[Article] Sponsoring an online sweepstakes
WinningWays
Carefully?
With the overwhelming number of new Web sites being added to the
Internet on a daily basis, how do you distinguish yours from the rest?
More and more companies are using sweepstakes promotions as a way to
attract people to their Web sites. Holding a legitimate sweepstakes is
an excellent way to attract attention to your company and its
products. It's also a way to reward customer loyalty to your
established client base.
Major companies such as Kelloggs, Proctor & Gamble, Clairol,
Coca-Cola, Pepsi, M&M Mars, Taco Bell, Johnson & Johnson, Better Homes
& Gardens, Visa, and Disney have used sweepstakes successfully for
decades to attract new customers and to reward their loyal customers.
Typically, sweepstakes have been used with more traditional printed
media methods, but with the explosion of the Internet, many companies
now enjoy the ability to promote their sweepstakes online. Whether you
choose to establish your sweepstakes online, through more traditional
print methods, or a combination of both, there are things you need to
consider before you begin. This article focuses on those things you
need to consider before creating and promoting an online sweepstakes.
Planning Your Promotion
As with any good marketing promotion, you need to plan the event
carefully.
To have a successful sweepstakes promotion, you need to:
Consider your goals
Target your audience
Determine the structure
Promote your event
Considering Your Goals
First, consider your goals for having a sweepstakes. That's easy--you
want to generate traffic to your Web site, correct? Sponsoring a
legitimate sweepstakes is one way to do that. If one of your goals is
to get feedback for a new product, instead of sponsoring a
sweepstakes, you might want to consider offering a small gift or
sample to those who would try your product in return for giving you
feedback. If one of your goals is to get feedback about your Web site,
then you can build questions into a sweepstakes entry form that will
accomplish that. If you want to expose consumers to a new product,
offering a sample as a sweepstakes prize is an excellent way to
generate interest. If one of your goals is to increase your hit
counter to maximize advertising potential for your Web site, then
sponsoring a sweepstakes will accomplish that, too.
Targeting Your Audience
You should match the offer of your promotion to the goals you are
trying to achieve and the audience you are trying to attract. If you
are trying to attract a general audience, then you can give away a
general prize such as cash, gift certificates, or general merchandise
such as a TV, stereo, bikes, and so forth. Do you sell a product? Do
you perform a service? Offer a sample of your product or a trial
period of your service as a prize. The people who enter your
sweepstakes will be targeted more towards your product or service. You
will most definitely attract fewer entrants, but those people will be
more likely to purchase your product or service in the future.
Take some time to really think about what you offer as a prize. You
dont have to give away large prizes to get a good response, but dont
skimp on the prizes, either. There are hundreds of sites giving away
T-shirts, mousepads, coffee mugs, and free Web pages. Your promotion
will get lost in the myriad of other sites giving away similar prizes.
Once you decide the prize offerings for your sweepstakes, you can
begin to form the structure of your promotion.
Determining the Structure of Your Sweepstakes
There are different types of sweepstakes and contest promotions that
you can sponsor. The type you choose depends on how you would like
your promotion to be handled.
Sweepstakes are those promotions in which the sponsors do not require
any purchase or monetary exchange to enter. Any legal sweepstakes must
provide a way for people to enter without purchasing anything. This is
typically when sponsors require entrants to mail their names,
addresses, and phone numbers on a 3x5 piece of paper or index card.
Online, you can provide an e-mail address to which entrants can send
their entries or you can have them fill in an online entry form.
Raffles are those promotions in which you would require entrants to
purchase tickets for a set amount of money. Raffles dont attract as
much attention as sweepstakes, for obvious reasons.
Contests are those promotions in which the sponsor requires the
entrant to submit more than just their name and address, such as a
recipe, photo, jingle, answers to questions, and other creative
information.
There are also other types of promotions such as instant-win games on
specially marked packages of a sponsors products, but handling this
type of promotion is not within the scope of this article. If you are
interested in sponsoring a game of this type, any respectable
marketing agency should be able to help you set one up.
No matter which type of promotion you choose to sponsor, every
promotion needs to include certain information. You should include the
following information at your Web site regarding your promotion:
Information about the company holding the sweepstakes. Who are you?
This should be covered at your main Web site, but you would be
surprised at the number of sites that sponsored an online sweepstakes
and forgot to link the sweepstakes page back to their main site.
A full description of the prizes that you are offering. Make sure
that the entrants know exactly what is included in your offering. If
you are giving away a cruise as a prize, is the airfare included?
Transportation?
A contact name if entrants have any questions about your sweepstakes.
