1. HS285: Marketing Management
Class Nine
June 25, 2013
Beth Goldstein

2. Today’s Class Cause Related & Nonprofit Marketing Dissecting Your Plan
Canadian Breast Cancer Foundation Case
Cause Related & Nonprofit Marketing

3. Selling Chicken Poop

4. Marketing Plan Format Executive Summary (1 page)
Vision
Opportunity for the organization to grow
Goals of the organization
Client/Constituent Profile (1-2 pages)
Demographics of the client(s) required to grow business
Client/Constituent Needs
Customer Lifetime Value
Market Opportunity & Challenges (1-2 pages)
Industry Profile/Overview of the marketplace
Demand Analysis/Needs Assessment
Market Share

5. Format Competitive Assessment (1-2 pages)
Direct competitors
Substitutes
Marketing Channels & Mix (may include any or all of the following) (1-2 pages)
Direct Mail and Print Campaigns
Social Media
Advertising and/or PR
Web Strategy & Online Marketing Efforts
Business Partnerships & Marketing Alliances
Tradeshows/Exhibiting
Networking
Speaking Engagements

6. Format Sales Planning Process and Analysis (1 page)
Breakeven Analysis: Number of Clients Needed
Sales closing rate
Repeat Sales
Referrals Patterns
Sales Cycle
Marketing Budget using the 10% of total organization budget (1 page)
Timetable for Implementation and Milestones (1 page)
Appendix/Supporting Documents (unlimited)

7. Your Presentation
Focus on the audience: potential investors, funders or other stakeholders
Well organized, professional and logical presentation
Presents a compelling argument describing your ability to be successful
Demonstration of excellent team work

8. What to Address in the Presentation
What products and/or services do you offer?
What markets do you target, both primary and secondary?
What customers does your business appeal to?
Which product/service features are important to your customers?

9. Presentation Keys to Success
Describe the value proposition for your customer.
Describe the decision-making process for the customer.
Who is your competition and what is your competitive advantage?
What is your revenue or sustainability model?
What is your projected growth for the next six months, one-year, three years
What expertise do you and your team bring to the organization?

10. “Better solutions for waste management”
SAMPLE # 1 BigBelly in Mexico
“Better solutions for waste management”
Marketing Strategy
Victoria Landa

11. Executive Summary

12. Executive Summary OPPORTUNITY OF GROWTH Already in 30 countries
Mexico start
Mexico City
Private Sector
Specific industries
Other industries
Other states
Government

13. GOALS Executive Summary 42 u’s 17 u’s Government negotiation start
Government contact

14. Client Profile Demographics Private Universities Hospitals
Shopping malls

15. Client Profile Needs Market research: Important tasks
Overflow = collection schedule
$$$$$$$$$
Collection company
Size
Vandalism

16. Lifetime Value
Client Profile
Acquisition
Advertising
$655,770
$21,168

17. Overview of the marketplace
Market Opportunity
Universities
Hospitals
Shopping Malls
2006 = 1,600
2001 = +300 units
2012 = 570

18. Market Opportunity
Needs Assessment

19. Market Share
Market Opportunity
First to go to MEXICO!!!

20. “Old habits die hard” Competition 1 – 3 trash cans per station
2 times a day
Manual separation process
Central Station
2 – 3 employees
Costs? What costs?
Problem: STUDENTS!!!!

21. All the time!! Marketing Channels Blog Newsletter SOCIAL MEDIA Videos
Web page
QR code
ONLINE
All the time!!
NETWORKING

22. Breakeven
Sales
Purchase
773

23. Sales Repeat Sales = 2 years then 10 or more
Referrals = CITY, SECTORS, LEADERS, BRANCHES

24. Sales Cycle Sales Leeds , classification, contact (1w)
Call, pitch (3w)
Think, come and go, waste analysis (1-2m)
Waste analysis and quote (1-2m)
CLOSING DEAL

25. MXN$65,000 YR BUDGET Budget 1 month for web MXN $1,680 QR codes
-MXN$5,500 (month)
1 month for web
MXN $1,680 QR codes
PIVOT STRATEGY

26. Timetable Blog = awareness Webpage = simple Newsletter = 17 units
Videos = how it works in Spanish
QR code = 2nd month
Networking

27. MARKETING PLAN SAMPLE #2
Browser Viajes is a travel agency based in Cordoba, Argentina.
It is focused on outbound tourism, providing services to local passengers who travel abroad.
Plan : start implementing the inbound department at the beginning of 2013 providing travel services to South American passengers travelling to Argentina.

