Silent auctions have always been classic, fundraising go-tos for nonprofit organizations. This fundraising type is a popular option that many NPOs turn to when they want to boost their revenue. And, it’s no wonder silent auctions are a top choice. They have all the winning ingredients for an exciting and successful event – suspense, prizes, and competition!
If you’re thinking of hosting one for your next revenue-generating event, we’ve put together this guide to help you out. We explain exactly what silent auctions are, how they work, and the benefits of hosting one. We’ll also share our expert tips to help you organize your best auction ever.
Unlike a live auction where an auctioneer announces the bid item and takes bids from the audience, a silent auction works more independently. Bid items are displayed with bid sheets and description cards detailing the item information (what it is, the value, how to bid, etc).
Attendees can then use the bid sheet to silently bid on the items they want while the auction is still open. They can also keep checking if anyone has placed a larger bid and change their amount as desired. Once the auction closes, the person with the highest bid will win the item.
This is the old-school, traditional way that silent auctions work. You can, however, bring in auction technology by introducing mobile bidding to the live event or having your silent auction completely online.
With our BiddingOwl auction software, bidders can participate online, placing their bids from their phones. This makes it easier for you to track bids and bidder information (no lost bidding sheets!). For a hybrid auction event, you can display items in person but take in bids online.
There are many benefits to hosting a silent auction. Some of the top ones for your charity organization include:
One of the key benefits of silent auctions is that they are a great and popular way to raise money for your organization. You can make money from the item bids themselves, pricing the minimum bid at 30-50% of the item’s fair market value. With competitive bid items, this amount can increase substantially.
You can also have other items for sale at in-person auction events such as merchandise, food, drinks, etc.
Auctions and other events offer a fantastic opportunity to increase your awareness of your nonprofit. As you promote the event, you can reach new audiences interested in attending the auction. A successful event can also reflect the competence of your nonprofit and establish your reputation as a blooming company.
Hand-in-hand with expanding your brand awareness and audience is the potential to attract new donors. The auction can attract new individuals who never knew of your NPO before. It can also draw interest to your ongoing activities and encourage people to find out how they can contribute more actively.
Use the auction as a chance to grow your donor pool by sharing information about how they can become donors. If you’re hosting a physical auction, you can have a section of the event where you speak about this and have a donor sign-up list available. You can also use the contact details you collect on bidding sheets to contact attendees about becoming donors.
For virtual silent auctions, include a brief paragraph at the bottom of each bid item page encouraging participants to become donors. You may also add a donate button.
Silent auctions are a chance to engage with existing donors. As much as you want to increase our donor database, you also want to ensure you keep old donors happy and engaged. Events like silent auctions are a great way to do this as they give your donors a chance to interact directly with your organization.
As with the donor sign-up suggestion above, you can also put aside some time to get feedback from donors. Perhaps you can run a quick survey at the end of the night to find out how donors feel about your company. You can also encourage your staff members to actively speak with donors throughout the night.
Your silent auction can also be a wonderful opportunity to thank specific donors and highlight any outstanding donor achievements. Take the night to show them that you care about their role in your nonprofit community.
To run a hit silent auction event, keep these elements at the top of your event coordination list:
Silent auctions offer a treasure trove of benefits for your nonprofit organization. With excellent planning, they can work wonders for your donor engagement, brand reach, and, of course, fundraising. Use our fantastic tips to guide you in your event planning and organization and you’ll surely finish number one.
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