Why You Need A Privacy Policy For Your Sweepstakes Promotion

Sweepstakes promotions can be valuable tools for businesses seeking to attract new customers. Unlike static ads, newsletter sign-ups and other basic website registration forms, sweepstakes incentivize consumers to provide their information to businesses by offering entrants the chance to win prizes.

As noted, sweepstakes can be a viable means for building a customer database. However, businesses must prominently include a privacy policy in connection with each sweepstakes in order to ensure that those businesses can utilize the database to its maximum potential. In particular, privacy policies must inform consumers as to the information collection, use and sharing practices of the subject sweepstakes operators. In addition, sweepstakes operators must also ensure that all required disclosures are made in connection with any intention to use the name, likeness and/or biographical information of winners in future marketing efforts.