These are difficult times for Fundraisers planning their 2009 campaigns. A few basic tips:
Communication is most important in fundraising...let your donors know your plans/needs!
Make your current and future donors feel proud, important and needed as they have a lot on their minds. Keep your focus on the donor. They cannot doubt your needs!
Spotlight on the basics, no trick plays; communicate, recognize and reward donors with praise and visible thanks. They are your most important asset.
When is the right time to fundraise? Now if you are prepared. Do not cut back on fundraising spending-if anything be more aggressive in your plans. The more you ask the more you receive.
Spending less on fundraising will be a self-fulfilling prophecy.
Be passionate about your cause, volunteers and staff. If leadership gets down so does the entire base! Use recognition as a motivational means to increase gifts.
Do not be afraid to ask for the gift perhaps structured over a longer amount of time. Do not be timid or pessimistic but compassionate with a donors situation.
Be prudent in your recognition spending, yet remember recognition brings in more money as you outline your needs in a very visible format for all to see.
Tuesday, October 28, 2008
I cannnot take complete credit for this idea as I read it on a Auctioneer Forum, but it is certainly a new one on me!
Take 3 pies and have organization pick someone to set in a chair in front of everyone.Then the Auctioneer auctions the pie off for someone to pie the person sitting in the chair.After they are done the person that got pied can pick anyone they want out of the audience.Whoever they pick can buy their way out for a certain amount unless someone starts bidding against them and wins.
If the person doesn't want to pay they can get pie in their eye.This usually generates some extra money and a lot of fun.I've never laughed so hard at a Salvation army benefit.You can see a picture on the web site. http://www.almightyauctions.com. Try it they will love it. In fact someone from Hawaii heard about the Pie in your eye while on an airplane and the event was held in Montana.
Take 3 pies and have organization pick someone to set in a chair in front of everyone.Then the Auctioneer auctions the pie off for someone to pie the person sitting in the chair.After they are done the person that got pied can pick anyone they want out of the audience.Whoever they pick can buy their way out for a certain amount unless someone starts bidding against them and wins.
If the person doesn't want to pay they can get pie in their eye.This usually generates some extra money and a lot of fun.I've never laughed so hard at a Salvation army benefit.You can see a picture on the web site. http://www.almightyauctions.com. Try it they will love it. In fact someone from Hawaii heard about the Pie in your eye while on an airplane and the event was held in Montana.
Wednesday, October 22, 2008
Ringmen or Bid Spotters?
As a Fundraising Auctioneer, I spend a good bit of time speaking to Non-Profit Organizations about their Benefit Auctions and how to best maximize the profitability of the event. I have spent many hours discussing the need for a Professional Auctioneer to call a Charity Benefit Auction. In this blog I'd like to focus on the Ring Crew, sometimes called "Bid Spotters"
So we are all on the same page, lets define a "Bid Spotter" or "Ringman". These are the individuals out in the crowd, helping the Auctioneer connect with the Bidder. In a room of 500, 800 or even more attendees its simply impossible for one person no matter how experienced an Auctioneer he/she may be to see everyone.
Many Charity Auctions utilize well meaning volunteers for this task. Spouses of committee members, maybe young people from a local Fraternity, Sorority of Service Club or even staff. While this might seem to be a wise, and frugal decision it can actually cost an organization a great deal of money. The well meaning volunteer many times has another job that night, has paid for a ticket and therefore wants to enjoy the event, or is not comfortable actually going after that extra bid, and if they are may accidentally do it in such a way that they offend the bidder. This is not their fault. Its no different than asking a Local Newscaster or politician to be an Auctioneer. They are neither trained nor experienced in this type of work.
The best quote I ever heard on Ring Crew members Vs. Bid Spotters was by Dustin Taylor of Albertville Alabama. He said," A professional Ringman makes the bid happen where a volunteer bid spotter waits for the bid to happen." The professional ringman knows Who, What, Where, Why and How when it comes to performing at any type of Auction.
