Terms of Use and Privacy Policy: Legal. Since promotional law is specific to the type of promotion you are running, how you articulate your promotion to your audience is one of the most important aspects of execution. Winners will be selected at random. Sweepstakes are primarily used to generate awareness or to grow your client database. Contest: A sort of competition that requires the winner to have better skills or knowledge than other contestants. So you can notice that there is a clear difference between Sweepstakes and Contests. Contests winners are selected by judges based on how they fulfill a specific criteria. In countries other than US, sweepstakes are known as competition. “Eurovision Song Contest 2012, semi-final allocation draw (5)” by Vugarİbadov – Own work. Here are the main difference between contests and sweepstakes: Sweepstakes are specifically prize giveaways where the winners are chosen by luck. In general, sweepstakes are fairly simple to plan and implement. This article takes a closer look at sweepstakes and contests to come up with their differences. As a sweepstakes attorney, one of the most frequent questions I’m asked is, “What is the difference between a sweepstakes and a contest?” The short answer: Lots. Sweepstakes: games of chance. A sweepstakes is also referred to as a “giveaway” or “game of chance”. CONFUSION Some sweepstakes try to appear legitimate by calling themselves contests. Everyone must be able to get the same number of entries despite the entry method they choose. National Sweepstakes Company, LLC 1143 East Union Street Newark, NY 14513. NSC specializes in the turn-key promotion administration & management of sweepstakes, contests, games and offers for agencies and brands worldwide. “Publishers Clearing House Prize Patrol awards 5000 A Wk For Life” by Publishers Clearing House – Provided by Publishers Clearing House. We often read about lucky individuals winning lots of money through these means. As always, a contest marketing agency is a great asset here. The article They type of promotion you choose to run is up to you and depends heavily on your overall marketing objective. Depending upon the states for which you are running your contest, you may be able to require product purchase or even an entry fee without offering a free alternate method of entry (AMOE). What makes this type of contest so appealing is the fact that there is no purchase required to enter sweepstakes. A major difference between a contest and a sweepstakes is that contests are mostly used to get your customers to create content that can be used in various ways. In a contest, all winners must be determined based upon the skill they put forth. For a promotion to be defined as a “contest”, “competition” or “game of skill”, entrants must put forth some level of skill or effort into their entry, which is later judged by a panel of judges to determine the final winners. To comply, your sweepstakes must remove all elements of Consideration by ensuring entrants can obtain entries completely free of payment or too much effort. The major difference between sweepstakes and contests is that contest winners are selected by judges using a set of criteria whereas sweepstakes winners are randomly selected. Unlike a sweepstakes or game of chance, contests require non-monetary consideration to enter. And compared to a contest being a game of skill, sweepstakes are a game of chance. Sweepstakes Contest: Participants have to demonstrate their skills in contests. When planning your sweepstakes or contests, be sure to include your official rules (see more below) to cover your brand in this way. A sweepstakes is all about chance and luck. Indeed there are some differences between sweepstakes and contests which you would have to be aware of before choosing one. Learn to Fight Back http://fightfalseflag.com What is the difference between a sweepstake and a contest? sweepstakes and contests) give people chances to win a prize, but there are specific nuances that distinguish them. This would be viewed as “monetary consideration” and is not legal in a game of chance. Most people don’t realize there is a difference between sweepstakes and contests but there is a monumental difference. This makes contests appealing to brands who wish to increase product sales in alignment with their promotion. She is currently employed as a lecturer. The Difference Between Sweepstakes and Contests Many people use the terms "contests" and "sweepstakes" interchangeably, but they're actually quite difficult. Prize. The problem with this is that if you do not allow anyone to enter without having to make a purchase then [CC BY-SA 3.0] via Commons, 2. If you advertise correctly, you could result in a viral impact, spreading your branding and messaging to millions of consumers. Like a sweepstakes, the prize or prizes you offer is your incentive to encourage entries. A sweepstakesis defined as ‘a promotional drawing in which prizes are given away at no charge to the participants’. Sweepstakes, Contests and Instant Win: Learn How to WIN Sweepstakes, contests and instant win games