The Rising Popularity of Sweepstakes Casinos: Global Growth of Sweepstakes Industry

Despite their popularity, traditional online casinos have always had a villainous reputation due to their potential to make people lose money. As a result, people who want to enjoy online entertainment and win rewards while at it have been trooping towards “safer” options like sweepstakes casinos.

Statistics show that approximately 55 million Americans participate in sweepstakes and contests yearly. As a result, many businesses have been investing in sweepstakes casino software development because of the potential of this gaming model to help them reach more people. In this post, we will explore the growing popularity of sweepstakes, define concepts like “what sweepstakes are” and explain the reasons for their global growth in recent years. 

• A sweepstakes casino operates on a unique free-to-play model that allows players to play casino-style games for free and potentially win cash prizes. 
• The favorable regulatory framework for sweepstakes gaming has made it a popular alternative to traditional online casinos.
• Sweepstakes sites have been leveraging new technology, social media, and various promotions or bonuses to improve the appeal of their platform. 

What Are Sweepstakes Casinos?

Before we delve into the rising popularity of this gaming model, let’s discover what is a sweepstakes casino and how it really works. 

A sweepstakes casino operates on a unique free-to-play model where players get to enjoy casino-style games (slots, poker, and table games) for free instead of using real cash. In this model, the casino gives players a generous amount of gold coins which they can use to wager on award-winning games instead of real cash.

In sweepstakes casinos, the amount of free coins players get is often enough to allow them to play casino games for a long time. However, some sites also allow players to buy additional gold coins if they want to. 

Sweepstakes casinos also have another type of coin known as sweepstakes coins. These are typically gotten for free when players purchase gold coins. Sweepstakes coins can also be used to wager on games, and players can win more sweepstakes coins from the games they play. They can then cash out the sweepstakes coins as real prizes. 

The sweepstakes model is entertaining, less risky, and compliant with the law in most countries. In fact, many jurisdictions that have banned conventional gambling still permit sweepstakes gaming. 

Global Interest in the Sweepstakes Industry

The sweepstakes industry has been experiencing significant growth in recent years. According to recent statistics, the market size of the sweepstakes industry is expected to be worth up to $157.8 million by 2032. This represents a cumulative annual growth rate of 11.5% considering the industry is currently valued at roughly $73 million. 

The USA remains the biggest market for consumer sweepstakes platforms, as it accounts for up to 91.4% of the market share. However, sweepstakes gaming has been experiencing steady growth across various markets as well. For instance, Asia-Pacific marketing is shaping up into one of the fastest-growing markets in recent years thanks to robust domestic demand, and supportive policies. Similarly, countries like the UK, and France are contributing to the market’s expansion in Europe, with a steady rise in adoption.

Primarily, a conducive business environment is one of the main factors driving the sweepstakes industry. Because of its revenue-generating potential, many governments have implemented initiatives and legislation that drive the growth of the industry.

In addition to this, the sweepstakes market expansion can also be attributed to the growing popularity of online promotions as a potentially effective marketing tool. As a result, many businesses across various industries have been utilizing this form of reward-based promotion to engage their customers, generate leads, and build brand awareness. 

Why Is Sweepstakes Casinos’ Popularity Rising?

In the United States, the rising trend of sweepstakes gaming is driven by the regulatory advantage of this gaming model, player preferences, and business benefits. So far, only a handful of US states have legalized traditional online gambling.

But sweepstakes gaming does not face the same hurdles. This is why it has become a viable alternative for operators trying to expand their reach and offer reward-based promotions in markets where traditional gambling is outrightly banned or restricted. 

Sweepstakes casinos also appeal to a large user base in the United States including those who are skeptical about engaging in traditional gambling for money. The fact that players have an opportunity to win real prizes without the financial risks that come with conventional gambling contributes to the increasing popularity of sweepstakes casinos vs traditional casinos, especially with casual players.

We have an article that compares these two popular forms of gaming in greater detail. You can check it out to understand how they compare to each other. 

Legality and Regulation

Online gambling is banned in most US states. However, since players don’t bet with real money deposits on sweepstakes casinos, these platforms operate under sweepstakes laws instead of traditional gambling regulations. 

