Event fundraising is crucial to nonprofits. And converting event donors into reliable monthly donors is an important goal for any nonprofit, as it helps sustain operations and provides a more predictable revenue stream.

Here are some smart strategies for conversion.

• Follow up promptly

  After an event, promptly reach out to event donors to express gratitude for their support. Send personalized thank-you notes or emails, highlighting the impact their contribution made. Use this opportunity to introduce the concept of monthly giving and explain its importance.

• Clearly communicate the need and mission of your organization

  Clearly articulate the ongoing need for support and how monthly donations can make a substantial difference. Provide specific examples of how recurring contributions enable long-term planning, program expansion, or the ability to serve more beneficiaries effectively.

• Showcase impact and success stories

  Share success stories and testimonials that illustrate the positive impact of monthly donors’ support. Use different mediums like videos, social media posts, newsletters, or your organization’s website to highlight real-life examples of how sustained giving has transformed lives.

• Be warm and lively at event talk

  At every event where someone has purchased a ticket, give a warm, polished thank you talk and bring up monthly giving and the importance of the mission of your nonprofit. Don’t go on too long though.

• Offer convenient giving options

  Make it easy for event donors to transition to monthly giving by providing multiple convenient options. Offer online fundraising platforms, such as a dedicated donation page or mobile app, where donors can set up recurring donations with a few clicks. Provide clear instructions and ensure the process is user-friendly.

• Create a monthly giving program if you don’t have one

  Develop a specific monthly giving program that showcases its benefits. Consider naming the program to give it identity and exclusivity, such as “ChangeMakers Club” or “Hope Partners.” Perhaps name it after a founder or prominent staffer or donor with long tenure, such as “Lucille’s Gang.” Provide program members with exclusive benefits like behind-the-scenes updates, invitations to special events, or early access to news and resources.

• Set giving levels

  Clearly define giving levels for monthly donors, allowing them to choose a level that suits their capacity. Present various options, such as bronze, silver, gold, or basic, standard, premium, to cater to different donor preferences. Clearly communicate the impact associated with each giving level.

• Offer incentives and recognition

  Incentivize monthly giving by offering small perks or rewards to donors who commit to recurring contributions. This could include branded merchandise, access to exclusive content, or recognition on your organization’s website or annual report. Publicly acknowledge and appreciate monthly donors to reinforce their commitment.

• Leverage peer-to-peer fundraising

  Encourage event donors to become advocates by setting up their own fundraising campaigns on behalf of your nonprofit. Such as for their birthday. Facebook is full of birthday-related GoFundMe campaigns. Make sure your organization has a site on GofundMe or another giving platform to facilitate this.

• Keep donors engaged

  Maintain regular communication with event donors-turned-monthly-donors to keep them engaged and connected to your mission. Send them updates on the impact of their donations, success stories, and organizational news. Use a newsletter platform to keep them update with a monthly newsletter update with links to blog items.

Remember, building strong relationships and trust with your event donors is crucial for converting them into reliable monthly donors. By effectively communicating your organization’s mission, impact, and the value of sustained giving, you can increase the likelihood of long-term support.

You can use iConnectx.com fundraiser software to manage your events, such as online auctions, as well as event ticketing for nonprofits. iConnectX is free to nonprofits and can help with keeping your donors part of your team.

When it comes to communicating with donors for nonprofit fundraising, it is not enough to just send the same messages and fundraising approaches to everyone in your database. You must create categories and groups among your total universe of donors to maximize fundraising efforts.

Load in your donor contacts to iConnectX.com fundraising website, and you can create donor segments to target each group with the strategically correct fundraising campaigns and messaging. iConnectX is a free, effective fundraising platform.

Donor segmentation is a process of categorizing and grouping donors based on shared characteristics or behaviors. It involves dividing your donor base into distinct segments or categories to better understand their motivations, preferences, and giving patterns. By segmenting your donors, you can tailor your communication and fundraising strategies to effectively engage each group and build stronger relationships.

Demographics

This includes information like age, gender, location, occupation, and income level. Understanding demographic data can help you target specific groups with messages that resonate with them.

Giving history

Examining past donation patterns allows you to identify donors who have given consistently, those who have made larger contributions, or those who have lapsed in their giving. This information can guide your strategies for donor retention, re-engagement, and upgrade opportunities.

Interests and motivations

Understanding the reasons why donors support your organization is crucial. Some donors may be motivated by a specific cause or issue, while others may have a personal connection to your mission. Segmenting based on interests helps you deliver relevant messaging and opportunities to engage.

Communication preferences

Some donors may prefer to receive updates via email, while others might prefer direct mail or social media. Segmenting donors based on their preferred communication channels ensures that your messages reach them in the most effective way.

Engagement level

Donors vary in their level of involvement beyond financial contributions. Segmenting donors based on their engagement level, such as volunteering, attending events, or participating in advocacy, helps you identify potential major donors or advocates.

