Auction Blog

Benefits and Auction Appraiser
Dec 22
2010

Filling The Banquet Room & Selling Tables Does Not Always = Increased Revenue

Posted by rharke in Untagged 

There have been so many books and articles written on this subject by experts, auctioneers who have been doing benefit auctions for over 25 years and folks who analyze and break down the post auction figures., one would think the answer would be simple.

However the mindset of so many schools, charities and nonprofits is "volume" 

Folks that is just not a simple 1,2, 3 answer.  I have  sat  at dinner tables with folks that have quoted,"oh I am only here because my company gave me the tickets and it is a free and fun night." I immediately say to myself count this table out for bidding.

Committees are quick to jump on selling tables and giving VIP tickets.  The fact is and books on fund raising support  that just is not always the direction and mindset that a benefit auction committee should take.  Yes sell tickets, sell enough and you will get some bidders.  However  focus on  who you want to attend, sell your VIP tables to companies who will place bidders at those tables and your chances on raising the bids that evening will increase.

I  know many committees who suggest to companies that buy tables, --if you can not fill the table with folks who are interested in the (organization, charity, nonprofit) then allow us to place folks at your company table, that we believe will be bidders.   I appreciate  that this is aggressive , but folks the goal of the evening is to raise money, and yes I do know of organizations  following the advice of "books" written by experts in this field that take this lead.

It concerns me as a Professional Benefit Auctioneer, that so many schools, charities and nonprofits,  tell me , "good luck and raise a lot of money for our group" yes we are (auctioneer) the better choice to raise a lot of money in our short period of time on the stage.   But the fact is, the success of your evening depends on how many months of planning  have been put into the evening, the direction that planning has taken and if indeed their is "money in the room that evening"

How do you think a Pro Benefit Auctioneer, there to raise money for your group is told " oh we don't want our guests to feel they are being pressured with a lot of raffles, and consistently "hawking" about the silent auction, selling 50/50 and raffle tickets, etc "Wow"

Folks you might as well have a" thank you gala",   give out some well deserved rewards, acknowledgments and dance the night away.

But if your going to have a fundraiser, then it should be marketed as such, guests should know  why they are attending, (another mistake many committees make) they should know that we hope they contribute , we will provide the "fun" the dinner, the drinks and in some cases the band and entertainment. But the focus should be on raising money.!!!

I want to add something to the above, not to change the theme, but Professional Benefit Auctioneers do not forget that your night is also a building block to the grants, trusts, wills etc, that drive your nonprofit. I appreciate that it is important for your guests to leave with a special feeling about your cause. and that has a bearing on those gifts, so yes there can be a balance,.

Many a celebrity and yes some auctioneers  brought in for the evening to "raise money" do not always appreciate that aspect of the entire program.  I believe a trained benefit/charity auctioneer understands the entire scope of the project. 

I hope that I can strike a balance with your group on "my responsibility",desire to set new goals for the evening and the overall benefit of a exceptionable evening for your guests and a desire to contribute to your cause.

That is why it is so important to me to be involved early in the planning of your event, so that working together we can not only make the evening a great success. $$$, but that your guests enjoyed themselves and leave with a desire to want to support your group in the months and years to come.   At least to the next "Dinner Auction Gala". (notice how Dinner Auction, precedes "Gala."  Sometimes just  changing wording sets the evening.

 

 

 

Nov 25
2010

Charity Auctions, How Many Live Auction Items is "Too Much"

Posted by rharke in Untagged 

Well it depends on which model you follow. I could point to dozens of books that have been written by "Masters" of Charity Auctions" and I could site dozens of conversations with  committees at  private schools, and other groups. There is a wide difference of opinion on the subject and one Blog is not going to answer all of the questions. But I hope it does raise some questions for thought.

