It entices people to buy/play when they may be on the fence or not that interested, so it is probably a net positive.
And say it is 50/50 odds then and the product is 50 bucks to make and $100 to sell. If they do double or nothing they lose $50 cost(and no profit) and next one (doublel they make $200 ($50+ $150 profit) So 2 items with total product cost of 100 brings in $200 so $50 profit over both sets.
So it seems company does same business, but a chance of luring in potiental extra sales on the gamble
It entices people to buy/play when they may be on the fence or not that interested, so it is probably a net positive.
And say it is 50/50 odds then and the product is 50 bucks to make and $100 to sell. If they do double or nothing they lose $50 cost(and no profit) and next one (doublel they make $200 ($50+ $150 profit) So 2 items with total product cost of 100 brings in $200 so $50 profit over both sets.
So it seems company does same business, but a chance of luring in potiental extra sales on the gamble