Once you have segmented your donors, you can use the iConnectX online fundraising platform to tailor your fundraising appeals, stewardship efforts, and marketing strategies to each group’s unique characteristics and preferences. This personalized approach can enhance donor satisfaction, increase retention rates, and maximize the impact of your fundraising efforts.

Not All Donors Are The same.

 While specific types of donors can vary depending on the nature of the non-profit organization and its mission, there are several common donor categories that every non-profit should be aware of.

Individual Donors

Individuals who contribute their personal funds to support your organization’s cause. They can be segmented further based on factors such as donation frequency, donation amount, and engagement level.

Major Donors

Major donors are individuals who have the capacity to make substantial contributions to your organization. They often have a deep commitment to your cause and may be interested in making transformative gifts. Building relationships with major donors is crucial, as they can have a significant impact on your organization’s financial sustainability.

Corporate Donors

These are businesses and corporations that provide financial support to non-profit organizations. Corporate donors may have specific giving programs, corporate social responsibility initiatives, or foundations through which they allocate funds.

Foundation Donors

Foundations are organizations that provide grants and funding to non-profits. They can be private foundations established by individuals or families, community foundations serving specific regions, or corporate foundations associated with businesses.

Government Donors

Government entities at the local, state, and national levels may provide funding for non-profit organizations through grants, contracts, or subsidies. Non-profits working in areas such as education, healthcare, social services, or the arts may be eligible for government funding.

Recurring Donors

Recurring donors are individuals who commit to making regular, ongoing donations to your organization. They often set up automatic monthly or annual contributions, providing a stable and predictable source of revenue. Cultivating relationships with recurring donors and demonstrating the impact of their sustained support is crucial for donor retention.

In-Kind Donors

In-kind donors contribute goods or services rather than monetary donations. They may donate items such as office supplies, equipment, or food for events, or provide pro bono services such as legal assistance or marketing support.

These categories are not mutually exclusive, and many donors may fall into multiple categories. It’s important to approach each type of donor with a tailored strategy that aligns with their specific motivations, preferences, and expectations. Building and maintaining strong relationships with donors across these categories is vital for the long-term sustainability and success of your non-profit organization.

Developing Effective Donor Segments

 Developing a unique segmentation strategy for a non-profit involves a thoughtful and data-driven approach.

Define your goals

Clarify objectives for segmentation. What are you trying to achieve? Are you aiming to improve donor retention, increase donations, enhance engagement? Having clear goals will guide your segmentation efforts.

Gather and analyze data

Collect relevant data about your donors, including demographic information, giving history, communication preferences, interests, and engagement levels. This data can come from your donor management system, surveys, online forms, or other sources. Analyze the data to identify patterns, trends, and potential segments.

Identify key segmentation factors

Based on data analysis, identify key factors that will serve as the basis for your segmentation. These factors may include demographics, giving behavior, motivations, interests, or any other relevant variables.

Segment your donor base

Using the identified factors, segment your donor base into distinct groups. You can use a variety of approaches, such as clustering analysis, rule-based segmentation, or a combination of both. Aim to create segments that are meaningful and actionable, allowing you to tailor your strategies effectively.

Develop personas

Once donors are segmented, create personas for each segment. Personas are fictional representations of typical donors within a segment, including their characteristics, motivations, communication preferences, and giving behaviors. Personas help you humanize your segments and better understand their needs and preferences.

Here is an example: Martha is 55, married, college educated, a retired professional, household income between $400K-$600K, lover of the arts, contributes to at least three arts organizations, contributes to specific campaigns as well as being a monthly contributor.

Tailor strategies and messaging

With your segmented personas in hand, develop targeted strategies and messaging for each segment. Consider how you can engage and communicate with each group in a way that resonates with their specific motivations and preferences. This may involve customizing fundraising appeals, creating personalized stewardship plans, or delivering tailored content through different channels.

Test and iterate

Implement your segmented strategies and track the outcomes. Monitor how each segment responds to your initiatives, measure their engagement and donation patterns, and gather feedback. Use this data to refine and iterate your segmentation strategy over time, adapting to changes in donor behavior and preferences.

Regularly evaluate and update: Donor segmentation is an ongoing process. Regularly evaluate the effectiveness of your segmentation strategy with the management and board of the non-profit, and make adjustments as needed. As your non-profit evolves and acquires more data, refine your segments, and identify new opportunities for engagement.

Remember that while data is crucial for segmentation, it’s also important to balance it with qualitative insights and an understanding of your organization’s unique mission and audience. Regularly communicate with your donors, seek their feedback, and stay attuned to their evolving needs and interests.

Auctions are fun and can often bring not only new money into your organization, but also new donors and supporters. Auctions are a proven method for nonprofit fundraising.

During the pandemic, fund raising transitioned to online auctions, which is one method for holding an auction and one that iConnectx.com can help you with. We have the online platform and tools to make your online auction a huge success. But now that restrictions are largely lifted, live, in-person auctions are back.

