A Feel-Good Way to Gamble

The Marketing Genius of 50-50 Raffles Ensures Sports Fans Always “Win”

I’m not a big gambler, but I love sports and attending professional games. In recent years, there’s been a trend of raffle tickets being sold to fans. Maybe you’ve seen vendors walking up and down the aisles to offer “50-50 Raffle” tickets. The marketing strategy behind this effort is clever. Why? Well, 50% of the raffle jackpot goes to the winning fan, while the other 50% goes to a local charity. Doesn’t that sound nice? Just buying a ticket means you are helping out people in need.

The popularity of these types of raffles is growing in sports. The Chicago Cubs baseball team announced last month that in addition to fans buying raffle tickets at the game, they can also purchase them online “in accordance with state and local law.” Also last month, the Pennsylvania House approved a bill in a 194-7 vote (wow!) to allow these raffles at college sporting events – and you can even use your credit or debit card (another wow!). Any type of gambling at a venue with amateur athletes has been taboo forever (and, of course, they aren’t paid – that’s for another blog post). But now, put $20 worth of tickets on your plastic as you enjoy your alcohol-free collegiate sports experience!

“Our Pittsburgh major league teams and their charity partners have seen great success with these raffles. The fans really enjoy the chance to win while contributing to a charitable cause.”

-Pennsylvania State Representative Jim Marshall (as reported by The Times)

The bill claims the Pittsburgh Penguins and Pirates teams have generated $9 million for local charities over the past 6 years. Despite that, 50-50 raffles aren’t without controversy. Five years ago, several non-profit groups and Native American tribes in California voiced anger over legislation to allow 50-50 raffles at professional sports games. They used terms like “carve-out” and “special rules” for pro franchises. Why were they mad? In California, non-profits can only give winners 10% of a jackpot and Native American tribes feel threatened by new forms of gambling. The bill passed and became law in California in 2015.

“When you go from a 90-10 split to a 50-50 split, you’re moving away from charity to something more like a lottery. This is a huge change.”

-David Quintana, California Tribal Business Alliance lobbyist (as reported by The Los Angeles Times)

Frankly, I think these raffles are a wonderful idea supported by genius marketing. Ticket-buyers are supporting charities and get chances (albeit very small ones) to win tens of thousands of dollars. Even a gambling-averse person like me will shell out $10 at a game. Granted, it’s a cheap way for me to feel like I’m supporting charity. But hey, the Dodgers have raised nearly $1 million so far this season for its foundation. That doesn’t seem like much of a gamble to me!