Our fundraising wouldn't make it without incentives. Having done some sales with and with out, with is definitly more profitable. Last year, our grand prize winners' mother told me they sold so much because they otherwise couldn't have afforded to do it on thier own. (2 nights hotel and admission for 4 to Universal) The kids respond to incentives, (Don't we all?) and I don't know of any hurt feelings.
First off, all participants recieve something and the first level of incentives is EASILY attainable at $5-$25 raised (many students reach that level and stop because that is where they are comfortable) The money jump is earned at $201+ dollars and we generally get a total of 40 kids who attain that level, not a lot out of 800 students. There is competition but no one really loses and we put a lot of focus too on the fact that it is a healthy activity as well. We put in a lot of incentives so that everyone can win something. I've talked about it before (I love it because we aren't sending our kids out all year to raise money, it's healthy, many of our prizes are donated, our parents aren't nickel and dimed to death with things they don't really want, it's pure cash- we don't share the proceeds with a company, and the kids have a lot of fun!- It is however, a lot of work for the volunteers.
It is also a good learning experience for the kids. When they get into the world, effort pays off, they aren't handed anything and it gives them some experience in earning their rewards even if it is a small effort for a small reward.
To be honest, I'd rather we never held another fundraiser again and the schools had all the money they needed. But that isn't the case. If you're going to hold a fundraiser of any kind and the students will always be the tool by which that is done, then they deserve some recognition for their contribution to it.
There's a breakdown of prizes and more information at tp://www.ptotoday.com/ubb/ultimatebb.php?ubb=get_topic;f=15;t=000686#000002
The fundraising company we switched to a couple of years ago provides a gift for every studnet who participates. We had not been doing incentives before that. It was stopped because it encouraged the kids to take chances going to the homes of strangers and wandering all over town. Plus it can bring on some very unfriendly competition. As a parent, I like not having incentives. It puts alot less pressure on the child and the parent. You get out and sell to the point you're comfortable.
We emphasize to the children and parents what the money they raise will be used for in the school. We still make more than enough money to fund our programs and we don't have any hurt feelings.