The festive initiative encourages residents to shop locally by offering entry into prize draws with every purchase at participating stores.
Shoppers must fill out an entry form with each purchase to be eligible for the draws.
Participating businesses can be identified by promotional posters displayed in their windows, with entry forms available at these stores.
Kyabram Chamber of Commerce vice-president Steve Vick said the promotion featured special Christmas deals across participating businesses.
“It is 12 days where all the local traders will offer Christmas specials,” he said.
“They will all have special promotions to encourage people coming to their stores to shop.”
The prize structure includes two $500 Kyabram gift card draws on December 18, followed by two $1,000 gift card draws on December 23.
“With every purchase, you fill out an entry form and go into the draw to win $3,000 worth of Kyabram gift cards,” Mr Vick said.
Participating businesses span the main shopping street and the industrial estate, offering a diverse range of products.
“Everything from clothing, giftware, shoes, hardware, sportswear, car care, everything you can think of can be found for Christmas in Kyabram,” Mr Vick said.
The majority of hospitality and food venues are also involved.
Goulburn Murray Credit Union Kyabram serves as the major sponsor for the event.
Mr Vick emphasised the importance of local support during the Christmas period.
“Many traders rely heavily on the Christmas trade,” he said.
“It is nice to take advantage of what Kyabram has to offer, particularly as we have a bit of a village vibe and no-one gets charged for parking.
“Kyabram is a good day out, with plenty to see and why not come and shop in Kyabram, when you get a chance to win a share of $3,000.”
Enter Kyabram’s 12 Days of Christmas promotion at any store that displays a promotional poster in its windows, with winners spending the Kyabram gift cards at any participating store.