I recently had a discussion with several couples who attended a large private school auction, in town. They both where "experienced Benefit Auction attendees. They complained out "how long the live auction went on, how bored  the crowd had become, much visiting and drinking and many people where leaving before the live was finished. (Money left on the table)

When I hear an organization is going to have 60 or more items in the Live, and they have been doing it that way for 15 years.  First I think, if that's the way you have been schooled, don't argue.  I will "run" through your 60 items and we will raise money and  take my fee and flee.  But then I remind my self that I love this business and I am a professional.

The paradiam here is have a large amount of live auction items and we will make more money. More is better!!!  I call it Consignment Auction thinking.  You must understand that at a Consignment, ie Estate Auction, we sell around 125 lots an hour, some can sell more. But they are selling to professional dealers and folks for the most part that want bargains, folks that don't need "extra selling" folks that came to the auction for a specific reason. "Deals"

Charity & Benefit Auctions on the other hand, deal with folks that have come to have a good time, dinner, drinks dressed in beautiful gowns,  usually have a band or DJ. They attend because it is a party and "Oh by the way we are having a live auction"   This is a totally different type of "Sale"

This type of "Live" auction needs special attention, needs to be worked, needs to be "sold" to a crowd not paying attention, folks visiting and networking, a crowd that wants to move on to dancing, they have babysitters they are paying . It needs an auctioneer that can relate to the crowd and "work with it"

There is a small window of attention here, and it is not 2 or 3 hours of listening to a fellow in a tux, shouting numbers.  The masters that write the books will tell you the average is 2 - 3 minutes an item, with 10-15 minutes for a fund a need, throw in announcements, presentations, etc, and you have that auctioneer up there a long time.

OK, about now you are asking, what are you suggesting as the correct number of live auctions. There is not enough time or space to "copy" all the printed material in the books that have been written on "how to conduct a successful Benefit Auction" and what is the correct number of live auction items.

The answer to the "correct number is not easy". Because your Charity/Benefit Auction is made up of more then the "Live Auction Items" or certainly should be.

The focus of your evening should be "making money before, during and after the night of the auction".  Yes, before , during and after.  "The Total"  (This is getting to be a book more then a blog) Lets wind this up.

Planning and development of your fund raiser needs to focus on the "Total" not just what the auctioneer can bring in on 60 items. I have worked with groups having fewer "live auction items" but totaled more $$$ for the"evening" these  organizations focus on more then "how many items can we have in the live".

This is where the Professional Benefit Auctioneer adds value to your planning and conducting you next Charity/Benefit Auction.  He has read all the books, has taken classes on Benefit Auctions, does perhaps 15 to 25 Benefit Auctions a year, of all sizes and styles.

I am not going to tell you that your are wrong using 40, 50, 60 items in the live, but I will probably point out how long your are going to be able to hold your audience, the money being left on the table as guests line up to beat the check out crowd, or lose attention, Guests that want the "dancing" to  start.

I will probably remind of  ways to  increase your "total" for your Benefit Auction, beyond the number of live auction items.  The final decision is always in your hands, "it is your auction".   However I want to be a part of our auction.  I do not just want to show up to call your live auction and go home, I want to be a part of you building a successful " evening" with the "total" $$$ of all of your efforts, reaching new records.

Ron

Ron

 



Nov 16
2010

Do You "Hear" What I "Hear" or Can't You Hear The Bid

Posted by rharke in Untagged 

Every Benefit Auctioneer that I know, at one time or another has written about sound at Charity and Benefit Auctions.

It usually is about the conversation with the auction committee, principle, or Hotel, telling the auctioneer how much money they have put into their sound system and why they do not need to pay more for  professional sound set up, because theirs has been good enough for their last 15 auctions. OK I will agree , perhaps sometimes that is correct.

However more often then not, as the conversation plays out you will hear comments about the "auctioneer not having control of the crowd last year" , or  if pressed, hear comments of how many in the back of the room left saying they could not hear a thing.  Folks, as a Benefit Auctioneer I do visit other auctions and I can tell you for a fact, to0 many times, I have watched folks (especially) in the back of the room not paying attention, having no idea where the bid amount was, and merely enjoying themselves visiting with neighboring tables.

