If you’re thinking of running a prize promotion, you’ll need to consider a variety of promotion mechanics. Choosing the right promotion mechanism for your brand and target audience is crucial to the success of your campaign.
In this blog, our prize experts will cover 6 of the most common promotional mechanics so you can make the right choice for your promotion and connect with your customer base in a lasting and meaningful way.
Prize promotion mechanic meaning
First things first, it’s important to understand what a prize promotion mechanic is. This term refers to the method or format you use to deliver your prize promotion, including how the winner is chosen, how customers can enter the competition, how customers receive the prizes, and how the promotion is advertised.
In this blog, we’ll cover the following types of promotion mechanics:
- Prize draws
- Prize competition
- Instant win promotions
- Social media promotions
- On-pack promotions
- Collection promotions
1. Prize draws
This is one of the most common types of promotion mechanics. The prize draw winner is randomly selected rather than based on skill or merit (like in a prize competition). In the UK, your prize draw must have a free entry route to qualify as a prize draw. Otherwise, you run the risk of running an illegal lottery.
2. Prize competitions
Prize competitions are when the winner is selected based on skill or merit, such as answering a question or solving a puzzle. This must be challenging enough to prevent a significant number of entrants from receiving a prize (known as the ‘skill test’). For example, if participants who successfully solve a challenging riddle receive a prize, it would be classed as a prize competition. If the ‘skill test’ is met, then there does not need to be a free entry route.
For more information on the rules around prize competitions, check out our blog, ‘Running prize competitions in the UK’.
3. Instant win promotions
Instant-win promotions are a type of prize draw where customers either receive their prize straight away or know immediately whether they’ve won or not. These can be a great way to encourage customers to purchase your product and are a simple and effective way to drive sales in the short term.
There are several types of instant-win promotions, including:
- ‘Golden ticket’ promotions, where the prize is allocated to specific products ahead of time.
- ‘Winning moment’ competitions where the prize is allocated to a pre-set time, and anyone who enters at that time will receive a prize.
- Physical on-pack instant win promotions, such as a peel-to-reveal sticker or label on product packaging.
- Digital on-pack instant win promotions involve customers visiting a landing page and entering a code found on the packaging to find out if they’ve won.
4. Social media promotions
A social media promotion is one that’s advertised, promoted, or run through a social media platform. It can be a great way to create a buzz around your brand, boost engagement, and increase brand awareness.
Each platform has clear promotion and competition guidelines that you must follow. We’ve got everything you need to know in our blog, ‘How to run a competition on social media’.
5. On-pack promotions
An on-pack promotion offers customers a chance to win a prize if they purchase your product. They’re often run as part of a wider promotional campaign, and they’re designed to motivate customers to purchase your product, generate brand awareness, and increase sales.
For more information on running an on-pack promotion, check out our blog, ‘How to run an on-pack promotion’.
6. Collection promotions
A collection promotion is a great way to increase brand loyalty and improve customer retention rates. It involves customers collecting physical or virtual tokens to win prizes, enticing customers to make further purchases to collect the necessary tokens. A famous example of this kind of promotion mechanism is McDonald’s Monopoly promotion, where customers collect properties to win.
Need help running a prize promotion?
At Another Way, we create bespoke prize promotions using a wide range of promotional mechanics. Everything we create is designed to engage your target audience, boost long-term customer retention, attract new customers, and increase revenue.
Our founder, Andrew, has worked in the Promotional Marketing industry for over a decade. He’s worked with big brands, including Airbnb and Ocado, to create expertly designed prize promotions that have delivered incredible and long-lasting results.
Check out our campaign inspiration to see what we can achieve, no matter the size of your promotion budget.
At Another Way, we don’t just come up with great ideas – we also manage every aspect of your promotional campaign. You can rely on our professional team to ensure everything runs smoothly.
We offer:
- Unique prizes and experiences
- Prize promotional mechanics
- Pan-European and global prize fulfilment
- Winner management, selection and entry judging
- UK and multi-territory terms and conditions
- Loyalty reward schemes and consumer incentives
- Complete campaign management
If you’re interested in working with us on your next prize promotion, give us a call at 0778 948 5123 or email us at prizeteam@another-way.co.uk.
Or complete our online form, and a member of our team will contact you as soon as possible.
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