How to Start A White Label Casino
It may seem that opening an online casino is a long and expensive way. However, this was before, when there was only one option - to create everything from scratch! Today this is not the only solution! To start a casino fast you can use the White Label solution!
What Does White Label Solution Mean?
The White Label solution is widely used in various areas of e-commerce, as well as in conventional retail. Sale of goods or services of third-party manufacturers is a chance for young and yet unknown companies to quickly increase revenue and win their market share.
Large retailers sell goods of small producers under their own brand, acting as a guarantor of quality. Small shops have the opportunity to offer customers a quality product from a well-known manufacturer under their own brand. Ultimately, everyone wins. In the United States, the White Label idea has become so popular that banks and small loan companies started using it.
As you can see, this scheme is very convenient, as it avoids the cost of the entire production process. The White Label solution is also used in online gambling where you can buy a fully finished casino and let it run. (That's why there are so many similar casinos today.)
Suppliers of White Label casinos will provide you with everything from software to support.
The only thing is that after signing the contract, you don't acquire any rights to the software itself, you are just given the right to use it. It's similar to like renting!
The History Of White Label Casino
Due to the fact that Gaming software is subject to increased security, reliability, design and other requirements the cost of good platforms and games is high!
And due to the lack of an influx of young businessmen who didn't have large capital, the development of the industry at some point stalled.
Actual history started about 15 years ago when large and well-known casino brands began to implement the White Label solution to enable start-ups to open a casino under their brand.
How Does White Label Casino Work?
The supplier provides the customer with everything he needs to run an online casino. Usually, the package includes:
Online gambling license.
casino site hosting.
platform - the basic set of software.
games - slots machines, Live casino games and other.
connection to payment systems.
customer support service.
marketing materials and consulting services.
The customer only needs to get:
Promotions, bonus programs and tournaments.
As a rule, the supplier provides a fully ready kit for launching a casino site. And the customer can start it even without making any changes. But such kit will look too much similar to others and increase the marketing appeal will require to make at least minimal changes.
In the future, cooperation under the White Label solution boils down to a simple formula: The customer is engaged in attracting players and the supplier serves them!
How Much Does It Cost To Start A Casino?
Some suppliers offer to start White Label casino for free while others ask for the entrance deposit to the project. Usually, the amount ranges up to 25K euros. The supplier requires a deposit, as a guarantee of the seriousness of the customer and also it helps to weed out the irresponsible customers.
The amount may increase in case a customer asks for additional services. Since normally the supplier already has its own team of marketers, designers, translators and other specialists. And for the additional price, a customer who decided to choose the White Label solution can take advantage of their skills.
How Much White Label Casino Can Earn?
Usually, a customer receives from 40 to 60% of the net gaming revenue. (The Gross Gaming Revenue means all bets minus all payments.) The coefficient may vary depending on the popularity and success of the supplier brand, the cost of software and other factors.
From the received amount a customer pays own gambling expenses:
Bonuses to players
Commissions of payment systems
Promotions with cash prizes for players.
The remaining money is the net gaming revenue. The size of bonuses, promotions and other special prizes is set by a customer himself since the level of the commission of payment systems is known in advance, so this expense can be easily predicted.
Advantages Of White Label
To start a casino under the White Label solution it may take only a couple of weeks. After the conclusion of the contract with the supplier, the customer only needs to connect a domain and create their own site design. (or customize the existing one.) Once it's done a customer can start accepting players.
White Label casino can create almost any entrepreneur, even without the involvement of credit. The solution allows starting a business from scratch and to enter one of the fastest growing markets in the world.
Of course, some initial investment may be required but their size doesn't go to any comparison with the amounts needed to run an independent project!
White label solution provides an opportunity to use the best gaming software, providers!
Most of the largest game manufacturers display huge price tags on their products and refuse to work with beginners or small projects. Due to this fact for the start-up is very difficult to get the most popular slots or other casino games on its own. Working under the White Label solution removes all these restrictions.
Big Wins = No Problem!
Casino players prefer games from leading software providers that guarantee the honesty of the random number generator. The casino doesn't have the ability to influence the probability of winning but in the long run, the casino always wins!
But in the short term, players can win the jackpot, the size of which will exceed the financial capabilities of a beginner entrepreneur.
In the case of White Label casino, the payment of winnings falls on the shoulders of the supplier company, so the casino is deprived of this problem.
Big wins are the reason for the collapse of many start-ups! Therefore businessmen who have experience in the online gambling market choose the White Label solution only in order to eliminate this risk.
Casino Customer Service
Casino players like to seek help on any occasion - from the rules of the game, and ending with the loss of a large sum! And if the support service cannot give an adequate answer, they immediately rush out to withdraw the deposit and write angry reviews about the casino on gamblers forums.
Therefore, in the gambling industry, this service is the key of importance! In the customer support should work experienced professionals in around-the-clock. They cannot be replaced by robots - players will immediately look for a casino site where they will be listened to by polite and attentive operators.
In the case of White Label solution, the maintenance of the support service is under the control of the supplier company and the casino operator may not even know how often its players send complaints. Working as a White Label casino, you can fully concentrate on attracting new players. All the rest - starting from the technical side and ending with legal formalities, takes over supplier company.
Disadvantages Of White Label Casino
According to the White Label solution, the customer makes its choice only once! Next, the supplier decides which games, payment systems and additional software to use.
At the initial stage, there is nothing wrong with this as large supplier companies employ qualified specialists capable of selecting only the best products and solutions. But in the future, when a customer will gather a sufficient number of players, there may be misunderstandings.
The customer gets a ready-made solution that has a certain set of settings. For example, the platform may lack the ability to integrate a popular social network.
Large operators value their reputation the most, so they can have very conservative views on marketing. It is possible that the supplier will forbid its customer to use some aggressive methods of promoting its website. It's not just about blackhat techniques, but also about many legitimate and acceptable marketing strategies. The supplier may even prohibit, without explanation the use of a word in the brand name or image in the logo.
What Do You Need To Start A Casino
According to the White Label solution, the most important thing is a clear plan on how to attract players! Representatives of supplier companies will not want to waste their time even for negotiations with the customers, who are not serious about the project! The only exception is the presence of the large financial resources intended for investing in the promotion of the new casino.
It is worth remembering that the online gambling market differs not only in high growth rate but also in fierce competition. New casino sites appear every day, but only those who are willing to work tirelessly, give new ideas and come up with original marketing moves survive.
It is also desirable to have a certain start-up capital! Good design, as well as investments in marketing, can seriously speed up the project's output to the required level. Possessing the opportunity to invest significant funds in the promotion of the site can bargain for the supplier company better conditions.
Money may also be needed to pay bonuses to first depositors or run promotions that can get players off from more prominent competitors.
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