A Guide to Strategic Corporate Partnerships. Differentiating sponsorship and philanthropy

Transcription

1 A Guide to Strategic Corporate Partnerships Differentiating sponsorship and philanthropy

2 Disciplined approach to Corporate Development Establishing the appropriate context Generate/maintain a pipeline of prospects Qualifying each corporate prospect Identifying key decision maker and the right timing Initiating the relationship Creating the right investment opportunities Making the Ask Managing the investment Stewarding the relationship effectively

3 Establishing the appropriate context Philanthropic Sponsorship Motivated by strategic social responsibility goals Motivated by business drivers: Sales R.O.I Profits Market Share Community Investment/Philanthropy budgets Marketing budgets Philanthropy, Communications, Stakeholder Relations, H.R, P.R Brand Managers, Marketing Directors

4 Primary Motivations for Investing in a Cause Connection to the Cause Direct impact Employee Engagement Make it easy for employees to become involved Recognize employee leadership Return on Investment Brand equity Success at the register Gain entry/exposure to new markets Telecom experience membership market Retail experience school market

5 Qualifying each corporate prospect (LIA - Rating System for Prospects) Linkage What is their current relationship to the cause if any Identify the possible business relationship to the cause Ability Level of engagement key contact(s) have the influence and/or capacity to make giving decisions Sufficient capacity to provide sustainable funding Interest Personal Interests, Business Interests, Specific interests within the Cause Understanding and relevance to the charity s mission Reference: CentrePoint Non Profit Management

6 Philanthropic Qualifying each corporate prospect Strategic Giving Priorities Geographical interest and scope Employee Base / Employee engagement Sponsorship Relevant Brands Markets relevant to your organization and its stakeholders Exposure and Public Awareness Access to key demographic groups through promotion, sampling, couponing, etc.

7 Identifying key decision maker and timing Philanthropic Key influencers Senior Executives Key gatekeepers Administrative staff Align with planning cycle Sponsorship/Marketing Key influences V.P s/directors of Marketing; Brand Managers Align with fiscal year and business planning cycle

8 Initiating the relationship Identify the Prospect, their relevancy and any connection to the cause/organization Personal Sales Approach Generate an to establish context Pick up the phone and make contact Request a face-face meeting where possible Clearly identify the link as to why our two organizations should work together Be persistent for a response Utilize your organization s senior staff and/or members of the board

9 Creating/Maintaining the Pipeline Phase 3 Initiated Sales Process Ideally a minimum of 20 prospects at all times Phase 4 Identification Ideally a minimum 40 prospects at all times Phase 2 Proposal Submission Ideally 5-7 prospects all times Phase 1 - Impending Decision Ideally 2-5 prospects all times

10 Creating the right investment opportunity Establish your parameters/guidelines for corporate involvement Do your homework know your prospect Listen to your prospect s interest and needs Taylor the benefits based on your prospect s needs Offer where possible more than one area of involvement property for the prospect to consider Provide the prospect with the opportunity to be involved in the development phase where ever possible

11 Making the Ask First Meeting: Be prepared and make some assumptions but never go in with a canned proposal Listen React and follow-up quickly Tie the dollar amount to impact where possible Have a negotiation strategy/plan Be prepared to justify the amount but don t set a precedent of disclosing more financial details than necessary Do not undersell the financial requirement Be creative and flexible

12 Making the Ask Average Sales process from beginning to end is roughly 4-6 months The timing will never be perfect do not wait to initiative a client call Corporate Development is like baseball you will strikeout more times than you hit homeruns

13 Three primary sources of Corporate Giving Cash contributions are King In-Kind that act as direct cash offsets are just as good Contributions from Corporate Partner customers have become increasingly popular Undesignated cash is even better

14 Managing the investment Strong account management is critical to ensuring a continued relationship Be honest with the donor/sponsor -sometimes things do not go as planned Involve or at least inform the sponsor of key decisions and developments Provide status reports or updates as required

15 Stewarding/Cultivating the relationship effectively Continually involve the client into the organization - additional opportunities/touch points for integration Generate a strategy to increase their commitment based on the demonstrated success that has been achieved Involve other members of both organizations - have regular exchanges/interaction with key contacts Meet the deliverables that have been committed to Be systematic, coordinated and strategic Ensure that the costs for stewarding/cultivating a prospect are factored into the ask

16 Roles and Responsibilities Identifiers Qualifiers Cultivators Door Openers Event Attendees Stewards Advocates Solicitors Board of Directors

17 Roles and Responsibilities National Office (where applicable) Create a national pipeline Create effective tools and templates to support sales and stewardship Be a Resource to the Regions Creating and Valuing investment opportunities CRM maintain effective communication across the country, communicate and support the prospect pipeline Sales tools (presentations, proposals, letters) Lead the Development of Properties Engage the regions in all phases of development Acquire national corporate accounts that benefit the entire organization Build capacity and skill sets at the regional level

18 Roles and Responsibilities Regional Offices Create and maintain a regional pipeline Develop regional investment opportunities Initiate calls and set up appointments Engage prospects with volunteers, client group, other donors throughout the solicitation process Develop regional partners Steward both national and local partners

19 Summary Become customer focused in your approach Differentiate yourself from the crowd Develop relationships with decision makers Qualify your prospects based on your programs, the people you serve, and available benefits Consider fundraising as a primary objective right from the beginning stages of your program development process

20 Thank You