5 Common Mistakes Businesses Make With Giveaways and How to Avoid Them

It is critical to distinguish a brand from its competitors in order to build a strong customer relationship. As a result, you must use customer-centric programs such as giveaways to generate buzz about your brand and ensure that you promote customer camaraderie. According to statistics, contests and giveaways generate an average of more than 34% of new customers.

Running a business giveaway, on the other hand, is easier said than done and usually involves several moving parts that ensure success. Despite the fact that a sizable portion is giving it their all, several businesses running contests make common mistakes that leave most participants disappointed and discouraged from purchasing from their brands.

This article will look at common business giveaway mistakes and give you important tips on how to avoid them. It will show you exactly how to run a successful giveaway.


1. A Poor Approach to the Giveaway



Inadequate planning is probably the single most important oversight that can be made by a company when it comes to running a giveaway contest. In most cases, the majority of businesses jump right into the process of starting giveaways without first defining the goals and objectives of the contest. This makes it more likely that there will be misunderstandings and other technical problems, all of which could otherwise be avoided by employing a more comprehensive giveaway marketing strategy.

Businesses can avoid having low entry rates and ensure that their contests are successful in order to generate the results they anticipate with the help of a good giveaway strategy. The benefit of having a solid giveaway strategy is that it provides you with a benchmark for what the characteristics of a successful giveaway will be. In this way, you will be able to reduce arguments and bring your team closer together so that everyone is working toward the same goal of achieving your desired level of success.


2. Inadequate Official Guidelines



Establishing official rules and regulations for a giveaway may result in additional work, but it is often the deciding factor in whether or not a giveaway contest is successful. If you don’t have any rules in place for your giveaway, it could lead to confusion, or even worse, it could leave your company vulnerable to being sued, having its reputation damaged, or receiving complaints. As a result, you need to make sure that you publish the official guidelines for your giveaway a few days before the competition begins so that participants have time to read over them.

You need to define participant eligibility before you can set the rules, and you can do that by listing specific residency and age restrictions. In addition to ensuring objectivity and avoiding pushback from participants who are not affiliated with the company, this strategy also prevents family members, affiliates, and employees from taking part in the contest.

To avoid misunderstandings and potential legal complications, you should also specify how the winner will be selected and notified, as well as how you intend to make use of the personal information that you have gathered.


3. Unappealing Prizes



Another reason why most giveaways do not have a higher participant turnout is because the prizes are either unappealing or irrelevant. In general, the vast majority of people are unaware of giveaway prizes, both in terms of what they entail and the monetary value they carry. When potential participants aren’t sold on the idea of your prize, it may increase the likelihood that they will participate in the contest without feeling fully persuaded, or they may avoid the contest entirely.

You can avoid this situation by coming up with a number of contest concepts for social media and figuring out what it was about your brand that attracted customers in the first place. A good rule of thumb is to use your product as a giveaway to help gauge customer interest and generate buzz. When you use your own products as prizes in your giveaway contests, you give the winners a sneak peek at what they have to look forward to if they continue doing business with you.

This ultimately results in an increase in the number of conversions and sales you make over the course of time.


4. Keeping Competitions Going for Way Too Long



It is not unusual for companies to hold giveaways for extended periods of time in the hope of generating and maximizing the amount of traffic that they receive. This tactic, on the other hand, has the potential to fail, and it frequently leads to participants completely forgetting about the contests they’ve entered. On the other hand, there is a possibility that fewer people will be able to participate if you do not run the promotion for a sufficiently long period of time.

Two to four weeks seems to be the sweet spot for the duration of most giveaway contests. This is despite the fact that there is no single narrative that can be applied to all circumstances regarding running giveaways. This is enough time to ensure that your marketing strategies will mature, but it is not so much time that it will begin to drag on and participants will begin to complain about it.

You can avoid the risk of losing the sense of urgency that will convince people to enter as soon as they find out about your giveaway by setting a contest duration that is appropriate for the circumstances.


5. Difficult Registration Procedure



Many marketers make the mistake of requiring users to go through multiple registration processes and fill out multiple forms in order to participate in their contests. While this is a great way to collect relevant data, it may discourage potential entrants from converting and participating in your giveaway. According to data, 74.3% of people despise forms because they take too much time and effort and provide little value.

As a result, utilizing powerful marketing technologies such as a giveaway software solution is critical in reducing participant frustration and ensuring a successful contest. Because it easily integrates with social media platforms, a dynamic giveaway software platform makes it easier for your customers to participate in the contest by allowing them to log in using their Twitter or Facebook accounts. You can look at several examples of marketing software to find the best giveaway software platform for your current and future contests.

Final Thoughts


For businesses that lack the tools needed to automate specific processes like contest duration, fraud protection, and contest creation, preventing giveaway mistakes can be difficult. Using a dynamic marketing software platform to manage your giveaways is one way to ensure a successful giveaway. You can begin by using our social media contest tools.

Skyrush is a social media giveaway tool that assists businesses in gaining new social media followers, generating leads, and increasing conversions through the use of giveaways, sweepstakes, and contests. It includes over 30 built-in apps and 90+ entry methods, making it easier for customers to participate in your giveaways. Skyrush is free to sign up for, but users can upgrade to the Pro plans for additional features.