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Marketing for Non-Profit and Public Organizations STM-131M J. F.

Kennedy School of Government Harvard University Fall 2008, Module 2 Professor E. Marla Felcher T/Th 2:40 p.m.-4:00 p.m.
Marla_Felcher@ksg.harvard.edu

STM-131M is a course for students interested in understanding the basic principles of marketing, and how they can be applied in non-profit and government organizations. Previous coursework or experience in marketing will be helpful, but is not required. First, we will review marketing as it applies to for-profit organizations, then we will use this as a springboard to launch future discussions on how non-profit and government managers can use these concepts to implement marketing programs within their organizations.

Course Requirements and Grades


Required Text: Strategic Marketing for Nonprofit Organizations, Alan R. Andreasen and Philip Kotler, Pearson Prentice Hall, Seventh Edition, 2008. Required Readings: Most readings are on-line and should be accessed through links on the syllabus as posted on the course page. Readings without these links are available through the CMO. Required Assignments: Students will be required to complete a midterm and final exam. The take-home midterm exam will be due at the beginning of class on Tuesday, November 18. The take-home final exam will be due by 4 p.m. on Tuesday, December 16. No late assignments will be accepted unless the student has made arrangements with Professor Felcher well before the assignments due date. Midterm exam due Tuesday, Nov. 18: Museum of Fine Arts Boston case Final exam due Tuesday, Dec. 16: TBA

Determination of Student Grades: Midterm Exam: 30% Final Exam: 50% Class Participation: 20% Class Attendance: If you miss more than two classes, you will be docked between one-half and one full grade (i.e., if your final grade is an A you may go down to an A- or B+).

Course Assistant:

Lindsey Davis Stover Lindsey Davis Stover/Student/KSG Tel: 617-943-8032

Class Schedule
Thurs., October 23 - Class 1: Marketing Overview Traditional principles of marketing were formulated under the assumption that the object being marketed is a consumer product such as a soft drink, toothpaste or cereal. In this class we will discuss the core principles of consumer product marketing, and begin our analysis of how these principles can be applied to marketing in nonprofit and government organizations. Videocase: Readings: Not by Jeans Alone Text: Chapter 1

Tues., October 28 - Class 2: Developing a Marketing Mindset Readings Text: Chapters 2, 3, 18. Stewart, James B., Matchmaker, The New Yorker, August 20, 2001. http://www.lexisnexis.com.ezp1.harvard.edu/us/lnacademic/api/version1/sr?shr=t&csi=23744 2&sr=HLEAD(matchmaker)+AND+DATE+IS+08/20/2001 Questions 1. What do Andreasen and Kotler mean when they say, While marketing may use the tools of the educator or the propagandist, marketings critical distinguishing feature is that its ultimate goal is to influence behavior.? 2. Think of a non-profit organization you have worked for, or one that you know a lot about. Did the organization have an organization-centered orientation? What did it do to convey this (or not)? 3. Create a chart like the one presented in Figure 3-2 (p. 76, text) for a non-profit organization you have worked for, or one that you know a lot about. How well does the organization balance the needs of all of these publics? How could it do a better job of this? 4. Why is Erica Feidner (see Matchmaker) such a good salesperson?

Thurs., October 30 - Class 3: Audience Behavior and Research Readings Text: Chapters 4, 5. Flocks, Joan, et. al, Implementing a Community-Based Social Marketing Project to Improve Agricultural Worker Health, Environmental Health Perspectives, Vol. 109, Supp. 3, June 2001, pp. 461-468. http://ezpprod1.hul.harvard.edu/login?url=http://search.ebscohost.com/login.aspx?direct=true&db=aph &AN=5145783&site=ehost-live&scope=site Questions 1. Describe how BCOS factors drive behavior, and explain why they are particularly important to behaviors desired by non-profit organizations. How can a marketing manager use knowledge of these factors to influence target market behavior? 2. What are the elements of a community-based approach to research, as defined by Flocks, et al. in their project to improve agricultural worker health? 3. Describe and critique the various data-collection activities of the Flock, et al. project.

