The solution – a better fundraising model or strategy

Definition: Fundraising is usually for – Charities, schools and other educational organisations, community service clubs or organisations, sporting clubs and facilities. In order to be brief, all these types of groups shall be defined as “charity groups” on the following page.

MiVeda Organics has thought long and hard about the problems associated with fundraising and feels there is a better solution.

Their change in fundraising philosophy revolves around the concept of “win-win”. It has been well established in business models that creating a “win-win” situation for all parties involved will result in a better and more profitable outcome for all. MiVeda has extended this to a “win-win-win” concept, whereby even more parties end up with a better result.

Basically, the MiVeda model involves the charity group informing their database (by whatever method suits them) that MiVeda Organics has kindly offered to provide a discount code to the respective charity group that will allow anyone who uses the code to obtain a 15% discount off any products that people purchase from the online MiVeda shopping cart (www.miveda.com). It also needs to be explained that any such purchase will attract a continual 12% donation to the respective charity group and this will be donated by MiVeda on a monthly basis.

This sets up a true “win-win” situation for the charity group and the donor but additionally a win for MiVeda and, consequently, this means that more money can be donated over time.

Why this model?

Firstly, MiVeda seeks to give back to the community, but MiVeda does not want to be limited to just one or two charity groups. MiVeda knows from experience that giving to a restricted number of charities will alienate some who want an alternative charity group to also receive a donation.

Secondly, MiVeda does not feel that giving away money is good value (and in truth cannot afford to do so after several years of struggle due to the COVID crisis). However, MiVeda is more than happy to “profit share” on sales produced.

Thirdly, MiVeda has a different philosophy on giving. Metaphorically speaking, and harsh as it may seem, MiVeda feels giving a starving person a fish today serves little purpose if they are going to starve to death tomorrow. The infinitely better thing to do is to give the person a fishing rod and teach them how to fish so that they (and their family) can adequately survive. Even better, they might be able to sell some spare fish and create a better lifestyle. With this in mind, MiVeda seeks to work with, and help, charity groups so that both can grow and provide a better scenario for all concerned. As with the analogy above, MiVeda feels that any relationship requires involvement and input from both sides and hence expects any charity group to be involved and participate in some way. In this regard, MiVeda expects the benefitting charity group to inform people of MiVeda’s generous offer.

There are many advantages of this model

As mentioned in the previous page, there is always difficulty in getting people to donate because in real terms it is a “lose-win” situation for any person who donates. The MiVeda model changes this to a “win-win” situation. The donor receives some fantastic products, and so the question: ”What’s in it for me?” is immediately answered because they are getting something for their outlay. They still get “warm fuzzy feelings” because they are doing something good – but importantly they get value for their contribution. Even better, they get an incentive reward in the form of a 15% discount off all purchases. That is “value-adding” at its best.

Furthermore, as also mentioned in the previous page, the need to continually market the fundraising scheme is reduced because about 85% of people who buy MiVeda products continue to re-order them on a regular basis. Thus the monthly donation from MiVeda can be continuous. In most cases, it would be MiVeda’s objective to build an annual donation amount of $100,000 to $200,000. This tends to happen because donors who use the products can let others know about the products and the discount code – so the ordering rate will usually increase over time.

Additionally, MiVeda will not need to be convinced about a continued association with the respective charity group because there is value in being involved. Yes – MiVeda has to provide products and all the required services, but because it is a profit sharing, it does not require an initial cash outlay or capital loss by MiVeda – merely a reduction in profit margin (and MiVeda is comfortable with this and more than willing to contribute).