Thanks to the power of outsourcing and white label solutions, creating a sweepstakes casino doesn’t require technical skills and only takes a few months. However, launching a successful site is a different story.
Every week, new sweepstakes casinos are emerging only to shut down a few months later due to poorly designed platforms, a lack of understanding of the market, and an inability to stand out from competitors. In this guide, we’ll show you how to effectively establish a sweepstakes casino with staying power that can challenge the big dogs. These are the steps involved:
1. Choose Sweepstakes Casino Software
When it comes to sweepstakes casino software, you can either hire developers and build a custom platform or go with a white label solution. Custom platforms are expensive to create, and others have lots of bugs during the early stages. However, they do allow you to build something unique.
Most sweepstakes casinos opt for a white label solution because it’s more cost-effective, allows you to launch your site faster, and there are fewer chances of technical issues. The most common white-label software solutions are:
CogniPlay
If you like the look of Spinfinite’s sweepstakes casino platform, CogniPlay’s white label solution is worth exploring. It’s integrated with almost 30 software providers, giving you access to the latest releases from BGaming, Playson, Habanero, Evoplay, Relax Gaming, and other top developers.
Within 8 weeks, you can have over 1,000 slots, table games, and live dealer games available at your sweepstakes casino. Another huge advantage of CogniPlay is its impressive integrations. Handle payments with ease with PayNearMe, automatically verify players’ identities with ShuftiPro, and run world-class affiliate programs with Scaleo.
CogniPlay is also in a league of its own when it comes to analytics. From the sleek dashboard, you can effortlessly track player sign-ups, purchases, redemptions, and playing habits, ensuring you can construct effective marketing campaigns backed by real data.
Sweepium
With Sweepium, you can launch your sweepstakes casino in just 8 weeks. The company was founded in 2023 by Peo Strömberg and exclusively develops sweepstakes casino platforms. It has partnerships with top software providers, including Pragmatic Play, Big Time Gaming, and NetEnt, and gives you instant access to over 3,000 games.
Sweepium is incredibly user-friendly and allows you to select from templates to set up a customer platform. You can create your own bonuses, market via social media, and track key stats thanks to extensive analytics. Sweepium also has payment gateways ready to process crypto, card, and bank transfer payments, and 24/7 support is available.
SweepX by GiG
At the start of 2025, Gaming Innovation Group (GiG) launched its social sweepstakes casino platform called SweepX. GiG has adapted its online casino platform to meet the unique needs of sweepstakes casinos. The software is already live on Gold Rush City.
SweepX is a comprehensive sweepstakes casino software solution. You can create bespoke bonus offers without any coding skills required, while the AI-assisted content management technology will ensure that your players stay engaged and you get a steady flow of new users signing up.
2. Decide on Theme and Casino Site Design
Even if you opt for a white-label software solution, you can still customize your platform and choose your own theme, navigation, and mascots. Before you start randomly selecting color schemes and fonts, you need to really think about the type of sweepstakes casino you’re creating and the specific players you’re targeting.
For example, sweepstakes casinos like Stake.us tend to target young, tech-savvy players who’ve embraced crypto, blockchain technology, and modern instant games. So it’s no surprise that it has gone with a very minimalist, futuristic theme, which is fully optimized.
Other sweepstakes casinos like LuckyLand Slots focus more on players who are looking for a classic arcade experience. It has chosen a flashy neon theme that sends you on a whirlwind adventure through the Las Vegas Strip.
Getting the branding right for your sweepstakes casino is crucial because you need to effectively identify your potential players and then build a platform that will resonate with them. Generic sites with no soul aren’t going to work in an increasingly crowded market.
3. Consider the Features of Your Sweepstakes Casino
When launching your sweepstakes casino, there are some core features that you can’t do without, like payment processors and gaming software. Other features like chatbots, mobile apps, and gamified VIP programs are not critical but can provide real value to players.
In considering features, you need to assess their importance, cost, and reward. It can be tempting to overspend on features in a bid to create a flashy sweepstakes casino with all the bells and whistles, but this is an easy way to blow your budget. Also, if you go overboard with features, it can be difficult to determine which ones are generating value.
Payment Processors
Sweepstakes casinos are considered high-risk businesses due to regulatory uncertainty and a high rate of chargebacks. Due to this, many major payment processors like Stripe won’t offer their services.
Fortunately, there are a number of providers like PayKings, Approvely, and PayNearMe that will happily work with sweepstakes casinos. These processors allow you to accept major credit cards, online bank transfers, Apple Pay, and other payment methods.
Customer Support
Poor customer support is a quick way to lose players. Users want issues solved right away, and the days of just offering email support are long gone. You need to offer 24/7 support via email, social media, and live chat. We recommend manning your live chat with actual support agents and not just relying on a chatbot.
You can either hire in-house customer support members and run the channels yourself or outsource and let a company handle things. Outsourcing is faster, but you won’t have full control over the customer support process.
Games
It doesn’t matter if you have the flashiest platform with world-class customer support; ultimately, the players come to a sweepstakes casino for the games. Nowadays, all top sites have 1,000+ games from 30+ providers. They offer a mix of slots, instant win games, blackjack, roulette, baccarat, and live dealer games.
Some of the top software providers you should consider partnering with are Pragmatic Play, 3 Oaks Gaming, Playson, BGaming, Nolimit City, NetEnt, Hacksaw Gaming, and ICONIC21.
Leaderboard & Tournaments
Social features at sweepstakes casinos are a big hit with players. You can create custom daily, monthly, and weekly tournaments and challenges with unique themes and prizes.
