zeitgeist57 Posted March 23, 2021 Report Share Posted March 23, 2021 My go-to car guy channels - as well as YT ads - are frequently talking about Omaze, where they seem to "give away" some pretty awesome rides along with a trunkful of cash. Without me Googling, I'm curious if you guys know what their business model is how they're involved in charities, that affords them the ability to give cars+cash to people that participate in their model? Is there any trickery here, like the car is a lease? I've never seen giving to charity being so lucrative! :gabe: Quote Link to comment Share on other sites More sharing options...
Geeto67 Posted March 23, 2021 Report Share Posted March 23, 2021 Their business model is exactly what it looks like, but you may need to know some quirks about laws and lotteries to understand how it actually works. Simply put: Omaze is not a charity. It is a for profit company that happens to fundraise on behalf of charities. This means they are not bound by all the rules and expectations of not for profits and can act like a for profit company. I think something like 10%-15% of their actual intake for one promotion actually goes to the charity. What Omaze runs looks like a lottery, but lotteries are mostly illegal unless licensed or sanctioned by the state. But Omaze actually runs a Sweepstakes which are not illegal and bound by few state and federal laws. You can enter any Omaze prize drawing for free (says so right on their website). However, it is a little harder to enter into an omaze drawing for free and they really push the charity angle. Still free entries work in their favor as like many sweepstakes they probably have insurance to cover their shortfalls and the more entries they can show, the more valid it makes their sweepstakes look. That's pretty much it. Just as lotteries are huge cash cows for their states, omaze's sweepstakes rake it in hand over fist. In 2019 the company made $45m and gave $25m to charity overall. Their products are the sweepstakes campaigns themselves, and non celebrity sweepstakes account for $7mil of that $25 donated to charity. read this if you want to know a little more: https://www.fastcompany.com/90457667/omaze-most-innovative-companies-2020 Quote Link to comment Share on other sites More sharing options...
Mace1647545504 Posted March 23, 2021 Report Share Posted March 23, 2021 I knew Kerry would know..I'll add my 2cents. I've entered a few omaze sweepstakes when SoA auctioned off their stuff and another time When they offered a ride with a few of the guys from SoA. Quote Link to comment Share on other sites More sharing options...
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