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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How a Major Mistake led to $90,000 in Popcorn Sales

USS ArizonaMost Units do not believe that popcorn sales alone will fund their entire Scouting year. However, Troop 214 in Anchorage, AK was able to accomplish this feat. They are the only Unit to sell over $90,000 in popcorn for three years in a row. Now this did not come easy or was even intentional at the start. This is the story of Troop 214.

Like many Units, Troop 214 sold around $10,000 in popcorn several years ago. With a 40 Scout Unit, they felt this was good accomplishment. They sold about half door-to-door and half was in front of the local Carrs grocery store. The boys normally used these funds to pay to go to Gorsuch Scout Camp about 45 minutes north of Anchorage. Several years ago, the Unit wanted to sell a little more popcorn in order to buy a trailer for their camping supplies. They thought that if they had two Show and Sell location sites, they could raise enough to pay for more camping equipment. They placed their order with the Council for nearly $10,000 in popcorn. The Council agreed because they believed that whatever the Unit did not sell they could use for their Take Order. However, when Troop arrived to pick up their order, they were in shock. There was over $30,000 in popcorn. After looking through the records they realized cases of popcorn were ordered instead of containers.

Troop 214 had two options, return the product they did not need to the Council and let them deal with it or try to sell the popcorn themselves. The adult and youth leadership did not want to burden the Council with the error. They told the Council that they would 'do their best' and try to sell as much as they can. Troop 214 created a plan. They normally had only half the Scouts in the Troop participate in the popcorn sale. They knew they had to get everyone involved and everyone stepped up. The leaders created their own incentives for Scouts that sold over $1000. They also realized they needed more Show and Sell location sites. They increased the number of locations throughout the city to five sites. With the plan in place, Troop 214 went to work. They sold all $30,000 in three weekends.

Everyone was amazed they were able to do something that had never been done in the Council. As a reward instead of going where the Unit normally went to camp, Troop 214 decided to go to Eagle River Scout Camp about 25 north of Juneau, AK. To get to location one must fly in to Juneau. This was the first time that many of these Scouts had been on a plane and was quite an adventure. Eagle River is located right on the coastline of the Inside Passage. Now what do Scouts do when they first get to camp. You guessed it...swim test. For those of you that do not know the Mendenhall Glacier feeds into the ocean about 15 miles south of camp and the current takes the water north toward camp. The average water temperature is 40 degrees. After the Scouts and adults finished their swim test, many wished the water was warmer. However, a couple of older Scouts and a couple of adults said, "Next year, why don't we go where the water is warmer."

After they got back from camp, Troop 214 started to think about where they wanted to go the next year for camp. When the idea of going somewhere where the water was warmer, what do you think they said? You guessed it...Hawaii! To the credit of the adult leadership, they did not tell them no. They said if you can raise the money, Troop 214 can go anywhere they want. They calculated it would take $90,000 in popcorn for the Scouts to go to Hawaii. The Scouts put together a plan. The biggest addition to their plan was at the now 10 different Show and Sell locations, they had signs saying, "Help Send Your Boy Scout Unit To Hawaii". The Scouts also had a laminated page with this same sign they would take with them when they went door-to-door.

In 2008, Troop 214 sold $90,285 and they went to Camp Pupukea on the North Shore of Oahu. It is amazing how many adult volunteers want to help when the carrot is Hawaii. Since selling this amount in 2008, Troop 214 sold over $90,000 for three year in a row. Last year, Troop 214 had 15 Scouts turn 18 and only sold $67,000, but plan to be the first Unit to sell $100,000 this year. There are several things Units can learn from Troop 214:
  1. 1. Have a big enough "Why" - Hawaii was a big reason the Unit sold this amount of popcorn.
  2. Do not limit yourself - Would you want to go to Hawaii for camp? There is no reason you can't.
  3. Have a plan - Troop 214 figured out how much they needed and how it could be done.
  4. Get everyone involved - They had every Scout average over $1000 in sales.
  5. Have rewards - Troop 214 created their own incentive program based on the amount they sold.
  6. Believe it can be done - The famous quote "If you think you can or you think you cannot, you are right" is very evident with Troop 214.
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3 Most Common Items Left Off a Unit Budget

Scouts ThriftyOne of the most beneficial things a Unit can do to start their program year is to create a Unit Budget. In fact, having a Unit Budget is a section of every Unit's Journey to Excellence qualifications, and, in my opinion, one of the easiest to complete. There are many items that should be included in every Unit Budget. Expenses include the following:
  1. Youth Registration
  2. Adult Registration
  3. Unit Charter Fee
  4. Insurance
  5. Awards
However, there are three items typically left off a standard Unit Budget.

1. Camp

In a survey done with the top 100 Units in each region (400 in total), 82% created a Unit Budget. However, only 54% included a long-term camping experience in their budget. Long-term camping experience includes Day Camp, Resident Camp, Summer Camp, and High Adventure. The number one reason for not including camp in the Unit Budget was because someone other than the unit paid for camp, like their parents/guardian or the Charter Organization. Camp should always be included. This is standard accounting practice. If money is collected, whether from a product sale, parents or the Charter Organization, there should be an accounting of the funds. Once these funds are collected, they are used to pay for camp.

