Industry leaders within the gambling space have announced the launch of the Social and Promotional Gaming Association (SPGA), an organization set to provide stakeholder information and advocate for the responsible operation of social and promotional games.
Referred to as social sweepstakes games at times, the social games offered by SPGA members allow consumers to play online for free, with no purchase necessary, and provide consumers the opportunity to win prizes when they play.
The SPGA “brings together innovative companies in a unified approach to creating safe, legal and engaging social and promotional gaming experiences for American adults.”
The organization’s mission is said to highlight the legality and legitimacy of social sweepstakes games while providing regulators, policymakers and consumers with a comprehensive understanding of these offerings.
"The SPGA is committed to fostering a cohesive industry voice through collaboration among member companies. Our goal is to provide forums for sharing knowledge and best practice mutual support and to create an environment that puts consumers first," SPGA spokesperson Camilla Wright said, also of Red Knot Communications.
"By prioritizing transparency and responsible practices and communicating this effectively, we will have an industry that thrives as it ensures that millions of adult American consumers can continue this form of online entertainment with confidence."
As part of its commitment to fostering transparency, compliance and consumer protection, the SPGA has established internal committees to focus on areas crucial for the industry's growth and sustainability including player safeguards and regulatory compliance.
To start its initiatives, the SPGA will host a webinar on October 1, bringing together industry experts to discuss the future of social and promotional gaming. The event will explore emerging trends, regulatory landscapes and best practices to ensure the industry's sustainable growth.
On August 21, the American Gaming Association (AGA) sent out a memo to gaming operators regarding the potential harm of sweepstakes gaming for consumers. The AGA also confirmed the validity of the memo to Gaming America.
The Association stated in the memo that there are “an increasing number of entities that have intentionally designed business models to circumvent or exploit ambiguity in state gambling laws and the regulatory frameworks within which the legal gaming industry operates.”
According to the memo as well, offshore sportsbooks and online casinos have blatantly ignored the laws and regulations put into place to ensure responsible gaming.