The promotions are beneficial not only for players but also for online casinos. The players get the bonuses in the form of money, free spins, or some other rewards. The casinos, in their turn, benefit from the deposits that were made by players before receiving the offers. At least, the casinos get more people registered. And although the new users have not yet tried the real money versions of games, they will do it later.
There are two types of promotions that casinos generally suggest: free cash and free spins. The most interesting starts when the online casinos think of the ideas ‘how to present these bonuses’. They begin to create different daily, weekly offers or Sunday gifts. If you have a birthday and belong to a VIP membership, they will give you a birthday bonus. Speaking of the VIP programs, they include even more and better promotions. So, if you want to get the ultimate service and the top promotions, join the loyalty program. You will not regret it.
Although the promos seem to be very attractive, they have some pitfalls. These are so-called wagering requirements. In other words, you have to follow these obligations unless you want to be banned. The term’s purpose is to avoid bonus abusers, the people who claim bonuses but do not play the games. They just request withdrawals and take this bonus money. So, the online casinos had to set limits to promotions. For example, you cannot withdraw until you play all your bonus money out further unlocking the deposited money section. Or after receiving additional 20 spins, you cannot withdraw until you make at least 50 spins. Such rules are set forward at 99% of casinos. In a word, you will hardly find a good casino with no wagering requirements.
With this in mind, I can recommend only those online casinos that are safe, legal, and trustworthy. At the same time, they have big welcoming promos and an opportunity to join a loyalty program. But they have wagering requirements that you will have to read thoroughly before claiming.
Most generous casinos
- Casimba. I guess you have never seen such an incredible first bonus – $5000! Only three deposits of at least $20 will bring you big luck. The free spins included. Besides, being a VIP player, you will receive personalized offers, cashback, giveaways, and even invitations to casino events.
- Dream Vegas. The online casino presents up to $2500 to new players, depending on the deposits, of course. Additionally, you get 50 spins and an invitation to VIP membership. Joining it you will have a personal manager, more special prizes, faster payouts, cashback, and much more.
- Jackpot City. With a $1600 first bonus and the highest payout rate, you can win so much playing Jackpot City games. Join the VIP and get pleasure from tournaments and overall excellent service.
- Casumo. The absolutely free 20 spins welcome you at the beginning. And if you make deposits, you will receive $500 to your account. Additionally, get points for every spin and exchange them for cash or more spins. This is the idea of a rewards program at Casumo.
- Royal Panda. Panda will reward you with $1000 and ten spins at the time of your registration. Later get the Loyal Panda points to apply them for other promos.
That is quite reasonable why a person might get a thought of starting its own online gambling business. It brings much profit, especially nowadays when online related industries are at the top. Just like the huge yearly revenues of online casinos, one has to spend the big sums of money for the business launch.
Gambling business requires many responsibilities and attention. The known stereotype about casinos that they are always cheating impose additional obligations on the casino owners. They have to license their business activity, get special certificates and constantly prove that they are safe and fair.
This ‘proof’ costs money which you as a potential owner need to pay at the very beginning. All the licenses, certificates and security technologies are the first instruments that you have to think of before you start. Not a single high roller or even a regular player will make funds into an ‘unknown’ casino without an official license.
However, in order to receive a license you need to accomplish several steps. First one is to create the company according to the laws of the country that allows running online casinos. They are usually small countries like Malta, Costa Rica, Gibraltar or it can be the UK, by the way. The company registration cost varies. In the UK it’s 550 euros, in Costa Rica you would have to pay almost 3,000 euros. However, Gibraltar and Curacao don’t take charges at all. So, let’s take the average cost of the registration of a legal entity – $1,000.
The site content is the most important. It’s the face of the online casino. The real money attractive games are what people come for to the online casinos. Basically, you need to make a deal with at least one software provider and have a minimum of 500 games in your casino lobby. Nevertheless, the more games and providers, the more customers. The price is different again. It varies from $10,000 to $150,000. It depends on the provider reputation and amount of games you purchase. Mind that you will have to pay commission from each game. About 15% from one game revenue goes to the provider. Averagely, you could pay about $50,000 for games including commission.
Finally, you can apply for the license. This step allows you to host servers and represent casino games worldwide (where they are accepted by laws, of course). Generally, the licensee is based in the same country where you registered your casino business. Accordingly, the price varies. For example, in the well-reputed Malta you can get the MGA license for about $18,000 + the same for annual fee, in total over $35,000. In Costa Rica you’ll pay totally $50,000. Besides, the license doesn’t last forever. It’s issued for several years. On average, 6 years is the expiry date. So, let’s assume that the first licensing costs $50,000 including the cost itself and annual fee.