A set of the official rules. The official rules need to address the
items that further make up the structure of your promotion.
You also need to consider how you are going to set up your method of
entry, certain legalities of sponsoring a sweepstakes, and whether
your promotion is going to have a legitimate "look-and-feel." The
following sections will address each of these areas.
The Official Rules
Every legitimate sweepstakes MUST have a set of official rules. The
official rules should state exactly how the sweepstakes is structured
and any restrictions or limitations about your promotion. For example,
how many times do you want people to be able to enter your
sweepstakes? Once per day? Per month? Throughout the life of the
sweepstakes? Many sponsors who first held an online sweepstakes didn't
specify how many times a person could enter, and realized after
receiving tens or hundreds of entries a day from the same people, they
should have considered that factor in the beginning. Also, remember to
think globally. Are you ready to ship the prize overseas if the winner
lives in Germany? If you are giving away a cash prize, we always
assume that it is in US dollars, but you are always safer to state
that up front so as to avoid any confusion. The official rules should
contain the complete structure of your promotion.
The official rules for the sweepstakes need to include the following
information:
The name of your sweepstakes.
A prize description and its value. If you are giving away 1 grand
prize, 5 first prizes, and 25 second prizes, this is the place to
include full descriptions plus the approximate retail value (ARV).
Entry requirements, such as whether you are accepting online entries
only, 3x5 index card or postcard mail-in options (and the address in
which to send entries), and so forth. Many sweepstakes support online
and mail-in methods of entry.
Information required for entries (name, address, zip, phone, e-mail,
any qualifiers, UPCs, recipes, essays, questionnaire items, and so
forth).
Remember not to get too personal.
Residency eligibility (open to which states or countries). Open in US
and Canada? Void in PR?
Any age restrictions.
Any restrictions for number of times a person can enter. Make sure
this information is visible. Whether you are going to allow multiple
entries per person or just a singe entry per person, make sure people
know that before they enter.
Entry deadlines.
Drawing date or frequency if you have multiple deadlines. If you are
holding a quarterly drawing, what are your entry cut-off dates and the
drawing dates?
Any other information that is relevant to entering.
A URL of where the winners names will be posted, or an address if you
want to provide a way for people to send a self-addressed stamped
envelope for the winners list.
Contact information if people should have any questions.
Make this information as accessible as possible. Sponsors generally
will create a separate Web page for the official rules and post a link
near the bottom of the online entry form or near the sweepstakes'
name. There are many sponsors who post their official rules on the
Web. Do some research and see how they set them up. Good sites for
this are www.disney.com, www.kraft.com, and www.blockbuster.com. These
sites constantly have sweepstakes promotions.
Setting Up the Method of Entry
There are typically two ways you can have people enter an online
sweepstakes: by sending an e-mail message to a generic e-mail account
or by submitting an online entry form.
If you are going to collect any type of demographic information you
receive from the entries, you'll want to set up an entry form and have
the information ported into a database such as Access. If you choose
to have entrants send you a mail message, be prepared to enter all of
the information manually into a database if you plan on recording the
information for use at a later date. This will depend on your Web site
and whether you have the access or ability to generate forms, have
access to the CGI bin, or have the resources to hire someone to do
this for you. The specifics of how to create a form is not within the
scope of this article.
There are many good resources on the Web that can help walk you
through this process.
Planning a good entry form for your sweepstakes will yield you better
results for your goals. The information you request should be
formulated from your goals. It's perfectly acceptable to ask questions
about consumer preferences on your entry form, such as brand name
awareness or shopping habits. Be aware, though, that if you ask for
information that is too personal, such as income level, you may not
get a large response. People are still very wary about giving out that
sort of informationwith good reason. Even if you represent a very
well-known company, people arent going to divulge a lot of personal
information.
Also, don't arbitrarily assume that because people enter your
sweepstakes that it's acceptable to contact them with other product
information.
Provide a check box on your entry form so people can choose whether
they want you to contact them with offers, notices, or special
discounts in the future. Sending them unsolicited e-mail just because
they entered your sweepstakes is akin to sending spam. Your second
promotion will most likely be a lot less successful, because people
will know that you are just collecting names to send them unwanted
mail at a later date. Also, if you do plan on sending them mail in the
future, let them know where you got their names. They most likely
arent going to remember every sweepstakes they entered a month or two
ago.
The whole promotion idea is to get people to visit your Web site. Its
perfectly acceptable to place your entry form at the bottom of a page
so that you can provide some information about your product or service
before it. You can also ask a question on the entry form that pertains
to your product or service if you want. Make sure the answer is easily
found on your other Web pages. There are a lot of different ways you
can set up an online sweepstakes entry form, so think about the
information you want to receive from your entrants.
