Launch, Promotion, and Monetization of Betting Business

Launch, Promotion, and Monetization of Betting Business

According to analysts of Research and Markets, the turnover of the online betting market reached $22.1 billion in 2018. Betting business is getting more and more profitable year by year, and competition is getting tougher in this field. What promotion techniques are the most efficient for betting companies today?

Is setting up a betting company difficult?

Is setting up a betting company difficult

To open a betting company, one needs to start with a nuanced business plan, then to prepare and thoroughly check the package of documents required by the law, register the new business, and gather a team of trusted specialists that are well-versed in betting. A similar scheme works for opening online sports betting resources.

It’s rather challenging and requires financial investments, but it’s quite real and promising: all efforts usually pay back in the first year of work. According to data of The Insider, the total turnover of the semi-legal Ukrainian betting market equals to around $100 million per month. The business is highly profitable and brings revenue straight after the start of the operation. And unlike online casinos, which many countries ban, sports betting is usually legal.

To set up a profitable betting company, one has to deep dive in the topic. As it’s hardly possible to do everything on your own, it’s a nice idea to turn to specialists with the issues of marketing strategy development and efficient advertising.

Stages of setting up a betting company

Setting up a betting company consists of several stages that can insignificantly differ depending on the region of business registration. Requirements:

  1. to collect a package of documents required by the law and to acquire a betting license. In different countries, requirements to documents and license price may differ;

  2. to buy betting software. It’s one of the keynote stages in the organization of the betting company operations, as the quality of software influences all business processes;

  3. to gather a team of experienced analysts that have profound knowledge of the sports betting field. Their work will impact the productivity of odds and bets;

  4. to develop and launch a web resource. It will allow attracting customers with the highest efficiency; the website has to be user-friendly and functional;

  5. to form a financial fund to pay out winnings to players.

One can register a betting business independently or by addressing specialized companies that develop turnkey betting solutions. Besides, it’s possible to purchase a franchise from a functional betting company. This step will eliminate the necessity of license acquisition and hiring a team of analysts.

Online betting company

Online betting company

Launching an online betting company is a simplified and profitable way to start your sports betting business. Many players prefer online companies, as you do not have to go anywhere; instead, you can place bets from home without standing in queues at a land-based betting shop.

  • An online betting company has enough of other advantages to consider such a business option. One can save funds on many budget items.

  • Twenty-four-hour service without extra expenses on space lease and extra payments to personnel.

  • The development and maintenance of a betting website cost less than the establishment of a land-based business.

  • Saving funds on the lease, salaries to security guards, maintenance of betting hardware.

  • Customers are not restricted to local citizens, and the audience reach is bigger.

  • Besides, it’s possible to open an online betting company using the license of an offshore country in case betting is not regulated in your region.

How to establish an online betting company

The basic step of opening an online betting company is website development, which includes several important stages. They are choice of domain and paying for the hosting service, design and layout development, choice of content, adding payment systems, and organization of technical support.

It’s important for the website to have a functional mobile version, as the popularity of mobile sports betting keeps growing globally due to the advances in technology and broadband internet networks. Besides, special attention should be paid to the selection of reliable and quality software from trusted suppliers. Many popular online slots providers develop betting software as well. Some of them are:

  • Novomatic;

  • Slotegrator;

  • Playtech;

  • Golden Race;

  • Golden-Keno;

  • MOHIO Gaming Competence.

For further work with customers, it’s vital to add a customer relationship management system at the start, which is usually supplied together with software. The system monitors customer activity, bets, runs analytics, and does many other things. A great benefit for an online betting company is the integration of reliable payment methods with wide paying capabilities.

Advertising of a betting company

Advertising of a betting company

One can increase revenue and speed up the return on investment of a betting company using a well-elaborated advertising strategy. It should be planned with due regard for market trends and relevant customer demands. The optimal solution is to turn to professionals that can help to develop a functional promotion strategy and to realize it within the shortest time period. Both outdoor advertising and online promotion techniques are efficient.

Outdoor advertising. One of the most efficient ways to attract new users. Its significant disadvantage is that the law may restrict the number of ad placement platforms.

Teaser video ads. Short promo videos of betting shops and companies are handy to place on YouTube and other video hosting services. You can maintain such ads through display networks.

Betting business monetization on the web

Betting business monetization on the web

Promotion of the betting business on the Internet allows reaching a wide audience segmented by interests. Several basic tools are used for online promotion.

SEO adapts web pages to the most popular search queries of users that subsequently bring potential customers to the company’s resource.

Display networks help to advertise betting companies and shops to the clearly defined target audience. The most well-known display networks are Google AdWords and Yandex.Direct. However, promotion may be problematic there due to a number of bans related to sports betting.

SMM. Social media (Facebook, VK, Instagram) are popular platforms for advertising and search for new customers. To draw more attention to the page of a betting company, one needs to comply with the rules of a certain social network and make sure to provide high-quality content.

Email marketing. Newsletters pay back to the full if you work with the formed customer base. The tool helps to advertise upcoming matches, inform customers about the benefits of the loyalty program, and monitor player activity (click rate, number of bets).

Affiliate marketing and its advantages

One of the most efficient ways to promote a betting company online is affiliate marketing. The distinctive feature of this tool is that ad materials are placed on themed platforms and bring high-quality traffic to the bookmaker’s website, i.e. the most active players. The company pays affiliates only for productive ads and actions: clicks, registrations, placed bets. This tool is the most effective alternative to Google AdWords and Yandex.Direct, where direct advertising of sports betting is restricted.

Advantages of work with affiliates:

  • ads placed on hyped resources with the target audience;

  • the possibility to monitor the quality of traffic;

  • affiliates are interested in results;

  • pay for performance.

Conclusions

According to data of Research and Markets, the average turnover of the online gambling industry is $143 billion today and this sum will keep growing. An online betting company is a high-profitable business with high return on investment but the competition is tough in the sector. Those who want to be highly successful in this market need to pay attention to the marketing strategy, trends of sports betting advertising, and defer to the opinion of industry experts.

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