One of my projects in my last year of working at GE was planning the annual senior management meeting. That’s when all of the senior team convened in an upscale hotel and spent 3 or 4-days in executive-level strategy and training sessions. 

Although we had internal speakers, we also hired outside facilitators, motivational speakers, and similar types.

The vetting process was aggressive. I spent hours selecting contractors, watching their videos, reading articles, studying websites, and calling referrals.

Why did I bother with such intense vetting of a mere contractor who would be working with us for an hour?

Because I was giving him a microphone and putting him on GE’s stage.

That’s a big deal.

There was no way in hell I was going to put a potential buffoon on stage – with a microphone, no less! – and let him talk to our VIPs. I and my superiors wanted to know what this guy was going to say and how he was going to say it because handing him a microphone subtly meant that GE endorsed him. 

A contractor who was inappropriate or not the professional we’d hoped could have cost me my job … or at the least would have resulted in a performance discussion helping me understand priorities.

• My Manager:  “Sherry, I want to talk about your thought process in selecting Contractor X for the recent management meeting.”
• Me:  “Right. Um. Well, I was trying to save the company some money in that area so I could get these cool gifts for the managers in their rooms.”
• My Manager:  “So in your mind, it was more important for the managers to go home with a nice gift than to have them hear from an expert in leadership?”
• Me:  “Um, well, I realize it sounds silly in hindsight, but I’d been told we needed to get attendees gifts.  And the co-workers I asked thought those leather thing-a-ma-jiggers were cool, and getting those produced with the logo was pricey … plus the hotel charged $3.50 to deliver each one to the room, so …”

Not a good conversation.

Management meetings were important motivational and strategic affairs.  It wasn’t a time to experiment with the cheapest option when it came to delivering the message.

Frankly, I don’t think there’s much difference between my annual management meeting and YOUR annual fundraising auction.

Let’s look at the similarities:

We were concerned about getting it right … not, “Who’s the cheapest facilitator we can hire?” Our contractors had to meet GE standards. If they said something off-topic or off-color, it could have started a chain of events I shudder to consider.

So it stuns me that many nonprofits fail to see how critical their benefit auctioneer is.  Think about it … is your largest annual fundraiser a good time to experiment?!?

You’ve spent THOUSANDS OF HOURS planning the gala.

You’ve poured BIG BUCKS into it.

You’ve got your BIGGEST DONORS sitting there, listening.

Is this a good time to turn over the MOST IMPORTANT part of the evening to THE CHEAPEST vendor you can find? 

Here’s the crux of the matter: The benefit auctioneer is the most critical hiring decision you’ll make for your gala. Not your caterer. Not your production company. Not your florist.  Not the band.  Not the printer.  (I’ve written about budgeting before.)

Whatever you do, get the auctioneer right.

A budget for fundraising gala will vary by group (for instance, you might have access to a free venue; others might negotiate discounted printing), but when we look at the budgets of committees coast-to-coast, we see common expenses. 

And it’s not uncommon to see costs shape up like the chart on the right.

So do you think that if you write the biggest check to the caterer or the venue or the band (pick a category), they are providing the greatest help to you in your mission? 

Probably not. 

Let’s consider some examples …

If the florist creates stunning centerpieces, will that help you raise money?  

No.  I’ve yet to see a guest stand up and donate $1000 because the centerpieces rocked.

What about the US Postal Service? 

Will the mailman deliver your invitation in such a way that a new guest will decide to buy a ticket?  

No.  And having “extra cool programs” from a printer doesn’t gain you extra money, either.

Does a neat venue make you money?  

Well …. sometimes.  An unusual space might attract more guests, especially  if it’s usually something “off-limits” to the public.  

That said, the mission of the venue owner isn’t about helping you raise cash.  His mission is to provide you a comfortable, safe venue. So don’t expect the venue’s owner to deliver a compelling speech that will inspire guests to donate.

What about a kick-ass band? 

If you budget more money for a band and get someone REALLY good, will you raise more money?  

If the entertainer’s name is Aerosmith, Billy Joel or something similar, you’ll sell more tickets and – yes – this could equate to more profit. 

But if you’re spending a lot more to merely hire a local “better” band, save your money.  A band’s focus is to entertain; not compel guests to give.  You might have a more enjoyable listening experience, but that doesn’t mean you’ll raise more money.

