Relationship Fundraising - Event Planning Season

3 Ways to  Make More Money on Your Event

FIRST - Spend time on the right things 

Most organizations don't come close to raising what they could through their events because they spend too much time on the wrong things.  While it's fun to pick out linens, taste the meal choices and make pretty center pieces, these things have little to do with achieving the main goal of a fundraising event, which is to maximize net income.  I think there are two reasons staff people spend too much time on these things.  First, they lack a clear understanding of strategic relationship cultivation, and second, they avoid doing the thing that is uncomfortable.  

The most important activity to spend time on leading up to a fundraising event is being intentional about who you want to sponsor and come to the event and cultivating those relationships.  Whether you have 12 months or 3 months to prepare for the event, after securing a date and location, all the other logistics can wait.  The focus needs to be on combing through all of your donors and key prospects and deciding where you think they fit in.  Before you approach them though, you will want to put together a sheet that lays out the history and the purpose of the event, along with your priorities for fundraising and all the options for getting involved.  

SECOND - Map all the ways to generate revenue 

The least effective way to raise money through your event is through attendance.  If all your revenue is tied to attendance, then that means you have to have a lot of people come to the event and you have to charge a lot of money.  What if there is a snow storm on the night of the event?  This strategy causes a lot of stress for everyone. 

The most effective way to raise money through your event is through event sponsorships that offer sponsors an opportunity to promote their company.  The amount you can secure from sponsors will depend on many factors, including history of the event, usual attendance, and the number and kind of promotion strategies you use (e.g., online, newspaper articles, invitations, flyers, partner organizations, etc.).  You will receive sponsor donations before the event, so even in the event attendance is less than you planned, you have already gotten money in the door. 

The sponsor amount is not tied to expenses.  Many small organizations feel that they can only ask sponsors to pay for specific expenses (e.g., the cost of the meal).  The sponsorship amount is whatever someone is willing to donate to you and usually depends on what you offer as far as recognition and how generous they are feeling.  

There are several other strategies in between attendance (day of event) and sponsorships (before event).  Silent auctions are something that event attendees are used to and also enjoy, because they feel that they are making a contribution, but they also get something in return.  Even a silent auction of minimally priced items can result in thousands of dollars.  Depending on who the attendees are (I'll talk about that next), a live auction of high-value items (vacation packages, suites at professional sporting events) and/or straight financial donations can result in thousands more.  If your organization's story is solid and compelling, and your priorities clear, this is a great way to inspire your attendees to give even more.  

Don't leave things to chance though.  Start with a gross revenue goal for the event as well as a net income goal - and stick with it.  For a goal of $38,000 gross, it would be appropriate to budget $8,000 for expenses (no more though).  It would be appropriate to budget $10,000 in sponsor dollars, maybe $8,000 for the silent auction, and another $6,000 for the live auction conservatively.  That leaves $12,000 to be raised through attendance, and at $75 per ticket (reasonable price), you will need 160 people to purchase tickets prior to the event.  If that attendance figure is too scary, then you will need to raise more more money in the other categories.  

THIRD - Start cultivating relationships 

Once you have this mapped out, it's time to make a list of all the people who are your prospects in each of these categories.  Now it's a matter of filling in the blanks - but not by yourself.  As I have said before, the job of the fund development director or event planner is NOT TO RAISE THE MONEY.  His or her job is to create and drive the strategy, and engage as many stakeholders as possible in implementing the strategy (e.g., board members, other staff members, key volunteers and other donors). 

Let's start with sponsors.  If this is your first event, begin by making a list of your key supporters, donors, volunteers and vendors.  Simply reach out and let them know you are doing an event and are wondering if they would like to be involved as a sponsor.  They will ask for information on the sponsor levels, and then you will follow up until you get a YES or NO.  If this isn't your first event, you will first go back to past sponsors and ask them to consider renewing their sponsorship at the same or higher level.  Be open to feedback and be creative about what you're willing to offer them as far as recognition and exposure.  


Gather a committee of 4-6 committed volunteers, including board members to take care of the silent auction.  Your board members should be willing to reach into their networks to recruit sponsors and also silent auction items.  You might also consider doing a mailing to area businesses; this seems to get good results too because offering gift cards is a way for those businesses to get new people in their doors.  

