Social Casino Gaming
Within the past year, social casinos have become very adept at creating events that boost engagement. It could be the December Challenge or the Race to the Mountain Top, but in effect it is a collection of challenges and specialized content that is available for a limited time. Often the player has a chance to win an item that is only available by completing the event and will not be available again, creating an incentive both to participate and to visit the game regularly . These events also break the monotony of playing the same games repeatedly.
Barzilai sold Mytopia to gambling company 888 in 2010 for $18 million, making it one of the first Israeli gaming sector exits. Eleven years later and those games make up the core of the Israeli gaming industry. In truth it makes up the overwhelming majority of the local industry. Those figures don’t include Israeli technology companies that operate in the gaming sector, like IronSource or Overwolf, but only companies that deal with the games themselves.
Social casino companies have been challenged in court, and have been deemed to be gaming companies just like in-person casinos. The case is under appeal, and the reported settlement amount the social casino industry is willing to dish out is telling. “$50 was precisely the amount the player needed to round up to a million tokens.
The calls then incorporated Zynga’s success with Poker, which experienced a renaissance. Very noticeably, over the last year, Zynga has downplayed or even ignored the role of social casino in its growth projections. In part, this is due to the success it has experienced with recent acquisitions , but it also highlights that investors are not very receptive to initiatives in the social casino space. While revenue in the social casino space continues to increase , dark clouds on the horizon have started to dampen the enthusiasm.
In-game loyalty.Now is the time to improve or add a loyalty system to your game . By definition, a good loyalty program increases the loyalty of the customer. Loyalty programs increase the cost the player feels when leaving, making them less likely to churn. Loyalty programs also help form habits that make your game part of their daily activity. The increase in users and revenue for gaming companies has largely come at little or negative incremental expense, thus directly impacting net profit. Companies can use this profit to pay down debt or increase dividends to shareholders (investors, founders, etc.) and other stakeholders (i.e. employees).
Free-to-play slots and card games offer users the same quick rewards and excitement as any other casual game. In fact, since there’s no real money to be won, odds can be adjusted in the players’ favour so they experience more wins and get more fun out of the games. Social casino gaming has boomed during the COVID-19 pandemic and several companies in the sector have gone public or are preparing for an IPO.
For the lawsuits with counsel available, DLA Piper; Lewis Brisbois Bisgaard & Smith; and Lightfoot Franklin & White are representing Apple. Google has been represented by Baker & Mckenzie for the vast majority of social casino suits, but for the antitrust litigation Google is represented by Morgan, Lewis & Bockius. The antitrust lawsuits mostly started in the summer and fall of 2020, meanwhile the social casino lawsuits started to pick up around March 2021. The prize-chance-consideration test is often used to determine the legality of a lottery. Gambling often requires making a bet or wager, but what constitutes a bet or wager varies. Most states require that the bet or wager and the prize must be a “thing of value,” but this becomes complicated when virtual items, such as virtual currency or virtual casino chips are at play.
Meanwhile, social casino is a $5.4 billion industry that has grown every year since 2012 and is projected to continue growing 7-12 percent per year through 2022. Coin Master is a textbook example of how to disrupt and succeed in the social casino space, by creating a product that makes the competition irrelevant. There are many examples of companies in other industries that disrupted their industry with a Blue Ocean approach. Ringling Brothers did not consider Cirque a competitor and most argued that it was a different, not disrupting the circus industry. Amazon did the same to retail when it started selling books online.
Social casinos are a risk free environment at first sight, since they don’t require any money for play. As a result, Double Down offers a much more diverse experience than the slots-only social casinos. There is video poker, bingo, roulette, and blackjack online available.
You can also win special benefits when playing the free slots and games at social casinos. Most prizes come in the form of more coins or access to new games and stake levels, but many social casinos also have sweepstakes games where players can win cash and prizes. Video slots will dominate the lobbies in all good social casino apps.