III.
Executive Summary of your marketing plan Listing your prime target market(s), objectives & key strategies. Tell which “P” will you emphasize to differentiate your product/services or be the “rocket fuel” behind your ideas and your success. What is your final budget for your plan? (No more than one page.)
IV.
Background on your organization. Include mission and organizational objectives. (No more than 2 pages. Other information and collateral put in appendix.) NOTE: YOUR “MARKETING PLAN BUILDER” ASSIGNMENTS WILL HELP YOU COMPLETE MOST OF THESE FIRST MARKETING PLAN STEPS.
V.
Positioning Statement – what you want to be known for. Include positioning statement (one sentence) and chart showing a minimum of 2 variables of your organization compared to others in your same space.
VI.
Situation analysis – what have you done from a marketing standpoint. This is a look at the past marketing activities for your organization (and others) to help you determine what the future will be. What marketing, promotion, public relations, partnerships, advertising has been done in the past? What worked? What did not? Include competitive chart in key marketing areas. Here is the place to put the past consumer and competitive research that can provide the clues to your next marketing steps. Summary of what your organization is currently doing relative to marketing mix decisions. Some of these areas you may decide not to change in your plan. This lets us see what you have been doing and better understand the strategic direction of your marketing plan. Use matrix… what marketing strategies are currently in place.
VII.
Target audience selection For planning purposes, burst out your list of potential targets. Provide a running list of at least 20 target audiences (publics) for your marketing attention. From these 20 you will select a limited number for your actual marketing plan.
VIII.
Implementation Process THIS IS THE HEART OF YOUR NEW PLAN In this section include a description of implementation of the SPECIFIC marketing strategies you would employ and the types of actions that would be considered at this stage. You will be exposed to hundreds of strategies in the class. Now boil them down to limited number your resources will allow you to develop. For your plan, select a minimum of 4 target audiences. Organize your marketing objectives, strategies, tactics, costs and timing around each target. (Use the Marketing Plan Roadmap to provide a one page cover sheet and summary to your plan for the specific target audience.) Marketing Plan Roadmap will be emailed to you by the instructor. Following the marketing plan roadmap, provide the rationale for the strategies you selected, complete with the thinking behind the selection of your strategies and for at least three strategies that were eliminated during your planning and budgeting process. Provide a total marketing budget for each target audience. Requirements: minimum of 4 target audiences, 20 strategies and 40 tactics for the plan. Provide a rationale for eliminating strategies: 2 for each target audience, total of 8 eliminated strategies. (These will be ideas you thought of using, but after research or limited budget, you decided not to include in your plan.) Note: one target must be either a corporation or media company. Your marketing plan must include the presentation (proposal) to the corporation or media company. Here you will be able to use the “marketing resource/asset audit” you did for Assignment 25. (Use the outline at the end of the syllabus to help you develop your corporate or media partner proposal.)
IX.
Budgeting
Provide the month to month marketing expenses for your tactics for a minimum of one year. Provide the totals by month along with the monthly % for the year. X.
Evaluation In this section, provide suggested means for evaluating the strategic marketing plan, i.e. describe how you would determine whether the marketing objectives are being achieved. In this section you must identify the metrics you would utilize to measure the effectiveness of your plan.
XI.
Execution Since an important pat of marketing is visual communication, this step includes executing or “doing” one of your strategies. If it involves print communication – design the brochure. If it includes publicity and news releases – write the news release. Requirement: just one execution of one strategy, from any of the four targets.
Guidelines for the Oral Presentation Time: 6 minutes Your goal: get to “YES” Put the class in a situation where you are presenting to us. We may be your board of directors about to approve your marketing budget, or we may be a corporation’s community investment committee where you have been asked to do a funding request presentation. In this second case, you are not presenting your marketing plan, you are presenting your corporate or media proposal. Your focus and presentation needs will vary depending on the audience. This will be discussed in class. Your presentation must include a specific “ask.” Use the Catalyst AMA Nonprofit Valuation Survey and your resource/asset audit to demonstrate the marketing value your nonprofit brings to the company or media organization. General Class Policies Homework Assignments Students are required to complete weekly homework assignments and submit them by the next class meeting. No late homework assignment will be accepted, unless approved by instructor. USD Nonprofit Program Academic Performance Standards Graduate students who satisfactorily complete the work of a subject by the end of the term receive one of the following grades: A-Exceptionally good performance demonstrating a superior understanding of the subject matter, a foundation of extensive knowledge, and a skillful use of concepts and/or materials. B-Good performance demonstrating capacity to use the appropriate concepts, a good understanding of the subject matter, and an ability to handle the problems and materials encountered in the subject.
C-Minimally acceptable performance for graduate work, demonstrating partial familiarity with the subject matter and some capacity to deal with relatively simple problems, but also demonstrating deficiencies serious enough to make in inadvisable to proceed further in the field without additional work. Additional items: Class attendance and participation is required. Missing classes will result in a lowered grade. Incompletes must be negotiated with faculty in advance and are given only in emergency situations. Students with disabilities who believe that they may need accommodations in the class are encouraged to contact Disability Services in Serra 300 (tel. 260-4655) as soon as possible to better ensure that such accommodations are implemented in a timely fashion. Note Regarding Academic Integrity, by Dr. Athena Perrakis, USD Faculty The code of academic integrity is not just rhetoric; forms of academic dishonesty, including but not limited to cheating, plagiarism, fabrication, or facilitating academic dishonesty, will not be tolerated in this class and may result in suspension or expulsion from the university. If you are unfamiliar with USD's policy, please ensure that you read it. To summarize, anything you hand in to me must be written in your own words, exemplifying your own thoughts and ideas, and you must source any references you used in completing your work using the format of the APA 5th Edition Style Manual. Although you are encouraged to work and learn collaboratively, both within and outside of class, the work you submit to me should reflect your own thoughts and ideas, and it must be expressed in your own words unless you cite whose words you are using. If you are unsure of what this means, please check with your instructor before completing an assignment. --------------------------------------------------------------------------------------------------
Components to Partnership (Sponsorship) Proposal (Some items repeated for emphasis)
1) Description or the “Causeâ€? and why it is important to the community. 2) Description of the overall partnership Big picture‌what will the partnership do, who will it help? How does the partnership fit corporate goals? Who is involved, what will each partner do? What resources will each partner bring? 3) Program objectives Description of all the partners to the program and big picture benefits for each. 4) Media Partnership (Your resources and others) What is the plan to get the message out? What is the media promotional value?
What media partners are involved, what will each do? What will you do? Core demographics of all media…must reach the markets desired by all partners. Quantify reach and frequency…state the impressions, including from the nonprofit partners. This will create and provide the authority for the valuation of your “package.” 5) Return on Community Investment (ROCI)) What will the investment of money or resources to your organization set in motion? ROCI will be in terms of media impressions, numbers of people helped, collateral printed, distribution at special events, web visitors, members reached etc. Put a conservative value on these benefits. They will need to be leveraged…hopefully 3 to 10 times the amount given by your partner. 6) The ASK Detail benefits for the organization receiving the proposal. Total value of the package will be based on the total contributions by all media and nonmedia partners. Your “ask” will be a fraction of the total value to allow your partner to leverage their cash and in-kind contribution of resources. 7) Timeline Provide detail chart as to the specific action needed by each partner and when key milestones for the program will be accomplished. ---------------------------------------------------------------------------------------------------------------------------
…Above all… Work hard, enjoy the journey and make a difference with your new information and skills. Parker