Here’s the bottom line.

The ONLY vendor who shares your goal of raising money is the auctioneer.  

Your auctioneer is a professional sales person with the singular goal of selling high!

To accomplish this goal, auctioneers use their personality, charisma and chant (it’s outside the scope of this post, but the “fast talk” makes you money). 

They facilitate the event so it has momentum.  They cajole and entertain. 

And if you’re using a benefit auctioneer, you’ll also get additional ideas prior to the event that will improve your gala.  The good ones will consult with you.

So when it comes to selecting vendors, where do you think your biggest decision lies?

Your biggest decision should be who to hire as your auctioneer.  It’s the ONLY vendor sharing your mission.

If you’re going to screw up on hiring a vendor, don’t let it be the auctioneer.  They’re the only vendor focused on fundraising.

They don’t care about making pretty invitations … they aren’t focused on serving the food at 7:30 PM … they aren’t trying to provide a danceable beat.  They care about selling high.

Next week I’ll tell a personal story about how I learned the importance of vendor selection in my former corporate job.

You might have tried to “steal” guests via the cold-invitation approach.  One of my clients poured through the benefit auction catalogs of nearby charities, made note that so-and-so supported THAT event, and then sent them an invitation to their own gala. 

It was effective.  Remarkably, the nonprofit’s highest silent auction spender that year came from sending the woman a “blind” invitation.  I seem to recall she even bought a table at their event.

(This is one argument for continuing to print some elegant paper invitations, despite your desire to go all-online.  Emailing someone without permission is considered spam, regardless of how “beautiful” your email invitation might be.  But when someone receives a beautiful paper invitation in their mailbox, it’s not immediately — if ever — seen purely as “junk mail.”)

A better way to build your audience is to identify untapped supporters in your community.  Despite what you think, these people DO exist.  In this video, I give two examples of ideal auction guests and share why they have never attended a benefit auction in their respective communities.

I don’t like to write about auction decoration ideas.  If it doesn’t make you money, I’m less inclined to spend time educating you on it. 

And rarely do auction decorations make you money.

But many of the volunteers on your benefit auction committees LOVE talking about decor, don’t they? 

They get excited planning the colors … considering the centerpieces … thinking of ways to incorporate fun elements.  It pains me that your budget for the decor may grow out of control. 

(It’s so much smarter to spend your budget on more important elements, like a top-notch auctioneer.)

Sadly, I’d also be willing to guess that it’s a lot easier to get volunteers to sign up for the decor committee than to sign up for the procurement / acquisitions team.

So all that said, here’s an idea that is affordable AND elegant. 

You might equate balloons as something appropriate for a child’s birthday party, but not a benefit auction.

Or you might consider balloons appropriate for a school auction, but not a nonprofit gala.

With me standing next to them, it gives you a sense of the balloons’ size.

I think these photos will convince you otherwise.

These over-sized balloons lended an air of sophistication to this nonprofit gala of ~420 guests.  They were used in the silent auction (in multiple colors) and in the ballroom (in shades of pink) to beautifully fill the large space.  They created a “dropped ceiling” effect.

The helium started to wane in a few of them by night’s end, but most of them stayed up and looked great.

Not too expensive and it looks beautiful. 

What do you think?

It’s time to revise.  I now have TWO things you should never say on stage.

When I wrote that article, I was referring to the recession.  Some of my clients were hell-bent on reminding their auction guests that the USA was experiencing an economic downturn.  They felt obligated to remind everyone of precarious times.  In some twisted way, they thought that reminding guests of life’s instability would somehow inspire everyone to make larger donations.

It doesn’t work that way.

• When people feel insecure, powerless, and pessimistic, they are LESS likely to give.

• When they feel confident, capable, and optimistic, they are MORE likely to give.

Make sense?

So it follows that when we are crafting our gala’s timeline, we want to structure it in a way so that we don’t somehow — even accidentally – make our guests feel insecure, powerless, and pessimistic.

Think you got it?  Here’s a 1-question pop quiz to find out:

1. If you feel obligated to mention the Boston bombing at your fundraising auction, or have a moment of silence for the people killed in Texas, or hold hands and pray for anyone not directly related to your nonprofit who has been recently hurt, do you think you should schedule that BEFORE you ask for donations …. or AFTER?

