The Royal Rumble began as a special on the USA Network in 1988, before airing on pay-per-view the following year, and every January since then without interruption. The first event aired on free TV deliberately to go head-to-head against Jim Crockett Promotions' "Bunkhouse Stampede", which aired on pay-per-view.

The Royal Rumble differs from traditional wrestling battle royals in two ways. First, rather than have all the entrants in the ring at once, the entrants draw numbers backstage. At the beginning of the event, numbers 1 & 2 enter the ring, with the wrestler holding the next number in sequence entering every two minutes. Second, not only do wrestlers have to be thrown over the top rope to be eliminated, but both feet must touch the ground, whereas typical battle royal rules stipulate that either you only have to be thrown over the top rope or be thrown over the top rope and touch the floor with any part of your body to be eliminated.

This unusual stipulation allows for many creative situations, such as in 2012, when Kofi Kingston was thrown over the top rope, only to save himself by doing a handstand, walking on his hands to the ring steps to re-enter the contest.