The attendance list is actually one of the most important strategies.  Typically, small organizations just send out invitations to their usual mailing list without thinking about who they want to attend the event.  If the goal of the event is truly to raise as much money as possible, then you want to focus on people who have the capacity to donate a lot of money.  This can be touchy though, because in the past you may have invited people who really couldn't afford to donate much.  In this case, if there might be hard feelings because you are changing the strategy for the event, you may want to create another event that is more about celebrating and is more financially accessible.  For this event, you wouldn't want to have the pressure of raising money.  

Spend time collecting materials from other successful events in the community to see who is sponsoring what organizations, and if their mission is similar to yours, consider reaching out to them and inviting them to your event or a tour.  Brainstorm your ideal attendance, and BE BRAVE and reach out to these folks to share your story and let them know you will be sending them an invitation.  Be sure to reach out to them first though, otherwise, your invitation will end up in the trash.  It's all about relationships.  

Ask your board members to each contribute 10 new people to the invitation list that they will ask to consider coming to the event.  You will need to provide your board members with materials and scripts and coaching to do this outreach.  Do not expect them to follow through without the support and encouragement they need. 

As always, I love to hear back from people to see how my articles have had an impact.  Good luck on your next fundraising event! 

Deb

P.S.  My latest book The Secret to Fundraising; It's NOT About Asking For Money is all about strategic relationship cultivation.  Click here to view it on Amazon.com.  

 
 




 
 

Fundraising - Maximizing Results from Special Events

Before I share with you 5 steps that will GUARANTEE better results from your events, I want to remind you about my seminar the weekend of March 21st.

I'm taking everything I've learned and developed over the past 10 years of working with schools and nonprofits and I'm teaching it to 75 people - I have lots of seats open!  HELP ME FILL THEM.  I will teach folks a new way to think about resource development (money, student enrollment, community partnerships, building awareness), then share the knowledge you need to put these concepts to work, and then give you a big binder and electronic versions of tools and templates you can use (case statement, elevator pitch, student enrollment strategies, communications tools like Facebook, website, flyers for anything, scripts, applications for grants, and much more).

The cost for my seminar is: PAY WHAT YOU CAN OR WANT and attend one or both dates as well as join us for networking.

Click here and request registration paperwork or hit the BUY NOW button on my blog.  To learn more about what I'll cover and to read or hear testimonials from some of my clients, visit my website or my You Tube Channel.

Now, on to sharing my secrets for getting more out of your events.

5 Steps to Getting More Out of Your Events

This time of the year isn't just for spring training; it's also the time of year many nonprofit organizations host special events to raise money and build awareness for their good work.

I've never come across an organization that couldn't get more out of their events.  Here are 5 things to consider in order to maximize the results you can achieve through your upcoming event.

#1 - Determine the Purpose of the Event.

Do you have a written strategy for your annual event?  Rarely do I come across a nonprofit with a written plan for what exactly they want to achieve through the event.  Without specific objectives for what you want to achieve, there's no direction for all the steps that come next.  Without an exciting vision for what you want your event to look and feel like, too much attention gets focused on
logistics.

Often, a nonprofit will state that their goal with the event is to raise money, but then when I ask them who is on the invitation list and who actually comes, it's their volunteers, families of students or other constiuents.  Typically, this scenario is not going to help you maximize revenue generated by the event. However, if the objective of the event is to recognize volunteers, show off student work or build relationships among internal stakeholders, then this invitation list makes sense.  See what I'm saying?

Either objective is fine, but if your objective is to raise money, then your invitation list needs to look different.  Maybe you still want to have an event for volunteers and families; then do that.  But don't expect to raise a lot of money, and then when you don't, feel badly about the event.  Judge the results of the event based on your objectives.

BOTTOM LINE:  SET CLEAR MEASURABLE OBJECTIVES FOR YOUR EVENT.

RESOURCE:  CLICK HERE TO REQUEST A SAMPLE EVENT STRATEGY PLAN.

#2 - Decide Who You Want to Attend Your Event. 

You probably send invitations out via regular mail and email to everyone on your list, including donors, people who receive your email, constituents and others.  They just do what they did last year.  Instead, start by answering this question:  "Who do we want to attend our event?"  Just by asking that question, your list is going to look quite different.  When I worked with the Interfaith neighborhood Outreach Program on their event, I asked them, "Who do you think SHOULD be there?  Who should know more about you?  When they thought about their invitation list in this way, they came up with lots of people they had never thought about before.  Instead of just inviting everyone you have an address or email for, be more strategic and start with the objective you set above and then generate a list of people who will help meet that objective.

