Lecture Session 1 (out) (1)

9/6/23 1 Dr. Irene Lu, Sprott School of Business BUSI 4203 Marketing in Not-for-Profit Organizations 1 Overview of Canadian nonprofit sector Learning Objective #1 2 Non-profit institutions 1. Government non-profit institutions 2. Business non-profit institutions 3. Community non-profit institutions Source: Statistics Canada (2022) An overview of the Non-Profit Sector in Canada, 2010 to 2020. 3 1. Government non-profit institutions E.g., hospitals, residential care facilities, universities, and colleges. self-governing and exist independently of the government, but heavily influenced by the government. They are classified as part of the government sector by conventional macroeconomic measures. . 4 2. Business non-profit institutions E.g., chambers of commerce, business associations, protection services, and condominium associations. Do not fall under the direct control of the government Offer goods and services at low cost, and are constrained in their ability to redistribute any surplus they may generate. In standard macroeconomic measures, they are classified into the business sector. 5 3. Community non-profit institutions e.g., community food services, community housing, youth and family services, museums, emergency relief, religious organisations, advocacy, and sports and recreation. not heavily influenced by the government provide goods and services to households for free or at minimal cost. They are referred to as non-profit institutions serving households (NPISH) in standard macroeconomic measures. 6
9/6/23 2 Charitable organizations: must be formally registered as such with the Canada Revenue Agency. Eligibility for charitable registration status: the relief of poverty E.g., food banks, soup kitchens, and low-cost housing units the advancement of education E.g., colleges, universities, and research institutes the advancement of religion E.g., places of worship and missionary organizations other purposes that benefit the community E.g., animal shelters, libraries Charitable organizations 7 Charity data research tool in Canada Charitydata.ca provides information on registered charities in Canada 8 CANADA'S SOCIAL SECTOR POPULATION 170,000+ 8.7% The sector represents of Canada's GDP... $189B ...which is approximately CANADA'S CHARITIES & NONPROFITS CANADA'S CHARITIES & NONPROFITS Nonprofit Institutions Serving Households provide goods and services to individuals & groups of people at minimal to no cost. Households These include chambers of commerce, business & professional associations, airport authorities and some amusement and recreational organizations. Business These include hospitals, residential care facilities, universities and colleges. Government There are an estimated 170,000+ registered charities & nonprofits in Canada. (86,000 registered charities) They contribute to strong & healthy communities. In addition to their social contributions, charities & nonprofits are a large and vital part of the economy. 4.80% From 2007 to 2019, GDP from nonprofits serving households and business grew at a rate of 3.22% The overall economy grew by · youth & family services · housing assistance · places of worship · food banks · recreation & social clubs · museums · foundations For example: Charities & nonprofits come from 3 different areas of the economy: 9 ÷ + × a b c 2.5 million people The sector employs approximately which makes up 12% of the economically active population. 41% of Canadians 13 million volunteers! are volunteering their time to charities and nonprofits—that's 1.7 billion hours Volunteers contribute almost of their time each year to organizations and causes they believe in. 4 in 5 Canadians Our sector has a good reputation. said they have a lot or some trust in charities. $14+ billion annually Canadians give to registered charities. More than ¾ of donations go to the "Big Four" causes Religion, Health, Social Services and International organizations. 860,000 full-time jobs This is equal to An average volunteer contributes 131 hrs per year 2.5 hrs per week OR imaginecanada.ca/en/360/sector-stats More information at imaginecanada.ca CANSIM Tables 36-10-0648-01 & 14-10-0393-01 (Q4 2020) CANSIM Tables 36-10-0648-01 & 36-10-0103-01 (Q4 2020) Survey of Giving, Volunteering and Participating, General Social Survey (2018) SOURCES Imagine Canada, 30 Years of Giving (2018) Muttart Foundation, Talking About Charities (2013) CANSIM Tables 36-10-0616-01 & 36-10-0103-01 10 Why study nonprofit marketing Learning Objective #2 11 Reflection How our lives and the world have been influenced by nonprofit organizations? 12
9/6/23 3 Why study nonprofit marketing? (cont'd) Business marketers who interact with the nonprofit world through activities like cause related marketing, strategic partnerships, volunteerism, would benefit from marketing's applicability in the context of the nonprofit sector. 13 Nonprofit sector is in the behavioural influence business . E.g., Behavioral challenges in nonprofit sector 14 Give up economic assets Give up time and energy Give up old ideas, values, opinions Give up old behaviours, undertake or learn new behaviours Behavioral challenges in nonprofit sector (cont'd) 15 What is social marketing Learning Objective #3 16 What is social marketing? Definition by Lee, Kotler, Colehour (2023) (a) influencing behavior change (b) utilizing a systematic planning process that applies marketing principles and techniques (c) focusing on priority audience segments, and (d) delivering a positive benefit for individuals and society INFORMAL: "Influencing Behaviors for Good." 17 Improving Health Preventing Injuries Protecting the Environment Involving the Community Enhancing Financial Well Being Application Examples 18
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