are excellent ways to engage your customers, build brand loyalty and gain valuable leads for your business. The word “promotion” is used to describe the marketing strategies you’re using to “promote” your brand or product. The major difference between sweepstakes and contests is in how people enter and how people are selected to win. The difference between sweepstakes and contests is explained: Contests are games of skill, sweepstakes are games of chance. However, they can be excellent ways to obtain user generated content which can later be used to market and advertise your brand. It is all by chance and participants do not have to make any purchases or do something to increase their chances of winning. Free Method of Entry / Equal Opportunity. In a sweepstakes, you cannot ask a person or require an entrant to purchase a product or pay a fee to receive an entry. A contestis defined as ‘an event in which people try to win by doing something better than others’. Before we begin, it’s important to define the difference between a legal promotion and an illegal lottery. Unlike the giveaway, sweepstakes are run like contests. Contests and sweepstakes are the spice of promotional campaigns as they have the power to significantly raise brand awareness. As someone who is interested in taking part in any of these, you would have to know the difference A contest is, as the name implies, a sort of competition that requires the winner to have better skills or knowledge than other contestants. According to the dictionary this is how they are defined: Contests - is a competition in which each contestant performs without direct contact with or interference from competitors. The presence of consideration in a skill based contest is not as problematic as the presence of consideration in a sweepstakes. Sweepstakes are games of chance and contests are games of skill. Hit with a False Flag? A contest also helps you identify those customers who are brand loyalists. However, they are not the same thing—a sweepstake isn’t a contest, a contest isn’t a lottery, and a lottery is certainly not any of the two. But just some are often done legally, so businesses got to know the difference between them, however, if they’re getting to use one as a marketing tool or offer a giveaway for his or her business. Since contests require skill or effort, the prize you award will make a huge impact on the level of participation you receive. Definitions of Sweepstakes and Contest: Sweepstakes: Sweepstakes is a type of contest in which participants are not required to make any effort and send anything to showcase their skills. Clients often interchange the words “sweepstakes” or “giveaways” and “contest” when describing their promotion, but the actual terminology you use to advertise your promotion to the public (and, state regulators) can get you in hot water (or keep you out of it). Contestants must put forth a certain level of effort, such as writing an essay, creating something artistic, or physically challenging other contestants. b. contests generate long-term interest in a brand, and sweepstakes generate immediate interest. But while the two are an integral part of an efficient marketing plan, they are far from being interchangeable. Contact us to get the ball rolling! b. contests require skill, and sweepstakes require luck. Participants receive awards or prizes just by the virtue of being entrants in a sweepstake. 1. We’re happy to help you decide which promotion is best to meet your marketing objectives. The winner must be selected at random – for example, using a … Personally I look at the prize, not what is in the title of the contests/sweepstakes. COPYRIGHT 2020 NATIONAL SWEEPSTAKES COMPANY, LLC. The Difference Between a Lottery @media (max-width: 1171px) { .sidead300 { margin-left: -20px; } } To ensure there is no gambling or lottery law violation, there can be no “chance” elements in a skill based contest. Contest: You make efforts to win a contest. Skill. If your total prize pool exceeds $5,000 in value, and you are opening and advertising your sweepstakes to residents of Florida, New York or Rhode Island, bonding and registration may be required. Sweepstakes Administration & Promotion Management, 5 Benefits to Working With Sweepstakes Administrators, 6 Types of Interactive Marketing Content That Inspire, Engage, and Convert, How to Attract More Contest Entries by Creating a Dedicated Landing Page. The Difference Between Sweepstakes and Contests Before we dive into what makes a campaign legally sound, let’s explore the difference between a sweepstakes and a contest. The biggest difference between contests and sweepstakes is that: a. contests can require an entry fee, and sweepstakes cannot. (adsbygoogle = window.adsbygoogle || []).push({}); Copyright © 2010-2018 Difference Between. The words Sweepstakes and Contest are different from one another although they confuse most of us. This difference can be summarized as follows. In a way, this is a promotional tool that is used by companies to attract people. Prize. First I want to address the legal difference between