BOTTOM LINE:  INVITE THE PEOPLE WHO WILL HELP YOU ACHIEVE YOUR OBJECTIVES.

#3 - Engage Staff, Volunteers and Board Members in Generating the Invitation List.

People look at me a little funny when I tell them, "The role of your fund development director is NOT to raise money."  But it's true.  If everyone in your organization is looking to the development director or coordinator to raise money and put on events, you will definitely NOT maximize your results.  One person is just one person.  Instead, look at your fund development director as the DRIVER or FACILITATOR of your resource development plan.  Her or his role is to empower as many other people as possible to share the story, make connections and open doors.  Once those connections are made, it's her or his job to help decide what to do next in order to cultivate that relationship.  The volunteer or board member that made the connection may continue to be involved or may not.

Anyway, when it comes to events,  once you've set your objectives, allow your board members, volunteers and staff members to brainstorm who they know and respect that matches the objectives.  In addition, have them look at the attendance list from the last few years and identify with which attendees they have a connection.

#4 - Personal Outreach is What Inspires People to Come. 

Typically, nonprofits will use the strategies with which they are most comfortable.  When it comes to getting people to their events, they rely on mailed and emailed invitations. For your own events, you probably have some kind of hard mailing list and email list.  On the list are people who receive your newsletter, donors and constiuents.  You send out your invitations about four to six weeks ahead of time and then you excitedly wait for the rsvp's to come rolling in, and when they don't come in as fast as you had hoped, you begin to feel that pit in the bottom of your stomach.  You feel anxiety as you check the mail each day leading up to the event.  Am I right?

You can do your own research to confirm that mailings are not the best way to engage people.  People want to attend an event because they feel like their presence is meaningful, and the best way to make people feel important is through personal outreach.

Then have everyone (board members) assign themselves to personally reaching out to their people.  They will likely be nervous about doing this, so provide some language or a script to give them the confidence.  In the script include the language that if people are not able to attend, to ask if they would consider making a donation to help the organization reach their goal.  Then set a deadline like 48 hours to complete the outreach, which can be done via live conversation, voicemail or email.  The objective of the calls is to inspire people to want to attend or make a small donation toward the event.

BOTTOM LINE:  YOUR RSVP'S WILL GO UP DRAMATICALLY WITH PERSONAL OUTREACH.

RESOURCE:  CLICK HERE TO REQUEST A SAMPLE SCRIPT FOR YOUR BOARD MEMBERS AND VOLUNTEERS TO USE. 

#5 - Events Are About Cultivating Relationships, Not Just Promoting the Organization. 

Usually, much attention will be paid attention to all the logistics before and during the event.  As I mentioned above, focusing your attention on getting the right people to your event and then personally reaching out to them to inspire them to come will already increase your results.  Don't breathe your sigh of relief yet though.  Your work has just begun.

Once you know who is coming to the event, review the list with your board members, staff members and key volunteers and inspire them to see themselves as ambassadors of the organization.  Their job at the event is to personally welcome people and share their passion for the organization.  Their job is to genuinely be curious and learn more about them and then to report back after the event.

While many nonprofit staff members are just happy for an event to be over, it is important to schedule an event debriefing meeting within a week following the event to discuss what worked well and to share all the amazing experiences that were had with attendees.  The purpose of the event was to continue building relationships with existing supporters and to inspire new supporters.  There are so many juicy things you will all learn about people that will give you clues about how to continue to build the relationship.

People who took the time out of their busy lives to spend an entire evening at your event often are open to getting more involved, especially right after their enjoyable experience.  As you talk about the various attendees, think about what they may have in common with each other.  Then think about what might be a good way to build on their experience at the event.  If they've never taken a tour, this is a perfect next step.  If you have several who have never taken a tour, you might want to consider inviting them to attend one or two tours to experience your mission for themselves and to learn more about your top priorities for the next year.  It's just another opportunity to share and let them know what you need to achieve your vision.

BOTTOM LINE:  THE END OF THE EVENT IS THE BEGINNING OF MORE STEPS TO CULTIVATE RELATIONSHIPS.  

RESOURCE:  CLICK HERE TO REQUEST A COMPELLING TOUR GUIDE. 

I GUARANTEE that looking at your events in this way and taking the steps above will increase your results.  And I'd love to find out what happens when you try this approach.  Good luck with all yoru events this year!

Deb