- What is Omaze, and how does Omaze work?
- How does Omaze make money?
- Taking a Percentage of Money Donated
- Omaze profit and revenue
- What is the Omaze business and revenue model?
- Omaze funding, net worth, and valuation
- Omaze subsidiaries, acquisitions, and exits
How does Omaze make money? Well, here is a full, in depth, breakdown of their main revenue stream and services they offer, as well as the Omaze business and revenue model, how much money Omaze makes per year, and how Omaze works.
What is Omaze, and how does Omaze work?
Omaze is a for-profit fundraising platform that partners with charities in fundraising events. And in exchange, donors get entered in for a chance to win prizes such as material goods, property, etc.
Founded in 2012 by Ryan Cummins and Matthew Pohlson, Omaze has since raised more than $150 million for over 400 charities since its founding back in 2012.
So, how does Omaze work? Omaze does not have a mobile app, so if you want to donate for a chance to win a prize on Omaze, you will need to visit their website.
Once on their website, you can then search for prize campaigns that are currently open. If you find something you’re interested in, tap “Enter now” and choose a donation amount you would like to contribute to the charity.
Omaze works like a raffle – the higher the donation amount, the more “entries” you get.
How does Omaze make money?
According to Omaze, Omaze has raised more than $150 million for over 400 charities since its founding back in 2012.
So how does Omaze make money off of all this money raised?
Below is a breakdown of how much money Omaze makes and its revenue model. Including their main revenue stream and how much they charge for their services.
Here is how Omaze makes money in 2022
Omaze has a revenue model that makes money in just one (1) way; by taking a percentage of the money donated.
#1. Taking a Percentage of Money Donated
Omaze makes all of its money by taking a percentage, or commission, from all the money donated per campaign.
Where the money goes depends on the type of campaign being run. For example, a campaign that involves winning a celebrity experience (such as a set visit, dinner date, tickets to a premiere, etc.), 60% of the donor’s donations go to the charity, 25% to overhead, and 12% to 20% to Omaze.
And for campaigns involving non-celebrity prizes (like a car, vacation, or cash), 15% of the donor’s donations go to the charity, 65% to prize cost and overhead, and 12% to 20% to Omaze.
As noted above, Omaze has since raised more than $150 million for over 400 charities since being founded back in 2012. Of that, Omaze nets roughly 12% to 20% for themselves on all funds raised, regardless of the campaign type. Which you can see below.
How much does Omaze keep? (Omaze cost)
- 12% to 20% of all campaign revenue goes to Omaze
Note that only 15% to 60% of your donation will actually go to the charity (depending on the campaign type). So, if your goal is to donate for the sole purpose of donating, we suggest donating to that charity directly.
Omaze profit and revenue
Omaze has not released any official reports in regards to company earnings.
Note: Because Omaze is a privately held company, they are not required to make their annual reporting, such as Form 10-K’s, pubic.
What is the Omaze business and revenue model?
Omaze makes money through a few revenue models that they combine within their company, they are:
- Commission based business model
- Business to business (B2B) business model
- B2B2C (partnerships) business model
Omaze funding, net worth, and valuation
Omaze’s Crunchbase profile shows Omaze has raised $127 million over 8 rounds and has a post-money valuation of $100 million to $500 million as of September 16, 2021.
Omaze subsidiaries, acquisitions, and exits
To date, Omaze has not made any acquisitions, investments, or exits.