I am always surprised at the size of the non-profit community within our society. I call it our grey economy – a hidden, but major player. Non-profit organizations are all around us – from the schools we attend to the hospitals, research institutions and charities we contribute to; let alone the places we visit like museums, theaters and symphonies and even the Leukemia Foundation, labor unions, trade associations and other organizations for which we volunteer.

This was brought home to me a while ago when I visited a workshop on fundraising at the local chapter of the Association of Fundraising Professionals (AFPSD). This meeting demonstrated to me two key things: one, the non-profit sector of the San Diego economy is huge – the chapter has over 350 members, which represent the larger non-profit organizations in town who have a dedicated fund-raising staff; and secondly, the recession has impacted this sector possibly even more than the commercial economy.

While the session focused on utilizing state-of-the-art IT tools for fund raising, the larger issues dealt with strategic marketing. I was struck at the similarities to the marketing strategies we utilize in the commercial world. The similarities are not superficial – the only difference between these enterprises is the use of the “profits.” In the commercial world, profits go to the shareholders/owners; in non-profits, they go back into the business. Ultimately, the actual “business” is no different from any other – selling a product/service to meet the needs of a customer.

Learning about the needs of the customer, positioning the products to clearly fulfill these needs, and differentiating the organization from other competitors is no different – the same rules apply.  While the AFP members seemed to be clear about these principals, I remember working with many smaller non-profits in the past where these principles appeared to be dismissed out of hand … “Our mission is to …(whatever)… not to make money. We are different from your commercial clients.” I feel one of the reasons for this exclusionary attitude is the passion and commitment that many principals in non-profits bring to their vocation. “We are not in this for the money…”

Having worked with hundreds of companies – I have found the same passion in most entrepreneurs. Their dedication to solving a problem, changing how something is done, and bring a new technology or product to market is just as all consuming. And the tools they use to bring their product to market are equally effective for non-profits.

Looking at this workshop, I walked away convinced that the principles are the same for a non-profit and have never applied with more force. Position the company/product, differentiate yourself and create a brand. Moreover, market the product using all the tools available, and commit yourself to delivering what your customer expects from you.

In so doing, success is inevitable.