By Kyle Cannon
Ann Green on August 27, 2024
Although nonprofits and businesses seem different, they share many similarities. Discover lessons nonprofits can learn from their for-profit counterparts here.
Although businesses and nonprofits operate in two different worlds, governed by their own unique rules, these organizations are more alike than one might initially think. Certain strategies apply to organizations in both industries—and nonprofits can experience major benefits from following in the footsteps of certain successful businesses.
To help your organization thrive long-term by building up good habits, this guide will cover four key lessons nonprofits should take from businesses. With these strategies, you’ll be well-positioned to secure loyal supporters, inspire increased generosity, and continue furthering your mission for years to come.
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1. Give supporters a compelling reason to donate.
Much like a massage practice needs to convince customers to patronize its business, your nonprofit needs to give supporters a compelling reason to donate. While your organization isn’t necessarily focused on selling a specific product or service, your purpose is what supporters buy into. And it’s not enough to simply be a charitable organization—with over 1.8 million nonprofits registered in the U.S. alone, your organization needs to seriously consider how to set itself apart from others.
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Here are a few tips for demonstrating that your nonprofit is deserving of support:
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Emphasize your mission’s importance. For example, let’s say your animal shelter’s mission is to provide a second chance to animals in need by finding them loving families. You might explain that your mission is important because all pets deserve to be cared for and have a good quality of life.
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Establish the issue you’re trying to address. Clearly outline what the issue is and why it’s important to fix it now rather than later. The animal shelter above might highlight high rates of animal abandonment in local communities and the negative impact these animals have on local wildlife to emphasize why it’s essential to rescue these animals and provide them with safe shelter.
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Outline your impact. Explain how your nonprofit has already made a positive impact on its community. The animal shelter above might state that it has rescued over 5,000 dogs and cats since its inception and actively cares for over 300 animals at any given time.
If your nonprofit is well-established and has a base of loyal donors, research their giving motivations for key insights into why they support you. You can do this by sending out surveys or examining the data in your nonprofit constituent relationship management system (CRM). Use this information to improve the language you use around donating and make giving even more compelling.
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2. Provide a positive supporter experience.
A crucial part of convincing consumers to make a purchase is the customer experience. Just think about how businesses offer generous return policies, leverage easy-to-use e-commerce platforms, and train employees to provide excellent service. Companies risk losing business when customers don’t enjoy the buying experience.
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Your nonprofit can learn one key lesson from this: It’s crucial to establish a positive supporter experience that makes it easy for them to continue interacting with your organization. To that end, streamline how supporters:
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Donate, such as by designing a responsive, mobile-optimized donation page that accepts various payment types
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Volunteer, such as by offering a variety of volunteer opportunities that appeal to individuals with varying availabilities and commitment levels
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Attend events, such as by creating an event page where supporters can RSVP and ensuring that your event-day check-in process is smooth and streamlined
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Receive messages, such as by communicating with supporters regularly and through their preferred communication channels, whether that is email, social media, or something else
You may want to invest in software that helps you implement these best practices. This is also a key lesson your organization can learn from businesses—they’re not afraid to invest in tools that make their operations easier. Just as a spa might purchase massage software, your nonprofit can invest in a robust fundraising platform, nonprofit CRM, volunteer management software, or any other solution that aids you in your work.
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3. Build a strong brand.
Branding is everything to businesses—it’s how they build recognition of their company and products. Just think about McDonald’s iconic golden arches or the stylized font of the Coca-Cola logo. As a nonprofit, you can follow the lead that businesses set and also focus on your branding to improve awareness for your mission.
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According to MassageBook, there are two types of branding:
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Visual. This includes your nonprofit’s logo, colors, and typography—essentially, any branding elements you can see.
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Verbal. This refers to written choices you make, covering your mission statement, values, tone, grammar, and more.
Establish a thorough branding guide that describes how you’ll handle both visual and verbal branding elements. With the right strategy, you can help your nonprofit stand out in a sea of other charitable organizations. After establishing what your branding will look like, don’t forget to incorporate it into all of your marketing materials in a uniform manner to ensure that your audience immediately associates the material with your nonprofit.
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4. Partner with like-minded organizations.
Businesses have long learned that partnerships with other organizations help them expand their reach, acquire more customers, and ultimately generate more revenue. Your nonprofit can similarly benefit from partnering with other mission-aligned organizations.
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Here are a few types of organizations you should consider working with:
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Other nonprofits. Other nonprofits with similar or adjacent missions may be happy to partner with yours to boost awareness of both your causes. For example, an environmental conservation nonprofit might work with an ocean conservation nonprofit to help the latter promote its upcoming event.
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Foundations and grantmakers. Foundations and grantmakers provide financial support to nonprofits. To secure their support, you’ll need to undergo a grant application process and convince them that your nonprofit is worthy of their funds and will put them to good use.
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Businesses. Corporate sponsorships aren’t limited to businesses—your nonprofit can also benefit from them! According to 360MatchPro, you can identify potential sponsors by exploring your network, researching local businesses, and using dedicated prospect research tools.
Keep in mind that a partnership should be mutually beneficial. As a nonprofit, this usually means that you’ll promote your partner’s brand, products and services, or mission alongside yours. For example, if you’re partnering with a nonprofit, you might host a co-branded awareness campaign to boost advocacy for both your causes. If you’ve acquired a corporate sponsor, you can include their branding on your event materials and specifically thank them in your end-of-event speech to help them get the word out about their brand.
And there you have it—four lessons nonprofits can take from businesses. Consider whether or not your organization is following these best practices and how you can implement them into your strategies to broaden your reach, acquire more donations, and work toward your mission more effectively.
Kyle Cannon is the product evangelist at MassageBook. He's spent the past 8+ years developing a deep understanding of the joys and struggles massage therapists face daily, and he's committed to helping them simplify and grow their practices every step of the way.
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