Anyone who is acquainted with online gambling would know that the term white label is quite prevalent in the industry. The white label means a company that has been developed right from the ground level with the available tools on the web as the basics for the infrastructure.
Anyone can start a recognised iGaming brand, for which one has to seek help from various web developers as well as a license from the desired authority. There is another way of doing the same engaging a business that will entirely help in developing the casino. This business will charge a percentage of the entire annual revenue of the casino business and it’s quite commonly seen these days.
The focus can be more on adapting to innovative ideas to get more crowds drawn towards themselves and earn more profit as a result. White label is one of the most cost-effective and advantageous options when creating a new online casino. An innovator will require software engineers, game developers, and a team of other specialists to handle the business. Whereas in this case with a percentage of share, one can get hold of such a team that would stimulate the entire process without the entrepreneur being much involved in it.
Establishments like FreshBet casino site usually require a hefty number of software developers such as NetEnt, Microgaming, Playtech, Azumi, Arrow, Play n’ Go, etc, like hundreds of them to maintain the quality of the user interface. Even creating free bonuses for players demands the expertise of highly skilled software engineers. The same white-label method will give entrepreneurs the best supply of a customer support team, correct jurisdiction, appropriate payment gateways, and so on. The time-saving aspects of this method make it stand out from the crowd. Necessities to build an online platform include:
- A domain name for which a High-speed and secured network system (CDN) is required.
- Website/ APP development team for creating an app and a website that is both compatible with iOS and Android devices.
- Strong cyber security to make sure the platform is free of any threat from DDoS attacks using SSL encryption technology, an anti-fraud system, and data recovery tools.
- Powerful backend system for fund management and fast payment processing, player and agent management, data analysis team, etc.
- The best technical support team possible.
Budget and Licensing
The price for the white label solution varies from brand to brand as well as the features included in the services provided. The smoothness of operation determines how much the white label is going to charge the owner. So it is completely dependent upon the quality of the product delivered. To cater to the growing casino market, the operators will incorporate features that are going to be appealing to the masses, for which they charge a predetermined amount. The cost will vary according to the incorporation of services. A casino with only iGaming options will be cheaper than another with added options like sportsbooks and live gaming.
All these services come with a processing fee and a management fee which depends on how actively the white label is working in favour of the casino venture. As we discussed before, these fees are usually a share of the entire revenue collected over time.
The licensing charges are additional. The licensing fees depend upon how popular the jurisdiction is and on this depends the portion of the crowd the casino is going to pull. For example, the UK licence will cost you a lot of money whereas the non-UK licensing like on the sites at CasinoGap.org will cost much less money. The white-label operators can often get a sublicense for themselves to make the obtaining of a license smoother for the casino operators.
The Advantages of White Label in the Online Casino Industry
- The entire business model has been acknowledged from the first so there is no need for entrepreneurs to spend time worrying about risks since there is no experimentation involved. It lessens their concerns making life easier.
- The solution caters to the needs of both the masses (by studying their preference pattern) and the operator.
- The process is so swift that an entire casino website can be built within an average of 6 weeks.
- The white-label method involves all the best software providers and hence there is no doubt about the smooth functioning of the website. There is hardly any headache about the risk of crashing even if working with separate game providers.
- White-label companies make sure that technical aspects are well handled by the best operations team so that the focus remains on just the promotion of the business.
The Disadvantages of White-Label Companies
- The venture becomes a shared liability with both sides, the operator and the white-label company have to comply with all the UK gambling regulations to perform lawfully and escape any penalties.
- While the operators concentrate more on the marketing part of the business, the operations are handled by the white label company which makes them dependent on each other taking away the self-sufficiency factor from the table.
Conclusion
An operator willing to start the business quickly can immensely benefit from the white-label company while stepping into the world of online gambling. Although the initial price range can be higher than expected, in the long run, the team of experienced individuals makes sure the losses are cut short to their minimum.
