As technology evolves new business ideas becomes a reality. One of those ideas is internet sweepstakes cafes. Those cafes were based in cyber cafes and after cyber cafes become old fashioned gaming cafes emerged. From those gaming cafes, people came to the idea of internet sweepstakes cafes and began their businesses in this field. This post will mainly focus on the number of sweepstakes cafes that are operating and their relevant revenues. Before getting into that matter, let’s define sweepstakes cafes then analyze those factors in details.

 

What is the sweepstakes cafe?

 

 Internet sweepstakes cafes are a cafe parlor that accommodates people with various online casino games. People go there to have fun while earning money. It is a very appealing place; thus the number of sweepstakes cafes is increasing by each passing day. The reason for that is the high revenues for cafe owners which is making this gaming business idea invested on by many people. Almost all sweepstakes cafes follow the same business model plans which slightly differ from each other through their basic rules and elements are the same. Most of them are both inside the place, and the outside is advertising sweepstakes and its effectiveness.

internet sweepstakes cafes

How are they operating?

  The internet sweepstakes cafes can be different in size and number of facilities, but the operation is happening almost the same for every one of them. If you enter the one, you will be able to see a control area where workers operate and get payments from customers. There are arranged personal computers which are designed for customers. The number of those computers can change from ten up to hundreds regarding the revenue of that sweepstake cafe. In some sweepstakes cafes, customers have the advantage to have food and drinks while they are playing their favorite casino games.

 

The service is sold through telephone times and hourly internet access cards, but in most sweepstakes cafes they are operating through customer entries. In most ordinary cafes those entries are sold for just one dollar, and the new customer always receives 100 entries for free.

 

Other sweepstakes cafes ask for mail confirmation to give those open entries for customers.

Results in those games are relatively depending on luck and the randomized system. However, any customer has the advantage of interaction with the game. For instance, a player is using a slot machine and stops it whenever they are comfortable with it, so slots or roulettes will end in that case. However, it is not increasing the chance of that player’s winning. This is not the only way for interacting with the game because users will have an advantage of choosing some basic rules such as the number of slot bonuses, free spins, rows, lines, etc.

internet sweepstakes cafes

Sweepstakes cafes are offering lines in slot games from 3 up to 45 if the results of that player are allowing him or her to change the numbers of them. If you win and decide to leave the sweepstakes cafes with the positive balance you can exchange those entries to cash. Most of sweepstakes cafes are trying very hard to avoid legal issues; thus they are informing both government officials and their customers that is not gambling, however, there are many cases where government and different states try to stop sweepstakes cafes and regulate their job.

 

Regulation of sweepstakes cafes

  Before this time, there is no official regulation for internet sweepstakes cafe although some countries banned it. There is a license for sweepstakes cafes, and they should work after getting that one; otherwise, they will be closed by officials. Local states fee some sweepstakes cafes and the cost approximately is up to seven thousand dollars for them. Marketing strategies like real casinos put those sweepstakes cafes in danger of banning though they are still intending to argue that they are not offering to gamble and it is just a form of entertainment for their customers.

 

How many sweepstakes parlors are operating?

internet sweepstakes cafes

 

Most of the internet sweepstakes cafes are not regulated by officials that are the reason why it is hard to give any exact currently working cafes and the revenues of them. Though, some analysis shows that this industry generates multi-billions. For instance, Hest Technologies of Texas argues that the number of installed terminals for their system is around four thousand. Not only has this but also figured 8 Technologies from North Carolina is stating that they have two thousand installations before that time.

 

It is estimated that people who are living in Florida are spending one billion of cash on sweepstakes cafes.

Reports show that the number of existing sweepstakes cafes is more than five thousand in just the United States of America.  However, by using the search engine of google map, many experts argued that the number of sweepstakes cafes that are working in North America is 2 thousand 823.

 

These numbers may not reflect the reality because those researches were held before 2013 and from that time the number of sweepstakes cafes is highly increased. For example, Florida State nowadays has more than one thousand operating sweepstakes cafes. Annual revenues of sweepstakes cafes are estimated to be more than ten billion dollars. If you are interested in the detail information regarding the revenues, in the next paragraph we will explain it in depth.

 

What are the revenues of them?

internet sweepstakes cafes

 

As it is mentioned before, the estimated worth of annual revenues regarding internet sweepstakes cafes and this industry are more than ten billion dollars. It is a well-known fact that this business generates a lot of money that is why many investors are fond of investing in them. For one whole month, the money that only one terminal makes is more than five thousand dollars.

 

There are several surveys which try to identify the number of sweepstakes and cafes and their revenues and according to them there are average of 70 sweepstakes cafes facilities in any state including strictly law enforced places such as Georgia, Pennsylvania ,Arkansas, California, South Carolina ,New Hampshire, Hawaii, Illinois, Louisiana, Virginia, Maryland , Colorado ,Massachusetts, Michigan,  New Jersey, New York, Indiana, Texas, New Mexico, Connecticut, and even in a state like Utah which is known for its anti-gambling antics. It is hard to estimate the exact revenue of sweepstakes cafes because most of the cafes are hiding it from official reports. Though the exact number is unavailable, it is expected to be more than ten billion dollars for an annual year.

 

In the end

If we analyze the financial reports of those internet sweepstakes cafes, we will out that for online one minute, for one device sweepstakes cafes selling entries which cost three cents. Around 650 customers daily visit sweepstakes cafes, and they are willing to spend more than a hundred dollars on gaming entries while also purchasing 55 hours of telephone time through sweepstakes cafes. Though the exact number of generated revenue is unavailable as you see this business is very successful and will expand in the following years by increasing the number of cafes that are available.

 

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