EVENT SPONSOSHIP AND FUNDRAISING (GHZL3143)

LECTURER:
ASSOC. PROF DR. LIM KHONG CHIU
TIME/VENUE:
2:30pm – 4:00pm (Sunday & Wednesday)
Group A
(DKG 6/26)
 Event Revenue Generation

The skills required in fundraising

Who should do the fundraising?
Types of event funding
Sources of funding
Fundraising method & Activity (Online learning activity)
 Learning Outcomes

Explain the important skills of fundraiser

Identify who should actually be doing the fundraising
Discuss the types of event funding and sources of income
Discuss fundraising methods and activities adopt by
fundraisers
 The skills required in fundraising

 There are a number of important skills that you will need if you are to be
successful.
 As a result of your understanding what skills are required, you can
1. Assess your strengths
2. Learn what skills you need to acquire
3. Find ways of compensating of your weaknesses
(Michael Norton, 2009)- The Worldwide Fundraiser’s Handbook.
 The skills required in fundraising

1. Commitment to the cause

 You have to believe wholeheartedly in what you are doing, and make your cause
compelling to others.
2. The ability to ask
 You will need to push yourself to do it and to feel comfortable doing it. Remember that
you are asking for money or in-kind to help support an important cause or address an
urgent need.
3. Persuasiveness
 You need to persuade them that supporting your organization or cause is really
worthwhile “investment” of their hard-earned money.
 The skills required in fundraising

4. Confidence and dealing with rejection

 When you are asking for money, you need to discharge confidence. If you are
apologetic or hesitant, people are less likely to give to you. A good fundraiser has
to be able to cope with rejection.
5. Persistence
 Don’t just give up at the first setback. Use the rejection as an excuse to enter into
a discussion with them. Go back to them again at a later date with another
approach. So keep trying.
 The skills required in fundraising

6. Truthfulness
 The fundraiser has to be truthful at all time. The need to present a sensitive but truthful
case. The situation should be portrayed realistically. Fundraisers need to ask in a way
that will elicit support.
7. Social skills
A good fundraiser needs confidence, patience and tact. A good fundraiser should also like
meeting and dealing with people. Besides, your enthusiasm, ability to make friends and
earn the respect of others, cheerfulness and positive attitude will all help you in your
fundraising.
 The skills required in fundraising

8. Organisation skills
 Fundraisers have to keep accurate records of correspondence and information on
donation history for each donor.
9. Imagination and creativity
 Fundraisers need to identify new approaches and new techniques, not simply rely on
what has been done in the past. Present your work in a more exciting and imaginative
way.
 The skills required in fundraising

10. Contacts and the ability to make contacts

 You should have the ability to make new contacts, and have the good sense to ask others to
help you with the fundraising by providing you with their contacts or even doing the
asking.
11. Opportunism
 You need to grasp every opportunity that present itself. Examples ??
 Who should do the fundraising?

1. The management committee/management board/trustees of the organization.

2. The chairperson
3. A fundraising committee
4. The executive director
5. A professional fundraiser
6. A volunteer
7. A fundraising consultant
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Types of Event

 Categorizing events by Size:

1. Mega-events
2. Hallmark events
3. Major events
4. Local/Community events

Allen et al. (2011)

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Major Events

 Events that are capable, by their scale and media interest, of

attracting significant visitor numbers, media coverage and
economic benefits.
 E.g. Malaysia Grand Prix Formula One, Langkawi Ironman
Triathlon, Le Tour de Langkawi, etc.
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Mega-Events

 Those events that are so large that they affect whole economies and gain
interest from the global media – e.g. Olympic Games, the FIFA World Cup
and World Fairs.
 Their volume should exceed 1 million visits, their capital cost should be at
least $500 million, and their reputation should be that of a ‘must see’ event
(Getz, 2005).
 Mega-events, by way of their size or significance, are those that yield extra-
ordinarily high levels of tourism, media coverage, prestige, or economic
impact for the host community, venue or organization (Getz, 2005).
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Hallmark Events

 Refer to those events that become so identified with the spirit or ethos of a
town, city or region that they become synonymous with the name of the
place, and gain widespread recognition and awareness (Allen et al., 2008).
 Getz (2008) defines Hallmark events are those that possesess such
significance, in term of tradition, attractiveness, quality or publicity. Besides,
the event provides host venue, community or destination with a competitive
advantage.
 For example, Mardi Gras Carnival – Rio de Janeiro & New Orleans, Tattoo
Show – Edinburg, the Chelsea Flower Show in Britain, the Tour de France.
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Local or Community Events

 Allen et al. (2008) state that these events are targeted mainly at
local audiences and staged primarily for their social, fun and
entertainment value. Therefore, such events can be found in
almost every city and town in Malaysia.
 Forexamples: Gotong Royong, Kenduri kahwin, kesyukuran,
Pesta Sukan Sungai (Kedah), Hari Penyayang (Kedah) etc.
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Types of Event

• Categorizing events by form or content:

1. Festivals (entertainment, arts & cultural)
2. Sports events
3. The MICE industry, or business events
(Meetings, Incentives, Conventions and
Exhibitions)
4. Commercial, marketing and promotional
5. Family events
6. Fundraising, etc.

