WINSPIRE NEWS

Your destination for insight into the world of event fundraising and charity auctions.

Strategy that Can Double & Triple Revenue from One Auction Item

Posted by Kevin Spykerman

consignment auction items

Consignment travel packages can be extremely lucrative for your nonprofit, providing the ability to sell incredible trips multiple times, at no risk to you or your organization.

Doing so benefits your event in three ways:

  1. Increase revenue: Double, triple, or quadruple your profit on a single package.
  2. It's a win-win: Making Bidders happy means making your nonprofit happy.
  3. Capture secondary bidders: Why have one winner when you can have multiple? Having more than one of the same auction items means there is no second place. Doubling up enables your auctioneer to capture additional revenue from more people.  

It's easier to pull off than you might think! There are unlimited ways to sell multiple no-risk consignment travel packages at any point of your event timeline—before, during, and after—that doesn't take any extra procurement on your part and costs nothing if items do not sell.

Read on for the strategies our nonprofit clients have used to double, triple, even quadruple their revenue on a single package to raise a lot more for their cause.

Before: Online Auction and Presale

Online-auction.pngSome nonprofits take advantage of consignment travel by including these trips in an online auction. This strategy can widen your audience to those who may not be local to your event but still want the chance to make a difference.

To do: Select a group of items you can include in the “online-only” bidding section. Then, get people interested in the online auction by including a few big-ticket items like incredible travel Experiences with a “buy-it-now” price. 

Not only will many in your audience appreciate an indirect bidding option, but you can also get them to start visualizing and discussing your featured items weeks before the big event. Then, once the auction rolls around, they'll be eager to bid, and you'll be able to sell to multiple bidders!

Note: Since online auctions lack the bid-generating excitement of an in-person event, they should serve as a supplement to live and silent auctions.

During: An Engaging Auctioneer

Live auctions are where consignment's multiple-sale feature really shines. The key here is having an experienced auctioneer present and explain the concept to your audience. Your auctioneer should also be able to effectively capture the interest of your attendees, build momentum, read the room and engage the attendees in an experience they won't soon forget.

At the auction, your auctioneer will drive up bidding on consignment travel packages, then declare a winner or winning bid price. At that point, they can offer to reduce the price to the amount the second highest bidder was prepared to spend—on the condition that the second highest bidder agrees to purchase the item.

In many cases, you can also reach out to the third highest bidder and bring that bid price up to match the second highest bid, which is now the actual sale price of the item.

Make sure your auctioneer emphasizes this is a rare opportunity to support at a "special bargain price" to support a good cause. A reminder of your mission can ease hesitation about purchasing the item and even encourage new participants to join in on making a difference to the cause.

This strategy results in two or more sales, plus a very happy first bidder who just received an instant discount on their purchase.

Consider the following 'Triple Up' example:

A Winspire auction item with a no-risk package price of $2,200...

consignement travel packages

In the first scenario, the top three bidders submit bids at $3,300, $3,400 and $3,500. If you only sell the package to the top bidder, you net $1,300! But if you reduce the price to $3,400 (the mid-price of the top three bids) and offer it to all three bidders then you will net a whopping $3,600—almost triple the amount raised on a single package.

At Winspire, we have multiple quantities of every Experience we offer. So if you have two bidders trying to outbid each other, wait for one of them to jump out, then stop the bidding and sell the Experience to both bidders.

During: "Buy it Now" -  Premium Travel Section

Most silent auction items can only be given to one winner, meaning you only have as many items that were donated. Fortunately, this is not the case with Winspire’s no-risk travel packages. Each of our packages has been developed so that they can be sold multiple times in a single eventand you only purchase the trip if it sells.

One of the best ways to utilize the multiple-sale feature in a silent auction is adding a “Buy It Now” feature on your bid sheets or in your bidding software, allowing multiple people to purchase the trip immediately.

Let's say you auction off an amazing $2,600 New Orleans Jazz and Dining trip for $4,000. Your organization takes home $1,400. But if you can sell that same item to three bidders using "Buy It Now" for $4,000 each, you have now tripled your profits and netted $4,200!

Your Winspire Fundraising Specialist can work with you to suggest an appropriate “Buy It Now” price that guarantees a good return to your organization.

Expert resource: For more help on making a great bid sheet, including an easy-to-use template and instructions, check out our "Bid Sheet 101".

Download Free Bid Sheet Templates

Setting Priceless Item ValueFor more information on selling multiples after your auction

Check out "How to Unlock Fundraising Opportunities After an Auction Using No-Risk Travel"

After: Approach bidders who missed out

During your event, take note of everyone who expresses interest in the featured trips and encourage your auction monitors to do the same. Once the event has ended, reach out to these guests and offer the trip at the winning bid. Even if some bidders dropped out early in the bidding war, they may change their mind or jump on a second chance to get the trip if it's offered again.

Finally, if there was a particular item that generated a lot of interest at your auction, consider opening it up to the entire guest list. You don't buy the trip unless it sells, so offering it afterward could provide opportunities to those who previously missed out.

Send out a special newsletter summarizing the night that includes an offer to snag the night's most talked-about vacation at the "special bargain price" of the winning bid, all while making a big contribution to a great cause.

Fundraising, Silent Auction Ideas, Live Auction, Selling Multiples
Kevin Spykerman
Kevin Spykerman
Working with nonprofits for over 15 years, Kevin has had the privilege of helping thousands of charities raise money for their causes. Knowing how much energy and effort goes into events, he enjoys being a resource for Executive Directors, Development Directors and volunteers. Kevin has seen Winspire continue to grow and help more charities, keeping a focus on making sure winning bidders - nonprofits' most important assets - have the trip of a lifetime. He is grateful to be in a position that makes a difference.

Related Posts

3 Tips for Event Night Success with Winspire Fundraising Software

As all nonprofits know, the key to event night success is preparation, preparation, preparation! For those using Winspire software to launch your event -- be it through event registration, raffle ticket sales, auction bidding, or something else -- we wanted to give a couple tips to make sure the launch of your campaign is a roaring success! 

Update: Test Mode for Winspire Software Users

Now available to all users is the 'Test Mode' feature for Experiences and Donation Pages. Test Mode allows users to test the full donor experience, from start to finish. This will help users identify any potential errors or glitches ahead of launch. 

What Can your winspire software account do for you this fall?

One thing has remained true two years after the world went online during the beginning of the pandemic: the ability to reach a virtual audience has expanded nonprofits' ability to raise more funds for their mission. Winspire Fundraising Software is a user-friendly way to engage a virtual audience and increase your next event's fundraising potential at little to no cost to your organization! Read on to find out how Winspire Software can boost your fundraising potential this fall.