20 Nov 4 Tips for Running a Global Sweepstakes
Frequently brands come to us looking for a social program that spans globally with some sort of sweepstakes component for fans and followers. The sticking point of the sweepstakes is often this: To run a truly global sweepstakes in every country is legally impossible.
While that may sound ridiculous, let me stress the word “legal”. To start, there are countries that still consider a sweepstakes to be an illegal lottery and are forbidden. Then there is Spain, who will allow a brand to run a sweepstakes in their country as long as the brand doesn’t offer it to any other country. And then there places like New South Wales that require winner selection to be held locally, and Argentina that specifically requires winner selection by a local public notary. I could go on…
Then How Do I Run A Global Promotion with a Sweepstakes?
Truthfully, it’s not necessary to run a sweepstakes in EVERY country. Here are my tips for running a successful global promotion with a sweepstakes component:
Identify the Countries That Are Important To Your Brand
Perhaps you create this list by identifying where your current fans are located and then expanding the list with the countries in which you’d like to see your brand expand. Now you have a starting place and can work with legal counsel to identify the feasibility and legal nuisances that coincide with the countries you’ve selected.
Budget First, Approval Second
Have your budget finalized before diving into the process of seeking approvals from these countries. Running a global sweepstakes can be expensive. For every country on your list, you should expect to spend between $2K-$5K minimum in addition to fees associated with rules development, for legal consultation alone. It becomes even pricier when the country requires specific translations, use of a local agency for winner selection, registration fees, etc. So know your budget, then build your country list accordingly.
Give Yourself Proper Lead Time
When running a global sweepstakes, you’ll need to give each country time to review and approve your official rules and in many cases any advertising materials that coincide with that promotion. Countries like the UK and Canada (excluding Quebec) have short lead times and can provide approvals within 2-4 weeks but many countries will require a minimum 6-8 week lead time.
Flexibility and Creativity
As you’re planning a global sweepstakes, you never know what curveballs will be thrown at you. Perhaps you need to make a slight change to the way a promotion works for final approval by a country. Be willing to change, keeping in mind the impact of these changes to the entire program. If a country wants you to change too much and those changes put the program’s projected successes in jeopardy, determine the relative risk of excluding a country. (Here’s a great example of why flexibility is important, from Direct Marketing News.)
While a global sweepstakes component may seem like a great add-on or incentive to a global social program, hopefully these tips have helped shed some light on the legal scenarios that social media marketer’s should consider in the process. Good luck planning your next global program!
