That’s not to say that there isn’t money in these apps. In fact, there’s a whole lot of cash to be made by developers, even if there’s no real betting going on in their games.
Earlier, we pointed out that these apps are almost always free-to-play, meaning that players are not charged anything for downloading or playing the games (and in the case of casino apps, there is no way to wager for real). However, that doesn’t mean that there aren’t ways in which developers can’t monetize their products, and they’ve managed to do so in a big way.
One of the simplest ways to make money off of these games is the inclusion of ads – and you’ll often see plenty of advertisements while you play any of them. But even bigger has been the addition of microtransactions: small purchases players can make for various in-game perks that are not essential for basic play, but which many players might be willing to buy at the right price.
For instance, consider a game like the infamous Game of War: Fire Age. Sure, you can sign up and build your army for free. But would you like more gold? You can purchase some, for a price. Want to speed up the cooldown timers that dictate how quickly you can do just about anything in game? You can have that too, if you’re willing to pay for it. In other games, you might be able to open up additional levels or get additional special items if you’re willing to spend a few dollars. Sometimes, players can spend shocking amounts of money on these games.
How does this translate to social casinos? In pretty much the simplest way possible: you can buy virtual chips using your real money. In most of these apps, you’ll be given a certain number of chips that you can begin playing with, and that’s enough for you to enjoy whatever you might want to play. However, should you run out of virtual currency, you’ll be stuck and have to wait until it refreshes (players in these apps are usually given a minimum number of chips each day if they run out). That is, unless you’re willing to pay a small cost in order to buy more chips – often far more than you would normally start with – immediately. Other purchases might include perks that allow you a better chance to win (after all, these aren’t real money games, so they don’t necessarily have to be perfectly random or fair all of the time), clothes or accessories for your in-game avatar, or other little benefits that could help you stand out from the crowd.
At social slot sites, players have two types of in-game purchases available. The first of these is to simply buy coins - the equivalent of in game credits that can be used to play free slots. The second is tied into the purchase of coins - users are asked to buy bundles in order to unlock slots. These games can be locked by putting in a lot of man hours - hundreds at least. The quick way to access the full suite of games is to simply buy enough coins ti unlock them.
You might be wondering whether any of this actually works. How much money, you ask, could players actually be spending on these “free” games? The answer, it turns out, is “a whole lot.” Social casinos were expected to generate a staggering $3.4 billion in revenue for their creators in 2015, even as the total number of players at these sites has begun to drop. This is due to the fact that the vast majority of casual gaming players will spend little or no money over their lifetimes, while a very small percentage of players will drive the majority of revenues. And those who spend seem to do so at an even greater clip when it comes to casino games: one study from 2012 found that paying users averaged nearly $70 in casino apps, compared to a little over $35 per paying player in other social games.