| Purpose: | Charity Fundraising |
| Headquarters: | Culver City, California, U.S. |
| Omaze | |
Omaze is a for-profit fundraising company that partners with charities in fundraising events. Omaze's events feature 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]
The company was founded by Ryan Cummins and Matthew Pohlson in July 2012,[3] [4] [5] was privately owned, and is based in Los Angeles, California. The company has raised over $130 million[6] for over 350 charities,[6] including UNICEF,[7] After-School All-Stars,[8] Julia's House,[9] Product Red,[10] and Make-A-Wish Foundation.[11]
While initially founded in the United States, the company ceased to operate in the country as of 2023 due to regulatory issues, though it remains active in the United Kingdom.
Omaze offered sweepstakes that were often accompanied by celebrity endorsements. Entrants were encouraged to contribute financially to the cause, with the amount given determining the number of sweepstake entries that the person received.[12]
Sweepstake systems such as Omazes included a "no purchase necessary" clause to avoid being classed as a lottery.[13] In the US, participants may select an "enter for free" option to receive 2,000 entries at no cost.[14] In the United Kingdom, participants may submit a postal entry with no fee.
Omaze released their first sweepstakes in July 2012, with the winner becoming a judge on Cupcake Wars and all entries supported Team Rubicon.[15]
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 . The experience raised more than $4.26 million to benefit UNICEF.[16] The experience launch video was a 2016 Webby Award Honoree.[17]
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.This came soon after a large layoff of Omaze employees. On December 9th, 2022, Omaze laid off 103 employees. [19]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"[18]
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.[20]
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.[20]
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.[21]
In the United Kingdom, Omaze currently gives 17% of total sales to the charity partner, with a guaranteed minimum of £1 million.[22] 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.[23]
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.