As the top choice for nonprofit marketing organizations to file their tax returns online, we at File 990 have a deep understanding of nonprofit marketing. While having similarities to for-profit marketing, nonprofit marketing also has several differences that set it apart. Whether you’re starting a nonprofit marketing organization, thinking about starting one, or you’re just interested in learning more about them, we’d like to tell you a little bit about how it can differ from for-profit marketing.
What Is Nonprofit Marketing?
A nonprofit organization markets the cause that it supports or the work that it does instead of marketing a good or a service. This is to build awareness of an issue and help raise money from others for the good of the cause. A consumer will give the organization money so that the nonprofit organization will be able to continue with its philanthropic work.
How Nonprofit Marketing Differs
Obviously, the major difference between nonprofit marketing and for-profit marketing is that for-profit marketing has the goal of trying to sell goods or services; a nonprofit marketing organization essentially tries to get donations in order to continue promoting their issue or their cause. Because of this, a nonprofit marketing organization operates in several different ways, including the following.
One of the biggest differences in strategy for a nonprofit marketing organization is in figuring out how to satisfy a customer. For-profit marketing organizations will create a great product or service that people will be excited to purchase and – if it’s truly a winner – the customers will come back to purchase more products or services. These customers are getting a physical good or service that they can measure and derive pleasure from.
However, nonprofit marketing organizations don’t really make any products or services for the consumers to gain value from. Consumers aren’t buying products from them – they’re making donations. Nonprofit marketing organizations have to aim at satisfying a consumer by convincing him or her about the good that’s being done through these donations. They need to make the consumer feel fulfillment when they give a donation. This can be done through incentives like receiving a t-shirt, stickers, bag, or even name recognition on a website for those who donate. Incentives are a powerful thing, even if they seem small.
Building a Relationship
Another major difference between the two is that nonprofit marketing organizations need to form relationships with their donors. For-profit marketing is selling products and services that a consumer wants or needs, meaning that they’ll come back and spend more money as long as the product or service is good. With nonprofit marketing organizations, there’s no need for a donor to actually come back and give money, which is why the organization needs to keep up positive relationships with their previous donors. Emails, phone calls, and handwritten letters are all valuable tools in reminding donors that their money is being put to good use and that they’re accomplishing wonderful things.
Contact File 990 Today!
We encourage you to read more of our blogs providing tips to nonprofits far and wide. If you’d like to file your taxes with us for your nonprofit marketing organization, we encourage you to check out our pricing page and choose whether the 990-N or the 990-EZ is for you. We hope to hear from you!