Are you stuck in a fundraising "Rut"?

Because we work with over 1,000 charities each year, meet with many of them and talk to every single one on the phone, we are fortunate to be able to determine when a charity is caught in a fundraising “Rut.”  But normally, the reason they are talking to us is to get out the situation they are in and start on a course of success.

However, we also talk to many more charities who are not even aware that they are stuck there.  Remarkably, they are unaware that their situation will never change in regard to raising more funds year after year.  When I have the chance to speak to them, they normally remark that they need to attract “Big Spenders” and ask if I can bring them to their event.  The sad part is, they don’t realize why they are there and will rarely listen to wise advice.

To determine if you or your charity is caught in a fundraising rut, let me ask just a few questions that you obviously can answer to yourself:

#1 – How many years have you been hosting your Charity Event?

#2 – Is your charity event a Fundraiser?  An Awards Ceremony?  A Community Event?  Or all of the above?

#3 – Have your fundraising dollars increased over that time?  Meaning, have you made more each year?  Or has your fundraising dollars decreased?

#4 – How many guests do you have attending your charity fundraising event?  Have your guests increased year after year?  Or has attendance gone down?

#5 – Has your charity fundraiser changed or evolved each year?  Or is it the same?

#6 – Based on your event, have you attracted more and more Event Sponsors?  Or lost them?

#7 – Do you go to the same Donor’s year after year and ask for similar donations as you did the previous year?

#8 – Do you only use donated products in your events live and silent auction?

#9 – Do you truly know what the “Net” or Profit was from your last event?  Do you know the previous years “Net”?

Now, using the above questions as a baseline in order to determine if you are in a fundraising rut, we need to first understand what Successful Fundraising truly is.   But in the same vein, you should also understand that Awards Ceremonies and Community Outreach events such as Festivals are fantastic but cannot be thought of as a “Fundraiser.”  There may be a fundraising component to each of these types of events but the focus should be on the mission of the event itself – awarding community members and employees or building awareness of your charity by inviting everyone to come to a Festival of sorts without a ticket cost. 

A successful fundraising event is structured, planned for financial performance.  Guests of fundraising events understand that the event is being hosted to raise funds with a certain “Ambience” to attract them.  The “Ambience” is a dinner, drinks, music with various fundraising platforms such as a Live & Silent Auction and various games/raffles. 

To best show a true example of a charity who understands successful fundraising as well as absolutely needs the funds to be raised, I will show you their numbers – however, I am going to call them “Charity ABC.”

As reported to Charity Navigator (www.Charitynavigator.com), in 2013, here are their numbers:

Charity ABC fundraising statistics:

Contributions & Gifts:       $32,184,911

Federated Campaigns:      $406,557
Membership Dues:            $18,742,745
Fundraising Events:           $22,808,171
Related Organizations:   $333,099

Total Revenue:   $185,148,845.00

 

All of the above numbers come directly from their Fundraising Events.  They sell memberships to their Charity at their Fundraising Events, in fact, you must purchase a membership in order to attend – it’s a part of the ticket price.  They conduct their campaigns via their events and gain mailing lists for other campaigns from their fundraising event guest lists.  Related organizations?  That is other charities donating money at their fundraising events.

This charity, like other charities similar to them, determined several years ago that a successful fundraising event is the absolute best place to grow their organization.  Why you ask?  Because people attend their events for the “Event” of it and not necessarily to support their charity. 

Charity ABC employs many intelligent people who understand the above statement “Attending the event for the Event of it and not to support their charity.”  Using that knowledge, by the time the guest leaves, they are members and receive quarterly newsletters for one (1) year.

Most importantly, Charity ABC and the other charities similar to theirs, all utilize a similar fundraising tactic – great items in their Live & Silent Auction. 

FACT:  I recently met with an employee of Charity ABC and he bluntly told me that they refuse to rely on donated items, in fact, they discourage their use.  They insist on PURCHASING great items for their events – because great items, attract great people and higher bids.

By the way, “Charity ABC” is Ducks Unlimited. 