A Charity auction is all about raising money, or it should be (and yes having a fun time). But if your guests cannot follow the auctioneers bid increments, or what he is describing , you are "leaving money on the table"

Sound in a gymnasium for a  Basketball or Volleyball game, or a banquet room, where the real distinction between $1200 and twelve and a half called out twice as fast as normal  or  "Jim Jones just made a 3 pointer" actually  becomes a real difference in raising money for your charity.

I work with Professional Sound Engineers who set up for Charity Auctions, they also work sound for the Edward Jones Dome, I work with other sound professionals who earn their money setting up sound and yes video. I do not receive a single thing, nor will I take $$ for a referral , what is on the line is my reputation. I have learned from working with the Pros that not all sound setups are right for your room.  We (Benefit Auctioneers) talk about 4 corner speakers , Did you know if they are not "balanced" they will just be pushing against each other. and clarity suffers. Did you know if you are using ceiling sound, and have a "friend" help out and put auxiliary speakers in the  corners,- without delays and balance, that your clarity will suffer. How about the DJ that puts those powerful speakers in the front of the room and blows out the first 4 rows of tables and yet no one can hear in the back of the room.

The point is, this is your one large fund raiser for the year, you have spent your money on table cloths, chair covers, center pieces, catering, band,(or DJ) decorations, hand outs, take home souvenirs.

The one person trying to make money for your organization that evening is the Auctioneer, listen to your Professional, I work a lot of rooms, trust me If I can not be heard clearly, money will be left in that room at the end of the evening.

We do more then show up an hour before the auction to call for bids, let us help you by suggesting ways, not just about sound,  based on our experience, to make your event a record breaker!!!     I will add to that , it is "your auction," I do not want to "run it" or "manage it" however I do want to be  a part of making the evening a success.  

Ron

 

 

 

Oct 30
2010

Benefit Auction, Supply Vs Demand = Competiton

Posted by rharke in Untagged 

OK, we have a fantastic Committee, we have members who are out there asking for items and donations, they did a great job and your room is full of donated items.

 BUT now you have to consider the old “supply and demand” hundreds of items look good in the catalog, but think about it!! Slow down. If you have 300 silent auction items, and 150 guests, you have “over supply” for the number of guests and you yield will be lower per item. I work with so many committees that do not take this equation into consideration. I do not want to throw water on your fire, but it is important for the committee to understand the dynamics of a true auction as compared to a gala “with an auction” there is a difference.

Folks we want to raise money and that should be our focus. Competition will raise the prices.  And your yield per item will be higher. The same holds true to your live auction. Is it really better to have 60 items and try to keep your bidders focus, for 180 minutes, or 30 items of higher value? So many schools that I work with think quantity equals higher return, not always. Your Professional Benefit Auctioneer can help you with the focus of your evening.

So where do we set the prices for many of our silent auction items, consider the following, it may not be the golden egg, it does offer some room for thought.

Minimum bids are set generally at a level based on the "buying power" in the audience. If you plan to have more items than people, you are in a "buyers market" and will need to set the opening bid LOWER to generate interest in the item, because the bidders have so many choices. If you have fewer items than buyers, you can set the opening bid HIGHER because you now have a "sellers market" and supply in demand will work for you - more competition for the fewer items.
Typically, the range is from 20 or 30% of value (buyers market) to 40 to 50% of value (sellers market.) You do not want to be too aggressive on the opening bids. Generally, 50% of the value would be the very top end, otherwise the bidders will pick and choose what to bid on, and you will be left with many items unsold.

Work with your Professional Benefit Auctioneer, after all he is conducting dozens of auctions a year with various groups, he can help you keep your focus on your evening and your balance between “raising money” and “ having a good time”

Oct 27
2010

Silent Auction Items And Their Part In The Live Auction

Posted by rharke in Untagged 

This Blog Credit goes to my good friend Mike Vendetti, I think it is important enough to pass along to many of you trying to decide  how to line up your silent auction.

