How to run a successful prize draw on Crowdfunder

by Crowdfunder | Jun 03, 2024 | Learn

How to run a successful prize draw on Crowdfunder

Fundraisers all over the country are finding Crowdfunder Prize Draws an exciting new way to raise money all year around. Keep reading to find out our top tips for running a successful prize draw on Crowdfunder.

What is a prize draw?

A prize draw is a competition that people can enter to be in with a chance of winning an exclusive prize. At Crowdfunder, entrants donate money to your fundraising campaign to be in with a chance of winning. Once the closing date has passed, a winner is randomly selected, so everyone has the same chance of getting the prize. You’ve got to be in it to win it!

Who can run a prize draw?

Anyone can run a prize draw on Crowdfunder. Whether you’re a charity, business, start-up, individual, sports club, or community group, you can run a prize draw to boost your fundraising campaign. Prize draws are accessible to all with a low price point of entry (opposed to a more traditional auction). And the best part? We’ve waived our platform fee, so more of the funds raised goes directly to your cause.

What makes a good prize?

The ideal prize should be something unique and memorable, offering an experience or item that stands out from everyday rewards. It should be valuable and meaningful to the recipient, tailored to their interests and aspirations. Whether it’s an exclusive event, a custom-made item, or a once-in-a-lifetime opportunity, the best prizes are those that evoke excitement and appreciation, making the achievement truly special. Read on blog on the difference between rewards and a prize draw.

Here are some examples of great prize draws on Crowdfunder

How often can I run a prize draw?

You can run an unlimited number of prize draws, which can significantly boost your ongoing fundraising efforts. Many organisations that run successful prize draws for the first time often return to Crowdfunder to host monthly prize draws.

Here are some examples of projects using monthly or multiple prize draws for fundraising. 

How long should I run my prize draw for?

We recommended that you run your prize draw for five to six weeks, but you can adjust this based on your needs. Often, extending the draw to six or eight weeks allows more time for people to participate and increase fundraising.

Advice on setting your target

If this is your first time running a prize draw on Crowdfunder, we recommend setting a modest target, knowing you can always exceed your goal! Finding the perfect prize that resonates with your audience might take a few attempts, and subsequent draws could be more successful than the first. Here are five things to consider when setting your target.

Crowdfunder has hosted some remarkable prize draws that have raised significant funds for important causes. Notably, the Glastonbury Festival raised over £1 million for Oxfam, War Child, and the British Red Cross to support people affected by conflict. Similarly, the Ipswich Town Foundation raised over £50,000 through monthly prize draws, offering prizes such as signed player shirts and guitars made from pieces of the stadium.

How to promote your prize draw

Make sure as many people as possible know about your prize draw by spreading the word far and wide. Promote your page through your own social media channels, as well as any channels associated with the prize. Create posters, email your supporters and shout about your competition everywhere you go! The more people who know about your prize draw, the more money you’ll raise for your cause.

Here’s our advice to get your prize draw off to the best start

  1. Aim to raise about 10% of your target before the official launch. This boosts your project’s credibility and encourages others to donate when they see existing support.
  2. Promote your prize draw multiple times via email and social media throughout the campaign, varying the messages between focusing on the prize and the cause. Read our blog on supercharging your fundraising campaign.
  3. If a partner or celebrity has contributed a prize, encourage them to promote the draw to attract new audiences.

Prize draw guidelines

Before you set up your prize draw, make sure you fully understand and comply with the rules that apply, as you are responsible for complying with them. These include laws on gambling, advertising, privacy and other areas. Be careful not to run a prize draw that qualifies as a lottery or raffle. Most importantly, you must have a free entry route. Take a look at our prize draw guidelines for more information.

What are free entry routes?

Your Crowdfunder prize draw must have a free entry route to be compliant. The most commonly used free entry route is entry by standard post (i.e. a first or second class letter or postcard), a standard (not premium) rate phone call or SMS or entering for free on a website. Take a look at our prize draw guidelines for more information.

How to start a prize draw

1. Create a prize draw page – Create your prize draw, set your fundraising target and choose a closing date. Publish your T&Cs too.

2. Share your prize draw – Shout about your prize draw on social media, create posters, and encourage your supporters to enter to win.

3. Pick a winner! – When the closing date arrives, randomly select your lucky winner. You’ll then receive all the funds you’ve raised along the way.

So what are you waiting for? Start a Prize Draw.

Ready to raise funds for your idea?

Over £200 million has been raised from our crowd to support the projects they love! Plus tens of millions more unlocked by our partners.