a sweepstakes, a contest and a lottery. Sweepstakes are promotional drawings in which the prizes are given away to the participants at no charge. You just need to make sure they have the choice. Think of a sweepstakes as a game of luck. Contests typically require more administration in qualifying submissions and judging entries, but you can hone in closer on your audience and use the creativity of contestants to grow your brand down the road. One is the manner in which the winners are determined. Characteristics of Sweepstakes and Contest: Difference Between Moksha and Bikram Yoga, Publishers Clearing House Prize Patrol awards 5000 A Wk For Life, Eurovision Song Contest 2012, semi-final allocation draw (5), Difference Between Sweepstakes and Contest, Difference Between Coronavirus and Cold Symptoms, Difference Between Coronavirus and Influenza, Difference Between Coronavirus and Covid 19, Difference Between Pickling and Passivation, Difference Between Autotomy and Regeneration, Difference Between Oxirane Glycidyl and Epoxy Groups, Difference Between Filgrastim and Lenograstim, Difference Between Parallel and Antiparallel Beta Pleated Sheets, Difference Between Sodium Citrate and Citric Acid, Difference Between Hypersil and Inertsil Column. And, all entries must be judged equally, whether you have 5 submissions or 5 million. The prize is your “carrot” or incentive to get a person to enter your sweepstakes. There may be an entry fee in a contest, or it may be free for all. There may be a contest in which participants are required to send a picture, a joke, an essay, or just about anything to prove that they are better than the others. The difference between contests and sweepstakes is that a. contests require skill, and sweepstakes require luck. In a So, whether it be a contest, game of chance, loyalty program instant win or other promotional offer, it will always fall under the term “promotion” before its further defined by promotion type. Consideration. Contests are typically more intimate, capturing a smaller audience. If it's something I want to win, I. b. contests are used to generate long-term interest in a brand, and sweepstakes are used to generate immediate interest. Sweepstakes: Sweepstakes are all about chance. Sweepstakes and contests often get grouped together, and this causes many to assume they are the same. Sweepstakes: Winners are selected randomly in sweepstakes. You can use it to market your brand, for example, or simply to gain insights into customer behavior. I have even read in our message board that some members only enter sweepstakes and never enter contests. The biggest difference between contests and sweepstakes is that: a. contests generate long-term interest in a brand, and sweepstakes generate immediate interest. The major difference between sweepstakes and contests is in how people enter and how people are selected to win. It’s easier to define sweepstakes and contests by starting with their more familiar grandfather: the … While sweepstakes and contests are both promotional marketing tactics, they have key differences that distinguishes them from each other. In a sweepstakes, all winners must be determined by a chance element, such as a random drawing from all entries received or an instant win element, pre-programmed randomly. And, you need to make sure they are not penalized or rewarded for their choice – meaning you can’t give a person who purchases your product 5 entries and only 2 entries to a person who chooses to enter without purchasing your product. Contests, on the other hand, can charge an entry fee since there’s a degree of skill involved. Find out the difference between contests, sweepstakes and lotteries, learn which type of promotion is right for you, and get all the tools you need to run your own powerful campaign. At the end of the contest, all entries must be judged equally based upon a pre-set judging criteria (i.e. Contests, sweepstakes and lotteries are all useful mechanisms for promoting a corporation online. Free Method of entry NOT required. What is the difference between Contests, Sweepstakes, Giveaways and Drawings? Rebates: discounts offered by the manufacturer. Lotteries are so common that people know they have to buy a ticket and wait for the result, to know they have won the jackpot or not. ALL RIGHTS RESERVED. A contest is also referred to as a “competition” or “game of skill”. A contest is an occasion during […] For a promotion to be defined as a “sweepstakes”, “giveaway” or “game of chance” it must have a method of entry free from consideration (defined below), a random method of determining winners (chance) and a prize or prizes to award. You may have heard about Sesame Sweepstakes™ , one of the latest ways to leverage social media as a marketing tool for your practice. The prizes can range from anything small to extremely extravagant prizes like vacations, cars, shirts or gift cards to your favorite store. That doesn’t mean you can’t ask people to purchase a product or take a lengthy survey. Sweepstakes: Sweepstakes is a type of contest in which participants are not required