lottery vs raffle

lottery and raffle both are nouns.

Word	Noun	Adjective	Verb	Adverb
lottery	Yes	No	No	No
raffle	Yes	No	Yes	No

As nouns, raffle is a hyponym of lottery; that is, raffle is a word with a more specific, narrower meaning than lottery:

lottery: players buy (or are given) chances and prizes are distributed by casting lots
raffle: a lottery in which the prizes are goods rather than money

Other hyponyms of lottery include tombola, lucky dip, numbers, numbers game, numbers pool, numbers racket, sweepstakes.

lottery (noun)	raffle (noun)
players buy (or are given) chances and prizes are distributed by casting lots	a lottery in which the prizes are goods rather than money
something that is regarded as a chance event

lottery (verb)	raffle (verb)
	dispose of in a lottery