Podcast – Episode 37: Is Your Nonprofit Mindset Holding Your Event Back?
In this episode of Auction Is Action with U in It!, Bobby D. Ehlert records on his way to a gala and delivers one of his most direct episodes yet: a challenge to the nonprofit professionals who are working hard, doing commendable work, and still leaving money on the table because of the way they think about their events.
You are not wrong. But you can do better. And your mission deserves it.
Key Takeaways
Tradition Is Not Strategy
"This is the way we've always done it" is the six words of death for a fundraising event. Many events are inherited, not designed. Just because something worked a few years ago does not mean it is serving your mission today. The question to ask: if we were creating this event from scratch today, what would we do differently?Nonprofit Does Not Mean No Profit
501c3 is a tax status, not a spending philosophy. Your organization still needs to raise more money than it spends. When nonprofits see event expenses as costs instead of investments, they cut the very things that generate the greatest return: better AV, professional fundraising talent, stronger storytelling, experienced event planners. Spending wisely is what allows you to do significantly more.Saving Pennies Costs Dollars
Choosing the free auctioneer, DIY production, or cutting stewardship efforts may look like savings upfront. But these decisions routinely cost organizations tens of thousands of dollars in lost revenue. It is far easier to raise a million dollars than it is to save one.Stop Thinking Like an Event Planner and Start Thinking Like a Fundraiser
The goal is not to throw a beautiful party. The goal is to advance the mission. A gorgeous centerpiece does not change lives. A well-designed donor journey does. When donors feel the pull of the mission and their heartstrings are engaged, that is where irrational generosity kicks in and people give more than they planned.Stop Judging Your Donors' Wallets
Assuming your donor base cannot give at a higher level is one of the most expensive mindset errors a nonprofit can make. There is more than enough funding to fully support your mission and every nonprofit in the nation. The only question is whether you are going out to get it. Let your donors surprise you.Sponsorships Are Partnerships, Not Transactions
The old mindset was: can you buy a table? The new mindset is: would you be willing to invest in changing lives while aligning your brand with our mission? When sponsors understand their role as philanthropic partners rather than advertising buyers, they give more. Sponsorship is one of the most untapped revenue sources for fundraising events.Fundraising Is Not Taking. It Is Inviting.
You are not taking anything from anyone. You are creating an opportunity for people to make a meaningful difference. When you operate from that belief, everything about how you ask changes.Fear of Innovation Keeps Events Stuck
What if it does not work? That fear keeps organizations from investing in the things that could transform their results. But the better question is: what happens if we do not evolve? What happens if we go backwards? The nonprofit sector deserves innovation just as much as any other industry. And when nonprofits innovate, they change the world.Operate from Abundance, Not Scarcity
There is enough philanthropic funding to fully support every nonprofit mission in the nation. Scarcity thinking is a choice. Abundance thinking is also a choice. Your mission was important enough to start the organization. It deserves your best fundraising effort, not your safest one.
FULL TRANSCRIPT
Bobby D.:
Hey there everyone. Bobby D here with the Auction Is Action with You in It podcast. I'm your host, 25-year chronic fundraiser, world champion auctioneer, founder of Call to Auction, the Gala Toolbox, and Inspire Hearts Fundraising. And today we are going to talk about a very hard subject: why your nonprofit mindset is holding your event back.
That's right. Your mindset is what's holding your event back. Not anything else. Just that.
Now, I have some things we are going to talk about today: why this is happening and how you can adjust and evolve your mindset. It is not that you are wrong. No, you are not wrong at all. You are right. You are doing commendable work. You are making an impact in the world. You are creating events that raise money to help fund your missions. But you can do it better. We all can do it better. And that is why you are listening to this.
The six words of death: we have always done it this way. This is what is killing your event.
A lot of times you are wearing many hats. You are doing development work, marketing work, running an event, providing programs, building fundraising relationships, getting sponsorships, procuring auction items. All of these things. But tradition is not strategy. Many events are inherited, not designed. Just because something worked a couple of years ago does not mean it is serving your mission today. Stuff that was working even a year ago is not necessarily working at events right now. So my question to you is: if we were creating this event from scratch today, what would you do differently? How would you make it better? How would you evolve it and grow the fundraising?
Next point: the fear of investing in the event.
As nonprofit professionals, we have a unique way of looking at money. A lot of nonprofit professionals have this outlook that just because you work for a nonprofit, you cannot make profit. Nonprofit is just a tax status. 501c3 is simply the IRS code that allows your organization not to pay tax on the profit you make. But you still need to make profit. You still have to raise more money than what you spend. That's right. You need to raise more money than what you spend.
Many organizations see event expenses as costs instead of investments. Better AV creates more emotion and a better experience. It helps create that golden goosebump moment. Good AV costs money, but an investment in good AV returns a huge profit. A professional fundraising team can come in and help you create an experience and a climate of generosity that helps your donors feel the feels and take action. Maybe it is investing in greater storytelling: the video, the video producer, the opportunity to tell your story more effectively. Maybe it is working with strategic planners and event planners who specialize in nonprofit events and know what works.
Sometimes spending wisely is what allows you to do significantly more. Investing smartly is what helps you build a higher ROI on every dollar and every hour you put in. You have only so many moments on this earth. Why waste them? Why not maximize the moments your donors give you when they attend an event?
Here is the hard truth about focusing on saving pennies instead of making dollars.