Who- This is simple, a Ringman knows who is bidding at all times, and who the last bidder was. Also, if he/she is trained they have worked the crowd ahead of time and know who wants that nice necklace or that trip to Paris. When it comes up, they are ready to sell!
What- The Ringman knows what the bid as and what the ask is. Many ringmen work primarily with the same Auctioneers. They know their chants, their mannerisms and their tendencies. They have also familiarized themselves with the detail of each trip, package or item being sold. Carat weight of the Ring, or the Travel arrangements that go with the trip or the details of the date with that bachelor.
When- A professional knows when the bidder they are working is done. He/she can read body language, so they know when to ask for more and when to walk away. They also know when to arrive at the Auction and when the job is done and its time to relax.
Why- A Professional Ringman, because of his training and experience knows why that man HAS to have that fishing trip and why that other guy won't let him get it! He has spoken to both of these bidders during the time leading up to the Auction. He knows the rationale and the desires behind the bidders. He asks questions, gets answers in the most informal of conversations he can glean from the bidders the information he needs before the Auction even begins!
Where- A Professional Ringman knows where the current bid came from and where the one before that came from and even the one before that. He knows where the next bid is likely to come from and where to go if those bids dry up to find more.
How- A Professional Ringman knows how to help generate more bidder participation. and how to communicate with their Auctioneer and other ringman and how to assist other ringman when needed.
In short a volunteer "Bid Spotter" simply does not know the basic important fundamentals of serving as a professional. They have their own careers, hobbies and interests and maybe serve in this capacity once a year. Its not reasonable to expect them to be experts at this.
A few other things to note when using that well meaning volunteer as your "Bid Spotter"
Is he a big supporter of your cause? If so, would he not bid? If he is to busy "Bidspotting" he can't bid on what he wants. If you are using the "Paddles Up method this might cost you $5,000 or more.
If he wants to participate in the event has he been drinking? If he bought a $250 ticket he certainly has a right to the Open Bar, but how effective of a "BidSpotter" will he be?
If he bought a $250 ticket he may want to have dinner and rightly so. This gives him little time to work the crowd and get the information a professional ringman would obtain.
If you are using staff, how many other duties and tasks do they have that evening? Are they the right people to encourage those board members?
Can they communicate with your Auctioneer? Can they follow his chant? Have they had time to adequately meet with him/her to learn his mannerisms and tendencies? If you using a volunteer Auctioneer that well meaning Newscaster or celebrity this aggravates the challenge.
Finally, this quote from Brian Rigby sums it up well. "A good ringman also knows what they are worth and they maintain a professional image with a high level of ethics."
Can you afford to have anyone else representing your organization with hundreds of supporters at your gala?
So we are all on the same page, lets define a "Bid Spotter" or "Ringman". These are the individuals out in the crowd, helping the Auctioneer connect with the Bidder. In a room of 500, 800 or even more attendees its simply impossible for one person no matter how experienced an Auctioneer he/she may be to see everyone.
Many Charity Auctions utilize well meaning volunteers for this task. Spouses of committee members, maybe young people from a local Fraternity, Sorority of Service Club or even staff. While this might seem to be a wise, and frugal decision it can actually cost an organization a great deal of money. The well meaning volunteer many times has another job that night, has paid for a ticket and therefore wants to enjoy the event, or is not comfortable actually going after that extra bid, and if they are may accidentally do it in such a way that they offend the bidder. This is not their fault. Its no different than asking a Local Newscaster or politician to be an Auctioneer. They are neither trained nor experienced in this type of work.
The best quote I ever heard on Ring Crew members Vs. Bid Spotters was by Dustin Taylor of Albertville Alabama. He said," A professional Ringman makes the bid happen where a volunteer bid spotter waits for the bid to happen." The professional ringman knows Who, What, Where, Why and How when it comes to performing at any type of Auction.
Who- This is simple, a Ringman knows who is bidding at all times, and who the last bidder was. Also, if he/she is trained they have worked the crowd ahead of time and know who wants that nice necklace or that trip to Paris. When it comes up, they are ready to sell!
