Sweepstakes Software Development Costs in the USA (2025 Guide)
Wondering what it costs to build sweepstakes software? Well, the costs to build a sweepstakes software is not fixed as the pricing varies from the type of software, its features, design complexity, and a lot more factors.
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A replica of traditional casinos, sweepstakes take a freemium approach without using real currency. Instead of using fiat currency, these platforms use virtual, sweep, or gold coins for gameplay, while the prizes players can win real cash prizes.
The fact that sweepstakes gaming is on the rise in the USA is credited to the legal flexibility and high engagement potential. Leveraging a legal loophole, sweepstakes platforms operate under the supervision of the Federal Trade Commission (FTC).
Need to build your own sweepstakes casino platform? Here’s a detailed guide on sweepstake software development cost.
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Understanding Sweepstake Software
Sweepstakes software is a digital platform that users can legally gamble with virtual or sweep coins, and the winners are chosen by chance. It’s different from a gambling platform where users wager on the outcomes using money while strategically making decisions.
But with sweepstakes platforms, things are different, and in the USA, specifically, they operate under the “no purchase necessary” clause. This allows sweepstakes platforms to operate legally in the eligible states.
Difference Between Sweepstakes, Gambling, and Lottery Platforms
A small differentiation we need to draw to understand the cost of sweepstake software is between casino gambling, lottery, and sweepstakes.
| Parameter | Sweepstakes | Gambling | Lottery |
|---|---|---|---|
| Chance | The outcomes are based purely on chance. | Outcomes are based on chance and strategy. | Outcomes are based on chance and minimal strategy. |
| Consideration | Not required as no purchase is needed. | Requires payment for wagering or betting. | Requires money to buy tickets. |
| Prize | Offers prizes in rewards, cash, or kind. | Leads to winnings according to the odds. | Leads to windfall gains. |
| Legality | Legal to operate in most of the states in the USA. | Restricted activity in most of the states. | Regulated by different states across the country. |
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How the Sweepstake Software Development Cost Change?
Sweepstakes software development
costs range between $20,000 and $200,000. The exact cost varies according to several factors, including software features, functionality, design, platform compatibility, compliance, licensing, integrations, payment system, security, development team, maintenance, updates, among others.
So this means you can have a basic sweepstakes software built within $20,000 to $50,000, but if you need a high-end product that has all the advanced functionalities, such sweepstakes platform pricing can go as high as $200,000 or even more.
1. Type of Software (Turnkey or Tailored)
With TRUEiGTECH, you can have a turnkey sweepstakes software that costs less, as these are prebuilt platforms that can be customized and deployed quickly. Since the majority of the work is already done, we share the existing capabilities of the platform and give our clients the chance to request changes. Often available at a subscription cost or one-time fees, expect to spend up to $20,000 with no customizations and up to $35,000 with limited customizations.
A custom or tailored sweepstakes software is where we do everything to ensure it fits your business needs and requirements. Customized online sweepstakes software costs are higher as we have to do everything from scratch, and you have complete control over branding, features, and scalability. The development costs can go as high as $200,000, and the software also takes more time to build.
A suitable approach for startups is to choose the turnkey version for MVP development, and once the platform gets traction, it’s more likely to invest in custom development.
2. Software Features and Functionalities
Always remember one thing: more features mean more development hours, which leads to higher costs. So, choosing features for the sweepstakes software USA will determine its costs.
Some basic (must-have) features for the basic version are;
- User onboarding
- Sweepstakes entry system
- Prize draw mechanisms
- Virtual wallet or sweepstakes credit
- Leaderboards
- Basic responsive design
- Bot protection
- Age verification
- Geolocation
- SSL encryption
- User management
- Prize and campaign management
- Basic reporting
The advanced features we add to customized sweepstakes software
- All of the features in the basic version
- In-game rewards
- Multiple games on one platform
- Referral and bonus entries
- Scratch card or spin to win modules
- Purchase credits and packages
- Crypto payment and wallet integration
- Redeem gift card options
- In-app purchase
- Real-time analytics dashboard
- A/B testing for campaigns
- Role-based admin access
- KYC/AML integration
- GDPR/COPPA compliance
- Loyalty programs
- Coupon code entry
While this list is exhaustive, we can always add more features according to your requirements.
3. Compliance Preparedness and Maintenance
Sweepstakes platforms should be compliant with the state-wise regulations. Depending on whether you wish to operate in one state or more than one, the sweepstakes software cost can vary.
States have unique requirements for sweepstakes platforms to follow before they can grant permissions. For instance, Nebraska and California are relatively straightforward when it comes to fulfilling requirements, hence making navigating their jurisdiction easier.
