I am looking to start a fundraising program with local organizations (school, churches, etc) and am trying to decide between one of two ways to do the fundraising. The fundraising program is done through Community Connection in Repeat Returns, so it requires that the person sign up for our rewards program so that it can automatically attach their purchases to their specified organization, so this will help build our database. The two options I am looking at is:
5% Continuous Return: Every month I will provide the organization with our current promotional flyer to distribute to its members, students, etc with instructions on how to sign up to have their purchases credited towards the organization. Then 5% of every order they place, no matter when it is, will be donated back to the school.
The plus side: It doesn’t restrict participants to a specific day, so I may pick up business on a steady basis as opposed to a huge slam on a specific night. It also requires less planning and pushing for a specific day, and more just a calm reminder.
The negative side: 5% of every order customers make that are attached to an organization (which could potentially be a lot) will go off my top line. However to play devils advocate, 5% to be a steady business attraction as we are giving back to the community, and basically getting a free mailing list, may not be THAT much.
20% Single Return: The organization gets one “night” a month in which supporters earn 20% back to the organization off their order. We will give a promotional flyer a day or two before the date as a reminder each month.
The plus side: 20% sounds like a big number. It may get parents really excited that such a large portion is going back to their organization. It is only on one night, so if they order other times during the month, there is nothing going back.
The negative side: It forces them to order on one day, making for a potentially high volume for me to the point it may be harder to handle as it could be busier than even a regular Friday night.
As a side note, I am leaning slightly more toward the 5% also for one primary reason: No one else does it. They all do the 20% so it could be a possibility that I could word it right that the 5% opens up more community involvement, as people are not forced to order just one time, and potentially earning them even more money.
Thoughts, and feedback are greatly appreciate!