How To Start Online Casino: Step-by-Step Plan From InnovecsGaming

December 29, 2020

Online gambling offers a myriad of opportunities to modern entrepreneurs who are unstoppable in their endeavors to create outstanding gaming products, drive their business to the ultimate success, and outpace all rivals. But is it easy to start online casino, begs the question? Let’s shed some light on today’s gambling business.

Online gambling platforms have become popular in recent years. Last year, the global online casino market was US$53,7 billion and is expected to grow in the years to come. Among others, Europe has taken the biggest piece with US$22 billion, which is projected to increase six times by 2027.

US online gambling market

In the USA and Europe sports betting and casinos are prevailing among the playing population, taking up the third of the entire market in 2018. The statistics seems to reassure those who want to initiate their own gambling company via the Internet.

Moreover, there are undeniable advantages for online casino publishers and their consumers. Entrepreneurs don’t have to buy or rent space to operate a land casino, hire a big team of workers to maintain the physical office, worry about utility tax or possible criminal attacks.

Customers from all over the world can access the website comfortably in their homes at any time and using any device. This is extremely helpful and beneficial for those who live in countries where the government forbids land casinos.

Europe Online Gambling Market

The pandemic has also made an enormous contribution to the growth of online gambling. The recent research states that America has seen an increase of beginners in online poker by 255% since the quarantine measures took action. In general, the poker industry has grown by forty-three percent since spring 2020. Some countries have quickly adapted to the popularity of gambling. Thus, the Belarusian government has legalized online casinos while Armenian state forces changed their laws to become more loyal to running casinos through the Internet. Since everybody seeks a possibility to drive revenues, it’s imperative to figure out how to start online casino.

How Much Does It Cost To Open Casino

To begin your own online casino, you first need to know what’s the budget for it. Learn what you’ll need to invest in:

  • Purchase of a license. The cost of a license depends on the location you run your business. Approximately, you’ll need to pay about US$34,000 as a setup fee and then nearly US$5,600 per month for the first two years. That’s a pretty affordable option. Overall, you have to prepare a minimum of US$120 thousand. And taxes aren’t included.
  • Costs for creating a website. To build your own online platform, you’ll need from US$2,7 thousand to over US$13 thousand. It all depends on the software provider, your budget, required functionality. Typically, gambling sites should be able to withstand the high load and host a massive number of guests simultaneously.
  • Software development costs. As the business grows, you might require additional resources – and it will cost you extra. To create exceptional games, you will need to hire a dedicated software development services package. Expenses usually range from US$100 000 to half a million, depending on the project.
  • Marketing and promotion costs. Online casinos spend millions of dollars on marketing and advertising each year, as it’s the most crucial strategy to make people get involved in your game. As for the beginners, marketing requires a minimum of US$700 thousand in the first year.

Launch expenses

Overall expenses you need might vary from US$1.2 to US$2 million to start online casino. Of course, if the business plan is well refined, you’ll quickly get your ROIs.

Tips On How To Start Online Casino Business

We suggest the most critical steps that will lead your business to success and finally yield excellent profits.

Think out your strategy thoroughly

Before bringing your plans to fulfillment, consider the points below. Make sure you understand that you’ll need to:

  • Be ready to invest strong capital in starting your online gambling business
  • Buy license(s) to run your online casino legally
  • Deliver compelling and captivating game content
  • Utilize the most advanced tech solutions, payment system, and security tools
  • Ensure high customer retention levels based on a solid marketing strategy
  • Work on your brand regularly to stay afloat in an overwhelmed market of rivals

World’s Top Gambling Countries

Today, everybody can start online casino business when having the necessary funding in place, but not all beginners realize the majority of pitfalls that might occur. It’s recommended to find a reliable partner to build and operate a powerful enterprise.

Pick a trusted gambling software provider

You are going to face a variety of services and tools available for different prices. The future partner and software vendor should be proven, have a decent portfolio and profound experience, offer diverse solutions according to your budget.

When starting your gaming business, you’ll choose from:

  • Software development companies that develop games and platforms themselves (e.g., InnovecsGaming). This beneficial type of partnership allows you to get a fully customizable and unique product.
  • B2B companies that offer service and tools packages with gaming content of other vendors.

