Omaze

Last updated
Omaze
FormationSeptember 2012 (2012-09)
Founder
  • Ryan Cummins
  • Matthew Pohlson
PurposeCharity Fundraising
Headquarters Culver City, California, U.S.
Key people
Website omaze.com

Omaze was an American for-profit fundraising company that partnered with charities in fundraising events. Omaze's events featured prizes, such as material goods, property, or celebrity experiences, usually with one grand prize and several lesser prizes. In order to enter the draw for the prizes, financial contributions were encouraged, with 15% to 60% of the money going to the partner charity. [1] [2] [3]

Contents

The company was founded by Ryan Cummins and Matthew Pohlson in July 2012, [4] [5] [6] was privately owned, and is based in Los Angeles, California. The company has raised over $130 million [7] for over 350 charities, [7] including UNICEF, [8] After-School All-Stars, [9] Julia's House, [10] Product Red, [11] and Make-A-Wish Foundation. [12]

Contests

Omaze typically launch a sweepstake that offered a grand prize or experience, with a promotional video endorsed by a celebrity. Entrants were encouraged to contribute financially to the cause, with the amount given proportionally determining the number of sweepstake entries that person receives: a person donating $100 has ten times more chances to win than a person donating $10. [13]

Sweepstake systems such as Omaze's included a "no purchase necessary" clause to avoid being classed as a lottery. [14] In the US, participants may select an "enter for free" option to receive 2,000 entries at no cost. [15] In the United Kingdom, participants may submit a postal entry with no fee. [16]

Omaze released their first sweepstakes in July 2012, with the winner becoming a judge on Cupcake Wars and all entries supported Team Rubicon. [17]

In December 2015, Omaze partnered with Star Wars where people donated $10 to be entered to win the opportunity to visit the closed set of Star Wars: The Force Awakens . The experience raised more than $4.26 million to benefit UNICEF. [18] The experience launch video was a 2016 Webby Award Honoree. [19]

As of January 28, 2023, Omaze ceased operations in the United States. A note from the CEO was placed on the new webpage.

"As of January 28 2023, we’re changing the way we do things. In order to have the biggest impact for our charity partners, worldwide, we’re simplifying the experiences we offer. While we reflect on how to do this effectively in the US, we will not be adding new experiences to omaze.com.

To be the first to hear about our exciting new experiences when they launch, make sure you follow us on Facebook and Instagram. And remember, if you’re based in the UK, you can head on over to omaze.co.uk now, and check out our live draws.

We will, of course, honor all of the US experiences that have already been won, as well as the donations to our charity partners, which, to date total: $160M to charities worldwide.

When we started Omaze in 2012, I never could have imagined the huge impact our community would have on the world. As we take this opportunity to reflect on how we can increase our global impact, I will never forget that this is where it all began.

Our donors in the US have made countless dreams come true. You have changed lives. And I look forward to opening the next chapter on this incredible journey with you.

We will be back.

Love and Optimism,

Matt" [20]

This came soon after a large layoff of Omaze employees. On December 9th, 2022, Omaze laid off 103 employees. [21]

Model

Omaze was a privately owned, for-profit company that had two models to raise funds for charities. Sweepstake entries for a celebrity experience (set visit, dinner date, tickets to a premiere, etc.) see 60% of the money donated to charity, 25% towards fees and Omaze's costs for advertising and creating content for the event, and 15% to Omaze as profit. [2]

For prize-based experiences (like a car, vacation, or tuition), 15% went to the charity, 70% to sourcing and shipping the prize, covering the winner's taxes, processing credit card fees, and Omaze's costs in marketing and creating content for the experience, and 15% to Omaze in profit. [2]

Omaze in the United Kingdom

Omaze draws in the United Kingdom are run by Omaze UK Limited which according to their financial statements is a wholly owned subsidiary of Omaze Inc. [22]

