Nonprofits & Competitive Intelligence: A Good Combination

By Yvonne Davis

Competitive intelligence is a process for evaluating your organization and its business position within a given industry.  

Before there is a collective “throwing of hands in the air” and saying we are not Procter & Gamble or Nvidia (big companies familiar with their competitors), let’s take a look at some of the basic steps in competitive intelligence analysis that are also very familiar in the nonprofit world.

• Define the goals of the organization – where are we going, and how will we get there? 
• Identify competitors – given the large number of nonprofit groups in the US and worldwide all seeking funds and recognition, who are the groups most like us, and how can we distinguish ourselves from the rest?
• Gather data – do our homework and try to learn from “success” stories. 
• Analyze market communications – study marketing in this sector, find out what works, and identify the successful groups/players. 
• Evaluate impacts – what works and what doesn’t help to refine your group’s strategies? 

These are very good benchmarks for all businesses, regardless of nonprofit status.

A survey conducted in 2005 studied the various fundraising techniques employed by nonprofits. A web-based survey polled members of the Association of Fundraising Professionals on their uses of specific competitive intelligence strategies, particularly environmental scanning, use of focus groups, and database research. “It was found that nonprofits are using some competitive intelligence methods, but find that a lack of time, a lack of funds, and a lack of staff are prohibiting factors in implementing any full-scale competitive intelligence process.”

A 2019 article discusses steps nonprofits can take to understand more about their competitors, such as learning basic information and determining who their target audiences are, their mission and values, their core messaging, their unique value proposition, and the programs they offer.

In a 2021 LinkedIn post, Stacy Zinken zeroed in on the need for CI research and researchers in her article “Competitive Intelligence: Powering Nonprofits With Research”. She makes the case that nonprofits need to include CI research and research professional staff to ”lend their powerful skill sets to help nonprofit organizations be successful in driving their missions.”

Adding CI to your nonprofit toolkit is essential in adding strategy and clarity to an organization’s mission.

Yvonne M. Davis is Principal Researcher @ ResearchINC in Cincinnati, OH, an independent information business specializing in competitive intelligence, market analysis, and market penetration for startup and other business ventures. Other projects include SWOT Analysis, Business OSINT, and CRM migration and maintenance.             

Yvonne has been an info pro for over 30 years. Her professional journey has taken her from business/law librarianship to competitive intelligence analysis and research.