Nonprofits Heading To Online Auctions
Raising money could get a boost from online auctions. Check out BiddingForGood’s recent numbers: nonprofits, schools, and charities in the US have raised over $250M through the site since it launched in 2003. Organizations pay a yearly fee for access to the site and 91% of the money raised from auction items goes to the charity. Sales/marketing VP Perry Allison says people are buying things they’re already in the market for, like Red Sox tickets or weekend vacations. Traffic to the site never missed a beat during the recent recession because of that buying model, she adds.
The fundraising model has worked so well for the Foundation for Belmont Education that the organization, which raises about $250k a year for public schools in Belmont, Mass., may replace its yearly live auction with an online auction. Fundraising VP Karen Giorgio with her husband, Pete, at last year's event, says the organization moved the silent auction at its annual fundraising dinner to BiddingForGood in 2011. It’s grown from $9k to around $30k in the last two years. Online auctions can offer more items and people who don’t attend the dinner can participate. The foundation may also move its high-ticket items from its live auction to online.
