Friday, November 8, 2013

Making Sure Your Unit Credits All of Your Donations for the Popcorn Sale

military_business_handshake_9795I have been told by many Units over the years, “We have people who do not want to buy popcorn but want to give a donation. Is that OK?” You may find the answer surprising.

First, let’s talk about BSA policy. The guidelines on the Unit Money Earning Application are very specific. It states, “At no time are Units permitted to solicit contributions for Unit programs.” This means that Units cannot put any donations they receive directly into their Unit accounts. By accepting a donation, a Unit may violate their not-for-profit status.

In addition, this would include soliciting while in a Scout Uniform for another organization, such as the Salvation Army or political organization. Because the ‘Scout Uniform’ is as much a brand as the Boy Scouts of America, it is inappropriate for Units to affiliate the Boy Scout ‘brand’ with another organization without permission from the local Boy Scout Council or National Office.

Understand with all Unit fundraisers, a product or service must be exchanged for money collected. Otherwise it is considered a direct solicitation of funds and goes against BSA policy.

So if a person wants to give a donation to your Unit, what do you tell them?

You have two options. The first option is to tell the customer that you will pool all of the donations collected and use the funds to send popcorn to military units around the world. This can be done by placing Military Donations with all of the donations collected. This way a product is purchased with the donations and qualifies as a fundraiser.

The second option is to politely say “No, Thank you. It is against policy for us to take a donation and we want to earn the money on our own.”

Now that your Unit has collected the donations, how to you allocate them?

It is easiest to use an example, so here is how we do this in my son’s Troop. First, we determine the total amount of dollars collected at site sales and the total donations collected. Let’s say we had 10 Scouts collect a total of $2000 which includes all of the product and the donations collected. This would mean that each Scout should get credit for $200 in total sales ($2000/10 Scouts = $200). This is an important amount to remember because each Scout should have no more than the $200 credit. Now let’s say out of the $2000, $300 was in the form of donations. It is important Military Orders totaling $300 is placed for the Unit. In this example, it is easiest to give each Scout a $30 Military Donation and then $170 Credit for the Site Sales for a total of $200 assuming that each Scout worked the same amount of time.

Another way to calculate this is by figuring out the average sold per hour at the sight sales and the average donations collected. In the case above, if the total number of man hours worked at the site sales is 40 hours, then each Scout would get credit for $42.50/hour sales and $7.50/hour in donations. If each Scout worked 4 hours each, they would get credit for the same amount above. If they worked a different amount of hours, then they would each get the appropriate amount of credit per hour.

You may have an instance where the donations and/or sales do not work out evenly. The important thing to remember is that each Scout gets the appropriate credit. If you have to adjust the Site Sales amount and the Military Donations for each Scout, then do it as long as the total credit per Scout is appropriate. Make all of your numbers work out to the even dollar amount if possible. Use the extra funds left over to offset the credit card service charges.

It is important the Military Donations are converted to actual sales so as not to violate BSA Policy. It is important for the Unit, Customer, and Military for allocations to be applied appropriately.

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What To Do With Your Leftover Popcorn From Your Popcorn Sale

sales_transaction_colored_6641If your Council allows units to return all of your leftover product, you are in luck. You are almost done with your sale. However, many Councils around the country only do returns by the full case and sometimes these cases have to be unopened. So what do you do with the leftover popcorn your Unit may have?

Here are a few options that may help you decide the best way to proceed:

1. Use the product to fill your Take Order

This is the best thing to do with your leftover product and works best if you still need to order product. If after entering all of your Take Orders in the system you need 10 Butter Microwave and you have 4 in your inventory, then just reduce your order by 4 and just order the 6 Butter Microwave you need.

2. Adjust your final order

If your Council allows only full cases of product to be returned, but they can be open cases, then adjusting your order may be your best option. Let's say you need 4 Butter Microwave but have a full case leftover. It is better to return the case and then place a final order for the 4 Butter Microwave you need. This way you are not left with product.

3. Trade or Swap with another Unit

If you have a lot of a particular product leftover, contact your District or Council Popcorn Kernel to find out if there are Units that may need to order this product. This is a Win/Win. You get to get rid of your product and the other Unit gets their product earlier. Remember, you must go through your District or Council Kernel for this transaction so the proper credits and debits are recorded and your final invoice adjusted.

4. Continue to sell

Just because the Popcorn Sale is over does not mean you have to stop selling. I understand at this time of the year most people are tired of popcorn. However, one more weekend sale may be just what you need. In my Council, they do not allow returns of Chocolate product. So if we have leftover Chocolate product, we have to keep it. What I have seen work best is to have one last Site Sale in front of a grocery store with all of your leftover product. Have a large sign saying "Final Day". If you still have product leftover, offer it to the parents in the Units at a 30% Discount. While the Scouts will not receive any credit for prizes or commission if you reduce the cost, the Unit will not lose money.

I hope these idea help reduce the risk of having leftover product at the end of the sale. Remember to record your returns as it will be valuable information for next year's Popcorn Sale.

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Wednesday, October 23, 2013

How Should Units Allocate Popcorn Sales for Store Front Sales

teacher_and_student_11776Parents from around the country have ask me. “What is the best way to allocate the sales from the store fronts?” My answer has been “It Depends.”

The two main considerations when determining what method your Unit should use. The first is your Council Incentive Program. Many Councils around the country have incentives based on either the number of containers sold, number of customers which bought, or particular dollar amount sold. If containers or customers are the main incentive criteria then the Unit will want an allocation system to account for this. If dollars are the incentive, then finding the best way to split the sales are important. The second consideration is equity. Units must determine the most equitable way to divide the sales while making it easy to track.

Below are a few ways I have seen allocations for Store Front Sales with some advantages and disadvantages:

Direct Scout Allocation

This method is exactly as it states. The Scout gets credit for the actual product he sells. This format is easiest when there is only one Scout selling at a store front. If there is more than one Scout at the store front, then have the sales alternate between the Scouts. One Scout gets the first sale then the second Scout gets the next sale. As far as Military Donations goes, as soon as you reach the appropriate dollar amount to place a Military Order, the next Scout places the order on his order form. It is his sale and the next sale goes to the next Scout. The easiest way to track this is using the order form. As they make the sale, write it on the form. It is import to make sure the total dollar amount per Scout at the end of the shift is similar so it is equitable for all concerned. I have found that dollar amount tend to be within $5 of each other. If it is not then even it out.

Advantages
  • Easier to track every item sold and apply it directly to a Scout
  • Easier to track inventory
  • Better salespeople get credit for their effort
Disadvantages
  • Sales can vary between shift, location, and date of sale
  • Better salespeople do better
Scout Hours Worked

This method is based on giving all Scouts credit for the number of hours worked. Units take the total product sold for all store front locations and divide it by the total number of man hours works. For example, if the Unit sells four days with 8 hours worked each day and two Scouts selling at all locations you have 64 total man hours. Let’s say the Units sell $3200 total product at all location sites. Using this example, each Scout would receive a $50 credit per hour they worked. If a Scout worked more hours than others, they would get the appropriate credit for the number of hours they worked. Remember, it is important to keep all Military Donations separate, divide them up appropriately and place the orders.

Advantages
  • Do not have to track sales by shift or day
  • Easier to track inventory
  • There is no advantage to which time slot or day a Scout sells
Disadvantages
  • Better salespeople do not get more credit
  • Scouts do not know how much they are credited until the end of the sale
Modified Sales Tracking

Just as it states, this method is a combination of the two methods above. Usually this takes one item into consideration to give more credit to higher performing Scouts. As an example, Units can take the Scout Hours Worked method and track this by shift or day. For example, If you had 4 two-hour shifts at a location with two Scouts per shift and you sell $1600, then those Scouts would get $100 per hour. If on the next day using the same shifts and location the Unit sells $800 then those Scouts that sold on that day would get $50 per hour. The split can be done by shift, day, or location.

