We were recently contacted by a school that was interested in using our magic show as their prize program for their upcoming fundraiser. Discouragement set in once they learned how much they had to sell to get it.
They were a new school in a young neighborhood that was adding on grades each year so their student population was only about 250. Without pursuing it any further, they moved on. As it turns out, this school had 3 ways to graduate up from a traditional prize plan to a big event fundraising prize program:
1. Reach a Certain Fundraising Goal
The first option allows a school to qualify for a free big event if they reach a predetermined sales goal. If they fall short, they simply use our cost share plan. We call this 'Option A'. The closer they get to the goal, the less money they have to pay. Also, if they have to share in the cost to bring in an event, they simply pay for it out of the money that has already been collected from their fundraiser. Therefore, they don’t have to take the money from another source. Regardless of their sales results, the students get a big event. Most schools that select this option are fairly confident they'll reach the goal that earns them a free event.
2. Sell Enough to Get the Big Event
The second option allows a school to graduate up to a big event fundraising program after starting on a traditional prize program. This is referred to as 'Option B'. Consequently, they start out on a traditional plan and if they reach the goal that earns them a free event, they switch. Most schools that choose this route aren't sure if they'll reach the goal so they take a more conservative approach. The downside to this option is if a school falls short, they then settle for the traditional prize program.
3. Bring in the Big Event Regardless
We call the third option ‘changing your mind’. In other words, a school initially on a traditional incentive plan can switch to a big event prize program. It doesn't matter how much they sell. They're still allowed to bring in the event, even if they fall short. They would simply cost-share based on their sales. This option works well when a school ends up selling more than they expected and realizes they only have to pay out a small amount to bring in the event.
How to Predict Your Sales
If you’re not sure where your sales will end up, here is a simple way to do the math:
- Multiply the average brochure retail price in the brochure by your number of students.
- Multiply that number by the student goal.
For example, by multiplying $12 by 500 students equals $7,500. Then multiply $7,500 by 5. The result is $37,500.
For the magic or reptile show, the student goal is 5 items. The super party and super splash party requires students to sell 8 items. This gives you a fairly close estimate. Keep in mind, some students may not sell, while others will reach higher prize levels. You'll also want to avoid comparing previous results to what you think you might sell with a big event incentive plan because they may be very different.