Contests and sweepstakes are virtually the same, right? Wrong. ROI is a major consideration when you are trying to decide whether to run a text sweepstakes or contest.
The major difference is that contest winners are chosen by judges based on skill or criteria, while sweepstakes winners are chosen randomly. This difference could have a big impact on the ROI of your campaign.
So which is best for your brand?
Read on for some important factors when deciding which is better for your business.
The Hidden Costs of Contests
The first thing to consider is that contests take more effort to enter compared to any sweepstakes, especially text sweepstakes. That’s because contests ask entrants to create content, such as photos or videos, to enter. Only some may be willing to put in that kind of effort or even have access to the resources needed to enter.
In addition, your contest may be limited by social media’s walled garden. If your contest is on Facebook, for example, you miss reaching people who aren’t on the network (like many Millenials). We won’t even get into how algorithms are throttling your ability to reach your audience on Facebook or Instagram.
Also, many contests aren’t truly mobile-friendly. Have you tried to create and edit a video on your phone for a contest submission? It’s not always seamless.
So the hidden cost is time. Believe it or not, time is an important factor in a person’s decision to enter. And if they decide the cost of their time is too high, they won’t enter, which reduces your results as well.
Entering a Text Sweepstakes is Virtually Effortless
If you are just starting out with trying to find the right audience for your product or service, running a contest adds an extra layer of time and complexity that needs to be considered.
A text sweepstakes, however, is effortless in comparison. Since entering a mobile number and name is all people need to enter, the time cost is much less and you can expect a higher number of entries.
As another benefit, a text sweepstakes also requires less investment because you won’t need to worry about judging the quality of the entries as you would have to with a contest.
If you’re still unsure about which to choose, think of it this way: a contest allows you to put a few fishing hooks into the water while a text sweepstakes allows you to cast a wide net.