What- The Ringman knows what the bid as and what the ask is. Many ringmen work primarily with the same Auctioneers. They know their chants, their mannerisms and their tendencies. They have also familiarized themselves with the detail of each trip, package or item being sold. Carat weight of the Ring, or the Travel arrangements that go with the trip or the details of the date with that bachelor.
When- A professional knows when the bidder they are working is done. He/she can read body language, so they know when to ask for more and when to walk away. They also know when to arrive at the Auction and when the job is done and its time to relax.
Why- A Professional Ringman, because of his training and experience knows why that man HAS to have that fishing trip and why that other guy won't let him get it! He has spoken to both of these bidders during the time leading up to the Auction. He knows the rationale and the desires behind the bidders. He asks questions, gets answers in the most informal of conversations he can glean from the bidders the information he needs before the Auction even begins!
Where- A Professional Ringman knows where the current bid came from and where the one before that came from and even the one before that. He knows where the next bid is likely to come from and where to go if those bids dry up to find more.
How- A Professional Ringman knows how to help generate more bidder participation. and how to communicate with their Auctioneer and other ringman and how to assist other ringman when needed.
In short a volunteer "Bid Spotter" simply does not know the basic important fundamentals of serving as a professional. They have their own careers, hobbies and interests and maybe serve in this capacity once a year. Its not reasonable to expect them to be experts at this.
A few other things to note when using that well meaning volunteer as your "Bid Spotter"
Is he a big supporter of your cause? If so, would he not bid? If he is to busy "Bidspotting" he can't bid on what he wants. If you are using the "Paddles Up method this might cost you $5,000 or more.
If he wants to participate in the event has he been drinking? If he bought a $250 ticket he certainly has a right to the Open Bar, but how effective of a "BidSpotter" will he be?
If he bought a $250 ticket he may want to have dinner and rightly so. This gives him little time to work the crowd and get the information a professional ringman would obtain.
If you are using staff, how many other duties and tasks do they have that evening? Are they the right people to encourage those board members?
Can they communicate with your Auctioneer? Can they follow his chant? Have they had time to adequately meet with him/her to learn his mannerisms and tendencies? If you using a volunteer Auctioneer that well meaning Newscaster or celebrity this aggravates the challenge.
Finally, this quote from Brian Rigby sums it up well. "A good ringman also knows what they are worth and they maintain a professional image with a high level of ethics."
Can you afford to have anyone else representing your organization with hundreds of supporters at your gala?
Tough Times
Andrea Ball the Non-Profit Writer for the Austin American Statesman recently wrote an article about how the sagging national economy is hitting some Central Texas charities in concrete ways: dwindling donations, program cutbacks and even layoffs.
She referenced several Central Texas Charities, some that had had to cease operations for a period of time and one that been forced to lay off seven people, or 10 percent of its staff, last month.
A National Organization running two national hot lines for people in crisis has seen a $750,000 drop in its hot line funding — 13 percent of the programs' combined $5.6 million budget.
All of these organizations had the same lament: "We just aren't getting the corporate support we used to.”
However, she notes that some nonprofits are doing as well as they did last year, and some are even expanding.
Andrea references one Texas Non-Profit that has already raised 18 percent more money this year than it did in all of 2007.
What do you think this organization was doing that the others were not? I would submit that they were taking the time to show supporters why they are worthy of financial contributions and finding new and innovative ways to reach donors.
Someone once told me there are only two ways to raise more money. Get more money from your existing Donors, OR find new donors.
It’s a common myth and almost wishful thinking to expect an IBM, or Dell, or US Steel to fund your organization. The vast majority of giving comes from individuals and individuals make their decisions many times based on personal involvement and perception of value. It’s the responsibility of an organization to think about the way they're being perceived and what the value of their services is to the community. It can't just be 'We're great, we have a great reputation, and we're vital. Fork it over!’
Studies have shown that corporate gifts to foundations and other nonprofits slow down during hard times. According to Giving USA, a foundation that publishes data and trends about the nonprofit sector, charitable donations did not keep pace with inflation during economic slumps in 1973 and 2001. The message is clear. Don’t count on those big corporate gifts to pull you through.
