Comments on: The Commodity Nonprofit http://tacticalphilanthropy.com/2008/05/the-commodity-nonprofit Thu, 08 Jan 2009 21:58:34 +0000 http://wordpress.org/?v=2.7 hourly 1 By: Sean Stannard-Stockton http://tacticalphilanthropy.com/2008/05/the-commodity-nonprofit/comment-page-1#comment-3491 Sean Stannard-Stockton Sun, 18 May 2008 02:30:57 +0000 http://tacticalphilanthropy.com/2008/05/the-commodity-nonprofit#comment-3491 Great points Gabi. If a nonprofit is offering a service that is identical to for-profits, than I'd wonder why they exist. If they do, they SHOULD be offering it at a lower cost. However, I would argue that most nonprofits offer something that for-profits do not offer. I think the key is for nonprofits to recognize that their "nonprofitness" (great word) is not the only thing that sets them apart. Instead they should examine why they exist and figure out how they serve the world in a way that for-profits do not. Great points Gabi. If a nonprofit is offering a service that is identical to for-profits, than I’d wonder why they exist. If they do, they SHOULD be offering it at a lower cost. However, I would argue that most nonprofits offer something that for-profits do not offer.

I think the key is for nonprofits to recognize that their “nonprofitness” (great word) is not the only thing that sets them apart. Instead they should examine why they exist and figure out how they serve the world in a way that for-profits do not.

]]> By: Gabi http://tacticalphilanthropy.com/2008/05/the-commodity-nonprofit/comment-page-1#comment-3451 Gabi Thu, 15 May 2008 17:35:45 +0000 http://tacticalphilanthropy.com/2008/05/the-commodity-nonprofit#comment-3451 I think this might in fact be a useful comparison since in the end it's often about the additional "value" that a nonprofit brings to the delivery of its service. So, for instance having VolunteerMatch build out a company's volunteering program brings additional value to the table that a for-profit web applications provider simply can't provide. The web app is a commodity in a sense, but VolunteerMatch's values, network, and experience makes it a premium service. Of course the rub is that the IRS asks that as nonprofits we offer services below the cost of equivalent for-profits. But what are equivalent for-profit services when what sets us apart is our "nonprofitness"? I know, that's not a real word :) I think this might in fact be a useful comparison since in the end it’s often about the additional “value” that a nonprofit brings to the delivery of its service. So, for instance having VolunteerMatch build out a company’s volunteering program brings additional value to the table that a for-profit web applications provider simply can’t provide. The web app is a commodity in a sense, but VolunteerMatch’s values, network, and experience makes it a premium service.

Of course the rub is that the IRS asks that as nonprofits we offer services below the cost of equivalent for-profits. But what are equivalent for-profit services when what sets us apart is our “nonprofitness”? I know, that’s not a real word :)

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