According to new survey data from Constant Contact®, Inc., the challenge of attracting new supporters is keeping 64% of nonprofits up at night. While the Constant Contact 2012 Nonprofit Pulse Survey revealed nonprofit concerns related to cash flow and staff levels, it also revealed that 58 percent find social media marketing an effective marketing tool that can be deployed to address these concerns.

1. Constant Contact Nonprofit Pulse
The Health and Wellness of Nonprofits
Based on Research Conducted in Spring 2012
Copyright © 2012 Constant Contact Inc. 1

2. In This Report
 What’s Keeping Small Nonprofits Up at Night?
 Nonprofit Marketing Activities
 The Health of Nonprofits
 About This Report
Copyright © 2012 Constant Contact Inc. 2

3. 1. What’s Keeping Nonprofits
Up At Night?
Copyright © 2012 Constant Contact Inc. 3

4. Attracting new supporters, engaging existing supporters and getting
funding are the top marketing concerns for nonprofits surveyed
When you think about how to run your organization most
effectively, which of the following “keeps you up at night”?
64%
59% 57%
34%
22% 20% 20% 18%
15%
How to attract How to connect Getting funding Having a more How to make How to measure How to identify How to get How to stay on
new supporters and better integrated my marketing the impact of my and select the referrals from top of the latest
engage with communication dollars go marketing best marketing current in online
existing strategy further campaigns tools supporters marketing
supporters trends
Copyright © 2012 Constant Contact Inc. 4

5. Getting funding is the #1 concern for nonprofits
Of the items that keep you up at night, which do you rank #1?
57%
41%
37%
22%
15%
12% 11%
7% 5%
Getting fundingto connect and Havingengage with existing supporters to make mymarketing tools How to get onlinemeasure the impact of my marketi
How to attract new supporters more integrated communication strategy stay on topdollars latest in referrals from current supporters
How better a How to identify and select the best marketing of the go further to marketing trends
How How to How
Copyright © 2012 Constant Contact Inc. 5

6. 2. Nonprofit Marketing
Activities
Copyright © 2012 Constant Contact Inc. 6

7. Email marketing, websites, in-person interactions, events
and social media are effective for the majority of nonprofits
Which marketing activities do you find to be effective for your
organization today?
86%
80%
73% 70%
58%
36%
32% 30%
23%
12% 5% 3%
Email marketingWebsite
In-person interactions Social media marketing calls Direct mail
Events Phone Traditional advertisingOnlineOnline advertising (paid search, etc.)
Public relations (print, radio, TV, etc.)
surveys and polls Other, please speci
58% of nonprofits find social
media marketing effective.
Copyright © 2012 Constant Contact Inc. 7

8. Of those finding social media effective, Facebook is far and
away the most effective network
If social media is effective for your organization, which
network do you find the most effective?
88%
5% 3% 1% 1%
Facebook Twitter LinkedIn Google+ YouTube
Copyright © 2012 Constant Contact Inc. 8

9. In-person interactions are the most effective marketing
activity
Of the items you find to be effective, which do you rank as
the #1 most effective?
60%
50%
50%
40%
30%
27%
20%
20%
18%
10% 13% 12%
10%
7% 7% 3% 0%
0%
In-person interactionsmarketing
Traditional advertising (print, Direct TV, etc.)
Email radio, mail Website Events Public relations honeSocial media marketing advertising (paid search, et
P calls OnlineOnline and polls
surveys
Copyright © 2012 Constant Contact Inc. 9

10. Social media marketing is the topic nonprofits want help with
most
Marketing activities do you need help with?
70%
60%
50%
57%
40%
30% 36% 35%
20%
21% 19% 19% 19%
10% 14%
11% 11% 9%
0%
Social media marketing
Email marketingWebsite Public relations
OnlineOnline advertising (paid search, etc.) Phone calls Direct mail Traditional advertising (print, radio
surveys and polls Events In-person interactions
55% of nonprofits ranked social media as the #1
marketing activity they need help with signaling they
see it’s potential to attract new supporters and better
engage existing supporters.
Copyright © 2012 Constant Contact Inc. 10

11. Nonprofits believe nearly three quarters of their supporters are
likely to recommend their organization to a friend or colleague
What percentage of your supporters are likely to
recommend your organization to a friend or a colleague?
73%
The likelihood of supporter
referrals is a dynamic that
could be greatly amplified
with the use of social
media marketing.
Copyright © 2012 Constant Contact Inc. 11

12. Nonprofits spend 36% of their time and 18% of their budget on
marketing
Hours nonprofits work Budget spent on marketing
per week activities
43.5
18%
15.8
Total hours Marketing hours
Copyright © 2012 Constant Contact Inc. 12

13. 3. The Health of Nonprofits
Copyright © 2012 Constant Contact Inc. 13

14. The majority of nonprofits surveyed are stable or growing
compared to 2011
How has your organization done so far this year?
49%
39%
12%
Membership/funding increased Membership/funding remained flat Membership/funding decreased
Copyright © 2012 Constant Contact Inc. 14

15. Many nonprofits are expecting significant growth this
year, few are expecting a major decrease
 67% of nonprofits expect 2012 membership/funding to increase over their
2011 revenues with 31% expecting an increase of more than 10%.
Membership/Funding expectations this year compared to last
40%
35%
36%
30%
31%
25%
20% 24%
15%
10%
5%
4% 3%
0%
Increase more than 10% Increase less than 10% Remain flat Decrease less than 10% Decrease more than 10%
Copyright © 2012 Constant Contact Inc. 15

16. While funding is rising, cash flow is affecting growth for
over 40% of nonprofits
 Struggle with cash flow is evident with both rising costs and service offerings
 46% of nonprofits are experiencing increased operating costs
 51% have increased the number of services they offer
Is your cash flow sufficient to run your organization effectively?
60%
50% 55%
40%
30%
20%
29%
10% 14%
0%
Yes, I have adequate cash flow No, my cash flow is inadequate and is No, my cash flow is inadequate and is barely
preventing me from growing enough to maintain current operations
Copyright © 2012 Constant Contact Inc. 16

17. Over one third of nonprofits need to hire additional staff
but can’t
 So far this year 67% of nonprofits have kept their number of employees
the same, 14% have decreased their number of employees.
Will you be hiring additional full-time equivalent (FTE) employees
in the next 6 months?
39%
35%
16%
10%
Yes No, I’m doing fine as is No, I need to but can’t Unsure
Copyright © 2012 Constant Contact Inc. 17

18. About this study
 This is the first wave of an
ongoing study about the
state of nonprofits and
the ways they connect with
and grow their audience.
 We surveyed over 1000 participants in the Constant Contact Small Biz Council – a
research panel of US small businesses and nonprofits recruited from the Constant
Contact customer base – between April 24 and May 8, 2012.
 This report includes responses from 307 nonprofit participants.
 Media Contact Annual budget size for nonprofits
Erika Dornaus included in this study
Constant Contact
3% Under $100,000
(781) 482-7039
18% 25%
pr@constantcontact.com $100,000 –
$250,000
13% $250,001 –
20% $500,000
$500,001 – $1
20%
million
Copyright © 2012 Constant Contact Inc. 18