Popular mistakes about fundraising you don't have to make
When choosing a school brochure fundraiser, you may want to stand out by selling items that are unique. Or, perhaps you’re looking for a similar brochure to one that’s already been working well in your area that has comparable, but perhaps lower-priced items. When deciding between brochures, the possibilities are endless.
The selection process is further complicated by other factors as well, like item selection and group profit. One tactic that’s commonly exploited by school fundraising companies to attempt to draw people in is offering a higher percent profit of sales. Companies know this is a hot button as many sponsors consider profit percentage to be an important factor.
But some may already be aware of the pitfalls of making their selection based solely on profit percent. We’d like to dispel this, as well as one other brochure fundraiser myth that you can avoid before you sign up with a company.
1. Higher Profit Fundraisers Make More Money
You see it all over the web. Make up to 80, 90 or even 100% profit. Doesn’t this sound great? Shouldn’t making more profit off of each item you sell be your primary objective? After all, the average profit on the typical school brochure fundraiser is only 40%. Think about how much more money you can make.
However, you know the old saying that says, “If it sounds too good to be true, it probably is”. Many inexperienced sponsors consider higher profit as an easy way to squeeze out a few more dollars. Companies know this is a big motivator when it comes to choosing a fundraising program.
Instead, groups should be looking at how they can improve sales by getting additional students to sell more items. Finding ways to increase student performance by offering better incentives and tracking sales progress are far more important.
Potential gross sales is a far more important indicator for projecting fundraiser success. Why? You can have all of the profit in the world, but if your brochure doesn’t sell, you won’t make much money anyway. We’ve seen many groups end up making less money when the profit was increased because they didn’t work to advance the quality of their sales campaign.
2. Less Expensive Fundraising Items Sell Better
Even if you’re able to sell more items from a less expensive brochure, you may ultimately bring in less money. We reviewed the results of one of our schools that used a less expensive brochure the first year; then followed up the next year with a more expensive brochure. It turns out that they ended up making more money selling the more expensive brochure.
At first glance this may seem surprising, but there were 2 logical reasons for it:
- More money was made per item on the higher-priced items.
- The more expensive brochure offered a larger selection of items. Even though this wasn’t directly related to price, it showed that offering a larger variety may be appealing to more buyers.
So before selecting your school brochure fundraiser, you should first consider how well the brochure will sell in your community, and then go from there.