Advantages
  • Better sales people get credit for their effort
Disadvantages
  • Sales can vary between shift, location and date of sale
  • Fewer Scout sign ups later in the sale
  • Often have to create a separate Unit spreadsheet to track sales
Every Unit has different needs based on Council Incentives and what makes it easiest to track. Units should make their determination based on their needs and how detailed they want to get when giving credit to Scouts.


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Tuesday, October 15, 2013

Why the Scout Should Finish the Sale

bull_by_the_horns_9518An interesting thing happen to me this last weekend as I went to the grocery store after church. I found a great teaching moment for all Scouts. Before I tell you what happened, let me tell you more about the normal experience at Show and Sell.

We have a standing policy in our household which we have had for the past 17 years. I will buy popcorn from every Scout in a well-kept uniform who asks me. I have announced this at Council Kickoffs, Committee Meetings and other Scouting functions throughout the country. I find it amazing that I have never had a Scout knock on my door to sell me popcorn. But, I digress.

I expect when I go to a grocery store over the weekend during the Popcorn Sale, I will see a Scout at the door and I plan to buy. I acknowledge the Scout by saying ‘Good Morning’ or ‘Good Afternoon’, and I expect them to do the same. I do this to help the less experienced Scout build confidence. Oftentimes, a Scout feels more confident about selling to a person they know than a total stranger. For many Scouts a simple ‘Good Morning’ is enough for them to feel they know the person.

If they ask me to buy popcorn as I am walking in the store I tell the Scout to ask me as I leave. The main reason is I do not carry much cash on me and I am not prepared to buy at that point. I will get cash back in the store. In addition, it is important to teach the Scout to be courteous to all the customers entering the grocery store. We want to be able to use this same location next year. Many stores have a policy that customers can only be asked by a not-for-profit as they leave the store so as to not make their customers uncomfortable. Check with your particular location.

I always ask the Scout several questions. I ask what the money is for and what his goal is. I feel it is important for him to know why he is selling popcorn. I then ask what his favorite item is. This tends to get them talking more and again builds their confidence. Finally, I ask them if there is something they would recommend. I typically buy an item between $10 and $20 dollars based on how well they answer the questions.

Now to what happened this weekend.

My family walks up to the grocery store after church in our ‘Sunday Best’. At the front entrance was a Tiger Scout and his father with a small selection of items on a table. I say ‘Good Morning’ and the father nods his head. The Tiger Cub did not know I was there. That is to be expected as it was probably toward the last half of a shift and Scouts at that age do not typically have a long an attention span. We went into the store to buy what we needed before the football game started. I got cash back so I was prepared to buy an item as we left.

As we walked out the door, I looked at the father and son directly in the eye waiting for them to ask me to buy popcorn. However, neither of them said a thing. I hesitated to give them a second chance, but the father just nodded his head with is hands behind his back behind the table. The Tiger Cub just stood there. My wife asks them how they were doing and the father said “OK.” That was it. Neither one ask us to buy popcorn. I looked at my wife and we went to the car to go home.

The moral to the story is the Scout must ask for the sale. It is not enough to just show up and expect things to happen. One must make things happen. Most sales training seminars talk about finishing the sale by “Making the Ask”. Even the most experienced sales person will not get the sale if they do not ask for it. A Scout needs to finish the sales process and ask for the business. For ideas on how to ask, please read my previous blog. Good luck and finish strong.

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Tuesday, October 8, 2013

What Units Should Do Halfway Through Their Popcorn Sale

hit_target_date_anim_9808For many parts of the country, the Popcorn Sale is in full force. However, it is important to see how things are going with the Scouts in the Unit. Here are few reasons why people should follow the sale and ways to keep the sale going.

Momentum – For those that had statistics in high school or college, you may be familiar with an inverted bell curve. With Popcorn Sales, this refers to Scouts selling a lot of popcorn at the beginning of the sale, not as much in the middle of the sale, and then ramping back up to sell more at the end to get that final prize they want. It is important to have a mid-sale incentive to keep Scouts on track and avoid the big dip in the middle of the sale.

Inventory – It is important to have a good record of your inventory throughout the sale. People tend to buy different items as Scouts go Door-to-Door then if they see the Scout in front of a store. In addition, Units need to know if they need more or less inventory than they currently have on hand. Units also need to know that all of the larger priced items they ordered are going to be sold. I recommend delivering larger priced items as soon as possible. It makes the customer feel special that they received their popcorn early.

Payment – If your Unit takes checks as payment, it is important to get the checks in the bank as soon as possible so that the checks can clear. In addition, if there is not sufficient funds in the customer’s account, there is still significant time to collect these funds.

Ideas to help your Mid-Sale Push:
Prize for hitting the Mid-Sale Goal by a certain date. If your Unit’s per Scout goal is $500 then have a small prize for hitting $250 by the second week of the sale.
 
Prizes could include:
  • Small item like a special neckerchief slide or mini-flashlight
  • Activity like going to a pumpkin patch or corn maze
  • Drawing for only those Scouts that reach the Mid-Sale level
  • Ice Cream Social
Hold your Blitz Day in the middle of the sale instead of at the beginning. A Blitz Day is a coordinated day for the entire Unit to sell. Have this be in a location other than the neighborhood the majority of Scouts live so they are not hitting the same houses. Set a Unit Goal for the Blitz. Reward all the Scouts that participated if the Unit reaches the Goal like a pizza or bowling party.

I hope these suggestion spark an idea to help you as your Unit continues to sell popcorn. Good Luck!

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Tuesday, October 1, 2013

Door Hangers to Help While Going Door-to-Door

Popcorn Door Hanger pictureAs my son and I were delivering popcorn this week, I realized that I had not shared with everyone a key piece of information.

Several years ago, we created a quasi receipt to give to customers. It included not only the product they ordered and the amount it cost, but a phone number and website address for them to order more with a deadline. We taped this receipt to every container delivered. We wanted to give customers that bought the opportunity to buy more for family or friends. By having the deadline date we were still able to get the order in before the due date and deliver the product.

The next year we were trying to deliver product customers ordered and found many not home. We realized we needed to leave them something to let them know my son had tried to deliver their popcorn but they were not home. So we created another 'door hanger' to leave at the door. It included a date we would come and try again to deliver the product and if they still owed money for the product. This form reduced the time it took to deliver the product which helped us out tremendously.

This year, as my son and I were going door-to-door, we found more than half the houses had nobody home. In the past we had tracked which houses these were and went back another day. He has a higher personal goal this year so, he decided to change his tactic. This year he left a door hanger letting the household know he had stopped by and if they wanted to buy popcorn to just give him a call. I was surprised to the number of households that actually called.

Because of this, I have added another web page with a link to these three "Door Hangers". There are two different versions: One for Units that take credit cards and one for those that do not. We have found that printing these door hangers in different colors on slightly thicker paper or card stock helps them stay in the crack of the door and give a better perception of what is being sold. Below is a link to this page to download these door hangers. Good Luck!

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Tuesday, September 24, 2013

The Popcorn Sale Starts When the Customer Says ‘No’

stick_figure_check_cancel_7071The ability to overcome objections a customer may have is the sign of a good salesperson. Usually when a customer has an objection, what they really are saying is ‘I need more information’. Below are some common objections and possible responses to those objections:

I cannot eat popcorn…

That is OK. You can still support us and the Military by buying popcorn to send to troops overseas. Popcorn also makes a great gift for someone else. We also have Pretzels you may like. Which one works best for you?

Popcorn is not healthy…

Many snack foods can have lots of fat, but many of our products have less than half the calories of potato or corn chips. Plus, popcorn is high in fiber. Which one would you like?

The price is too high…

You are right. The price is about the same as buying popcorn at the movies. However, 70% of the proceeds go back to local Scouting, so you can feel good about buying the product and helping your local community. Which one would you like?

We already bought popcorn…

Great and Thank You! After trying the product, many of my customers find they would like to send some to family, friends or to military troops overseas. Do you have someone in mind that would this DELICIOUS popcorn?

