TONIC DIGITAL
INSIGHTS
IS DIGITAL MARKETING HINDERING OR GALVANISING YOUR NGO?
TONIC DIGITAL
INSIGHTS
IS DIGITAL MARKETING HINDERING OR GALVANISING YOUR NGO?
The lack of an effective strategy within organisations means they are not accessing the benefits that digital marketing brings to their service delivery and utilisation.
IS DIGITAL MARKETING HINDERING OR GALVANISING YOUR NGO?
While large not-for-profit organisations recognise the importance of having a clear digital marketing strategy that is implemented and reviewed regularly, many small to medium-sized not-for-profit organisations still struggle to develop such a strategy. This lack of an effective strategy means they are not accessing the benefits that digital marketing brings to their service delivery and utilisation.
What are the benefits for not-for-profit organisations?
1. Financial Benefit
Many not-for-profit organisations face challenges with the rising costs of living and service delivery. In conjunction with rising costs, donations from everyday Australians have dropped to their levels since the 1970s. This adds to the financial vulnerability of many not-for-profits.
Small and medium-sized not-for-profit organisations heavily rely on government grants to manage this vulnerability. This reliance exposes organisations to the impact of changing government priorities. The result is that organisations must adapt their service delivery to meet these priorities rather than the community’s needs. For many smaller not-for-profit organisations, the pressure from governments is about demonstrating that in addition to providing services, the organisation is sustainable and can access multiple government funding sources. The focus shifts from an outward focus on service delivery to an inward focus on grant applications and managing internal processes to demonstrate sustainability.
A digital marketing strategy allows not-for-profits to reverse the lack of donations from the public and tap into different ways to raise donations from the public. The Digital Technology in the Not-For-Profit Sector 2022 Report states that 42% of organisations collect online donations. The most significant way donations are being collected is through direct website e-commerce.
In other words, an organisation’s website is not simply to provide it with an online presence. It is a valuable tool for raising potential donations and helping reverse the heavy reliance on government funding.
2. Google for Non-Profits
In the 2022 Digital Technology Report mentioned above, only 26% of organisations used the Google Ads Grant program. While this figure is up 6% from the previous year, it means that 74% of organisations are not benefiting from Google Grants.
Google Ads are the advertisements that show up on Google search results pages. Organisations pay for them to appear at the top of the page via a bidding system, with the highest bid receiving the rights to the top listing. Not-for-profit organisations can sign up for a Google Nonprofit account which entitles the organisation to US $10,000 per month of free advertising to ensure the organisation or a campaign appears in those coveted top spots.
When a not-for-profit organisation fully utilises Google Grants in combination with a website that has been optimised to attract donations, the likelihood of increasing community and donor involvement in the organisation is exponentially improved.
3. Community Engagement
An effective digital marketing strategy for not-for-profits is more than just receiving donations.
While donations and fundraising are essential to the survival of many not-for-profits, a digital marketing strategy based solely on this end will likely fail. This is because of the Time-Ask effect.
The Time-Ask effect happens when you mention a monetary donation early in an engagement process with someone interested in your services. When this happens, donors begin to think more analytically about their resources and whether they are prepared to donate. However, if donors are asked to share their time, it creates an experience that induces emotion. This emotion will motivate donors to give more than if they had been directly asked for money.
Sharing time can be the time a person spends reading the story the not-for-profit organisation is telling—the time to stop scrolling, notice and read.
Community engagement is essential for the viability and continued success of the not-for-profit organisation. Many not-for-profits began as single-issue organisations. In other words, they were established to provide services to a group of people with a particular issue that needed to be addressed effectively in the wider community. However, most single-issue organisations must expand to include other services at some point in their history. This is where effective community engagement pays dividends.
In the 2022 Digital Technology Report mentioned above, only 26% of organisations used the Google Ads Grant program. While this figure is up 6% from the previous year, it means that 74% of organisations are not benefiting from Google Grants.
Why do non-profit organisations not invest in effective digital marketing strategies?
The time and cost of having a digital strategy are often viewed through distorted lenses
When we go to an optometrist for an eye test, we know what it is like to view letters through lenses that distort our vision.
Many leaders in the not-for-profit sector have a distorted view of the time and cost involved in developing and implementing an effective digital marketing strategy.
Time
Developing an effective digital strategy takes time. To be effective, the digital strategy requires careful attention, particularly in the early stages of development. The impact of messaging needs to be reviewed and reworked if required. This is an ongoing activity.
Yet, the 2022 Digital Technology Report found that only 40% of organisations regularly analyse their online communication and marketing practices.
Leaders in small to medium not-for-profits often become caught up in service delivery. Consequently, the time needed to create, develop, and monitor digital marketing strategies is unavailable. The leader then justifies this lack of time by saying that digital marketing is unimportant compared to service delivery.
However, the role of an effective leader is to balance multiple priorities to ensure the organisation’s overall success. It is not an “either/or” equation, service delivery or a digital marketing strategy. It is “both/and”. The service delivery provides the story of the not-for-profit, which is its brand. It is this brand that must be communicated through the digital strategy.
Cost
Many leaders in the not-for-profit sector do not understand the financial cost involved in establishing a sound profitable digital strategy.
Because leaders view it as unimportant, digital marketing is the first thing to be cut whenever there are cost pressures. This is a decision that is short-sighted. Small not-for-profit organisations need to create a large footprint so that people in the community are aware of the excellent work they do.
Creating a strong digital footprint is often the easiest and most effective way. Reducing or cutting digital marketing costs may save dollars in the short term. In the longer term, what is lost is community awareness and knowledge of what the organisation does.
Building a solid following within the community can take 12 – 18 months, depending on the organisation and the amount of time invested in digital marketing. Having invested in and created a community presence, to then reduce funding to digital marketing means the organisation loses the community base it has established and its place in people’s awareness.
Balancing budgets is challenging, particularly in an era of rising costs and lower donations. However, not-for-profit organisations need to have a greater understanding of and appreciation of the importance of an effective digital marketing strategy for their long-term survival.
A failure to think through and develop an effective digital marketing strategy in the 21st century can leave not-for-profit organisations relegated to the unheard-of and unknown services within a community.
