Nonprofit organizations have been jumping on the auction bandwagon as this tried and true fundraising technique continues to gain in popularity and profitability. In fact, auctions have the potential to draw in substantial revenue for nonprofits and other charities. Bidders don’t mind paying higher prices for items that have been donated, because the money is going to a good cause.

Building on the good fortune and great potential of this growing trend, Toronto private boys school Upper Canada College launched its second fundraising dinner auction in the late spring. Students, parents, “old boys” and other guests were treated to a night of dinner, entertainment and a lively auction of unique and sometimes somewhat extravagant items.

“Not only does the event help us raise revenue for the school but also it gives us the opportunity to spread the word about UCC,” says Paul Winnell, the college’s Director of Development. “The event couldn’t have gone better. The funds that were raised, the fact that everybody had a great time and that it was a positive public relations event for the school were all pluses.”

Much of the success of the event can be attributed to the well-thought-out strategies and hard work of the 16 different committees which looked after details, including acquisitions, benefactor tables and tickets, seating and volunteer co-ordination. “The work of the committees and their focused efforts to look after each aspect of the night was crucial,” says Phil Lind, Co-Chair of the Steering Committee, an “old boy” and father of a graduating UCC senior. “Parents were especially involved by serving on committees and being supportive of the entire event. UCC parents are highly receptive to giving time and money to a school they believe in and want to see get even better. This event gives them a means to do both.”

Entire school community involved

The event, which took 18 months to organize, almost 200 volunteers and one full-time staff member who devoted much of her time to the auction preparations, was a complete success. “Everything went extremely well, and the auction itself was tremendous,” says Nancy Hamm, co-chair of the Steering Committee. “This event was something that everyone in the school community could get involved in, and it created a lot of good feelings about the school. It does a lot for the confidence in UCC and for future cheque-writing as well,” she says.

All success aside, mounting an event of such a large proportion was a challenge for staff and volunteers alike. Unlike many charitable organizations which hold their fundraising events in halls or hotels, UCC decided to host the event right on site. “Because the event was staged at the school, there were many problems working out the logistics. After all, if the event was held at a hotel, there would be professionals looking after all the little details,” says Hamm. “Since we decided to hold it at the school, it was much more challenging trying to figure out where to seat 650 guests and the volunteers, serve dinner, work out the auction details and keep the food hot in the outside cooking tents while dinner was being served inside.”

Holding the event at UCC, however, also meant savings. Instead of paying for renting a hall and corkage, volunteers were able to help out during the dinner and the auction, and make the event run smoothly. In the end, the hard work and dedication from staff and volunteers paid off. The net profit from the “Once in a Blue Moon” event was $813,723, a substantial boost from the first dinner-auction in 1994 which raised $460,000.

Astounding number of items donated

Thanks to the hard work of the acquisitions committee, an astounding number of items were donated, and the calibre of some of the items people and businesses donated was top-notch. The school was even able to invite professional auctioneers for their event. Hugh Hildesley, Executive Vice President of Sotheby’s, North and South America, was the auctioneer for the live dinner auction. Jamie Ritchie of the United States Wine Department was the auctioneer for the rare wine auction.

“Without the generous support of all the organizations who got involved, the major retailing corporations who donated items or advertised in our programs and the incredible sponsorship of businesses, we couldn’t have secured the auction items that were donated and were key to the amount of money we were able to raise,” says Winnell. And securing golden items for the silent and live auctions was key to the revenue generated at this event. For example, one package from the live auction was called “Pearls of the Orient”, which included a two-week trip to Hong Kong and Thailand for two people Business Class on Cathay Pacific, four nights in the Four Seasons-Regent Hotel in Hong Kong and dinner with the family of a UCC alumni. The package also includes a three-night stay in Thailand. This particular item, valued at $20,000, went for $25,000 at the live auction.

“You really have to package items very well and think up a concept for them to be attractive and go for a high price at the auction,” says Edwina Fok, a member of the Acquisitions Committee and parent of a UCC student. Fok was instrumental in acquiring the tickets from Cathay Pacific Airlines for the “Orient” package. “My husband, an old boy, is a frequent flyer to Asia and the vice-president of Cathay wanted to take us out for dinner, so when I called him about donating tickets for the auction, he was more than happy to do so.”

Good connections are the key

Fok says that having very well-connected people serving on the acquisitions committee is extremely important to being able to acquire high-ticket and one-of-a-kind items. Fok, who is a buyer for a Toronto Sporting Life store, used her personal connections to get the sporting goods company on board as a donor. The evening’s early bird draw was a “Sporting Life Weekend” which included two nights accommodation at Mont Tremblant for a family of four and two mountain bikes. “I had to sit down with the owner of Sporting Life, help establish a theme and find a package that would reflect well on the company and be attractive to bidders,” says Fok.

Fok also stresses that to get businesses to make donations or place ads in the program you must explain the value of access to the specific market that the organization’s event caters to, and sell it as both a smart marketing move and a prime opportunity to advertise. Fok’s approach certainly worked for UCC, which was able to garner many priceless and unique donations.

