Though extremely effective as promotions, sweepstakes require special care. No other promotional tool is more tightly controlled by law at both the state and federal level (see Doc. 3035, Promotion Law). This checklist will help you understand what bases need to be covered in order to create an effective, legal program. It was prepared by Don Jagoda Associates Inc., a full-service promotion agency with offices in Melville, NY, West Palm Beach, FL and Los Angeles.

WHY SWEEPSTAKES?

Sweepstakes have many applications, including:

• Build databases.
• Draw attention to advertising.
• Add fun to an incentive program.
• Add value to a consumer offer.
• Draw attention to a direct mail piece.
• Prompt people to fill in a busines reply card.
• Prompt people to fill in a warranty card.

PLANNING

• Establish your promotion objectives.
• Determine your promotion budget.
• Select a project coordinator.
• Assign project responsibilities and set a timetable.
• Consult a sweepstakes planning organization, if you have the budget for one.
• Determine which company products will participate.
• Determine duration of your promotion.
• Determine geographical areas participating.
• Establish media budget and schedule.
• Establish criteria for evaluating results.

THEME AND MECHANICS

• Develop a theme or unifying concept for your sweepstakes, making sure that it:
• will appeal to your target audience.
• reflects your brand or service image.
• Make sure that the theme and mechanics:
• satisfy your objectives.
• can be easily understood and conveyed.
• Give sufficient emphasis to the product being promoted.
• Consider the possibility of the theme lending itself to a noncompetitive product so that could participate in a joint promotion and share expenses.
• Comply with truth in advertising standards. Don't mislead.
• Submit theme and copy to those departments required to share their approval. Typically, this would include promotion, advertising, brand management, and legal.

RULES

• Don't use last year's rules for this year's promotion. Draft rules specific to the promotion you are running.
• Indicate where official entries can be obtained.
• Spell out the alternative to submitting proof-of-purchase.
• Disclose eligibility requirements. Who may enter?
• Specify that mechanically reproduced entries may not be submitted.
• Set deadline date for receiving entries.
• If a skill contest, spell out the judging criteria.
• Provide the odds of winning.
• Specify whether a winner may elect cash instead of merchandise.
• Indicate the mailing address for submission of entries.
• Identify those states in which the promotion is void.
• Determine whether affidavits will be required of winners. If so, state this fact.
• Explain how people can obtain a list of winners. Provide the address to which requests should be sent.
• Submit rules to attorneys for approval.

PRIZES

• Select a prize structure appropriate to the theme of the promotion.
• Determine the number of prizes to be offered based upon your budget and objectives, and what is needed to get attention.
• Secure the necessary artwork depicting the prizes as well as descriptions of them.
• If possible, negotiate for discounts on the prizes in exchange for media exposure.

ADMINISTRATION

• Comply with the state statutes requiring registration and the filing of a surety bond.
• Determine who will perform the judging. (Using an independent judging organization reinforces credibility.)
• Arrange for verifying and notifying winners. Secure affidavits of eligibility and release.
• Secure relevant statistical data, such as weekly reports of entries received and a breakdown, by media used, of entries received.
• Arrange for timely shipment of prizes to winners.
• File a post-sweepstakes report with states requiring such information.

SUPPORT

• Map strategy for trade and dealer sell-in.
• Prepare promotion materials for the trade, including brochures, letters, and trade ads.
• Develop media plan for print (free-standing inserts and run-of-press), TV, radio, and direct mail support and create materials.
• Consider holding a pep rally with field sales personnel charged with implementing the program.
• Prepare in-store display materials: risers, window streamers, shelf talkers, and end-aisle displays.
• Consider the need for a dealer incentive, such as a trade sweepstakes, a case allowance, or an advertising allowance.
• Prepare press releases about major winners for submission to hometown newspapers.