22 Exciting Giveaway Ideas for Small Businesses

Giveaways are an effective way for small businesses to boost engagement, drive traffic, and increase brand awareness. Here are 22 creative giveaway ideas to help your business grow.

Verna Law, P.C. focuses on advertising and promotion law.  If you have a question about your business’ giveaway or promotion contact us at 914-908-6757 or anthony@vernalaw.com.

1. Photo Submission Contest

Photo contests are excellent for generating user-generated content (UGC) and promoting your products. Ask users to upload photos of themselves using or enjoying your products, either on your site or social media with a specific hashtag.

Example: Starbucks’ #redcupcontest asked users to share their most creative red cup moments, resulting in thousands of entries and a significant buzz around their seasonal drinks.

2. Video Submission Contest

Encourage your audience to submit videos to enter your giveaway. This not only boosts engagement but also provides valuable content for future marketing campaigns.

Example: Zomato’s #zomatoloot campaign invited users to create YouTube ads, turning customer complaints into a marketing opportunity and generating thousands of creative entries.

3. Refer-a-Friend Giveaway

In these giveaways, participants must tag friends to enter, amplifying reach and engagement as entrants spread the word for you.

Example: The Skinny Food Co. runs frequent refer-a-friend giveaways, requiring likes, follows, and tags, with bonus entries for sharing posts to stories.

4. Submit-an-Idea Giveaway

Collect valuable feedback and ideas from your audience by asking them to submit suggestions for a new product, brand name, or slogan.

Example: Lay’s iconic ‘Do Us a Flavor’ campaign invited users to submit new chip flavor ideas, generating massive engagement and valuable consumer insights.

5. Caption Contest

Post a photo on your social media and challenge your audience to come up with a creative caption. This fun and simple idea boosts engagement and encourages creativity.

Example: @squashskills on Instagram frequently runs caption contests to engage their audience.

6. Voting Contest

Let your audience vote for the winner. This can be especially engaging if you’re running a photo or video submission contest.

Example: The New Yorker’s weekly cartoon caption contest allows users to vote on the best caption, increasing interaction and engagement.

7. Leaderboard Competition

Gamify your giveaway by setting up a leaderboard where participants earn points for specific actions. Display the top entrants on a public leaderboard to incentivize more participation.

8. Hashtag Competitions

Ask users to post content on social media using a specific branded hashtag to enter the giveaway. This is particularly effective on platforms like Instagram.

9. Instant Win Giveaway

Offer instant-win prizes for reaching specific milestones or completing certain actions. This keeps participants motivated and engaged throughout the giveaway.

10. Spin the Wheel Giveaway

Add an interactive spin-the-wheel widget to your website where users can win prizes like coupons and discount codes. This fun element encourages participation and can drive sales.

11. Secret Code Giveaway

Create excitement by asking users to enter a special code to participate in the giveaway. Hide the codes in different places, such as social media posts or website pages, to keep your audience engaged.

12. Story Giveaway

Ask your audience to share a story related to your product or service. This type of giveaway generates high engagement and provides authentic content for your marketing.

13. Quiz Giveaway

Host an interactive quiz on your website and allow users to enter the giveaway upon completion. This can be a fun way to engage your audience while gathering useful data.

14. Influencer-Led Giveaway

Partner with influencers to promote your giveaway. This can significantly increase your reach and attract more participants.

Example: @Loungefly partnered with influencer and actor @rosaliechang to promote a giveaway, resulting in over 14k likes and increased visibility.

15. Buy-to-Win Giveaways

Encourage purchases by offering entries only to customers who buy your products. This strategy can drive sales while engaging your audience.

Example: McDonald’s Monopoly giveaway rewards customers with game pieces for purchasing select items, driving sales and engagement.

16. Spot the Difference Giveaway

Post two almost-identical photos and challenge users to identify the difference to enter the giveaway. This fun game can boost engagement and visibility.

17. Online Poll Giveaway

Run a poll on social media and allow participants to enter the giveaway by voting. This increases engagement and provides valuable feedback.

18. News-Led Giveaway

Theme your giveaway around a trending news story to capture more attention and engagement.

Example: @pharmagel launched a ‘quarantine care package’ giveaway during the COVID-19 pandemic, tapping into a current event and boosting reach.

19. Holiday Event Giveaway

Tie your giveaway to a holiday or event to capitalize on seasonal interest and searches.

Example: @jb_cookie_cutters ran a successful 4th of July-themed giveaway, attracting hundreds of entries.

20. Product Launch Giveaway

Generate excitement for a new product launch by running a giveaway campaign ahead of the release.

Example: @inthestyle ran a giveaway for their new clothing line, allowing followers to win pieces from the collection.

21. Nominate-a-Friend Giveaway

Encourage kindness and engagement by asking users to nominate friends for a chance to win.