The correct answer is AFTER.  Extra credit if you wrote in “This wouldn’t be a fit at our gala.”

This can be a touchy subject.  When bad things happen, empathetic nonprofit leaders may feel that highlighting tragedy is the “right thing to do.” 

And when it’s highlighted, I’ve noticed that the pregnant pause — that moment of silence — is often scheduled early in the evening, before the fundraising.

But here’s my point.  

The goal of your auction is to help you raise money for YOUR programs.  If something (like bringing up a tragedy) doesn’t advance your goal – and perhaps even DETRACTS from it – why mention it? 

In my mind, the only groups that should consider bringing attention to disasters are those managing disasters. 

When I worked for the Humane Society of the United States in New York last year, we talked about Superstorm Sandy damage prior to the Fund a Need.  Dramatic video reminded guests of the devastation.  Why?  Because HSUS was IN the devastation.  They sent people IN to help, as part of their mission.

If the Red Cross of Boston’s Gala (or a similar charity) was scheduled this month, highlighting the Marathon bombing might be appropriate. “Other people were running away,” I’d pound the podium, “Red. Cross. Ran. In.  HELPING PEOPLE! That’s what we DO.  And when YOU need help in a crisis – whether it’s a bomb at a marathon or a fire at your neighborhood – Red Cross will be ready to take care of YOU.”

That’s a mission story.  It’s applicable.  

But should a social services agency in …. oh, pick a state …  Indiana offer a moment of silence for Boston?  Should a children’s hospital in Colorado?  Or a historic preservation group in Oregon?  

Furthermore, how will we select our tragedies?  

Should we also mention Texas if we mention Boston, given they happened within days of each other?  Didn’t more people lose their lives in the Texas explosion?

But then, if our decision is based on the number of lives affected, maybe we should skip those tragedies and focus on the millions of people still suffering in Darfur.  (Or do we only acknowledge American suffering?)

Once we start picking tragedies, how shall we fairly draw the lines?  By geography and time?

“We want to remember this past week’s victims of tragedies within a 90-mile radius of us,” you would explain to guests, “that includes the horrible Boston bombing last week … and the two guys randomly killed in that drug deal gone bad over in Camden this past Tuesday.  Also remember little 13 month old Samantha Cole, whose lifeless body was found in a ravine two days ago.  Please join me in a 30-second moment of silence to remember these victims.”

Ew. Awkward.

Is this what we want our guests to dwell on?  Do we want everyone to recall those scary images from the TV?  The screaming, the blood, the tears?  Do we want them to remember little Samantha Cole’s tiny body wrapped in a towel being carried away by the police officer? 

And then – hey! – let’s ask for some donations. 

Not. A. Fit.

This is NOT meant to diminish the experiences of those individuals and families who suffered tragic outcomes in Boston, Texas, or anywhere else.  My point is about relevancy. 

If it’s not relevant to your mission … if it’s not relevant to your goals … if it doesn’t help you raise money … why include it?  What’s the justification?

Here’s another real-life observation …

If you’re using a news anchor to emcee your gala, they often enjoy mentioning this stuff.  It’s only natural; reporting the “news” is their job and tragedies increase their ratings.  They might inadvertently believe they are giving a sense of “being current” or compassionate when they casually mention a tragedy on the stage. 

They aren’t.  They are bringing the house down … emotionally.

If you don’t script your news anchor, you might want to suggest that they shouldn’t sing the blues onstage, even offhandedly.

Remember, if it doesn’t help you towards your goals, don’t include it. 

You’re holding this gala once a year.  You’re pouring thousands of dollars and hours into it.   Keep everyone’s eyes on YOUR prize and don’t invite diversions into your ballroom.

One of my auctions this past weekend used this silent auction entertainment idea. As the idea is fresh in my mind, it’s a perfect time to give you some pointers on using this concept.

They’re called living statues.

Also called “human statues,” the idea is that a person stands “frozen” until he receives a donation or otherwise wants to startle a passer-by.  At that point, he changes his position.

Here’s why I like this form of entertainment … and some tips on getting the most out of this investment.

1.    Unlike casinos, which physically and mentally take guests away from the silent auction, this form of entertainment works in and among the silent auction tables.  No guest leaves the silent auction to “experience” the entertainment.