This makes Fundraising efforts that depend on individuals even more vital than they were just a few years ago. Your Annual Campaign, your Golf Tournament & Sporting Clay, your Charity Benefit Auction are all important. Ask yourself:
Do these events maximize profitability?
Are the same donors coming to three events? Are we “Nickel & Diming” them?
Is there a way to tap into new donor pools?
Are we being consistent with our message?
I am a Charity Benefit Auctioneer. I know Fundraising Auctions, how to organize them and how to maximize there effectiveness. I have learned all this from 20 years of Non-Profit fundraising experience. BUT even I know that if you have all your eggs in a “Charity Auction Basket” you are playing roulette and you will eventually lose.
Diversify your fundraising strategy. Make every effort to keep your existing donors and let the community know that you are important. Be specific. How many families do you serve? What progress has been made toward the cure? How many Scouts from the inner city went to New Mexico and what kind of experience did they have? Put a face to your work and you’ll come out of this stronger and more efficient for the ordeal.
She referenced several Central Texas Charities, some that had had to cease operations for a period of time and one that been forced to lay off seven people, or 10 percent of its staff, last month.
A National Organization running two national hot lines for people in crisis has seen a $750,000 drop in its hot line funding — 13 percent of the programs' combined $5.6 million budget.
All of these organizations had the same lament: "We just aren't getting the corporate support we used to.”
However, she notes that some nonprofits are doing as well as they did last year, and some are even expanding.
Andrea references one Texas Non-Profit that has already raised 18 percent more money this year than it did in all of 2007.
What do you think this organization was doing that the others were not? I would submit that they were taking the time to show supporters why they are worthy of financial contributions and finding new and innovative ways to reach donors.
Someone once told me there are only two ways to raise more money. Get more money from your existing Donors, OR find new donors.
It’s a common myth and almost wishful thinking to expect an IBM, or Dell, or US Steel to fund your organization. The vast majority of giving comes from individuals and individuals make their decisions many times based on personal involvement and perception of value. It’s the responsibility of an organization to think about the way they're being perceived and what the value of their services is to the community. It can't just be 'We're great, we have a great reputation, and we're vital. Fork it over!’
Studies have shown that corporate gifts to foundations and other nonprofits slow down during hard times. According to Giving USA, a foundation that publishes data and trends about the nonprofit sector, charitable donations did not keep pace with inflation during economic slumps in 1973 and 2001. The message is clear. Don’t count on those big corporate gifts to pull you through.
This makes Fundraising efforts that depend on individuals even more vital than they were just a few years ago. Your Annual Campaign, your Golf Tournament & Sporting Clay, your Charity Benefit Auction are all important. Ask yourself:
Do these events maximize profitability?
Are the same donors coming to three events? Are we “Nickel & Diming” them?
Is there a way to tap into new donor pools?
Are we being consistent with our message?
I am a Charity Benefit Auctioneer. I know Fundraising Auctions, how to organize them and how to maximize there effectiveness. I have learned all this from 20 years of Non-Profit fundraising experience. BUT even I know that if you have all your eggs in a “Charity Auction Basket” you are playing roulette and you will eventually lose.
Diversify your fundraising strategy. Make every effort to keep your existing donors and let the community know that you are important. Be specific. How many families do you serve? What progress has been made toward the cure? How many Scouts from the inner city went to New Mexico and what kind of experience did they have? Put a face to your work and you’ll come out of this stronger and more efficient for the ordeal.
