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Cash vs. Non-Cash Raffle Prizes: What Drives More Ticket Sales?

Raffles are great fundraising tools for non-profits and charities, and the more tickets you sell, the more money your organization is going to raise. What prizes are best, though, when it comes to driving sales? The answer depends on your audience, with cash raffles being universally popular and non-cash raffles driving sales when the prizes are especially attractive.

How to choose, though? At Raffle Rocket, we’ve helped charities, non-profits, and religious organizations meet their fundraising goals with both cash and non-cash raffles, as well as 50/50 draws.

Key Takeaways

  • Cash raffles offer simplicity, universal appeal, and flexibility for winners, making them consistently popular.
  • Non-cash raffles can excite donors with unique prizes, often donated, which increases ticket sales and maximizes revenue.
  • Choosing the right raffle depends on factors such as budget, audience, community connections, event context, and ticket pricing.
  • Raffles are a powerful tool to engage communities and raise funds, with Raffle Rocket’s platform simplifying setup, ticket sales, and winner communication.

Cash vs. Non-Cash Raffle

The prize for a cash raffle is a lump sum of money. Participants buy tickets for the chance to bring home some cold, hard cash. Non-cash raffles can offer a variety of prizes that appeal to a diverse range of potential ticket buyers.

Why It’s Important to Pick the Right Type of Raffle

The primary goal of hosting a raffle fundraiser is to sell as many tickets as possible, thereby helping your organization raise the necessary funds to achieve its objectives. Whether it’s a money raffle, a non-cash raffle, or a 50-50 raffle, there are benefits to each option.

Benefits of Cash Raffles

The premise of a cash raffle really couldn’t be much simpler. You sell tickets, and the winner who gets their name drawn receives a lump sum prize. That prize will be advertised in advance and will be considerably more than the cost of entry that comes with buying a ticket, providing a great incentive to improve chances by buying multiple tickets.

  • Popularity: There’s no confusion about what’s available for the winner. Everyone understands what a cash prize looks like.
  • Flexibility for the winner: The winner of a cash raffle fundraiser can spend their money on whatever they’d like, which provides universal appeal.
  • Keep more money from sales: While the winner of a 50/50 cash raffle takes home half the money that’s raised through ticket sales, having a lump sum prize means that if organizers sell more tickets, they get to keep more.

Benefits of Non-Cash Raffles

Part of the fun of organizing a non-cash raffle is coming up with one-of-a-kind prize ideas that will get people excited to buy tickets. That can be a round-trip vacation or even a home for larger raffles that are likely to sell many tickets, or smaller prizes like gift baskets for more local non-cash raffles. 

The better the prizes, the more likely you are to sell more tickets, but “better” can always be in the eye of the beholder.

  • Keep more money from sales: This is especially true if you can secure donated prizes, but a non-cash raffle allows your organization to keep more of the money it brings in from ticket sales.
  • Great value for money: Whether you’re providing expensive grand prizes or more budget-friendly items, purchasing a ticket to a non-cash raffle gives participants the chance to win something that would typically cost a lot more than they paid to enter.
  • Cater prizes to your audience: Certain non-cash raffle prizes might have more value to one group of people than they do to another. Signed sports memorabilia can drive ticket sales for non-profit sports organizations, as an example.
Two team members plan out their raffle, deciding whether a non cash or cash raffle is best.

How to Choose the Best Type of Raffle for Your Fundraiser

You should consider the following when choosing a cash raffle or non-cash raffle.

1. Your Budget

If you’re putting up a lump sum prize for a cash raffle, consider what your organization can afford and how many tickets you are likely to sell. You don’t want to offer too big a prize and not sell enough tickets to cover the cost.

2. Your Audience

Who are the people you’re looking to sell tickets to? The great thing about a cash raffle is that everybody could use a little extra spending money, so they are uniquely popular. Non-cash raffles, on the other hand, provide opportunities to win something you might not otherwise buy.

3. Your Connections with Businesses in the Community

Are there businesses that would be willing to donate prizes with which your organization has connections? Even if you’re considering cash raffle ideas, there may be people or businesses willing to donate to your prize.

4. Independent Raffle vs. Part of a Larger Fundraiser

If your raffle is running in conjunction with a silent auction, using a community management suite like CommuniBee can make life a lot easier for organizers. In many cases, 50/50 draws or cash raffles can be easier than non-cash raffles, especially when they are part of a larger fundraising evening or event.

5. How Much Will Tickets Cost?

The cost of entry is important, whether you’re hosting a cash raffle or a non-cash raffle fundraiser. The price of a ticket should make it worthwhile in comparison to the prizes.

Typically, we see raffles sell tiers of tickets that incentivizes buying many tickets as opposed to one. For example, ticket tiers for a smaller scale raffle might offer 1 ticket for $10, 5 tickets for $30, and 10 tickets for $50. The larger tiers give purchasers a greater dollar value per ticket, incentivizing supporters to spend a little more.

Four members of a charity talk excitedly and smile near a laptop after executing a successful raffle.

A Successful Raffle Starts with Raffle Rocket

Hosting a raffle is an amazing way to help your organization connect with its community and raise funds. Whether you opt for a cash raffle or a non-cash raffle, be sure to get the word out and get people excited. 

Raffle Rocket can help. Our dynamic online platform makes hosting raffles, big or small, easy. You can sell tickets online and contact winners and participants automatically.

Make your next raffle the best yet by getting started on your own or contacting our team.

FAQs

Are cash raffles legal?

Yes, cash raffles are legal in Canada and parts of the U.S., for charities, non-profits, and religious organizations. Most often, you will require a license to run a raffle, though, and the requirements can vary from jurisdiction to jurisdiction, so it’s best to confirm with your local gaming authority before proceeding.

How much prize money does a cash raffle require?

This depends entirely on the nature of the raffle you’re looking to hold. If you’re a small, local club that is looking to sell tickets to people in your community, you don’t need to put up much money at all. Larger raffles, where the odds of winning become slimmer, should generally have bigger prize pools. 

A 50/50 raffle is a great option, too, as the prize winner is only entitled to half of the money that’s raised through ticket sales.

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