Tips for Building Your Nonprofit’s Value Proposition
Competition is tough in the nonprofit world. How do you stand out in a sea of nonprofits who are working towards the same mission? Cue, the value proposition.
A value proposition is a short description of what your organization can provide in exchange for financial support. Writing a compelling value proposition starts with understanding what motivates people to act on the problem you are trying to solve. Honing in on this psychological factor will serve as a baseline for creating your value proposition.
Below, we’ll list out a few pointers for whipping your value proposition into tip top shape.
Step 1: Dig into the problem
The unfortunate truth is that there are very few things that motivate someone to support a cause, whether that’s financially or facilitating public discussions. That’s why it’s important to make the connection between the problem your organization is trying to solve, and the people you’re looking to for support. Let’s take climate change as an example. While this impacts everyone, an individual themselves might find the topic overwhelming. But the more you can explain how an issue will affect someone directly, the greater chance you’ll have of receiving contributions.
Step 2: Be clear
Determining your value proposition is just the first step — it’s another to convey it in a way that makes sense to an audience. While many nonprofits have a good understanding of their value proposition, few know how to articulate it. It’s important to get this right, because funders will need to have a clear understanding of how their money is going to be spent. A good tip for achieving success in this area is to provide data. For example, in 2019, UNICEF reached 307 million children under the age of 5 with services to prevent malnutrition. Showcasing hard data can show you have evidence to back up your claims.
Step 3: Look ahead
It’s one thing to show what you’ve accomplished, and another to show how you will continue to drive that motivation. After all, nonprofits are working to solve the world’s most complex challenges — many of which profit-driven organizations aren’t willing to risk. What action items are needed in order for your mission to move forward? What solutions distinguish your nonprofit from others — especially those tackling similar challenges?
Step 4: Finalize
Your value proposition should be a combination of your problem, solution, and mission. Keep it concise, but powerful. Less is more when it comes to value propositions, as funders have competing demands.
And there you have it! We hope you feel empowered to capitalize on your nonprofit’s value proposition.
RBW Strategy can help create compelling value propositions to secure support in line with your nonprofit’s mission and programs/services. Our grant consulting services can be tailored to your organization’s specific goals and objectives. Contact us today to get started.