Work out your giveaway budget
Use what the giveaway costs your business, rather than the prize's retail value.
Include tax you cannot recover in your figures. The estimate does not predict sales, engagement or tax treatment.
Budget for more than the prize
A product with a £100 retail price may cost your business a different amount to supply. Use your actual cost in the calculator. Add packaging and delivery for every winner, including any extra expense for the areas you say can enter.
Staff time includes preparing the post and terms, responding to questions, checking entries, running the draw and arranging fulfilment. If a supplier contributes a prize, agree who pays for delivery and who will handle a lost or damaged parcel.
What does cost per entry tell you?
It divides your estimated total cost by your expected number of valid entries. It is a planning comparison, not a forecast of customers or sales. After the giveaway, compare your actual figures with the estimate and record what you would change next time.