Most sweepstakes target new audiences. A loyalty program sweepstakes targets the audience you already have: your existing customers. The goal shifts from acquiring new emails to retention, engagement, and repeat purchases from people who already buy from you.
The ideas below include workflows a sponsor may operate with other systems. Revup provides entry forms, sweepstakes, photo and video contests, instant wins, and Shopify purchase sweepstakes. Retail receipt verification, point-of-sale or loyalty integrations, booking-based entry, and text-to-win require separate services or administration; they are not native Revup workflows. Revup doesn't import loyalty points, tiers, or member lists, so your team manages member status in your loyalty system.
This guide covers how to integrate sweepstakes and contests into your loyalty program, with mechanics that reward your best customers and drive the behaviors you want.
Points and Sweepstakes Entries
Letting members trade points for entries, or earn entries alongside points, sounds like a natural fit. It is also where loyalty sweepstakes run into the most legal risk, because points earned through purchases are purchase-linked.
| Mechanic | How it works | Compliance note |
|---|---|---|
| Points redemption | Members spend points per entry | Purchase-linked points act like payment, and it can look like selling entries. Get legal review before using it. |
| Entries with purchases | Each purchase in the campaign window earns points and an entry | Purchase-linked. Offer a free entry method with equal odds. |
| More entries for higher tiers | Top-tier members get more entries per action | Higher risk when tiers are earned by spending. Free entrants must never be capped below members. |
| Activity-based entries | Entries for free actions such as referrals, quizzes, or surveys | Lower risk. Don't award entries for product reviews or Facebook shares. |
Points-as-entry and the AMOE requirement
Loyalty points earned through purchases are purchase-linked, so entries earned or bought with them require a free alternative method of entry (AMOE). The free method must give the same odds per entry, in the same drawing, for the same prizes, and free entrants can never be capped below members. Even with an AMOE, selling entries can be treated as illegal gambling, so get legal review before letting members spend points on entries, and don't raise prices because of the promotion.
For how free entry works, see the AMOE guide and how to run a purchase sweepstakes.
Members-Only Sweepstakes
Restrict eligibility to loyalty program members. This creates exclusivity that drives both program signups and member engagement.
- Acquisition hook: "Join our loyalty program for a chance to win [prize]" — the sweepstakes is the incentive to sign up
- Engagement hook: "Exclusive to members: our biggest giveaway of the year" — rewards existing members for their loyalty
- Reactivation hook: Target lapsed members: "We miss you — come back for a chance to win" brings dormant accounts back to life
Members-only eligibility and AMOE
Even members-only sweepstakes may need an AMOE if membership requires a purchase or payment. If your loyalty program is free to join (just an email signup), restricting to members is fine, because joining the program is the free entry method. If membership requires a purchase history or paid subscription, offer a free entry option for non-members with the same odds per entry.
Revup
Revup helps you configure entry forms, eligibility settings, and official-rules templates. Review the rules and handle registration and compliance obligations for your campaign.
Tier Perks Without Unequal Odds
It's tempting to give higher loyalty tiers more entries or their own prize pools. When tiers are earned by spending, that ties better odds to purchases, which is the riskiest version of a loyalty sweepstakes. Keep the odds equal and reward tiers in other ways.
Tier-Friendly Campaign Example
One entry rule for everyone
Every member and every free entrant gets the same entries per action and the same entry limits.
Tier perks that don't change the odds
Give higher tiers early notice of the promotion, exclusive content, or member event invitations instead of extra entries.
Tier-only drawings need a free route
If a drawing is limited to a tier earned by spending, it is purchase-linked. Offer a free way into that same drawing with equal odds, or get legal review.
Grand prize: same odds for all
Run one flagship drawing open to all members and free entrants, with equal entries per person.
Purchase Frequency Campaigns
Sweepstakes entries can reward specific purchase behaviors: repeat purchases, category exploration, higher order values, or purchases during slow periods. Every mechanic below is purchase-linked.
| Behavior target | Sweepstakes mechanic | Example |
|---|---|---|
| Repeat purchase | Entry per purchase during campaign window | "Buy any product this month for a chance to win" |
| Category exploration | Bonus entries for purchasing from new categories | "Try a product from 3 categories for 5x entries" |
| Higher order value | Entries scale with order value | "$1 spent = 1 entry" or tier thresholds |
| Slow period purchases | Double entries during off-peak days/weeks | "Shop Monday–Wednesday for double entries" |
| Subscription renewal | Entry upon renewal or upgrade | "Renew your annual plan for a chance to win" |
Purchase-linked entries need equal free entry
Each of these mechanics needs a free alternative method of entry with equal odds, the same drawing, and the same prizes. Free entrants can never be capped below buyers, so if a $100 order earns 100 entries, the free method must allow at least as many. Buy more, get more structures are higher risk, and you shouldn't raise prices during the promotion. Revup's Shopify purchase sweepstakes include a free entry form and reverse entries on refunds and cancellations; in-store or other purchases need separate administration.
