Organizing a Car Raffle

1. Organizing a Car Raffle

2. Organizing a Car Raffle Raffles are one type of fundraiser where you have almost total control over the expenses and income you raise. Raffles might seem simple but, like any fundraising effort worth doing, raffles should be well planned and organized. Undertaking the raffle of an expensive item like a car requires even more careful advanced planning.

3. Car Raffle Basics Before deciding to hold a car raffle, it is essential that you be aware of what will be involved in the process. Unlike a 50/50 raffle or the raffle of a smaller prize, the costs involved in a car raffle could be much higher. While it would be ideal to have a car (or the cost of) donated by an individual or corporation, your organization must also be aware that the cost of the prize may have to be provided by your agency. In addition, there may be some expenses involved with printing tickets or advertising the event.

4. Obtaining a Prize Donation • It is an ideal situation to find a donor/s willing to incur the expense of the vehicle. This will allow your organization to make a 100% profit on ticket sales. While you may already have a relationship with a wealthy individual that would be willing to make the donation, corporate sponsorship will more than likely be a must to make this fundraiser successful.

5. Obtaining a Prize Donation • Corporations are a major source of giving on an international scale. Whether they give from their corporate foundations or with corporate sponsorships, corporations generally want more than a “feel-good” for their part of the bargain. Philanthropy is good business. Favorable public opinion is a sought after goal in both the for-profit and non-profit industries. Aligning with a good cause benefits the company by boosting good will, perhaps increasing sales, raising visibility, and creating a sense of benevolence and involvement that may help them attract good employees.

6. Obtaining a Prize Donation You’ll want to find out which corporations give in your area. Also, larger companies such as the car manufacturers may participate in corporate giving. Some types of corporations to ask for sponsorship may include:

7. Obtaining a Prize Donation • Automotive dealers and large retail stores with automotive sections • Large hardware stores (they tend to be involved with racing, and may also be willing to sell tickets) • Car Manufacturers • Fortune 500 companies in your area • Professional Sports Teams • Businesses in your area that have shown interest in your cause • Corporations that have a connection to members of your board

8. Obtaining a Prize Donation • The goals of the organization and/or specifics of the fundraiser • The background of the organization • Exactly how the donations is going to be used • How realistic your fundraising plans are and what your budget looks like • How the efforts of the fundraiser will be monitored and evaluated • How their company can be showcased in a positive manner

9. Obtaining a Prize Donation • Also, a business plan, marketing plan, or other documents may be required. Promotion of the event will also be key, so that the sponsors can get the recognition they deserve. • Tip: Solicit items via e-mail. Over the past few years this has proven to be a highly successful strategy. It's quick, costs next to nothing, and doesn't take a lot of time (whereas phone calls can be quite time consuming).

10. Purchasing the Prize Vehicle If you are unable to obtain sponsors to cover the cost of the prize, your organization will have to budget for incurring this expense. You may already have money available from holding previous fundraising events, or you may want to work out a deal with a local auto dealer to order the vehicle and pay for it with profits from ticket sales.

11. Purchasing the Prize Vehicle • When choosing the right prize to offer, know the demographics of your audience and find raffle items that will appeal to them. For example, an environmental group could raffle off a new Prius hybrid car and a men's group might raffle off a Harley Davidson motorcycle. If you will be selling to mainly working class people you’d probably want to consider an economy vehicle, while for a wealthier group would prefer a luxury car.

12. Selling Tickets • A maximum of 5,000 tickets should be sold. This entices participants with excellent odds, so be sure to mention this statistic to possible purchasers. • Each volunteer should receive a pre-determined number of tickets. That person is responsible for the sale or return of ALL tickets given to them by the team leader or point person.

13. Selling Tickets • Always mention your organization and the cause you stand for. People want to know where their money will be going and who it will be supporting. Be sure to have a few stories of success on hand to share with possible donors. Appeal to their emotions by sharing personal experiences you’ve had with the organization.

14. Selling Tickets • REMEMBER-Raffle tickets are cash! Please make your sales team aware of the absolute necessity of this fact. If lost, tickets must be paid for or found and returned.

15. Price Point • The price set for tickets can make or break a raffle fundraiser. The ticket price needs to be high enough to reflect the value of the prize, and to raise the funds needed. However, it shouldn’t be so high that no one will want to buy a ticket!

16. Price Point • Again, you have to know your audience. What are your supporters willing to pay for a ticket? For some luxury prizes and/or audiences you may need to charge $50 or $100 a ticket. But remember, the lower your ticket price, the more tickets you need to sell to make a good profit. For an economy vehicle, a ticket price of $20 or $25 is the norm. • This is why having a big prize is so important. You can charge a higher ticket price for big ticket prizes, thus creating even more profit for your organization.

17. Promotions Show your prize off! • This is a fundraiser that should be advertised heavily to sell tickets quickly. Drive up demand by having photos of the car in your advertising, on your website, or in your flyers. If using flyers as a promotional tool, be sure to include a photo, car information, a contact person, price of tickets, number of tickets to be sold, date and time of raffle, and sponsors you wish to advertise.

18. Promotions • Post these flyers throughout the community and print out smaller flyers to distribute to individuals. Solicit businesses in your area that will allow you to sell tickets for a day. Focus on retailers who get a great deal of customers throughout the day.

19. Promotions Retailers to inquire for sales permission include: • Car Dealerships • Motorcycle Shops • Automotive Stores • Grocery Stores • Warehouse Stores • Department Stores • Malls • Gyms • Restaurants • Bars • Apartment Complexes

20. Rules You’ll want to set some rules or guidelines for the raffle. Examples may include: • There is no limit to the number of tickets an individual can purchase. • To avoid any fraud or perception of fraud, no employees of your organization or any organization associated with the raffle can be eligible for prizes.

21. Good Luck!!!