In the United Kingdom, Omaze currently gives 17% of total sales to the charity partner with a guaranteed minimum of £1 million. [23] Prior to the Somerset House draw in November 2023 Omaze UK gave 80% of the net profit from a sweepstake to the charity, after deducting the cost of the prize and marketing, and took 20% as its profit. [16]

The company launched its first campaign in the United Kingdom in 2020. [1] Each account on Omaze UK is limited to £500 of entries per calendar month. You can get an unlimited number of free postal entries for the UK draws however, given the cost of postcards and postage it is almost certainly cheaper to pay Omaze directly for entries. [ citation needed ]

Related Research Articles

<span class="mw-page-title-main">Comic Relief</span> British charity

Comic Relief is a British charity, founded in 1985 by the comedy scriptwriter Richard Curtis and comedian Sir Lenny Henry in response to the famine in Ethiopia. The concept of Comic Relief was to get British comedians to make the public laugh, while raising money to help people around the world and in the United Kingdom. A new CEO, Samir Patel, was announced in January 2021.

<span class="mw-page-title-main">Lottery</span> Gambling that involves the drawing of numbers at random for a prize

A lottery is a form of gambling that involves the drawing of numbers at random for a prize. Some governments outlaw lotteries, while others endorse it to the extent of organizing a national or state lottery. It is common to find some degree of regulation of lottery by governments. The most common regulations are prohibition of sale to minors and licensing of ticket vendors. Although lotteries were common in the United States and some other countries during the 19th century, by the beginning of the 20th century, most forms of gambling, including lotteries and sweepstakes, were illegal in the U.S. and most of Europe as well as many other countries. This remained so until well after World War II. In the 1960s, casinos and lotteries began to re-appear throughout the world as a means for governments to raise revenue without raising taxes.

<span class="mw-page-title-main">CAFOD</span> UK Catholic overseas development agency

The Catholic Agency for Overseas Development, commonly known as CAFOD, is an international development and relief charity. It is the official aid agency of the Catholic Church in England and Wales.

<span class="mw-page-title-main">War Child (charity)</span> Non-governmental organisation

War Child International is an independent non-government organization founded in 1993 by film-makers Bill Leeson, David Wilson, and peace activist Willemijn Verloop. The organization works with parents, caregivers, community members, NGOs, governments, corporations, and other partners worldwide to ensure that children have access to protection, education and psychosocial support. War Child's work is rooted in the United Nations Convention on the Rights of the Child.

<span class="mw-page-title-main">Prince's Trust</span> United Kingdom-based charity

The Prince's Trust is a United Kingdom-based charity founded in 1976 by King Charles III to help vulnerable young people get their lives on track. It supports 11-to-30-year-olds who are unemployed or struggling at school and at risk of exclusion. Many of the young people helped by the trust face issues such as homelessness, disability, mental health problems, or trouble with the law.

Charity gambling is a "form of incentivized giving" where a charity, rather than a municipality or private casino, oversees gambling activities such as bingo, roulette, lottery, and slot machines and uses the proceeds to further its charitable aims.

Better World Books is an American online bookseller of used and new books, founded in 2002 by students of the University of Notre Dame, Indiana.

<span class="mw-page-title-main">Concern Worldwide</span> Irish aid and humanitarian agency

Concern Worldwide is Ireland's largest aid and humanitarian agency. Since its foundation in 1968 it has worked in 50 countries. According to its latest annual report, Concern helped 28.6 million of the world's poorest and most vulnerable people in 2019, while responding to 82 emergencies in 24 countries. Concern aims to help those living in the world's poorest countries. Concern is engaged in long-term development work, in addition to emergency relief in Africa, Asia and the Caribbean. Concern's core work focuses on health, hunger and humanitarian response in emergencies. The charity works in partnership with small community groups as well as governments and large global organisations. Concern is one of fourteen fully certified members of Humanitarian Accountability Partnership. It has no religious or political affiliations.

