Have you ever been in charge of a fundraiser that fizzled? Has your organization’s fundraising efforts fallen short of its goals? Unfortunately, this can happen with school and team fundraisers, but you can learn from the mistakes of others. If you’re brainstorming future fundraising ideas, beware of these common pitfalls.
Selling products, such as holiday wreaths or discount coupons for theme parks and attractions, is a great way to make money for your organization, especially if you offer those products when they’re most likely to be used. Plan your campaigns so that products get delivered in time for the season, but not so early that the items themselves are not relevant at that particular point in time.
Poor Profit Margins
Unless you know you can sell many items, you might face challenges making money with products that offer less than 30 or 40 percent profit back to your organization. Look for higher profit margins to get the most from your fundraiser. Fundraisers like the Entertainment App comes with a 50% profit and Scratchcards can give you up to 90% profit.
Large Upfront Investment
Sometimes, small team fundraisers start with an upfront investment in product that the club may or may not be able to move, especially if the product hasn’t been sold before. If you want to keep a safe approach stick with order-takers, especially for smaller clubs.
Poor Value Proposition
Many people will pay a little more for products sold as fundraisers, because they understand they are supporting an organization they care about. However, getting people to buy items, even as fundraisers, that don’t show value can be challenging. Consider the people in the communities and neighborhoods you will be selling to and try to choose fundraising items that would be valuable to them. Listen to your customers! If you keep these four fundraising mistakes in mind when choosing your next idea, then you’ll have a higher chance of success. For more fundraising ideas, request a free fundraising guide.