r0701 ytb travel network passport to giving fundraising program helping non-profits make a...
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R0701
YTB Travel Network Passport to Giving
Fundraising Program
Helping Non-Profits Make a Difference
Joshua Killett
YTB Corporate Consultant
(719) 650-0823
Statistics and Facts*
• Online donating is a growing source of income.
• Many donors are affluent.
• Trends prove that donors are beginning to give to more than one charity online.
• Donors choose monthly giving more than single giving in comparison to other methods of giving.
• Donors are more trusting of charities online than other institutions online (i.e. giving e-mail, opening attachments, links).
• Online programs will attract new age groups.
*HJC New Media Direct Marketing Association Nonprofit Federation
Statistics and Facts*
• In 1999, estimated total online
giving: $10 million
• In 2000, estimated total online
giving: $250 million
• Prediction: By 2010 1/3 of
money donated will be given
online. At current levels (2003),
this would represent $80 billion
Source: Harvard University, Initiative on Social Enterprise Report (Oct 00)
Statistics and Facts*
• Americans overwhelmingly agree that a company’s
support for a charitable cause impacts their buying
decisions.
• According to a Cone/Roper study, more than 86%
of American’s would be likely to switch brands to
support a cause, when price and quality are equal.
The Non-Profit Dilemma
EducationalEnvironmental
Religious
Social Medical
Funding is a never ending challenge for non-profits
Take Your Fund Raising Over the Top !
Travel is the Ultimate Fund Raiser!
Our innovative affinity program provides you with your own online travel website (similar to Expedia®) which can help generate thousands of dollars for your organization when members and supporters book their personal travel through you.
No Matter What Your Cause…
A Simple Shift
Simply stated, all you are saying to your members or supporters is this:
“We know you are going to book travel online. All we are asking is that you book your travel with us. You’ll receive competitive rates or better and you’ll be helping a cause you believe in.”
Even a relatively low participation rate by membership can produce significant funds.
WORLD’S LARGEST INDUSTRY
• Travel is the world’s largest industry and is growing 23%
faster than the global economy
• $1.3 trillion industry in the U.S. alone
• Travel is a “big ticket” item producing significant
commissions
UNIVERSAL APPEAL & DEMAND
• Everyone loves to travel
• Travel is expected to double by the end of the decade
INDUSTRY MARKET SHIFT
• On-line travel is the fastest growing commercial Internet
segment
Why Travel?
• Founded in January 2001 with the goal of becoming the world’s largest travel company by 2011
• Founded by Lloyd “Coach” Tomer, a retired pastor who understands the challenges of non-profit organizations.
• Wholly-owned subsidiary of YTB International, a publicly-traded company (YTBL.PK)
YTB Travel Network
YTB Travel Network earned the Pinnacle Award, Carnival Cruise Lines’ top award 4 Consecutive Years
YTB Travel Network
• Travel is YTB’s business.
• Carnival is the #1 Cruise seller in the world
• Owns 60% of Cruise Industry
As your supporters book
their personal and
business travel on your
site, you earn 60% of the
commissions. The
commissions are paid to
you as royalties.
Your Organization’s “Private Label” Travel Website.
The booking engine
uses the same
technology and provides
the same features and
prices as other online
booking engines such as
Expedia®, Orbitz® and
Travelocity®.
Travel Resources -
Provides access to travel
related information and
services.
Tabbed menus -Contains
additional tour packages,
hotel options, cruise
choices and event
reservations.
General Search - Allows
immediate access to
airline, hotels, rental cars
and cruises reservations.
Advanced search and air
consolidator selection
provides additional search
options.
Travel Deals -Special
travel offers keep
supporters coming back!
Our partners are the biggest names in travel. They provide your inventory!
YTB partners are the biggest names in the industry.
Over 55,000 Hotels and Resorts, 60 Airlines, and All major Cruise Lines, Rental Cars and Tour companies (Accept Royal Caribbean)
World Wide Web
Secured
85% of all travel booked
Excess Inventor
yMe
You
Yall
Travel VendorsInternet
Online Travel Agencies
80% MarketingTV, Radio, etc.
Marketing
Direct Selling= Leverage
Perks & FAM
50-100%
A LOT doing a LITTLE and a LITTLE doing a LOT.
60% Travel Commission Example Group Cruise Travel Sale Group Hotel Sale
Group Sale: $20,000
YTB Carnival 16%: $3200
Org 60%: $1920
Group Sale: $8000
YTB Hotel 10%: $800
Org 60%: $480
Domestic Air Fair Sales
YTB Booking Fees: $5 Passengers: 3 Group Sale: $15 Org 60%: $9
Note: Travel Commissions are paid on 25th of each month after the travel is taken and the vendor has paid YTB (30 Days)
Customers Retail
E-Commerce3.4% of Total Retail Sales
Wal-MartKmart
Office MaxStaples
700 Retailers
Retail E-
Commerce3.4% of Total Retail Sales
Wal-MartKmart
Office MaxStaples
700 RetailersCustomer
s
Total Retail Sales are ~ $4 Trillion
E-Commerce Annual Retail Sales are ~ $136 Billion
$ Marketing CampaignTV, Newspapers, etc.
Direct Selling
Cash Backs
Referral Marketing
% of Revenue Generated
Traditional Marketing
Shop-YTB Explained
World Wide Web
Secured
$136 Billion
3.4% of Total Retail Sales
Me
You
Yall
Retail VendorsInternet
80% MarketingTV, Radio, etc.
Marketing
Direct Selling
= Leverage
Perks & Discounts
RTA Earns 50% of YTB’s Commission
A LOT doing a LITTLE and a LITTLE doing a LOT.
