How to Profit from Nonprofit Agencies Nina Shatz, Red Ball Promotions Monday, January 24 1:30 p.m.-2:30 p.m. Room Power Session Booth 2244 Sponsored by Fields Manufacturing asi/54100 All education handouts are available to download at www.asicentral.com/handouts 1/13/2011 Knowing the Who, What, Where, When, and Why… Growing Long Lasting, Profitable Business Relationships with Not-For-Profit Organizations Nina R. Shatz BA, Magna Cum Laude, English Literature, SUNY ALBANY MA, Not-For-Profit Administration, Brandeis University 10 years working in the Not-For-Profit field – focusing on programming, fundraising and event planning 5 years working in the promotional and marketing profession Averaging $250,000-$500,000 per year in sales to Not-for Profit agencies and organizations Currently sits on the Board of Directors of two Not-for-Profit agencies Has been published several times in national periodicals and books Pre-Conceived Notions About NFP’s How many of you have been in a sales situation where you had a lead that was a not-for-profit, and a boss or co-worker told you to stop wasting your time on NFPs (Not-For-Profit)? • NFP agencies have less money to spend on promotional items and apparel “Promotional products have become a very important part of the promotional communication tools used by non-profits, with 2000 sales to the industry of almost $500 million” –Journal of Nonprofit & Public Sector Marketing • NFP are not willing to barter goods - such as donation of bags or shirts for a booth at their tradeIt is common for NFP organizations to barter goods for booth space or free advertisement of your company. It is a win-win situation, as most of what they barter does not reflect upon their budget, but puts you in the spotlight. • NFP are not usually willing to try a new vendor A common practice of the NFP is to become comfortable with the vendor they have been using. The vendor in turn often becomes “sloppy”, and lets the relationship lapse, thinking they are just going to be guaranteed the order. By providing a competitive cost ,quality goods, and new ideas, the NFP is more often likely to give you a chance. 1 1/13/2011 Benefits of Working with NFP’s • NFP organizations are looking to create relationships, not just find vendors. The stronger the person to person relationship, the more opportunities you will have with the organization. • Relationships created are transferrable. People in NFP are more apt to “job leap” than any other profession. If you create a strong relationship, you will be “brought along” to the new job as a reliable “go to” person. • NFP will always have fundraising events and will budget for promotional items as part of these events. Unlike a FP (For-Profit) company that might cut out promotions from their budget, a key part of any NFP program or event is the “giveaway.” • They are always looking to network and you can be a network machine! Be a matchmaker and connect client to client. You will be remembered and you will be utilized for your services in the future. How do you do business with a Not For Profit? Who Are They? • Concept of a Layperson Board and committees for specific events • Staff people work for the Brand, but have the power to guide their decision-making • Calendar year is often October thru September, not January thru December • Can find out many things, including budget of NFP from public record (library, online) • Often EVENT driven, rather than program driven 2 1/13/2011 What do they want? • Different depending on which role you’re talking to • Staff - they’re busy, want to make things easy, need more hours and resources - be that added help • Treat respectfully • Follow up often • Free Spec Sample, Free Spec Sample, Free Spec Sample Where do you find them? How many people currently work with nonprofit organizations? How did you identify them? •They are EVERYWHERE! Be conscious of them: • In the local newspaper or penny saver • Posted events in the supermarket, library, school • Friends asking you to “sponsor them” • Phone solicitations • Social Media - people asking you to “friend” organizations on FB • Look at your current client database to see how many sponsor an event or charity - ask for the contact person and how you can get involved How do you effectively communicate with NFPs? • • Staff - they’re busy, want to make things easy, need more hours and resources - be that added help • Treat respectfully • Follow up often • Free Spec Sample • Add value to all contact - have a great reason to take up this person’s time whenever you do Board • Most board members have been successful in other for profit businesses, know their backgrounds • Research any connections you may have to or with board members • Present ideas that will positively affect the organization’s bottom line, prove it • Know the organization’s background, history, calendar, and big events Do Your HOMEWORK: • Get the event calendars of your prospect. Contact them 6-8 months before their event • Use their web site to research past events, general information, goals and challenges of a prospective NFP • Approaching the potential client with the knowledge of their goals and history is a huge factor. If you understand who they are, then you can be trusted to represent their organization. 3 1/13/2011 Why should NFPs do business with you? • You always come to them with good ideas • You’ve gone the extra mile to help them be successful • You are knowledgeable, polite and quick to respond • You are a resource for future support of their organization • You believe in their cause • You have a solid relationship with them and are prepared to help them grow • GO AND SELL!!!!! 4