Your casino site should be, first of all, clear and easy to navigate. Whenever a visitor enters the site, he or she must understand what the casino offers: games, bonuses, banking options, support, security and etc. Clarity, transparency and availability of all website options. The whole development of the website costs from $10,000 to $50,000. Though we can’t deny additional losses. Let’s take $50,000 for the website development stage.
This step is necessary for all businesses. In order to let people know about you, you need a marketing plan including advertising, SEO content and affiliates. Your minimal marketing losses can be $20,000. However, it doesn’t make much sense as it pays off quite a little. For the good profitable marketing system you can pay $100,000 and even $200,000 monthly. Additionally, you will have to pay a fixed sum and sort of 20% commission to the partners that brought you clients. All in all, for the advertising stage we have approximately $100,000 a month which annually is $1,200,000.
Here you should include, first of all, salaries for your staff. It should be a whole team of specialists in the fields of design, web development, security service, support, sales and marketing, finance and copywriting. In addition, you will have to maintain the site and its security system annually. The total cost of this all will be about $500,000 a year. It depends on the salary amounts you can afford, of course.
This is a specific amount of money you save in the bank as a guarantee that you are able to give payouts to your players. It can’t be used for taxes and other expenses. This is a necessary fund, and its minimum depends on the registration country. It will cost you about $100,000.
If we consider each expense given above, the online casino site costs $1,951,000 at the start. Still, you have to understand that this sum is not exact. In reality you may pay more or even less. Anyway, considering all the necessary and additional expenses, you need to have at least $2 million in your account to open and maintain the casino site during one year. With an excellent marketing plan you can compensate for the losses during a couple of years, or even less period of time.
Internet banking is a method for online payments that allows us to transfer funds from banking card to online casino account (in gambling). This also refers to eWallets that keep your banking card in their accounts. With the help of internet banking, players can make deposits to online casinos, and receive special welcome bonuses if they deposit using e-wallet (internet banking).
Seeing how much profit online casinos make, you’ve probably got a thought of opening your own. It may seem easy to accomplish, but make up your mind only after you read the post till the end. The fact is you have to consider many issues starting from game providers and ending in banking management. The own gambling service requires a lot of attention and, of course, money. If you thought it would be cheap, you were dead wrong. I’ll show you all the aces now, you’d better have at least a million dollars in your bank for this business. The more, the better, though.
So, for the beginning you need to determine which software providers you are going to have in the games lobby. Will they be only slots or table games, or each category with live games in addition. Depending on your budget you can have as many providers as you wish. I recommend dealing only with the most trusted like Microgaming, NetEnt or Evolution Gaming. However, keep in mind that prices vary depending on their experience and level of service. Don’t be fast with the decision. Compare all the suppliers’ offers and make up your mind carefully. The choice of providers impacts on popularity of your online casino.
The licence is the obligatory thing to have if you want your customers to trust your casino. It shows your legit status and proof of fairness. So, don’t be mean at this point and remember that a good licence has a big cost. If we take the most reputable MGA licence, you’ll have to pay about $150,000. If it’s too much for you at the moment, try to request for the licence from Costa Rica or Curacao authorities. Their price is approximately $30,000. No matter which licensee you choose, you have to give them all the info and docs that they require.
Next step is to connect payment options with your casino site. Choose the methods widely used in most countries. For example, if you add the credit card option, you already have 80% of potential customers as the banking cards are the mainly preferable option for depositing and withdrawing. Additionally, set up e-wallets because many users like them for their instant transactions. Search for the money processing online services. This step won’t cost very high.
The much needed step for any kind of business is marketing. Surely, all types of advertising and affiliation will help you to get more customers. Make up a marketing strategy for this point hiring the top masters in the field including SEO managers. They know how to promote your online casino and attract more visitors.
Dealing with difficulties
At this point you have to predict and prevent troubles. You should think about the security system of the site to guard your casino’s flow of information and transactions. Besides, your support team must be very qualified and multilingual in order to help customers with all questions. In fact, good support is one of the main criteria on choosing the online casino to join. Think over promotions programs. Most players, especially newbies, fall for good bonuses with less wagering requirements. For the perspective, think about mobile representation of your casino. It’s an advantage to play games on the move while using the mobile app or browser version.