Five Tips for Hosting An Online Auction

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With the swiftly changing fundraising environment (thanks COVID), many non-profit fundraisers are scrambling to find new, innovative ways to raise crucial funds for their mission. While virtual fundraising is all the rage right now, it’s just as important to understand how to host a successful fundraising event online as it is in person.

As a non-profit professional, I’ve hosted several auctions utilizing cool tech tools for years. So when COVID reared it’s ugly head this winter, I was much more prepared to host two exclusively online auctions.

This is what I learned are some of the BENEFITS of hosting an online auction:

  • Your reach can expand well beyond the people in the room. You now have access to potential donors throughout the country - or even world - to participate in your fundraiser

  • Your window to raise funds just grew by about a week. At an in-person event, you’re limited by time to solicit support from attendees. Most online auctions are open about a week - giving you time to promote your items and get your donors enthused about buying that one must-have item they’ve been eyeing

  • You’re introducing prospective new donors to your mission. When done correctly, donors who were initially drawn in by the cool items you had in the online auction can now learn more about your organization’s work and participate in future conversations. Gaining new donors is hard work - so this benefit is HUGE!

5 Tips for Hosting An Online Auction

  1. Find the right technology tool for your budget and needs. Do your homework. There’s an overwhelming amount of options to host your next online auction event. Be sure the technology you’re using meets your needs, budget, expectations and (most importantly) is really easy for donors to use.

    If new donors can’t preview the items before adding a credit card or creating an account, they’ll likely not participate. If registering to bid in the auction is cumbersome, donors will flee before their first bid. Make it easy to preview and participate and donors will be excited about your items (instead of frustrated with technology). My favorite online auction software is ClickBid (No, I’m not receiving any compensation for promoting this software - I just really like it!).

  2. Use great auction item photos & descriptions. This is REALLY important. So, when a donor attends your in-person event, you want to convey a specific feel and message through your decor, images, and messaging. Well, it’s no different in an online auction. If the photos you take don’t highlight the items, you can’t see what’s included in the basket, there’s a glare on that framed autographed photo, or you can’t really tell the color of that cute purse, people won’t bid on those items. When people are buying something online, even for charity, they want to see exactly what they’re purchasing and clear photos, helpful descriptions that offer sizes, dimensions, background info, expiration dates, locations, etc. will help sell your items faster and for more money. Also, don’t forget to add an auction “item” that’s simply a mission gift!

  3. Practice. It sounds weird to suggest practicing an online auction, right? But you’ll be really happy you did. Once you have the auction set up in the software you’ve decided to use, launch it on your website for an hour and participate through the eyes of your donors:

    • preview the items

    • register to bid,

    • bid on items (fast bid, max bid, buy it now)

    • add a credit card to your account, buy a test item

    Walk through everything your donor will do in the online auction, just as you would walk through a physical event venue to make sure the experience is great. This will allow you to make adjustments, catch errors or bugs, and learn how to troubleshoot the technology with donors if they call or email.

  4. Communicate before, during & after the auction. Before the auction you need to communicate with all of your supporters to let them know you’re hosting an online auction. Utilize all of your free resources to promote the event: eBlasts with a link to preview the items, social media posts, personally call and email major donors asking them to share the opportunity with their networks, ask your board for their support getting the word out, and don’t forget about engaging your staff. The more people that know about the online auction, the better chances you have for hitting your fundraising goal.

    During the auction, most auction software has a built-in function to email and text bidders throughout the event. You’ll want to let bidders know when the auction officially opens, which items have $0 bids (everyone loves a great deal), and send reminders when the auction will close (at 15 minutes, 10 minutes and 5 minutes).

    After the auction, let winning bidders know how they can pay for their item(s), how they’ll receive their item(s) (are you covering the cost of shipping or do they have to pick it up from your office), and don’t forget to thank them and share how their donation will be utilized to help your mission. For non-winning bidders, right after the auction is a great time to ask them to make a mission gift. Most participants will be happy to support your cause.

  5. Follow up with your new supporters (and old supporters too!). You just hosted a fun and exciting opportunity for new and current supporters. Be sure to use that momentum to continue the conversation with your donors. Call them personally to thank them for their support, learn more about how much they know about your organization and/or why they chose to support it, and invite them to your next activity or to sign up for your eNewsletter.

Turning your online auction into a themed-event is a great way to add some extra fun and attention to your event. Consider getting items donated that fit within the theme, send invitations designed with your theme in mind, and if you have a live component, ask your emcee or speakers to carry the theme throughout the program.

For a great list of themed events, check out this great blog post by Qgiv.

A few things to consider before scheduling the online auction:

  • Because of COVID, auctioning off experiences can be tricky. Be sure any experiences you’re auctioning off don’t expire quickly, that the business is currently open (if you secured it pre-COVID), and that the business is following all CDC recommended guidelines and/or state orders

  • You can still secure sponsors to help underwrite expenses and there are a lot of creative benefits you can offer your sponsors

  • Ensure you have a way to ship large auction items should your buyer not be local. Properly packaging and shipping large framed photos or odd-shaped items can be costly

  • I encourage you to consider requiring a credit card be on file before someone can bid on a item. This will save you lots of running-around post-event

Online auctions are a really fun way to continue to raise crucial funds for your mission. Do your homework, keep costs low, and have a great time watching bids go up on those hot items.

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