Tuesday Tips: RiskFree Item Shop

Transcript

1. Super-Charge Your Auction Fundraiser! With Auction Best Practices, AI & Risk-Free Items WEBINAR PRESENTED BY TRICIA ROSEVEARE CEO & CO-FOUNDER OF RISKFREEITEMSHOP.COM
2. Crafting A Compelling Auction Event: Identify the key buying criteria and best practices in order to source the right mix of items and create a compelling experience for your participants Mastering Item Selections: Understand the strategy for sourcing items Unlocking Risk-Free Items: Learn all about risk-free items, and discover a new way to(instantly) “smart- source” vetted, best-selling risk-free items from our shop Pricing For Success: Get the scoop on setting starting bids that ensure a profit for you and drive up bidding activity Thinking Outside The Event: Get ideas on how to fundraise with risk-free items throughout the year Q&A Super-Charge Your Auction In today’s session we will cover:
3. Tap into human behavior - get people excited and involved! To craft a memorable auction that will generate revenue and guarantee your donors will want to return for your next event... Think of your auction as a party! You want your guests to have a fantastic time, to tell their friends all about it - and come back next year. Crafting A Compelling Auction
4. People have a natural desire to compete and win How can you craft your event to maximize the competitive spirit and raise more money? Crafting A Compelling Auction
5. Structure your event to encourage FOMO Host your silent and live auction within the span of 1 week Offer incentives or “limited” perks to get people registered ahead of time and bidding on the silent auction items Release new items throughout the week to get people coming back and excited! Urgency drives interest! AUCTION FOMO KILLER: Hosting your silent auction for toooooooo long... Crafting A Compelling Auction
6. Understand the donor mindset. Donor Bidding & Buying Criteria: (1) Something they would have likely bought anyway (2) A once-in-a-lifetime experience or item they’d never have access to anywhere else (3) A good deal with an accessible starting bid Include a mix of items that speak to the “buying criteria” will generate more bidding activity, more revenue for you, and - more interest in attending your future events. Mastering Item Selection
7. Donated Items: Risk-Free Items: Something they would be likely to purchase anyway A  once-in-a-lifetime experience or specialty item A good deal Rare Unique One-of-a-kind Not sold in stores Exclusive Source items that match their bidding and buying criteria. Mastering Item Selection
8. Donated Items Risk-Free Items The right ratio of donated and risk-free items will ensure higher participant engagement and more revenue for your organization. Majority Of Your Items Some of your items A few of your items Speciality Risk-Free Items Ensure the right ratio of donated to risk-free items Themed auctions are the exception to the typical “ratio” rule for hosting auction items. Mastering Item Selection
9. Determine the number of items you will need Feature 8-12 items for a live auction. How many items should we feature at our silent auction? How many people will attend? 100 For events that attract mainly couples (e.g., fundraising galas, charity dinner events, school auctions). 25 -30 items Actual # of people bidding How many items to feature Mastering Item Selection
10. Get to know your audience Mastering Item Selection Here is a real-life example of a museum that realized that most event participants were under 40 years old, so they ran our Donor Intellligence Report to learn more. They subsequently added ‘cool’ domestic travel experiences and increased their event revenue by 51%. We will learn more about how to run a Donor Intelligence Report - available in your shop!
11. Risk-free items are goods offered by a third party for the purpose of helping nonprofits raise money and boost engagement at fundraising events. The risk-free concept allows nonprofits to source vacations, experiences, jewelry, and memorabilia with NO upfront payment. Unlocking Risk-Free Items We find that organizations who utilize our risk-free items typically raise 20% more revenue at their event.
12. Objection: If my donor purchases an expensive risk-free item, they won’t provide an additional donation to my charity. Based on our experience, most households have a separate budget for donations and another for vacations and purchases, so it won’t be cannibalizing their donation budget. Unlocking Risk-Free Items Primary objection to using risk-free items Some organizations like to add a blurb to the item description such as: This item is offered by a third party. Our organization will receive a portion of the sale proceeds.
13. Offer a wider variety of items at the event Get access to luxury, rare, or high-value items No upfront payment - only pay if the item sells Enhance fundraising potential Delight donors with unique offerings Save time and resources Benefits Unlocking Risk-Free Items Benefits of risk-free items
14. It can be challenging to know what provider to trust: Quality items Customer service (for you and your winners) Favorable pricing structure It can be frustrating to call a risk-free provider and risk getting up-sold on packages Potential Challenges Potential challenges with using risk-free items Unlocking Risk-Free Items We designed our item shop to maximize the benefits of risk-free and eliminate the potential challenges.
15. Give you a tour of the shop - how it works Provide some guidelines for selecting items Show how to get additional donor insights to help further guide your selection - free AI-generated, Donor Intelligence Report Unlocking Risk-Free Items Let’s visit your new risk-free item shop!
16. In the case of a donated item, pricing too low will diminish the perceived value at your auction, and impact your ability to maximize the item's potential to raise money Whether your item is donated to you or it is a consignment, risk- free item, it is important to manage the perceived value of the item. Why? People who donate an item want you to maximize it’s potential. Strategic Pricing For Success Perceived Value
17. Research the retail value of the donated item (or ask the donatee to provide the value). Start the bidding 20% below the retail price of the item. Strategic Pricing For Success Retail Value: $150 Starting Bid: $120 (20% below retail) Bid Increments of $10 Spa Gift Basket Tip: Good to mention the brand/business that donated the item. For donated items
18. We recommend that you start the bidding at around 20% +/- above the charity cost. Setting a higher price raises the perceived value and increases the interest for the item, and it builds in a profit margin for you. A pricing guide is provided in the marketing materials for each item in our shop. Strategic Pricing For Success For Risk-Free Items Charity Cost: $2,595 Starting Bid: $3,114 (20% over) Bid Increments of $150 Fairmont Scottsdale Golf For 2 Charity Cost: $895 Starting Bid: $1,395 ($500 over) Bid Increments of $100 Beachfront Mexico Trip
19. Ideas to generate revenue throughout the year Below are some examples of auctions that nonprofits can host throughout the year. These types of auctions, targeted to subgroups in your donor base, lend themselves well to virtual auctions, making them easy and inexpensive to host. Think Outside The Main Event Father’s Day Auction (Virtual or in-person) Virtual Mother’s Day Themed Fundraiser/Mini Auction Themed Virtual Auction (Major donors)
20. Q & A Thank You!