The effectiveness and popularity of a promotional lottery are largely determined by the prizes on offer to participants. In a lottery, unlike a competition, prizes are awarded by draw, and everyone has an equal chance of winning. It is therefore no surprise that promotional lotteries are hugely popular – so it is worth ensuring that you select equally attractive prizes that will draw in an even larger group of customers.
The impact on participants’ emotions: material rewards worth considering
Since the participant promotional prize draw As people act to some extent on impulse – that is, on the basis of emotion – the organisers of the campaign should ensure that the prizes they select appeal to the emotional sphere. By understanding the target audience for the prize draw, prizes can be tailored to demographic factors so that they meet the expectations of participants of a certain age or from a specific region. The prize pool should always be carefully thought out – different for young participants, different for men and women, or for parents.
When deciding to an introduction to prize draws, it will be very important to determine the frequency of the draws. With frequent draws (for example, daily or, in the case of very attractive lotteries, every hour), the prizes may be small, and sometimes even purely symbolic. For a confectionery manufacturer, these might, for example, be selected products from their range. In this case, participants become emotionally engaged due to the higher probability of winning and the almost immediate notification of a win.
Such „everyday” rewards should be topped off with a big, eye-catching the main prize. This could be a car or high-end branded electronic equipment. According to research, Poles are also keen to mention prizes such as a house, a flat or a holiday – and not necessarily abroad, although a trip to the tropics certainly seems particularly appealing! In the case of non-price-based promotional campaigns – that is, those in which the incentive to buy takes a form other than a discount or price reduction, such as a promotional lottery with physical prizes – the main determinant of purchase is a switch to a different brand. It is therefore important that the prizes are tailored to the preferences of buyers of competing brands, as it is they who, through their purchases, will drive an increase in sales. The more attractive the prizes offered in the prize draw, the greater the demand generated by new buyers who previously purchased competing brands.
It is this main, most important prize that is currently attracting customers’ interest. It allows publicise the promotion and encourage prospective participants to take part.
Cash prizes – always the best choice
Cash prizes, but not just cash – as they also include gift vouchers and prepaid cards – they always generate a great deal of interest. Why? Because they immediately show the participant the real value – they see specific amounts which, moreover, they can spend on whatever they like (meaning they choose for themselves how to use their winnings).
Cash prize It has enormous potential: it is practical, versatile and, moreover, prestigious – particularly when the sums involved are very large. Such prizes can also prove beneficial for the organiser of a promotional lottery: they can be awarded by transferring the amount to the winner’s bank account or even presented during a ceremonial final at relatively low organisational cost. Meanwhile, non-cash prizes in the form of merchandise, equipment or cars must be properly stored, packaged and inspected before being handed over to the winner, until the draw is concluded. In promotional campaigns offering cash prizes, the main drivers of demand are an increase in the value of the shopping basket and an increase in the frequency of purchases. As a rule, in both cases, these factors are driven by the brand’s existing customers. It is those who regularly purchase a brand’s products who, as a result of a promotional campaign offering cash prizes, increase the number of items purchased in a single transaction or shop more frequently than usual.
Why is it worth seeking professional help?
Coming up with an idea for a lottery is one thing, but organising it properly is a very complex matter. For it to deliver the expected results, it must be properly planned; it is essential to identify the target audience, whom you must then engage both through the format of the lottery and the prizes on offer.
An experienced agency is equipped to the proper conduct of the promotional prize draw from a technical, legal and tax perspective. It therefore takes a huge amount of work off the organiser’s hands, ensuring that all the marketing objectives are met.