I do not have any money on me…

That is OK. We take all major debit/credit cards. Which one would you like?

I am allergic to nuts…

I am sorry to hear that. I have a relative/friend that has a similar issue. They help me out by placing an order for our Military troops overseas and in VA hospitals. At what level would you like to place an order for our troops?

I do not support the Boy Scouts...

Thank you very much for listening to me. Have a good day.

As you can see, not every objection can be overcomes. However, it is important to be polite and represent the brand of the Boy Scouts. I hope this gives you some ideas as to how to respond to customers when they present you with an objection. Good luck with your popcorn sale.

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Tuesday, September 17, 2013

Why the Individual Scout Needs to Know Why 'He' is Selling Popcorn

stick_figure_question_answer_4302Never was it more prevalent to me why it is important for the individual Scout to know why he is selling popcorn than what happened with my son and me last weekend.

My son and I are in our sixth popcorn sale this year. I, like many parents, have seen him grow in his confidence and selling ability over the years through the popcorn sale. He has learned to “Be Prepared" by knowing all of the products, contacting his previous customers that bought last year, and planning where he will sell this year. He then picks an item he wants to buy and what level he needs to sell to get the gift card from the Council prize program to buy this item. Over the years my son has sold between $1500 and $2500 and is usually the top seller in his Unit. Last year was his highest selling year as he was raising money to go to the 2013 National Jamboree at the Summit. This was the big ‘WHY’ he was selling. He raised the money and had a great time at the Summit. He looks forward to going back in four years either as a camper or as staff. I had a fear by him going to the National Jamboree it might make all the other activities in Scouts look small in comparison and after this weekend I may be right.

I am not stating how much he typically sells to brag, but to truly emphasize the importance of knowing why each individual Scout is selling popcorn.

This last weekend my son and I started to go door-to-door to sell popcorn like we have the last six years. My son’s Unit practiced a sales script which was presented at the Unit Popcorn Kickoff just 5 days prior and he had memorized the script. He went to the first door and for the first time I can remember, he froze when the person came to the door. He looked at me and I pointed to his order form. He had a look in his eye of confusion. He turned to the person at the door and stated the script he had memorized. The person kindly said no and closed the door. He turned and looked totally discouraged.

He looked at me and said, “Why am I selling popcorn?” I stated he needed to pay for his way to camp and to do all of the other things he wanted to do this year in Scouts. He responded, “I was planning on being on staff at camp next summer. So, why am I selling popcorn? The script doesn’t feel right because it is not the reason I am trying to raise money. Last year was easy because I was raising money to go to the National Jamboree. I do not need the money this year.”

I realized at that moment he did not have a good reason to sell popcorn.

I knew that having a reason why you are selling popcorn is the best way to being successful, so we stopped after just one house. My son and I went to the local Starbucks where I bought him a hot chocolate and we started to talk about what activities he still wanted to do both inside and outside of Scouting over the next couple of years. He created a list and then circled the items he could do in the next year. One item caught my attention. He wanted to go back to Yellowstone National Park. Last year, my son and I stopped by Yellowstone for a day on our way back from Mount Rushmore for Independence Day. However, this was listed on activities outside of Boy Scouts. I said we should invite his whole patrol to go to Yellowstone. His patrol usually goes on a 4-5 day hiking trek every summer somewhere within a days drive. I said the only thing that stops us from going to Yellowstone is having money for the gas to get there. All of the other costs are basically the same.

He now had his WHY.

He wanted earn enough money to pay for the gas and park fees to have his whole patrol go to Yellowstone next year. We went home so he could look up the information on the internet and get all of the costs and print pictures of what he wanted to do.

The next day we spent 4 hours going door-to-door and he filled his first order form.

I hope this story helps demonstrate the reason for each individual Scout to sit down with their parents or guardians to have the important conversation as to why they are selling popcorn. Remember to think outside of what you have done in the past and look for new adventures. This opportunity will help not only the Scout but adults as well.

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Scouts Should “Be Prepared” To Sell Popcorn

knocking_on_door_webIn many sales circles, it is recommended a salesperson has an “elevator pitch” ready at all times. An elevator pitch or speech is a short summary used to quickly and simply define a person, product, service, or organization and its value to the customer. The theory is this “pitch” should be no longer than it takes to ride and elevator. Typically this is between 30 and 45 seconds.

To prepare Scouts to sell popcorn, adult leaders and parents should help Scouts develop their own “elevator pitch” or script to share with customers. Below are three examples based on different scenarios a Scout may encounter:
 
Sample Door-to-Door Script
“Hi, my name is _______________ (say first name only).
 
I’m a Scout with Pack/Troop _________ here in _________ (city).
 
I am selling popcorn to help raise money to go to Scout Camp (or other major activity). By buying some DELICIOUS popcorn today, you’ll be helping me earn my own way to camp next summer and do fun things with my Pack/Troop all year long.
 
(Hand the customer the Take Order form and a pen and point out your favorite item. Make sure it is a $20 or more item).
 
You’ll help me, won’t you?”

There is some psychology to script above.

It is important to introduce yourself to the customer. People respond better if they have a name to the face. It makes the interaction feel more personal. In addition, identifying the Unit and City is important. It makes the customer feel as if it is their local Unit they are supporting. The Unit location can also be used with the Charter Organization Name. This can be beneficial if the Charter Organization is well-known in the community. This approach is better with older Scouts as it may be harder to remember.

The second section speaks to why the Scout is selling popcorn. People are more likely to purchase a fundraising product if they know the reason why the Scout is selling. More about this can be seen in this previous blog.

Handing the order form to the customer is important. Again, people are more likely to purchase popcorn if they have the order form in their hand. There is a reason publishers put postcards in their magazines. The person handling the card must take action. Now more often than not, the person will throw away a postcard. They will not do this to a Scout that has handed them an order form. It is then important to point out the Scouts favorite product on the form and hand them the pen. It lets the customer believe the Scout knows about the product and leads the customer to a specific product. We will see more about this later.

Finally, the closing is vitally important. People do not like to be sold anything. However, people generally are willing to help a person in need. This line brings the focus away from the product itself and back to the Scout at the door and the customer is less likely to say ‘No’.

Sample Show and Deliver Script
 
“Hi, my name is _______________ (say first name only).

I’m a Scout with Pack/Troop _________ here in _________ (city).

We are selling popcorn to help raise money to go to Scout Camp (or other major activity). By buying some DELICIOUS popcorn today, you’ll be helping us earn our way to camp next summer and do fun things with our Pack/Troop all year long.

I happen to have this item on me today (Hand the customer the Take Order form) or you can get any other item and I will deliver it in on __________.

You’ll help us, won’t you?”
 
This script is only modified slightly by adding the line about having a certain product on them. People are far more likely to purchase the product a Scout has on them then have to wait for the product. This also helps the person aiding the Scout transport the product around by having only a limited number of products on hand. Limit this to 2-3 items maximum. Make sure these items are $20 or more in value. People are willing to help the Scout, but most want to do this at the lowest possible amount. If you do not have a $10 item on hand, then the customer will be forced to spend more to get an item today.

Sample Show and Sell Script

“Excuse me ma'am/sir.

Hi, my name is _______________ (say first name only).

I’m a Scout with Pack/Troop _________ here in _________ (city).

I am selling popcorn to help raise money to go to Scout Camp. By buying some DELICIOUS popcorn today, you’ll be helping me earn my way to camp next summer and do fun things with my Pack/Troop all year long.
 
This product is my favorite (Point out an item $15 or higher).

You’ll help me, won’t you?”
 
Again, it is important to have the Scout lead with a higher dollar item. A person can always go down to a lower price item, but they are more likely to purchase the item they are showed first.

TRAIN YOUR SCOUTS – HAVE THEM PRACTICE

Remember the focus is on Scouting.

