Guide for Starting an Online Gambling Business
Many operators have entered the online gaming stage and have led to the iGaming industry registering consistent growth. It has led to it being more challenging to stay ahead of the competition and present yourself differently from the rest.
The real online gambling and betting revenue according to a report by Statista is estimated at 12 billion in 2005 and 15.2 billion in 2006. Revenues were 29.3 billion in 2010. It accounted for 45.8 billion in 2017 and still is on the rise. The internet world has been dominated by online gambling and betting. It is a business that is tricky to start. It, however, has numerous advantages and awards.
Budding entrepreneurs always ask this question,” What do I need to start an online gambling business?”
Setting up an online gambling business is like looking for a needle in a haystack. It is difficult to know what is what and where is where. Draft a good business plan. You may need to seek advice from a business consultant to do a good job. Some factors need to be considered before starting. Below are some of the most critical factors that need to be considered before you establish an online gambling business. They will serve as a guide to guarantee your success.
If you want to make a lasting impression and possibly make a significant profit from this ever-growing business, you must take the factors below into consideration.
To start a successful online gaming business, you will need the following:
- Knowledge of your market
- Promotion and marketing
- Website for promotions
- A gambling license
- A dedicated server
- A professional iGaming software
- A merchant account
Is this all you will need to be successful and attract gamblers?
These points do not necessarily give a secret recipe for building an excellent gambling business. However, it will provide you with the necessary clues to create one.
Factors to consider before you start an online gaming website:
Know your market
The market is a battlefield. There is tons of money at stake and people who regularly try to outwit each other to get it. You need to be aware of your competition.
Gaining knowledge about your competitors and mapping the market will give you an advantage. The industry’s do’s and don’ts will become more adaptable to. It will assist you to focus on your vital strategic points to provide quality services to your players. Knowing your market in the online gambling industry will help you to gain the trust of your customers.
Choose a good quality iGaming software provider
A long-term partnership with your iGaming software provider will be forged; it is, therefore, an important decision to make. Have a look at the existing options, in time in terms of price and quality of service. Take your time while doing this.
Your goal is to settle on a software provider that has a great understanding of the only gaming industry. It also needs to have experience in launching profitable online casinos and gambling with Bitcoin.
Look for a software that allows you to control the entire process, from the design stage to post-launch. i.e. flexible and fully customizable software solutions. A white-label solution offers you features where you can lease the software, payment processing system, license and ability to operate your casino and a known turnkey infrastructure.
Whatever your requirements are, aim to find a software provider that provides the following features in a white-label solution.
- Extensive coverage of betting markets
- An advanced gaming management system
- A customizable front-end
- Payment options that support different currencies
- A gambling licence
- Good customer support
What do you want to include on your website for your clients?
Once your decision has been made to join the online gaming community, using an established name in the iGaming industry, you will need to answer a few questions before you proceed:
- What software platform have you decided on using on your online gambling site?
- Will popular casino games like roulette, baccarat, bingo, blackjack, poker, or slots be the games you will offer?
- Will you offer a live casino module? Most professional dealers offer user-friendly modules and live video streams to bring the casino feeling into a player’s living room. It is widespread today.
- How do you feel about in-play sports betting? Its development is sure in the coming years, alongside live streaming technology.
- Do you consider adding additional features such as bonus creation, options or tournament play, real-time chat rooms, or statistics on players?
- There are many questions to be considered, and with this in mind, you will need to think about your business venture long-term and carefully choose your iGaming provider.
You may want to take it easy and settle on a casino or a sportsbook platform. However, in the future, you may want to integrate different games. For this reason, you need a reliable iGaming provider that will assist you in the integration of all the actual contents and a smooth website interface.
Get a gambling license that is targeted for a specific jurisdiction
Various jurisdictions have different regulatory requirements and challenges. Any online gambling business needs to obtain a gambling license that will stand in that specific jurisdiction. To legally run your business, you need a gambling license. Most countries have placed a ban on gambling, and this applies to online casinos too.
How do you open and run an online casino legally?
The solution would be to buy a license and register a server on an onshore territory of countries where gambling is legal. In these countries, the service of purchasing a gambling license is provided for. Offshore zones market is represented quite a lot, and this includes, Western governments and other regions of the world.
These are the legal frameworks that dominate the online gaming industry at the moment:
- Countries that set up regulations and imposed monopolies.
- Countries that have banned betting activities in their jurisdictions.
- Countries that have regulated online gambling within their territories.
- Countries that have not set up regulations on gambling activities.
There are popular gaming jurisdictions, e.g. Malta, Alderney, Gibraltar, Curacao and Isle of man. They offer licenses for a large number of countries. In this situation, the local laws prevail and triumph over any international law.
You are required to apply for a license in the country where you want to set up your business. The wait time can be from a few months to a year to get one’s license—this wait in time is dependent on the country.
Below is what you need to take into account when and before choosing a jurisdiction:
- Licensing requirements.
- Costs and taxes
- Duration of the application procedure.
If you prefer not to go through the hassle of obtaining your gambling license, you can become a licensee of your iGaming software provider. This move also helps reduce cost.
Choose a right payment system provider
For quick and easy transactions to be made between you and your players, you will need to set up an agreement with the right payment system provider. You need to do so while running your online gaming business as well as making it convenient, and it is advisable to give your players multiple payment options. It is also essential to take note of the increasing demand for providers who are adapting their services to fit specific regional market conditions.
To make it an easy process you have an option of choosing an iGaming software provider that delivers the following,
- Integration with all significant e-merchants
- Payment processing
- Advanced risk management
- Complete services
- Fraud detection.
