The Book On Fundraising Chapter 8 Tier Level Rewards
The Book on Fundraising was created by the team at DonationTo.com. Today we announce The Book on Fundraising available 100% for free, in blog form. As the months progress we will work quickly to make these pages available on our blog - DonationTalk.com. Below is Chapter 8 – Tier Level Rewards - This is a key element to know as you start any type of fundraising!
Tier Level Rewards
Letting supporters know what they “get” in exchange for giving a donation is paramount. There are many ways to convey that you recognize and value donors’ individual contribution, but implementing tier level rewards is arguably the most effective strategy for doing so. This chapter will explain what tier level rewards are, why they work, and how you can go about organizing your own tier level rewards.
What are tier level rewards?
Tier level rewards were created because it is important to differentiate between groups of donors. This means dividing the donor group into tiers based on donation amount, and assigning to each level a specific set of “reward” which could include anything ranging from basic merchandise, such as a t-shirt, to a more honorary prize, such as the donor’s name on a plaque:
10$ – Gets a personalized thank you email
50$ – Gets a T-Shirt to support our cause
100$ – T-Shirt and name on plaque
250$ – T-Shirt, name of plaque with photo
It is important not only to set up a tier level rewards system, but also to alert donors to its presence.
Donors are willing to lend support if it is made clear what they can “get” in exchange for their support. Visitors are more likely to participate in your cause if they clearly understand the result of their involvement, and the tier level rewards system applies the same idea to donors. Even a small prize will provide donors with a real, specific symbol of their donation as well as a topic of conversation with friends and family — driving additional awareness.
Fundraisers want donors to both continue their contributions and take their support to a higher level. If mid- to low-level donors find themselves lost in a sea of anonymity and feel ignored, they will not be motivated to continue their support. The goal of tier level rewards is to give every donor a place, yet to encourage them to move up from that place.
So by both acknowledging and rewarding specific groups of donors, fundraisers who use tier level rewards are able to give a sense of identity and satisfaction to their supporters, while also encouraging them to increase their donations over time.
How do you create your own tier level rewards?
The structure of every tier level rewards system will be different. When organizing your own system, the first thing to make certain of is that the reward that you grant to each tier matches the amount of donation. The rewards should progress with each tier in value and appeal. A reward that is too weak for its level of support will cause a dip at that level of support.
Don’t be afraid to think outside the box with tier rewards. As we mentioned before, it doesn’t always have to be a physical object such as a t-shirt; it can also be something involving public honor and recognition, such as the donor’s name on a website. Other ideas for creative rewards include comped tickets to a public event, a personal tour of your organization, or a private awards ceremony at which donors are formally recognized for their gifts.
When your fundraising becomes more advanced, you can use merchant prizes. What this involves is networking with local businesses and merchants so that they volunteer items of greater value than you yourself could provide, such as gift certificates and discounts on merchandise. Before you reach this stage, however, remember that the most basic form of tier level rewards is a bake sale, and there is nothing wrong with that!
In summary, divide your donation base into tiers not only to create the possibility of upward mobility through those levels, but also to make every donor feel acknowledged and at home. Make the rewards system clear and straightforward, and contributors will be more willing to lend their support. Keep it fair: when you set up tier level rewards, make sure the prizes are consonant to each tier in value and attractiveness. And remember, don’t be afraid to be creative!
For help and social recognition, supporters are responsive to DonationTo.com crowdfunding causes. This donation website hosts and explains how to crowd fund for any of your causes.
Looking for additional fundraising tips check out these other links: How to Fundraise with Tier Level Rewards (Video), How to Do Fundraising and Follow Up With Supporters, How to Scale Fundraising For Success, How to Raise Funds for Marathon, How to Fundraise Successfully with DonationTo
Thanks again! From the DonationTo Team!!
The Fast Way to Fundraise Online
Get your own fundraising site: DonationTo.com