Tuesday, October 21, 2008
Auction Tips
Tips for a Successful Live Auction
1. Use a great sound system
2. Maintain a smooth flow all night long
A. Simple Check-in/Check out
B. Start Live Auction Early; Avoid long winded speeches
C. Close Silent Tables before live auction starts
D. Hold live auction first, entertainment later
3. Live Auction – 1/2 Hour
A. 12-15 items plus a paddle raiser
B. Attention spans are limited
4. Paddles Up & Special Appeal
A. Specific Need
B. Start where you know the money is
C. High to Low
D. Middle of the Auction
5. Avoid Commercial Art
A. Art seldom sells well at a fundraising Auction
B. A Piece with sentimental or unique value may be the exception
6. Don’t use minimum bids
A. Minimum Bids stifle bidding and set a Psychological price ceiling
B. Listing the values of the items in the program limits the bidding
7. Don’t accept High Price consignment items
8. Use simple Language in Catalog- Bullets not Paragraphs
A. Listing the values of the items in the program limits the bidding
9. Use Large readable bid numbers
10. Keep Table Decorations Low
11. Use Large NAME TAGS whenever Possible
12. Volunteers do not drink- ( Until Later)
1. Use a great sound system
2. Maintain a smooth flow all night long
A. Simple Check-in/Check out
B. Start Live Auction Early; Avoid long winded speeches
C. Close Silent Tables before live auction starts
D. Hold live auction first, entertainment later
3. Live Auction – 1/2 Hour
A. 12-15 items plus a paddle raiser
B. Attention spans are limited
4. Paddles Up & Special Appeal
A. Specific Need
B. Start where you know the money is
C. High to Low
D. Middle of the Auction
5. Avoid Commercial Art
A. Art seldom sells well at a fundraising Auction
B. A Piece with sentimental or unique value may be the exception
6. Don’t use minimum bids
A. Minimum Bids stifle bidding and set a Psychological price ceiling
B. Listing the values of the items in the program limits the bidding
7. Don’t accept High Price consignment items
8. Use simple Language in Catalog- Bullets not Paragraphs
A. Listing the values of the items in the program limits the bidding
9. Use Large readable bid numbers
10. Keep Table Decorations Low
11. Use Large NAME TAGS whenever Possible
12. Volunteers do not drink- ( Until Later)
Paddles Up
Paddles Up/Fund a Need
The “Paddles Up” or “Fund a Need” is a technique of raising money at your special event. This technique is based on a simple formula:
500 people attend your event. At this event you have 10 live Auction items and 50 silent Auction items. If each item is sold to an individual attendee to the event, then that would equal 60 individuals that contribute more money to your organization as a result of coming to your Gala. This leaves 440 individuals (Let’s say for sake of argument 220 couples) that leave only paying the price of a ticket for admission and contributing no more to your Organization. There are other reasons for them to attend and if you have told the story correctly, you may gain much more from some of these couples in the future but why not ask them for to become a stakeholder now, while you have them in attendance? This is where the “Paddles Up” concept comes into play.
If your Auction is ordered in a “Bell Curve” system then the perfect place to conduct this appeal is in the middle, directly after your best item is sold. As you sell your highlight item (Let’s say it’s a new Lexus) for $25,000 the crowd cheers and applauds. The energy in the room is high.
The Auctioneer then says,
“Ladies and Gentlemen I’d like to pause the Auction for a moment and bring us back to why we are here. I’d like to ask Betty Jones to come up and speak to us for just a moment. Please give her your attention.”
Betty then speaks for a moment or a well done video is introduced and shown. The key here is not more than 3 minutes of an appeal is made. Once the “Heartstring Pull” is finished the Auctioneer takes the stage and says,
“Now ladies and gentlemen its time for a little program we call “Paddles Up! I am going to call out a dollar amount. If you will contribute that dollar amount directly to support the __________________ program I want you to raise your bid number up in the air. I’ll read off your bidder number, the number will be recorded and that dollar amount will be added to your Auction bill at the end of the evening.
Let’s start at $5,000. Who will give $5000?”
Now what you have done to prepare for this is asked an influential donor to start you off. He raises his paddle after a slight pause, about 3 seconds.
“Great! Bidder Number 53! Who will join him?” says the Auctioneer.
From this point you ask again but at a lower amount. The Auctioneer asks again but this time for $2500, then $1000, Then $500 and finally $250. The key is that first gift. If you had a donor who begins at $5000 by the time you reach $500 Bidder cards all over the room are gong up. People are saying to themselves,
“Well, all if that guy can give $5,000 I can give $500!”