Cutting corners often becomes the expense. Choosing the free auctioneer, DIY production, or eliminating stewardship efforts may not cost anything upfront, but those decisions can cost you thousands, tens of thousands of dollars in revenue. I would say it is far easier to raise a million dollars than it is to save a million dollars. If you save a million by not spending anything, you are also not raising anything. And if you are not raising anything, you are not making impact. You are not funding your programs. You are not serving your mission.
Multi-million dollar events did not happen from a dream or from someone wanting to save money. They happened because someone was a visionary. Someone took action. Someone said: I want to do this differently. I want to make it better. I want to make a bigger impact. So I am going to invest the dollars needed to make that happen.
Now, here is another piece: thinking like an event planner instead of a fundraiser.
A lot of times you are handed this gala and you start thinking about napkins, decorations, food, caterers, venues. But that is what event planners specialize in. Let them do that. What you are is a fundraiser. Fundraising is about relationships: building them, identifying them, cultivating and stewarding them to the next level.
The goal is not to throw a beautiful party. The goal is to advance your mission. A gorgeous centerpiece does not change lives. A well-designed donor journey at the event does.
You have to understand your donors. You have to understand what they want and what they need to make a decision to take action and make a donation. A lot of times that donation level is preset in their minds when they arrive. But when you tug at those heartstrings and create an emotionally resonant experience, that is where irrational generosity kicks in. People give more than they thought they were going to give because the mission compels them.
And stop judging your donors' wallets. Stop saying your donor base does not have the money. Stop assuming guests who show up are low-level employees who do not want to give. You are wrong. There is more than enough money out there to fully fund your mission ten times over. It is just a matter of you going out to get it.
2% of the national GDP is allocated to nonprofits through charitable giving. But what if we raised that by just 1%? What if we raised it to 5%? Think of the impact. You have doubled it. Tripled it. And the way you do that is by building and strengthening relationships, giving donors a great experience, and then letting your donors surprise you. Not putting your mindset on them. Not pre-deciding what they are willing to give.
Now, another mindset shift: treating sponsorships as a transaction.
The old mindset was: can you buy a table? We will give you ten tickets and put your name in the journal. That is not what sponsors want anymore. The new mindset is: would you be willing to invest in changing lives while aligning your brand with our mission?
Feel how different that is. You are not asking for a sponsorship. You are asking for a partnership. You are asking a corporation with significant marketing dollars to be a part of your mission, to become philanthropic partners. When your sponsors understand their role in your mission, they give more. Sponsorship is probably the most untapped revenue source for fundraising events. You can raise half a million in sponsorships. You can raise a million. You just have to go out and build those partnerships.
Another mindset shift: believing that asking is taking.
Fundraising is not taking anything from anyone. It is inviting people to be a part of something meaningful, something successful. People want purpose. They want impact. They want to make a difference. That is what you are creating: an opportunity for people to make a meaningful difference. We are joyfully asking them to be a part of this event. We are joyfully asking them to raise their paddle and bid on an auction item and have an experience they will tie back to your organization. You are giving opportunity. You are giving love. You are giving that chance for the donor to make a meaningful impact.
Now, another mindset shift: avoiding innovation because of fear.
What if it does not work? What if we hire that auctioneer and it does not work? What if we pay for the AV and it does not work? What if we spend money on marketing and it does not work? That risk exists. But risk is a part of life. In a for-profit business, risk is measured. Risk is part of the business plan. Nothing is guaranteed.
But here is the better question: what happens if we do not evolve this event? What happens if we do not move forward? What happens if we go backwards? The nonprofit sector deserves innovation just like every other industry. And when nonprofits innovate, they change the world. They find homes for the homeless. They feed those with food insecurity. They cure cancer. It is true. It is happening. And it is happening because of philanthropy, because of the nonprofit sector that you are in.
So here are the questions I want to leave you with:
What assumptions are you making about your donors? What traditions are you protecting that no longer serve your mission? Why do you have to do it the way you have always done it? Why can't you fix it? Why can't you change it? Where are you operating from scarcity instead of abundance? And if your mission mattered enough to start the organization, does it not deserve your best fundraising efforts?
Your organization and your mission deserve the best. So let us put that negative nonprofit scarcity mindset aside. Let us believe abundantly. Let us grow together. Let us innovate events and fundraising and build the relationships that are so valuable to fulfill your mission.
Closing thought: your mission is too important to be held back by outdated thinking. The organizations that want to change the world are not necessarily the ones with the biggest budgets. They are the ones willing to challenge assumptions, invest strategically, be innovative, and invite people to be generous in a meaningful way. That is what it is all about.
Is your nonprofit mindset holding you and your event back? Let us change that. Let us flip that mindset. Let us do better. Let us create better events together.
Thank you for letting me stand on my soapbox for 17 minutes here on the road to my next event, an organization that is being innovative, shaking some things up, and setting themselves up for as big a success as possible. We do not know if we will break records tonight. But what we have done is work together to set this event up for the greatest possible success. And that is everything.
Thank you again for spending your time with us. Thank you to our sponsors: calltoauction.com, inspirehearts.com, and galatoolbox.com. Do not forget to go to galatoolbox.com and download your free Gala Blueprint. That is right: free. Go do it and start your innovation today.
My name is Bobby D, host of the Auction Is Action with You in It podcast. We will see you on the next episode.
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At Call to Auction, we specialize in turning galas and fundraising events into mission-driven, revenue-generating experiences. From paddle raises to live auctions, our team knows how to excite donors, engage audiences, and inspire generosity in the moment.