The Silent Auction

by MikeVendetti in Silent Auctions

The silent auction is an important revenue center for your fundraiser.  The more expensive items belong in the live auction, but the number of items in the live auction is limited by time.  A benefit auctioneer will sell an item every two minutes.  Allowing ten minutes for the emotional appeal, this leaves us with twenty five lots in a one hour auction or fifty five lots in a two hour auction.  The rest of the items go into the silent auction, limited by space.

Finding or creating more space, is much easier then finding more time.  A three hour live auction will produce severely diminished returns in the last hour of the auction and aggravate your guests.  How much space you need for your silent auction depends upon how many items or lots you have after filling the live auction.  Rule of thumb, you can put eight silent auction lots on an eight foot table, so there you are.  You can make more space by combining or packaging lots.

On the table you need room for your bid sheet and displaying the item or package.  Don’t crowd the silent auction.  Your guests need room move about without feeling crowded.  Remember you want your guests to enjoy the event.  It’s not fun to be crowded.

 

SILENT AUCTION DISTRIBUTION AND CLOSING

Recommend that silent auction sections se set up and closed by value with lower value items in the first section to close and highest value items in the last section to close.  The reason we recommend closing the tables in this order is when guests first arrive at an event their attention is divided between all the silent auction tables, meeting friends, getting drinks etc.  When the last silent auction table closes more attention will be directed to that table, thus more revenue.

The last silent auction section needs to be closed prior to the live auction.  This is my opinion, but it is shared by the majority of benefit auctioneers I have spoken with.  You do not want to take attention away from the live auction.

Oct 13
2010

Professional Sound & The Consequences Of Not Having Pro Sound

Posted by rharke in Untagged 

Conducting a Benefit Auction, trying to raise money for the organization in silence!!

Well not exactly in silence, but have you ever tried to raise the bid from $1,000 to 2,000 when no one in the room can hear you asking for the bid. We do it more often then we would like.

500 guests moving around the room , talking drinking socializing , and we are trying to raise money for the organization.

At every first committee meeting I ask the group about sound, the answers "we just paid $2000 to have our gym sound updated, "the banquet manager said his sound was good enough, the Hotel event manager said they have the best.  Wrong Wrong Wrong !

The school I just interviewed with said they had vertical sound, (ceiling) with extra speakers around the room, their sound was find, they also mention the crowd was out of control WOW! 

We as Benefit Auctioneers have a vested interest in the success of he evening. Frankly if they can't hear us , we can't raise money. Auctioneers talk fast, well truth be known we don't talk fast, we have been taught to slur our words.  "But" clarity is taught first. If we do not have a sound system that is balanced, if speakers are "pushing" against each other, you are not going to understand with any sharpness the dollar amount we are asking for.

Sound engineers will tell you that vertical sound coming down and hitting side speakers , speakers in four corners of the room, both without being balanced or delayed, is a waste of time putting them in operation. They will also tell you that 4 corner speakers (without being balance and timed is a waste)  DJ or band sound is going to blast out the first 5 rows and no one in the back can hear the bid. (Trust me I have visited and been in the back of the room)

Spending money on decorations, catering, valet parking, engraved glasses, center pieces, DJ,  a band, souvenirs all help to have a great party, but each is costing you money, the only person in the room that evening raising money for your group is the Auctioneer, IF THE AUDIENCE CAN NOT HEAR HIM, YOUR EVENING IS A WASH, please listen to the Professional Benefit Auctioneer, who is doing 15 to 20 charity auctions to your one, when he suggests Professional Sound.

Call me, I would love to have a coffee with you and discuss sound, the make it or break it for a Benefit Auctioneer. 

May 08
2010

New Hi-Tech Benefit Electronics vs. The Professional Benefit Auctioneer

Posted by rharke in Untagged 

As a benefit auctioneer we have access to new information , trends, models, etc. coming onto the the market , before many Development Directors, Special Event Directors and other organizations catch up to them,--- just by way of our associations , discussion forums and networking.

