According to reports, the online gambling business had an estimated market value of $57 billion in 2021. Experts also project the industry to grow by 11.7% annually and have an average value of $145.6 billion by 2030. With these statistics in mind, it's evident that the online gambling industry still has room for you to start an online casino from scratch.
But what does it take to launch an online casino? Although you might need significant capital to start one, it's nothing complicated. This guidepost discusses some essential requirements for starting a new online casino in 2022 and beyond. Ready to learn?
Before going through the steps of starting a casino business, it's critical to have a clear meaning of an online casino. In a nutshell, an online casino is a website that houses all online casino games. This includes slot machines, table games, and specialty options like scratch cards, bingo, and Slingo.
But that's not all that makes an ideal online casino. The best betting websites also include live casino games to give players a realistic gaming experience. These games are often streamed live from land-based studios in HD/4K quality.
A complete online casino should also have a dedicated sportsbook with odds on most sporting competitions like soccer, basketball, tennis, rugby, hockey, etc. This is common best new online casinos these days.
There are many considerations to make before starting an online casino business. This guidepost only looks at the vital points and decisions to make before launching a casino.
Before launching an online casino, it's critical to understand the market demographics and what makes online casinos thrive in that market. Look at what players like or don't like. However, this might require vast knowledge of the potential business, meaning you might need a little help.
Most players would be happy staying on a straightforward, intuitive, and simple-to-navigate website. Remember that this is the first thing most players see after launching the website. So, make it engaging, modern, and simple even for green hands to use.
Consider this; no casino player worth their salt would skip playing jackpots or Megaways slots. Therefore, an excellent strategy is to display jackpots, megaways, and favorites tabs on the website. Don't forget to include dedicated pages for promotions, table games, live casino, and help. A search box is also a must-have feature.
For this reason, purchasing an off-the-shelf casino from software providers is advisable. The software provider will strive to meet all your specifications and customize the website according to your brand. Just specify the games, payment methods, licenses, and other requirements, then they'll do the donkey work for you.
But before choosing a software provider, always compare the prices, because expensive is not always the best. Seek recommendations from other flourishing websites to avoid overpaying for an average website developer. And most importantly, the company should respond to requests promptly and offer scheduled website maintenance.
Obtaining a reputable license is undoubtedly the most challenging part of becoming a new online casino operator. In the US and UK, for example, the licensing fees can be backbreaking. Getting a license in some states and countries can be more challenging because they limit the number of permits they can issue.
Getting a remote gambling license in the UK can set you back up to £793,729 per year. And that's without factoring in the application fees that can reach £90,000. In Ontario, getting an AGCO (Alcohol and Gambling Commission of Ontario) license can cost you $100,000 annually. And even if you can afford that, you probably won't get it because the law allows only 40 online gambling licenses. So, what next for your online casino dreams?
The online gambling industry is enormous enough to accommodate everyone. Although getting licenses in the US, UK, Ontario, and Sweden can boost your website's profile, going for less expensive and reliable options like Curacao e-Gaming and (MGA) Malta Gaming Authority is a wise business move. Curacao offers a one-size-fits-all gaming license for €10,000 to €20,000. Get this option before purchasing the UKGC, AGCO, and MGA when business is stable.
Online casino players are pretty demanding these days. They know that games from reputable content aggregators are more rewarding and entertaining. This makes selecting reliable game-developing software crucial before launching a new online casino site. Thankfully, there are many reputable game developers to contract in your casino.
If your new online casino plans to offer slot machines, which is a must, consider options like NetEnt, Pragmatic Play, Thunderkick, Betsoft, Red Tiger, Big Time Gaming, Microgaming, and Yggdrasil. These software providers also offer table games like blackjack, video poker, baccarat, and more. It's also advisable to provide players with a live table game experience from Evolution, Pragmatic Play, Vivo Gaming, and Ezugi.
An online casino is a platform where gamers use real money to play. And if they are lucky, they can win a sizeable sum to withdraw. That's why offering trusted payment services is critical. As you may already know, the best gambling websites support payments via debit and credit cards, like Visa, MasterCard, and American Express. These casinos also support e-wallets like PayPal, Skrill, Neteller, ecoPayz, and more.
Note also that cryptocurrency payments are gaining traction these days. Therefore, don't miss a chance to offer crypto payments via Bitcoin, Litecoin, Ethereum, Dogecoin, and more. These payment methods have significant advantages, like fast payout speeds and anonymity, because there's no bank or payment provider to approve transactions.
But the main sticking points for casino players are the payout speeds and cost of transactions. All deposits should be instant and free. The same applies to e-wallet payments, although debit/credit cards and bank wire payouts can take a few days. The casino's terms and conditions page should indicate the transaction limits and waiting period.
Once your online casino is up and running, having a marketing strategy in the crowded industry is not an option. Major online casino brands like Mansion, 22bet, and Betwinner have multi-million advertising budgets with TV stations. Others sponsor live TV events and sports teams in the EPL, NBA, La Liga, Serie A, and more.
But it's understandable that getting marketing platforms and sponsorship deals can be challenging for a little-known casino. That's why online casino bonuses and rewards are essential. Provide match deposit bonuses, no deposit bonuses, and free spins for new players. On the other hand, give loyal players reload bonuses, cashback, VIP treatments, tournament invitations, and more.
Affiliate marketing should also be high on the day's schedule. The iGaming industry has big casino brands dominating the best websites because they offer juicy deals to the website operators. Casinos typically offer an affiliate website up to 40% of their referred player's net spending each month. So, if you can match this rate, affiliate marketing is a great marketing strategy.
Online casino review platforms like Trustpilot and AskGamblers are full of players complaining about unprofessional casino support. No player would want to play in an online casino where support is non-existent or slow to respond. Players can even be more ruthless with new online casinos looking to carve out their space in the iGaming stage.
With that said, the best new online casinos offer a wide range of customer service channels. Players should reach your support team via email, live chat, or phone. Most players prefer live chats because they are available 24/7, and responses are prompt. If possible, your new casino should be more modern by offering social media support on Twitter, Facebook Messenger, or WhatsApp.
Data is critical in risk management, as it helps businesses create and change their short and long-term plans depending on the risks and gains involved. In other words, collecting the right gambling data will help you make the correct business decisions. For example, collect data on how players respond to your welcome package, affiliate programs, or support quality.
But you don't need to prepare enormous paperwork, which can be overwhelming. Instead, contract a gambling data provider to do the heavy lifting. These providers collect data in a certain way, and the information collected should be relevant to your business. They must furnish you with clear documentation on a specific schedule. And, of course, the company fee should be within your budget.
Believe it or not, there's no 'poor sportsbook or casino' out there. That's because the worst-performing gambling websites fall by the wayside before they even start. Yes, that's how competitive the online gambling industry is.
Strive to avoid common mistakes like untenable wagering requirements, relying on old data, lack of loyalty programs, and poor website designs. Also, most startup casinos forget to add filters to allow players to quickly find their favorite games or software providers. And another thing, customer care and banking should be top-notch to retain players.