Navigating the challenges of running cross-border giveaways

A practical guide to overcoming the key challenges of running global promotions

In the age of social media, running a giveaway across multiple countries may seem simple. However, things can quickly get complicated as you may be accused of running an illegal lottery, or you may even end up with huge fines for not complying with local data protection acts.

That said, such complications shouldn’t bar you from the attractive prospect of scaling out or building up your brand in a new region. The fact that you are carrying out an international giveaway only means that you need a strong strategy and the right expertise by your side.

To point you in the right direction, we’ve drafted a few guidelines that can help you ensure legal compliance in global promotions.

Understand the local laws governing giveaways

It’s easy to assume that what’s legal in your home country is legal everywhere, but it’s one of the costliest mistakes for brands. Given their similarity to lotteries, every country has its rules meant to protect citizens.

The biggest difference lies in whether your giveaway is a game of chance (such as random draws) or a game of skill (like photo contests). If you misclassify it, it can quickly get shut down – or land you a fine.

The problem is that the laws are almost as many as the countries.

Essentially, the only way to ensure legal compliance in different countries is to research all laws in the regions you want to operate in. To make this easier, you can rely on an agency that specializes in global promotions.

Speak the local language (literally and culturally)

Most countries will need you to translate your giveaway to ensure the locals understand it. However, you can’t just swap words or use Google Translate, as your content or tagline may lose meaning.

For example, “It’s a No-Brainer!” can be effective in English-speaking countries such as the US, the UK, and Australia. But when you translate it to a language like German or Japanese, it will likely fall flat or not make sense at all. An Amazon gift card may also be attractive in most countries, but if Amazon doesn’t operate in the country you are targeting, your campaign will fail.

To bridge this gap, ensure you translate all your copy professionally. You should also adjust the tone, prizes, images, colors, and symbols (even a thumbs-up emoji is offensive in some regions) to fit specific countries.

Factor in Data Privacy & regulation laws

During your giveaway, you’ll be collecting data like names, emails, social handles, and maybe even phone numbers. But before you collect any of these, you need to understand the local laws that govern such personal data.

The most famous is Europe’s GDPR, as it’s quite strict and has seen companies fined a total of close to 6 billion Euros. It requires all companies to tell users exactly what data they are collecting, why, for how long, and if anyone else will have access. You’ll also need to get clear consent to do so.

Other regions have similar laws. For example, there’s South Africa’s POPIA, Canada’s PIPEDA, and California’s CCPA.

Plan for taxes, shipping, and prize delivery challenges

For the public, announcing the winner usually feels like the end of the giveaway. But for you, it’s time to deal with the logistics puzzle, which can get complicated for global giveaways with physical prizes.

While sending local gifts can be simple, shipping internationally will come with a huge cost.

The requirements here vary by country, and you’ll need to account for all participating countries and clearly state the responsibilities in the terms and conditions. Remember that failure to deliver or delayed prizes may result in fines or a negative image for your brand.

Need help navigating the legal and logistical maze of global giveaways?

At Promosfera, we’ve run international giveaways for 19 years in 85 countries. Partner with us to ensure your global promotions run smoothly, stay compliant, and make a lasting impact – wherever your audience is.