The CEO of Omaze, a company known for awarding luxury homes in the UK through monthly draws, has disclosed the staggering amount spent on these properties, totaling approximately £180 million. Matt Pohlson, who previously focused on celebrity experiences, shifted the company’s model after a life-altering incident in 2018 when he faced a near-fatal health crisis. This change led him to recognize the potential of offering homes as prizes, a concept he believes can significantly impact lives.
Omaze has gained popularity for its unique fundraising approach, allowing individuals to purchase tickets for as little as £10 to enter draws for high-value properties. Pohlson explained this shift in strategy during an appearance on the Uncensored CMO podcast, stating, “It became clear we were never going to be world changing just by doing celebrity experiences.” He emphasized that while vehicles can enhance a lifestyle, a home has the power to transform it entirely.
When selecting the UK for this venture, Pohlson noted that its denser population and generally lower property costs compared to the United States made it an appealing choice. In response to inquiries about the purchasing process, he confirmed, “Yeah, we buy all the houses. Sometimes, we are building the houses now.” He elaborated that around £3 million to £6 million is spent on each home, and they ensure substantial renovations or improvements are made before the homes are awarded.
To date, Omaze has given away over 40 homes in the UK, contributing to a total prize value of approximately £250 million. Pohlson highlighted the robust subscription revenue model, which mitigates risks associated with these purchases. Subscribers, who pay up to £50 monthly, are automatically entered into each draw, allowing them to participate in the excitement of potentially winning a dream home.
Despite the odds of winning, Pohlson noted that many participants are motivated not just by the prizes but also by the impact their contributions make on charitable causes. Since launching in the UK, Omaze has raised approximately £90 million for various charities. In the United States, the company raised an impressive £200 million before expanding its operations.
Pohlson shared a tangible example of the charitable impact generated by Omaze’s model. “We did a house in Victoria Park last year to fund the London Air Ambulance,” he explained. “These helicopter ambulances pick up 3,000 Londoners a year, so we funded that service; it wouldn’t be here without the money from the Omaze community.” This illustrates how the community’s support translates into real-world benefits for those in need.
As the company continues to grow, Pohlson remains focused on creating meaningful connections between participants and the charitable projects they support. With its innovative approach to fundraising, Omaze not only transforms lives through the gift of homes but also contributes significantly to vital community services across the UK.