28. OPPORTUNITY OF THE BUSINESS TO GROW We must take advantage of the marketing Argentina is having as a destination worldwide: *Buenos Aires, the capital of Argentina was number 13 in the list of 25 top destinations in the world according to Tripadvisor . *Several international tourism magazines are promoting the country.
GOALS OF THE BUSINESS
1- Increase profits by 10% by the end of 2013 by implementing the department of inbound tourism.
2- Increase profits by 15% by the end of 2013 by increasing sales in the outbound department.

29. DEMOGRAPHICS OF THE CLIENTS
Geographic segmentation:
First we will target Brazil and we will see how our new business works in that market. On the following months we will move to these other adjacent countries: Uruguay and Chile.
Demographic segmentation:
Young professionals above their 30's, professionals adults above their 40's and retired people. All of them with a high income.
Behavioral Segmentation
Premium passengers who are insensitive to prices. Passengers willing to pay a little bit more in order to receive a premium product and personalized attention

30. Average daily expenditure
International tourist arriving to the International Airports of Buenos Aires and Cordoba and the Port of Buenos Aires. Third Quarter 2012
Country of Residence
Number of Tourists
Average stay
Average daily expenditure
( U$D)
Third quarter 2012
Share
BUENOS AIRES AIRPORTS
100%
13,4
90,2
Brasil
38,7%
6,3
174,7
Chile
60.725
10%
130,8
Uruguay
11.528
1,9%
4,9
97,7
USA and Canada
54.572 9%
20,5
85,6
Rest of America
120497
19,8%
18,7
69,1
Europe
93945
15,5%
25,8
50,1
Rest of the world
31076
5,1%
13,3
113,6
CORDOBA AIRPORT
12646
14,6
74,1
2372
18,8% 9
77,1
4063
32,1%
10,5
98,6
4671
36,9%
16,6
66,1
1540
12,2%
27,8
62,7
BUENOS AIRES PORT
77429
4,1 84
72702
93,9%
3,9
84,8
4727
6,1%
7,5
77,8

31. Competitive Assessment
Browser Viajes has two main competitors :
Other travel agencies : 41 Inbound tourism travel agencies and 443 outbound tourism registered . Each of them target different type of customers. Some of them focus on premium trips while others offer standardized products.
Internet:
Airlines WebPages: Ex:
Hotel WebPages: Ex:
Expedia, booking.com, despegar.com.
To differentiate from our competitors we will focus our marketing activities on the following strong characteristics of the agency:
- As an outbound tourism services provider : the ultra personalized service and special attention we give to details creating a premium product.
- As an inbound tourism services provider we will promote not only our ultra personalized service but also the opportunity that passengers from abroad have of having their trip organized by local travel agents who are based in the place where the service will be provided.

32. Marketing Channels & Mix
  Direct Mail
Social Media
Facebook
Blogging
Instagram
Advertising and/or PR: Destinations events: cocktails to present the products we sell associated with local agents in each targeted market
Web Strategy :Development of a new website adding to it the inbound department and the Portuguese version.
Tradeshows/Exhibiting: fairs/tourism conferences: first event to attend to promote our products and to obtain partners in Brazil : World Travel Market Latin America to be hold on Sao Paulo, Brazil , April of next year.

33. BREAKEVEN ANALYISIS Key Assumptions Contribution per unit
Contribution per unit
Average cost of each package sold
U$d 4000
Revenue per package sold ( 10% commission)
400
Variable costs
Fixed costs
113,000
Break-even volume ( number of passengers needed to Breakeven)
283

34. Marketing Budget using the $25,000

35. Timetable for Implementation and Milestones

36. Presentation Questions???
Class Input/Feedback is Important
Schedule: Presentations July 2
15 minutes each is REALLY, REALLY tight
Volunteers for 3 – 4 teams to present on Monday, July 1???
Benefit: Receive 24 add’l hours for written plan
Written plans for Mon, July 1 presenters will be due on Wed, July 3 at 9 am
Others – due by beginning of class July 2 - Latte

37. Canadian Breast Cancer Foundation
Run for the Cure
$28.5 million raised
53% of funds
Total funds =
$10.2 million

38. CBCF Lifetime Value
Audit to determine the value to companies relative to licensing fee of $25,000
Raised to $50,000

39. Cause Related Marketing
Are consumers skeptical of CRM?
WHY?
How can CBCF mitigate this skepticism?
What’s the implications of pink washing related to their decision?
What about the companies’ risk?