Focus on Scouting instead of the product. ”Will you support Scouting by purchasing some DELICIOUS popcorn today?” or “Will you help us go to camp by purchasing popcorn today?” Avoid asking if they would like to ‘Buy Popcorn’. If they just wanted to buy popcorn, they could get it cheaper in a store. People buy popcorn to support Scouting and the Scout in front of them. They do realize that they can get the popcorn cheaper at the store but realize they can’t buy the Scouting experience for a young person through store-bought popcorn.

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Tuesday, September 3, 2013

Best Way to Let People Know Why You Are Selling Popcorn

stick_figure_sitting_on_text_with_megaphone_buy_popcornWith most fundraisers it is important to let your donors (customers) know why money is being raised. I was reminded of this fact when the MDA Show of Strength came on the air this Labor Day Weekend. For many adults, this was previously known as the Jerry Lewis MDA Labor Day Telethon. For 45 years, famed comedian Jerry Lewis hosted a 20-hour television program with a cavalcade of stars that would perform and show their support for MDA. Throughout the broadcast they would show children that were crippled by this terrible disease and how the money raised for MDA helps with research and physical assistance for those in need. I felt the biggest tug to the heartstrings when they showed local people affected and then asked for your help.

Unfortunately, the MDA telethon has gone from the over 20-hour live format to a 2-hour taped-delayed format. Admittedly, MDA finds it more difficult to connect to the local community and raise funds like they have in the past.

While I do not want to equate the struggles of Muscular Dystrophy with those of the Boy Scouts, I do want to show how communicating the reason for fundraising down to the community level is important.

Show and Sell

Let’s start with Show and Sell because it is the easiest to explain. They say a picture is worth a thousand words. When setting up your display in front of the local grocery or hardware store, create a poster board about your Unit. Here are some elements of a good display:
  • Unit Number and City (The city name gives the indication that it is the customer’s Scout Unit)
  • Large Lettering (Recommended Letter height Ratio is 1”:10’ meaning lettering 1 inch tall to see at a distance of 10 feet, 2 inches for 20 feet, etc.)
  • Contrasting Colors for background and lettering
  • Pictures of the last year’s Unit events (Pinewood Derby Race, Troop Summer Camp/Trek, etc.)
  • Picture of a Service Project in which the Unit participates (Vitally important to show service)
  • Pictures of different things your Unit wants to do next year
  • Unit Goal (How much you are trying to raise to do all of the activities for the year)
Units should have the Scouts help in making this display. Incorporate either the Art Belt Loop (Cub Scouts) or the Art Merit Badge (Boy Scouts) for help in making the Unit Popcorn Display.

Take Order/Show and Deliver

To help Scouts going Door-to-Door either with or without product, it is best to have a handheld version of your Presentation Board. Include the same items that are on the Show and Sell Presentation Board, but limit it to a one-sided 8 ½” x 11” page. My recommendation is to get these either laminated or insert the sheet into a plastic page cover to keep them protected from the elements and getting wrinkled throughout the sale. Here is the trick when going door-to-door. Have the Presentation Sheet on a clipboard with the order form on top but not attached. When talking to the person at the door, hand them the order form while pointing out the items on the Presentation Sheet. It is natural that when a person has the form in their hand, they are more likely to buy the product. My son used this technique last year when selling popcorn to raise money to go to the National Jamboree. His presentation paper had the activities he wanted to do at the Jamboree like Whitewater Rafting, Zip Line and Scuba.

Having a Unit Presentation Board or Sheet helps not only the customer understand what the Unit plans on doing with the funds raised, but it also helps give the Scouts an easy point of reference with which to talk to their customers. It is much easier for a Scout to talk about something they have done in the past.

I know these items will help you and your customer find a reason to support the Popcorn Sale and the Boy Scouts. Good Luck.

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Monday, August 26, 2013

Final Steps to Take Before Your Unit Popcorn Kickoff

As many Units get ready to start their Popcorn Sale, the Unit Kickoff can be the best tool you have to start your sale out right. Here are a few items to consider before you conduct your Unit Kickoff

1. Create and share your Unit Annual Plan and Unit Budget

It cannot be emphasized enough the importance of knowing why you are raising money and how much your program is going to cost. However, that is just the first step. In addition to creating your Annual Plan and Unit Budget, you should determine a way to share it with everyone in your Unit. It is best to do this a day or two prior to the day of your Popcorn Kickoff so people have a chance to get any questions answered on an individual basis. Nothing bogs a meeting down more than trying to answer individual questions in a group setting.

2. Do some calculations

Determine your Unit Sales Goal. The formula is as follows:

Unit Budget Total / Commission Rate = Unit Sales Goal

For example, if your Unit Budget is $4,200 and the Commission Rate you receive in your Council is 35% then the formula is $4,200/.35 = $12,000 in popcorn your Unit would need to sell to have everything covered in your Unit Budget.

The next formula is the Goal per Scout. This formula is below:

Unit Sales Goal / Number of Scouts = Sales per Scout Goal

Using the previous example, if your Unit Sales Goal is $12,000 and you have 25 Scouts, then the formula is $12,000/25 = $480 per Scout in Popcorn Sales. This gives each Scout a Sales Goal. You can break this down further by dividing the Scout Sales Goal by the average cost of containers. For example, in the previous illustration if the Scout Sales Goal is $480 and the average cost per container is $20 then the formula is $480/$20 = 24 containers.

3. Decide on Unit Incentives

As mentioned in an earlier blog, Unit Incentives are key to bringing excitement to your Unit Popcorn Sale. Units with the largest popcorn sales spend on average 3% of their total popcorn sale on Unit Incentives. Once you decide on the incentives, create a flyer or other piece to easily share the Unit Incentives with the Scouts and their parents.

4. Have a theme

As with most programs done in Scouting, it is important to have something that ties the whole thing together. That is where a theme comes in. It does not matter whether the theme is Duck Dynasty, Mission Impossible, or Indiana Jones, Scouts of all ages remember more when they can tie it to something to which they can relate. Here are a few examples I found on YouTube.

Mission Impossible

American Idol

Boxing Champion

Good luck everyone with their Unit Popcorn Kickoff and good luck on your Popcorn Sale.

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Tuesday, August 20, 2013

4 Reasons Most Unit Leaders Are Not Successful With Their Popcorn Sale

freedom_breaking_through_wall_400_clr_7817They say the road to recovery starts with recognizing you have a problem. With this in mind, let’s look at the 4 reasons most Units do not succeed with their Popcorn Sale.

1. BELIEF In talking to Unit Leaders around the country about Popcorn Sales, I often get the “excuses”.

It is easier to sell a $1 candy bar.
It is easier for Cub Scouts, they are cute.
We already do too many fundraisers.
Nobody wants to help.
 
When you boil all of these justifications as to why a Unit does not do well, they all come down to “belief”. They do not believe in what they are doing. One has to believe that the Popcorn Sale is the best way to fund their entire Scouting program for the year. Henry Ford stated, “Whether you believe you can or you can’t, you are right.”

Before you can convince anyone else that something is possible, you must convince yourself. Do not let personal limitations transfer to other parents or more importantly to the Scouts you serve.

2. DON'T LIKE TO SELL

One limitation I consistently hear from parents is they are not sales people. They do not like to sell. What they do not understand is everyone sells. With every married couple, one person sold the other to "forsake all others" and be with them. Every person that has a job had to sell their employer to hire them over everyone else. Someone sold you on being a volunteer to help with Scouting. We all sell.

What they are really saying is I have not been successful in the past and do not want to try again. It is interesting that this is largely an adult phenomenon. Rejection can build up throughout a person’s lifetime to the point that opportunity is replaced with fear. If you say to a 7 or 8-year-old to go door to door and sell popcorn to strangers and be successful, most of the time they will not have a problem with it. With a little practice they can spout the best sales pitch with confidence. If there is one common thing I hear from parents on what they like best about the popcorn sale, it is how much they have seen their son grow in their confidence over the years. For more reasons on why Scouts should sell popcorn (other than money) go here.

