A gift card fundraising campaign is a strategic approach for non-profit organizations, schools, sports teams, and other groups to raise money by selling gift cards to local businesses and retailers. It’s a simple yet effective method that leverages everyday spending habits to generate much-needed funds.
How it Works
The organization partners with a gift card provider or retailer. The provider typically offers a range of gift cards from various businesses at face value. The organization then sells these gift cards to its supporters. The key is that the organization receives a percentage of each gift card sold, effectively turning everyday purchases into donations. For example, if a supporter buys a $100 gift card to a grocery store through the fundraiser, the organization might receive a 5-15% rebate, earning $5-$15 towards their fundraising goal.
Benefits of Gift Card Fundraising
- Easy Participation: Supporters don’t need to write checks or solicit donations directly. They simply purchase gift cards for things they already buy – groceries, gas, dining, clothing, and more. This makes participation convenient and appealing.
- No Out-of-Pocket Cost (For Supporters): Supporters are essentially prepaying for future purchases. They are not donating extra money, which can be a significant advantage during times of financial constraint.
- Recurring Revenue Potential: Gift cards are frequently purchased throughout the year, particularly around holidays and birthdays. A well-established program can generate a steady stream of revenue for the organization.
- Supports Local Businesses: The campaign often features gift cards to local businesses, fostering community support and strengthening relationships within the area. This is especially appealing to socially conscious supporters.
- Simple Logistics: Managing a gift card fundraising campaign is generally straightforward. Order fulfillment and distribution can be handled internally or outsourced to the gift card provider.
- Transparency: The value of the gift card is clear, and the percentage the organization receives is typically disclosed, fostering trust and accountability.
Tips for a Successful Campaign
- Choose the Right Partner: Select a gift card provider with a wide variety of popular retailers and attractive rebate percentages. Ensure their customer service is reliable and responsive.
- Promote Effectively: Utilize all available channels to promote the campaign – email, social media, website, newsletters, and community events. Clearly communicate the purpose of the fundraiser and how the funds will be used.
- Offer Incentives: Consider offering small incentives to encourage participation, such as early bird discounts or raffle entries for those who purchase a certain amount of gift cards.
- Make it Easy to Purchase: Offer multiple purchasing options – online, in-person, and order forms. Streamline the ordering and payment process to minimize friction.
- Track Progress and Communicate Results: Regularly update supporters on the campaign’s progress and celebrate milestones. Show them how their purchases are making a difference.
In conclusion, a gift card fundraising campaign is a versatile and effective fundraising tool that offers numerous benefits for organizations and their supporters. By leveraging everyday spending habits, it can generate significant revenue while supporting local businesses and building community relationships.