Glossary A–ZLetter P
Prize draw
A prize draw is a promotion in which participants get a chance of winning a prize without paying a stake, for example through a draw or a simple question.
It is meant to attract attention and often to collect contact details. It differs from gambling in that no payment is required for the chance of winning.
On screens, prize draws are usually advertised and made accessible via a QR code or an on-site terminal. An example: a shopping centre shows a draw on all its screens during Advent, with entry through a website. The screen can also announce the winners, provided they have agreed.
The terms of entry should be clear, complete and easy to find: who may take part, until when, what can be won and how winners are chosen. Unclear terms can be regarded as misleading under competition law. On the screen, a short version with a reference to the full terms is sufficient. Data protection applies to the data collected; anyone wishing to use it later for advertising needs a separate basis for that. If a game requires a stake, the rules on gambling may apply. This glossary is not legal advice.