WHY WHITE LABEL CASINO BUSINESS MODEL IS SO COOL?
Within a couple of past decades, online gaming has become a profitable option for entrepreneurs. The figures speak for themselves: as stated by Business Matters, in 2018 the industry value amounted to $51 billion (compared to $25 billion in 2011). 40% of that belonged to the online sector. Today, in 2021, Internet bookie service continues to be one of the rapidly growing areas of business.
If you look at it closely, starting an online betting business is not too difficult. All you have to do is to create a website, choose a few games for it and add payment options. That is basically enough to begin making your fortune. However, for the dreamer to succeed, he or she has to consider a few small but important factors.
First of all, you should know that there is a great way to simplify the process, which is that of taking advantage of a white label strategy. This approach enables an entrepreneur to purchase a ready-to-use gaming website, redesign it and even give it a different name. In other words, white labeling gives a perfect chance of creating your own brand without excessive cost and unnecessary risk. Purchasing a franchise would not provide you with such an opportunity.
To figure out how this works, let's consider the example with a company called Aspire Global. In a few years upon its establishment Aspire decided to offer others a great pricing option based on sharing a part of the profit. The model enables a white label buyer to save on initial investment transferring this money onto other things such as customer service improvement and upping its gaming content.
White labeling is quite a popular strategy that is widely used in other industries such as banking, food industry, or IT. Its popularity is based on numerous benefits that could be enjoyed by both white label providers and their partners.
This info-graphic illustrates that 13% of total E-sports revenue in 2018 belonged to the white label sector.
Before you start
Before taking on a white labeling partnership it’s great to make sure that you are familiar with the field and its specifics. You will really be pushing your luck if you don’t know a thing about i-Gaming. This is not the kind of business that you can run successfully without having a couple of special skills. But if you are acquainted with the area, the approach will help you to use your experience and business acumen for growing and maximizing your returns. The white label provider, in his turn, will take care of other business aspects, which will help to save you your time and your money.
Investing in a white label gaming service also requires thinking of the following:
Getting a judicial capacity and a license
Acquiring a gaming software
Finding a secure server
Getting hold of reliable technical support
How long does it take to start?
The entire process of setting up an independent business usually takes a year. But a white label model will allow you to reduce the duration to a few-week format. Launching will basically come down to creating a unique and attractive casino platform, which will be the area of your primary concern.
What are the most important benefits?
Compared with franchising, white labeling usually has a less level of financial obligation. This involves many aspects including your monthly fee which will be far less than the amount of money you would pay to your franchising provider if you had chosen a different option.
This will enable you to invest saved funds into other important areas such as website design, marketing, and revenue management. New white label owners dedicate most of their time and finances to advancing their website which must be a sophisticated and competitive platform that meets the expectations of the most demanding players. Many online casinos prefer close cooperation with a well-established gaming software provider who offers package solutions. The list of best gambling developers is long, but you may consider taking advantage of the following ones:
Novomatic
Playtech
Endorphina
NetEnt
Your very own brand
For many ambitious entrepreneurs building and running their own brand is a matter of honor and self-esteem. It enables them to enjoy nearly all the same benefits as if they had created their own business from scratch but for much less invested money. The same can also be said while comparing the white labeling option to franchising. So if you don’t want to promote other people’s brands, consider a white label casino as a solution to your idea of building your own venture.