Whichever type of partnership you choose, the software suppliers are your best partners to launch and run your operations smoothly and seamlessly. Every online casino provider has different services to offer. You should check what the contractor can provide you with. The following checklist can help you choose a perfect match for cooperation.

Checklist to chose a perfect Software Provider

We recommend you hire a custom software provider because they can develop a highly customizable and tailored product. You can control the entire development process, apply changes when needed, and get a cutting-edge final product. You can learn more about various online casino solutions at InnovecsGaming.

Pick a payment service provider

Try to organize your payment procedures in such a way so that players from different locations could access and play your casinos effortlessly. To achieve that, a provider offering multiple payment methods is needed.

Remember that online casinos and other types of gambling games are considered high-risk businesses. This means your enterprise is more likely to experience chargebacks. Banks, in turn, impose higher fees on these companies in order to minimize fraudulent activities.

Major payment methods

A trusted software provider like InnovecsGaming can provide you with a payment system platform tailored to your business. This platform ensures safe transaction processing, smooth interaction with online suppliers, multi-currency support, fraud detection and prevention, high-level risk supervision, and more.

Decide what type of casino you want to start

The next essential step is to decide what type of gambling content you want to work with. The more diverse the entertainment portfolio your online casino offers, the more players it will attract.

Provide clients with a clear portfolio of games, platforms to play, and conditions. The most popular gambling games offered at today’s successful online casinos include:

The Most Popular Gambling Games

InnovecsGaming offers different gaming solutions including and not limited to sports betting, virtual reality casinos, sports betting, ilottery, and more. It’s crucial to know what your target audience is and which types of online casino to choose. Using our expertise, you can quickly determine your preferences and start a project right out of the gate.

Get a license for legal business operating

The license is a primary requirement for an online casino to get approval for collaboration from PSPs (payment service providers) as well as from software development providers. It is also essential to have a good image in the gaming sector and gain the trust of players. Today, the safest and most reputable online gambling jurisdictions include:

  • UK Gambling Commission
  • MGA (Malta Gaming Authority)
  • Curaçao eGaming
  • Isle of Man Gambling Commission
  • AGCC (Alderney Gambling Control Commission)
  • GBGA (Gibraltar Betting and Gaming Association)
  • Kahnawake Gaming Commission

As a beginning online casino entrepreneur, you have to choose the path for obtaining a license. Therefore, you can:

1. Go through the complicated process for yourself – apply for a license, open a bank account, get agreed with payment services, deal with taxation procedures, and more.

2. Cooperate with an online gambling provider and use its white-label products. Then you don’t need to apply for a license – you’ll get the provider’s software, gaming license, and financial management. This type of cooperation allows you to get free from all time-consuming preparations and run a business under your brand with ready-to-use solutions.

Create a brand and website

Your website should be appealing to visitors and potential players. Thus, ensure you create a platform with a user-centric approach. To start online casino, a full-featured and robust website will be a necessity. So, you can create a custom website or employ a ready-to-use template.

Whatever option you prefer, you’ll need to take care of visual appearance as it will enhance your brand value and attract more customers. Overall, the website should have:

  • Attractive and unique design of superior quality
  • Not overloaded with graphical elements UI
  • Front-end integration with a database
  • Enhanced navigation usability
  • Smooth and invisible shift from website to provider’s game

If you opt for collaborating with online gaming provider like InnovecsGaming, you are guaranteed to obtain a unique website, catered to your business needs and capital. We can offer custom website solutions supported by the latest emerging technologies.