Here are five ideas and tips on how to improve the auction experience for everyone.

1. Set Clear Goals and Objectives:

   Before you begin planning your charity auction, it’s important to set clear goals and objectives. Determine how much money you want to raise, who r your target audience is, and what types of items you want to auction off. Having a clear plan in place will help you stay focused and ensure that you are working towards a specific goal.

2. Make the Event Fun and Engaging:

   To keep attendees engaged and interested in the auction, make sure the whole auction event is fun and entertaining. Consider adding music, games (for kids, so their parents can engage in the auction), and interactive activities to keep the energy level high.

   Also, consider offering food and drinks to keep attendees comfortable and happy. Also, think about drafting some local artists or athletes from professional or big college teams (ask them when their sport is NOT in season) to participate as an auction caller or experience gift (i.e. have the athlete appear at a party and give a short talk, or a local actor/singer to perform at auction and offer a performance at a private event as one of the things to bid on).

   If the auction is online, it can be even easier to get athletes, retired athletes or performers to appear because they never have to leave their homes.

3. Offer a Variety of Items:

   Offering a variety of items at your auction will appeal to a broader range of bidders. Consider auctioning off items such as experiences, vacations, gift certificates, and unique memorabilia (i.e. signed sports team item). Additionally, consider adding a silent auction or raffle to offer a wider range of items and pricing options.

4. Provide Ample Information:

   Providing ample information about the items being auctioned off can help generate interest and increase bidding. If the auction is online only, make sure to provide detailed descriptions and photos of the items, as well as information about their value and significance. This will help bidders make informed decisions and feel more confident about their bids. If items are, for example, signed sports items, ask the athlete to make a short simple video to go with the items. The video can be shot with a smartphone or through iConnextx.com. If an item is a week vacation at a donor’s summer home, for example, ask the donor to make a short video of the property.

5. Thank Donors and Bidders:

   After the auction is over, it’s important to thank donors and bidders for their support. Consider sending out personalized thank you notes or hosting a post-auction event to express your gratitude. Showing your appreciation can help build strong relationships with supporters and encourage them to continue supporting your cause in the future.

Online and in-person auctions for non-profits are a tried-and-true method of raising funds and engaging with donors in a fun, interesting way. Our iConnectx.com auction software makes it easy and efficient.

If you work for a nonprofit and have healthy growth in email addresses and touchpoints, but fundraising is down or stagnant, you have a conversion problem. You are reaching folks, but they must write checks or sign up for periodic and regular donations.

Nonprofits with a high donor retention rate have long-term supporters who return year after year. Nonprofits with low donor retention rates must continually acquire new donors or more significant gifts to keep up.

According to The Association of Fundraising Professionals (AFP) and the Center on Nonprofits and Philanthropy at the Urban Institute, which studies philanthropy trends, donor retention has slipped over the last five years.

According to Professor Adrian Sargeant, director of the Centre for Sustainable Philanthropy at Plymouth University, “The donor retention landscape is terrible at the moment and is going from bad to worse. The latest round of AFP data was made for very depressing reading. We’re continuing to lose donors at a pretty alarming rate.”

“Over 70% of people that we recruit into organizations never come back and make another gift, so we’re caught on this treadmill where we have to spend lots of money on acquisition which most nonprofits lose money on anyway, just to stand still., says Sargeant.

Nonprofits need to reach supporters on new levels to connect them to the cause better.

Here are Five Strategies for Better Retention

Invest in Donor Retention Strategies

Remember that donors want to know the impact of their contributions. They want to feel included and part of your mission. Ensure donors are thoughtfully and adequately thanked when they donate and when a campaign ends. One of the investments to make is in storytelling content that brings your mission, and their giving, to life.

Thanking donors quickly (be sure to send an email message within 24 hours after donors give) is essential. But do not use the same communications to thank someone who gives $5,000 as you use to thank a $25 gift. Have a tiered communications strategy. Over a certain amount, personal handwritten thank-you notes are called for.

Target big givers for peer-to-peer fundraising to try and recruit them to ask their friends to give. High-income givers tend to know other high-income givers.

Part of investing in donor retention is having a database of giving with a good dashboard that manages the communications, invites to events, and timing of communications.

Personalize Your Donation Strategies

Organize your donors in tiers based on the size and frequency of gifts. Once you do that, develop a strategy for differentiating the communications and expressions of gratitude for different tiers of donors.

For example, you might decide that donors of between $2,500 and ­$20,000 receive special recognition in the annual report, a handwritten thank-you, and a modest but unique gift that has a connection to the cause/mission of your nonprofit. If your organization benefits needful children, for example, a piece of framed art created by the children would be appropriate and heartfelt. If your nonprofit benefits animal welfare, perhaps a local artist’s original portrait of the donor’s pet would be personal and unique at a meager cost.