2.  If you prefer, the statues can complement your theme.  For instance, the Greek statue (see photo on right) was perfect at A Greek Odyssey auction.

3. They add a festive element to the auction without being disruptive.  Guests will stop and watch them for awhile, sometimes posing for photos in front of them, before returning to chatting and bidding.

4.  Living statues typically aren’t that expensive.

5.  This concept will work for a wide variety of benefit auction themes.

To get the most out of your investment, here are three suggestions.

• Have the actors stand on a platform or some sort of riser.  When they aren’t elevated, they can get bumped by guests, or go simply unnoticed.

• The idea isn’t to have them remain “frozen” in the same position for the entire event.  The statues draw attention when they move.  This is particularly true if they change positions and the guest/s near them failed to comprehend that the statue was a human!  (It’s happened even to me.)  The startle factor is all in good fun — the actors never touch the guests — so it’s a clever way to keep guests interested, catching them off-guard. 

• If you want to encourage donations, put a box in front of the performer with a sign that says something like, “Money makes me move.  All donations will be given to CHARITY.”

To be clear, silent auctions don’t need to have entertainment.  You’re typically already providing food, drink, friends, and bidding.  That’s plenty for a 90 minute segment!

But for those galas seeking something low-key that fits in with even the most difficult of themes, human statues are an easy elements to add.

None of these are traditional “benefit auctioneer” roles, but they all impact your auction.  And though I can do them all well, I really don’t like one of them.

Event planning.

Planning parties isn’t “my thing.”  Even in my personal life, I throw myself upon the mercy of my friends for help.  “We can hold it at my home,” I’ll say, “but I don’t want to be responsible for cooking, figuring out drinks, or music.”

Yet there are people in this world who like planning parties.  They like parties so much, they build their business around them.

I’m talking about those many work-at-home, direct sales businesses … companies that advocate using home parties as a way to build a client base.  

Direct sales businesses are hardly new.  Growing up, my brother and I were taken on countless deliveries as my Mom, a Fuller Brush sales rep for now 40 years, would call on her clients around town, demonstrating products and making sales.  And in my memory, I seem to recall Avon and Raleigh representatives visiting our home, too.

• For the most part, these types of businesses are operated by women.
• Benefit auctions are also operated by women (95% of the time).
• Let’s connect these dots.

Realize that auction galas rarely only raise money from selling items.  They raise money via tickets, raffles, games, sponsorships, fund-a-needs, direct sales … all of these are revenue streams.  And as a benefit auctioneer, I’m often teaching about these non-auction revenue streams …. like throwing a party before your gala.

If you tap into these direct sales business consultants, you might get cash, items, or both from a pre-gala party.

This approach is most often embraced by school auctions, perhaps because the Moms are involved in one of these business ventures and are ready to help the school via her business.

Here are the direct sales companies I’ve seen tapped:

• Stella & Dot (jewelry)
• Arbonne (skincare)
• Lia Sophia (jewelry)
• Thirty One Gifts (purses)
• Pampered Chef (kitchen tools)
• UndercoverWear (lingerie)
• Mary Kay (makeup)

 And here are some ideas I’ve seen from those businesses to support the auction:

1.  A woman hosted a party, received a number of free pieces for doing so, and donated those to the auction.
2. A child’s Mom agreed to donate half her earnings from a party she hosted.
3. When exceptionally great deals were advertised to consultants one month, a Mom let the auction team know.  They bought some dirt-cheap merchandise through the consultant.

If you receive cash, you can decide how to use it.  If it’s product, the merchandise you receive will most often be appropriate for silent auction items. 

Got other ideas?  Post below.

This school auction in Alabama incorporated lemons into every centerpiece.

Before the live auction begins at your next gala, consider running through the ballroom spritzing a lemon-scented air freshener.  Worst case, ask the hotel housekeeping for a clean smelling window-cleaner and do the same thing.

Some 2009 research proved that smelling citrus dramatically increases our charitable nature.

The study found a big improvement in ethical behavior with just a few spritzes of citrus-scented Windex.

Katie Liljenquist of Brigham Young University, Chen-Bo Zhong of The University of Toronto, and Adam Galinsky of Northwestern University published their findings, titled “The Smell of Virtue: Clean Scents Promote Reciprocity and Charity.”  (You can find a .PDF of the paper on the internet, if you search for it.)

