June 09, 2006

 

Marketing of Capacity Building Services

by Heather Iliff

 

Demand continues to rise for capacity building services, and Alliance members are increasingly savvy in their marketing to reach new clients.  This article provides tips and ideas from Alliance members who have experienced success in reaching out to new clients for their consulting, training, and other services.

Referrals are the primary way most capacity builders get new clients.  Prior or existing clients were the source of most referrals, according to 2006 Alliance member survey responses by academic centers, consulting firms and management support organizations (MSOs).  Referrals from funders and other capacity builders were also significant for intermediaries, academic centers and MSOs.  For independent consultants, referrals from clients, funders and public speaking were the top three ways that clients learned about their services.  Websites were most effective for technology service providers (no surprise there!), associations and MSOs. 

To find out more about marketing efforts of members, we contacted several members who reported success in their marketing efforts to learn what works for them.

 

Make the Most of Referrals

Since most capacity builders get the majority of their clients through referrals from clients, funders, and other capacity builders, it makes sense to focus on this method deliberately, rather than just waiting for it to happen.  Nonprofits often ask their board members, past consultants, staff, and other contacts for recommendations when they seek a consultant or training opportunity.  To maximize your referral potential, consider the following.

1.

Do your referral sources know about all aspects of your practice?  For example, if a client or other consultant has worked with you in the past on a strategic planning project, do they also know that you do research projects or human resources training?  Some ways to let people know about the range of your services include:

a) An e-newsletter with client success stories;

b) Occasional letters to your contacts updating them on your practice, with a brochure if you have one; and,

c) Quick bullet points on your full suite of services at the end of your presentations/publications.

2.

Thank people in person or by telephone for referring potential clients.  A personal thank-you is a good opportunity to reconnect with people and may open up other opportunities.  You also have a chance to learn more about the organization they referred to you, which can help you in building your relationship with the potential client.

3.

If a recent referral was not really appropriate for the services you offer, let the person know who made the referral.  Educating them about the kinds of clients you can best serve will help strengthen their understanding of your practice and could help lead to better potential referrals in the future.

 

E-mail Marketing

E-mail marketing can be very cost effective, but can also be tricky as the e-mail landscape changes over time.  E-mail lists must be "opt-in," meaning the recipient has specifically given you permission to e-mail them, or has a prior business relationship with you.  Even for lists that are entirely opt-in, such as members or newsletter subscribers, e-mail marketing needs to be handled carefully.  If you e-mail too often, recipients may stop opening your information.  Infrequent messages may not achieve the results you are seeking.  JuWon Choi of the Foundation Center notes that "there is no magic formula" for how often is too often to e-mail your announcements. 

More data on how your e-mail marketing is being received is now available via many e-mail service providers such as Constant Contact, JangoMail, MailerMailer and others.  Data includes bounce-backs, click-throughs, opt-outs and more.  But how do you turn that data into smart marketing decisions?  You may need to engage in some trial and error as you find the right mix, and again, that may change over time.  JuWon suggests segmenting lists according to geographic location, organizational type, or job title can help target content to specific audiences.  It is also helpful to keep as much data as you can about response rate so you can test different approaches to boost success in e-mail campaigns.

 

Advertising

Print advertising tends to be used sparingly by capacity builders, due to the expense level and less clear data about the return on investment.  In certain circumstances, paid advertising (or ad trades) can yield strong results.  For example, the Nonprofit Partnership, a capacity building project of the Erie Community Foundation, recently experienced a major increase in attendance for their nonprofit day, partially as a result of newspaper advertising.  In past years, they found that sometimes the right people within organizations were not aware of their mailings.

"To reach small and mid-sized nonprofits, we realized we needed to reach individuals," said Amy Cuzzola-Kern of the Nonprofit Partnership.  "Advertising in Erie’s only daily paper was an effective way to reach staff, board members and volunteers who would not normally see our direct mail." 

Another way to approach paid advertising, is to support your clients and maximize your visibility.  "When I speak at a national or regional conference, if they have a journal or a program, I will usually take out an ad," said Debbie Mason of Strategists, Inc.  She offers several questions to help decide whether to purchase advertising:

  • Is a client requesting it, or would an ad benefit a client directly?
  • What is the distribution?
  • Are members of the audience decision-makers for buying my services?
  • What is the shelf life?  Is this a throw-away item or a resource people will keep?
  • What is the cost?

    • Debbie normally puts aside a portion of her annual marketing budget to spend with her two top clients.  She also points out that you need to be clear as to whether the ad is for visibility/branding or if it is a call to action.  If you want people to pick up the phone and call you, or you want people to register for an event, repeat exposure, or a "campaign" is needed.  You may need to run an ad 4-6 times to be effective.  If you are looking for visibility/branding, then single ads can be effective with specific audiences.

     

    Websites

    Whether you reach people by regular mail, word of mouth, e-mail, or by other means, chances are high that they will visit your website.  And, some potential clients will start and end with a search on the web.  Here are some simple tips to maximize your web presence:

     

    Tips for Content and Outreach

  • Every website has a target audience, so always keep them in mind and make the language accessible and site navigation intuitive to them.
  • Include case stories of your work with clients, quotes, and other accessible ways for people to learn about what you do.
  • Include free resources that are useful to nonprofits, such as your newsletter, tips and links.  This is a good way to build awareness of your brand, and raise the number of other sites that link to yours.
  • Consider low-cost Google advertising for certain search terms that relate directly to your practice.
  • Reinforce your website links with all print and e-mail-based marketing, include your website on your letterhead, business cards, etc.
  • Become active in online forums (blogs, listservs, etc.) – people become familiar with your name, your practice, and your areas of expertise.
  • Always include your website link in your e-mail signature.