On the other hand, building and running sweepstakes software to operate in Michigan and Washington is a monumental task. Their strict stance against sweepstakes casinos makes designing, developing, and deploying difficult.
Consequently, the sweepstakes software development cost for easier states is less than those with more strict regulations.
4. Third-Party Integrations
Third-party sweepstakes API integrations are meant to improve the software’s functionality. Integrations are available for adding payment gateways, crypto wallets, SMS/Email campaigns, Ad networks, and much more. Adding integrations requires some initial work and ongoing maintenance.
Integrating multiple APIs will increase development workload, and since each integration requires designing, coding, and testing, it can drive up the costs. Moreover, with the strictness in some of the USA states regarding sweepstakes software, ensuring all the interaction we add complies with them is also a labor-intensive task, which can drive up the development costs.
But there’s another side to API integration, as they also help reduce the initial development costs. Since APIs are ready-to-use mini software, they reduce the development work. For instance, instead of coding in different payment gateways one payment gateway API can reduce the initial work while ensuring scalability.
So, whether API integration drives up the cost of sweepstake software or brings it down depends on the development team. At TRUEiGTECH, we take a smarter approach to ensure your sweepstakes platform has maximum functionality with minimal cost increase.
5. Location of Development Team
The location of the development team has a big impact on the cost of sweepstake software. USA developers charge up to $200 per hour, while those in the LATAM region can do the same work for between $25 and $75 per hour.
However, there’s always a concern about quality when it comes to hiring development teams from regions other than the USA. Given that the developers here are more aligned to understand the users and can better understand the dynamics, it’s advisable to hire development teams from the USA, but the high costs are still a concern.
TRUEiGTECH solves this for you as we ensure quality and expertise you will get with a USA-based team at much lower costs. Following modern work practices, we ensure you receive the best quality product and pay much less than what you ought to pay to hire USA-based developers.
6. Design, User Interface, UI/UX
The right design isn’t just about the looks. It’s more about how easily the design can convert and grab user trust. Such designs are costly as they require an in-depth thought process and hours of work.
A great design that can convert your audience is built with great research and understanding of the target audience. We have to know their preferences, behavior, habits, along with professional and personal choices to build an effective design.
Complex designs that will certainly increase the sweepstakes casino development cost include customized themes, branding, and game visuals. Then there are interactive animations our designers will create, along with sounds related to different platform-based and in-game activities.
7. Maintenance and Updates
Software maintenance and updates is a crucial component that influences sweepstakes software cost after deployment. Sweepstakes is a dynamic field, and to stay relevant, your platform needs regular updates. Maintenance and updates also have a cost, which we must consider as a part of the initial cost analysis.
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What is the Cost to Build Sweepstake Software?
Here’s a tabular view of how much it will cost to build sweepstake software.
| Cost Factor | Turnkey Software | White Label Software | Customized Software |
|---|---|---|---|
| Software Type | Software with basic features costing $20,000 to $30,000 | Basic features with tailored design and branding costing $35,000 to $50,000 | Basic and advanced features plus customized design costing $50,000 to $200,000. |
| Compliance and Legal | $1000 to $5000 for single state operations. | $3000 to $8000 for multi-state and white label terms. | $5000 to $15,000 depending on jurisdictions. |
| Payment and API Integrations | $5000 to $8000 | $6000 to $15000 | $10,000 to $25,000 |
| UI/UX and Design | Template-based design costing $1000 to $3000 | Branded UI with moderate customizations costing $3000 to $7000 | In-depth animations and customizations costing $10,000 to $30,000. |
| Maintenance and Updates (Annual) | $1000 to $3000 | $3000 to $8000 | $8000 to $15000 |
According to the costs, if you need the fastest output with the cheapest cost structure, go for the turnkey sweepstakes software. But to give a brand-ready experience to your users while leveraging some flexibility to tailor the platform, for the white label solution, which is good for mid-sized operators.
Lastly, if you need a fully scalable and robust platform that has strong regulatory support and can be scaled as and when required, go for the customized version.
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To Sum it Up
Sweepstakes software development is a research-intensive and laborious task. From creating the best platform in the industry to ensuring you don’t end up spending too much on the software, you need to take a strategic approach.
Understanding the elements at play here is important to allocate your budget, choose the right team, and have the best sweepstake software at the lowest possible costs.
At TRUEiGTECH, we provide design and development services for sweepstakes software. Partnering with us means associating with an advanced and highly motivated team of go-getters who will build a secure, compliant, and cost-effective sweepstakes solution.