The research asked participants to engage in several tasks.  The only difference was that some of them worked in rooms freshly spritzed with Windex and others worked in unscented rooms. 

A pineapple topper!

The first experiment evaluated fairness using a “trust game” in which each subject could trust or exploit their partner.  The second experiment evaluated whether clean scents encouraged charitable behavior.  After the experiments, the participants confirmed in follow-up questions that they hadn’t noticed the scent in the room.

In both experiments, there was a significant difference in how participants reacted. 

In the first case, participants were significantly less likely to exploit the trust of their partners. Without going into details as to how the game was played, just note that the scented room participants shared $5.33 of a $12 amount. Non-scented room participants shared just $2.81 of the $12.

In the second study, each participant’s interest in donating time and funds to Habitat for Humanity was gauged. Windex-ed room participants were significantly more interested in volunteering (4.21 on a 7-point scale) than those in the unscented room (3.29). In addition 22% of Windex-ed room participants said they’d like to donate money, compared to only 6% of those in a normal room.

You can read highlights of the research on this page.

This was less complex, but looked nice mixed among the other centerpieces.

Scent marketing is well-researched.  Read these short articles for more fascinating details:

The Scent of Desire – A Marketplace Morning Report talking about scent in the retail environment.  One example – Exxon On The Run added a coffee scent to their brewing kiosks, and sales increased 55% for coffee.

Marketplace News Report – Las Vegas resorts experimenting with smell found that gamblers spent 45% more money at the casino when surrounded by a pleasant smell.  Apparently experiments of teakwood weren’t going well, but a coconut and a lemon/ginger blend were being tried.

AdWeek’s Something in the Air – Read a fascinating article on how Coco Chanel used scent to launch Chanel #5, and how today’s vendors, including British Airways, Samsung, Westin, Bloomingdale’s, J.W. Marriott, Hugo Boss, Ritz Carlton and Jimmy Choo, all brand their retail environments with distinctive aromas and watch their sales climb higher.  ”Scent is the sole remaining sense that can directly influence how a customer regards a brand.” 

How might we use this in our charity auction galas? Here are some thoughts:

• How about some lemon-fresh auction centerpiece ideas?  Use lemons in the arrangement, but dab essential lemon oils into the display to enhance the smell.  (Or perhaps there is a way to incorporate those reed diffuser sticks into the centerpiece to disperse the scent.)
• Speaker of reed diffusers, could they be set up in the silent auction?
• Or if you’re ready to try ambient scenting in full force, rent an air diffuser.
• A fresh lemon cheesecake, lemon bars, or lemon-anything that might be incorporated into your menu for the event. 
• Gift bags might include a small lemon-scented gift.  I’ve not researched this, but perhaps there are elegant hard candies or appropriate lemon / chocolate combinations?  Maybe mini room sprays or roll-on fragrances?  The key is to get the scent into the guests nose before asking for donations, so the gift bags would need to be on the gala table when guests were seated andnot not handed to them on their way out the hotel door.

 The research on smell influencing shoppers in a retail environment is overwhelming.  And with Katie Liljenquist’s study, the concept holds when used in charitable situations, too.  It would be fascinating to see the results if this were embraced and incorporated purposefully into an auction gala.

(Cold calling means reaching out to someone who doesn’t know you and to whom you have no connection.)

At the time I was living in Miami, FL so I Googled lists of area private schools and nonprofits. I’d visit each group’s Website, researching it to see if they held an auction. If they did, I’d call them to tell them about my services.

I share this because if you’ve posted anything about your benefit auction on your website, don’t be surprised when “donations” start appearing in your email inbox! Photography services, fabulous homes in choice spots, and other unique options might suddenly land at your feet.

Vendors are able to provide impressive items in every conceivable niche – art, jewelry, memorabilia, vacations, experiences, etc. Each vendor makes it easy for you to fill your auction with items seemingly perfect for your crowd.

Two of my clients were recently contacted by email by different individuals. Each individual offered a home in a choice location — one in the USA; the other abroad.

“Do you know anything about this,” they asked me, “It seems like a really good deal!”

My clients understand the concept of consignment companies, but these emails weren’t from a consignor – or at least the personal stories shared in the email didn’t sound like consignors.