    • Tips for a User-Friendly Site

  • Use only dark text on a white background.  White text on black or other background colors is difficult to read for some website users.  Ensure your website provider makes your site accessible to people with limited vision.
  • Multi-purpose your content. Users may access your content through different paths, and it is OK to repeat links and information in different sections where relevant.
  • Limit pages to a few paragraphs each, with opportunities for users to click for more detail. Do not try to put too much information on one page.  
  • Design graphic elements with download speed in mind – large images and animation will be frustrating for visitors with dial-up connections, and remember that search engines cannot read images.
  • Provide your visitors with opportunities to make contact with you directly through the website, either by a contact form or by providing your e-mail address. Place your full contact information on the "contact us" page and on the home page.  
  • Adhere to standards and accepted best-practices in security and accessibility whenever possible, such as those of the World Wide Web Consortium (www.w3.org).
  • Test, troubleshoot, debug, and then test again, using different browsers. Provide friendly error messages in case your visitors encounter a problem.

    • Marketing Training Events on a Budget

    A conversation with Beth Green of Human Services Forum (HSF) opened up a wonderful set of suggestions on marketing training programs on a budget.  With about 3 full-time employees, this MSO packs a punch in its communications with members and prospects by first ensuring programs are relevant and timely for members.  Beth involves members in planning committees for training and capacity building services, and engaging members in this way serves as valuable pre-announcement marketing.  HSF creates multi-color brochures using a low-cost Risograph machine that works on a similar principle as a ditto or mimeograph machine, and accepts color-separated documents created digitally.

    Beth has found faxing to be an increasingly effective means of reaching members (with new fax rules, be sure you have permission to fax to your members).  Fax communications are easy to produce in Word – they are not necessarily beautiful, but they contain the necessary information and supplement the materials with color graphics that are included on the website or brochure.  For HSF, e-mail tends to be an effective means of reminding people of deadlines, but members tend to use the print brochure to learn about programs and the fax to actually register.

    For training events, repeat messages are important.  You want people to see your event in your newsletter calendar, in a brochure by direct mail, in an e-mail reminder, in a faxed information sheet, and hopefully even receive an additional brochure at a meeting or from a colleague.

    Another way to get the word out about events for FREE is to include them in a range of online calendars.  Click here for a list of websites that offer free listings in their online calendars.

     

    Direct Mail

    Alliance members have also experienced success in marketing through direct mail.  TCC Group, for example, sends out a regular newsletter about its products and services that usually includes tips, new research and other examples of their work in action.  Fieldstone Alliance relies heavily on direct mail advertising for its publications, augmented by its e-newsletter and its website.

    For smaller shops, a regular print newsletter may not be an option.  Christine Robinson, of Stillwaters Consulting, recently had a very favorable response from a direct mailing that she created in-house.  By sending letters and an information packet to her existing contacts, including people who have known her from a variety of different roles (not just consulting clients), she generated new leads.

    "Because I am an independent contractor, I thought it might be useful to build bridges with those I had worked with in the past.  I like to build on previous work," said Christine.  "These relationships are ones to nurture and build upon."

     

    Valuable Content and Connections

    Many Alliance members are leading experts in their fields, and produce a great deal of resources for nonprofits.  Fieldstone Alliance is a leading publisher in the nonprofit field, and also provides consulting services to grantmakers and intermediaries.

    "Creating and producing knowledge pieces is one of the main things we do in terms of marketing," said Carol Lukas, President of Fieldstone Alliance.  "We happen to have a book publishing operation here, but that same principle can apply to any consulting group."

    According to Carol, three things are important in marketing:

        1. Relevance of your products and services;
        2. Relationships with people who know and promote your work; and,
        3. A reputation for quality work.

    All three of these areas are essential and reinforce each other. 

    The first principle – relevance – speaks to the difference between marketing and selling.  "With selling, you have a product, and you work to convince people they need it," said Carol.  "With marketing, you are out there finding out what people need and developing products and services they need."  As you are learning about your market, you are building relationships.

    Relationship-building takes time.  It may take two years to get a major grant, or a full year to get a significant consulting engagement, and that commitment to relationship building is critical for capacity builders.

    And, finally, as you develop relevant and high quality products and services and follow-through on building strong relationships, your reputation will grow.

     

    Utilize the Alliance!

    The Alliance offers several ways to market your services:

  • Our online Find a Consultant or Service Provider directory is searched 8,000 times per month and is a great way to profile your services.  Create/Update your online listing by going to "Manage My Membership" in the member area of the Alliance website.
  • Event Calendar:  Publicize your events.
  • Happenings:  If you offer a product or service that is relevant to Alliance members, consider offering a special discount to them.  We will include your offer in Happenings and in our member discounts promotions.
  • PULSE!:  Alliance members receive priority placement for events, new publications or other announcemtens in our PULSE! e-newsletter with more than 5,000 subscribers.  Send your news to pulsenews@allianceonline.org.
  • Annual Conference:  Presenting at the Alliance conference offers great visibility – members are the first to receive our call for presenters.  And, members receive discounts on conference exhibiting, as well.

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      Conclusion

      Though there may be no magic bullet in marketing of capacity-building services, Alliance members are clearly doing something right!  Over the past three years, vast majorities of Alliance members have indicated that demand for their services has grown.  By continuing to share information with each other about what works, members can be more effective in reaching greater numbers of nonprofits with their valuable services.

       

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