How to Price Raffle Tickets? Pricing Guide from Experts
12/2/2024
When planning a raffle draw to raise funds for your nonprofit, choosing the right ticket price is key to achieving your fundraising goals. If the price is too high, potential buyers might lose interest, regardless of the attractiveness of the prizes. Conversely, if the price is too low, you may sell more tickets but still fall short of your fundraising goal. Therefore, it’s crucial to determine the best raffle ticket price that offers both affordability and value.
So how do you find the raffle price sweet spot? Whether you’re hosting a traditional raffle, online raffle, or 50 50 raffle, it’s all in the numbers.
How Much Should You Price a Raffle Ticket?
How much you sell raffle tickets for is directly related to your fundraising event’s goals. Below, we break down all the factors contributing to raffle ticket pricing.
- Fundraising goal
- Raffle ticket costs
- Raffle prize costs
- Raffle ticket distribution costs
- Total expected raffle ticket sales
- Number of raffle tickets
- Price of raffle tickets
- Finalizing raffle ticket price and quantity
- Calculate raffle ticket price
- Calculate raffle ticket quantity
What is the Best Price to Sell Raffle Tickets?
Your pricing strategy should reflect your event’s goals, audience, and the value of the prizes on offer. Choosing the right pricing model—or combining several—can help attract participants and maximize your event’s profitability. Before you get started planning, double
1. Single-Ticket Pricing
Single-ticket pricing is what it sounds like—you’re selling one ticket at a flat rate. This pricing approach is particularly effective at creating broad appeal and ensuring your raffle feels inclusive to all attendees. It also works well for any prize, from modest gift baskets to high-value items, and allows everyone to join in without feeling pressured to buy more.
2. Bundled Pricing
This strategy increases ticket sales and gives participants the feeling of getting a deal. Bundles are particularly effective when you want to maximize revenue quickly or cater to attendees eager to increase their chance of winning. For instance, you could price one ticket at $5, five for $20, and ten for $35.
3. Early-Bird Pricing
Gain traction and generate funds early in your fundraising campaign with an early-bird strategy! For instance, you might sell tickets for $3 each during the first week of sales, increasing the price to $5 closer to the event. Alternatively, you could offer bonus entries, such as “buy one ticket, get one free,” for purchases made before a specific date.
4. Online Ticket Sales
Online raffle ticket sales have the potential to expand your organization’s reach to supporters who cannot attend in person. To boost sales, consider offering exclusive online-only prizes or ticket bundles, opening up a new avenue for ticket sales and revenue generation.
Raffle Ticket Price Calculator
Additionally, our raffle ticket calculator is really helpful. Just plug in your fundraising activity’s unique numbers, and you’ve got a suggested raffle ticket price.
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Fundraising Goal
First things first, it’s essential to know how much money your nonprofit organization aims to earn. This value is your fundraiser’s ideal net proceeds minus its costs.
Raffle Ticket Costs
Whether you print them yourself or purchase raffle tickets from an online printing company, there will be fees involved. So, even if you’re planning to buy perforated ticket card stock and print them yourself, don’t forget to factor in those costs!
Pro tip: The look and feel of your tickets affect your raffle’s perceived value. Professionally printed raffle tickets make a great impression and can help legitimize your fundraiser.
Raffle Prize Costs
To minimize overhead, try to solicit raffle prizes from local businesses and contacts (here are some great raffle prize ideas!). That said, sometimes you may need to pay part of the cost of your raffle’s prizes. Be sure to include any purchased prizes in your calculations.
Distribution Costs
This includes all the fees related to marketing and selling your raffle tickets. For example, if you print posters or pay for social media advertising, that’s considered a distribution cost.
Total Expected Raffle Ticket Revenue
Raffle ticket sales revenue is a factor of two things—the first is the number of tickets, and the second is the price at which they’re sold. These two variables should match up to your target customer. (More on price and your customer below)
Quantity of Raffle Tickets
How many people are likely to buy your raffle tickets? One question you can ask yourself to figure this out is to estimate how many people are in your community and network. Next, factor in whether you have a team of raffle ticket sellers or selling them all yourself. Finally, your grand prize can affect ticket sales. If it’s a broadly exciting one, lots of people will want a chance to win.
Pro tip: Supporters will purchase multiple tickets when there’s a quantity discount. For example, you could sell 3 tickets at $5 each or 6 tickets for $20.
Price and Your Customer
Figuring out a good raffle ticket price is dependent on your target demographic. Consider how much your prizes are worth to potential ticket buyers. For example, selling $100 raffle tickets to college students or $15 raffle tickets for a chance to win an Ishtar DVD might make ticket sales challenging.
Pro tip: Make sure the raffle ticket price is a round number (most people don’t want to pay $3.76!)
Finalizing Price and Quantity
First, add up all the prize drawing costs. So, for example, if you add together $75 for raffle tickets, $500 for prizes, and $50 for additional marketing materials, you’d have $625. Next, add the fundraising goal to that value. In this instance, the goal is to raise $2,000, so the total is $2,625.
Calculate the Fee for Raffle Tickets
To ascertain the ticket price versus the number of potential tickets sold, you divide the total revenue by the number of tickets. So, if we use the above example and estimate that selling 1,000 raffle tickets is viable, each one should cost $2.63 (or $3.00).
Calculate the Ticket Quantity Needed
To calculate how many items need to be sold, divide the total amount of revenue by the ticket price. In our example, if we wanted to sell each ticket for $3, we would need to sell 2,625/3 = 875 raffle tickets. Again, we recommend rounding up!
The 7 Best Ways to Sell Raffle Tickets
- Leverage Social Media
Promote your raffle on platforms like Facebook, Instagram, TikTok, and Threads to reach a broad audience. Use engaging visuals of your prizes and create countdowns to the event. Share stories about your nonprofit’s cause to generate interest. Encourage your followers to share your posts to increase visibility.
2. Partner with Local Businesses
Collaborate with local businesses to sell raffle tickets at their locations. Many companies are willing to support nonprofits by allowing you to set up a small ticket station, or they may sell tickets on your behalf. In return, they benefit from increased foot traffic.
3. Incorporate Raffle Tickets Into Event Admission
If your nonprofit is hosting an event, include one raffle ticket with each entry fee. At the event, offer attendees the opportunity to purchase additional tickets to increase their chances of winning.
4. Offer a 50/50 Raffle Add-On
Consider hosting a 50/50 raffle in addition to your main raffle. In this format, half of the proceeds will go to your nonprofit, while the other half will go to the winner. The cash prize often excites participants, leading to increased ticket sales.
5. Use Personal Selling
Encourage your nonprofit’s team, volunteers, and supporters to sell tickets to their networks. Peer-to-peer sales are often highly effective because people are likelier to buy from someone they know.
6. Highlight the Cause
Highlight how funds raised will support your nonprofit’s mission. Buyers are more inclined to purchase tickets when they feel connected to the cause.
7. Creative Pricing Strategies
Try differnt pricing strategies to engage various types of buyers. For instance, you could offer a “Lucky Seven” deal, where supporters can purchase seven tickets for $25. Additionally, you could create themed bundles, such as a “Family Fun Pack,” which provides a discount on group purchases.
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