Moreover, these individuals only had one item to consign – a house!  What kind of a consignor only has one item to sell?!

(Don’t know what consignment is? Read this oldy-but-goody post about getting items on my blog.)

Whether you’re being offered one item or a book filled with items, if you’re paying for it, it’s consignment. Consignment might be a fit for you; it just depends on your auction.

My mantra has always been to think about your benefit auction as a business. When you embrace this idea, you’ll start to appreciate how many other companies you can partner with. This might mean “partnering” with a consignor, or opting not to.  But before you decide to work with anyone, you’ll want to ask questions!

Here are points to consider and questions to pose when one of these emails is sent to you.

1. First, realize most aren’t “100% donations.” If I owned a few homes and wanted to earn money from one of them, I might also opt to “donate” it (i.e. rent it at a discount) to nonprofits. Or the rent might be free, but I’d charge fees for other elements.  I’d make some money and perhaps get a tax discount. It’s a legitimate way to make money, but it’s not a 100% donation to you.
2. Ask your auctioneer if he’s familiar with the property and can share insight.  One home I’ve sold several times comes with numerous additional charges for incidentals. The home’s owner always fails to outline these to my clients. I explain them, so my client can decide whether to use it and how to advertise it. In another case, two vendors with a similar offering have substantially different terms. Depending on the size of my client’s auction, I direct them towards one vendor or the other.
3. Understand the payment. What’s the total cost?  For instance, are there charges for cleaning fees or activity surcharges? (Do you want your buyer to pay those, or do you want to cover them?) When is payment expected? What terms are in place if the property becomes unavailable or can’t be used? (If someone is offering their home for sale to many nonprofits, it’s conceivable that the home becomes oversold and your buyer can’t easily “use” their purchase.)
4. Planes, trains, and automobiles. How will your buyer travel to the home? What airports / trains / private cars are used to arrive at the destination? This information will help you market the home if you opt to use it, and details like this are rarely included in the marketing literature.
5. Current references. Ask for the contact information for the last three to five nonprofits that have stayed on the property. Confirm when they visited and if the place was as advertised. Was the home well-kept or needing attention? Did the winning bidder receive all that was promised?
6. Take high sales with a grain of salt. Home owners love to tempt you with high sale prices. “It sold for over $5500 at Auction ABC,” they’ll write. Frankly, it would be more useful to know what the home sells for most of the time; the median sale. Your auction isn’t Auction ABC. You’ve got different buyers, a different combination of items, and a different flow — so get those stars out of your eyes.

My clients are currently following up with these “consignor-donors” right now.  Maybe we’ll use those homes in their auction, or maybe not. It’s all about the due diligence!

Got other ideas? Please share your thoughts!

When I asked Dad why he wanted me to store the flags versus just throwing them away, he said, “You never know when they might come in handy.”

Well, he’s right.

And as I knew he’d never miss one flag, I packed one into my suitcase to share this idea with you.

Let’s turn our attention to your gala.

Remember that your silent auction is your store.

Just as commercial retailers go to great lengths to bring attention to specific items they want you to buy, you should make an effort to bring attention to specific benefit auction items you want your guests to buy. Flags are one way to do that.

The flags don’t need to be construction flags, though those might tie nicely into your theme. Construction flags are relatively easy to locate or inexpensive to buy online.

During a teleconference last week, I listened as a school auction chair explained their silent auction layout and closing. Their auction theme is “Construction Junction,” which is a cute nod to some upcoming renovation work (really, a demolition project) their school will undergo next year.

When our conversation turned to marketing, I thought of my Dad’s utility flags.

I asked her if she had any construction flags, explaining, “We can give them to your volunteers to wildly wave as we make our way through the silent auction, closing items. It will be easy for guests to know where we are in the crowd.”

Flags can also be used in the live auction.

One of my clients runs a large auction with 1,200 guests. Although I bring my own floor crew to identify bidders, she always has a bevy of volunteers eager to help.

She gives each volunteer a flag to wave when they have a bidder in their section of the ballroom. It helps those of us onstage spot the bidders.

Here’s a tip: Opt for fluorescent yellow and orange-colored flags. Blue, red, green and other colors aren’t nearly as effective in a large ballroom.

So have you ever used flags? How did it go? 

Post your thoughts below.