- Sweepstakes are prize giveaways where the winners are chosen by luck and chance.
- Legitimate promotions can never have consideration. What does this mean? It means that you will never have to pay to enter a legitimate sweepstakes. Also purchasing a product will not improve your odds.
- The winner is not chosen by skill
- The United States has strict, specific laws that ban private lotteries. Different states have different rules for sweepstakes.
- A sweepstake must make certain that at least one of three major lottery elements is missing: winners that are chosen by chance, prizes, or payment for a prize
- Non-monetary social media involvement could be Facebook likes, Pinterest pins and re-pins, tweets, Instagram shares, commenting, etc.
- A giveaway is where something is given away for free
- Companies use giveaways to promote their products and services and get word of mouth going. See Susan Friedman’s 10 Tips to Use Giveaways Effectively
- A giveaway could either be a sweepstakes or a contest depending on how you set it up
- Unlike Sweepstakes and Giveaways, contests draw a winner based on merit, talent, or skill
- Depending on the contest, it could either be who submits the best essay, photo entry, video, recipe etc. that will win the contest
- Contests are usually more fun and creative
- Contests offer a way for participants to express themselves in unique ways
- They allow the company or brand to engage with current or potential fan base more
- Contests can legally charge a fee to enter the contest
- For contests there needs to be a clear set of rules and regulations