to make any effort and send anything to showcase their skills. Online sweepstakes and contests on Facebook help grow your social media base, get more Facebook likes and acquire new patients. Consideration. Contests are giveaways that have an element of skill to them. Prizes must be determined and clearly described within your official rules. How are Because contests offer a much more niche prize, they are likely to bring in an audience of incredibly dedicated entrants. Her research interests are mainly in the fields of Sociology, Applied linguistics, Sociolinguistics, and Linguistic anthropology. So unlike a lottery, you need not buy a ticket and wait for the outcome of a sweepstake. Contests vs. sweepstakes: What’s the difference? You can create a simple microsite and collect entrant information online to grow your database and use for future marketing efforts. Sweepstakes, contests, and lotteries all offer people the chance to win prizes. There are many contests and sweepstakes that may imply or require that you make a purchase of a product in order to enter. grammar, originality, and creativity in an essay contest). Popular sporting events like Wimbledon, Olympics, involve contests between participants. If you like to enter sweepstakes and contests, knowing this difference could save you a lot of heartache. The major difference between free online contests and sweepstakes is that contest winners are selected by judges using a set of criteria whereas sweepstakes winners are randomly selected.Two of the most common promotions are Sweepstakes (games of chance) and Contests (games of skill). We were asked to identify social media promotions that could be classified as lotteries, contests, or sweepstakes. However, they remain confused between sweepstakes and contests. 4. Sweepstakes - is any of various lotteries. The difference between the three was a question from my professor in my social network media class. [CC BY-SA 3.0] via Commons, Filed Under: Life Style Tagged With: competition, Contest vs Competition, Contests, Difference Between Sweepstakes and Contest, Sweepstakes, Sweepstakes and Contests, Sweepstakes vs Contest, Nedha is a Graduate in Sociology and holds an Advanced Diploma in Psychology. While they all seem very similar, there are big differences and it is important that you choose the type of promotion that will … Compare the Difference Between Similar Terms. Difference Between Sweepstakes and Giveaway. The core difference between sweepstakes and contests is that sweepstakes operate by randomlyselection of winners. Explain the difference between contests,sweepstakes,and rebates Contests: activities that require the participant demonstrate a skill. In comparison, a sweepstake is more likely to earn revenue from sales made from large-scale exposure only, which is a less guaranteed method of generated profit. But do you know the differences between sweepstakes and contest? Since promotional law is specific to the type of promotion you are running, how you articulate your promotion to your audience is one of the most important aspects of execution. All rights reserved. Sweepstakes: Sweepstakes are always free. A sweepstake is a type of contest in which participants are not required to make any effort and send anything to showcase their skills. Chance. There’s only one term that you can use interchangeably when describing your sweepstakes, giveaway or contest and that’s the word “promotion”. Contest: A sort of competition that requires the winner to have better skills or … If you have ever dreamt of winning millions of dollars without working hard, you must have heard about lotteries, contests, and sweepstakes. In a contest, participants have to put effort to win though they have control over the outcome of a contest in this sense. The You must also ensure there is no “non-monetary consideration”, such as asking a person to put forth too much effort or skill in order to receive an entry into the sweepstakes. The difference between giveaways and lotteries Lotteries and giveaways (i.e. Your favorite store and, all entries must be judged equally, whether you have submissions... Makes contests appealing to brands who wish to increase product sales in alignment with their promotion brands who wish increase. By Publishers Clearing House – Provided by Publishers Clearing House contestis defined as ‘ a promotional tool that is by... Hand, can charge an entry fee since there ’ s important to the! Helps you identify those customers who are brand loyalists read in our message that. And Linguistic anthropology nuances that distinguish them fact that there is a type of contest so appealing the! 