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Prize-led fundraising trends for 2024

Prize-led insights for UK charities to help navigate current trends

Fundraising is changing all the time, and staying on top of current trends is crucial for charities looking to optimise their fundraising programmes. That's why we've pulled some of these key trends together looking specifically at prize-led fundraising. In this blog we'll explore key insights discussed during our prize-led fundraising benchmarking and trends webinar (2024)

We were lucky enough to be joined by some incredible individual giving fundraisers as part of the webinar and this blog includes some insights of their programmes too, so with thanks to: 

Prize-led market insights 

Please note: Woods Valldata manage weekly lottery and charity raffle programmes for the UK not-for-profit sector. We work together with over 100 UK charities. These insights are based on the collective trends from all the programmes we manage to provide an over-view of the market in general.

Raffle response rates

Let's kick things off with a brief look at response rates for warm raffle mailings. Despite concerns over external factors like cost of living and global events, response rates have remained relatively stable. In fact, the period from Christmas 2020 to summer 2021 saw a notable uptick in response rates, indicating the resilience of raffles as a fundraising tool. Even as response rates have plateaued slightly in recent times, the enthusiasm of core raffle players remains high, with response rates remaining robust. This is something St. Barnabas are seeing in their programme too.

"In terms of trends we're seeing for raffle, response rate is quite steady - we're not really seeing any wide changes there." Kara Lynsdale, St Barnabas House Hospices

Group of fundraising specialists sitting around a table discussing their prize-led programmes
Raffle average gifts

One further encouraging trend is the gradual increase in the average gift ticket and donation. Despite economic challenges, donors are demonstrating generosity, with average gift amounts steadily rising. This positive trajectory suggests that supporters are willing to dig deeper to support causes they care about, further underscoring the value of prize-led fundraising initiatives.

recruitment and retention in weekly lotteries

Moving on to weekly lotteries, we've seen a significant increase in recruitment efforts post-COVID. Despite the setbacks caused by the pandemic most notably around face-to-face recruitment (traditionally the way to recruit the highest volume of new players into a lottery programme), recruitment into lotteries has rebounded strongly. With a return to 'normal' activity from 2022 onwards is recovering. This increase in activity is particularly evident in face-to-face recruitment, signaling a return to pre-pandemic levels of engagement.

Challenges for prize-led fundraising

Although we're seeing an overall positive picture from the market insights, there are still challenges in prize-led fundraising. The most significant of these is around player volumes.

Raffle recruitment

Recruiting new raffle players to bolster warm player volumes is challenging from a cold audience, although possible response rates are low and CPAs high. RNLI, however, take a different approach. They have seen raffle work as an excellent second ask for their new supporters, especially those who have responded to seasonal mailing appeals or online shopping and, as such, tend to be an older demographic (perfect for raffle). So rather than use raffle as an acquisition tool for new supporters, it's an excellent retention product - building engagement with new supporters and strengthening relationships.

"We know that our raffle is a really good next product for those who are recently acquired... our raffle tends to be the next ask they receive and it's a nice second gift for people I think." Jenni Roberts, RNLI

Prize-led fundraising specialists discussing their programmes
weekly lottery acquisition

Capacity in face-to-face fundraising has become an ongoing issue for charity weekly lotteries. Face-to-face remains one of the fastest ways to grow a weekly lottery but it's challenging to find agencies or reliable face-to-face fundraisers to canvass on behalf of the charity. Retention programmes are therefore more important than ever to keep those players we already have, but how can we attract new players by different channels? St Barnabas House Hospices have seen some success in social media recruitment into weekly lottery and through testing different creatives have seen that cause-led messaging stimulates the most response. This is mirrored by PETA's approach. Their weekly lottery acquisition is predominantly (and successfully) social media based, although they have also seen traction in converting non-financial supporters to their cause to playing the lottery.

"It's just a slightly lower ask, a slightly more fun ask, that's getting them to convert to be a financial supporter. But they're already committed to the cause because they're already taking those non-financial actions." Sally Newman, PETA

What is encouraging is that the data indicates that increases in recruitment has not been accompanied by a corresponding surge in cancellations. This suggests that once individuals are onboarded, they are more likely to remain engaged, underscoring the enduring appeal of lottery participation.

Prize-led remains stable in uncertain times

What we have seen is that despite these challenges, prize-led continues to perform and remain stable in uncertain times.

By staying informed about current trends, adapting to changing donor behaviours, and leveraging innovative solutions, charities can optimise their prize-led fundraising initiatives and drive meaningful impact for their causes.  If you 'f like to find out more about what trends are happening in prize-led, why not watch the prize-led fundraising benchmarking and trends webinar on demand!

Embracing prize-led with the right partner

Ready to elevate your prize-led fundraising efforts? The friendly experts at Woods Valldata are here for you and there for your supporters. Contact us today to explore our range of fundraising services and unlock the full potential of your charity's initiatives.

Together, let's navigate the ever-changing world of prize-led fundraising and make a lasting difference in the lives of those we serve. We're your Partners in Possibility.

 

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