Presentation on theme: "Social Enterprise Conference October 30-31, 2006."— Presentation transcript:
Social Enterprise Conference October 30-31, 2006
Social Enterprise Conference October 30-31, 2006 Major cultural shift from “need and handout” to “want and buy”
+ All the people who have a specific need or want and are willing and able to purchase service or product to satisfy that need.
+ Planning and executing strategies to reach customers.
– Educational marketing or outreach Market development – Barriers to reaching clients through traditional marketing vehicles: Literacy, language, location, topography, etc. – Communications /PR efforts to educate internal/external stakeholders impacted by SE: Community, donors, public, etc. – Budget and time constraints – Who pays
All things outside of your control that can influence your enterprise: + Weather + Politics + Economy + Competition + Infrastructure + Suppliers & buyers + Law + Technology
+ Social Need & Market Failure – Social problem enterprise is trying to mitigate – People impacted by social problem + Opportunities + Barriers + Industry dynamics + Demand + Market Segments & Size + Trends + Competitors
+ Social Enterprises have several stakeholders they often view as “customers.” + Clients are “beneficiaries” of social enterprise services or social impact. + Target market are those buying social enterprise products and services.
UserPurchaserInfluencer Clinical services (indigent) Patient DonorGovernment policy Elder servicesSeniorClients’ children Competitors Child healthChildParent Competitors PharmacyPatientInsurancePharma Companies Laboratory services Public ClinicStateGovernment policy Social enterprises may have several customer levels
– Their wants – Preferences – Likes and dislikes – Habits – Lifestyle – Demographics + … ALL the things that motivate them to make a purchasing decision
+ Should motivate customers to purchase your product or service. + The promotional message can emphasize particular benefits: – “Convenient one-day service” – “Always fresh” + A message can also exploit a market niche: – “Serving Washington Area New Mothers" + It can also be more subtle, triggering a customer's emotions or self-image: – “Entrusted senior care professionals” – "You deserve a break today” – “Peace of mind for you and your family”
ObjectiveMarketing Strategy Mix Increase market share in X county by 5% in first 1st quarter. Introductory membership to X county residents for 25% discount Price Reach 200 new families in Vietnamese community in 2007 Launch culturally appropriate Vietnamese language translation clinical practice Product Expand clinical services to Y & Z rural areas including A,B, C border towns Introduce mobile clinical unit which will circulate along border Place Increase infant immunization 25 % among immigrants babies. Aggressive multi-lingual campaign using flyers, and community information meetings to encourage immunization. Promotion Example: Community clinics for un/underinsured
Income related to Social Service Medium mission relevance; medium risk Income from extension of Social Service High mission relevance; medium risk Existing Product Existing MarketNew Product Existing Market New Product New MarketExisting Product New Market Income from Social Service Highest mission relevance; lowest risk Income not related to Social Service Low mission relevance; High risk
FeaturesBenefitsFeaturesBenefits Evening and weekend hours hours Convenient; reduces lost wages Generic drugsEconomical Sliding feeaffordableBased in community Convenient; accessible Qualified doctors Quality; peace of mind Member insurance Lowers stress; worry free Preventative healthcare Higher quality of life Sells basic health/hygiene products Healthier; fewer illnesses Community ClinicCooperative Rural Pharmacy
+ Print media + Broadcast media + Direct mail + Tradeshows + Merchandising displays + Gifts & premiums + Special offers + Billboards + Information meetings + Public relations + Telephone directory + Brochures + Posters/Flyers + Cross-selling + Referrals + Personal sales + Informal marketing + Web
Social Enterprise Conference October 30-31, 2006 Use subsidies wisely
Years Enterprise RevenueSocial Expense Business Expense Breakeven AFTER Social Costs Breakeven Before Social Costs Social Subsidy Enterprise Revenue Subsidizes Social costs Profit For biz & program investment
+ Volunteer time + ED + time on SE + Wage premium + Wastage + Lower employee productivity + Time spent on employee personal problems/social programs + Higher insurance rates + Supervisory staff (i.e. job coaches) + turn over + Time for SE fundraising
+ The place (distribution) strategy articulates how you will get your products or services to your customers. + Distribution strategy is often a key for social enterprises that serve clients with barriers to ACCESS: – Markets – Healthcare – Jobs – Information
+ Confuse marketing message and mission + Failing to assess demand + Assuming customer loyalty can be built on social good instead of quality + Build it and they will come – failure to market + Lack of operational capacity/acumen - inability to deliver on basics + Failure to listen to customers/watch the market & incorporate feedback + Inappropriate marketing vehicles for reaching customers + Confuse “payer” and “user” + Confuse clients and customers
– Creative/unconventional marketing approaches – Take business to clients – emphasis on distribution – Price and payment of services based on clients’ abilities to pay or third party payer – Quality, Consistency, Reliability are king – Brand – Test market new products – Vigilant about setting price – Keep your eyes on the prize – Flexibility and responsiveness – Social benefit + – Mission leverage in other marketing