Nonprofits Adopt “Pier 1″ Strategy

New Millennium PR brought a recent BusinessWeek article on nonprofit marketing to my attention (you’ll need to register to read it but it only takes a minute and is free).  Faced with more competition than ever, nonprofits are coming around to marketing.  The article cites the American Heart Assn.’s National Wear Red Day as an example of a national nonprofit that’s spending millions of dollars on marketing and advertising.  Another is St. Jude Hospital, about which I’ve written.

But what if your a local nonprofit without the big budget?  I face this challenge every day at BMC and this is how I’ve come to deal with it.

  • Start and stick with marketing that drives revenue.  Branding is great but few organizations have the internal commitment and resources to do marketing that isn’t directly tied to fundraising.  At BMC we looked at our fundraising programs and invested marketing dollars where we could reap a return.  This made the case to senior management for spending more on marketing.
  • Figure out what your assets are…and leverage them.  Every organization has certain things that others value.  At BMC we serve a large, working class, multicultural audience; we have a strong urban, Boston identity; we have over 5,000 employees and are the largest employer in our area; we are an official charity partner of the Boston Marathon; we are located in an up and coming area of Boston with lots swanky shops and restaurants, etc.  These are all assets we’ve tapped to market the hospital.
  • Focus on public relations. It’s effective and cost-effective.  BMC is celebrating its 10th anniversary this year and the emphasis is on placing stories in the local media, not on spending money on advertising.
  • Limit branding efforts to internal audiences and "enhanced" free media.  BMC’s best ambassadors are our 5,000 employees and our 6,000 donors.  We create the buzz and let them deliver it.  Because our marketing budget is limited, we focus on "enhanced" free media.  It’s "enhanced" in that we leverage our assets to get more than just your run of the mill PSA’s.  In exchange for a year-long advertising schedule with a Boston TV station, we agreed to include TV advertising in our sponsorship packages and make joint sales calls.

BTW, a "Pier 1" strategy is from Public Agenda prez Ruth Wooden who suggested that when it comes to marketing, nonprofits need to be like the retail chain Pier 1: Hip and modern, but not too expensive.

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Comments

  1. Thanks for sharing your own winning strategies.

    February 26, 2006
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