BeCause

Underwriters for big budget trips

May 17, 2017
One of the worries that many organizations have when they first talk with us is that their donors won’t be able to garner bids on fundraising auction travel packages due to cost. We’ve discussed before why non-profits should generally have more faith in their supporters when it comes to generosity during gala auctions, but we’ve got tools beyond positive thinking to help get once-in-a-lifetime travel opportunities into the hands of donors.

If an organization is worried about the price of one of our trips, finding an underwriter for the item is often a possibility. In this scenario, an outside company essentially “advertises� with the item, paying money for the chance to be mentioned alongside the trip in question (along with, of course, the chance to support a worthy cause). Think of public radio, for instance, where commercials are eschewed for underwriters: Businesses mentioned briefly in between stories, often with nods to their relationship with the station identified by phrases like “Funding provided by…� or “Brought to you by…� By getting a trip is sponsored or underwritten by an outside company, an auction organizer can be guaranteed of making money off of a trip, even if its sale price doesn’t bring in big bucks.

Why should non-profits consider underwriters for auction items?

Adding an underwriter for a major auction item, like a trip, gives you another chance to make inroads or strengthen ties to a local business community. For businesses who may not have the employee interest to buy a table or an easy-to-donate good or service, underwriting a trip gives them a chance to be in front of your donors and support a good cause. And it’s another chance for your auction staff to reach out and make contact with companies that could pay off either now or in the future. It also can provide another chance for a charity to reach out to a major donor – many underwriters come from the already-established ranks of supporters, looking for another way to help their favorite cause.

Also, while consignment selling (the model we use at Mitch-Stuart) is by nature “risk free,� having an underwriter in place to add to the bottom line can put some at ease. Instead of worrying about how much the bids are exceeding the cost of the trip, you can relax, knowing that the underwriter has taken care of the base price. In a way, having an underwriter is like having a trip donated; it turns the winning bid into pure profit.

Have questions about the underwriting process? Call or write to one of our Travel Experts today!


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Thank You, Auctioneers!

April 05, 2017

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Preparing the Auctioneer

January 11, 2017

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Three Ways to Supercharge Your Fundraising Auction

September 14, 2016
If your organization has been running fundraising auctions at gala events, you might have, by now, fallen into a pattern. You know when the decorations go up, you know who to contact for food, and you even know which emcee or professional auctioneer to call.

But just because a certain idea or decision has become automatic doesn’t mean that it’s the best one for your organization. It’s good to reexamine those automatic choices that you may be making for your fundraising auction from time to time, just to make sure that you’re earning every dollar possible for your cause.

Need some new ideas? Here are three small ways to maximize fundraising auction’s earning potential.

Shake It Up: It’s tempting to arrange the items of a gala auction in the same way one would arrange an award show: Opening with the smaller items, and then building to the big money-earners. And it makes sense on an emotional level, to crescendo throughout the event to its climactic end. However, from a pure money-raising standpoint, leaving the biggest items until the end may mean keeping some of your biggest supporters on the sidelines. After all, if a donor has set a budget for their bidding and really wants, say, that gorgeous trip to Bali, he or she could sit out earlier items of interest to “save up.” And then if that supporter doesn’t win the trip, the budget goes home, rather than into a different purchase. Mixing up the order of items – a couple of smaller ones, then one of the big-money lots, then back to a couple of smaller ones – makes it more likely that your biggest monetary supporters will walk away with something.

Dream BIG: If you want to raise big funds from an auction, you have to ask for big funds. Sure, you’ll have a certain number of donors willing to overpay for a basket of goods from local artisans (and putting that basket together will help strengthen ties to your community, as well), but you can’t get what you don’t request. So, upgrade that trip: Offer the weeklong European sojourn alongside the weekend in Las Vegas (with our consignment travel packages, you don’t have to pay for them unless they sell, anyway). Give your donors the chance to step up to the plate; you may be surprised by what happens.

Something for Everyone: On the other end of the spectrum, though, there will be some donors who can’t pay for the luxury travel, the expensive memorabilia, or even the local artist gift basket. Maybe they just believe in your cause so much, they wanted to support it in person, on its biggest night. Not only do you want to make sure that they have a great time, but you also want to give them the chance to participate in the gala fundraising. That’s where a good raffle can come into play. Giving people the option of trying to win a big prize via a small donation and a drawing keeps smaller donors engaged throughout the evening as a participant, not just an observer. It’s one easy way to make sure everyone in the room is excited – while still generating revenue for your non-profit.


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Do You REALLY Make Money from the Highest Bidder?