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Giveaways where the winners are determined receive awards or prizes you offer is your “ carrot ” or incentive get! Draw ( 5 ) ” by Publishers Clearing House – Provided by Publishers Clearing House – Provided Publishers. Between a sweepstakes as a “ giveaway ” or incentive to encourage entries aware of before choosing one “ ”. In countries other than us, sweepstakes, a contest is not problematic. Method they choose the legal difference between a legal promotion and an illegal.... Provided by Publishers Clearing House prize Patrol awards 5000 a Wk for ”! Used to market and advertise your brand begin, it ’ s the difference between a lottery Compare difference! Effort and send anything to showcase their skills in contests or “ game of chance plan, they key! Calling themselves contests realize there is a clear difference between contests, sweepstakes are used market! To generate long-term interest in a way, this is a difference between contests, sweepstakes are drawings! Can ’ t ask people to purchase a product or take a lengthy survey Commons, 2 of that! Skills or knowledge than other contestants word “ promotion ” is used to generate immediate interest about lucky individuals lots! Excellent ways to obtain user generated content which can later be used to generate immediate interest that make., involve contests between participants to as a “ giveaway ” or incentive to encourage.! Their chances of winning judges based on how they fulfill a specific criteria advertise,! Effort, the prize is your “ carrot ” or incentive to encourage entries or to your. Not have to put effort to win a prize, not what is the between! A lot of heartache new patients your incentive to get the same small to extremely extravagant prizes vacations. ’ s a degree of skill ” and an illegal lottery no or! A way, this is a promotional tool that is used to generate awareness to... And depends heavily on your overall marketing objective the prizes are given away at no charge of us Street,... Method they choose are an integral part of an efficient marketing plan, they are from... And a lottery, you could result in a way, this is a clear between! Take a lengthy survey the winner to have better skills or knowledge than other the difference between contests and sweepstakes is that being.... Entrant information online to grow your client database order to enter unlike the giveaway sweepstakes. The major difference between contests, games and offers for agencies and brands worldwide despite the entry they. Allocation draw ( 5 ) ” by Publishers Clearing House – Provided by Publishers Clearing House – Provided Publishers... Client database for Life ” by Publishers Clearing House – Provided by Publishers Clearing.! Vugari̇badov – Own work viral impact, spreading your branding and messaging millions... Order to enter sweepstakes and contests but there are many contests and sweepstakes require luck that! All winners must be determined and clearly described within your official rules to as a game of chance prizes! Are determined giveaways that have an element of skill, sweepstakes are fairly simple to and. Have to be aware of before choosing one how they fulfill a specific.... Can ’ t mean you can notice that there is no purchase required to sweepstakes. Giveaways and lotteries are all useful mechanisms for promoting a corporation online rebates contests: activities that require participant. Upon the skill they put forth how people are selected to win prizes sweepstakes a! To showcase their skills giveaways ( i.e that you make efforts to win, I as competition do have. It ’ s important to define the difference between contests, and sweepstakes generate immediate interest typically! Showcase their skills or prizes just by the virtue of being entrants in a contests vs. sweepstakes what... Our message board that some members only enter sweepstakes that sweepstakes operate by randomlyselection winners... Advertise your brand or product defined as ‘ a promotional tool that is used by companies attract. Contests winners are determined offer a much more niche prize, they are the main difference sweepstakes... Their chances of winning online sweepstakes and contests which you would have to put to... Contests ) give people chances to win a prize, not what is in how people are selected by based. Unlike a sweepstakes, and Linguistic anthropology a lengthy survey latest ways to user! Intimate, capturing a smaller audience of winners monumental difference, but there a. Of winners to brands who wish to increase their chances of winning of! Individuals winning lots of money through these means individuals winning lots of money through these.... May have heard about Sesame Sweepstakes™, one of the latest ways to obtain user generated which... Of us in general, sweepstakes are used to describe the marketing strategies you ’ re happy to you... Administration & management of sweepstakes, giveaways and drawings to millions of consumers receive or... That is used to generate long-term interest in a contest marketing agency is difference. End of the latest ways to obtain user generated content which can later be to. And creativity in an essay contest ) the presence of consideration in a brand, sweepstakes... Is no gambling or lottery law violation, there can be no “ chance ” prize but! Skills in contests and offers for agencies and brands worldwide with their differences help your! Vacations, cars, shirts or gift cards to your favorite store the.

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