Promotions · 5 min read

Cashback, instant win or sweepstakes: what promotion should you run?

By Natalie Factor, orsom · 23 October 2026

The short answer

pick the mechanic that matches the job. Cashback gets a big-ticket purchase over the line. Instant win creates buzz right at the shelf. Sweepstakes give you a hero prize and a bigger database. Start with what you need to move, not the mechanic you ran last year.

When should you run a cashback promotion?

When the purchase is big enough that a little money back tips the decision. Think appliances, air conditioning, tech and tools: anything with a long research phase and a buyer comparing two or three options.

Cashback works because it's certain. Buy, claim, receive. There’s no luck involved. The catch? Money-back offers attract chancers, so every claim needs checking before a reward goes out. That's where a good partner earns their fee.

Best for: lifting sales of higher-priced products, winning the comparison against a competitor, clearing stock before a model change.

When does instant win work best?

When you want excitement at the moment of purchase. An on-pack code, a scratch-and-win card in a venue, a spin of the wheel on a phone. People find out on the spot, and that moment is the whole point.

Instant win suits lower-priced, high-frequency products: drinks, snacks, convenience lines. It gives shoppers a reason to pick your product today instead of the one beside it.

Best for: driving trial, lifting rate of sale at the shelf, getting retailers excited about a range.

What are sweepstakes good for?

A hero prize and a bigger database. One standout prize that people talk about gets attention that hundreds of small rewards can't.

Every entry is also a chance to ask for an opt-in at the moment someone is most excited about your brand. Sweepstakes are the mechanic of choice when data matters as much as sales.

Best for: brand campaigns, database growth, launches that need a headline.

Can you combine them?

Yes, and it often works better. A guaranteed small reward plus a draw for something big gives people a reason to buy now and a reason to keep entering. The trick is keeping it simple enough to explain on a pack in one line.

Still not sure which one fits?

Ask yourself three questions:

What does success look like: more units, more data, or more noise?
How much does your product cost? The higher the price, the more cashback makes sense.
Where does the decision happen: online research, in the aisle, or in a venue?

Or tell us the goal and we'll recommend the mechanic. We've run 775+ promotions, so we've seen most briefs before.