How a Change in Format Led a Flagging Gala to 17 Years of Success

When Anne Corry came to New York Cares 17 years ago, her duties as development director included organizing the nonprofit’s annual fundraising gala.

“It was a big, old black-tie party, a real blow out,” says Ms. Corry, who is now deputy executive director of the Manhattan-based volunteerism group.

But it wasn’t perfect.

“People were having an awesome time, but we weren’t making any money,” she says.

So the organization decided to change the format from a soiree to a simpler event more akin to an awards dinner. Each year, the group honors one volunteer or client — “someone who has experienced a genuine life change due to our programs,” Ms. Corry says — and two major donors recruited from outside the organization.

With the change in format, the event became a major revenue generator. That’s largely because donor honorees accept the attention with the expectation that they will each donate $225,000 to New York Cares.

“This is pretty pro forma for a New York City nonprofit,” Ms. Corry says.

The results are impressive: Each year roughly 600 people attend the event, which raises more than $1-million for the organization.

With the honoree format, there is a built-in roster of people who come to cheer for the fundraising guests of honor, and their donations augment the honorees’ own gifts to New York Cares. What’s more, Ms. Corry says, honoring a volunteer or client leads to “powerful storytelling” and that is equally important to the event’s fundraising — and awareness-raising — success.

“The right person telling the right story can raise more money than both fundraiser honorees combined,” she says.

Ms. Corry recalls one presentation in particular that won the audience over.

A young woman spoke about how she’d been spiraling downward in high school, including getting arrested several times after her father’s death. She credited her involvement with the group’s youth service program with helping her turn her life around. Instead of dropping out, she successfully completed high school and went on to college to become a teacher.

This kind of story is perfect for the presentation portion of a gala event, Ms. Corry says, because it has a “clear-cut before and after with a defined win” directly attributable to the organization’s programs. The most compelling storytelling tends to come not from a staff member or volunteer, she cautions, but from someone whose life changed significantly because of the charity’s work.

“The goal is to get people in the room to cry — which is not easy to do, not in New York City,” she says.

The organization raises additional funds at the gala with a “Dutch auction,” during which guests bid to sponsor mission-related programs instead of on traditional auction items like gift baskets. To maximize donations, the programmatic auction follows the honorees’ presentations about the work the group does, “when guests are most fired up and inspired,” says Ms. Corry.

With 17 successful galas now behind her, Ms. Corry offers other advice and key lessons learned:

Find donor-honorees. This is a task that typically falls to a charity’s board or development staff. Think creatively to identify “under the radar” potential donor-honorees, Ms. Corry says. Consider approaching the head of a local company or firm that, although venerable, may not be widely recognized outside its business niche, she says. These people often have the means for major philanthropy, but simply have never been asked. Ms. Corry uses this fact-sheet template to help recruit these donors.

Get commitments early. Work hard to nail down key commitments — sponsorships, donations, honorees, and volunteer chairpeople — as early as possible. Being ahead of the game helped save the organization’s December 2012 gala because key players had committed by early September — before Hurricane Sandy struck the city and may have reordered donors’ giving priorities.

Train spotters. Plant “spotters” throughout the room during auction activities, with special attention to potential big-money tables. Spotters make sure the auctioneer sees and records all bids in their section during fast-paced action. “Do a little training beforehand for 15 minutes so everyone knows how to respond quickly,” she says.

Gather information. When purchasing tables, people often submit their guest list as “Joe Smith and nine guests.” Be sure to get each guest’s name and contact information. One way to encourage this, Ms. Corry says, is to ask people as they check in to put their business cards into a bowl for a raffle.

Clear the next day. “An event doesn’t end when it ends — it can and should have legs,” says Ms. Corry. As organizer, make sure the calendar for fundraisers, the executive director, and board members is clear the day after the event. Assign each person a list of guests and sponsors to personally thank them for their support. If someone was particularly helpful — an honoree’s stalwart assistant, for example — consider sending that person flowers or another small token of appreciation.

Keep ticket prices reasonable. Many organizations rely too heavily on revenue from gala ticket sales, either to defray event expenses or raise money, says Ms. Corry. Her advice: Keep entry costs as low as possible. “You want people to bring people. The more people in the room with money, the better, especially during the auction,” she says. Instead of — or in addition to — asking board members and other key supporters for donations, ask them to bring guests.

By the numbers

• New York Cares Winter Gala, prior to 1998 was a “break-even proposition,” Ms. Corry says.
• New York Cares Winter Gala in 1998, the first year of the new format, generated a gross revenue of $300,000 with expenses of about $65,000.
• New York Cares 2014 Winter Benefit generated a gross revenue of $1.3-million with expenses of about $251,000.