Keep an eye open on the available market. It enables you to choose the best quality products that come with an easy payment mechanism. It will improve your overall gaming experience. It will also bring additional benefits to your business.
Having many payment methods that offer a secure environment for processing is an essential element for any gambling website currently. It starts with known payment methods that include, credit cards and vouchers, to the more technological forward developments that use the Bitcoin currency.
Invest on your website’s design
In an attractive design and your front end development. Most players will look at this first, and it will determine whether they will settle on your website. It is because of the presence of a pool of many betting websites available to choose from.
Below are a few recommendations to keep you on the safe side:
- Keep your site simple. Do not overload it with many elements or graphics that will slow down your website or affect the gaming experience. Different studies have shown that loading time is essential for players. It means that a player will leave your site if it takes a long time to load.
- Do not invest in complicated and expensive graphics like integrated graphics, movies or specific visuals.
- Make sure that there is a seamless integration of your database with your front end.
- If you are not interested or and are unsure about making your front end, contact your software provider for a predefined template.
Enact a sound marketing strategy that implements loyalty and retention programs
Marketing is an essential aspect of promoting your online gaming business. Research on the iGaming industry to find out who your competitors are. Find out what they’re doing to stay successful and also look into their oversights. This insight will show you what to do and what to avoid.
Let your primary goal be to present your online casino as a quality and trustworthy establishment. It will not be accessible at first since the online gaming community has many competitors. It is vital to have quality games on your website offered by trusted providers. It will ensure that your website has no clatter and provides a great gaming experience.
Invest in the launch of your new online gaming investment. Let this be the first step. Develop and keep your online marketing strategies working to attract new customers and keep the constant ones coming back. Set up bonus systems and retention campaigns to keep your players happy.
Some of the frequently offered loyalty programs by online operators are,
Sign-up bonuses– these are the bonuses a player acquires once they join a gambling website.
No deposit bonuses-this is what are sportsbook offers without asking for a deposit.
Deposit bonuses-when players deposit a certain amount of money, they get a bonus.
Free bets-these are tied to the size of the deposit.
Every operator must increase their retention levels.
Below are some standard means,
Frequent player points (FPP) -This is a loyalty program that acts as a bonus initiative. It is also a great retention tool that makes bettors feel appreciated for their loyalty.
VIP loyalty programs -These are programs that are addressed towards high spenders and VIP players. The programs run in an ongoing manner.
Promotions for seasonal events -It is essential to take note of season-related events. e.g. World cup championship
Betting assistance for new players -Great customer care goes a long way. It is crucial to reach out to newbies to assist.
Notifications– It is essential to keep an open channel with your players. An automated system that takes notice and detects a player’s betting behaviour is critical.
Promotion and marketing
You will need a great marketing plan that includes gambling forums, article marketing, social media marketing, blogging and online advertising. It will help you stand out in the saturated market that is the iGaming world. You need to set up a good marketing campaign that includes hard work, a generous investment with a calculated plan. If done right, it will bring your returns.
Open a business bank account
To make and receive payments, have an official record, and track your finances, you will need to have a business bank account. Most gaming companies tend to open a few bank accounts so that if there is ever a situation where an account must be closed, the company will still sustain its businesses, pay its suppliers, and receive funds from PSPs and players.
Other vital points to consider when opening a white-label casino
Choose the type of gaming content– Different jurisdictions have different types of popular gaming experiences. Match your games to your target audience. Add more games to your casino as your business grows. Slot games are more popular. However, do not limit yourself to just that. Try looking at the latest trends for players who would want to try something different.
Choice of website design and a domain name.- The appearance of the website and its name needs to be appealing. The title /name needs to be catchy and easy to remember. The appearance of the website should be appealing to the target audience. Try drawing your players attention using banners. Make the sign-up procedure straight forward. Add-ons such as promotions, bonuses, jackpots, and loyalty programs should be easy to spot at a glance.
Cost and investment-if you are willing and ready to go big on the investment at the beginning, you need to remember that you can always add features to your site as you go along. Customer support is important to consider. It is costly; however, the final goal should be to provide 24/7 customer chat support. If you’re starting small, you can start with a contact form. If your casino is offering live games, live support is then a must.
Solutions for gambling addictions and player safety– This is another feature worth considering. You will be taken more seriously if you offer support for players dealing with addiction issues and add anti-addiction safeguards into your site. Do your maths, build a solid plan, consider all possible outcomes and aspects, and create a loyal player base. Test your online business before launching it, identify the mistakes present, make adjustments and upgrades. Go live.
Starting any business is a daunting task, and this is no different when it comes to online gaming businesses.
It is important to note the regional framework, not only because of the legal aspect, and the necessity of getting a gambling license. Every player in the online gaming business needs to develop and offer products that are customized to a particular jurisdiction as this ensures the quality level of compliance.
Startups that are ready to join the iGaming industry need to consider aspects like online gambling licenses, payment solutions and mechanisms that are specifically made for a particular market. A great demand has emerged for dedicated iGaming providers to respond to these needs through professional services and white label solutions.
To maintain high standards and keep your players satisfied, ongoing efforts need to be made. It is going to be the effort between your marketing and sales department and your software provider that accelerates your business towards success. Information provided above is just the tip of an iceberg. The recommendations, however, will offer great help if you plan on digging into the online casino scene.
How to Start an Online Gambling Business in 6 Simple Steps https://everymatrix.com/start-online-gaming-business/
Drawing up a Business Plan: “How to Open Your Own Online Casino”https://www.europeanbusinessreview.com/drawing-up-a-business-plan-how-to-open-your-own-online-casino/
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