Question

Topic: Customer Behavior

Nonprofit Market Segmentation

Posted by Anonymous on 4/29/2004 at 4:02 PM ET 250 Points
How should nonprofit organizations segment their markets? Are the various types of "stakeholders" segments (i.e. funders, volunteers, clients)? Some nonprofits sell products or services (American Red Cross First Aid Kits, for example) but others are selling a "cause" or an idea. I'm not clear how to approach segmentation in those cases.
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  • Posted by jcmedinave on 4/30/2004 at 12:50 AM Member
    Nonprofit Market Segmentation

    In my opinion the segmentation is not related to the Company Profits, it depends on the type of customers or the type of services. For example, if your organization focus on natural disasters, and the market will be the people in general, you could segment by (rural or citizens, poor or riches, young or older, the type of peril, the amount or type of help, ...).

    For instance there majority of non profits organizations are segmented by their main objectives (in charge of children, families, single mothers, and so on). In that cases if will be necessary to precise the different segments (by ages, needs, education, psychological problems, ...).

    The big segmentation issue is to find de similarities between customers, homogeneous groups, in an important number, easy to find and redistribute, that you can recognize and differentiate, and the most important thing is "useful to your proposals".

    Bye,

    Juan Carlos
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