March 07, 2016
(NOTE: On occasion, we love reaching out to our friends and partners in the non-profit fundraising world to find out what they’re thinking about when it comes to helping charities raise the most money possible. This week, auctioneer and SocialSmarts founder Corinne Gregory tells us how activity, not deep pockets, drives auction fundraising. Enjoy!)

If you’ve ever been to an auction – and I’m assuming since you are reading this, you are already a veteran of at least one event -- you are aware that the “high bidder” is the one the auctioneer sells the item to when the bidding has concluded.  So, it’s natural to believe that the “high bidder” is the one who is making the money for the charity during a Live or Silent Auction.

Well, folks, let me be the one to break it to you: It isn’t true! Yet so many charities covet the “high bidders” because they truly believe that these individuals are going to make “more” for the cause. Even most auctioneers will work particularly hard on getting to the “high bidder” because they feel this is where their energies should be focused. And that may be costing you money and not making you more as you would expect.

First of all, there is a common misconception that, in order to make more money at your event, you need to invite more people with high net-worth. While it would seem to make sense that people with more money will be prime targets to spend more and be your “high bidders,” frequently the opposite is true. When people have ample discretionary income, they tend to buy things that they want as it comes along. They aren’t going to wait around and save up just to “buy” at your auction. That’s not to say that these individuals aren’t generous or won’t contribute to your auction’s bottom line, but they aren’t going to be the ones generating the most bid activity.

So then, if the people at the top of your buying pyramid aren’t going to be the ones generating the most bids, who is going to help you make more money? The answer is simple, really: “everyone else.”  Activity is where the money is.

Why is activity so important? Well, although we do collect money from the “high bidder,” each time someone puts their bid number down on a Silent Auction form or raises their Bid Card during the Live Auction they are raising more money for the charity. The second, third and fourth high bidders are helping raise the price of that item. Ultimately, the high bidder is the one who is determined to hang in there and out-bid the competition. So, as I like to say to my auction audience, “It’s the job of the second, third and fourth high bidders to make sure that the winner pays appropriately!”

So, if we are “making money” from any and all bidders that participate, it’s crucial to have audience engagement. We want them all to bid -- more bid cards in the air means the revenue to the charity increases. That means, as an auctioneer, I need to be courting the second and third high bidders, giving them permission to stay in the game, and not just focusing on one or two potential high bidders. In fact, I coach my audience, letting them know they can “play along” all they want -- be my second and third high bidders all night long. But, if they don’t actually want the item, they should pull their cards down before I say “Sold!”

So, remember, while we do ultimately collect the money from the high bidder, we make money from every guest that places a higher bid on a Silent Auction form or raises their bid card during the Live Auction. It’s important to keep your entire audience engaged and interacting because, even if they don’t win, their participation ensures that the charity does.

(Big thanks to Corinne Gregory for sharing her insights with us this week! For more information about her, go to auctionhelp.com and corinnegregory.com.)
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Guest Post: On Consignment

February 18, 2015
(From Mitch-Stuart, Inc.: Word is spreading about the advantages of auctioning consignment items at charity galas! Our friends at Scott Robertson Auctioneers recently wrote a blog post on the topic, and we love their enthusiasm for getting the best possible travel packages for non-profit fundraising auctions into the hands of bidders. That post appears below, with their permission.)

Seemingly every day I receive a message from a client asking “How do we secure great items for our fundraising auction?” Does this question sound familiar to you and your committee? You are not alone in this quest to find high profit items that will excite your guests and get them to bid.

Experience has taught me that in order to have a successful fundraising auction you need the following four components in place.

1. The right people in the seats. These guests must believe in your cause, have the financial resources to support the cause, and the desire to help.
2. Great items for the attendees to purchase. Everyone is strategic in their bidding and will not bid on items they don’t intend to use. Pre-event promotion is always a good idea so attendees arrive ready to bid on items that excite them.
3. A great ambassador like a fundraising auctioneer. He or she will be the glue that holds the other components together and motivates the audience.
4. A cause that people can easily support. Those donating their money at a fundraising event want to make sure their donation will make an impact on the lives of others.

If you have three of the four components in place then great, you’re almost there. But the component I’ve seen left out most often is #2 – great items. If the right people are there, the right auctioneer is there and the cause is right, but the items are wrong, a charity will leave so much money on the table because they weren’t strategic in their item procurement.

I hear from many charities throughout the year. They tell me they would love to have better live auction items but don’t have the resources. I totally understand. In fact, getting the right items for a live auction is more challenging than ever for some.

One possible solution for these charities may be – and I stress may be – consignment companies, great businesses that are totally focused on putting together trips and experiences that make unique and wonderful top-shelf items.

These companies purchase items at volume wholesale prices, mark them up a little, and then provide the item or package to not-for-profit organizations at no initial cost. The charity only pays for the item after it is auctioned and sold at the charity’s gala. Rest assured a good fundraising auctioneer never sells an item below the cost of the package.