3. DO NOT HAVE A PLAN

It does not matter if it is the Unit or the family, they must all have a plan. I am sure we have all heard the horror story about the leader that stand in front of a Unit and says, “Well, it is popcorn time again. Here are the forms. Bring them back at the next Pack Meeting.” That is not a plan.

The Unit needs to create the reasons for doing a fundraiser, translate that into a budget and transfer it into goals for each Scout. The Unit must teach the family how to reach that goal through family goal setting, sales training and providing opportunities to sell. Finally, the Unit needs to monitor the progress of each Scout and reward them for their efforts.

4. COMMUNICATION

Leaders need to be able to overcome their own beliefs, limitations, and bias to communicate to others all the aspects of the Popcorn Sale. Use all of the tools necessary to share information about the sale to the parents including why your raising money, how to sell and when and where to turn in the order forms and money. In addition, this communication needs to be consistent throughout the sale. As in life, we only affect the things we track. Leaders should use not only their preferred method of delivering the message, but the preferred method of the receiver. This way nothing is missed.

Once a person identifies and comprehends the challenges to being successful, it is much easier to overcome these obstacles. Once leaders understand that their own limitations are not the limits of others, they can truly travel down the path to success.

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Tuesday, August 13, 2013

What to Consider (and Not) When Ordering Show and Sell Product for Your Popcorn Sale

Order NowIf you are in a Council that does not do Show and Sell, you are in luck. You can wait until the end of the Popcorn Sale to place your order. If not and your Unit is going to do Show and Sell/Deliver, it is time to prepare for your initial order.

What factors go into determining how much product you should order? Here are 6 things to take into account (and one item not to consider) when preparing your Popcorn Order:

1. Unit Budget

As has been stated many times, Units should know how much their program costs and then determine how much one needs to sell to meet their goal. Units need to have as few fundraisers as possible and still meet their overall budget. They must know how much of their overall revenue is coming from the Popcorn Sale.

2. Number of Hours You Are Going to Sell

Selling hours consist of the number of locations and the number of dates you are selling. In trying to determine the amount of product you need, $100/hour is a conservative estimate of Show and Sell Product Sales. If you are selling for 4 hours on Friday, 8 hours on Saturday and 5 hours on Sunday at a location, then your Unit will need at least $1700 of product for the weekend. The more locations and dates you have, the more Product you will need.

3. Show and Deliver Participation

If your Unit does Show and Deliver, commonly known as the Red Wagon Sale where a Scout takes product door-to-door to sell, then there are two factors to consider: Number of Scouts participating and the Product you want Scouts to sell. I recommend Scouts having a limited variety of product. It is easier for a Scout to walk to a door with an order form and say, “This product will arrive in a few weeks. However, I happen to have this item on me (pointing to a product $20 or more).” Customers are far more likely to purchase the item the Scout has on hand. Remember, your total Show and Deliver product is in addition to the product needed for the Show and Sell locations.

4. Product Mix

Understand from a marketing standpoint, Show and Sell locations are an impulse item. Because of this, people will usually buy at the lowest amount possible. Normally, this means you will sell more $10 items than $20 items. In addition, customers usually stick to a certain product. Microwave popcorn people buy microwave popcorn, cheese-lover people buy cheese popcorn and so on. Every part of the country is a bit different. Ask your local Council for the product mix percentage of what sold last year and a recommendation for this year to get a fair product mix. 5. Initial Take Order If your Council starts their Take Order Sale prior to the Show and Sell, encourage Scouts contact their customers from last year that purchased items $30 or more. Have Scouts get their orders and include them in the initial delivery. This way, Scouts’ “best customers’ get their product early. They then can go back before the sale is over and sell to them again.

6. Council Return Policy

Units must understand their Council’s Return Policy. Some Councils have restrictions on the amount Units can order, have a restocking fee for product returned, or a bonus if no product is returned. In addition, some Councils only allow returns of full and/or unopened cases. Make sure you understand the return policy in your Council and take that into consideration when placing your order.

What is the one item you should not factor into your Show and Sell Order…The Amount Your Unit Sold Last Year.

This may be a surprise to some people.

If there is one constant in life (and Popcorn Sales) is change. Unit Budget, Unit Membership, Council Policies, and the way a Unit sells are just several items that change from year to year that can drastically change what a Unit does for their initial popcorn order. Using last year’s sale to figure out a basic product mix may help but with changes in product mix every year it is better to get this information from your Council.
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Tuesday, August 6, 2013

Need Help Organizing Your Popcorn Sale? Ask a Scout!

position patchesMany adults get leery about volunteering to help with the Unit Popcorn Sale. The main reason is the amount of time and effort that goes into a sale, especially if there is just one adult in charge. In a previous blog, I spoke about recruiting different adult volunteers to handle items such as the Unit Kickoff, Distribution, Site Sale Location, and Prizes. However, one of your biggest helpers is the Scouts themselves.

The 2013 Guide to Advancement describes the “Four Steps of Advancement” and the Scout in this way. “He learns by doing, and as he learns, he grows in his ability to do his part as a member of the patrol and troop. As he develops knowledge and skill, he is asked to teach others; and in this way he learns and develops leadership.” It goes on to say, “Scouting skills—what a young person learns to do—are important, but not as important as the primary goal of personal growth achieved through participating in a Unit program. In addition, the theory of “Boy Run Units” can be implemented through the Popcorn Sale.

Cub Scouts can help in the same way Boy Scouts instruct with older boys teaching the younger ones. Webelos can help teach Tiger Cubs about how to look a person in the eye, say please and thank you, and how to help with filling out the paperwork. Boy Scouts and up can have a much greater role. I encourage every Boy Scout Unit to create a NEW Youth Position called the Popcorn Chief. In essence, this is a combination of the Scribe and an Instructor with the sole focus of Popcorn Sales in the Unit. A Scout could also use this role to “carry out a Scoutmaster-assigned leadership project to help the unit” which is a requirement for Star or Life Rank.

Here are some ways the Popcorn Chief can provide Leadership:
  1. Be a representative on the Unit Committee regarding the selection of Unit Incentives
  2. Teach other Scouts the proper way to conduct their Sales Pitch
  3. Promote all the methods of selling in his Unit
  4. Help with the Unit Kickoff
  5. Collect the Order Forms from Scouts
  6. Help Unit Kernel with entry of orders
  7. Help with Pick-Up and Distribution of Product
  8. Help with the collection of money
For a complete Job Description for the Popcorn Chief position, download the Job Descriptions Document for all Unit Popcorn Positions here.

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Tuesday, July 30, 2013

The Best Item to Keep All Scouts Motivated During the Popcorn Sale

prize buttonAs I travel around the country, Units have asked me this question, “If there is one thing that will motivate Scouts (and parents) to sell popcorn, what would that be?” The answer can be said in one word…Incentives.

Recently, the Top 100 Units in each of the four Scouting Regions were asked to complete a survey. These Units averaged just over $28,000 in sales. In this survey, the question was asked, “Outside of the Prize Program or other Council sponsored prizes, did your Unit offer additional prizes or cash to Scouts for the Popcorn Sale?” Of these Units, 82% stated they offered their own Unit-level prizes.

I asked these Units why they offered their own Unit incentives. Here are the four most common responses:
  1. Immediate Recognition – As we know from the Scouting Advancement program, Scouts prefer to receive recognition as soon as they earn it. If a Scout meets a certain goal by the end of the day, giving some reward at that moment provides the Scout a sense of accomplishment. In addition, the Scout did not have to ‘wait until December or later’ to receive his prize.
  2. Increases Likelihood of Getting a Prize – Many Councils conduct a drawing if Scouts “Fill a Form” or sell a certain dollar amount. However, depending on the number of Scouts that are eligible, the chance may be slim. Scouts have a higher probability if they in a drawing with just Scouts in his Unit instead of the entire Council.
  3. Increases Team Morale – Some Units offer a special reward or activity which everyone can receive if the Scout or Unit reaches a certain level. Most Units have charts to show the progress toward the goal. In addition, these charts encourage those Scouts that are behind or not participating to do their part.
  4. Wanted Better Quality Prizes – Some Units did not like the Prize Program being offered by their local Council. They felt prizes at the lower levels were not of good quality and felt they could do better. In addition, some Councils do not offer a Prize Program. Top Selling Units from this survey created their own Unit Prize Program to provide incentives for their Scouts.
In this same survey of the Top 100 Units in each Scouting Region, a follow-up question was asked. “If Yes, what percentage of your Gross Sale did your Unit spend for these additional prizes?” The results are surprising.