For donors who give between $500-$1,000 in a calendar year, just communications and perhaps a handwritten note. For donors under $100, just an email thank-you is fine.

Depending on the nature of your nonprofit and whether it involves a public gathering place, you certainly want to think about plaques on chairs or a giving wall, or laser-inscribed bricks on a walkway.

If a gift is given as part of someone’s last will and is not anonymous, then a special thank-you gesture to the surviving family must be created to keep the family engaged as donors.

Be aware that more than email is needed. Most people get over 100 emails a day, much of them unwanted. A common complaint among professionals is the daily avalanche of emails. Have you ever seen someone’s email icon on their smartphone with a number on it, such as 23,000? That’s the number of unopened emails.

You are competing for each donor’s or would-be donor’s attention—everything from the subject line to photography or layout of email factors into the open-worthiness of your communication effort.

Effectively Leverage Social Media Channels

Social media is a beautiful way to communicate with donors and followers you are trying to convert to donors.

Remember that older donors are likely to be on Facebook, but not Tiktok or Instagram, which tend to attract younger people/donors. It is worthwhile to survey your donors to see what social media channels are most popular.

Your website should also have a blog on which you can create stories related to your nonprofit’s work that, in turn, can be linked. Facebook posts should include excellent photos that show your organization’s good works. This content can be images of beneficiaries and or volunteers at work.

Be smart about what you show and tell stories about. If you are a local opera company, you want to tell stories about bringing needy public members to the opera. If you provide food to needful people, photograph a beneficiary from the back while capturing a volunteer handing over a food parcel. Habitat for Humanity, for example, shows volunteers working on a house and the families who benefit, and the stories connected with why the benefitting families need help. These kinds of pictures show donor dollars at work.

Be mindful that you don’t want to necessarily share photos of galas that will show wealthy well-dressed people having a good time. Stay focused on images and showcasing storytelling beneficiaries of your organization.

Create Compelling Copy and Stories That Inspire

Having a blog on your nonprofit’s website is an excellent idea so that you have compelling stories full of good photography or even a Youtube video embedded from which to link on social media.

Depending on your nonprofit’s size, scope, and mission, Twitter or Snapchat may not be effective platforms for you.

Remember that a good photo can be worth 1,000 words. And when attention spans for long content seem to wane, a good photo with or without a caption is handy both as a social media asset and to use in emails to your donors.

But you also want to have a longer story on a blog. Some people will want to read a more extended form story, while some will be content just reading the photo and caption.

And here is where we talk about hiring proper help if a staffer in your organization is genuinely adept at photography and social media and task that person with the job.

It is also worth considering putting a willing staffer or volunteer through training in photography, Photoshop, videography, and simple video editing. If you have a supporter/volunteer with these skills, engaging them to donate their services or work at a reduced rate is wise. Investing in communications assets is well worth it and pays for itself.

Only deploy staff trained in photography and writing to provide these services to your organization. Amateur work does not inspire donors to support your organization and cause.

Utilize Automated Email Campaigns to Boost Donation Reminders and Follow Ups

You should have a donor management/communications system/dashboard. More than just managing donors on a spreadsheet, it allows you to organize and optimize your donor list and manage the conversion. It makes organizing and pre-program communications with your different donor groups very easy.

When planning fundraising events, such as online auctions, or selling tickets to in-person events or galas, use proven tools available through technology partners like iConnectX.com. Set up your fundraising event, collect payment through the integrated platform, and collect donor information to load into your donor management system. Best of all, it is free to use for licensed nonprofits.

If the last few years has taught us anything, it is to be resilient in the face of unexpected changes to the economy and society.

It is never truer than for non-profits. Not only did many NPOs suffer funding shortfalls during the pandemic as many fundraising ideas and events got put on hold, but the pandemic followed a change in the tax laws that has crimped charitable giving for many people.

Absent a steady stream of fat-wallet donors writing big one-time checks, diversifying funding sources is never more critical. Here are five Nonprofit Fundraising Solutions:

Peer-To-Peer and/or Team Fundraising

Big-brand companies, like Nike, Starbucks, Ford, Apple, etc. rely a great deal on their customers sharing stories of support and affection about their favorite brands to inspire and build legions of repeat customers. The same can be done in the non-profit world. People are often as passionate about the causes they support as they are about the brands they love.

This kind of fundraising works when an organization’s supporters and donors reach out to the people they know, often through social media, to ask them to give to a cause close to their heart on behalf of the organization. We have all seen this on Facebook and Instagram when people ask their friends to support their causes leading up to a birthday or anniversary. NPO’s can nudge their existing supporters to engage this strategy through outreach. If the organization has birthdates of its donor database, an email or phone call to wish them a “Happy Birthday” can be accompanied by a suggestion that they use their social media heft to multiply their giving.

