The iGaming industry is experiencing phenomenal growth. In 2009 the online gaming market had an estimated revenue of $20.51 billion. That number has exploded to $41.77 billion in 2017 and is projected to reach $59.79 billion in 2020.
Of the 2.97 billion people worldwide who have web access, it's estimated that 1.8 billion are gamers. The U.S leads all countries with a total spend of $20.5 billion on games – this includes both digital gaming activities and land-based gambling. Other countries with high numbers of gambling citizens include China, Japan, Germany, the United Kingdom, Korea, France, Canada, and Italy.
The statistics lead many entrepreneurs to consider starting a casino business. How do you start an online gambling business?
If you're preparing to open an online casino or sports betting site, you'll need the following:
- A professional iGaming software
- A gambling license
- A registered merchant account
- An Internet server
If you are prepared to follow these guidelines, you're ready to get started.
Choose an iGaming Software Provider
If you want your casino to succeed, you will want to provide your customers with the latest and most compelling games. The better your games lobby, the better your chances are of attracting new players and holding on to your veteran gamers.
When you enter into a partnership with an iGaming software provider, you'll be setting the tone for your casino. Is your casino going to be one that offers a wide variety of games or will you focus on one specific genre? Will the games be simple or do you plan to supply visually appealing, exciting game options? Review the different gaming companies so that you can evaluate the options. Look at the quality of services that they provide, the systems that they cover, their price and the reviews that are provided by other casinos.
Your goal is to select a software provider that has a lot of experience in the online gaming industry and has worked with other new casinos as they launch their new business.
The most common type of agreement between a new online casino and a software company is the white-label solution in which the casino has a leasing agreement with the developer. In such a situation the casino leases the payment processing system and software and gaming license so that it operates the casino under an established turnkey infrastructure.
For an online Vegas casino white-label solution you'll need:
- An advanced gaming management system
- Payment options with multi-currency support
- Gambling license
- Access to a large selection of casino games
- A customizable front-end
- Customer support
These are the items with which your chosen software provider can assist.
Build a Website
Create a website that will be easy to navigate, especially for new gamers who are an important market for your business. The website should
- show how to sign in to play clearly – the best place for the sign-in button is in the upper right-hand corner of the screen
- display a clear menu with the games, ibanking information and options for different platforms if appropriate (Download Casino, Instant Casino, Mobile Casino, Live Casino, Sports Betting……).
- Make sure that the casino is mobile-enabled. In 2017 almost 40% of gamers were playing on their mobile devices and the number is expected to grow in the coming years.
- Offer bonuses – traditional bonus options include special bonuses for new players, loyalty points for veteran gamers, special deals and promotions, etc.
- Feature jackpot games and tournaments.
Obtain a License
Presently, the following legal frameworks exist:
- Countries that regulate online gambling within their territories.
- Countries that ban betting activities within their jurisdictions.
- Countries that regulate online gambling but facilitate monopolies.
- Countries that don't regulate gambling activities.
Remember that local legislation prevails. Even though some jurisdictions (Malta, Isle of Man, Gibralter, Alderney, etc) offer licenses that are acceptable in many countries, in the end, local law triumphs in the case of online gaming.
Apply for a license in the country where you want to establish your casino. This can take up to several months, depending on the country.
You have the option to reduce costs and eliminate the hassle of obtaining a gambling license if you become a licensee of your iGaming software provider.
Link to a Payment System Provider
It’s advisable that you provide players with multiple payment options so that each individual can make deposits and withdraw winnings with a payment provider that fits his particular needs.
The payment processing system that you select should offer
- Payment processing
- Multi-currency support
- Integration with all major e-merchants
- Fraud detection
- Advanced risk management
- A support line
The more options that you select for payment processing for your customers, the more customers you'll be able to attract. This includes offering players the option of playing with bitcoins or other forms of cybercurrency.
Implement Loyalty and Retention Programs
The basis of any business is bringing new customers while retaining loyal clients. Casinos generally use loyalty points and other types of credit giveaways to retain their loyal players and encourage them to keep gaming.
The best way to decide what you're going to do to in terms of a retention program is to check out your competitors and find out what they're doing. You want to position your casino online as a trustworthy, quality and worthwhile gaming venue. Develop a small base of loyal customers who will give you good reviews online and then build from there.
Limit your games menu to good quality, interactive games and make sure that everything is mobile-enabled. Keep your website design clean and make sure that there's reliable support available so that gamers can ask questions and receive help in their preferred language at any time of the day or night.
Finally, set up bonus systems and retention campaigns to make sure that your players are satisfied with their gaming experience.
It can be daunting to start an online gaming business but with proper planning, you can make the new online casino a success.
Or....just continue having all the fun in the world right here at Grande Vegas.