I'm working on workshop curriculum and a presentation about ROI and Nonprofit Technology for Legal Services Conference. I'm focusing on Part 4: Effective Ways to Make Your Case. Numbers alone won't do it. You need stories. That brought me to the question of "What are effective ROI storytelling techniques?"
Ed Mitchell posted a summary from the online community ROI report that looks at effective communication related to online community projects. (The full report is here) I wonder if all or some of these are relevant for nonprofit technology?
- Report Direct Revenue: Report on direct revenue from Community Members.
- Establish Comparative Costs: Compare cost of the same result or activity in other media, like blog post comments vs. the cost of hosting a focus group.
- Communicate Cost Savings: Cost savings by hosting community, including support call deflection. Word of mouth vs. traditional marketing vehicles.
- Compare value of Member vs. Non-Member: Track and compare activity of subset of community member vs. non-member activity, including activity outside of community.
- Highlight the Direct Connection: Communicate the disintermediation opportunity for businesses, especially if your business is not directly selling to customers. Their online community creates a connection with the customer during and after the sale being handled by channel.
- The 24/7 Focus Group: A subset of your community will be giving real-time feedback on initiatives, products and company activities. “Human voice compliments the numbers.”
- Evangelist Creation and Mentoring: Communities attract your biggest fans and give them a place to connect with others, in the process creating new evangelists.
- Communicate the Cost of Not Being Engaged: Including increased marketing spend, and the threat of competitors engaging prospects and taking existing customers.
- “Value for all Departments” Communicate the broad value back to the management
What are your techniques? Do you have an example of a good ROI story telling?