“The Shift” from Marketer to Growth Leader

I recently had the opportunity to hear Scott Davis, Senior Partner of the strategic brand and marketing consultancy, Prophet, speak about his new book “The Shift: The Transformation of Today’s Marketers into Tomorrow’s Growth Leaders.” During his speech Mr. Davis shared personal stories that underscored the powerful loyalty that can be inspired in people when a brand delivers well on its promise. He went on to dive into the core theme expressed in his book: marketing is more than discretionary spending to build awareness – it is a powerful tool to affect change and drive strategic objectives. Marketing, at its best, has the most to offer in support of growth agendas because it is closer to the customers and competition. For marketing to be effective, it must have a good understanding of its audience and who else is trying to reach that audience. Leveraging these insights in support of strategy is where marketing can prove its value as growth leader.

Mr. Davis went on to highlight the five key shifts marketers should strive to make in order to change their profile from marketer to Growth Leader driving Visionary Marketing.

The 5 Shifts:

Transforming the Role of Marketing in Nonprofit Organizations

At the recent Nonprofit Marketing Conference presented by the American Marketing Association the tone was defined by a white paper issued by the 2010 Senior Nonprofit Marketers’ Summit. “Nonprofit CMO’s Call for a Transformation of Marketing”, co-authored by 18 senior marketing executives in the nonprofit sector, underscored the need for Marketing Transformation to redefine the perception and role of marketing in nonprofits. This call to action comes at a time when many organizations, nonprofit and for-profit alike, are looking at ways to transform at many levels in order to stay lean, efficient and relevant in the new economy.

According the white paper, one of the challenges faced by many nonprofit marketers is that their role in marketing for their organizations is “too narrowly defined as focusing on advertising, brand guideline, and market research.” Rather than being seen as an integral piece of the strategic puzzle to help drive organization growth, and enhance impact, marketing in nonprofits has been relegated to a “tactical management function.” Shifting our perspective around marketing allows us to see beyond the brand enhancing capabilities of marketing and start to understand how marketing can be a powerful tool to support strategic growth by “developing strategies to generate and sustain the passion people have for [an organization’s] mission and connecting them” in meaningful ways to an organization.

The white paper identified eight myths of nonprofit marketing that define our current perception of marketing as well as laid out key areas of focus for creating a more influential role for marketing at the leadership table.

Myths:

1. Marketing is just tactical
2. Good fundraisers don’t need marketing
3. Good marketing can fix everything
4. You can’t measure marketing
5. Marketing segmentation is not practical for most nonprofits
6. Competition doesn’t apply to charities
7. If the board likes the advertising, it must be good marketing
8. Good marketing takes money…and lots of it

Key Area of Focus for Enhancing Marketing’s Role at the Leadership Table:

1. Developing insights based in truth by knowing your constituents, understanding your competition, innovating, and defining your value proposition
2. Building adequate resources needed to implement the insights by building infrastructure, collaborating with internal allies in the “C-Suite” who are advocates for marketing, and leveraging connections
3. Showing value for the investment using solid metrics and accurate assessment

For information about how you can get a copy of the white paper, “Nonprofit CMO’s call for a Transformation of Marketing” contact Jessica Thurmond at the American Marketing Association, 312-542-9015.

Top ingredient for success in today’s work force is brains, not muscle.

Devry University President and CEO Daniel Hamburger spoke at the Executives' Club of Chicago’s CEO Breakfast Series this morning at the Fairmont Hotel…a valuable forum for Chicagoans to learn more about some of the innovative local companies here. Hamburger’s key message: watch for a significant increase in privately owned post-secondary education organizations.

Current trends:

Sector	Market Share	Total Students
Public sector schools (i.e. University of Illinois)	72%	18 million
Independent schools (i.e. Northwestern University)	16%	4 million
Private sector schools (i.e. Devry)	12%	3 million

Other highlights:

• The percentage of people in China attending college has increased from 3% of population in 1980 to 20% today.
  
• Percentage of jobs in the U.S. requiring post-secondary education has increased from 28% in 1973 to 58% today.

Watch: Brazil is trend setter with 50% of college students attending private sector schools.