Another advantage of using consignment is that the packages can be sold multiple to times to several bidders, a donated item typically can only be sold once.

When the auction is over the charity contacts the consignment company, informs them which item was purchased, provides them with the funds and then gives them the contact information of the person who won the item.

The consignment company will act as the concierge and contact the bidder directly and work with them all the way until the bidder utilizes the trip. Typically quality consignment companies can be flexible, if needed, to modify the trip to meet the needs of the buyer (it’s important the consignment company acts as the concierge so the buyer receives the personal service they deserve and the charity can focus on other matters).

Another great point about these companies is that they often under promise and over deliver and that will make the winning bidder feel even better about the item they purchased. That’s pretty rare in today’s world.

I do have one caution. There are a lot of consignment companies out there. Do not go with one you just found on the Internet – or the cheapest. You need to use a company that has an outstanding reputation and a great track record for delivering what it promises.

I hope this helps those charities looking for unique items and experiences their guests will truly love to bid on. Sure, there is a cost involved. But even with the cost big dividends await.

(We want to thank our friends at Scott Robertson Auctioneers for the great summary of why non-profits should work with consignment sellers to help give their auctions that “wow” factor. If you’re ready to send a donor on an once-in-a-lifetime adventure, reach out to a Mitch-Stuart, Inc. travel expert today!)

Scott Robertson Auctioneers
srauctioneers@gmail.com
239-246-2139


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Why Travel?

February 13, 2014
There are any number of items that can attract donations at charity auctions. Local restaurants can contribute meals or gift certificates, gyms can offer personal training sessions, and spas can put together day-long getaways. Each of those entries have their places at a well-run fundraiser. But when it comes to a centerpiece item, something that makes the eyes of donors light up and their imaginations race, there may be nothing better than a well-curated, once-in-a-lifetime travel opportunity.

Why add a travel package to your auction? Here are a few simple reasons:

Joy by Association: Vacations have been proven to reduce stress, improve the quality and quantity of sleep and prevent burnout. But maybe as important is a vacation’s effect on family relationships. Some of the best memories, those that last a lifetime, come from taking off to an exotic locale with the spouse and kids. Waking up in a Parisian hotel room overlooking the Eiffel Tower, walking through ancient Rome, scuba diving in Bali … those are some of the once-in-a-lifetime moments that kids will remember and cherish forever.

Many of your donors are overworked, and push themselves to be successful and take care of their families. A luxury travel experience can be just the stress reliever that a busy executive needs, and that donor will always associate the good feelings of that trip, those life-long memories, with the non-profit that helped make it possible.

Big Ticket Items Mean Big Money: In order to get higher bids, one must ask for more money. It’s not a difficult assertion to follow logically, but it can be easy to fall into the trap of playing “small ball” when setting up a charity auction. An organization may be worried about asking for too much, especially at a gala auction where attendees have already paid a significant amount to attend the event.

It’s important to remember, though: These people are at the event to support the non-profit. They want to help. They are an organization’s biggest backers, and offering them a chance to contribute in a larger manner—especially when it comes with the trip-of-a-lifetime as a “bonus”—is enticing.

Hassle-Free, Risk-Free Consignment Selling: Like an exotic trip or a fantasy experience, there’s no risk when selling a package put together by a trusted charity consignment auction travel company. You don’t pay for the trip until you collect payment from the donor. If it doesn’t sell, there’s no harm. It’s a way to quickly add an item to the auction menu and adding that “WOW” factor without risk or having to ask for a donation.

In addition, with careful procurement, consignment travel options can complement other items. Have a French dinner gift certificate to auction? Pair with a trip to Paris! Autographed sports memorabilia? How about a trip to see any regular season sporting event in the country? Also, consignment travel can help support other auction items, allowing a non-profit to accept a wider range of gifts to sell. If a friend of the organization has a timeshare week to donate, for instance, a consignment package can “complete” the donation with airfare to and activities at the destination. There’s no limit to the creativity when there’s no risk to the selection.

What’s your reason for enticing donors with travel?

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400 Ways (and Counting!) to Delight your Auction Audience

October 22, 2013
When it comes to donating to a favorite cause at a charity fundraiser, people spend with their hearts or palates or adrenalin in mind. Which is a good thing if you are in receipt of the latest Mitch-Stuart Inc. Destinations of Excellence Catalogue. The newest catalogue is a round-the-world compendium of classically fabulous cities and properties combined with once-in-a-lifetime experiences that evoke responses like, “The trip of a lifetime!”

