Technological advancements have significantly changed the casino industry. The good old one-armed bandits and card games were digitalized to attract the attention of millennials. Social media sites such as Facebook have introduced casino-like games to enhance social interaction. Due to their nature, these games have become known as social games. Unlike the games gambling sites offer, social games are free to play.
The Big Players in the Social Gaming Industry
Some of the leading companies behind the available social games are Playtika Ltd., Zynga Inc., Scientific Games Corporation, and Caesars Entertainment Corporation according to bestcasinosites. The four companies enjoyed steady revenue growth over the years, proving that the global social casino market is burgeoning.
For example, Zynga’s revenue reached $1.97 billion in 2020, representing a notable improvement compared to the previous year when the company’s revenue was $1.3 billion. As for Playtika, it generated total revenue of $2.3 billion in 2020. A year earlier, the company’s total revenue was $1.89 billion.
Some of the most popular social games are Slotomania, Zynga Poker, myVegas Slots, and Doubledown Casino. People can use PCs, laptops, smartphones, or tablets to play social games. So, regardless of whether you are at home or on the go, you can play various social games.
Factors Driving the Social Casino Market Forward
The reason that motivates people to play social games is entertainment. Some people play social games to improve their skills before playing casino games for real money. Of course, many people enjoy the social aspect of these games. For most people, playing social casino games is not a primary activity. Players tend to watch TV or listen to music while playing social casino games.
The easy Internet access and the increased number of smartphone users are the main factors that fuel the growth of the global social casino market. According to forecasts, the global social casino market will grow from $5.6 billion in 2020 to $8.2 billion by 2026.
During the first wave of the Covid-19 pandemic, many countries introduced strict measures to prevent the spread of the disease. Over half of the world’s population was under some form of lockdown. In an attempt to escape the boredom of being stuck at home, many people turned to social media and started playing social casino games. As a result, the social casino industry witnessed unprecedented revenue growth.
The Line Between Gambling and Gaming is Thin
Although social casino games are free to play, players have to buy extra credits if they want to continue playing without waiting for the free credits to reload. Some games even provide players with the opportunity to buy virtual goods. That is what makes social casino games so controversial.
Some people believe that social games encourage players to gamble online for real money. Proponents of social casino gaming claim that such games can substitute for real money gambling and even help people to overcome gambling problems.
Unfortunately, there are not many studies dedicated to assessing the impact of social casino games on gambling. In 2016, the PhD Candidate (Clinical Psychology) at the University of Calgary, Hyoun S. Kim, and his colleagues observed the behavior of social casino players for some time.
Kim and his colleagues reported that 26% of social casino players migrated to real-money gambling. According to the study, players who made in-game purchases, also known as micro-transactions, are more likely to gamble online.
Social casino games effectively bypass countries’ gambling laws because they do not offer a monetary prize. Players can win in-game currency or achieve virtual items but cannot claim a real-money prize. In many countries, social gaming has already appeared on the legislative agenda.
Source: Plato Data Intelligence: PlatoData.io
