The start of a profitable casino business begins with budget estimation. While an independent project can cost several hundreds of thousands of dollars, it is possible to set up a functional gambling environment ten times cheaper than that.
A White Label casino is a rent-based product that implies a close partnership with a parent company. Thanks to the provision of key components, an operator saves a lot but has to contribute monthly for the usage of assets.
Let us analyse how profitable these White Label casino solutions are and what it takes to set up one for yourself.
The Essence of a Rent-Based Gambling Platform
A low initial budget is the main incentive for novice entrepreneurs to start working on a White Label project. Besides, the convenience of the constant support of an experienced organization minimizes the risks of a mistake or a failure.
A White Label supplier contributes to the project with:
- An extensive and thoroughly selected library of gambling content. Under an individual elaboration, it takes around $250,000 or more to assemble a competitive casino library. It includes games and administrative content. A partner firm chooses entertainment according to the region of work and the style of the platform.
- Legal support via sharing a sublicence. An online casino operation requires an official permit to be able to target players lawfully. Without the assistance of a service supplier, the cost of such a document can reach half a million dollars plus regular contributions. A sublicence eliminates all those costs.
- Technical support for avoiding any difficulties. Another huge advantage of a White Label casino for novice market participants is the constant aid of a parent company. An operator receives help not only during the setup but also after the launch to ensure the managerial experience is smooth.
While all these cost-reduction elements motivate an entrepreneur to start looking for the best provider of White Label services, an important aspect is still there to keep in mind.
According to the standard terms and conditions of the solution, an operator contributes up to 60% of all profits to the provider monthly. This is a fee for using all software, sharing the licence, and receiving technical consultations.
Operators’ Responsibilities and Estimated Earnings
While the supplier of White Label services is behind the most costly parts of the online casino, an entrepreneur also has to take care of several core elements. It is impossible to set up a functional gambling platform with just software and a licence.
A future operator of an online casino has to elaborate:
- The environment for activities. In the majority of cases, this is a website. However, it is also possible to have a mobile application alongside. The portal must be well-structured and have an appealing design for the selected working region. Reliable hosting and fast servers are also integral.
- Branding for the company. Even though a White Label project is based on leasing major online casino elements, an operator will act as a new organisation. That is why branding includes the creation of a name, embellishment, logo, and other important aspects of company recognition.
- Promotion of the casino. To ensure the profitability of the platform, an operator has to make it popular among the target audience. The utilisation of legal available methods such as SEO, SMM, and affiliate marketing is the main strategy for advertising.
Considering that all stages are covered, the service supplier and an operator have worked fruitfully, it is possible to get a fully functional gambling platform in a few weeks. After that, it is all about promotion and customer attraction.
A top-class White Label casino can make around a million dollars every month. This is achieved through offering appealing bonuses to clients and constantly updating the advertising campaign.
Out of this million, 60% of the revenue goes to the service supplier. This is a reasonable price for quality assets and round-the-clock assistance. As a result, an operator is left with around $400,000 of GGR.
More expenses are made in the form of advertisement reinvestment. Experienced entrepreneurs claim that it is necessary to spend around 70% of the income back on promotion. This guarantees a constant expansion of the brand and a steady stream of new clients.
Eventually, an established owner of a White Label platform makes around $100,000 of net profit every month. This is not an initial revenue that an operator has immediately after the launch. So, it is important to be patient and follow current industry trends and clients’ demands.
Effective Supplier of White Label Services
The quality of rented software and the scale of operational legality depend on the partner company a manager begins working with. High reputation and extensive experience in the niche are two crucial markers for the selection of a lessor.
The professional aggregator Online Casino Market offers quality rent-based gambling opportunities for different destinations around the world. Besides, the studio’s solutions also include turnkey platform development and the elaboration of individual services.
More information on the cooperation with the firm can be found via:
- Skype: slotsmarket
- Telegram: @spinwin
- e-mail: firstname.lastname@example.org