2. Boys' Life Magazine

Boys' Life Magazine is received by less than half of all registered Scouts. Boys' Life Magazine is one of the item paid through the re-charter. The re-chartering process, while improved with the online system, is still difficult to complete. I find that if Boys' Life Magazine is not made a priority with the Unit and included in the Unit Budget, then money is never collected to pay for it. Many may not know, but there are several different versions of Boys' Life Magazine created in order to match the boys' level in Scouting as well as their reading level. My son likes it because it is the one piece of mail that has his name on it.

3. Reserve Fund

Most not-for-profit organizations require in their by-laws to have a "Contingency Fund" on hand in the case of emergencies. However, the majority of Units do not include this item in their Unit Budget. Most organizations require at least a 5% Reserve Fund in their budget. For example, if a Unit has a budget of $10,000 then they should add $500 to their overall budget. If budgeted correctly, this Reserve Fund is never used and rolled over to the next fiscal year. Remember, a Scout is to "Be Prepared" for emergencies, not only physically, but financially.

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6 Things Units need to do today to “Be Prepared” for the Fall Popcorn Sale

popcorn kernal patch For most Units, it is the end of the school year, thus the end of their program year. However, in order to “Be Prepared” for the fall popcorn sale, there are several items that Units need to do before the program year is over.

1. Create a Unit Program for the next year and your new budget

Units that have a planned program are more four times likely to recruit new Scouts into their program and retain current Scouts. Many Councils have a Program Planning session in the spring, so make sure to attend. Your budget will help determine how much money you need to raise and how long it should take.

2. Set a Unit Goal and Individual Scout Goals for the fall popcorn sale

Units that set goals for their popcorn sale are 80% more likely to achieve their goal that those that do not. That ratio is even higher when looking at the individual Scout. Take into consideration the number of new Scouts you may recruit between now and when the sale begins. If the expectations are set up front as to how much to sell and what the funds are going to, you are far more likely to have everyone participate.

3. Get Volunteers Recruited

Vital to the success of your fundraising campaign is having enough volunteers to support it. I recommend creating a Unit Popcorn Key 3 consisting of your Unit Popcorn Kernel, Unit Distribution Kernel and, if needed, a Unit Show and Sell Kernel.

The Unit Popcorn Kernel is the person that is the main point of contact with the Council, and they are responsible for turning in funds to the Council. Depending on the size of your unit, you may have multiple people enter individual Scout Orders. However, the Unit Kernel is likely to be person that places the final orders with the Council.

The Unit Distribution Kernel is the person that actually picks up the popcorn from the appropriate location and delivers it to the Show and Sell Kernel and/or the individual Scouts for Final Distribution.

If your Council does Show and Sell (selling in front of a store), then I recommend having a person in charge of just these locations. This person coordinates the site locations and schedules which Scout will be at that location and what time. For some locations, permission needs to be obtained several months in advance. That is why it is important to start today.

4. Go to Training

Your Council is likely to hold a Popcorn Kickoff sometime between now and the start of your sale. Do not send just one person to these trainings. Get as many popcorn volunteers from your unit to attend these trainings. The more people know, the more they are invested in the program and the process.

5. Obtain your own Unit Prizes

One thing to include in your budget is the amount you will spend on your own unit prizes. In a survey of the top 100 selling units in each region (400 in all), 84% of Units said they offered their own prize program outside of anything the Council or the popcorn company was offering (More on this survey in next week’s blog). In addition, these units spend on average of 2% of their gross profits. The dollar amount does not have to be a lot, but it is important to have something that is your own.

6. Create a method of communication

There are many ways to do this. Whether through mail, email, newsletter, Twitter, presentation or phone, you need to establish the best way to communicate to everyone in your unit. Remember, different people prefer different delivery methods. You need ask people how they prefer to be contacted and try to accommodate to this. Because there are so many different ways to communicate, you may want to set the expectation with those in your unit. Share with them the one, two or three different ways you are going to send out the information and have them look for it.

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3 Reasons Boy Scouts should sell popcorn (instead of Cub Scouts)

Salesmanship MB
Often times when I go around the country to talk about selling popcorn, I consistently get the response, “Boy Scouts do not sell popcorn, only Cub Scouts do.” Additionally, I will get the comment, “It is easy for Cub Scouts to sell. They are still cute,” or “Boy Scouts do not want to be seen in their uniform, so they will not sell.” I am here to tell you that nothing can be further from the truth.

There are three main reasons Boy Scouts should sell more so than Cub Scouts:

1. Boy Scouts costs more than Cub Scouts The average cost nationwide of the primary outdoor delivery method, Boy Scout Camp, is around $300 for an exciting, fun-filled week. Then there is the cost of equipment, other camping, transportation, uniforms, awards, registration, etc. The average Cub Scout could easily have the entire year paid for with $300.

