A logo for kripa financial solutions with an arrow pointing up.

Social Media Contest Rules Template


In this document we’ll explain some of the differences between various types of giveaways, suggest best practices for writing rules, and include a template that could be used to write rules for a giveaway.


Please note that the following is only a brief overview and you must obtain legal guidance from an experienced attorney before conducting a promotional campaign.

 

Sweepstakes vs. Contests vs. Lotteries

First, understand the differences between sweepstakes and contests (which are legal promotional campaigns), and private lotteries (which are illegal under state law).

• A Sweepstakes is a campaign in which entrants can win a prize based on chance. No purchase, payment, or other consideration is permitted, and the winner is picked at random.  The element of consideration must not exist in a Sweepstakes.  Caution: consideration is anything of value the contestant must give up to participate, monetary or non-monetary, and can exist if the contestant must expend substantial time or effort that benefits the sponsor.  For example, some states have determined that providing contact information is consideration if the information is to be used for marketing purposes.

• A Contest is a campaign in which effort, skill, or merit, is required to enter to win a prize. For example, you may require people to upload a photo or video in order to enter. The winner is determined by voting or other judging criteria. The element of chance must not exist in a contest.

• A Lottery requires purchase, payment, or other consideration (the contestant has to buy something, such as a ticket), chance, and a prize. Note: Private lotteries are illegal under state law.  Moreover, under federal law, it is illegal for U.S. citizens to even participate in a foreign lottery. You may not use this software to conduct a lottery.  Do not run a lottery.

Before you host your next campaign, familiarize yourself with best practices regarding writing regulations, and then download and complete the document (included below) to post rules and requirements specific to your campaign. Go through the document and wherever you see [bracketed text in orange] replace the bracketed text with details about your company, prize, and rules.

Note: Be sure you’re familiar with each social network’s regulations.

 

Best Practices

Here’s what you need to know:

• Official Rules should include:

• “No Purchase Necessary”

• “Purchase does not enhance chance of winning”


Share by: