A reverse draw is a raffle where every single ticket sold is drawn from the barrel, with the last ticket drawn declared the winner of the major prize.
Expenses and upfront investment for this event are minimal if the club is able to source prizes from sponsors rather than pay for them. Otherwise clubs need to think about prize costs as the major expense.
Clubs make the mistake of settling for a slab or a bottle of booze for the raffle prize because it is easy, low cost and guaranteed to sell some tickets. However, with a bit of planning, clubs can secure a better category of prize and attract a much wider audience to their raffle.
Clubs should consider approaching local businesses like car dealers, restaurants, fitness centres and so on for a prize donation. Offer the business free signage at the club in return for a prize donation. Most businesses are happy to contribute to their local club as long as they receive something in return.
Bottom line: The better the prize, the easier to promote your raffle and the better the chance of ticket sales.
Revenue from reverse raffles is mainly from ticket sales but if the club holds the raffle in the clubrooms as an event rather than just having an individual walking around the boundary and announcing the winner, then bar sales, merchandise sales and canteen sales come into the equation.
Licenses and Permits
Gambling licences will be required depending on your state and also the value of your raffle's prizes. Check with the Gambling authority in your state.
In most Australian states and territories it goes against the law of holding raffles to hold a reverse draw with the last ticket drawn being the winner.
Under the legislation governing raffles every ticket must have a chance to win, where as in a reverse raffle effectively only the last two tickets left in the draw have the chance to win.
An easy way to comply with the law and not take away from the excitment of the draw, is drawing the winning ticket first but put it in an envelop marked 1st prize, , do this for the next 9 prizes drawn. Now you can commence drawing and announcing the unsuccessful tickets. When you get to the last ten tickets open envelopes one at a time, until you get to the last envelope. (Which was the first ticket drawn)
Reverse draw raffles can take a lot of time to get to a winner so clubs may as well maximise revenue raising during the process, the trick is to maintain a captive audience. Clubs can choose to hold the reverse draw raffle in conjunction with another fundraiser like a sausage sizzle, allowing two opportunities for raising money while attracting and keeping punters with the smell of delicious sizzling sausages. Or, clubs could choose to make a night out of the reverse draw fundraiser and mix it with other attractions like trivia, music and dancing to keep patrons entertained and contributing revenue to the club through food and drink purchases.
This procedure should be treated as a guide only. Your club should seek advice specific to the needs of your club and event. Seek further details from authorities and service providers; especially in regards to insurance, licences, permits, spectator and participant safety.