Катя Мачуганова, Gaming Product & Partnership Manager at Silverback Gaming, explains the difference between the two and shares why the studio is bullish on the social casino opportunity in the US.
Social casino has hit the headlines in recent months with some US states looking to crack down on operators of sweepstakes casinos. But it’s important to understand the subtle differences between the two activities which are often badged up as the same thing.
Social casino, or simulated gaming as we call it, sees players have access to slot and table games that are entirely free to play. Players do have the option to purchase virtual chips that can be spent on the games, usually to unlock additional features and bonuses.
But there are no monetary prizes up for grabs whatsoever. The motivation behind playing social casino and simulated gaming is the fun and thrilling experience of spinning the reels on slots, and the social interaction that can be had with other players in the community.
Sweepstakes casinos, on the other hand, see players be encouraged to take part in certain tasks such as creating an account, linking their social media profiles and logging in each day in return for an entry into a prize draw -it’s this prize draw element that’s catching the eye of lawmakers.
For the majority of casino operators in the US, simulated gaming presents the best opportunity for them – it allows them to engage audiences beyond the retail property, dip their toe in online and mobile gaming and open up a new revenue stream all while staying on the right side of regulations.
Because social casino is free to play, casinos can launch sites and mobile apps in the vast majority of states without having to secure a licence. This provides an additional touchpoint with the casino, keeping players engaged with the brand when not on the property.
This is especially powerful for players who live outside of gaming states and who visit the likes of New Jersey and Nevada to play at retail casinos. Operators want to stay connected with these players at all times, and social gaming is a great way of doing this.
Social casino also allows operators to make their first move online, especially if the state they are located in has yet to progress with iCasino regulation. It lets them to meet the demand for online slots and table games, build brand equity and educate players as to how it all works.
If the state then goes on to pass iCasino legislation, it’s easy to transition social casino players to real money if that’s something they want to explore.
Social casino is also a great way for operators to expand their player base, drive cross-sell between retail and online (and vice versa) and open up a new revenue stream by monetising through the virtual chips that players purchase.
Given the huge opportunities that simulated gaming provides, it should come as no surprise that the space has become competitive. Operators are not only having to compete with their bricks-and-mortar rivals, but also online-only businesses.
In such a competitive space, it’s important for social casino operators – whether online-only or land-based casinos – to deliver the experience players are seeking. But what does this actually look like?
It starts with tons of social engagement and interaction. Because there is no exchange of money or wins/prizes up for brands, social casinos must deliver high levels of entertainment and provide space for a player community to establish and thrive.
Gamification plays a key role here with players being set missions and tasks to complete, as well as being rewarded for certain actions like creating a profile, adding an avatar, posting in the chat or even logging-in each day – rewards can take the form of badges and trophies.
Chat rooms are an absolute must and operators should also look to create communities across forums and social media. This is what social gaming thrives on.
Beyond that, it’s vital that social casinos offer a great selection of slots, table and casino games for players to enjoy. But these games can’t simply be free to play versions of real-money games. Why? because without the big win potential, they need to offer raw entertainment value.
At Silverback Gaming, we develop both real-money and simulated games slots but with our social games, we really enjoy pushing the boundaries when it comes to theme, design, mechanics and bonus features.
Our latest release, Macaron Mad Mess, is a great example of how we bring together a fun theme, bold and striking design and thrilling gameplay to put players on the edge of their seats. This is done through Wilds and a pick’em mini-game.
We are bullish on the simulated gaming market in the US and while it’s not quite as significant as the real-money opportunity, it provides the perfect starting point while iCasino regulations play catch-up with sports betting.
Sure, sweepstakes casinos are popular and will be permitted in some states, but social casinos don’t bring the same legal and regulatory concerns. So, if you’re a US casino operator and haven’t made a play into the world of simulated gaming, it’s time to get social.
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