Being a bookie is not as easy as many people seem to think. This is because Opening a Successful online Sports Betting Business is not just about hard work. A lot of it depends on luck, having the right gambling platform and a good team to back you up. Therefore, here are some basic steps to increase your chances of having a successful online sportsbook.
Even though the entire industry is about gambling, it does not mean it should be the same for gambling operators. This is because there are certain factors that are still under the control of the sportsbook operator. While it is still difficult, with the right strategy and planning it is well within the means of most individuals.
In addition, a bookie no longer needs millions in capital or expensive technology to succeed. This is because the sportsbook platform and odds can be had from third party providers. Furthermore, there is the sportsbook pay per head option which provides everything you need to open a sports betting business.
5 Steps for Opening a Successful Online Sports Betting Business
Step 1. Get the best Sports Betting Software Provider
The core of your sports betting business is of course the sports betting software. This is because this is the software that will take and process all sports wagers for your sportsbook. Therefore, it is imperative to choose the best one available for your ideal sports gambling business model.
Of course, expensive is not always better and cheap is not always good. Therefore, before choosing a sports betting software, you must first examine your bookie business plan. Afterwards, you can figure out what kind of platform you will need to fit your online sports wagering business.
While sportsbook business models will vary, here are the essential sports betting software features you need to be successful.
- Reliable player management
- Player adjustment capabilities
- fast and reliable odds
- Cross platform compatibility
- Detailed reporting
- Bonus capability
- Banking Options
- security
Step 2. Obtain a Gambling License
While a gambling or sports betting license is not necessary in all gambling markets, it is good business practice. In addition, when a bookmaker has a license, it is worth its weight in gold. This is because it inspires more trust from the players. Therefore, we recommend using the proper channels to obtain one.
Step 3. Creating a Strong and Knowledgeable Team
No man is an island and it holds true for having a successful business. This is because no matter how much knowledge you have in the gambling industry, it is impossible to be a master of it all. For example, you want a strong and knowledgeable IT manager, a good lines manager and a good customer service team. The stronger your team the better. This is because it will allow you more time to plan and execute for the big picture.
Step 4. Offering Bonuses and Promotions you Can Afford
The sports wagering industry is very competitive which is why every sportsbook offers bonuses to incite new clients. Thus, it is an important factor to use free bets, bonuses and promotions to acquire new players. However, the trick is to only offer bonuses your business model can afford to give away. Many bookies have gone out of business because they gave away more then they could afford to give.
Step 5 – Marketing your Online Sports Betting Business
Most bookies usually start their business with a few clients already in their pocket. However, in order to grow and sustain a working business, growth is essential. The trick is to figure out how much you can afford to spend for each new player acquisition. The cost will vary depending on the market but in general, $200-$400 is an acceptable CPA in the sports betting business.
Once you have your budget, it is a matter of having the right sportsbook advertising strategy to get new clients. Furthermore, do not forget to include a retention marketing plan. This is because if you lose old clients while acquiring new ones your gambling company will not grow!