Tues., November 4 - Class 4: Segmentation, Targeting, and Positioning Readings Text: Chapter 6. Yankelovich, Daniel and David Meer, Rediscovering Market Segmentation, Harvard Business Review, February 2006. http://ezpprod1.hul.harvard.edu/login?url=http://search.ebscohost.com/login.aspx?direct=true&db=bth &AN=19406199&site=ehost-live&scope=site Kirkpatrick, David D., Southern Baptists Bring New York Their Gospel, The New York Times, February 15, 2004, p. 1. http://www.lexisnexis.com.ezp1.harvard.edu/us/lnacademic/api/version1/sr?shr=t&csi=6742 &sr=HLEAD(Southern+Baptists+Bring)+AND+DATE+IS+02/15/2004 Case Questions Aravind Eye Hospital, Maduri, India: In Service for Sight, HBS Case #9-593-098 1. What is Yankelovichs primary complaint about how many organizations use market segmentation today? What is his solution to this problem? 2. How are the Southern Baptists using market segmentation in New York City? 3. Dr. V. has created a target audience-centered organization. Describe how he used segmentation to reach and serve very different audiences. Going forward, what could the hospitals be doing better?

Thurs., November 6 - Class 5: Products, Offerings, and Branding Readings Text: Chapters 7, 8, 9. www.roadcrewonline.org Read enough of the website to become familiar with the Road Crew campaign. Rothschild, Michael, et. al, Reducing Alcohol-Impaired Driving Crashes through the Use of Social Marketing, Accident Analysis and Prevention, 2006. www.roadcrewonline.org/files/researchpaper.pdf (you may need to copy and paste) Berry, Leonard and Kent Seltman, Building a Strong Services Brand: Lessons from the Mayo Clinic, Business Horizons, 2007, pp. 199-209. http://ezpprod1.hul.harvard.edu/login?url=http://www.sciencedirect.com/science/article/B6W454NB7DRV-6/2/d3c9c6adf8022e34b94bcaf1931cf19b Spruill, Vikki, Build Brand Identity for Causes, Not Groups, Chronicle of Philanthropy, Vol. 13, Issue 17, June 14, 2001. http://ezpprod1.hul.harvard.edu/login?url=http://search.ebscohost.com/login.aspx?direct=true&db=aph &AN=4722677&site=ehost-live&scope=site Disney, Roy E., Shareholders Meeting Remarks, March 3, 2004. http://brandautopsy.typepad.com/brandautopsy/2004/03/roy_disney_on_t.html Questions 1. Compare the research methods used to create the Road Crew campaign with the methods used in the Flocks, et al. study (see October 30 reading). Did the Road Crew research team use appropriate methods? Why or why not? 2. Would the Road Crew budget have been better spent by hiring an advertising agency to create an anti-drunk driving ad campaign?

3. After reading the articles by Berry, Spruill, and Disney, what is your definition of branding? Is it a useful concept? Why do you think Professor Felcher often becomes apoplectic when the term is used?

Thurs., November 13 - Class 6: Actual and Perceived Costs Readings Text: Chapter 10. Shea, Christopher, A Handout, Not a Hand Up, The Boston Globe, November 11, 2007. http://www.lexisnexis.com.ezp1.harvard.edu/us/lnacademic/api/version1/sr?shr=t&csi=8110 &sr=HLEAD(A+Handout,+Not)+AND+DATE+IS+11/11/2007 Case Questions PSI: Social Marketing Clean Water, HBS Case #9-507-052 Assume that you are Sally Cowal, and that you have decided to move forward with a plan to market clean water in Zambia. Then, answer the following questions: 1. What are the barriers to marketing clean water in Zambia? 2. What are the organizational barriers within PSI that may keep Ms. Cowal from reaching her goals in Zambia? 3. How will you segment the market for clean water in Zambia? Which market(s) will you target? 4. Describe the pricing, promotion, product and distribution strategy(ies) you will use to influence the behavior of your target market(s).

