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Fundraising Q&A's


Fundraising Q&A's - need to know what a direct sale fundraiser is? How about storing inventory, how long to run a fundraiser. Fundraising Q&A's has the answer.

Select the fundraising type to find matching questions and answers:

Direct Sales
Internet~Email
Catalog~Brochure


Direct Sales

Question: What is a direct sale?
Answer: A direct sale is one where the fundraiser conducts the sale in front of a prospective buyer. These type of sales are traditionally door-to-door but can also include telephone sales and sales conducted from display booths.

Question: How much profit can a group make?
Answer: Direct sales programs are great for generating a high volume of sales and are ideal for groups of all sizes. Typical direct sales programs offer profits ranging from as little as 1% to as much as 80%. The profit will depend upon the type of product sold as well as the quantity.

Question: How long should we run a direct sales promotion?
Answer: Like other types of fundraising programs it is best to put a specific time limit on your direct sales promotion. The length can vary greatly depending upon whether or not your group will target a specific location to promote the fundraiser or whether you will canvas certain areas on different dates. We suggest that you limit the direct sales promotion so that you have provided ample time to properly expose your promotion, but not to overexpose it. A good timeframe is traditionally 3 full weeks.

Question: What risks are there with direct sales?
Answer: The number one risk is over ordering product. Make sure you can return any unsold product for a full refund. We also suggest you only order what you feel your group can "conservatively" sell. It is always easier to order additional product.

Question: Does our group need to store inventory?
Answer: Traditionally your group should never need to store inventory. It is always a wiser decision to purchase additional inventory after selling off your original orders. We suggest you purchase enough inventory to satisfy your groups goal.

Question: Should we collect the money at the time of the sale?
Answer: Yes. Regardless of whether you are selling an item that can be given to the purchaser at the time of sale or whether you are taking an order for a delivery at a later date, we highly suggest you take the money at the time of the sale. This will also help to eliminate the possibility of ending up with unsold inventory due to cancelled orders.

Internet~Email

Question: How do we fundraise via the Internet and email?
Answer: Let's break this question into two answers. First let's address how to fundraise via the Internet. The NABCA provides all booster clubs with the ability to utilize fundraising links within Fundraising Corner where you can have a fundraiser hosted without any need of setting up a website or hosting the fundraiser. You simply register your club for the specific fundraiser and then publish the link via flyers or email campaigns.

The NABCA will assist your club in setting up an email database of parents, members, alumni which can then be used for promoting numerous email promotions during the year. All NABCA affiliated clubs receive as part of their membership a club management software program designed to help create your own school database. In addition BoosterWorld provides online capabilities of conducting email campaigns to your members.

Question: How long should we run a Internet~Email promotion?
Answer: If you are conducting your promotion via Email we suggest you limit your offer to no more then two email notices and keep the offer time to no more then 2 weeks. Internet promotions can run longer as it may take longer for you to notify your prospects. An Internet promotion can run for many weeks and can become an ongoing media for introducing new fundraising items and offers.

Question: What risks are there with online sales?
Answer: The number one risk is to insure that you have received payment for the item sold prior to delivery. Product delivery is the second highest risk area. We suggest you take advantage of one of the online fundraising programs offered through Fundraising Corner or make sure you have solidified an agreement with your supplier to insure all product orders are filled and shipped within a timely manner.

Question: How do we collect the money for an online sale?
Answer: You will greatly increase your sales volumes if you accept multiple payment options including checks online. In most cases it is not feasible for a club to get a merchant account so we suggest you consider working your online promotion through the NABCA where you can take advantage of the preset payment options offered.

Catalog~Brochure

Question: What is a brochure~catalog sale?
Answer: A brochure or catalog sale is a way of referring to fundraisers that use a brochure or catalog for taking orders with the product arriving at a later date. When the marketing piece is 15 pages or less it is called a brochure and more then 15 pages makes it a catalog. Brochures tend to focus on one specific product - such as a valentine card, or a box of candy. Catalogs offer lots of great product ideas and usually market to all ages.

Question: How much profit can a group make?
Answer: Catalog and brochure sales are great fundraisers for groups of all sizes. Catalog and brochure sales are ideal for people who do not like to sell face to face in that the brochure or catalog can be dropped off to a prospective buyer and then picked up once the prospect has made there choices. Typical profits can range from 5% of gross sales to as high as 65%.

Question: How long should we run a brochure~catalog sales promotion?
Answer: It's best to put a time limit on order taking. We suggest that a minimum of two weekends and one to two full weeks. If you run a sale too long, everyone begins to lose interest. Get the brochures~catalogs out as quickly as possible then work on bringing in the orders.

Question: What risks are there with brochure~catalog sales?
Answer: The most common risk associated with brochure~catalog sales is to insure the vendor can satisfy your groups order within a timely manner. A typical delivery time should not exceed 2 weeks. We also suggest you request a product sample when possible. This will insure your group is selling a quality product.

Question: Does our group need to store inventory?
Answer: No. Catalog and brochures do a fine job of illustrating the product. If a prospective customer has additional questions your group should have a contact that you can refer them for answers beyond what is listed in the literature.

Question: Should we collect the money at the time of the sale?
Answer: Yes. It is highly advised that you collect the money at the time the sale is made. This will insure you can deliver all products ordered in a timely manner. This practice also helps to keep your promotion within a limited timeframe.

 


 

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