How is an online auction held?

Steps to raise funds through online bid sites, choose a provider. Tell people about the auction.

How is an online auction held?

Steps to raise funds through online bid sites, choose a provider. Tell people about the auction. Present goods in an attractive manner to bidders. Typically, spring campaigns, events, and fundraising initiatives help nonprofits raise money for their programs that take place.

As those campaigns are canceled, changed and progressed with news of the COVID-19 outbreak, many organizations are now taking their in-person events online. The beauty of an online auction is that you can sell one or 100 items over a period of time. To begin with, we recommend selecting a key group of about 20 elements. Then, you can come back later and start adding more items to your auction when you're ready.

You can also stagger item closing times to keep your bidders interested and come back for more. Generally, you should set initial bids for items in the online auction at 35% of the proposed value. Your goal here is to get 80-100% of market value and evaluate 12-16 bids per item. Buy now allows you to set a maximum price at which you are willing to sell the item.

Typically, if a bidder chooses to buy using the Buy Now feature, the bid stops on that item and the item is sold to that bidder for the Buy It Now price. If you allow the option to buy now for an item, be sure to set the price between 20% and 30% higher than the market value. Auctioneer: A trained professional who presides over the auction, initiates the sale of a lot by describing the item and starting the tender. Once the first offer is made, others may offer higher bids.

Bidders can be present in the salesroom, by phone or online. Auctioneers also make bids on behalf of absent bidders and ultimately determine when the highest bid has been made. If a work is sold, the auctioneer announces, “sold. If the item does not meet your reservation or there are no bidders, the auctioneer indicates this with a “pass”.

COVID-19 had forced her to cancel the association's spring fundraiser. At first, Letitia thought she would be able to relaunch the event at the end of the summer, but things hadn't progressed that way. He didn't know when a live event would be possible, and in the meantime, he was facing a major revenue shortfall. But in the era of COVID-19, fundraising has changed.

Instead of focusing on her usual tactics, Letitia needed to find a fundraising option that would allow her to raise the same amount. Take a look at Sharp Again Naturally's online “Memory Drive” for inspiration. They combine a 45-minute live virtual event with their silent auction. Attendees are invited to learn about their work, listen to a success story, watch yoga and cooking demonstrations and bid in the silent auction.

Start with around 20 auctioned items. You can add more as you feel comfortable with the software. Anyway, you don't want to overwhelm your bidders with endless options. Don't start opening bids too high.

Instead, aim for around 35% of market value to be low enough to be attractive, but with plenty of room to bid. It's understandable that you're not sure how to plan your auction. It can largely maintain the format of a traditional one. Start with a short video message and encourage bidders through live chat.

The most important thing is to create a clear timeline for the night. Remember, with an online auction, you compete for the attention of an online donor, so give them a reason to pay attention to you. Fortunately, not only is it easy to turn a traditional auction into an online one, but it's also just as fun. If you are thinking about trying to hold an online auction without a specialized software platform, stop here.

With the COVID-19 situation, most nonprofits are opting for online channels and virtual media to conduct their silent auctions. If you are moving an auction that you have already started planning online or had to postpone the event, check that the items you purchased are still valid. You can start sending invitations online via email or spreading the word in your community as soon as the auction dates run out. Known for its easy setup, Charity Auctions Today offers six functions for events (attendee management, paddle boosting, mobile bidding, online auctions, cash donation, event tickets), but you can choose only what you need.

When you go from an in-person auction to an online auction, you're no longer limited to a single night to capture all your bids. In addition, you can include this information in any email you send when you first announce the online auction. Whether your online auction is face-to-face or virtual, a smooth registration process gets the event started on the right foot. With payment processing, bid tracking, and donor management, online auctions are too complicated for a DIY solution.

If you call your followers, send a quick follow-up email with a link to your online auction. Whether your nonprofit's online auction is part of a larger virtual event or lasts for several days, you need to stay in touch with your supporters. However, if you host an online auction, bidders are likely to have questions about how they are supposed to protect their items or what the logistics around shipping might be. Robust online auction software will simplify and streamline the entire registration process from start to finish.

When the silent online auction ends, announce the winners and have the items delivered to them as soon as possible. . .

Belinda Moskovitz
Belinda Moskovitz

Belinda writes posts for retail, ecommerce, and online auction sites. She's also a music, travel and technology lover. You might find her secretly watching zombie movies.