How to get your charity out of their fundraising “Rut”

In order to break out of your fundraising “Rut”, you must understand that “Rome wasn’t built in a day.”  It takes determination and discipline.  If you would like to see your fundraising dollars skyrocket, you first must understand that it is not on a one (1) year plan.  What that means is, you can’t change your event around and expect immediate results.

However, here are the keys to success:

#1 – Guest Training – If you have been hosting a mediocre fundraising event which

has had either similar or declining results, you must begin to train your guests on your spending expectations.  Recently, we were assisting a charity and their guests routinely asked where the cheap items were.   After they saw our items mixed in with many donated items, their spending went from rock bottom to extremely high on the donated products – beyond the expectations of both the Chairman of the Board and several of the volunteers.  You must train your guests on what is expected of them plus you must stick with it for more than one (1) event.  

 #2 – Type of Fundraising Event – If you are hosting an event which has a small fundraising component or fundraising is not the main focus of the event, separate the two (2) events – host an Awards dinner or a “Community Outreach” event with a small fundraising component.  Then plan a Charity Fundraising event and let the focus be on that specifically.

#3 – Argumentative Staff or Volunteers – If your staff or volunteers argue that they like the “Old Way” they were doing things but you and the leadership know they need to make a change, have the discipline to explain why you are changing the tactic and why.  Remember, argumentative staff means they have passion for your charity – use that to your benefit.

#4 – Understanding and accepting fundraising reality – Perhaps the hardest part of this is both you and your staff understanding and accepting the reality of successful fundraising in 2014.  I have written blogs on this topic but in summary, putting it bluntly, businesses cannot donate fantastic items.  They can only donate items which they either want to get rid of or are not selling in their stores.  You must have items available that attract people while urging them to bid – and bid high.  Using our “No Risk Auction Items” benefits you and your charity and in fact, is guaranteed. 

In summary – while planning your next fundraising event, if you are “Aiming Low” financially, you will hit low.  But if you have the discipline to train yourself to “Aim High” financially, you will hit high.

But the question is – are you ready?  If you are, BW Unlimited Charity Fundraising would love to help.  Contact us today at www.BWUnlimited.com.  Let us help you and your charity break out of the Fundraising Rut you are in.

BW Unlimited Charity Fundraising is a Charity Fundraising Leader in North America in a “One Stop Shop” setting.  The staff at BW Unlimited Charity Fundraising is the foremost experts in regard to planning and executing a successful Charity Fundraising event.   BW Unlimited Charity Fundraising can not only consult you on how to plan and host your event but can also provide you and your charity with a wide array of “No Risk Auction Items” such as Charity Travel Packages, Autographed Memorabilia, beautiful Decorative items as well as exquisite jewelry.  If you would like our help, contact us today at www.BWUnlimited.com.  Let us help you with your next charity fundraising event.

Top Secrets to Long Term Successful Fundraising

WARNING:  If you can't handle the truth, stop reading now.  Here is how several charities have capitalized on fundraising to raise $Millions$ each and every year.  I warn you, if you are not prepared to make the changes they did and do everyday and you are happy with very little, STOP READING NOW!!!  I am going to share with you their TOP SECRETS to success.

When I am thinking about writing a blog, I picture having a conversation instead of sitting here typing like I am. 

The inspiration for this Blog comes from our continual experience with our charity partners.  Charities must look in the long term.  In order to build a wall, you have to the lay the first row of bricks, first.  Many charities host an event without understanding the long term commitment it takes.  Educating and training of your guests is crucial.  We will address “Guest and Support Training” in yet another Blog to come.

Success comes in the long term because a one-time windfall is great but being successful over the long term is truly what success is all about and the Conservation organizations figured out when 99% of the other charities in the U.S. have not.  Why?

First, let me tell you how I got my start.  A very long time ago, I was a volunteer involved in two different Conservation charities.  Through those charities, I learned the basis of the company I represent today – BW Unlimited Charity Fundraising. 

