Prize draws are excellent at attracting customers, which is why they have been successfully used as a marketing tool for years. What exactly are they, and what benefits do they offer? We explain how organising promotional and audiotex lotteries can boost sales!
Boosting sales through the organisation of promotional lotteries and audiotext schemes
One of the most popular and, at the same time, most widely used marketing methods designed to boost sales (of a product or service) is organisation of promotional and audiotext lotteries. They represent some of the few types of gambling that are fully legal under Polish law. Taking part in them offers the chance to win a valuable prize, either in kind or in cash. The winner or winners are selected at random from among the participants who have met the conditions set out in the terms and conditions. The prizes are usually very attractive, and the rules for taking part are not demanding, which is why such campaigns are very popular.
The procedure for organising a lottery is set out in detail in the Gambling Act. The process is exceptionally complex and time-consuming, and must be supervised by the Director of the Tax Administration Chamber, the Head of the Customs and Tax Office and the Head of the Tax Office (with jurisdiction over the organiser).
To obtain a licence to organise a lottery, you must, amongst other things, draw up the rules and regulations, submit the relevant application and pay the fee at the Tax Office in Nowy Targ, as well as provide a number of necessary documents (as listed in the Act). The organiser is also required to have a gaming device that meets all the necessary requirements, which is used to draw the winners and keep records. Once the lottery has concluded, it must be properly wound up, followed by settlement of accounts and the submission of a duly prepared report.
Organising a lottery is a complex process, which is why it is worth involving specialists from various fields, including marketing, IT and administration. The most sensible approach is to opt to work with experienced professionals who specialise in carrying out such projects, such as i360 Sp. z o.o.
What is the difference between promotional lotteries and audiotext lotteries?
Promotional and audiotext lotteries They are often confused, but they are not the same type of gambling game. The first type is more common, as the law allows it to be aimed at a wider audience and it is less complicated to organise. Individuals aged 13 or over who have purchased or obtained a promotional product, service or other „proof of entry” may take part in a promotional lottery. The prizes consist of valuable items or cash, which are awarded to winners selected at random.
The audiotext lottery offers similar prizes, but taking part works slightly differently. Participants must be of legal age, and joining the promotion involves sending a premium SMS message (which costs more than 50 gr) or making a short phone call (at a higher per-minute rate).
Promotional lotteries are more common, mainly because they are more accessible. It is very common for consumers to have to buy a particular product in order to obtain a code to register on the manufacturer’s website. Once they have provided this „proof of purchase”, they join the promotion and take part in the prize draw. Interestingly, even if this code can be registered by sending it via text message, it is still a promotional lottery – provided it is a standard text message. Whether a lottery is an audiotext lottery is therefore determined largely not by the method of entry, but by the associated charges. It might seem that this option is more cost-effective for the organisers. Indeed, it generates greater revenue, but it can discourage some potential participants.
What are the benefits of organising promotional and audiotex lotteries?
Organising a promotional or audiotext lottery It offers opportunities for tangible profits in several ways. First and foremost, campaigns of this kind lead to an increase in sales and market share. The prospect of winning an attractive prize encourages people to purchase the promoted product or service. What’s more, SMS games generate revenue directly.
A prize draw can encourage customers who were already planning to choose a particular brand to increase the value of their shopping basket. For example, when buying their favourite washing powder offers the chance to win an exclusive holiday, many people will buy not just one, but two or even three packs to improve their chances. Participants aren’t put off, as they’ll use the products they’ve bought anyway, and the extra cost isn’t too great. For the organiser, however, such a change in attitude amongst thousands of customers is extremely beneficial.
Other people may start buying a particular product more often for the same reasons. For example, if a packet of chocolate contains a code that gives you the chance to win a car, many consumers will start buying it not just once a week, but perhaps twice. This approach also generates significant profits.
Experts also agree that prize draws can help to change or shape customer preferences. Information about a promotion may encourage customers to choose a product from a different manufacturer. Moreover, they may find the new option much more appealing, which is why they will continue to choose that brand even after the promotion has ended. According to research, this factor accounts for over half of the increase in sales driven by such lotteries.
What is more, any promotional campaigns effectively boost product or brand recognition and have a positive impact on its image. Organising a prize draw can contribute to the dynamic growth of a business. By choosing to work with experienced specialists, you will achieve spectacular returns and many other benefits.