<span class="mw-page-title-main">Product Red</span> Brand that engages firms to eliminate HIV/AIDS in Africa

Product Red is a licensed brand by the company Red that seeks to engage the private sector in raising awareness and funds to help eliminate HIV/AIDS in eight African countries, namely Eswatini, Ghana, Kenya, Lesotho, Rwanda, South Africa, Tanzania, and Zambia. It is licensed to partner companies including Apple Inc., Nike, American Express (UK), The Coca-Cola Company, Starbucks, Converse, Electronic Arts, Primark, Head, Buckaroo, Penguin Classics, Gap, Armani, FIAT, Hallmark (US), SAP, Beats Electronics, and Supercell.

<span class="mw-page-title-main">Virgin Unite</span> Independent charitable arm of the Virgin Group

Virgin Unite is the working name of The Virgin Foundation, the independent charitable arm of the Virgin Group. Created by Richard Branson and Virgin employees in September 2004, Virgin Unite pools volunteering efforts from across the Virgin Group and its hundreds of subsidiaries and associated companies to grow the efforts of smaller grassroots charitable organizations. Partnered with more than a dozen charities worldwide the company also provides a resource through the Internet by serving as an online donation centre for those wanting to contribute.

Big Give is a non-profit, charitable website that enables donors to find and support charity projects in their field of interest. It was founded in October 2007 by Sir Alec Reed CBE. His son James Reed became Chair of Trustees in 2019.

Charity: water is a non-profit organization founded in 2006 that provides drinking water to people in developing nations. As of 2019, the organization has raised $370 million. According to the organization, it has funded 111,000 water projects in 29 countries though it does not know how many of the projects are still functional.

<span class="mw-page-title-main">ME to WE</span> Canadian company related to We Charity

Me to We is a for-profit company selling lifestyle products, leadership training and travel experience. Me to We was founded in 2008 by brothers Craig and Marc Kielburger. ME to WE’s engagements with the Trudeau family came under scrutiny after Justin Trudeau’s government awarded WE Charity a contract to administer the proposed Canada Student Service Grant program.

<span class="mw-page-title-main">Turn2us</span> Charity that helps people living in poverty in the UK and Ireland

Turn2us is a trading name for Elizabeth Finn Care, a charity registered in England and Wales, and in Scotland that helps people living in poverty in the UK. Turn2us provides information and support about welfare benefits and charitable grants through an accessible website and a freephone helpline.

Charitybuzz is an internet company that sells and auctions off access to experiences and items to raise funds for nonprofit organizations. Charitybuzz experiences include music, entertainment, business, politics, sports, art, fashion and other industries.

<span class="mw-page-title-main">Founders Pledge</span> English charitable non-profit

Founders Pledge is a London-based charitable initiative, where entrepreneurs commit to donate a portion of their personal proceeds to charity when they sell their business. Inspired by effective altruism, the mission of Founders Pledge is to "empower entrepreneurs to do immense good".

<i>Star Wars</i>: Force for Change Star Wars-themed charity program

Star Wars: Force for Change is a Star Wars-themed charity program run by Lucasfilm and The Walt Disney Company that collects donations to fund solutions for global problems. The organization also sells Star Wars-themed merchandise using the profits for charitable causes.

<span class="mw-page-title-main">Charitable activities related to the COVID-19 pandemic</span>

The COVID-19 pandemic has greatly impacted the international and domestic economies. Thus, many organizations, private individuals, religious institutions and governments have created different charitable drives, concerts and other events to lessen the economic impact felt.

<span class="mw-page-title-main">Call of Duty Endowment</span> Military veterans support organization

The Call of Duty Endowment (C.O.D.E.) is a 501(c)(3) non-profit foundation co-created by Bobby Kotick, the former CEO of Activision Blizzard, and General James L. Jones, Jr., a retired United States Marine Corps four-star general, to help U.S., and later, U.K. military veterans find high-quality careers. The Endowment funds non-profit organizations that help former service members transition to high quality civilian careers after their military service and raises awareness of the value veterans bring to the workplace. The name of the Endowment is a reference to the video game series Call of Duty.