The outdoor charities are honestly the “Kings of Fundraising” and should be applauded for their understanding of what it takes.  Their successful methods are TOP SECRET, or at least it seems it is because outside of their charities, no other charities are utilizing their successful methods.  Whether you support them or not, everyone should learn from these charities.  I have to hand it to the people involved in these charities because they figured out how to be highly successful over a very long time and importantly, they also learned how to grow their charities while hosting a fundraising event.  Let’s discuss what they know, and most importantly, what everyone does not and nearly refuses to believe - it’s a “Quiet Secret.”

 

But before I tell you how successful they are, I believe looking at their numbers will put you in perspective.  If you are not as impressed as I am, you should be (These are just SIX (6) out of all of them that use this same model):

Charity                                                                      Total Revenue

Ducks Unlimited                                                      $185,148,845

NRA                                                                            $272,950,038

Rocky Mountain Elk Foundation                         $79,251,317

Pheasants Forever                                                  $43,041,536

National Wild Turkey Federation                        $35,391,581

Trout Unlimited                                                      $34,011,522

                                                                  TOTAL = $649,794,839

 

Their Successful Approach to Long Term Fundraising:

More than just a fundraising opportunity – The Conservation/Habitat charities host fundraising events which are not solely based around the charity in question.  Their events are fun and very relaxed, they are more like a party instead of a seminar.  Routinely, other “like” charities will attend to support them.

1.  Auction Items available – The conservation and habitat charities reach out to companies who provide items that they believe their guests will like.  These charities then provide a catalog (called a “National Package”) of the items to their chapters with a price for each.  The chapters then PURCHASE the items for their events Live & Silent Auctions.  The chapters then sell the items at their events.  Of course, the chapters do go after donated items but the events are centered on the items which they purchased.  They understand that in order for them to benefit financially, they MUST have high quality items.

Recently, I met with a Regional Director from one of the above charities.  While talking about helping him, he said:  “George we know that we can’t rely on donations, they are generally junk and we rarely profit from them.  We have to have great items at our events because they guarantee us profit.”

By providing high quality items, these charities know the appeal to their current and future guests.  They have accepted and utilized the fact that people attend their events just to get a chance at bidding on items that are available.  It is what “SELLS” their events and helps people coming back each year to follow. 

NOTE:   The most important word above is “PURCHASE.”  They must pay for the items regardless if they take a loss or not.  The charities can’t provide them at NO RISK to their chapters because of the carrying costs if the items do not sell.  BW Unlimited Charity Fundraising provide items and travel at ZERO RISK to our charity partners.  BWU assumes all the risk, this only guarantees profit for charities.  If the items sell at their events, they keep 100% of the profit.  Each item has 20% profit at the very first bid and even more as the bid amounts go higher.

2.  Growing Long Term Support – Through their fundraising events, they sell an amazing amount of memberships and differing levels of support.  When you attend their events, ticket buyers also purchase a membership as part of their ticket.  These events are so highly sought after because of the items available, the membership purchase is a part of the deal in order to attend.  They understand that a fantastic fundraising event is the best way to grow their support.

AN EXAMPLE:  When I was a part of one of the above charities, which by the way had no direct tie to the area, we used the events momentum to sell more Life Memberships ($1,000.00) than any other chapter in the North America – we sold 20 ($20,000.00). 

3.  Long Term Charity Growth – What is most important, at these events, other people want to be a part of the charity by volunteering to host another fundraising event somewhere else by opening up other chapters. 

Summary: 

The quiet secret that they are holding back is the key to their success over the long term.  They know that having a fantastic fundraising event with great items helps them grow and grow and grow.  They take advantage of this incredible situation which most of the 104 million charities in the U.S. are not.  Why?

Some of the charities outside of this group resist what they know to have a proven successful track record…why?  Because it goes against what most people believe – but unbelievably, that is what BW Unlimited Charity Fundraising offers our clients.

If you would like to know their secrets and begin to do what they are doing while enjoying their success…shhhhhhhh….BW Unlimited Charity Fundraising will tell you.  Contact us today at www.BWUnlimited.com.