Consequently, sweepstakes gaming is legal in almost every state in the country. In fact, only Washington and Idaho have strict regulations that prohibit sweepstakes gaming. Other states have favorable legislations that allow residents to engage in sweepstakes gaming freely as long as they adhere to the basic regulations that guide their operations such as providing players with free methods of entry. By leveraging this favorable legal structure, many sweepstakes casino operators can offer real prices to players while providing entertainment within legal bounds. 

Large Communities and Social Media

Sweepstakes gaming is benefiting significantly from the boom in social media. Virtually all sweepstakes platforms are active on social media platforms and have formed large communities on platforms like Facebook, Twitter, and Instagram. Some platforms also have forums on their own websites. 

These communities encourage interactions between players where they can discuss their experiences, share tips, and troubleshoot issues. With social media, there’s a high chance of going viral and capturing the attention of new audiences thanks to user-generated content and direct word-of-mouth marketing. Sweepstakes casinos are actively leveraging these promotional strategies to capture new markets and keep their current user base engaged.

Technology and User Engagement

The impact of technology on user engagement in online casinos cannot be overemphasized. Technological advancements, especially in the area of mobile gaming and software development are greatly influencing how operators build sweepstakes platforms. 

These days, a significant portion of the global population access online entertainment with their mobile phones. To adapt to this trend, sweepstakes casinos are often designed to be mobile responsive, providing seamless access to players across all devices. Some platforms even have dedicated mobile apps, so players enjoy better accessibility and convenience. 

In addition to ease of access, sweepstakes casinos also include various competition-based elements that attract users. Examples of these include leaderboards and tournaments that promote engagement and active participation. Many sites have also prioritized the introduction of advanced gaming elements such as AR/VR, AI recommendations, and other innovations. These features make them more appealing, especially to tech-savvy users. 

Games and Entertainment

Despite operating on a free model, sweepstakes casinos are just as entertaining as conventional gaming platforms. The quality and number of games is practically the same. Some casino sites build their own in-house casino games while also partnering with traditional casino software providers like NetEnt, Pragmatic Play, Betsoft, and so on. 

As a result, you’ll find the same game categories like slots, table games like roulette and blackjack, instant win games, keno, scratch cards, and even live dealer games on sweepstakes casino sites. With the added benefit of accessing these casino games without risking any money, sweepstakes casinos are practically irresistible. 

We have a detailed article about sweepstakes poker and other exciting games you can play on sweepstakes casino sites. Check it out to learn how games like this work on sweepstakes casinos. 

Prizes and Bonuses

Sweepstakes casinos are big on promotions and bonuses. In fact, these platforms are often more generous with freebies compared to traditional online casinos. Newly registered players on sweepstakes gaming sites often get generous welcome bonuses that include gold coins and sweep coins that will help keep them engaged for a long time. 

These platforms also offer regular promotions such as daily login rewards, leaderboard competitions, and tournaments. These bonuses increase the amount of free coins available for players. On most sites, you can practically keep on playing with freebies without purchasing extra coins with your own money. 

Top Growing Sweepstakes Casinos

Sweepstakes casinos introduce tons of fun to the casino gaming world. A lot of these sites have popped up in recent years targeting the United States and international markets. Here’s a list of some of the biggest sweepstakes online casinos focusing on growth and industry expansion: 

• WoW Vegas
• High 5 Casino 
• Pulsz 
• Fortune Coins 

The Future of Sweepstakes Casino Gaming

Considering the numerous benefits of the sweepstakes gaming model for both players and online casinos, sweepstakes casinos will likely continue to grow in popularity. They offer free casino-style gaming at zero risk to players and they’re likely to become the preferred method of online gambling, especially in regions where traditional online casinos are banned. 

As the landscape continues to evolve, the technology behind these platforms will continue to improve. Players can expect more innovation, both in terms of the number and variety of online casino games provided. In addition to improving their game offerings, sweepstakes casinos will also incorporate new features using modern gaming technologies such as AR/VR, AI, and other technologies that make playing games more immersive and engaging. 

Conclusion

The sweepstakes industry presents a rewarding opportunity to promote your business and reach a wider audience. With these platforms, you can offer entertainment and real prizes to your customers. Getting started is easy as well. The friendly legal framework governing this form of gaming makes it very easy to create a sweepstakes site. You just need to work with a reputable software provider who can guide you through the process and execute the project effectively. Contact CrustLab to learn how to start a sweepstakes casino and become a part of the industry.