You have a limited contest budget. It’s imperative to get the best bang for your buck. How will you spend that money to get the most value? There’s no doubt that the prize offer affects response rate, but how?
Is it better to have many winners of small prizes or few winners of large prizes? We’ve done a lot of research in contest prizes and incentives, and there are some surprises.
Obviously, the greater your budget, the greater the advantage. But the total amount you’re giving away doesn’t lead to automatic success. There are many stations that have given away tens of thousands of dollars only to go down in ratings. And other stations have gotten more mileage from a smaller budget.
With the right strategy, you can enhance the impact of the prizes. As you plan that next big contest, you’ll be agonizing over how to distribute the resources most effectively. I have you covered. Here are some basic guidelines that may add value as you slice and dice that prize pool.