Slow or Reverse?

“Davidoff!,” my junior high school gym teach would shout at me. “You’ve got two speeds. Slow and reverse!” Not coming from a sports-minded upbringing, those words have stuck with me for over 35 years. My coach’s wisdom was never more applicable than it is today.

We live in a time mandating transformation. Individuals and organizations are either evolving and progressing to meet new demands or they are slipping. There is no in-between. Use it or lose it.

One of the most engaging aspects of our work at Davidoff Communications is that our clients ask us to help move their organizations forward. Through our Mission-Driven Marketing™ methodology, we provide a comprehensive assessment of our clients' organizations and the competitive marketplace in which they function. Mission-Driven Marketing helps us work with our clients to identify a game that they can win, leveraging the unique skills, strengths, expertise and assets of the organization. It helps uncover the pathways that will take our clients successfully from their current state to their ideal state, connecting the dots along the way between their mission, message, marketing, bottom-line and relationships with their stakeholders.

During these challenging economic times, many of our clients have told us that it feels like the world is passing them by. Newer, younger, more progressive competitors are emerging. Companies are not keeping up with best practices in sales and marketing. That’s a perfect situation for the kind of consulting we do at Davidoff Communications.

One of the reasons we’re effective consultants is because we practice what we preach. Just like our clients, change is inherent in our business too. We must continually develop ourselves individually and as an organization. That’s why we ask our employees and interns to participate in the "More Life Personal Transformational Experience" weekend training offered by the Wright Leadership Institute. This personal growth and leadership development program, led by Drs. Bob and Judith Wright, offers participants the opportunity to learn from the Wrights' 30 years of studying what makes people and organizations effective and satisfied. The next More Life Personal Transformational Experience will be held in Chicago, September 24-26th. To learn more or to register visit www.MoreLifeTraining.com or call 312-329-1200.

Regards,

John

My Trip to Guadalajara

I am just back from a trip to Guadalajara, Mexico where I was given a working tour of the four Children International community centers. Davidoff Communications has been using its Mission-Driven Marketing methodology to support Children International with its cause marketing and corporate sponsorship program since 2007.

Guadalajara is big. Five million people! In addition, it’s the Silicon Valley of Mexico, serving as home to every major international technology company with manufacturing plants in Mexico.

In this photo, I am learning about Children International’s new sports program that teaches parents to coach different sports so that their kids can learn to play competitively. This is just one of many tremendous benefits that Children International provides for children who come from significantly impoverished homes. Many families live on less than $300/month. I have been sponsoring a 10 year old boy from India through Children International for several years now. Maybe you should consider sponsoring a child as well? Sign-up at www.Children.org.

--John Davidoff, Founder and Managing Director

Social Initiative Proposes 'R' Rating for Smoking in Movies

Bottom line: Smoking kills.

Another bottom line: Movies influence behavior.

Smoking in movies encourages smoking which leads to people dying. That’s why Smoke Free Movies has proposed that movies showing smoking should receive an ‘R’ rating from the MPAA (Motion Picture Association of America) – the same rating that already applies to movies showing extensive violence and death.

Smoke Free Movies is a project started at the University of California/San Francisco. Its idea is backed by a consortium of NGOs, including the American Heart Association, the American Lung Association, and the American Medical Association. Recently, an advertisement advocating for the new ‘R’ rating criteria ran in the New York Times.

The Power of the People or Not?

Today's full page ad from JP Morgan Chase promoting the "Chase Community Giving" program on Facebook says that over two million Facebook users voted on the distribution of $5 million in grants. We also learn that an "Advisory Board" helped determine the winning charities.

So what first sounds like a bold move of using democratic process to give away a chunk of cash is then nulled by the control of this Advisory Board. We have to assume the Advisory Board gets the final say. Or does it? Maybe Chase executives get the final say as to which charities received donations. We are left needing to dig a little deeper to see how transparent this supposed cause marketing/corporate citizen/corporate social responsibility program really is. In the meantime, we applaud Chase for promoting philanthropy and for even being willing to include the public some way, some how.

