« Return to Resources

Mobile Phone Sweepstakes | How to Do it By The Book

Organizing a mobile phone sweepstakes or contest is a great way to interact with consumers and create awareness for your brand! But you must make sure your competition conforms with all relevant rules and laws. Let’s discuss some essential steps to run a legitimate and successful mobile promotion.

What Is a Mobile Phone Sweepstakes?

Through the use of their mobile devices, consumers can participate promotional campaigns like sweepstakes or contest and win big prizes! Entering these contests usually entails sending text messages (SMS), using mobile apps, or submitting content online that is mobile-friendly.

Legal Requirements

1. Official Rules

When creating your sweepstakes or contest, it’s essential to develop comprehensive, legally compliant rules that outline all aspects of the competition. Your official rules should specify eligibility requirements, including age restrictions and geographical limitations, along with detailed entry methods and any applicable limitations. Be sure to include clear descriptions and values of all prizes being offered, as well as a thorough explanation of the winner selection process. 

Timing is also crucial, so clearly state all important dates, such as when the promotion begins, ends, and when winners will be determined. And don’t forget to include information about the odds of winning and any necessary disclaimer statements to protect your organization legally.

2. Registration and Bonding

Before launching your campaign, research state-specific registration requirements, as some jurisdictions mandate official registration of promotional contests. For high-value prizes, typically those exceeding $5,000, you may also need to secure surety bonds to guarantee prize delivery. 

Additionally, ensure your campaign fully complies with all federal regulations, paying particular attention to FCC guidelines governing mobile campaigns, as these rules are crucial for maintaining legal compliance in mobile phone sweepstakes or contests.

Best Practices

1. Entry Method

When designing your mobile phone contest or sweepstakes, always provide a free, alternative method of entry to ensure accessibility for all potential participants. Clearly communicate in your promotional materials that message and data rates may apply for mobile entries. 

2. Data Collection

Implementing robust data security measures is paramount when collecting participant information. Develop and prominently display a clear, comprehensive privacy policy that outlines how you’ll use and protect participant data. 

3. Winner Selection

To maintain credibility and fairness, implement a verifiable random selection method for choosing winners. Document every step of the selection process meticulously, creating a clear trail that can be audited if necessary. 

Implementation Steps

1. Planning Phase

• Define your campaign objectives
• Determine the prize structure
• Set a budget and timeline
• Choose your technology platforms

2. Legal Review

• Consult with legal experts
• Draft your official rules
• Ensure compliance with TCPA, CAN-SPAM Act & State-specific regulations if applicable

3. Technical Setup

• Select a reliable SMS platform
• Test your entry mechanisms
• Set up your data collection systems
• Implement some fraud prevention measures

4. Promotion

• Create clear and compliant marketing materials
• Include all required disclosures
• Use multiple channels to promote your promotion

Post-Campaign Considerations

1. Winner Notification and Prize Fulfillment

Following your outlined notification procedures, you can contact the winners and document all communication attempts. Also, have backup winners selected in case primary winners are unreachable or ineligible. For successful prize claims, obtain written statements of eligibility and collect necessary tax forms. Be sure to maintain detailed records of all prize distribution for future reference and compliance purposes.

3. Documentation and Record Keeping

Maintain comprehensive records throughout your campaign, including all entries received, detailed documentation of the winner selection process, and records of prize fulfillment. Keep copies of all participant communications and promotional materials used. This thorough documentation can prove invaluable in demonstrating compliance and resolving any potential disputes that may arise.

Common Pitfalls to Avoid

• Inadequate disclosure of terms and conditions
• Failing to provide a free entry method
• Unclear winner selection process
• Insufficient data privacy measures
• Non-compliance with state-specific regulations

By following these guidelines and best practices, you can run a successful mobile phone sweepstakes or contest that engages your audience while staying compliant with all relevant laws and regulations. Remember, when in doubt, always consult with legal experts specialized in promotional law to ensure your campaign meets all requirements.

---

American Sweepstakes for Your Next Promotional Campaign

Interested in implementing your own mobile phone sweepstakes or contest? Let American Sweeps handle the administrative support. Our seasoned experts ensure all aspects of your campaign will be taken care of, so you can focus on running a successful promotion for your organization.