We know the marketing companies that would have you do away with your "in house" silent auction and run the whole thing on line before the gala.  They make the one point-- less work. Now your guests could come in, visit , drink , eat and bid on a few live auction items and go home.  Wow what a fun evening. They forget to mention the costs of running that program. Listing, running the bidding, packing, shipping , insurance and the collecting of money , all these costs are charged to your organization. 

Now newer companies marketing more electronic equipment for Benefit Auctions, would have you do away with the live auctioneer, the showman, the entertainment of the evening.   Just sit in your chairs and bid on your i-pod.    Why not just form a committee and call all your clients and ask for a monetary  donation. That's even less trouble. But what happens to your support building yearly Gala.

Here is a reply , with credit given to the writer, about the new auction tools,  being offered to nonprofits to set up and do all your  biding from ipods.   Wow what a fun evening setting around the table or setting at home watching TV in their PJ;s and bidding on items shown on a screen.  No "Vania's, no re-pore between MC and Auctioneer. Just set they and use your touch pad to bid.
________________Reply to a post on our NAA discussion board -------------------------

Phillip L. Pierceall
Swing City Auction Co
Plano, TX
Posts: 508




« Reply #2 on: March 31, 2010, 05:45:32 AM »


the problem with most organizations is that they can not see the pot of gold at the end of the rainbow and so they are hard pressed to hire anyone at the beginning of the journey. Then there are those gala chairs that at the end of the gala can go to that organizations BOD and say look at "How Much Money I Saved" never thinking about how much money they left on the table.

Then there are the smart ones that hire us the professional auctioneer to do what we do best, Create Energy and get all the money while entertaining the guest, but more importantly we put together a plan of action long ago and consulted with our client on how to do this so that on gala night all our efforts put tons of money into an organizations bank account to sustain them for another year.

Those Ipod's sure are great in the silent auction, funny thing is that whole set up cost about the same as a professional auctioneer.

Remember: You think hiring a professional cost a lot of money just wait till you hire an amateur.

it's never the money you did not spend in the beginning - it's the money you left on the table in the end.

John Henry beat the steal driving machine and I can beat an Ipod any day of the week.
___________________________________________________

We are all aware that many changes are coming into the Benefit Auction arena,  but directors and chairpersons, don't forget the electronics are not going to share with you years of experience, putting together the silent auction, helping you select and arrange the live auction.  They are not going to add to the excitment of the closing of the silent auctions and that last 10 second count down. They are not going to coax that last 100 or 500 out of a bidder that is having trouble making up his mind.

No---don't count us out just yet.  We are still the best tool to help you increase last years return--- and have the folks leave talking about coming back next year because the evening was so much fun.  Don't forget each years auction is another building block for next years auction.

We want to help you plan and conduct your next auction. If we have not contacted you, give us a call, for a lunch meeting.

Ron

 

Mar 28
2010

Real Estate Agents & Auctioneers = "A Winning Team"

Posted by rharke in Untagged 

     Real Estate Agents &" Harke Auctioneers & Appraisers" = “ A Winning Team”

Real Estate Agents and Auctioneers often work together. The advantage being, the R. E. agent can offer benefits to their prospective clients, during the contract presentation. One benefit, relief from the stressful liquidation of personal property and clean out, preparing the home to be placed on the market.  Often it involves attorneys and trust officers, we can be helpful in these areas too.

The family and Real Estate Company want to place the home on the market quickly, time is money! The Estate Auction solves that problem. The family, auction company and real estate company all profit, as do the auction attendees.

Estate auctions often bring record prices for items the family might have “thrown out” and the auction attendees are ecstatic about their bargains.  Auction companies specialize in the sale of jewelry, antiques, collectibles, furniture, household items, art, and other personal property. We like to hold the Estate Auction, “on site” when it fits the onsite auction criteria. If it does not, the contents can be packed, removed from the house and ready for a consignment auction, usually with several other ‘estates” held at a later date. Either way the house is usually ready for the market that same day.

Today, most property auctioneers post photos of upcoming auction items on their website and do marketing of the auction with sale bills, email contacts, the internet and absentee bidding.

We are looking forward to talking with you and providing complete information resulting in a better understanding of how you can help your prospective or present clients. 

Ron Harke
314- 631- 1731

National Auctioneers Association: Certified Estate Specialist and Graduate Personal Property Appraiser
Member of Certified Appraisers Guild of America, Missouri Auctioneers and National Auctioneers Associations.

Mar 18
2010

Recent Audio Conference

Posted by rharke in Untagged 

We recently attended an AFP “Selling Major Sponsors” web/audio conference as part of our continuing education and dedication to our Fundraising Clients and Prospects. –  

 Selling your Sponsors, Committee, Volunteers, Event, and Audience!

It was a refreshing review of planning and selling techniques and at the same time filled with new ideas to help make your once a year event, successful, memorable and sending your audience home with a desire to return next year.

As we have suggested in our blogs, paradigms change, as do committee chairpersons and volunteers.  One constant, is the Professional Benefit Auctioneer who helps plan and facilitate Benefit Galas all year. Sharing the ideas learned from Seminars and the exchange of information with Benefit Auctioneers across the county.

We will not “just” show up and sell your live auction items. We want to help you “sell” your entire program to your sponsors, committee, volunteers and invited guests.

Ron Harke, Professional Benefit Auctioneer wants to help put “excitement” into your auction planning and Gala Benefit.

We are looking forward to working with you!!

Ron Harke
Professional Benefit Auctioneer
Harke Auctioneers & Appraisers LLC
St. Louis , MO

Mar 10
2010

Your Once A Year Benefit Fundraiser/Make It Successful!!!

Posted by rharke in Untagged 

It is time for your annual  Gala Fundraiser!!  Your organization has been holding this event for years and years , you are preparing to have another beautiful and successful evening

However you have a new committee chair this year. Other parents and committee members have moved on.  But you have all the records from previous years.  So everything is OK. 

Is it?  I once read this.   "If you are doing the same thing the same way, that you have  been doing for years, "something is wrong"  Interesting comment.  Based on,  new parents, new members, new generations,   paradigms do change. 

 Professional Auctioneers who spend time and training to keep up with changes in the profession of Fund-Raising Auctions can be an invaluable source of help to reach a new level.

We bring new and impartial ideas to the table, our goal is to help you raise the bar, that's what we do! Yes we respect your experience, your re-pore with your organizations members, we have no interest in "taking over"  but our single goal is to help your raise more money then the year before.  That's part of our reward.  We bring to your planning table the ideas and experience of hundreds of Benefit Auctioneers across the county who raise millions of dollars doing Benefit Auctions. Why not access this pool of talent.

A volunteer or celebrity will attempt to do a nice job and may bring in few "fans"  But a  Benefit Auctioneer knows how to raise the bid, what increments to call out, how to raise excitement and awareness to your silent and live auction.  Have you ever watched a professional "floor auctioneer" (bid assistants ) work an audience, compared to "volunteers bid spotters"   Are you aware of the bell curve in lining up the live auction items, the golden ticket, closing silent auctions by value, games to raise more money. Do you use auction software, do you put  your silent auction items "on line", are you registered with the department stores, ie Bridal Registration. Is your event 100% sponsored before it "begins"  Do you know all the ways to recognize your sponsors, do you know how to "fill" seats purchased by sponsors, (there is nothing worse then empty seats at front row tables).  Is your evening a Fundraiser, or Gala  Dance and Recognition Dinner? You auction has to be planned within the purpose of the evening.

We can work with you and your committee all year during the planning process, (will a volunteer or celebrity?  We will be there on set up day, sound checks, room layouts.

If you do not need all of the services a Professional Benefit  Auctioneer offers, at least be aware of the fact that we are "Trained" to raise the bid.

Let us interview with your Development Director and Committee Chair . You only have a once a year chance to make your event a fantastic success .  Why not take advantage of of all the "tools" available.

Ron

www.harkeauction.com

314 631 1731

 



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