Twitter Lottery

Sometimes it pays out to read the a-list blogs because you find something interesting. Like last week, when I was surfing around John Chows blog and found this gem: Peep Lottery

Why it is a gem you ask? No, not because of the slim chance of winning the jackpot just shortly before Christmas, but because the example this kid gives.

But first a short summary how it works:
Peep Lotto is a Twitter Lottery that makes money by tweeting sponsored tweets and placing advertisement on their own homepage. This money goes into a jackpot, that will be awarded to one lucky Twitter follower on Christmas day. The only thing you need to participate is a (free) Twitter account and to follow Twterlotto, no fee, no gambling or risk involved.

So why am I impressed with this guy? And why do I think this idea will be a success?

It is simple and it is viral!
All great business concepts that became a success, especially on the internet, were simple. Look at Google, Youtube or Digg, they are all based on a few “if-then” relations. In the case of Peep Lotto it works like this: If there are followers, then there are advertisers, if there are advertisers, then the jackpot increases quickly, if the jackpot increases, then there will be more followers, if there are more followers… You get the idea 😉

It is free!
Free always sells, a free chance to win money sells even better. For advertisers this is an interesting approach, as people are tempted to check frequently how much the jackpot is now. That leads to more people visiting the web site and see the advertisements and possible click on it. The same is valid for the tweets. Sponsored tweets are only a few each day and always mixed with personal and / or interesting messages. People will be inclined to add this account to their Twitter lists as to  easier follow the story / progress. At the moment the account stats read: 1,490 followers and added to 46 public lists. That is an excellent relation between followers / lists and reflects only in how many public lists Peep Lotto appears, it doesn’t include the private ones. This stats make it a very interesting channel for advertisers and I venture to guess it will become even more attractive as time goes by.

It is personal!
There is actually a real person behind all this, not just a cool Web 2.0 style web site and a viral idea. By adding a blog and by tweeting about his life and his project, Peter Danihel, the site / project owner, adds a story to the product and gives it so a personal touch. He engages with the site visitors via his blog, and like every successful entrepreneur receives even his share on hatemail.

Negative points:
Missing disclosure of advertisement. From the web site “To the untrained eye, your advertisement will not appear an obvious advertisement; this ensures a more efficient return on investment.” Also searching around the home page didn’t brought up any policy, disclaimer or similar. Now, the web site owner is apparently located in Canada, which means he doesn’t fall directly under the new (from 1st December) FTC guidelines, but proper policy, disclaimer and disclosure pages would add a lot to the credibility of the site. I am not very familiar with Canadian internet laws, but my guess it that also they require a minimum of “legalese speak” on a web site that sells advertisement.
What will happen after Christmas? At the moment all is geared towards one date, Christmas Eve when the winner will be announced. I don’t know if Peter has any plans after that, but he really should start to think about how to build up on this momentum he has created and how to take his project into the next year. If not this will stay just an internet episode instead of growing into a long-term business for him.

Following the Twterlotto Twitter Account is done in a few seconds and you might even be the lucky jackpot winner. The jackpot has now reached $1400+ and the follower count was 1490 last time I looked, which gives me a chance of 1:1490 to win 😉 Certainly better odds then a “normal” lottery.

But secondly, and more importantly, it is a great case study in viral internet marketing and by following the project and the discussion around it you might actually pick up one or two ideas for your own internet business!

If you like this blog post and found it helpful, why not share it with your preferred social network? Handy links and bookmarklets above ^^^ 😉

14 comments to Twitter Lottery

  • Very interesting. To be honest I actually hate Twitter-yes I know what you’re thinking! I think the concept of this is great and what you write about “free” money is so true, bit of a sad indictment on 21st century life I suppose.

    Still Richard Branson and the likes all had vision, so perhaps your advice about after Christmas will be heard.
    .-= Mike´s last blog ..Soi Chicken =-.

    • hospitalera

      Hi Mike,
      I use Twitter, I can’t say I love it, but sometimes it comes in handy! So, yes, I can understand you 😉
      I just find it impressive how this student not only had a great idea, but also followed through with it! SY
      PS I obviously also wouldn’t mind to win the jackpot! 😉

  • That is a pretty brilliant “if-then”, especially when you gather how popular Twitter is lately! This seems like a jackpot that would gather quite a bit of advertisement, meaning that more people would want a part of this lottery.

  • Jimbo10

    It is cool with me if you don’t follow. Sorry if you thought my links to the recent products on Amazon that were being sold at half price. I honestly was trying to help others out. I actually got myself a GPS and a some toys for the kids at huge discounts. I’m sorry you did not appreciate it. I use my twitter to help parents find my sites about my kids favorite toys to help them. I also recommend deals like the current ones on Amazon and post coupon codes and sales I figure people should know they don’t need to stand in line all day on Black Friday to get a good deal. But, if you call it spam. Then you definitely should not follow me.

  • hospitalera

    I was not referring to your tweets, I tweeted about the Amazon deals myself, I was referring to the DM I got from you via Twitter regarding an IQ test you had taken and I should also take, because it showed you are cleverer then me or something on these lines. I get so many of this (take this iq test, join my mafia family etc etc etc) that I have decided to unfollow people that send me these. If you are sure that you haven’t send me such a DM via Twitter, then I strongly suggest that you check in “settings” which application is allowed to tweet in your name, SY

  • venus

    That’s right, Twitter is a great way to promote a website or to make some money. But I think there are another one important thing, which is you can build trust. When you have a large number of followers and you’re posting good articles with valuable information, tips&tricks or latest news from your niche/domain, they will read them and will see you like a guru.

  • hospitalera

    Thanks for your input 😉 I am just happy when I can help people, I don’t want to become a “guru”, too much responsibility, SY

  • Jimbo10

    Well if that is the case then I have no idea what you are talking about. I never took an IQ test nevermind thought that you should take one. I will look over my settings. But, usually I block anything I don’t need. I never knew something else could tweet in my name. Thank you for clearing that up for me.

  • hospitalera

    Unfortunately I deleted the DM, but I found this in your timeline:
    “wow. i bet my iq score is higher than yours!! see if you’ll beat me.. take the test here http://(url-removed) about 16 hours ago from web” That was the same text I received from your account via DM. BTW, I am re-following you again, friends? SY

  • Paul McCormick

    I think Twitter has potential. I think this blog is onto something.

    • hospitalera

      Yes, a lot of spammers also think twitter has potential, you know the ones with “get quick rich overnight with our twitter money system”, SY

  • Lyle Hoffman

    Is it true that people pay you after you have so many followers on Twitter?