For example, you might give away 1,000 SC to a player who hits the biggest multiplier on any Pragmatic Play slot in November. These competitions are a great way to get players engaged and give them even more ways to win.
Other common social features worth exploring are group chats where players can meet fellow players and talk strategy. Also, gamified VIP programs, where you pick an avatar and progress through fantasy worlds as you complete challenges, add a new dimension to simply playing slots or blackjack.
Jackpots
If you have deep pockets, site jackpots are a surefire way to get players spinning the reels. You can opt for fixed jackpots where you put up the grand prize or go with the progressive jackpots where a portion of players’ wagers goes into the communal prize pool. The chance to win life-changing prizes is something that will keep players coming back for more.
4. Set up a US Sweepstakes Casino Company & Do Your Legal Homework
Sweepstakes casinos can only legally operate in the US if they’re run by a registered American company. Fortunately, it’s become incredibly simple and cost-effective to set up an LLC in certain states. For example, in Wyoming, your company will be approved instantly after you’ve submitted your application, and the filing fee is just $100.
While establishing a US company may be easy, navigating the sweepstakes regulations is another story. You’ll need to hire lawyers and social gaming consultants who’ll help you stay on the right side of the law by advising on the states you can operate in, promotions, prizes, and responsible gaming tools.
The consulting and legal fees can be hefty, running into the 6 figures. However, we bet High 5 Games, which recently got hit with a $25 million fine after a judge found it breached Washington’s Consumer Protection Act (CPA) and the Recovery of Money Lost at Gambling Act (RMLGA), wished it had listened to its lawyers.
5. Finalize Bonuses and Promotions to Attract Sweepstakes Casino Players
The cherry on the cake is developing a comprehensive marketing strategy to get players to sign up. Sweepstakes casinos typically use a combination of bonuses, search engine and social media marketing, and affiliate marketing.
A good way to stand out is by offering a no deposit and first purchase bonus that is significantly higher than competitors. You can also retain existing players through generous daily login bonuses. Once you’ve built up a solid base of users, you can start scaling back the promotions to boost your profit margin.
Most sweepstakes casinos hire digital marketing agencies to generate paid traffic. They’ll target certain keywords, put out press releases, pay for guest posts, and run social media ads across Facebook, X, Instagram, and TikTok.
A more cost-effective way to market your casino, especially when you’re just starting, is to establish an affiliate network. With an affiliate scheme, you’re essentially outsourcing your marketing to 3rd parties who promote your site for free. You only pay them if they’re actually able to bring players to your casino.
In a typical sweepstakes casino affiliate network, you provide affiliates with unique links. When a user clicks on one of these links, registers, and makes a purchase, you then pay the affiliate a percentage of the purchase. Top-performing affiliates like SweepsKings have helped sweepstakes casinos quickly scale and build 100,000+ player bases.
Why Even Launch a Sweepstakes Casino?
Online casinos in New Jersey alone generate over $200 million in monthly revenue. Currently, only 7 US states have legal online slots and table games. If we extrapolate, there is approximately $5 billion in monthly gaming revenue that sweepstakes casinos could capture due to regulations that allow them to operate in over 45 states.
The demand for sweepstakes casinos isn’t theoretical. In 2023, sweepstakes casinos generated $4 billion in revenue. This figure increased by over 30% in 2024 and doesn’t look like it’s slowing down anytime soon.
Also, as sweepstakes casinos are classified as offering social gaming, they don’t have to pay costly licensing fees or sky-high taxes, which put a dent in the profitability of online casinos. So, not only is it far easier to launch a sweepstakes casino, but you’ll keep a much greater chunk of profits.
Now, launching a sweepstakes casino is not without challenges. Regulators have started to take notice, and states like Michigan and Montana have come out swinging, launching investigations and banning sweepstakes casinos completely. There is definitely a risk that more states will follow Michigan’s lead.
The other challenge is competition. While the lack of regulations may make it easier for you to launch your site, it also makes it easier for your competitors. Gone are the days of the first mover’s advantage. There are now dozens of established sweepstakes casinos with thousands of games to choose from. You’ll need to come up with a unique offer to stand out.
How Much Does it Cost?
To launch a sweepstakes casino will cost a minimum of $100,000. This is if you’re on a shoestring marketing budget, use a very basic white label solution, and hire developers and employees from developing countries.
To give yourself the best chance of your sweepstakes casino succeeding, you should be willing to spend at least $500,000. This will allow you to run a comprehensive marketing campaign, hire industry experts, license popular games, and build a world-class platform.
You’ll also need some reserve capital, ideally a few hundred thousand dollars, to keep your sweepstakes casino operating, as it’ll likely take you 12 months or more to become profitable.
That’s why many sweepstakes casinos have tapped into venture capital and raised multiple seven figures to give them the breathing room needed to survive the early months, where cash can be burned through at an alarming rate. Take Myprize.us, which raised $13 million from Silicon Valley VC firms like Dragonfly and Boxcars Ventures. You don’t want to be underfunded when taking on competitors with deep pockets.
Book a Consultation with SweepsKings to Start Your Sweepstakes Casino
We’ve been around since Chumba was the only sweepstakes casino around. We’ve helped dozens of sweepstakes casinos craft compelling promotions, navigate complex regulations, and quickly attain a loyal player base.
If you need help setting up your platform, partnering with software providers, launching an app, or getting users to sign up, SweepsKings can help. Reach out today to find out how we can get the word out about your new sweepstakes casino and get it up and running ASAP!
Author: Alex Windsor
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