2. Boy Scouts can fulfill requirements for merit badges, including Eagle-required merit badges It is not to say that Cub Scouts cannot earn anything by selling popcorn, they can. We will talk about developing an actual program around the popcorn sale in a future blog. However, there are certain requirements for Personal Management and Communication merit badge that can be met through the popcorn sale. A Boy Scout can earn the Salesmanship merit badge completed through the popcorn sale. In addition, there are several other requirements of other merit badges that a Boy Scout can complete including American Business and Public Speaking.

3. Boy Scouts should have a large database of clients If a Scout went through the Cub Scout program selling popcorn, he should keep a copy of his old order forms. When the sale starts, the Boy Scout asks his current ‘client base’ if they would like to re-order what they ordered last year or upgrade to something else. When I evaluate which fundraisers my son and I participate, I look at the amount raised versus the amount of time spent. By asking your list of previous year’s customers, the amount of return vs. time is extremely beneficial. In an interview with the top ten selling Scouts last year, all of them stated they started with their existing client base on the first day of the day.

By the way, 8 of the top 10 selling Scouts in 2012 were Boy Scouts.



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4 Reasons to have a Unit Budget

BudgetThe Boy Scouts of America have written a little used piece into the requirements for the Journey to Excellence Award, the Unit Budget requirement. They define a Unit Budget as the following: “The Unit has a written budget that is reviewed at all committee meetings, and the unit follows BSA policies relating to fundraising and fiscal management as found on the Unit Money-Earning Application form, the unit treasurer's book, and any other publication that the council has developed for fundraising and fiscal management.” In addition, if the Unit Budget is complete by the beginning of the program year, the Unit gets the full allotment of points for this requirement.

However, why is the Unit Budget so important? Below are the five reasons it is important to have a Unit Budget.

1. Build the “Why” of Scouting It is amazing what people will do if there is a big enough “Why” in front of them. My daughter is a prime example. When she turned 16, she wanted to get a car. I made a deal with her. If she wanted her own car, she would have to pay for half of it. It was amazing how her attitude about money changed. Here was the big carrot (“Why”) dangled in front of her. She started to budget on where she spent her money. She stopped spending money on make-up, jewelry, and fast food. Every dollar she earned, she put in her bank account. She also made changed her expectations on the type of car she could afford and when she could buy this car. The whole change was because there was a reward at the end.

Scouting is the same way. The annual plan and budget help build the “Why” of Scouting. For example, if your unit plans on going to Philmont, Florida Sea Base or other Big Event, the Scouts and parents know “Why” they are raising money. It is also easier to raise money when the “Why” is communicated to the customer. Learn how Troop 214 in Anchorage, AK turned a potential fundraising mistake into a huge “Why” for their unit.

2. Build Transparency Do you have everyone in your unit participate in your fundraiser? The first thing you should ask is if everyone knows how money is being spent. If everyone knows where the money they raise is going, they are far more likely to participate in the fundraiser. People are more likely to make an educated decision if they have all the information in front of them. Transparency also reduces deception. People know how much money they need and where the funds are going. If something large is purchased outside the unit budget, it is reasonable to question how it was purchased and who approved the transaction. Units can establish guidelines or by-laws to handle these transactions.

3. Keep Scouting Affordable The average family nationwide spends $230/year on the Cub Scout Program per Scout. This is without including the cost of uniforms. This includes items such as Registration, Boy’s Life Magazine, Day Camp, Pinewood Derby, Awards, Training, and other Den/Pack Materials. For a Boy Scout that number shoots up to $580/year per Scout. Many of these items are just the basics. It would not include items such as a new Pinewood Derby track or new Patrol Box. With all of that said, Scouting is the best bargain out there. I recently thought about getting my son into Little League Arena Football. Then I heard the cost was $500 for 8 weeks and I had to participate in selling concessions 3 times.

I use the Popcorn Fundraiser to teach my son the value of money. He has used popcorn to raise money to go to camp, whether Day Camp or Summer Camp) for the last five years. This is by far the largest expense to the Scouting year. He knows if he wants to participate in the best parts of Scouting, he has to earn his own way.

4. Set the Expectations When I was a Cubmaster, I used the Popcorn Sale as my number one recruiting tool. When we had recruitment nights for the Pack, we started by telling them all of the fun activities (“Why”) we were going to do that year. Then I would state, “We are going to do all of these activities and I do not want any money to come out of your pocket for them.” That seemed to get their attention. I would state, “All I want you to do is bring back this Popcorn Form full. This is the way we pay for it.” We would talk about uniforms, but give them a Day Camp Shirt from the previous year to start. I would then tell them about the different ways to fill their Popcorn Order Form. I will tell you more on how to fill a form in a later blog.

By setting the expectations up front, parents thought that was ‘just the way things were done’. It set the tone not only for fundraising, but for how much participation is needed for Scouting. Money should never be the reason why a youth cannot join Scouts.

Parents need to know what the financial and time commitments are up front. They want to know how their commitments contribute to the overall health and support of the group.

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