Silent auction – my favorite oxymoron! They are great tools for selling items and raising money. But what is a silent auction? How does a silent auction work? Why should you host one? How do you run a silent auction? What items do you include? How do nonprofits use silent auctions? We’re breaking down the details on how a silent auction works.
Let’s start with a few definitions:
Auction: a public sale in which goods or property are sold to the highest bidder. Originally started from public outcry. Auctions sell items to the highest bidder and establish truest fair market value for an item.
Auctioneer: a person who conducts auctions by accepting bids and declaring goods sold.
Silent auction: an event at which items for sale are displayed for attendees to assess, place bids on, and purchase.
Why is it an oxymoron? By their nature, auctions include an “outcry.” Silent auctions work without an auctioneer outcry, and participants place their bids silently and sometimes anonymously on a bid sheet using a bidding number – hence the use of the word “silent.”
When thinking about how a silent auction works, it’s important to know the benefits and drawbacks.
Pros:
Cons:
How does a silent auction work in terms of logistics? Today technology provides planners a huge relief. Most organizations use a technology platform so that bidders can place their bids from anywhere in the room or even around the world. Using an online platform means donors do not have to gather around a piece of paper, providing access for more people and eliminating the time constraint on silent auctions. However, the old paper and pen provides a sense of urgency and transparency that some organizations love. Using a pen and paper to make the bidding process is most successful when someone conducts the closing of the silent auction. Announcements are made and count down closings occur.
How does a silent auction work in terms of timing? One interesting fact about silent auctions is that 90% of your donations will occur in the last 10 minutes of the silent auction no matter when that happens. Read that again! Many believe leaving a silent auction open longer will get more bidders. While a longer bid time can help spread awareness of the auction, most bids will still come in at the end of the auction NO MATTER WHEN that happens. At a paper and pen silent auction, closing at the end of cocktail hour can create a frenzy of excitement and carry that high energy into the rest of the gala. It removes the FOMO (fear of missing out) feeling and guests can rest assured they won or that they have more money to spend throughout the rest of the event – in the live auction or direct appeal during the event.
When you are faced with figuring out how a silent auction works, one big challenge can be deciding what items to include. Here’s some popular silent auction basket ideas:
We have seen a lot of interesting items work in silent auctions, including:
How does silent auction work for online vs. in-person items? Some silent auction items work best online because they are not as valuable to a local audience. Sometimes we overlook items that we have in our community that would be special for someone who doesn’t live there. For example, tickets to Broadway shows are not as exciting to a NY audience because most have access but an online bidder in the Midwest might be very interested. Disney tickets are not as exciting to a bidding audience in Orlando as they are to one in Chicago.
Choosing Items for a Silent Auction vs. Live Auction
When figuring out how your silent auction will work, there are no definitive silent auction rules for deciding which items to put in silent auction vs. live auction. But here are some best practices:
Many areas of the country LOVE silent auctions and many areas HATE them! You need to know your donors. Auctions are not the only sales opportunities for event fundraising with donated items. You can use games, wine walls, blind gifts, balloon pops, or gift card frenzy. There are so many prize opportunities! Some of our biggest fundraising moments have come from philanthropic gifts. If you are confused about how silent auctions work, or any other potential fundraising efforts, the key is to talk to experts. At Star Benefit Auctions, we have a team of world-class auctioneers ready to partner with your organization, help you figure out exactly how silent auctions work, and how to make them successful. If Star Benefit can help you raise the bid at your next fundraising event, virtual or in-person, contact us today.
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