Online auctions have become a powerful tool for nonprofits as they strive to raise funds and engage their communities. With a bunch of companies offering online auction services, picking the right one can make a world of difference in your fundraising success. Here’s what to keep in mind when scouting for the perfect online auction company to help your nonprofit’s fundraising efforts.
Fee Structure
Just because their website says “its ‘free,” doesn’t meant it’s actually free. Software usage may look “free” but really look at the fine print. Software isn’t free to build or support, so how does the platform you are looking at make money?
- High Merchant Processing Fees: Pay attention to the merchant processing fee structure. Many platforms simply charge a higher merchant processing fee. Sometimes what would normally be 3% of your total raised is upwards of 8-10%. That means upto 10% of your auction proceeds are paying for the use of the platform. Beware of contracts that say “Interchange plus a percentage or flat fee.” It can be really hard to budget how much running your auction will cost with options like this.
- Support Costs Extra: Do they charge extra for tech support or training? Some companies have excellent knowledge bases for DIY support but offer little else. Others offer an actual human to talk to. Think about what is the right fit for your organization when it comes to support.
- Miscellaneous Fees: Are there other fees unrelated to card processing? Think about admin fees, batch fees, transaction fees, service fees, etc. Some platforms charge extra for auctions with more items. Others charge additional fees for access to essential tools like reports, user contact information and more. This is data you will need and you should not have to pay extra for.
- Multi-Event or Multi-Year Contracts: Check for language about additional required auctions. Sometimes the first event is free but you may be locked in to doing a specific number of additional events, or a multiyear contract you are now locked into for the card processing.
Understand the company’s fee structure and make sure it aligns with your budget. Comparing different pricing models will help you find a solution that offers the best bang for your buck.
Site Simplicity
Nobody likes clunky websites! A user-friendly platform ensures that both organizers and bidders can cruise through the auction with ease. Look for a company that offers a sleek dashboard, straightforward bidding, and clear instructions. A smooth user experience can turn casual clickers into enthusiastic bidders.
Customization and Branding
Your nonprofit’s brand should shine bright! Choose a company that lets you go wild with customization options, including logos, colors, and personalized messages. A snazzy, well-branded auction page not only looks professional but also keeps your mission front and center.
Mobile-Friendly
In this mobile-first world, your auction platform needs to be as flexible as the screens it will be displayed on. Participants should be able to bid from any device, whether they are on the couch or out and about. A mobile-friendly platform can boost participation and keep the bids rolling in.
Security and Compliance
Security is no laughing matter, especially when handling sensitive donor information and transactions. Make sure the company uses top-notch security measures, like encryption and secure payment gateways. Also, check that the platform plays by the rules and complies with all the legal and regulatory standards to keep your nonprofit and its supporters safe.
Customer Support
Got a tech glitch? No worries! Reliable customer support is essential for tackling any issues that might pop up during the auction. Look for a company that offers stellar support, including live chat, phone assistance, and detailed FAQs. Prompt and effective support can keep the auction running smoothly.
Reporting and Analytics
Knowledge is power! The chosen platform should provide detailed reports and analytics on bidder behavior, item performance, and overall auction results. This treasure trove of information can help you assess the auction’s success and fine-tune future fundraising strategies.
Integration Capabilities
Consider whether the auction platform can play nice with your existing donor management and CRM systems. Seamless integration can streamline operations, allowing you to sync donor information, track engagement, and keep accurate records. This integration enhances efficiency and ensures a holistic view of your fundraising efforts. If you are using a platform that does not have the specific integration you need, make sure it can export and import data in the format needed for your admin systems.
Reputation and Reviews
Word of mouth is gold! Research the company’s reputation within the nonprofit community. Look for reviews and testimonials from other organizations that have used their services. Positive feedback and success stories can give you insights into the company’s reliability and effectiveness. Don’t be afraid to ask for referrals from the Platform’s sales team. Call their clients and get real feedback.
Features and Tools
Evaluate the range of features and tools offered by the auction platform. Key features might include advanced bidding styles like auto-bidding, BidWars, or Second Chance Offer. Additional item types like buy-it-now items for selling swag items, tickets or opportunity drawings may also be a plus. Extra tools like automated reminders, social media sharing, and customizable donation forms can jazz up the auction experience and drive higher engagement.
Choosing the right online auction company, can be a game-changer for your nonprofit’s fundraising potential. By considering factors like ease of use, customization, security, and support, you can find a partner that not only meets your needs but also supercharges your fundraising strategy.
Need help sorting through the best option for your nonprofit? Let Auction Frogs help! Chat with us about your needs or book a demo today!
