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Using eBay to your Charity’s Advantage
How eBay for Charity works
Case studies on how charities are using the online world
About eBay for Charity• Helps charities get the most from the eBay marketplace, by
– Enabling charities to trade effectively in the eBay marketplace.
– giving 17 million eBay.co.uk visitors a secure, trackable and efficient way of supporting good causes.
• The programme is managed by eBay.co.uk in partnership with PayPal Giving Fund UK, a registered charity
Online fundraising growing around 40% pa as share of voluntary income:- 2% in 2007/8- 3.7% in 2010/11www.missionfish.org.uk/research
Event fundraising: over £1bn raised via JustGiving since 2000.
But, UK is behind US nonprofits (8%).
Ways to get involved, and what you’ll need
A supporter base, particularly
online supporters
Marketing/fundraising
capacity
A recognisable and
compelling brand and logo
Access to goods, whether
donated or in-kind
Retail capacity: shop
management, pricing,
accounting
“Star items”, or the ability to
secure some
Creative ability: designing a
newsworthy concept
Web design to create a fun
“brand” for the auction
Receive donations from eBay sellers
• eBay sellers give 10-100%
of a sale to a charity of their
choice
• Listings appear with giving
ribbon , charity logo and
mission statement
• You can cancel listings that
clash with your charity
• Donors get a fee credit from
eBay
• PayPal Giving Fund delivers
funds and Gift Aid
Cause-related marketing
Analysis by
Columbia
Business School
(2010)
Items with a donation generate 34% more sales than non-charity equivalents.
Give at CheckoutPossible as online retail has:• Lower transaction costs• More “flexible” checkout tech.
eBay model is unique:• Requires no effort from the sellers• Enables Gift Aid collection (where we can get a declaration)• Enables buyers to choose their favourite charities
• £8m raised for UK charities (small + large)
• 2M donors making 6m separate donations
Special auctionsOffer unique, exciting or high value items to the public on eBay
• Eliminate the costs and hassle of hosting a live event.
• Reach a larger audience than any other online auction platform.
• Use the eBay brand to increase awareness of your auction.
• Need promotion and management to succeed.
Spot the opportunities: be reactive
• Harrods donated limited edition meerkat toys to children in hospices
• Charities asked to auction the “surplus” toys in eBay
Campaign raised £100,000 for 6 charities in 1 week.
You don’t need a “big brand” to be successful
Wild Trout Trust has raised £325k by auctioning fishing and conservation experiences.
• £5,100.00 A week for 2 rods fishing in Tierra del Fuego
• £3,500.00 5 nights for 2 rods, sea-trout and brown trout fishing
• £3,431.00 A week trout fishing for 2 at Futa Lodge Chile
• £3,000.00 4 days / 5 nights for 2 rods, bone fishing based at Abaco Lodge
Running a shop on eBay
• Reach a bigger customer
base than a high-street shop
• Find the right buyers for
specialist items
• Listings appear with charity
ribbon , your logo and
mission statement
• Save money on overheads;
you don’t need retail
premises or round the clock
staffing
• No fees or deductions from
eBay or PayPal Giving Fund
Ecommerce and charities
• 10-15% of retail is online vs
1.3% of charity retail.
• 76% of charities online sales
are via eBay
But gradual move online:
• Charities’ eBay sales grew
34% last year
• Charity retail growth is less
than 3% each year
Children’s Society: an opportunity
• Children’s Society has a
partnership with a major
delivery company
• Expertise in trading
standards, have recruited
eBay expertise
• £24k in sales in Q4 2012
From high street to ecommerceMillRace IT
• Replaced several high street shops with
one eBay shop.
• Selling over £140k per month of
refurbished hardware (£1.5m last year).
• Promoted via eBay house ads (200m
impressions donated).
Sales growth (MoM)• Jan: 5.7%• Feb: 27.4%• Mar: 12.8%
Sue Ryder: plan ahead
Sue Ryder
• eBay shop launched last year and
already raising more than £24k pm
• Separate accounts for donated vs
bought-in goods.
• Significant planning and preparation to
sort out logistics before going live.
Integrating PayPal and eBay• PayPal donations up 69% year on year• Over 1 BN banner impressions donated by eBay• Links to auction, shop, donation flow from
homepage• Last full year: over £430k raised from eBay
users, including £120k in donations
Enabling/encouraging charity is good for eBay
eBay buyers who donate to charity:
• spend 40% more than buyers who don’t, on average
• are half as likely to lapse in the next year
Sellers who donate
• sell 35% more than sellers who don’t, on average
• are 37% as likely to lapse in the next year
23
1 Internal analysis of donor vs. non-donor behaviour, comparing against non-donating users with similar profile/behaviour.
0%
10%
20%
30%
40%
50%
60%
70%
Retention (%) Spend/sales (%)
Buyers
Sellers
Download our guide to getting started
www.paypalgivingfund.org.uk/research
What should I do first?
1. Register your charity with PayPal Giving Fund
www.paypalgivingfund.org.uk
And to start selling:
2. Register as an eBay seller
www.ebay.co.uk/register
(choose business registration)
3. Set up a PayPal account
www.paypal.co.uk/charity (1.4% instead of 3.4%)
How can I make it work?
• Make sure colleagues know they can:
• Sell items to a huge audience for free
• Run special auctions to engage supporters
• Tell your supporters to make you a favourite
• Explore with corporate partners as a fun activity
or business model
What does all this cost?
• Free to register at paypalgivingfund.org.uk
• 100% of all donations (and Gift Aid) passed on
• No charge for your sales on eBay
• PayPal offers discounted rate for charities
For more information, contact us at:
Conference House Ltd. 24 St. Clements Passage, Huntingdon, Cambs. PE29 3TP
020 8605 3191
www.paypalgivingfund.org.uk
Thank you for listening