<span class="mw-page-title-main">Choose Love (organisation)</span> Non-governmental organization based in United Kingdom

Choose Love is a UK-based non-governmental organization (NGO) which provides humanitarian aid to, and advocacy for, refugees around the world. In 2016, it became the largest grassroots distributor of aid in Europe.

References

  1. 1 2 "Celebrity-backed charity platform launches in the UK — with a £1m house giveaway". Sifted. 12 May 2020. Retrieved 29 January 2021.
  2. 1 2 3 "What is Omaze? About Us & How We Help People In Need". Omaze. Retrieved 2019-06-30.
  3. Pohlson, Matt (2020-09-09). "Purpose At Work: How Omaze Reinvented Philanthropy To Unlock Exponential Growth And Impact". Forbes. ISSN   2609-1445 . Retrieved 2020-09-09.
  4. Jansen, Monika (August 22, 2011). "Win Once-in-a-Lifetime Experiences that Raise Money for Charity at Omaze". Tech.Co. Retrieved September 6, 2015.
  5. Milzoff, Rebecca (February 14, 2013). "Celebrity Charity Auctions: Six Winners' Stories". Bloomberg BusinessWeek. Retrieved September 6, 2015.
  6. Shontell, Alyson (July 23, 2012). "Omaze Raises $1 Million So Regular People Can Experience Once-In-A-Lifetime Opportunities For $5". Business Insider. Retrieved September 6, 2015.
  7. 1 2 BERNSTEIN, JILL (2020-03-10). "Meet the for-profit business model that's raised over $130 million for charities". Fast Company. ISSN   1085-9241 . Retrieved 2020-03-10.
  8. Cummins, Ryan (2015-12-16). "How my organisation is helping Star Wars become a force for change". The Guardian. ISSN   0261-3077 . Retrieved 2017-08-23.
  9. "Arnold Schwarzenegger Wants You To Blow Sh*t Up For Charity". Tubefilter. 2015-05-15. Retrieved 2017-08-23.
  10. "Robert Downey Jr raffle raises £1m for Julia's House hospice". BBC News. 2015-04-07. Retrieved 2017-08-23.
  11. "U2 Offer Private Concert, Make Song Title Puns for Charity". Rolling Stone. Retrieved 2017-08-23.
  12. "Stan Lee Tribute Event Announced". Marvel. Retrieved 2017-08-23.
  13. Conway, Jeff (3 December 2020). "Omaze Promotes Optimism This Holiday Season With The Help Of Charlize Theron, Ben Affleck And Matt Damon". Forbes. Retrieved 30 January 2021.[ dead link ]
  14. Lindsay, Jessica (17 April 2021). "House raffles: Legit way to get on the property ladder or filled with loopholes?". Metro. Retrieved 22 July 2021.
  15. "Official Rules". Omaze. Retrieved 2020-11-15.
  16. 1 2 "Your Frequently Asked Questions, Answered". Omaze UK. Retrieved 22 July 2021.
  17. "Omaze Contest: Be A Backstage Judge On Cupcake Wars!". Omaze Contest. Retrieved 2017-07-28.
  18. Cummins, Ryan (2015-12-16). "How my organisation is helping Star Wars become a force for change". The Guardian. ISSN   0261-3077 . Retrieved 2017-07-28.
  19. "2016 | The Webby Awards". webbyawards.com. Retrieved 2017-07-28.
  20. Omaze https://www.omaze.com/.{{cite web}}: Missing or empty |title= (help)
  21. "Omaze, Inc. - Layoffs/Closings". usa today.
  22. "Omaze UK Limited". Companies House. Retrieved 9 June 2024.
  23. "We're giving more than ever before". Omaze UK. Retrieved 9 June 2024.