Consignment is defined as an “agreement to pay a supplier of goods after the goods are sold”. We’ve all seen, and even had experience with, furniture or clothing consignment stores. But what does consignment mean when it comes to helping charities raise money? Great question!
Charity consignment is a process where nonprofit organizations gain access to incredible packages at no risk. The organization sells the package in a fundraising event or initiative, remits payment AFTER the package is sold and uses the funds raised in excess of the cost to advance their missions. In most instances, consignment packages can be sold multiple times, raising additional funds without taking up any additional time.
The consignment process allows nonprofit organizations to work with consignment providers to receive unique experiences, items, and travel packages that they would not otherwise have access to. But choosing the consignment packages for your crowd and your mission is crucial to reaching a great return on your investment. How can you effectively use the consignment process and consignment packages at your next fundraiser? Look no further!
How to Use the Consignment Process for Your Nonprofit Fundraiser
1. Understand Your Goals & Audience
The trick to getting amazing results from your fundraiser is not just to have perceived “big-ticket” consignment items. It is more important for your nonprofit event to include a variety of unique, exclusive packages that suit your audience’s interests and giving capacity, in accordance with your fundraising goals.
For example, some audiences are comprised of big international travelers, some full of avid golfers, and others (such as a ladies brunch) may be better suited for shopping sprees or Broadway shows. You can gauge your crowd by reaching out to your best donors and establishing the items or experiences they may be thrilled to see during the auction or fundraiser.
2. Organize and Promote Your Event Offerings
Before you ever commit to consignment packages, it is recommended that you procure donated packages early. This way, you can assess what you and your team have access to in order to find the RIGHT consignment packages for your auction or event lineup. Once you know what that final list will entail, you can choose the best consignment package(s) for your event and begin promoting them.
Promoting your unique consignment items before the date of the auction gives you an opportunity to grab people’s attention and motivate them to show up to the event and bid for these items. Having quality packages at your event puts you at an advantage in attracting high-capacity bidders and, consequently, raising more funds. Utilize social media, newsletters, your organization’s website, your event page, and even your contacts associated with the event to promote not only the event but the packages available.
3. Work with a Reputable & Quality Company
The benefits of working with a reputable consignment provider are many and obvious. Having the support of a knowledgeable consultant who will assist you in choosing the best packages is crucial. Ensuring that the company has access to the best packages in a variety of categories and locations is ideal. And perhaps most importantly, ensuring that the post-event process will go smoothly for your package winners is essential.
Consignment items can usually be consigned at zero risk with reputable companies. This implies zero obligation to pay for the items if the reserve is not met at your auction. Ensure that you understand how the process works and ensure that you have a complete understanding of what the consignment packages entail in their entirety. Identify the nonprofit cost, blackout dates, and any other fees. The best part of working with a reputable consignment business is that you can always access all this essential information and be prepared.
CharityACE vets consignment providers for their clients, consolidates the best packages across the industry with the top ROI, provides consulting and customer service, and ensures that your donors are taken care of.