Incentive Chart

The majority of Units allocated 1%-2% of their sale toward Unit prizes. However, these Units sold on average $28,000. This means even these Units allocated $280-$560 for Unit Incentives.

At the other end of the spectrum, there is 12% percent of Units that allocated 5% or more of their Gross Sale toward Unit Prizes. This equates to $1400-$1960.

If you want to get as many Scouts (and parents) motived about the Popcorn Sale, I recommend setting aside a minimum 3% of your Gross Sale for Unit Prize Incentives. These incentives could be Individual Scout Incentives, a large Unit-wide incentive or a combination of both.

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Tuesday, July 23, 2013

6 New Ways to Communicate To Customers You Are Selling Popcorn

Rotary PhoneToday the National Jamboree comes to an end. This was touted as the “Most Connected” Jamboree in history. It got me thinking about the changes in way people communicate.

I was fortunate enough to be on the OA Service Corps at the National Jamboree in 1985. At the time OA staff stayed in barracks at Ft. A.P. Hill. My parents sent me with a phone card. Fortunately, we had a pay phone in the barracks to call home. Of course, I only called to let them know I arrived and to tell I was alright after the remnants of a hurricane hit the Jamboree site. The only other way to connect with my parents was to send them a letter. The only other way my parents knew what was going on at the Jamboree was to read the newspaper and hope there was an article or perhaps see a spot on the evening news. What a difference a generation makes.

This year, I sent my son with a smart phone so he could call if he wanted. He text me a picture on occasion and even sent me video of the fireworks ceremony. I was able to watch the Opening Ceremonies on JamboLive.org and I even sent his Unit a tweet which was shown on the big screen for all to see. I have read every blog from Bryan on Scouting and emails from his Unit Leaders at the site.

This got me to thinking of how communication (and how we sell) can change the Popcorn Sale.

The first step of marketing any product is the customer must know you exist.

Most Units rely on one or perhaps two methods of communicating to others about the sale. The only method of selling was to take the Order Form door-to-door and sell customers popcorn. Think of this as the newspaper of old. If you did not get the newspaper then you did not know about the sale. Many Units still rely on this one method to let others know about the sale. Your Council may offer Units the ability to sell product at their local grocery store. I call this the “commercial method”. It is like commercials on television. A person has to be ‘watching’ a specific channel at a specific time and hope it is not ignored. While a form of mass communication, this method relies more on the chance that a customer is going to the grocery store at the exact time you will be there. With this in mind, I offer six other methods to help Units communicate they are sell popcorn.
  1. Advertise your location site – Ask your location site if you can put up a poster on the Monday before your Unit is scheduled to be at the site. This lets more people know your Unit will be at that location.
  2. Create a database – Collect all previous order forms and enter that information in a simple database. Once the sale starts, pull out the database and start contacting your previous customers. These are the easiest sales a Scout can make.
  3. Facebook – Create an Event on Facebook telling your friends about the popcorn sale. This is better than just a post as it requires a response from the friend.
  4. Twitter – Use Twitter for two things. Tweet out when your Unit will be at their location site and ask others to share. In addition, tweet out the information about how others can buy online. Build a tweet that customers can post after they have purchased a product online showing others how they can do the same.
  5. ‘Sorry, I Missed You’ Hanger – My son has used an item he places on the door of houses when no one is home. It gives information about when he will be by again and how to order sooner if the customer wishes.
  6. Create a website – The top online selling Scouts have all created a personal website. It has information about the Scout, activities, and product. In addition, it is easier to tweet out a web site link.
These are just a sample of the many ways to communicate the sale to your customers. I hope this provides a start to thinking of additional ways you can use to promote your Popcorn Sale.
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Tuesday, July 16, 2013

3 Ways Popcorn Helped My Son Attend the National Jamboree

Jamboree ExitWith the Opening Ceremonies of the National Jamboree starting today, I reflect on how my son was able to afford to go on this great adventure.

1. Start with a Goal I originally did not think my son would want to go to the National Jamboree. When we first talked about the Jamboree in April of 2012, he was 12 years old and still working on his First Class Rank. He was not sure he would enjoy himself because he would not be old enough or big enough to do most of the great activities. Then a friend in his Boy Scout Unit said he was going because the vast majority of activities had no restrictions. He came to me and asked me if he could go. I made a deal with him. If he could pay for half of the Jamboree cost ($2700 in our Council), then I would pay for the other half. If he earned more money, then he would have that as extra spending money while at the Jamboree. He figured he needed to sell over $3000 in Popcorn to go. The challenge was set.

2. Break the Larger Goal into Manageable Pieces My son broke down the goal into weekly amounts of $500 per week. In 6 weeks he would have his total amount. Based on how much he sold per hour the previous year, he thought it would take him 3 hours going Door-to-Door each weekend or 10 hours at a Show and Sell location each weekend sharing the sales with another Scout to reach his goal. He tracked his progress against his weekly and daily goals.

3. Start Strong As Soon As Possible My son wanted to get a head start on the sale, so he signed up to sell popcorn online, sent emails, set up a Facebook Event and sent tweets to friends asking them to share it with their parents. He sent me an email and I forwarded it to people in my contact list to also help him get a better start. He then pulled out his previous order forms and we went to every person that purchase an item more than $25 and asked them if they wanted to buy the same item again. About ¾ of people who purchased these large items in the past bought the same thing again. Finally, he contacted several organizations (Chamber of Commerce, Rotary Club, American Legion, etc.) and asked them if they would help him go to the National Jamboree by allowing him to make a presentation to sell popcorn to individuals in their membership. He was able to sell about $350 at each presentation he made. By using these methods he sold nearly half his goal in the first week.

Needless to say, my son reached his goal plus some and I had to fulfill my end of the bargain. I am proud to report he is having the experience of a lifetime at the National Jamboree. Check out the daily video here. Now he is setting his sights even higher as he wants to go to the 2015 World Jamboree in Japan. At least he has two years of selling popcorn to raise the money for this trip and so do I.

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Tuesday, July 9, 2013

10 Reasons (Other than Money) Why Your Scout Should Sell Popcorn

Life Skills
We all know that Popcorn Sales help provide funds for Scouts to help them with their program, but there are many life skills a Scout learns by participating in the Popcorn Sale. Here are the top ten:

1. Self-Confidence

I believe this is the number one reason a Scout should participate in the Popcorn Sale. As I have travelled around the country, I consistently get comments from parents as to how the Popcorn Sale has helped their son overcome their shyness. They see the growth in a Scout from the time they were a Tiger being cute and just asking if someone wants to buy popcorn to the Webelos Scout that knows everything about the product and is not afraid to talk to a stranger.

 2. Teamwork

Many Units offer bonuses for the top seller den or patrol. Units may also set up their own Unit Incentives where if the Unit achieves a certain sales goal, the Unit will get additional supplies like a new Pinewood Derby track or ‘Class B’ T-shirts. In addition, many Councils have extra commission incentives if a Unit reaches a pre-determined sales goal. All of these incentives center on all the Scouts participating in the Popcorn Sales and doing their part for the team.

3. Goal Setting
Most Councils have a prize at different levels associated with the Popcorn Sale. If a Scout wants a certain item or dollar amount they have to reach a certain sales goal. By working backwards, Scouts can determine that total amount of items they need to sell to reach their goal. 