Identify your TA and market your games to them

The level of customer satisfaction directly impacts your prosperity and revenues. Thus, identifying a target audience is a pivotal moment in developing a business strategy. You have to accurately design your marketing campaigns to engage as many people as possible.
Most importantly, you need to retain them for as long as possible. With that in mind, the following tips are crucial to start online casino and lead it to success:

  • Create KYC (know your client) guideline – Research the user base, identify potential players, learn their preferences and interests, and other critical data for targeting data (location, age, workplace, social media activities, etc.). Based on this information, set up marketing plans to reach out to your customers. Advertising may be performed through various channels: radio, social media, TV, by placing in other popular apps and games.
  • Deliver exclusive content – Offer your players unique and extraordinary products so that they cannot help but get involved into your games.
  • Build bonus systems – Reward your audience with free bonuses: spins free of charge, match benefits, cashback, sign up and reload bonuses, loyalty bonuses, etc. It’s a good way to keep your current players on the hook.
  • Use loyalty rewards – These programs are aimed to reward regular users with discounts and other special proposals in order to keep them visiting your casino. This approach effectively works and helps retain plenty of players.
  • Benefit from affiliate marketing – Having a robust affiliate platform in place will help you enhance user engagement and increase traffic to your website. Also, you can outreach influencers and gambling bloggers to review your service, and then build trusted and long-term relationships with such affiliates. In turn, they will bring you thousands of new customers.
  • Employ various marketing channels – By activating different marketing channels, such as push in-app ads, email newsletters, you will seamlessly interact with your players. This is vital for delivering to the masses and getting the latest updates to them, informing about promotions and offers, helping with retention and increasing conversion.

To sum up, marketing is one of the most critical points in your business plan. To start online casino, having a decent marketing strategy is a must.

Final Recommendations On Launching Online Casino

When you already get acquainted with the fundamentals of an online casino business, we’ve picked some additional tips for you to remember:

  1. Investigate the competitive playing field. It’s vital to know your major rivals. Learn their activities, identify what they do, and try to surpass their achievements. This will probably help you implement unique product features to stand out in the market.
  2. Determine your budget and stay within it. Work with an available budget to get off started. If you spend too much, you’ll fail during the beginning phases. Your company will thrive if you carefully count all costs associated with the launch of a business.
  3. Don’t overdo your website. Try to make your UI and UX friendly, straightforward, and easy-to-use. Don’t overdo design with sophisticated and unnecessary features that will eat up many resources. An online casino should be compelling, speedy, and accessible on every platform.
  4. Pay attention to your brand. Your brand should be recognizable and focused on your target audience. Otherwise, it will be hardly differentiated from the mass of mid-level competitors and won’t bring desired outcomes.
  5. Be ready to face difficulties. This business is prone to criminal activities, cyber attackers, getting negative reviews, and more.
  6. Ensure having an advanced and reliable security system in place and perfect customer assistance service to avert challenges or handle them easily.

In general, to start online casino company and achieve success, entrepreneurs have to be ready to make an enormous effort, invest a lot of time and money into a future company. Hopefully, this article has critical answers to the most urgent questions.

Conclusion: Why Creating Your Online Casino With InnovecsGaming

InnovecsGaming offers a variety of top-tier gaming solutions. If you prefer to partner with a world-renowned and experienced gaming provider, you’ll get the opportunity to cover all your needs.

  • Slots game development – Our expertise enables us to build 2D and 3D slots with bonus games of any complexity. InnovecsGaming teams create beautiful and captivating slots thanks to years of experience and regular market research.
  • Virtual reality casino development – We provide realistic and lifelike immersive experiences to players with advanced expertise in virtual reality technology and code production. Since VR and its subsets like AR and MR are the future of the gaming world, we have sufficient knowledge and practice base to bring this future to reality.
  • Sports betting development – We are leading developers of sports betting games for different platforms – be it mobile, web, or PC. In our tech arsenal, there are high-quality tools that we use together with an out-of-the-box approach. As a result, you get a customizable, unique gaming product.
  • Poker game development – Our company is trusted by many successful poker entrepreneurs globally. We keep focusing on how to improve the entertaining and unique assets of online poker. Thus, we have a constantly growing customer base with the highest loyalty levels.
  • iLottery game development – Developers at InnovecsGaming successfully apply the Random Number Generator (RNG) logic to the lottery gaming development process and produce highly interactive games for the players. People play our games with great excitement and passion.

The key to the success of InnovecsGaming is passionate game developers who pass a complete examination of skills, expertise, and experience. As a result, we design and develop outstanding gaming solutions within the time and budget limits of our clients, or as we say, trusted partners.

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