Sweepstakes & Giveaways with SMS
The extra US rules for running a sweepstakes or giveaway that collects SMS subscribers: short code only, sweepstakes disclaimers, and updated policies.
Sweepstakes, giveaways and "enter to win" offers that collect SMS subscribers are more strictly regulated in the US than standard SMS marketing. Carriers and messaging providers apply extra rules on top of the usual consent requirements, and a sweepstakes that doesn't follow them can be blocked.
This applies to any popup or message that offers a chance to win a prize, for example a giveaway, a prize draw, or extra entries for signing up.
Check with your legal team first. Sweepstakes are regulated at both federal and state level in the US, and the rules vary from state to state. Your brand's legal team needs to confirm that your sweepstakes, its official rules, your popup disclaimers, your messages and your policies are compliant before you launch. Recart can't give legal advice. You can share the sweepstakes resources below with your legal team.
1. Use a short code (US)
In the US, a sweepstakes opt-in can only run on a short code. Toll-free numbers (TFNs) aren't allowed: carriers won't approve a toll-free number when the opt-in includes a sweepstakes.
If you send from a toll-free number, contact the Recart Support team before you launch a sweepstakes, so we can check your options with you
If Recart is applying for your short code, tell us your program includes sweepstakes. Carriers review sweepstakes programs separately
2. Add a sweepstakes opt-in disclaimer to your popup
The standard opt-in disclaimer isn't enough for a sweepstakes. The disclaimer on your popup must make clear that subscribing isn't required to purchase or to enter the sweepstakes.
You can use this example as a starting point. Replace [BRAND NAME] with your brand's name and have your legal team review it:
By entering your phone number and clicking the button below, you are providing your express consent authorizing [BRAND NAME] to contact you by telephone which may include, and which you agree to receive, text messages delivered via automated technology to the phone number you entered above for which you are the primary user and subscriber. You understand that your consent is not required as a condition of purchase and/or entering any of the featured Giveaways and that you may withdraw your consent at any time. Reply HELP for help and STOP to cancel. Msg frequency varies. Msg & data rates may apply.
Recart adds "View our Privacy Policy and Terms of Service." to the end of the disclaimer automatically, so you don't need to type it in. If you have a separate Messaging Terms page, link it in the disclaimer too.
3. Show a rules line on every popup step
Most legal teams also require a short rules line on each step of a sweepstakes popup (the Teaser, Email and SMS steps), for example:
No purchase necessary to enter. Offer available [start date] – [end date]. Official rules here.
Link "here" to your official rules, hosted at a public URL, such as a page or PDF on your own site. Files that need a login to open can't be linked
Update the dates and the rules link every time the sweepstakes changes over
To add or update the rules line on your popups, contact the Recart Support team with the wording and the rules link
4. Update your Terms of Service and Privacy Policy
Your store's Terms of Service and Privacy Policy need the standard SMS marketing additions, plus sweepstakes wording:
Terms of Service: add the Terms of Service addition from SMS Marketing - Terms of Service & Privacy Policy Additions. For a sweepstakes, the only change is to add sweepstakes next to cart reminders, where it lists the kinds of messages you send:
Standard: "(e.g. cart reminders)"
With a sweepstakes: "(e.g. cart reminders and sweepstakes)"
Keep cart reminders in the wording, since they're active on every account, and leave the rest of the template as it is
Privacy Policy: add the Privacy Policy addition from the same article. It doesn't need sweepstakes wording
5. Sweepstakes messages (if your legal team asks for it)
The sweepstakes terms need to be where people sign up: on the popup and in your Terms of Service. Some legal teams also ask for the key terms in SMS messages that promote the sweepstakes, for example:
No Purchase Necessary. Ends [end date]. See Official Rules: [link]
Your legal team decides whether you need this and the exact wording.
A/B testing a sweepstakes popup
You can A/B test the design and copy of a sweepstakes popup, but check with your legal team before testing anything that changes the offer itself. Many legal teams don't allow variants that give visitors different prizes, entries or odds, because everyone entering must get the same chance to win.
Sweepstakes resources for your legal team
These are the industry rules carriers use when they review a sweepstakes on a short code:
CTIA Short Code Monitoring Program Handbook, section 3.5.2 "Sweepstakes and Contests": carriers review each sweepstakes and can reject it. At a minimum, share your official rules with the carrier, include a free method of entry, and consult legal counsel
CTIA Messaging Principles and Best Practices: the wider CTIA messaging guidelines the handbook builds on
TCPA rules (47 CFR 64.1200): the TCPA has no sweepstakes-specific rules, but its consent rules apply to every marketing text. That's why the disclaimer says consent isn't a condition of purchase
Prize promotions themselves are regulated by each state. For example, Florida requires you to register a sweepstakes and post a bond or trust account when the total prize value is over $5,000. Your legal team can confirm which states apply to you.
Outside the US
The rules above are for US sweepstakes. The short code rule and the US disclaimers don't carry over to other countries, and each country has its own rules for prize promotions and marketing consent. For example:
EU and UK: consent to marketing messages must be freely given. If signing up for SMS is the only way to enter, that consent may not count as freely given, so entering the giveaway and agreeing to marketing messages are usually kept separate. See the EDPB guidelines on consent and the UK ICO guidance on electronic marketing
Rules on prize draws (for example, whether a purchase can be linked to entering) differ from country to country
Check with your legal team for each country your sweepstakes is open to, then contact the Recart Support team before you launch.
Checklist before you launch
Your SMS opt-ins run on a short code, not a toll-free number, and Recart knows your program includes sweepstakes
Your popup opt-in disclaimer mentions the sweepstakes and says consent isn't required to purchase or enter
Your disclaimer still includes the HELP, STOP, message frequency and data rates line
Every popup step shows the rules line, with current dates and a public link to the official rules
Your Terms of Service include "cart reminders and sweepstakes"
Your Privacy Policy includes the SMS marketing addition
If your legal team asks for it, your sweepstakes messages include "No Purchase Necessary", the end date and the rules link
Your legal team has reviewed the sweepstakes, its official rules, your disclaimers and your policies
If you have any questions, do not hesitate to contact the Recart Support team. We'd be happy to help!
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