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$5 isn't that much.. Compare it with an ad campaign, they could spend "$1" per click and maybe(probably) less than 20% register on the website..
While that $5 could return to the website as the new costumer lose all bets, the ad money goes to other hands.. So I think it's a smart bonus..
Or they can use another method to promote their site. Offering $5 will not be problem for the owner to get more gambler who will come to their site. If many gamblers become their members, and they are satisfy with the services, the member will use more and more money to play. And among that gamblers, some gambler will lose all of their money, and that can be the revenue for the site.
i remember theres a site that gives many kinds of bonus and i got all of it but i ended up busting all the bonus . so what usuall happen when we lost ? thats right we will got angry and i ended up depositing my own hard cash but most of the times i loose my own depo money . i paused and say that gambling marketing really works like a charm because in the end casino will still earn because we will keep coming back . they can recover what they give no matter how much is that
It is a sample for the gambler site, which gives so many bonuses to gamblers who come to their website. They cannot manage the money that they will use to provide the members. They can trick the members and perhaps, they will say that they have a serious problem that needs to fix, but the fact, they don't have any problem. That can make the owner will run with the money from the members, and they can create another gambling site.
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Yes, in this time when we are seeing a huge rise in the online gambling happening so this is like peanuts to them. Only thing is that they require maximum exposure to reach as many people as possible and try out their site through this or some other ways and once users get comfortable or gets attracted then he/she will continue to gamble on such sites and eventually mostly will end up making those sites more richer than before.
They can get many people to promote their site to many websites, and they can use social media to help them spread about their site. Once their members feel comfortable with them, their members will not move to another website because they can feel satisfied while playing on that site. Usually, the gambling site can give a welcome offer and give another bonus once they deposit some money.