Not-for-profit marketing :branding, brand equity and marketing of smaller charities

Abstract

Decades after the idea of not-for-profit marketing was first introduced the uptake has not been universal. This study investigates the application of commercial marketing principles in a sector where objectives other than profit are pursued. In particular, it seeks to establish the effectiveness of not-for-profit marketing in encouraging the public to “pay” the required “price”; to investigate the influence of charity brands on stakeholder choices; the influence of a charity’s reputation on donor behaviour; and whether smaller charities are aware of and use their brands. A questionnaire tested donor perceptions and through a focus group insight was gained into the marketing practices of smaller charities. The results indicate that not-for-profit marketing is effective and that smaller organisations can compete through less expensive marketing techniques, that charity brands are extremely valuable but underutilised, and that an organisation’s reputation is its most valuable asset. Recommendations are made to improve the performance of smaller charities by addressing marketing and wider management practices.