4. Time Management
With Goal Setting also comes time management. Once a Scout knows how much they need to sell to reach their goal, they should determine the average sales per hour. This will help them figure out how long it will take to sell the number of containers to reach their goal. 

5. Salesmanship
Whether people want to admit it or not, everybody has to sell. They either have to sell a product or service to a customer or sell themselves when trying to get a job. Knowing how to approach a person they do not know and explain with confidence their product is one part of salesmanship. The other part involves understanding how to overcome an objection from a customer and cross sale additional items. As with everything else in Scouting, the Popcorn Sale provides an opportunity for Scouts to make mistakes in a safe environment and learn from them. In addition, there is a Salesmanship Merit Badge Boy Scouts can earn by doing multiple aspects of the Popcorn Sale. 

6. Promotes Scouting
Seeing Scouts in uniform throughout a community lets people know that Scouting is still relevant in their area. While we still want people to know about the service projects and other activities Scouts do throughout the year, for many, the Popcorn Sale is the only time a person will see a Scout face-to-face.

7. Counting Money
Take it from a former Bank Manager, counting money is a skill. I have fired my share of people because they could not balance their till. The Popcorn Sale is a time that allows Scouts to count currency they may not otherwise have the opportunity to experience. It teaches basic math and identification skills. In addition, it teaches Scouts that they can be trusted with money.

8. Proper Manners
Selling Popcorn is a perfect opportunity to teach Scouts how to introduce themselves. Saying “Excuse me ma’am/sir”, “Please” and “Thank you” are attributes associated with the brand of a Boy Scout. In addition, there is a Good Manners Belt Loop and Pin for Cub Scouts.

9. Public Speaking Being able to look a person in the eye with a prepared, memorized script is vital to being successful in many areas of life. However, it is more than that. Public Speaking is about presenting yourself to others. Having a clean, maintained uniform is important as well as proper hygiene. Taking pride in your appearance is part of Public Speaking.

10. Self-Reliance
It is one thing to have the money to pay for whatever you need. It is another to know that you have earned the money yourself. Scouts take pride in knowing they can ‘fend for themselves’. Scouts also value items more if they have to pay for it themselves. My son seems to take care of stuff that he paid for with “his money” more than the items I buy for him.

Scouting is designed to develop youth into functioning members of society. It is important for all Scouts to learn these life skills.

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Tuesday, July 2, 2013

Why the Standard ‘Car Wash’ Rarely Works as a Fundraiser

Car WashYou are driving down the road and see a teenager with the sign that says “Car Wash”. If you are like most people, you are not likely to turn the wheel to get your car washed, even if you need it. The question is why. If you are like most people I ask about this scenario, they respond, “I do not know what they are raising money for.”

Giving the customer a reason for conducting a fundraiser is vital to the success of any fundraiser, including Popcorn Sales. The ‘Car Wash’ is a commodity. A person can go to many locations to get a car wash. However, they are willing to spend the same amount or more if they know what the money is going for.

A great example of this is in my son’s Unit. Our Unit has been within $1000 of reaching their FOS goal for several months. We asked for additional donations with no luck. Three weeks ago, one of our Assistant Scoutmasters took a turn for the worse in his battle against cancer. The Scoutmaster, in his wisdom, wanted to pay tribute to him by donating a $1000 James E West Award in his honor. He sent out an email to the adults in the Unit soliciting donations for this award and within 3 hours raised over $3000 to honor him. We presented the Award at our Court of Honor 3 days later, and there was not a dry eye in the room. Unfortunately today, Steve lost his bout with cancer and our prayers go out to his family. You can read more about Steve here.

The point I am trying to make is having a reason why the customer should “buy” a product is just as important as the product itself. Scouts should know what their reason is for the Popcorn Sale. This reason is different for each Scout. For many, that reason may be to pay their way to camp. For others, it is to have an experience they would not otherwise be able to attend like the National Jamboree or Philmont.

“How do you do this?” you may ask. When going door-to-door, create a page with pictures that show what activities or items on which you will spend the money. I recommend laminating the page so that it can be used by multiple Scouts and multiple times. For example, Troop 214 in Anchorage, AK made pages that showed the summer camp in Hawaii they planned on attending. If you are doing Show and Sell, have a poster that shows all of the activities the Unit is going to do the next year. This can also be used as a recruiting tool.

By the way, if your organization is going to do the “Car Wash”, please put on the sign why you are raising the money.


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Collecting Donations May be Bad for Your Popcorn Sales

Penny Jar
Units often place a bucket out to collect cash donations at their Show and Sell locations. I am often told Units want to give a person the option of giving money especially if they do not what to actually purchase popcorn for health or medical reasons. However, collecting these donations may be affecting the overall success of your Popcorn Sale. Here are a few reasons why:

1. Collecting Cash Donations for your Unit is against BSA Policy – The Unit Money Earning Application states the following:
 
“Youth members shall not be permitted to serve as solicitors of money for their chartered organizations, for the local council, or in support of other organizations. Adult and youth members shall not be permitted to serve as solicitors of money in support of personal or unit participation in local, national, or international events.”
 
Units cannot collect cash and put it into their Unit or Scout Accounts. There must be a product of service offered in exchange for their contribution. So you may be saying, ‘What about Military Donations?’ Unfortunately, the term ‘Military Donation’ is improperly used. The term should be Military Order. Units should place a Military Order for all cash donations collected.
 
2. Consumers are most likely to contribute at the lowest level offered – If a Unit has popcorn priced at $10, but then give the customer the option to give an amount lower than $10, the consumer is more likely to contribute at the lower amount. Remember, consumers are buying Scouting and the youth in front of them, not the product. They are just as likely to ‘feel good’ about giving $1 or $2 as they are about ‘buying’ a $10 item. A Scout would have to speak to three times as many people giving $1 as opposed to just getting the profit from selling one $10 item.
 
3. Donations may not be worth the Scouts time to collect – Scouts will spend more time talking to more customers to raise the same amount of money. Let’s look at one of the largest cash donation solicitors in the United States, the Salvation Army. In 2012, the Salvation Army collected $147.6M nationwide. That is a lot of money. However, Red Kettles are out for typically 30 days between Thanksgiving and Christmas at over 25,000 locations nationwide. If you figure people are ‘ringing’ for 8 hours a day, the average kettle collects less than $25 an hour. As a matter of fact, the Red Kettles account for only 19% of cash contributions and less than 6% of the overall income to The Salvation Army. While the Salvation Army does considerable good worldwide, this fundraising method may not be the best for the Boy Scouts.

So how do you improve the collection and conversion of cash to Popcorn Sales? Units should only offer people the ability to buy a particular value of product to send to the Military. For example, rather than asking for a “donation to support the Military” ask if they would like to purchase a product to be sent to Military Units. Ask the person to contribute to purchase a $10, $15, $20 or higher to have sent to Military. My son’s Unit used this method. Last year they had over $13,000 in “Contributions to Purchase Popcorn for the Military”. This was 35% of the overall $37,000 Popcorn Sale. At the end of the sale we split the “Contributions” between the Scouts evenly and place “Military Donations” in the system.

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How to Use Wal-Mart Strategies to Boost your Popcorn Sales

Hub and SpokeMany of you know of the different ways to sell popcorn including:
  1. Take Order – Using the Order Form to go door-to-door
  2. Show and Sell – Having product on hand to sell in front of a location like a grocery store
  3. Show and Deliver – Going door-to-door with product on hand
  4. Online Sales – sending emails to friends and relatives to sell online
Your Council may not offer all of these methods. However, I am going to present a hybrid version called the Hub and Spoke method that Troop 214 in Anchorage, Alaska used to sell over $90,000 in popcorn.

Wal-Mart currently has 158 Distribution Centers (DC) throughout the United States. These are also known as hubs. Each distribution center is more than 1 million square feet in size, and uses more than 5 miles of conveyor belts to keep products moving to our stores 24 hours a day. The DC holds large quantities of product and each DC services between 90 and 100 stores near the DC in a 200-mile radius like spokes on a wheel.

