Using an online auction to raise program funds
Abstract
The Northern Arizona Regional Gerontology Institute holds a "Bubbles and Bids" silent auction and wine tasting party annually to raise funds for their programs which include Senior Companions, Foster Grandparents, RSVP, Flagstaff Senior Olympics, and the Flagstaff Association for Lifelong Learning. In 2002, the Institute utilized an online auction service, where they were able to advertise some of their items with a wider audience and with minimum effort. This effective practice from Carol Mandino, Director of the Northern Arizona Regional Gerontology Institute was submitted in September 2002 and describes how to use an online auction to aid in fundraising.Issue
Managing innovative and successful fundraising for senior programs is essential for program sustainability. And an online auction may prove to be a more efficient way to raise money than a traditional auction.Action
The Northern Arizona Regional Gerontology Institute holds a "Bubbles and Bids" silent auction and wine tasting party annually to raise funds for their programs which include Senior Companions, Foster Grandparents, RSVP, Flagstaff Senior Olympics, and the Flagstaff Association for Lifelong Learning. By using the free online auction service MissionFish, they were able to advertise items to a wider audience and with minimum effort. The Northern Arizona Regional Gerontology Institute had about 160 items for bid at their annual 2002 event and they listed eight items on the MissionFish website. Of those eight items, five sold for a combined total of approximately $200.00.
Getting Started
- To register with MissionFish, the Northern Arizona Regional Gerontology Institute completed and submitted an online registration form. Organizations use a credit card to register and MissionFish follows appropriate privacy policies and business practices. Confirmation was received via e-mail providing username, a confirmation code, and a URL to follow to access MissionFish. Registration was then confirmed by entering the confirmation code and creating a permanent password during the first online visit. Nonprofit organizations must also fax a copy of their 501(c)(3) letter to MissionFish.
- After registering with MissionFish, the Northern Arizona Regional Gerontology Institute was able to advertise its items online. Items were open for auction for 15 days.
- Organizations post their logo and pictures of the item(s) they are donating on the MissionFish website.
- Auction shoppers place their bids online. All auctions are viewable in the "Shop" section of the website. Once an item is found, buyers click on the "Place a Bid" link. Once logged in, buyers enter the bid amount and quantity to bid on in the bid form.
- Buyers can check the status of their bid at any time by viewing "Tracking My Bids" in the "My Account" section. Buyers can also check the status of a bid by searching for the auction and checking the bid history by selecting the "View Bid History" link on the auction detail page.
- If a buyer is outbid and has selected to receive an outbid notice in his/her e-mail, one is sent automatically. Also, if the buyer has selected to receive a "lost notice" at the end of the auction, the buyer is notified that he/she lost the bid through e-mail.
- Buyers pay a small transaction fee when they win an auction -- 10 percent of the winning bid amount.
- MissionFish helps buyers calculate the final cost of an item, including the bid price, the MissionFish 10 percent fee, any sales tax, and the estimated shipping charge when applicable.
- The buyer's credit card is charged immediately at the close of an auction.
- When an item sells, the donor receives an e-mail notifying them of the sale of the item and confirming the transaction.
- The donor is responsible for packaging and shipping the item within 5 days of the sale.
- The donor must use a parcel company that provides a tracking number that the donor submits to MissionFish at a URL specified in the confirmation e-mail.
Lessons Learned
Because MissionFish gives a starting bid price of 10 percent of the value of the item, the Northern Arizona Regional Gerontology Institute learned that they would have to place the first bid at just under 50 percent of the value of the item so that the next bid price would be a minimum acceptable price.
Context
The Northern Arizona Regional Gerontology Institute was established in 1986 at Northern Arizona University and offers a variety of programs aimed at encouraging senior participation and involvement. Programs include Senior Companions, Foster Grandparents, RSVP, Flagstaff Senior Olympics, and the Flagstaff Association for Lifelong Learning.The Bubbles and Bids annual event is a silent auction and wine tasting party hosted by the Northern Arizona Regional Gerontology Institute to raise money for its programs. In 2002, approximately 160 items were put up for bid, raising about $10,000.00 overall, with about $200.00 coming from the MissionFish online auction sales.
MissionFish is an Internet company that hosts online auctions for non-profit organizations. Every item up for bidding has been donated and the money raised from every sale goes to a non-profit organization. Items include art and antiques, business exchange, clothing and accessories, collectibles, dining and tickets, electronics, entertainment, gifts, sets and baskets, home and garden, jewelry and gems, office supplies and equipment, photography, sports and recreation, sports cards and memorabilia, travel and leisure items.There are no fees to join or bid on MissionFish. In-kind donation auctions benefit non-profits -- 100 percent of the final bid price (minus bank fees, typically 2-3 percent) of an item goes directly to the benefiting non-profit organization. MissionFish manages all of the work at no cost.
Outcome
By using an online auction service the Northern Arizona Regional Gerontology Institute was able to sell 5 of 8 items listed, raising $200.00 towards its overall program fundraising goals in 2002.Posted On
September 11, 2002For More Information