Let’s do a little more math. Remember those 220 couples? Well let’s say that 30% of them step up and give an average of $500. That’s 66 couples at $500 each for $33,000. The power of exponential giving is tremendous. You may have 1 or 2 at $5000 and a few at $2500 and $1000 but the real money starts adding up at the smaller amounts. You can even begin a smaller first call amount. Say $1000, $750, $500, $250 and drop all the way to $150. 125 donors giving $150 is $18,750.
This technique is good for small and large auctions. Big black tie galas or small golf tournament final dinners are good places for this appeal. Anywhere you have a crowd of individuals assembled. There are some limitations and procedures of course. All the attendees have to have a bidder card and that means an Auction. You can’t just conduct this appeal at every board meeting and the appeal works better if you can be specific about the need being funded. That’s why this is sometimes referred to as “Fund-a-Need”
Good Luck! Drop me an E-mail at michael@austinauctioneer.com and let me know how this works!!
The “Paddles Up” or “Fund a Need” is a technique of raising money at your special event. This technique is based on a simple formula:
500 people attend your event. At this event you have 10 live Auction items and 50 silent Auction items. If each item is sold to an individual attendee to the event, then that would equal 60 individuals that contribute more money to your organization as a result of coming to your Gala. This leaves 440 individuals (Let’s say for sake of argument 220 couples) that leave only paying the price of a ticket for admission and contributing no more to your Organization. There are other reasons for them to attend and if you have told the story correctly, you may gain much more from some of these couples in the future but why not ask them for to become a stakeholder now, while you have them in attendance? This is where the “Paddles Up” concept comes into play.
If your Auction is ordered in a “Bell Curve” system then the perfect place to conduct this appeal is in the middle, directly after your best item is sold. As you sell your highlight item (Let’s say it’s a new Lexus) for $25,000 the crowd cheers and applauds. The energy in the room is high.
The Auctioneer then says,
“Ladies and Gentlemen I’d like to pause the Auction for a moment and bring us back to why we are here. I’d like to ask Betty Jones to come up and speak to us for just a moment. Please give her your attention.”
Betty then speaks for a moment or a well done video is introduced and shown. The key here is not more than 3 minutes of an appeal is made. Once the “Heartstring Pull” is finished the Auctioneer takes the stage and says,
“Now ladies and gentlemen its time for a little program we call “Paddles Up! I am going to call out a dollar amount. If you will contribute that dollar amount directly to support the __________________ program I want you to raise your bid number up in the air. I’ll read off your bidder number, the number will be recorded and that dollar amount will be added to your Auction bill at the end of the evening.
Let’s start at $5,000. Who will give $5000?”
Now what you have done to prepare for this is asked an influential donor to start you off. He raises his paddle after a slight pause, about 3 seconds.
“Great! Bidder Number 53! Who will join him?” says the Auctioneer.
From this point you ask again but at a lower amount. The Auctioneer asks again but this time for $2500, then $1000, Then $500 and finally $250. The key is that first gift. If you had a donor who begins at $5000 by the time you reach $500 Bidder cards all over the room are gong up. People are saying to themselves,
“Well, all if that guy can give $5,000 I can give $500!”
Let’s do a little more math. Remember those 220 couples? Well let’s say that 30% of them step up and give an average of $500. That’s 66 couples at $500 each for $33,000. The power of exponential giving is tremendous. You may have 1 or 2 at $5000 and a few at $2500 and $1000 but the real money starts adding up at the smaller amounts. You can even begin a smaller first call amount. Say $1000, $750, $500, $250 and drop all the way to $150. 125 donors giving $150 is $18,750.
This technique is good for small and large auctions. Big black tie galas or small golf tournament final dinners are good places for this appeal. Anywhere you have a crowd of individuals assembled. There are some limitations and procedures of course. All the attendees have to have a bidder card and that means an Auction. You can’t just conduct this appeal at every board meeting and the appeal works better if you can be specific about the need being funded. That’s why this is sometimes referred to as “Fund-a-Need”
Good Luck! Drop me an E-mail at michael@austinauctioneer.com and let me know how this works!!
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