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Return on Investment for Nonprofits, The No-nonsense way

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Written by Thomas Baekdal on January 17, 2013

Measuring ROI is going to be the biggest trend of 2013, and in this two part series, I'm going to make this very simple for you to do right. This first part is all about non-profits, because it's a way to encourage you to think about the real objective, rather than the money.

The problem is that many seem to have no clue as to what real ROI actually is, nor what to measure, nor what objectives to set, nor the actual cost of doing it. Marketing managers still don't understand that measuring ROI is both extremely simple, and very easy to do. There is no mystery to it.

In this article I'm going to simplify things for you in an extreme way, and give an approach to measuring real ROI in the easiest and the most no-nonsense way possible. An approach that anyone can do, whether you are an intern or a community manager with a business degree.

Then next week we are going to look at the same thing, just from the perspective of for-profit brands, who are all about maximizing revenue and profit.

The Concept

To make really simple, I'm going to setup a scenario of a non-profit that aims to give as many homeless people a sleeping bag/jacket for the winter months. That's a beautiful goal.

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