Where's My Umbrella?

I'm talking about premiums. They call it giveaways here in the Philippines. They are also called "freemiums" by other fundraisers.

I may say that we should be very careful when we use premiums in our fundraising. They can be very good at getting people to give but you may also sometime question the motivation for giving. I've read quite a few fundraiser say that premiums have a high initial response rate as against a no premium appeal. But this technique is also low on loyalty and long-term value.

What does this mean?

Well, simply put, people give to your organization not just for the good feeling but also they are interested in the product that you are using as a token of your appreciation. A lot of people flock to this but when you do not have something to offer in return for their giving, then the response rates goes lower.

Here in the Philippines, I have not seen a lot of local organizations offer premiums except for the magazine subscription companies. There are a couple of churches I know that have used merchandise to motivate people to join a campaign where everyone benefits, but for general fundraising. Not so much. Or maybe, I'm not in many non-profit orgs' mailing list. Who knows?

So keep this in mind when you do your next fundraising campaign. Premiums or not? Your choice. God bless!