Legalities of Running a Sweepstakes
You now have the information you need to set up your promotion. The
next step is to ensure that you are complying with local laws and
regulations.
Do you know that if the prize you offer is worth more than $5000, the
State of Florida requires that you post a bond before starting your
sweepstakes?
If you don't post that bond, then your sweepstakes is considered
illegal in the State of Florida. This is one of the reasons that
you'll often see sweepstakes void in certain states. This is also the
main reason that you find a lot of smaller prizes available in
sweepstakes.
If this is your first time sponsoring a sweepstakes, make sure you
check with local laws about possible restrictions. Will liquor laws,
firearms laws, or tobacco laws apply to your sweepstakes? Is the prize
value significant (over $500)? Do you need to provide winners with a
1099 claim form at the end of the year? Local marketing and promotion
agencies can help you with this information. Also, a great online
resource for the legalities of running sweepstakes and contests is the
Arent Fox Contests and Sweepstakes Law Internet Law Site at
www.arentfox.com/features/sweepstakes/. They are available to answer
any questions you may have about your promotion, and they are
extremely helpful!
The Appearance of Your Promotion: Legitimate or Scam
Entering sweepstakes has been a viable hobby for many years. The way
you handle your promotion will show people whether or not your
promotion is legitimate. Legitimacy is the key. People are tired of
e-mail scams, Web sites that are nothing but ads, and get-rich-quick
schemes.
Many sites hold a sweepstakes just for the sole purpose of gathering
names.
For example, one site chose to give away a custom designed T-shirt
every month as the grand prize. It also listed 100 second prizes per
month consisting of a coupon worth $5 off of any purchase at their
site. Guess who won second prize? Guess who won second prize every
month that she entered? If you want to offer all of the people who
visit your Web site $5 off of every purchase, then just do it. Create
a nice graphic, or coupon, or order form with the discount posted
right on it. Don't hide it or disguise it as a sweepstakes. The last
thing your business can afford is a sense of ill will!
If you hold a sweepstakes just for the sole purpose of gathering
names, you are quickly going make a lot of enemies on the Web. You
might as well send bulk e-mail, because you'll get basically the same
reaction. SCAM!
The image of your offer is going provide visitors with insight as to
how you run your business. You want to showcase your business in the
best light possible, so don't hurry or skimp when planning a
sweepstakes.
Promoting Your Sweepstakes
You probably have heard from many Web marketing and promotion
companies that holding a sweepstakes will drive hoards of traffic to
your site, and you'll reap huge lists of customers that you can
contact after the promotion is over. It's a bit of an overstatement,
but the promotion idea is a sound one.
You announce a sweepstakes just like you would announce any new Web
site.
Announce it in newsgroups such as alt.consumers.sweepstakes, online
sweepstakes sites such as www.onlinesweeps.com, and submit your
sweepstakes page to the major search engines and directories. There
are currently over 50 well-known sites (both commercial and
noncommerical) that list online sweepstakes. If you have access to
AOL, then you can also enjoy posting your sweepstakes information on
the appropriate message boards. Press releases are also a great avenue
for announcements. Sweepstakes and contest promotions make great press
releases. Go to InfoSeek (www.infoseek.com) and enter the word
sweepstakes. Choose the News option (not the Web) and see what other
companies are using for press release material. You can structure
yours in the same manner.
Also, remember your target market? If you are offering fishing lures
as a prize, go to the fishing or outdoors Web sites and discuss your
prize on message boards or chat forums. Announcing a new sweepstakes
will create an initial surge of traffic, and depending on the prizes
that you offer and the frequency of the drawings, you could enjoy this
traffic for several months.
If you decide to sponsor more sweepstakes promotions after your first
one is done, remember that different prizes will attract more
attention. If you offer the same prize again, people may think they
have already entered it and will not visit your site again.
Summary
Don't let visions of running up your hit counter get in the way of
promoting your sweepstakes in a respectable manner. Sponsoring a
sweepstakes can be a very viable way of getting your Web site the
attention that it deserves, but it takes good planning and careful
consideration, just like any other marketing or advertising promotion.
Your business can attract a lot of attention by sponsoring a
sweepstakes, and the way you handle the promotion is going to make an
impact. Remember, first impressions are very important!
Susan
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Susan Donahue, Publisher
Winning Ways Sweepstakes Newsletter
http://www.onlinesweeps.com
Free sample issue on our Web site!
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