“Peer-to-peer” and “team” fundraising are similar, but with a few slight differences worth pointing out. Peer-to-peer fundraising can be specifically for individuals, as in the case of birthday efforts, whereas groups of supporters can do “team fundraising.” Non-profits that support disease research for example, organize monthly walking, cycling or running goals among donors and supporters, who in turn attract sponsorship for the monthly goal or a per-mile sponsorship. Additionally, gaming can be layered on top of the effort where teams or individuals compete to see which team or individual can raise the most money, with the winner getting a prize.

These fundraising efforts are fueled by social media, and work wonders to attract new donors who get added to the database and can be leveraged into long-term supporters.

Facebook and Instagram make it easy for donors to create fundraising pages, which is a far better and easier method than going around with a clipboard, hitting up friends and friends-of-friends for per-mile support in the case of walking and cycling goals.

It goes without saying that the more information you can collect from each donor, the better you will be at retaining them, and converting first-timers to long-term supporters and advocates.

iConnectX gives you a fundraising platform on which to keep all your efforts organized and efficient, with a high degree of automation when it comes to donor communications.

Major Gift Giving

Major gifts are still a significant source of funding for most NPOs. Indeed,  90% of all fundraising dollars come from just 12% of donors, so you can’t afford to let up on those efforts.

Cultivating major gift-giving is a serious and specific talent and must be properly resourced with the right staff and software tools—building relationships with a list of prospects identified as being likely givers if approached the correct manner.

Major-gift fundraising involves six stages: Identification, Qualification, Cultivation, Solicitation, Negotiation, and Stewardship. iConnectX software helps you organize and manage the prospects through those stages by helping you stay organized and automating certain processes. For one, you’ll need to record every touchpoint that you have with donors, especially the major ones. There is a strategy to be hatched around staying in touch the right amount to keep them engaged and involved, while not over communicating.

A major donor has a high net worth and may own real estate, stocks, bonds or cryptocurrency, and can be persuaded to gift any of those assets in lieu of cash. Wealthy “older” donors are often the best prospects, but don’t ignore millennials who have achieved early wealth and have interest in giving.

Wealth screening enables an organization to learn about current donors’ and prospects’ wealth or capacity to give. Wealth screening shows an individual’s past giving to other charities, political contributions, business affiliations, real estate ownership, SEC stock holdings and the like.

Auctions

Auctions are fun, and an excellent source of funding for NPOs. Nonprofit auctions (whether live, silent, online, or hybrid) are events that draw in supporters to bid on items, services or packages. Items and packages are often donated, but sometimes organizations buy them at cost. Auctions can provide multiple tax deductions, first for the donor of the item and then for the one buying it.

Some NPOs have in-person auctions, but online and hybrid auctions are becoming more the norm. Online auctions  and hybrid auctions require tools to pull off, and they go much smoother when using our software.

Live auctions or high-bid auctions are different animals. A live auction can be a snazzy, fun event as part of a gala featuring entertainment. With as live auctioneer, attendees place bids by raising paddles or signaling. This live version can also be live-streamed to attract more people.

A best-bid auction has items displayed with sign-in sheets on each one, and people browse and place bids on the items they want. This can be done live, or on a web page we create for you. A mobile app we provide can also streamline the process. Heading into 2023, more people are gathering in person. However, many people have become accustomed to solely online events. Many still participate in them and, in some cases, prefer joining from home.

Hybrid auctions are a very popular type of auction. This type of auction combines an in-person auction with the ability to take bids from online supporters. Event organizers are also able to track the auction’s progress online. Those at the event and those online can place bids from their device, and when the bidding period ends, the highest bidder wins.

Remote Celebrity Events  

Since the pandemic, everyone is comfortable working and taking part in events online. Booking celebrities for fundraising events­—whether they be athletes, business leaders, performers, authors—is easier today because of remote appearances.

For causes these celebrities support, many will do appearances for free. Others will do remote fundraisers for a discounted rate. A NPO can reach out to donors and prospects with a “private event,” that will be “A Conversation with…”

Depending on the financial goals of the event, the attendee list can be restricted to a set number that will allow each attendee to ask the guest a question.

These events can also be held live for the attendees, but remote for the celebrity guest. The point is that it has become easier to book well-known people because the investment of time is relatively small. No travel required.

Because many performers have built mini-studios in their homes, it can also more possible today to enlist a singer/musician performer to entertain your donors without ever leaving their house.

Monthly Giving

Supporters who are not high net-worth individuals who want to give, but aren’t able to write a big check should can be presented with the option of a monthly pledge. A donor may only be able to afford a $50 check today, but if they have a structure in which they can pledge $10 a month, you’ve just increased their yield from $50 to $120.

This works almost like a gym or streaming-service subscription in that it never ends until the individual stops the payments. The more people an NPO can enlist into this program, the greater the reliable monthly cash-flow.

Monthly giving or pledges are efficient when they are managed through our software. These types of donations, once set up, are automated. The only management of that donor, then, becomes relationship management via email and snail-mail, making sure they are invited to events, thanked, receiving newsletters, etc. Research shows that monthly donation programs yields more than 40% greater giving from the same people who previously wrote one-time checks.

