University of Twente Student Theses


Fundraising through running events - “How do Public Benefit Institutions raise funds through running events and why are there differences in ‘success’?”

Obers, Ties (2013) Fundraising through running events - “How do Public Benefit Institutions raise funds through running events and why are there differences in ‘success’?”.

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Abstract:In this master thesis, it has been researched “How do Public Benefit Institutions raise funds through running events and why are there differences in ‘success’?” In current public administration, a transformation can be seen that public services are not only supplied by the state or the market, but also by the so called ‘third sector’ or ‘civil society’. This shows, for example, in the government program ‘from citizen participation to government participation’ (Rijksoverheid, 2011), where civilians are stimulated to take responsibility for their own community. This can be done, for example, by supporting a ‘charity organization’ with money. These charity organizations supply (semi) public services the government cannot or will not supply, and which are not regarded suitable to be delivered on the market. These charity organizations, amongst others, are indicated by the Dutch tax authority as ‘Public Benefit Institution’ (PBI), and receive certain tax advantages. For achieving their higher goals, PBIs are often dependent on funds from voluntary donations. If there would be more services supplied by the ‘third sector’, this could imply to create more PBIs, who need to raise more funds. An interesting phenomenon in this sense is fundraising through (running) events. The participant of an event decides, or is required, to connect the event to a fundraising effort for the PBI. This makes a research on how PBIs raise funds through running events relevant. More knowledge on this matter and some ‘success’ explaining factors could lead to more funds raised and more public services delivered. This research is designed in two parts. The first part contains a content analysis of PBIs’ (N=53) and running events’ (N=14) websites, with the goal of describing how these different actors shape fundraising through running events. The second part consisted of a series of semi-structured interviews (N=11) with people who were responsible for the fundraising through running events for a certain PBI. The goal of this part was to further describe and test some hypotheses formed out of the theoretical framework and results of the content analysis. PBIs are usually involved with running events in three methods; 1) They are the ‘preferred PBI’ of an existing event, and receive a small amount per participant. 2) They participate at an existing event, by buying starting tickets which they resell under special condition (like a fundraising effort). 3) The PBI organizes an event by itself. ‘Success’ eventually results in an as high as possible net amount raised, which is built out of: 1) the amount of participants, 2) times the mean amount raised per participant, 3) minus all costs made. Differences in how PBIs raise funds through running events can explain differences in ‘success’. It seems that PBIs that ask higher minimum amounts to be raised, raise more funds. PBIs that ask their participants to cover costs next to asking a minimum amount to be raised and/or ask for down payments or direct debit authorizations, seem to have fewer costs. PBIs that participate at events that are sold out seem to recruit participants easier, due to scarcity. PBIs that facilitate their participants on various ways, for example with an online fundraising platform or contact moments, seem to raise more funds. PBIs that make proper use of their network (large, strong en renewing), seem to raise more funds.
Item Type:Essay (Master)
Faculty:BMS: Behavioural, Management and Social Sciences
Subject:88 social and public administration
Programme:Public Administration MSc (60020)
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