Engagement-Based Sweepstakes
Not every valuable loyalty action is a purchase. Use sweepstakes entries to reward non-transactional engagement that builds long-term customer relationships.
Engagement Actions Worth Rewarding
- Refer a friend through a unique referral link (the referrer earns bonus entries when the friend enters)
- Complete your profile (1 entry; improves your customer data)
- Take a survey or quiz (1 entry; generates zero-party data)
- Watch a product video or complete a tutorial (1 entry)
- Follow your brand on a social profile (1 entry)
Weight entries toward high-value actions
Not all engagement is equal. Assign entry values that reflect business impact, for example 1 entry for a follow and 3 for a referral. Don't award entries for product reviews: the FTC's Consumer Reviews and Testimonials Rule (16 CFR Part 465) bars incentives tied to a review's sentiment, and incentivized reviews create disclosure problems. Facebook also bars requiring or rewarding shares, reposts, or tags.
Loyalty Sweepstakes Campaign Calendar
Rather than running one-off promotions, build sweepstakes into your loyalty program as a recurring feature.
| Cadence | Format | Purpose |
|---|---|---|
| Monthly | Small monthly drawing for active members | Maintain baseline engagement year-round |
| Quarterly | Themed sweepstakes aligned with seasons/events | Drive seasonal purchase spikes |
| Annually | Grand prize sweepstakes for all-year engagement | Reward your most loyal customers with a major prize |
| Ad hoc | Surprise flash giveaways for specific segments | Reactivation, new product trials, slow period boosts |
Each drawing is a separate promotion for filing purposes. If total prizes are more than $5,000, New York and Florida require registration and bonding before the start date; see sweepstakes registration and bonding requirements and the sweepstakes law map. A winner who receives $2,000 or more in prizes in a calendar year gets a 1099-MISC; see sweepstakes tax reporting.
Revup
Revup supports verifiable random draws, ranked alternates, winner claim forms, and fulfillment status. Your team verifies eligibility and delivers the prize.
Measuring Loyalty Sweepstakes ROI
Loyalty sweepstakes ROI is measured differently than acquisition sweepstakes. The key metrics are retention-focused:
| Metric | What it measures |
|---|---|
| Member retention rate | % of members who remain active during/after campaign |
| Purchase frequency | Average purchases per member during campaign period |
| Average order value | Spend per transaction during campaign |
| Tier upgrade rate | % of members who move to a higher tier |
| Reactivation rate | % of lapsed members who re-engage |
| Program signup rate | New loyalty signups driven by sweepstakes |
For detailed ROI measurement guidance, see how to measure sweepstakes ROI.
Frequently Asked Questions
Can I restrict a sweepstakes to loyalty members only?
Yes, if your loyalty program is free to join. If joining requires a purchase, payment, or paid subscription, you need an AMOE for non-members with the same odds per entry. The safest approach is a free-to-join loyalty program where membership itself is the entry method.
Do points-based entries make the sweepstakes a lottery?
They can. Points earned through purchases are purchase-linked, so entries tied to them need a free alternative method of entry with equal odds, and free entrants can't be capped below members. Letting members spend points on entries can also look like selling entries, which can be illegal even with an AMOE, so get legal review first. If points come only from free activities such as signups or quizzes, the risk is lower, but a free entry method is still good practice.
How often should I run loyalty sweepstakes?
There's no single right cadence. A common pattern is small monthly drawings, quarterly themed campaigns, and an annual grand prize. Compare participation and repeat-purchase rates against your own baseline, and avoid running promotions so often that they feel routine.
What's the best prize for a loyalty sweepstakes?
Loyal customers already buy your products, so prizes they can't buy often appeal more than discounts: VIP access, behind-the-scenes experiences, limited editions, or meeting the founder. Test prize types against each other rather than assuming one always wins.
For viral amplification of your loyalty base, see Referral Sweepstakes Programs, or explore the full Seasonal Promotion Calendar for campaign timing.