All of your touchpoints with these donors, with all your donors, are managed and tracked in our iConnectX fundraising software suite. And at the end of the year, the donor automatically gets a statement of giving they can apply to their tax returns. There is very little for an NPO’s team to do once the system is set up.

There are so many benefits to a monthly giving program:

Benefits of Monthly Giving Programs and Donation Pledges

There are many benefits to your donors subscribing to your monthly giving program.

• Steady recurring revenue
• Increased supporter connection and stronger donor base
• Increased Lifetime Value of donors.
• Greater supporter engagement.
• Lower donor acquisition costs.
• Easier financial forecasting.

Economic times change and stock market returns cycle up and down. But through any rough patch, supporters of your NPO still want to give, still want to feel connected.

When economic downturns occur, people naturally cut back and review their spending. But if they feel they are connected and valued by your NPO, your organization stands a much better chance of making the cut.

During the pandemic, some NPOs, like churches, theatre companies, food banks and outreach organizations for children and families in need reported upticks in giving. Difficult times often make those who are insulated from adversity even more generous.

But establishing that kind of relationship with donors requires sound and stead relationship management.

Using technology to run fundraising activities is an easy way to start to build your funding.  iConnectX is a solution that provides easy-to-use online auction and event ticketing tools for nonprofits.  Best of all, the tools are free to use for US registered nonprofit organizations.  Not sure about using tech for your fundraising, set up a demo to see how it works.  https://www.iconnectx.com/

The Greek philosopher Heraclitus said, “change is the only constant in life.”

The fundraising sphere is changing — auctions, the traditional cornerstone for fundraising, are now often held online. If your organization is looking for a new fundraising approach or transitioning to online events, virtual auctions and fundraisers are a simple alternative to conventional in-person events.

Online auctions open more opportunities for nonprofits – new supporters, remote supporters, and extended fundraising options. Online auctions offer many benefits like supporters can participate from any location. It lowers overhead costs since there is no need for a physical venue, which often includes several kinds of fees.

Let’s explore how to fundraise and host auctions online in fourteen steps:

Step 1: Plan

The first step is to outline everything that goes into the event itself, much of which we will cover in further detail further down in the blog.

Here are examples:

• Budget
• Theme – more on this next in the article
• Who is responsible for what – tickets, item procurement, technical needs and marketing — create teams based on these lists
• Fundraising goals
• Ticket sale dates
• The start and end dates for accepting bids
• How many volunteers you will need
• Choose your event planning and hosting software

Step 2: Decide on a Theme

Data from previous events can help you plan a themed auction tailored to your audience’s tastes. With your theme set, you can procure items aligned to the theme and create an event finale based on the theme, too. For example, if art is the theme of your event, you can procure paintings or other creative works of art and invite an artist to speak at the finale.

Step 3: Create Teams

An online auction involves multiple tasks such as procurement of items on auction, promotion of the event, and more. We recommend you identify specific tasks create teams dedicated to those responsibilities. Hold regular team meetings and follow a timeline to ensure all groups are on the right track.

Step 4: Leverage the Power of Your Data

Collect data from previous events to give you an idea of donor behavior from the prior fundraisers. The feedback from earlier events will help you create an engaging online auction. A data-driven event makes it easier to achieve your engagement and financial goals.

Step 5: Procurement of Items

Align the items you offer at auction according to the theme. Based on your data, request that the procurement team collect items customized to your audience’s needs.

A helpful item procurement technique is to solicit corporate sponsorships. Businesses provide auction items in exchange for positive PR; this is a win-win relationship.

Step 6: Set Up the Online Auction Site

For hosting an online auction, you will need a platform like iConnectx that includes all features that will support the event. You’ll need a digital venue in the cloud to host all your fantastic auction items. Once you’ve picked your fundraising platform, it’s time to start creating your auction site.

Make sure your auction platform has the following features:

• It should be cloud-based to access your planning tools and data at anytime and anywhere
• A flexible design so you can customize your auction site
• Make sure it is mobile optimized so donors can use their smartphones
• Enable participants to place bids
• Item management to track, handle and package auction items
• Online bidding capabilities with robust features
• Must-have tech features that support texting, email, live event alerts, and donor recognition
• Secure payment and registration
• Social media integration to maximize your reach so you can communicate your cause
• Reporting and analytics – gather and analyze fundraising data

The site is your fundraiser’s HQ. Prepare for your online auction with bidder pre-registration. Make sure to request an address to ship items to the winning bidders. Remember to share the registration link in a couple of weeks to generate momentum and bids.