FREEshopYTB Account
+700 RetailStores
% Cash Back Savings
YTB earns % of Revenue
Generated
Retail Business Model
shopYTB Commission Examples (4%) Famous Footwear Example
Computer Sale Example
Product Purchased: $121
shopYTB Cash Back 7.5 %: $9
YTB commission 4%: $4.8
Org 50%: $2.4
Product Purchased: $2000
shopYTB Cash Back 5%: $100
YTB commission 4%: $80
Org 50%: $40
Note: Cash Back and Commissions are paid on 21th of each month after the product has been purchased. Earnings and cash back will be accredited to shopYTB account. Checks will be sent out when account is greater $15.
Network Buying Power Example
Network = 2000 Monthly Customer purchase: $100 Product Purchased: $200,000 shopYTB Cash Back 5%: $10,000 YTB Commission 4%: $8000 Org 50%: $4000
Great fundraising program for Non-Profits
Produce a Financial Windfall
25,000 Total Membership of Organization
x 1% participation by members
= 250 Participating Members
x $4,200 average yearly travel purchases per family
x 4% Average commission rate
= $ 42,000 in travel commissions
x 60% association percentage
= $ 25,200 in Revenue for Your Organization
With the YTB program 60% of all travel commissions go directly
to your organization as royalties. Below is an example of the
income potential of an organization.
Figures provided are target estimates and do not imply guaranteed performance. To achieve maximum performance organizations must effectively communicate the travel program to their supporters.
Group Travel
We also provide group travel services free of charge! No matter
what your cause, group travel can be the perfect complement to
your organization!
Group travel can:
• Produce significant commissions back to your organization.
• Provide your supporters with the opportunity to travel at very reasonable prices.
• Generate excitement for your organization.
• Be unbelievably easy to organize and implement!
Group travel must comply to YTB Group Travel Guidelines
Group Travel
* Commissions are paid to your organization as royalties • Group travel must comply to YTB Group Travel Guidelines.
Commissions* Matching Donations Earned Staterooms
As a fundraiser, it’s hard to beat a group cruise.
• You receive 60% of the travel commissions, paid as royalties.
• Plus, many cruise lines have matching donation programs.
• Plus, you may earn 1 stateroom for every 15 booked.
When you add it all up, it can mean a huge windfall for your organization.
For details of these programs, please contact YTB’s Group Travel Specialist.
Group Cruise Example
* All figures although realistic are estimations. Figures are based on Carnival Cruise Lines’ Cruising for Charity Program.
Let’s look at the potential financial impact of a fundraising cruise.
Assumptions:
• 100 Person, 7 day cruise
• Average cost per person, $760, plus $100 markup of cruise by organization: total cost per person - $860
• 15% commission rate
• $35.00 matching donation per person from cruise line.
Commissions, paid as royalties $6,634.80
3 Earned Staterooms (resold at face value) $4,560.00
Donation from Supporters $10,000.00
Matching Donation from cruise line $3,500.00
Total $24,694.80*!
Maximizing Your YTB Travel Program
1. Your Organization Travel
Get your program off to a fast start! Make sure all your organization’s internal travel is booked on your website.
2. Personal Travel of Supporters
Let’s get your supporters involved! Everyone, including your supporters is traveling...personal and business travel, vacations and cruises. And, each trip produces substantial commissions for your organization. And, it won’t cost them a penny.
3. Group Travel
Let us help plan a series of group excursions for your supporters. Future slides show just how easy and profitable group travel can be with YTB!
It’s as Easy as 1,2,3...
Marketing and Promotion
YTB has a variety of marketing campaigns and tools to help market the travel program to your supporters. We can provide camera ready master copies of marketing material including:
Display ads
Posters
Inserts
Emails
Website Banners
Desktop Icons
YTB Fundraising ConsultantEvery association account in the YTB Travel Affinity program is
assigned their own Fundraising Consultant. At YTB we want our
program to be a resounding success for your organization. Your
Fundraising Consultant will get to know your organization and will
make recommendations on how, together, we can maximize
the fundraising from your travel
program. We have a number of
marketing programs in addition
to group travel ideas they will
discuss with you to get your
travel program off to a fast start!
A Service to your Supporters
Who doesn’t love to travel…and who doesn’t love great travel
prices? Your travel program is much more than just a fundraising
program. As a service to
your supporters, it puts the “fun”
into fundraising! Through your
travel program we will bring great
travel opportunities to your
supporters at some of the best
prices found on the internet. And,
you get all the credit!
Getting Started
This places your organization on our “Do Not Contact” list to prevent being called by other Association Specialists.
YTB will provide information needed for board approval. Plus, we will conduct conference calls or additional presentations.
Once application has been received the booking engine can usually be online in 7-10 business days.
YTB Reviews application for compliance
YTB will create, maintain, and house on a secured server a “Private Label” booking engine for your organization.
YTB will provide marketing assistance to help promote affinity program to your supporters.
Funds are distributed to your organization after being received by YTB Travel.
Your Organization is Registered with YTB
Conduct Due Diligence
Complete and Submit Application
YTB Reviews Application
YTB Customizes Your Booking Engine
Marketing/Promotion Program Initiated
Receive Royalty Checks from YTB
Summary of Features
& Benefits
• Booking engine provides
supporters with
competitive online rates.
• Low participation rate by
supporters still produces
significant revenue.
• Revenue paid by third
party vendors not
supporters.
• Program operates 24/7
producing perpetual
income.
• “Private Label” booking
engine provides additional
organization exposure to
supporters.