Sweepstakes are promotions where prizes are given away for free. They differ from a lottery or most contests because you are not required to purchase anything to enter. However, you are required to fill out a registration form and in many cases answer survey or poll questions.

To publicize the sweepstakes, companies use various modes of distribution to the consumer including direct mail, the internet and the telephone. These are all costly forms of marketing and when you add an expensive sweepstakes prize, one might wonder what the company gets in return. Usually, the sponsoring company is so successful in their marketing tactics that substantial revenue is earned no matter what the expense.

Of course, when entering any form of sweepstakes, be prepared to be put on a number of opt-in email lists. You don