Step 7: The Ramp Up: Promote, Promote, Promote

Here are a few tips to help you publicize your event:

• Share the link to your fundraising site via social media and email
• Place your item catalog and fixed price items like raffles and merchandise on your site
• If your event has a peer-to-peer element, request your supporters promote their fundraising pages and share links on social media
• Leverage your support: consider who your loyal supporters, donors, volunteers, and staff are and make them ambassadors
• Maximize the power of social media – it’s your event’s closest ally. It is free and has a global reach – it’s the top way to engage and connect with your supporters
• Offer incentives — if the online auction is a paid event, offer early bird discounts for the first 100 people who register. Alternatively, you can provide special offers to participants.
• Your website — announce the event on your website to increase awareness
• Offer a sneak peek – provide registrants an early look at the items up for bids

Step 8: Bidding

Opening Bids: On your auction start date, it’s time to open for item bidding. Online auctions are flexible – you can extend the bidding period for more extended periods than any in-person event. Ensure to interact with your supporters throughout the auction’s duration by reminding supporters about your organization’s mission, sharing impact stories and text messages, updates on popular items.

One more note about bids: each auction item needs a starting bid amount to dictate the minimum amount the first bidder pays to kick off bidding on that item. Industry standards recommend setting the minimum at 40-50% of its Fair Market Value (FMV).

Minimum Raise: Set a rule that each bid must top the previous offer by the minimum raise amount to become the new top bidder. Set the minimum raise between 10-15% of the FMV.

Here are a few variables to think about when setting bid increments:

• High-priced, low popularity – expensive items that are not in demand by your guests may need a lower minimum bid increment
• Items that failed to perform in the past – if these items did not meet expectations in prior auctions, you may want to lower the minimum bid increment
• Items that trigger bidding wars – popular items require a higher minimum raise to maximize your auction proceeds

Use Buy Now and Maximum Bidding – These are two excellent values of online auctions. A maximum bid is a feature that allows a bidder to choose a “not to exceed” amount and lets the platform bid on their behalf. “Buy now” will enable one to set the top price of an item for immediate purchase. We suggest you place a buy now price 20-30% over market value.

Step 9: Live Auction Day 

Open your auction a few days early for maximum revenue and follow up with a live virtual event on the official start date. The live event is your opportunity to recreate elements of an in-person auction by live-streaming a small group of people sharing and interacting with viewers. Services like iConnectX, WeInvite, and social media channels offer reliable live streaming capabilities.

Step 10: Follow Up

Follow up with your auction’s attendees by promptly and securely shipping items to the lucky winners. Also, thank all of your attendees through personalized thank you messages whether they won an item or not.

Collect feedback from attendees and volunteers about your auction – what worked, what they liked – there are free survey platforms available. After that, collect and analyze the data provided by your auction software – all of your compiled data assists in planning the next fundraiser.

The Wrap

An online auction requires innovative ideas and strategies to be effective. It also requires robust and dependable software. iConnectx offers an affordable suite of online fundraising solutions to ensure your auction’s success:

Whatever solution you need, iConnectX can help. We offer single-use technology up to full service in affordable packages. Call or email our consultants to choose the solution that is right for you:

Phone: 248-904-1740

Email: support@iconnectx.com

2020 and 2021 have been turbulent years for people across the globe. The pandemic has taken its toll on businesses and economies worldwide. The non-profit sector also felt the heat of the disturbing times. Fundraising strategies for nonprofits needed to be changed. Virtual events replaced in-person events. And, nonprofits were forced to take a digital route as far as fundraising was concerned.

Responsive website designs, online donations, mobile giving, were some methods that became popular for donating to charities. Different fundraising strategies adopted by nonprofits bore mixed results.

Here’s a look at some of them:

The FEP released its findings for the trend in Giving in 2020 and 2021. (Source: https://www.thenonprofittimes.com/donors/study-first-quarter-2021-fundraising-beat-2020/)

According to their report:

• Giving in the first quarter of 2021 grew over that in 2020 by 6%.
• The number of donors in the first quarter of 2021 grew by 10% over 2020 and the donor retention rate grew by 13.6% in the same period.
• However, it is important to note that not all nonprofits experienced this increase in the number of donors, or the funds raised. The funds raised by charities associated with religious organizations and Human Services experienced an increase while most other charities were not so fortunate.

We do not know exactly how long the pandemic will last or how much it is going to impact the nonprofit sector. But nonprofits can leverage these insights to plan their fundraising for the future.

Now, when 2022 is just around the corner, it is time that nonprofits pulled up their socks and planned their fundraising for the coming year!

Looking at the current scenario, virtual fundraising seems to be an effective means in the near future!

Here are 8 Powerful Virtual Fundraising Ideas for Nonprofits:

1. Online Donations

Facilitating online donations for donors is no longer a choice but a must for nonprofits. Data reveals that online donations increased by 23% last year over 15% off the previous year. (Source: https://doublethedonation.com/tips/matching-grant-resources/nonprofit-fundraising-statistics/) Hence nonprofits must ensure that they provide easy and simple online methods for donations. Especially in the current scenario when it is difficult for donors to visit specific locations to donate, online donations are necessary to enable donors to contribute.