Example: @littlemustardclub runs a monthly giveaway where users nominate friends by tagging them and explaining why they deserve to win.

22. Download-an-App Giveaway

Boost app downloads by linking your giveaway to app installation.

Verna Law, P.C. focuses on advertising and promotion law.  If you have a question about your business’ giveaway or promotion contact us at 914-908-6757 or anthony@vernalaw.com.

The Key Differences Between Sweepstakes, Contests, and Lotteries

When planning a promotional campaign, it’s essential to understand the differences between sweepstakes, contests, and lotteries. Each type has unique characteristics and legal requirements. This post will delve into these differences and discuss the legal issues associated with each type, especially from the perspective of a law firm specializing in sweepstakes and advertising law.

Sweepstakes

Definition: A sweepstakes is a promotional drawing in which prizes are given away to randomly selected participants. Unlike a lottery, no purchase is necessary to enter or win.

Legal Issues:

1. No Purchase Necessary: One of the most critical legal aspects is ensuring that participants are not required to make a purchase or pay to enter. This requirement distinguishes sweepstakes from illegal lotteries.
2. Official Rules: Clear and comprehensive official rules must be provided. These rules should include eligibility requirements, entry methods, deadlines, prize descriptions, odds of winning, and dispute resolution procedures.
3. State Laws Compliance: Sweepstakes must comply with state laws, which can vary significantly. Some states require registration and bonding if the prize exceeds a certain value.
4. Disclosure Requirements: Proper disclosure of material terms and conditions is mandatory to avoid deceptive practices. This includes disclosing any alternate means of entry.
5. Void Where Prohibited: It’s common to see sweepstakes marked as “void where prohibited.” This phrase means that the sweepstakes are not open to residents of jurisdictions where such promotions are not legal.

Contests

Definition: A contest is a competition where winners are determined by skill, talent, or merit, rather than by chance. Participants usually submit entries that are judged based on predefined criteria.

Legal Issues:

1. Judging Criteria: Clear and objective judging criteria must be established and communicated to participants to avoid claims of bias or unfairness.
2. Intellectual Property Rights: It’s crucial to address the ownership of the submitted entries. Typically, sponsors will require participants to grant a license or transfer ownership of their entries.
3. Official Rules: Like sweepstakes, contests need well-drafted official rules that outline the judging process, criteria, eligibility, and prize details.
4. State Laws Compliance: Although less regulated than sweepstakes, contests must still comply with state laws. Some states have specific rules regarding entry fees and prize promotions.
5. Skill vs. Chance: Ensuring that the contest is based on skill rather than chance is crucial to avoid being classified as an illegal lottery. The judging criteria should be robust enough to demonstrate the skill element.

Lotteries

Definition: A lottery is a game of chance where participants pay for a chance to win prizes. Lotteries are heavily regulated and typically can only be conducted by government entities.

Legal Issues:

1. Prohibition: Private lotteries are generally illegal under federal and state laws unless specifically authorized by state law (e.g., charitable raffles).
2. Regulatory Compliance: Authorized lotteries must adhere to strict regulatory requirements, including licensing, reporting, and auditing.
3. Fundraising Restrictions: For charitable organizations, conducting a lottery often requires adherence to fundraising regulations and obtaining necessary permits.
4. Tax Implications: Winners of lotteries may face significant tax implications. Organizers must ensure proper tax withholding and reporting.
5. Advertising Restrictions: Advertising lotteries is subject to stringent regulations to prevent misleading or deceptive promotions.

Legal Considerations for Sweepstakes and Advertising Law Firms

When advising clients on sweepstakes, contests, or lotteries, law firms specializing in sweepstakes and advertising law should focus on the following areas:

1. Drafting and Reviewing Rules: Ensure that the official rules for each type of promotion are clear, comprehensive, and compliant with relevant laws.
2. Compliance Checklists: Develop compliance checklists for different jurisdictions to ensure clients meet all legal requirements.
3. Intellectual Property: Address intellectual property concerns, particularly for contests, where the ownership of entries and the use of participants’ likenesses may be involved.
4. Regulatory Filings: Assist with necessary filings and registrations, particularly for sweepstakes with high-value prizes and charitable lotteries.
5. Advertising Compliance: Review promotional materials to ensure they meet advertising standards and do not mislead consumers.
6. Privacy and Data Protection: Advise on data protection laws, especially regarding the collection and use of participants’ personal information.
7. Risk Mitigation: Provide strategies to mitigate legal risks, such as including arbitration clauses and limitations of liability in the official rules.

Conclusion

Understanding the nuances and legal requirements of sweepstakes, contests, and lotteries is crucial for running compliant and successful promotions. By focusing on the legal issues associated with each type, businesses can avoid potential pitfalls and create engaging, legally sound promotional campaigns. Law firms specializing in sweepstakes and advertising law play a vital role in ensuring these promotions adhere to all relevant laws and regulations.