Tues., November 18 - Class 7 -- MIDTERM EXAM DUE Case Museum of Fine Arts Boston, HBS Case #9-506-027

Thurs., November 20 - Class 8: Facilitating Desired Behaviors Readings Text: Chapter 11. Bertrand, Marianne, et. al, Behavioral Economics and Marketing in Aid of Decision Making Among the Poor, Journal of Public Policy & Marketing, Vol. 25, Spring 2006, pp. 8-23. http://ezpprod1.hul.harvard.edu/login?url=http://search.ebscohost.com/login.aspx?direct=true&db=bth &AN=21065901&site=ehost-live&scope=site Case Questions Population Services International, HBS Case #9-586-013 1. Why has PSIs program to sell condoms succeeded while the program to sell birth control pills has failed? 2. What changes does PSI need to make in order to successfully sell birth control pills in Bangladesh? How will your suggestions overcome the many barriers to success? 3. Do you think PSI should continue to sell birth control pills in Bangladesh? Why or why not?

Tues., November 25 - Class 9: Communication Strategies Readings Text: 12, 13, 14. www.americanlegacy.org. Read enough of the site to become familiar with the campaign. Farrelly, Matthew et. al, Evidence of a Dose Response Relationship Between truth Antismoking Ads and Youth Smoking Prevalence, American Journal of Public Health, March 2005, pp. 425-431. http://proquest.umi.com.ezp1.harvard.edu/pqdweb?index=0&did=820162831&SrchMode=1 &sid=3&Fmt=4&VInst=PROD&VType=PQD&RQT=309&VName=PQD&TS=1199894197 &clientId=11201 Sonnenfeld, S., Media Policy What Media Policy?, Harvard Business Review, JulyAugust, 1994. http://ezpprod1.hul.harvard.edu/login?url=http://search.ebscohost.com/login.aspx?direct=true&db=bth &AN=9407223207&site=ehost-live&scope=site Carter, Bill, Traces of Terror: Hollywood Group Offers First TV Spot on Tolerance Aimed at Arab World, The New York Times, September 5, 2002. http://www.lexisnexis.com.ezp1.harvard.edu/us/lnacademic/api/version1/sr?shr=t&csi=6742 &sr=HLEAD(Hollywood+group+offers)+AND+DATE+IS+09/05/2002 Forbes, Daniel, http://archive.salon.com/news/feature/2000/01/13/smart_guy/, Washington Script Doctors, January 13, 2000. Questions 1. The Road Crew campaign does not use traditional advertising to attack the problem of drunk driving, while American Legacy has spent millions of dollars in advertising to eliminate teenage smoking. What are the advantages and disadvantages of these very different approaches to solving societal problems? Under what set of circumstances is each appropriate? 2. After reading the Farrelly et al. article, do you conclude that the truth campaign succeeded, or not? Why?

Tues., December 2 - Class 10: The Travel-Lite Portable Crib: When Federal Regulators Dont Understand, or Do Marketing Readings Questions None ! None !

Thurs., December 4 - Class 11: Guest Speaker, TBA

Tues., December 9 - Class 12: Marketing, Propaganda, and Ethics Readings Goodman, David, Recruiting the Class of 2005, Mother Jones, January/February 2002. http://www.motherjones.com/news/feature/2002/01/rotc.html

Perlez, Jane, Livening Up Todays Lesson, Courtesy of Uncle Sam, New York Times, August 7, 2006. http://www.lexisnexis.com.ezp1.harvard.edu/us/lnacademic/api/version1/sr?shr=t&csi=6742 &sr=HLEAD(Livening+Up+Todays)+AND+DATE+IS+08/07/2006 Perlez, Jane, Muslim-As-Apple-Pie Videos are Greeted with Skepticism, New York Times, October 30, 2002. http://www.lexisnexis.com.ezp1.harvard.edu/us/lnacademic/api/version1/sr?shr=t&csi=6742 &sr=HLEAD(Muslim-As-Apple-Pie+Videos+are)+AND+DATE+IS+10/30/2002 Cooper, Helene, Veteran Bush Aide Resigns as Envoy to Return to Texas, New York Times, November 1, 2007. http://www.lexisnexis.com.ezp1.harvard.edu/us/lnacademic/api/version1/sr?shr=t&csi=6742 &sr=HLEAD(Veteran+Bush+Aide)+AND+DATE+IS+11/01/2007 Questions 1. For each of the first three readings, answer the following questions a. Is this marketing or propaganda? Why? b. Is it ethical? 2. Why do you think Ms. Hughes and her predecessors failed? Did they have a doable marketing task, or not?

STM-131 F08m - syllabus.doc November 5, 2008