Using Technology to Maximize Your Fundraising Reach
By: Laura Kramer

Embracing technology to streamline your fundraising efforts is essential in today's fast-paced environment. What does this really mean, and how does it fit into your school's fundraising plan?

Before you begin researching your options, you should consider what your goals are, besides raising as much money as possible. Do you want to save staff and/or volunteer time? Do you want to make fundraising safer for your students by avoiding contact with strangers? Whatever your goals are, today's technology can assist you.

There are many ways to use technology for fundraising. From online magazine sales and virtual car washes to selling event tickets online, the options are endless. Cohesion, however, is the key to fundraising success. Parents and supporters are often bombarded with different offers and Web sites to visit. Streamlining your fundraising so that you are only using one or two providers is the key to success from both a donor and fundraising management standpoint.

Many schools have literally moved all transactions between parents and the school online using a third-party provider. This not only saves time, but it makes accounting simple. Lost checks and counting cash are a thing of the past. From tickets and fees to spirit wear and donations, parents simply go online and make their purchases with a credit card. Plus, this is an easy way for out-of-town relatives to give gifts and support the school.

Most providers of this type of technology offer a password-protected reporting system where you can view your sales in real time. And, the payment schedule is generally on a monthly or quarterly basis, depending on your order volume and needs.

Moving to this type of Internet-based solution is usually inexpensive, and sometimes free of setup charges, depending on the company you decide to work with. Most companies customarily retain a transaction fee for the service that ranges from 3.5% to 10%, depending on the level of service you require. For instance, if you sell tickets to a fundraiser online and there is not any ticket distribution involved, the transaction fee will be at the lower end of the spectrum. If you would like tickets printed and mailed to each purchaser, the transaction fees will be higher. For apparel items that are custom made by the company, there is often a revenue share percentage, in which the school receives a set amount of every sale.

There are other fundraising programs on the Internet that allow you to earn money from purchases made at major online retailers. Often, purchases must be made using credit cards that have to be registered online. These types of programs are often easy to manage, but you do have to constantly remind your supporters to access their online retailer of choice via a specific Web site or use their registered credit cards so that your school receives the donation revenue. This type of program, however, can be very lucrative, as some retailers will donate up to 10% of a purchase to your school.

The other option that some schools use is more labor-intensive and more expensive, but it gives you complete control. It involves building your own Web site where you sell your own items online using a payment processing company such as PayPal. You are now in charge of developing the Web site, adding and removing products, shipping items, and customer service (returns, refunds, questions). While this does give you control, it is also limiting financially. Most third-party providers of online fundraising have dedicated resources that focus on product and Web site development. Generally, these companies are upgrading their online functionality and products on an ongoing basis, which is a very expensive proposition for an individual school.

No matter what type of solution you decide to incorporate at your school, if you are using a third-party Internet-based solution, there are a few key considerations that you should research.

First, be sure that the technology is secure if your supporters will be entering credit card or other personal information. Second, inquire as to what the provider's customer service support entails. Can your supporters call with questions, place orders over the phone, exchange apparel items, and receive refunds if they make a mistake ordering? Last, check the terms and conditions of working with the company. Is it a non-exclusive agreement and can it be terminated by you easily if you are not satisfied with the service?

Magruder High School in Maryland opened an online store with a third-party provider in 2005 for apparel sales only, and now uses it for all of their fundraising.

"Our online store sells everything from apparel to our sports passes and prom tickets. It's a time and money saver for us," said Athletic Director Karl Heimbach.

Besides the obvious accounting and time-saving benefits, moving all of your fundraising events online is safer for your students, as it minimizes their contact with strangers, and it makes it easy for out-of-town relatives to support your school with the click of a button. From a virtual car wash to selling Class of 2008 sweatshirts, the Internet is a blank canvas upon which you can customize your school's fundraising program.

Laura Kramer is the director at Fieldhouse Inc., www.fieldhouse.com , a provider of online fundraising stores for schools and teams.