Lucio Messina, digital strategist: Are giveaways advisable?
"There are various strategies that can be used to promote a brand through social media. Giveaway contests are tempting for many because they are an excellent way to gain visibility and engagement, but at the same time you have to be very careful because the way they are often carried out on the web they are not legal.
The sore point is that giveaways fall under the rules on prize competitions (if the value exceeds the cost of €1). The bureaucratic process of Italian law requires communication to the Ministry of Economic Development, the how to use the rcs database for direct marketing definition of the prize and the payment of a deposit in addition to contacting a notary or official of the chamber of commerce. In addition to this, all participant data must be recorded on an external server to comply with privacy laws.
The controls on prize competitions are carried out by the MiSE. To avoid bureaucratic problems and fines, companies like Leevia were born that help companies develop competitions without incurring bureaucratic problems.
Giveaways certainly allow for a good return if they are inserted within a broader strategy. What you need to create is a real contest with valid prizes and related advertising adv to make the public interact as much as possible. In this way it is an excellent way to create lead generation and customer loyalty.