Now, I am not suggesting you sell popcorn over 200 miles away. However, the concept to selling large quantities of product is the same.

First, establish a hub where the majority of your product is. Troop 214 used five different grocery stores as their ‘hubs’. Each location had their complete variety of products. They had two Scouts man the Show and Sell location. Next, they had 5-pair of Scouts sell Door-to-Door in the neighborhood around the grocery store. When the Scouts went to the door, they asked the customer if they would like the product delivered that day. They would take the money from the customer. When the Scouts finished the street, they would record which houses they contacted on the map provided to them and the Scouts called their ‘hub’ to tell the hub what they needed. A parent would deliver the product from the hub to where the Scouts were and they would deliver the product to the customer. This Troop did this method for several reasons:
  1. Increased the participation of Scouts involved – With this method, 30 Scouts were actively selling during the day. Usually, Scouts spent a couple of hours at the store and a couple in the field.
  2. Increased parent participation – Because this method takes some coordination, parents needed to get involved in the sale. By helping, parents saw the value of doing the sale and how it affected the development of the youth.
  3. Created buzz around the sale – By getting a lot of Scouts involved the first day of the sale, they started their sale out strong and it encouraged the Scouts to go out during the week and sell more.
  4. Kept the product in one location until delivery – Using this method helped reduce the amount of cases that were opened at one time. Their Council had a return policy that only allowed the return of full-unopened cases.
Using this method at average sales of $100/hours, Troop 214 sold nearly $48,000 their opening weekend. The following weekend, Scouts went to houses where no one was home the previous weekend. This ‘hub and spoke’ method proved to be the most efficient way to execute their plan and send the Troop to Hawaii for Camp.

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Should You Accept Credit Cards with the Popcorn Sale

Credit CardOne question that I am asked is if our unit should accept credit cards. The answer is an emphatic yes! There are three main reasons a Unit should take credit cards.
  1. Ease of use - More people use credit/debit cards than use cash/checks for transactions
  2. Safety – Using credit cards reduces the amount of cash on hand and the potential of theft
  3. Sales increase – In units I have observed accepting credit card payments, there is at least a 14% increase in overall sales
The real question is which system you should use. Smartphones have created a new industry called mobile Point-Of-Sale or mPOS for short. These devices have reduced the cost of credit card transactions, allow several different options for taking a credit card payment, and have become more acceptable the last several years.

There are a few items that I look for when choosing an mPOS service. First, I want the best rate possible, but I also want to be able to predict my processing fees. Because I do not use this device year-round, I do not want to pay a monthly fee. I also want an mPOS device that is easy enough a Cub Scout could use it and it can be used by multiple people. Finally, I do not want to pay for any hardware or terminal.

With these criteria in mind, this is a review of the four most popular credit card readers for smartphones.

There are a few common traits between all of these services. They all have a free app that is downloaded to your iPhone or Android phone and all of them have some form of iPad use. However, some have more integration than others. These mPOS services also offer a free device once your service is approved. In most of these systems, a person can sign up as an individual or a merchant. Even if you sign up for an individual account, all systems will do a “soft hit” to your credit report. It is more to verify you are who you say you are and does not affect your credit score. To sign up as a merchant, the Unit must have a Tax ID number which can be obtained through your Charter Organization or in some cases through your local Council. There can be an advantage of registering as a merchant depending on the service used which we will discuss later. Fees below are for standard swiping of a card. Keying in a credit/debit card number will increase this fee. Finally, all readers below are PCI compliant for security.

Below is a summary of the difference in mPOS readers.

Rate
iPad Integration
Accept Checks
Debit Card Access to Account
Multiple Account Users
Phone Support
Access to funds
Square
2.75%
X
X*
24 hours
PayAnywhere
2.69%
X*
X
X
30 min.
PayPal Here
2.70%
X
X
X
X
30 min.
Intuit GoPayment
2.75%*
X
24 hours


I have used all of these readers and here are some insights.

Squarewww.squareup.com The new readers (issued in the last year) are very reliable.
 
Advantage
First, iPad integration is easy and free with Square Register for iPad. You can enter in picture of your product and price of product in your Council. Then all a person has to do is touch on the product and the amount comes up. It is easy for a Cub Scout to do. The second advantage is you can have individual log in and password for each reader issued. It allows you to track which Scout sold what item based on the log in. You can also restrict access to the balance in the account and the ability to do returns. All funds go into one account. They have videos that show how to do most items on your phone.
 
Disadvantage
It can take up to 24 hours for the funds to post to your checking account especially on a Sunday. This can take a couple of days for the first deposit to go through. They currently only offer online support which is good. However, we all would rather talk to a person when we have a problem. The final disadvantage is the reader. While the processing is good, the other readers have a tab so that the reader does not swivel. Square can tend to swivel.

PayAnywherewww.payanywhere.com While the newcomer on the block, PayAnywhere has quickly become attractive for Units.
 
Advantage
PayAnywhere has the lowest rates. However, remember the difference of the cost on a $10 item is 1 cent, so do not have that be the deciding factor. PayAnywhere has both phone and live chat support. Reports are easy to read especially on the mobile device. They have videos that show how to do most items on your phone.
 
Disadvantage
A unit can set up multiple readers with the same account but you cannot sort who sold what unless something is typed into the description. In addition, everyone has full access to the account. While there is integration for iPad, it takes technical support to set it up. The length of time to receive funds is more immediate. Final, if you are set up as an individual account instead of a merchant account, one can only take charges of up to $500 in one day.

PayPal Herewww.paypal.com/here PayPal has some brand recognition and is an extension of a Unit PayPal account.
 
Advantage
The biggest advantage is that PayPal Here is an extension of your PayPal account. Because of this, Units can also take check images as well as credit/debit cards. In addition, the Unit can get a Debit Card for the PayPal account to use the funds immediately. They also have phone support and have quick access to funds.
 
Disadvantage
The biggest disadvantage is that PayPal Here is an extension of your PayPal account. It takes extra effort to have the funds transferred to a Unit checking account. There is an additional fee to set up items for display on an iPad. Similar to PayAnywhere, a unit can set up multiple readers with the same account but you cannot sort who sold what unless something is typed into the description. In addition, everyone has full access to the account.

Intuit GoPayment www.intuit-gopayment.com Intuit is the system used by the Girl Scouts
 
Advantage
The biggest advantage is all payments can be downloaded to Quickbooks, but is only an advantage if you use Quickbooks. They do have a reduced processing fee for just $12.95/month. However, this only pays for itself if you have over $1275 in card transactions in that month.
 
Disadvantage
The biggest disadvantage is Units must set up a Merchant Account. You may be able to maneuver around this if your Council is willing to set this up for you like the Girl Scouts do. They also have no phone support. Finally, payment can take as long as 24 hours to deposit.

Surcharges

A Surcharge is when you pass on the processing fee to the customer. There are currently 10 states with laws that prohibit surcharges of any type. The following states do not allow a surcharge by law: California, Colorado, Connecticut, Florida, Kansas, Maine, Massachusetts, New York, Oklahoma, and Texas. Additional states are considering similar such laws, so you should continue to monitor this issue if you plan to charge a surcharge. If you decide to apply a surcharge it is your responsibility to meet all legal and card network requirements which include the following:
  • Surcharges may only be applied to credit card transactions, not debit cards or pre-paid cards.
  • You can only charge your customer as much as you are charged for processing the credit card transaction.
  • The surcharge has to be disclosed to the customer before the transaction via prominent signage.
  • The surcharge must be listed separately on the transaction receipt. An option is to use the tax feature on most apps for the fee.
  • The surcharge must be applied universally to credit cards from all payment Networks (Visa, MasterCard, American Express, and Discover).
If you intend to enact a surcharge policy, you must first provide notice directly to both Visa and MasterCard.

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