“We set out to find items that people couldn’t purchase outside and are difficult to acquire,” says Fok. For example, one item offered the successful bidder a chance to fly to Boston and watch a Bruins game with hockey legend Bobby Orr. Another package called “Southern Hospitality”, was donated by “old boy” Ted Rogers, whose private jet would whisk three avid golfers from Toronto to Atlanta where they would play at the exclusive Country Club of Atlanta course. “These priceless items were extremely attractive for bidders, and helped raise a lot of money for the school that night,” says Fok. The high bidding can be attributed to the smart packaging of items that combined the donations of several companies or individuals into themes.

Faculty & administration played key roles

“We had great involvement from the school faculty and the students. Not only did staff attend, but also they volunteered their time. Senior students were very useful serving as greeters, directing people, selling raffle tickets and helping through the auction itself as runners and spotters. Without them, the evening would not have gone as smoothly as it did,” says Winnell. And staff, parents and students were eager to participate and lend a helping hand to the event. “We sent out letters to the boys and their families, posted a notice in the staff common room and encouraged the administration to get involved. The response was overwhelming,” says Jill Hermant, co-chair of the Volunteer Co-ordination Committee.

One challenge Hermant and the committee faced was that planning the event far in advance was difficult because volunteers often changed their plans and nobody really wanted to think about a spring event in the dead of winter. “We had to start pretty late, but the willingness of the volunteers made our job a lot easier,” says Hermant. She also notes that organizing volunteers was much easier because the chair of the volunteer committee at the previous auction had made copious notes, including suggestions to improve the way volunteers were organized. “We used those notes as a guidepost about how we would do things,” says Hermant. “We didn’t make volunteers wear black and white as at the last event, because they felt a bit like servers. This year, we just told them to dress smartly, so the feedback from the time before was very helpful.”

Because the event sold out so quickly, there were many parents who wanted to attend as guests but eventually volunteered. “We were able to take advantage of the fact that many parents couldn’t get tickets, and we appeased them by getting them involved in the evening as volunteers. We treated them to an amazing dinner in a separate room,” says Hermant. “We tried to make it as much fun as possible for the volunteers because we want them to volunteer again at the next function.”

A way to express loyalty and appreciation

Many parents were more than willing to donate money, items and time in what many see as a worthwhile cause. John Carmichael, owner of City Pontiac Buick in Toronto, believes in the school enough to donate the evening’s raffle prize, a 1997 Jimmy. Since Carmichael attended the school and his son graduated in the spring, he wanted to express his loyalty and appreciation to the institution. “We wanted to say thank-you in a way that would truly benefit the school since my family has always had an exceptionally good relationship with UCC,” says Carmichael. “Because I’m not a stranger to working with charities, I was happy to donate when I was approached.”

For the first time, the Once in a Blue Moon event included as part of the evening’s program a fine wine auction, which netted $215,000 for the school’s coffers. Alumni Ian Finlayson, co-chair of the Rare Wine Auction Committee, was key to getting the wine auction off the ground. He approached the school about including wines as part of the auction, and went about the task of finding donors and scouting for donations. “There’s an increased interest in wine generally,” he points out. “Since there is a large number of people who are eager buyers and who may also be willing to donate, this was a perfect fit. There are also a lot of people who are in the wine industry or are hobbyists willing to donate and take advantage of tax write-offs by giving wines to charity auctions.”

Finlayson was able to secure an impressive roster of fine and rare wines to be auctioned off. Culled from private cellars across the Metropolitan Toronto area, the wines and antique crystal and corkscrews that were auctioned off at the event were able to fetch a handsome profit for the school. “We were really interested in rare and fine wines and went about finding them,” he said. “We followed a plan to acquire wines that fit in with the type of wines we wanted at the auction, and we were able to get bids not only from the people at the auction but also from around the world.”

Donors treated royally

Much of the wine donated and then auctioned was acquired through personal connections and was the result of many telephone calls. “There is a growing exhaustion of people being asked to donate wines, so you need to know who to call and who has what,” says Finlayson. In addition, the donors were treated royally for their contributions, each receiving a personal thank-you note and an invitation to a party hosted by Finlayson. Finally, he emphasizes the importance of storing the wine well, and producing a good catalogue so bidders can see the general conditions of the wine lots.

So if the “Once in a Blue Moon” event is such a success and a profitable fundraising venue for UCC, why don’t they make this an annual event instead of holding it just every three years? “We don’t want to overwhelm our community … especially the families of the boys and the faculty at the school. Although we usually plan to have a major fundraising event of this magnitude every three years, we also continue our fundraising efforts through direct mail, personal solicitation and other smaller events,” says Winnell.

The money the school raises through fundraising endeavours throughout the school year enhances the endowment fund, which finances scholarships, capital projects and supports the operating budget. This particular fundraiser was to generate revenue to build a new student centre at the college.

As long as the school takes on new fundraising projects, there will be a loyal alumni and students and their families who will be happy to help. “There are very strong emotional ties to the school for most of the boys who attended and their families,” says Carmichael. “The donor base of the school goes back generations, and the school is very good at building a bond with its students. This attachment opens opportunities for them to give back to the school and that’s what it’s all about.”