40. Vita-King Market and Mission Pro’s Con’s Men/women aged 18 – 55
Interest in healthy living
Daily Dose – multivitamin – logo & contribution amount marked
Pro’s
Con’s

41. Grape Vine Market and Mission Personal connection to breast cancer
$300,000 direct donation – bear logo but contributions not tied to individual sales
Proud Sponsor of CBCF
Pro’s
Con’s

42. FluidChem Market and Mission Pink windshield wiper fluid Pro’s Con’s
10 cent contribution per unit sold
Pro’s
Con’s

43. Let’s Compare the 3 proposals
What’s most lucrative for CBCF?
Which company aligns best with CBCF’s values?
Which company would you recommend?
Vita-King
Grape Vine
FluidChem

44. What they decided Vita-King rejected FluidChem rejected
Didn’t want to endorse a medically related product
FluidChem rejected
Didn’t fit with portfolio plus windshield washer fluid has a poison sign on it – red flag
Grape Vine accepted
Fit portfolio; seasonal promotions appealing
GV partnered with a hotel with $1 from each bottle donated - $17,000 contribution

45. Future What challenges do they have going forward?
How can they strengthen relationships with their sponsors?

46. Cause-Related Marketing
What are the Benefits?
Builds corporate brands
Improves corporate reputations & competitiveness
Generates revenue – both
Is this a fair share?
Heightened awareness for a cause

47. Would Any of these work for YOU?
Message promotion
Licensing
Issue or target focused
Business activity

48. Cone Global CSR Study (on Latte)

49. But Compare 2013 to 2011…this has dropped

52. Altruism – Does it Have a Role?
“If you did it and didn’t tell anybody, you didn’t do it.” David Ogilvy
Has philanthropy ever been purely altruistic?
Does that matter?

53. Attracting Donors

54. What’s Working in Online Marketing
Source:
Full Report posted to Latte

55. eNonProfit Benchmark Study

56. eNonProfit Benchmark Report
Since 2011, online monthly giving has grown 43%
21% annual increase in online revenue overall
Some efforts are down:
14% drop in clickthrough rates for advocacy messages
27% decline for fundraising messages
Social media audience growth outpaced lists
Facebook Fans grew 46%
Twitter followers increased 264%
Facebook is the primary social network for connecting with supporters

57. Email Rates by Message Type
2011 to 2012

58. Email Open Rates by Sector

59. Email Click Thru Rates by Org Size

60. Advocacy (Action Focused) Click-Thru Rates
A high profile fight drives media coverage and makes readers pay more attention and then click through
An that asks recipients to sign an online petition, send an to a decision-maker, or take a similar easy-to-perform action. For the purposes of this study, advocacy does not include higher bar actions like making a phone call or attending an event. Advocacy rates were calculated from advocacy s with a simple action sent to either the full file or a random sample of the full file.

61. Fundraising

62. Message Type

63. eNonProfit Benchmark Study

64. eNonProfit Benchmark Study

65. Twitter Followers by Sector

66. Facebook Fans by Sector

67. Facebook Posts per Day

68. Lifetime Virality (Like/Share/Post)

70. Online Gifts

71. Online Fundraising by Source
Other is peer-to-peer, events, unsolicited web giving, peer referrals, social media

72. Non Profit Top Brands Harris Poll

73. Non Profit Top Brands

74. Non Profit Top Brands

75. Next Class Assignment: June 27
Book: Lucky By Design: Chapters 22 – 29
Case: Netflix
Articles
Marketing When Customer Equity Matters
Worksheets Due:
Worksheet 14.1: Customer Lifetime Value
Assignment Due:
Interview with a Marketing Director Write-up
Guest Speaker: Stuart Paap, Wells Fargo
Former Comedian who does a LOT of speaking gigs