A non-profit organization is one that uses any excess revenue to attain its mission rather than allot the profit. It is possible for a non-profit organization to become wealthy through excellent marketing strategies, but it is a great challenge. NPO’s must more carefully study all internal and external factors that could effect their organization’s success. Internally, they should analyze the marketing mix, performance analysis, and any other constraints they may face – in most cases this will be financial. Externally, they must examine customer analysis, analyze their competing organizations, discover their target market, and stay in tune with the ever-advancing technology and economy of our time.
As stated, the major constraints for non-profits is more often than not financial, which is why they rely heavily on donations. If an organization can carefully listen to its audience, collect market data to ascertain what they want, and essentially become an expert on the audience’s mindset, the organization will be able to create a marketing campaign that will be heard and utilized by the audience. If then this is implemented in an innovative way, the chances for success are even greater. Heifer International is a great example of this. An organization dedicated to ending poverty and hunger, they were being challenged by many competing organizations during the holiday season. In 2012, they studied their audience of donors, their target audience, and were able to create an innovative fundraising campaign that connected with existing and potential donors and increased their holiday donations by 28%.
Although this type of organization is not the same as a non-profit museum, art institutions can learn a lesson from the organization’s data collection and innovative customized marketing. To see more about Heifer International’s interactive campaign, read about the case here.