Corporate Sponsorships and the New Consumer

A recent webcast titled “How Sponsorships Add True Purpose to Marketing Efforts” delved into the future of Cause/Non-Profit Marketing and its implications for traditional business models. The webcast, hosted by Dan Kowitz of IEG Sponsorship Consulting provided an interesting look at developing consumer trends and opinions.

For instance, 90% of Americans surveyed want companies to increase sponsorship for cause-sensitive campaigns or organizations. Furthermore, more than two-thirds of those surveyed globally said they would switch brands if the makers of a similar product supported social causes or nonprofit organizations.

What does this mean for businesses?

• Consumers are becoming more market-savvy and, consequently, independent. We now have an abundance of resources at our fingertips – message boards, blogs and watchdog sites, to name a few – and consumers use these to learn about the companies, share opinions and develop their brand recognition independent of traditional advertising.

• Consumers are socially aware. They support – and applaud – corporations who take an active interest in social change and cause-related marketing. Conversely, the new consumer can sniff out insincere marketing tactics or less than authentic concern from corporate social marketing efforts

Businesses that are authentic in their corporate sponsorship of and participation in cause marketing campaigns receive a generous bump in brand recognition and sales. As an example, in the five years since YoPlait began its ‘Save Lids to Save Lives' partnership with Susan G. Komen for the Cure, the company’s sales have steadily increased and even developed previously nonexistent seasonal sales spikes. Yoplait embraced the cause and, in turn, consumers embraced Yoplait.

Pepsi is hitting the ground running with this new aspect of the marketing mix. By declining to participate in the annual Super Bowl ad wars, and instead instituting its 'Pepsi Refresh Project' to fund cause-related, community-building campaigns and organizations, Pepsi has recognized that it may have more to gain in today’s consumer-savvy, cause-aware world by building a socially responsible brand.

Contributed by Kevin Barbeau

What Did We Learn in 2009?

It’s really important to take our learns from a really challenging year and go forward wiser into the New Year – 2010. Here are some of our lessons:


We are All in this Together
Is there anyone or any organization that was not affected by the economic challenges that started in 2008 and created tougher times in 2009? With a little inspiration from Ben Lee’s High School Musical song "We're All In This Together" it’s really important to share our situations and get support for working through them. It’s also important to take solace in knowing, while we each have our lessons to learn and changes to make, we were all affected one way or another.


Flat is the New Up
It’s a popular catch phrase and enough of us experienced it to have some truth. Still we must be careful to not use the phrase again in 2010 to explain, rationalize or justify negative trends in key performance metrics.


Run Harder to Stay in Place
There is no question that most of us are having to do more to sustain our base income: such as working more than one job or juggling more responsibilities with the same resources. In our sales coaching and, even in our own firm, we’ve encouraged people to increase weekly business development activity. I increased my own touch points with prospects from 50 to 75 per week in the back half of last year and it made a big difference. So I upped my outbound dials and e-mails for 2010 to 100 each week.


Social Media Networking is for Everyone
2009 was definitely the year I started taking Facebook and LinkedIn more seriously. It’s helped our firm get to hard-to-reach people for both our client projects and ourselves. We have been getting coached by social media network guru Dean DeLisle this past year as part of the curriculum offered by the Wright Business Institute. Now, in addition to my daily exercising and meditation discipline, I do my 20 minutes of networking online. Let’s connect at on my Facebook page or on my LinkedIn page.


Cause Marketing and Corporate Social Responsibility
are On the Rise
Close to home for our firm’s interest in Mission-Driven Marketing (TM), we are encouraged to see more companies and social causes turning to corporate/not-for-profit partnerships to collaborate on ways to create a better world. We appreciated Mike Swenson's Advertising Age column this past week which speaks to this.


Fly Southwest
We are “nuts” about Southwest. We’ve been able to build our business because of Southwest’s Chicago hub at Midway airport, its low airfares and its continually expanding the list of cities it flies to. (They added Boston, Minneapolis and LaGuardia this year!) While even this stellar brand took it on the chin financially in 2009, our money is still on Southwest.


Here’s to learning more lessons in 2010.


--John Davidoff, Founder and Managing Director