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Working with a sweepstakes company will get you the perspective of sweepstakes experts so that you are able to create maximum ROI campaigns and build a solid foundation for regular sweepstakes marketing.
This could mean creating an annual sweepstakes marketing plan for a more consistent schedule for running giveaway promotions across your business.
When Should You Hire a Sweepstakes Company?
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IN THIS ARTICLE:
- What does a sweepstakes company do?
- How much does it cost to hire a sweepstakes company?
- Why you should hire a marketing agency?
- How do I hire a sweepstakes administrator?
Tips for Hiring a Sweepstakes Company
Hiring a sweepstakes company is a choice that could either result in your campaign delivering high ROI or falling flat. Here’s how to hire a sweepstakes company to ensure the success of your next giveaway campaign.
Before we get started…
5 Important things to know about hiring a sweepstakes company:
- Sweepstakes companies are not only capable of handling the logistics and event coordination aspects of a sweepstakes promotion, they can also advise you on the legal and compliance aspect of it.
- Understanding the services you need (full-sweepstakes administration and planning or a sweepstakes platform) and which services would be better outsourced to a sweepstakes marketing company.
- Identify your sweepstakes campaign KPIs
- Obtain sweepstakes company quotes, and request a proposal for sweepstakes administration, sweepstakes marketing, or prize fulfillment before moving forward with a sweepstakes campaign proposal to ensure that they are able to fully meet your needs.
- This article is intended for account managers considering obtaining sweepstakes company quotes or legal services alongside sweepstakes management.
Why Should Brands Hire Sweepstakes Company Administrators?
Many brands struggle to manage sweepstakes promotions in how while also managing the day-to-day aspects of their other marketing efforts.
Additionally, running sweepstakes and giveaways requires legal compliance and campaign management expertise that even the world’s largest brands often do not have on their staff.
In these cases, marketing account managers should seek out the services of an experienced sweepstakes company in order to free up internal staffing resources and get access to the latest martech tools.
Types of Sweepstakes Companies
There are many sweepstakes company services and marketing agencies.
While some offer functions in multiple areas of sweepstakes management, there are others that remain hyper-focused on servicing brands in particular industries or with certain aspects of the sweepstakes promotion, such as sweepstakes administration, legal compliance, sweepstakes marketing or prize fulfillment.
Here are some of the most common sweepstakes company specializations within the sweepstakes industry.
Sweepstakes marketing consultancy
As the name indicates, a sweepstakes marketing consultancy or agency performs services related to promoting your sweepstakes campaign. They will coach you in using specific marketing and promotional advertising methods to help you maximize your sweepstakes ROI.
Text To Win SMS sweepstakes company
Sweepstakes done over text message are commonly referred to as text to win or SMS sweepstakes. These promotions require additional compliance with Telephone Consumer Protection Act (TCPA) and other mobile marketing laws. The SMS sweepstakes company will carry out the legal compliance matters for you.
Some sweepstakes companies are actually sweepstakes platforms giving you access to a DIY platform that you can use to run your sweepstakes promotion. While these platforms are useful for smaller giveaways, it’s recommended that you hire a sweepstakes company or hiring the giveaway platform’s consulting services for custom sweepstakes campaigns.
Print marketing agency
A print marketing agency can assist you with helping to produce the visual advertisements that you need to promote your sweepstakes on product packaging or via in-store retail displays.
With a print marketing agency to assist you with your sweepstakes advertisements, you can be assured that the disclaimers required by law, such as the abbreviated rules, appear directly on the advertising in the appropriate location.
There are many ways to promote a sweepstakes with print marketing, such as with in-store end-cap displays, via subscription box mail inserts, direct mail, and more.
Prize fulfillment company
A prize fulfillment company is a company that handles the acceptance, packing, and delivery of the sweepstakes prize(s) to the sweepstakes winner(s). Prize fulfillment companies enable brands to outsource the delivery of sweepstakes prizes, including goods that require warehousing, pick and pack, and shipping and returns.
5 Things You Should Know Before You Hire a Sweepstakes Company
- What goals you want your campaign to accomplish.
- Which services the sweepstakes company provides.
- Research the brands that the sweepstakes company previous worked with.
- Acknowledge the legal compliance and sweepstakes management steps that require your involvement and availability.
- Make sure that you have all of the services you need.
- Read any contracts carefully.
Why Do Sweepstakes Campaigns Struggle?
A lack of preparedness and access to the right resources are typically at fault.
Marketers are often up against other time-sensitive promotions in a rush to ensure that deadlines are met.
They need to make sales.
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They don’t do the homework and engage in sweepstakes promotions without the right data, campaign expertise or promotional marketing.
Their sweepstakes creatives may look professional, but they don’t attract participants. The reasons are almost always the result of in-house marketers not having access to the core designs and marketing tools that are needed to reach the desired KPI metrics.
In-house marketers simply don’t know how to design campaigns that specifically:
- Improve brand awareness, increase sales, and drive leads
- Define a target audience to increase reach
- Create a compelling sweepstakes value proposition that makes it virtually impossible for entrants to not run to your campaign
- Establish a follow-up and annual sweepstakes marketing plan
- Gather first-party data, campaign analytics data, and customer experience metrics
Without the necessary tools in place to capture the interactions with all sweepstakes campaign brand touchpoints, their efforts are minimized from the start.
How Does Pricing Work for a Sweepstakes Company?
Like other marketing services, the pricing for sweepstakes companies varies from company to company. The pricing typically depends on the estimated number of participants for your company, the campaign’s duration or the company’s own set fee structure.
The sweepstakes company may give you access to a sweepstakes platform where you can manage your campaign on your own or you may opt for full-service sweepstakes administration services where the campaign will be fully managed on your behalf by a sweepstakes administrator.
With so many unique aspects to sweepstakes campaign management, it’s difficult to tell what is considered as affordable depending on your desired campaign features and service requirements.
For example, if you plan to run influencer marketing campaigns on your own in-house versus simply hosting a book giveaway, your budget could range from $10,000 a month to just under $1,500 for a one-time promotion.
While sweepstakes company quotes vary, it’s important to understand that sweepstakes company pricing is necessary so that you can understand exactly what you might encounter when receiving quotes for sweepstakes management services from various companies.
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