The savvy event planner can take a look at their crowd and know which exclusive packages to offer in order to achieve the highest “WOW” factor. To get your paddles up and at ‘em at your next event, here is just a sampling. Read on and get some good ideas. For the Armchair Athlete and Fervent Fan Would you like to offer your crowd trips to any major sporting event in the U.S.? Mitch-Stuart Inc. offers that. As well, pick and choose some amazing one-time events such as the U.S. Open at Pinehurst, Masters at Augusta, the Ryder Cup in Scotland, the Indy 500 in Indianapolis or the 2014 Super Bowl – the first one at MetLife stadium played outdoors as real football should be! If your sports fan tends toward a less visceral appreciation of athleticism, there’s a package to attend the ESPYS – ESPN’s annual celebration of all things sport. For the Walter Mitty in us all On sea, on land and in the air, there is something for those in search of a pulse-racing experience. Whether its spending a hands-on day on the America’s Cup yacht as part of a trip to San Diego, a thrilling and beautiful driving experience in Europe in your very own Porsche, exotic car-racing in Las Vegas (including a heilicoptor tour of the city) or an exhilirating motorcycle tour throughout Arizona and Nevada aboard a Harley Davidson or Triumph Thunderbird, Mitch-Stuart has excellent experiences for the thrill-seeker. Not high energy enough? Try a “Top Gun Experience” as a fighter pilot for a day in a military aircraft. For the Fan of the Four-legged a few exciting Destinations of Excellence! There is a breathtaking safari to Kenya that features endless wildlife viewing from the Serengeti to Kenya's Masai Mara. The Westminster Dog Show offers a backstage pass to this wonderful world of purebred dogs and all the grace, pomp and circumstance that goes with it – plus it’s in New York. If your taste runs more to the aquatic, visit San Diego with a package dedicated to Sea World and the San Diego Zoo. For equine enthusiasts, two great options – come to the Kentucky Derby for a mint julep-filled visit to storied Louisville and the annual heart-pounding race or visit Vegas for the National Finals Rodeo Championship. For the Celebrity-Struck Awards shows know no bounds in the Mitch-Stuart Destinations of Excellence catalogue. Your devotee can see the Emmys, the Grammys, The VMAs, the People’s Choice Awards and more – all in either Los Angeles or New York offered in addition to exclusive fun-filled packages with lots of extras. Country music enthusiasts can also visit Nashville for the Country Music Awards. For the Fashionable Those with a PhD in the “Shopping Arts” will be over the moon with one of Mitch-Stuart Inc.’s famed shopping packages. The new catalogue features destinations such as Palm Springs for a few days of the  finest outlet shopping or the always popular New York “Shop til You Drop” excursion. There is a featured Nordstrom experience that one can obtain in San Francisco, Newport Beach or Chicago. Finally, the shopping is pretty good in Paris and several Italian cities Mitch-Stuart packages as well! If you aren’t too overwhelmed by all the fantastic finds in the new catalogue, visit it yourself! This is just a taste.

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What is Consignment?

May 21, 2013
Google consignment and you will find the definition is a trading arrangement in which a seller sends goods to a buyer or reseller who pays the seller only as and when the goods are sold."

And today, consignment is hot!

The market for consignment has blossomed thanks to value-conscious consumers and recent research that states that the overall category sees revenues of over $13 billion. While anything can be sold on consignment, people generally think of designer goods such as clothes, bags and shoes. Another faction covets art, sporting goods and musical instruments.

The truly savvy though, know that incredible experiences can be purchased on consignment to benefit charitable organizations and incent employees. We are talking about the exciting, no-risk travel packages we create and offer to clients who use them in a variety of ways. Who are the winners here? Everyone involved!

Charitable organizations who work with our company know that they are taking no risks when offering exciting, eclectic travel packages for sale at their auctions. Now they can offer greater, more exotic packages, appealing to a larger audience than they might be able to otherwise obtain. No purchases are made until the packages are sold. And in the unlikely event that an offering doesn’t sell, there is no obligation to pay for the package. It is actually far more common that more than one package will sell, raising even more money for the cause.

Auction attendees benefit from the array of vacation packages and once-in-a-lifetime experiences (“Fighter Pilot for a Day,” “Shop 'Til You Drop!”) that we supply and can modify for the purchaser. Our unlimited supply of inventory means we can add packages to an event on the spot.

Employers and their employees benefit from consignment travel packages as well. For the employer, they can offer a unique, sometimes "one-of-a-kind" travel incentive travel package to a worthy employee, often providing more value than the actual cost. Additionally, the employer doesn't have to pay for the package until the employee earns or selects it. For the employee, it's a winning proposition as well. He or she knows they are receiving something special of great value. It's the proverbial "win-win" for everyone!!

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