If donors can relate to a nonprofit and wish to support its cause then online donations make it easy for them to contribute to the charity from any part of the world.

Online donations can be made through the website of the nonprofit. The website should be easy to navigate and the donation page and donation button must be clear and easy to access. Online donations can also be facilitated through the social media pages of the nonprofit.

Non-profits can also offer other means of online donations to make it easy for donors to contribute.

2. Online Auctions

Charity auctions have been an extremely popular means of fundraising among donors for years. However, in-person auctions had to be stopped in 2020 because of the COVID 19 restrictions. However, many nonprofits have switched to a virtual mode of holding charity auctions. In an online auction, the bidders can view the products on which bids are to be placed online. They can place their bids anonymously. They will get an alert when a higher bid is placed. They can raise their bids as and when they desire. The time limit for the auction is indicated by the nonprofit and all bids need to be sent within the deadline specified. The winning bids are announced in a virtual event where all bidders are present.

The benefits of online auctions to nonprofits are that they cut down on several expenses such as venue costs, hosting costs, transportation costs, etc. Besides, they save on the time, effort, and manpower required for hosting the online event. Nonprofits can also reach a wide audience easily online. People across the globe can participate in an online auction.

The participants of the auction enjoy the benefit of placing the bids from the comfort of their homes at a time of their convenience.

However, hosting a successful auction requires an event management platform to facilitate it. The software available for hosting such events can be expensive. Therefore the cost of the platform must be budgeted for while organizing an online auction.

3. Virtual Events

Virtual events have become the alternative to in-person events when the pandemic has forced us all indoors. Nonprofits have created innovative virtual events to attract donors for their fundraisers.

Virtual events are facilitated through Zoom calls, webinars, Facebook Live, or Instagram Live events. In the past year, we have seen how these types of events have been successful in attracting a wide audience.

However, virtual events do not provide an opportunity for physical interaction for the audience. Therefore, it becomes challenging for nonprofits to host virtual events that engage their audience for the entire duration of the event.

Nonprofits have offered different ways of engaging their audience through break room chats, Q&As, etc.

Some of the virtual events hosted by nonprofits include online concerts, digital movie nights, virtual races, and more.

4. Text-to-Give/ Text-to-Donate

Text-to-give and text-to-donate have become extremely popular methods of donation in recent times because of the convenience they offer.

Text-to-give is a method of donating where the donor is required to message a keyword to a shortcode. The amount donated is charged in the cellphone bill of the donor and the mobile service provider remits the amount to the nonprofit.

Text-to-donate is a little different from text to give. In text-to-donate, the donor messages the keyword to a shortcode. He is directed to the registration form of the nonprofit where he furnishes his details and donates the amount directly to the nonprofit.

Text-to-give and text-to-donate are convenient for both donors and nonprofits.

5. Scan to Give

Scan to give is another method of donating using the smartphone. In this method, the nonprofit shares a QR code that the donor can scan and donate the amount to a charity. This method is popular because the donor can contribute any amount at any time of his convenience. Scanning a QR code is possible for donors even when they are on the go. It is a safe and secure method of fundraising which is also easy for nonprofits to provide to their donors.

6. Peer to Peer Fundraising

Peer-to-peer fundraising is an effective fundraising strategy for nonprofits. In peer-to-peer fundraising supporters of the nonprofit and other individuals create fundraising pages on behalf of the nonprofit. They share the page in their community, among their friends and network to ask for donations.

7. Social Media Takeover

This is an interesting and effective virtual fundraising strategy. In social media takeover, you can request your corporate partner permission to use their social media accounts for a day.

You can spread the word about your fundraiser on the social media accounts of your partner. Nonprofits can share links to their website, social media pages, their online donation forms, etc. Social media takeover helps increase the visibility of your brand and raises awareness about your cause. It helps you tap into an existing online audience and boosts your reach.

8. Online Raffle

An online raffle is when participants need to purchase raffle tickets. One lucky winner wins the raffle prize. Raffles have been an effective fundraising strategy in the past and online raffles are also effective in raising funds for a cause.

However, the nonprofit needs to clearly communicate the purpose of the fundraiser and the cause that is being supported to attract donors.

This becomes easier by choosing an event hosting platform like iConnectx which facilitates customizing the event with your brand colors and logo besides making it easy for you to tell your brand’s story to your audience.

Most of the online fundraising strategies require software to organize and host fundraisers. There is a myriad of platforms with specific features available for event management. The non-profit must select a platform that meets all its needs. It is recommended to opt for a platform that helps host different types of fundraisers.

iConnectx is a platform that has all the features that facilitate hosting different types of events and fundraisers for nonprofits. This platform is easy to use and has a team to support the installation and maintenance of the platform. This platform also offers tools for marketing and promotion besides facilitating customization with brand colors and logos.