From Insight to Impact: Market Research for Nonprofit Success

Why do some nonprofits seem to have the secret sauce for success while others struggle to gain traction? The answer lies in a tool that's too often overlooked: market research. This isn't just about crunching numbers; it's about unlocking the rich, compelling stories of the people you serve. Yet far too many organizations miss out on the profound insights that market research can provide — insights that can revolutionize their brand strategy and amplify their impact.

Bridging the Gap Between Assumption and Reality

In the philanthropic world, time and money are always in short supply. With budgets stretched thin and staff pulled in countless directions, it's tempting to put market research on the back burner. However, nonprofits can't afford not to invest in this vital tool. Market research bridges the gap between assumptions and reality, diving deep into the often unheard voices of the people at the heart of your mission. It empowers you not just to make educated guesses but to craft strategies with precision. 

Through market research, you can create messages that resonate deeply with your audience, design programs that directly address the challenge you want to solve and build genuine connections with existing and potential donors alike.

Market Research Case Studies: Hands on Tokyo and HoMie

But don’t just take my word for it. Let’s look at Hands On Tokyo as an example. The nonprofit is dedicated to transforming the perception of volunteerism in Japan. Faced with the challenge of engaging more community members in volunteer activities, they turned to us at 10K Humans for help. 

At the annual Cherry Blossom Festival, we interviewed more than 80 festival goers to gather insights on how locals view and participate in volunteer work. These insights provided Hands On Tokyo with a deeper understanding of the motivations and barriers faced by potential volunteers. In turn, the organization was better able to tailor their initiatives to meet the community's needs and inspire greater involvement.

We’ve also worked with organizations like HoMie, a Melbourne-based social enterprise with the mission to support young people affected by homelessness. Despite a strong brand image and high customer satisfaction, online sales lagged in comparison to in-store purchases. We collaborated with HoMie to evaluate consumer perceptions and enhance the online shopping experience, focusing on increasing repeat purchases and identifying barriers in the e-commerce funnel. We interviewed both existing and potential customers and recommended that HoMie launch targeted social media campaigns — especially to female shoppers — that highlight their products and impact to strengthen customer connections. 

By making adjustments to the website, tweaking product offerings, and improving communication about the brand's nonprofit status, HoMie was able to create a more engaging online presence.

5 Market Research Tips for Nonprofits

If you, too, want to leverage the power of market research, here are a few tips to help you get started.

1. Get creative with your resources. Market research doesn't have to be a costly endeavor, especially if you look for innovative ways to gather insights. This might mean reallocating a portion of your budget or tapping into the skills of volunteers who are eager to help. Consider partnering with local universities where students might look for real-world projects to gain experience. Crowdsourcing and community-driven initiatives can also be effective and low-cost ways to gather valuable data.
2. Focus on relationships. Your community isn't just your target audience but also your change partners. Building strong relationships with the people you serve is crucial. Use relational fundraising to engage with your community through surveys, focus groups and informal conversations to truly understand their needs and motivations. Treat these interactions as opportunities to build long-lasting partnerships rather than just transactional exchanges.
3. Stay curious. Market research isn't a one-and-done deal; it's an ongoing journey of discovery. Stay curious and keep asking questions. The needs of your community may change over time, so it's important to continuously gather and analyze data. Regularly scheduled surveys, feedback loops and community check-ins can help you stay attuned to these changes.
4. Have a plan. Don't collect data for the sake of it; have a clear plan for how you'll use it to drive decision-making and achieve your goals. Information without direction is just noise. Before collecting data, define specific goals and key performance indicators that will guide your research efforts.
5. Involve your stakeholders. You don't have to do it alone — get your board involved in financing this initiative. Market research is a crucial investment in your nonprofit's future, and your board should recognize its importance. Engage your board members in discussions about the value of market research and how it can drive impact. Present a compelling case for why funding this initiative is essential and seek their support in securing the necessary resources.

So, take the first step today by scheduling a brainstorming session with your team to explore how you can integrate market research into your strategic planning. Embrace this journey of discovery and watch your nonprofit thrive as you uncover new opportunities to connect with those who matter most.

The preceding blog was provided by an individual unaffiliated with NonProfit PRO. The views expressed within do not directly reflect the thoughts or opinions of NonProfit PRO.