Raffles are one of the oldest and most effective fundraising methods, generating billions annually for charities, schools, and nonprofits worldwide. But with so many different types—from traditional drawings to reverse raffles to Chinese auctions—understanding which format best suits your organization can be overwhelming. This comprehensive guide explains what raffles are, explores every major type, and helps you choose the perfect format for your next fundraiser.
What Exactly Is a Raffle?
At its core, a raffle is a type of lottery where people purchase tickets for a chance to win prizes. Unlike games of skill, raffles are games of pure chance—every ticket has an equal opportunity to win, making them fair and exciting for all participants.
Key Elements of Any Raffle
- Tickets: Numbered entries that participants purchase
- Drawing: Random selection process to determine winners
- Prizes: Items or experiences awarded to winning tickets
- Fundraising Purpose: Proceeds benefit a cause or organization
- Legal Compliance: Following state and local regulations
Raffles vs. Other Fundraising Methods
What makes raffles unique compared to auctions, sales, or donations?
- Low barrier to entry: Tickets are typically affordable
- Equal chances: Unlike auctions, everyone has the same odds per ticket
- Excitement factor: The anticipation of winning creates engagement
- Scalability: Works for 50 or 5,000 participants
- Simplicity: Easy to understand and participate
Traditional Raffle
How It Works
The classic format everyone knows: tickets are sold, one or more are drawn at random, and those tickets win prizes immediately.
Best For: Quick drawings, multiple prizes, simple events
Typical Ticket Price: $1-$20
Prize Examples: Gift baskets, electronics, gift cards
Traditional Raffle Variations
- Single Prize: One winner takes all
- Multiple Prizes: Several drawings for different items
- Tiered Prizes: 1st, 2nd, 3rd place prizes
- Early Bird: Bonus drawings for early purchasers
Reverse Raffle (Elimination Raffle)
How It Works
The opposite of traditional: tickets are eliminated until the last one remaining wins the grand prize. Creates mounting suspense throughout the event.
Best For: Dinner events, high-value prizes, entertainment focus
Typical Ticket Price: $50-$500
Prize Examples: Cars, vacations, large cash prizes
Reverse raffles have become increasingly popular because they:
- Create sustained excitement throughout the event
- Justify higher ticket prices with better odds
- Encourage attendance at fundraising dinners
- Allow for sponsor recognition between draws
50/50 Raffle
How It Works
The simplest format: 50% of ticket sales go to the winner, 50% to the organization. No prizes to purchase or donate.
Best For: Sports events, concerts, quick fundraisers
Typical Ticket Price: $1-$10
Prize: Half of total ticket sales
50/50 Advantages
- No upfront costs for prizes
- Prize value grows with participation
- Easy to explain and understand
- Can run alongside other events
- Popular at sporting events
See rafflr in Action
Watch a 2-minute demo of how easy it is to create and run any type of raffle with rafflr
Chinese Raffle (Chinese Auction)
How It Works
Participants receive tickets to distribute among multiple prize pools. They choose which prizes to try for by placing tickets in corresponding containers.
Best For: Events with many donated prizes, silent auction alternatives
Typical Format: Sheet of 25 tickets for $20
Prize Examples: Themed baskets, experiences, merchandise
Chinese Raffle Strategy
Participants must decide: concentrate tickets on one desired prize or spread them across multiple items? This element of strategy makes Chinese raffles engaging while maintaining the chance element.
Calendar Raffle
How It Works
Limited tickets (often 365) are sold, with daily drawings throughout a month or year. Winners typically receive cash prizes.
Best For: Year-round engagement, sustainable revenue
Typical Ticket Price: $10-$100
Prize Examples: Daily cash prizes ($25-$500)
Calendar Raffle Benefits
- Multiple chances to win with one ticket
- Builds anticipation over time
- Can tie prizes to holidays/special dates
- Limited tickets increase perceived value
Duck Race
How It Works
Participants "adopt" numbered rubber ducks that race down a waterway. First ducks to cross finish line win prizes.
Best For: Community events, family fundraisers, outdoor festivals
Typical Adoption Fee: $5-$25 per duck
Prize Examples: Cash prizes for top finishers
Wine/Bottle Raffle
How It Works
Participants purchase chances to win bottles of wine, spirits, or other beverages, often arranged in attractive displays.
Best For: Adult-focused events, wine tastings, galas
Typical Ticket Price: $10-$25 for multiple chances
Prize Value: $20-$500+ per bottle/collection
Golden Ticket Raffle
How It Works
A limited number of high-priced tickets (often just 100-200) for a very valuable prize. Better odds justify premium pricing.
Best For: Major prizes, exclusive events
Typical Ticket Price: $100-$1,000
Prize Examples: Luxury cars, dream vacations, $10,000+ cash
Comparison: Which Raffle Type Is Right for You?
| Raffle Type | Best Audience | Typical Revenue | Complexity | Event Required? |
|---|---|---|---|---|
| Traditional | General public | $500-$5,000 | Simple | No |
| Reverse | Donors/supporters | $10,000-$100,000 | Moderate | Yes |
| 50/50 | Event attendees | $1,000-$10,000 | Simple | No |
| Chinese | Bargain hunters | $5,000-$25,000 | Moderate | Yes |
| Calendar | Loyal supporters | $10,000-$50,000 | Complex | No |
| Golden Ticket | High-net-worth | $20,000-$100,000 | Simple | Optional |
Legal Considerations for All Raffle Types
Regardless of format, all raffles must comply with state and local laws. Key considerations include:
- Registration: Many states require permits or licenses
- Eligible organizations: Usually limited to nonprofits
- Prize limits: Some states cap prize values
- Reporting: Financial documentation requirements
- Online restrictions: Internet sales may be prohibited
See our comprehensive raffle laws guide for state-specific requirements.
Technology and Modern Raffles
While raffle concepts remain traditional, technology has revolutionized how they're conducted:
Digital Benefits
- Online ticket sales: Reach supporters anywhere
- Automated drawings: Ensure complete randomness
- Real-time displays: Show all tickets and results
- Digital tracking: Monitor sales and manage data
- Mobile integration: Sell and track via smartphones
Modern raffle software makes any format easier to manage while ensuring fairness and transparency.
Choosing the Right Raffle Type
Consider Your Audience
- Budget-conscious: Traditional or 50/50 raffles
- High-value donors: Reverse or golden ticket
- Families: Duck races or traditional
- Regular supporters: Calendar raffles
Consider Your Resources
- Limited prizes: 50/50 raffle
- Many small prizes: Chinese raffle
- One major prize: Reverse or golden ticket
- Event venue: Reverse or Chinese raffle
Consider Your Goals
- Maximum revenue: Reverse raffle with dinner
- Community engagement: Duck race or traditional
- Simplicity: 50/50 raffle
- Year-round income: Calendar raffle
Combining Raffle Types
Many successful fundraisers combine multiple raffle types:
- Run a 50/50 alongside a reverse raffle dinner
- Offer Chinese raffle baskets during cocktail hour
- Add golden ticket option to traditional raffle
- Include early bird drawings in any format
Getting Started with Your Raffle
Now that you understand what raffles are and the various types available, you're ready to choose the format that best fits your organization's needs. Consider starting with these resources:
- Set the right ticket prices
- Choose winning prizes
- Market your raffle effectively
- Use professional raffle software
Whether you choose a traditional drawing, an exciting reverse raffle, or any other format, the key to success is matching the raffle type to your audience and executing it professionally. With the right approach and tools, raffles remain one of the most effective fundraising methods available to nonprofits today.