50% profit with free brochures, free shipping, a prize program, and the orders being delivered bagged for each student is what you should look for. Of course the quality of the items and pricing should also be looked at. Our school use to use a company who gave 60%, but they charged for the brochures, they charged for shipping, and they offered no prize program. So ultimately at the end of the day the profit they were making came out to less then 50% when they were done paying for the brochures and the delivery. So I would be leary of anyone offering more then 50% profit as there are usually strings attached that will lessen your profit.
More importnatly, profit % is just one factor. If you make it the end-all, be-all, you'll often wind up with a less effective fundraiser in the long-run (ways to increase profit % = lesser service, cheaper or no prize program, lower quality product, overpriced items that won't sell....).
Your goal is most earnings and happiest families (who'll buy again next time) for least effort. A 40% profit on $30,000 in sales of a product and program that leaves all happy is way, way, way better than a 50% profit on $20,000 in sales with a program that leaves a bad taste for volunteers or families.
50% is a good profit, very seldom will you find better and if you do be careful!! You need to look at the quality of any fundraiser you consider doing and ask yourself if it is something you would buy and something that you would be proud to put your group's name behind. Sometimes you may need to have a lower profit margin but if it is a quality product that sells itself then it may be worth it. also be careful with companies, MOST companies will pack all orders by student name and class. If you have a company offering you 40% but you need to sort the orders then it probably isn't worth your times.
"When you stop learning you stop growing."
Hi, all. New incoming PTO Pres...lots to learn! :eek: It appears from what I've read that a 50% profit offered by our giftwrap company is decent. Is this a good profit? Some are suggesting I ask for more, but before I do I'd like to know if this is within the normal range you would expect. TIA for your help! Nancy