Allen et al. (2011)

 17
Festivals

 Festivalsare an important expression of human activity that

contributes much to our society and cultural life.
 Linked with tourism to generate business activity and income
for their host communities.
 Forexample – arts festivals (music and handicraft), food and
beverage, film etc.
 18
Sports Events

 Sports events are an important and growing part of the event industry,
encompassing the full spectrum of individual sports and multi-sport
events such as Olympic and Commonwealth games.
 Ability
to attract tourists, visitors and to generate media coverage and
economic impacts
 Benefits
to players, coaches, officials, and bring entertainment and
enjoyment to spectators.
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MICE (Business events)

 Characterized by its business and trade focus.

 Meeting - … all off-site gatherings, including conventions, congressess,
conferences, seminars, workshops and symposiums, which bring together
people for a common purpose – the sharing of information. (The
Commonwealth Department of tourism, 1995).
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MICE (Business events)

 Incentives – ‘as a global management tool that uses an exceptional travel

experience to motivate and /or recognized participants for increase levels of
performance in support of organizational goals’ (Rogers, 1998)
 Conventions – Business events that bring considerable exposure, visitors
and economic benefit to the host city.
 Exhibitions – bring suppliers of good and services together with buyers,
usually in a particular industry sector.- e.g. Trade show, Motor show etc.
 21
Commercial, Marketing & Promotion Events

 Tend to have high budgets and high profiles.

 Involve product launches – e.g. Computer hardware or software, perfume,
motor cars, etc.
 Generally to differentiate the product from its competitors and to ensure
that it is memorable.
 Sales staff, such as travel agents and the media are involved.
 22
Family Events

Weddings, funerals, birthday party, etc, all provide

opportunities for families to gather.
Various activities organize to keep track of changing
social trends.
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Fundraising

Fetes and fair are organized to make money for a

particular purpose.
Activities are in the forms of competitions, entertainment
and sales.
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Types Events Funding

SPECIAL
EVENTS (Shone & Parry, 2008)

Personal Cultural Organizational Leisure

Events Events Events Events

Ceremonial, Commercial,
Weddings,
Sacred, Political, Leisure,
Birthdays
Heritage, Charitable Sports
and
Art and and Recreation
Anniversaries
Folklore Sales
 Leisure/Sporting event

 Event : International City Athletics Competition

 Funding: possible range of funding include from government
agencies such as sports councils, local government funding for
sport events, support from sports sponsors and broadcasters,
together with income generated from ticket sales, concessions
selling food, drink and sports-related merchandise .
 Cultural event

 Event: Village Cultural Anniversary

 Major income might be from entrance tickets, parking, income
from renting pitches for the various stands, money raised from a
raffle and various games, also sponsorship of activities on an
organizational and individual basis, charitable donations in
money or in kind (gifts).
 Organization event

 Event: Sales managers’ team-building day

 No direct income as such. The event will be paid for within
a particular budget determined by the organization and
operated by the Sale Department itself (for staff training) or
a related department such as personnel, according to the
appropriate organizational objective.
 Personal event

 Event: Small family wedding

 No direct income as such. The event would be paid for by the
people getting married, and/or their families, with donations of
presents and other useful things ‘in kind’ e.g., friend decorate the
community hall, or help make a buffet, contribute flower, etc.
 Sources of income

 Sources of additional income/revenue in addition to ticket or admission

process.
 Programmes / brochures (promotional materials) / guidebooks (travel guide)
 Catering / fast food / sales stalls
 Retail / souvenirs / clothing / merchandising
 Corporate hospitality areas / lounges
 Photography charges / photography sales / video
 Sources of income

 Car parking / transport services

 Concessions / stalls / rentals / contracting
 Raffles / lottery / games
 Broadcast rights (usually sporting events only)
 The use of ‘membership’-type subscriptions to encourage repeat visit
(Where appropriate
 Sources of patronage, grant funding and other income for events

‘In kind’ arrangement, mutual benefit exchanges of goods or

activities, volunteer work or donations.
Grant from local, regional or national government or the
European Union.
Grants from charitable bodies; development agencies; arts,
leisure or heritage bodies.
Lottery grants or subsidiary (matching) funding.
 Sources of patronage, grant funding and other
income for events

Fund-raising activities related to the event.

Commercial borrowing (from banks, etc – this will have to be repaid with
interest).
Funding from trusts or other philanthropic bodies, often listed in national
directories of funding agencies and trusts.
The provision of funds or donations from a patron, commercial
sponsorship.