Business people who have recently opened an online casino are usually concerned about the approximate timescales of return on made investments. Slotegrator, as a company closely involved in the development of online projects for various gambling platforms, is going to share some of the most effective ways to boost the ROI levels and make online casinos profitable faster.
Profitability of online casinos
First, every operator needs to understand how to calculate the profit of online casinos. There are two KPIs needed to be taken into account:
- GGR (amount of money gained by the casino as a result of players' activity).
GGR = total amount of bets - total amount of wins.
- NGR (casino profits).
NGR = total amount of bets - total amount of wins - bonuses to players - taxes.
Online casino: tips to get your ROI fast
Online gambling platforms usually earn their profits from gamblers’ losses, and the huge traffic volume is what provides operators with constant incomes.
In order to boost the traffic of a newly-launched internet casino, you can use some of the popular marketing tricks: sending emails, placing ads in social networks, joining affiliate programs.
To make the promotion of the gambling platform successful and effective, it is crucial to conduct marketing research and strategic planning of campaigns. The correct choice of marketing tools predetermines a successful business payout in about half a year timespan.
Online poker rooms: return of the invested capital
Internet poker rooms get their profits through other means:
- By charging rakes from every bankroll (the charged commission usually accounts for 3–5%, according to policies set by the gambling house);
- By charging a fee for a monthly subscription. In this case, users get additional tokens as a reward for their loyalty;
- By charging a registration fee for tournaments with a certain amount of tables and participants.
The data on poker rooms trends, obtained by marketing experts, demonstrates that an average gambler plays approximately 40-70 rounds per hour. An average rake accounts for $1-3 per every bankroll, depending on the conditions and amount of players at the table.
The income of poker rooms depends on the website traffic provided by active gamblers as well. Sustainable implementation of marketing tools will definitely boost the flow-in of gamblers. A hundred gamblers bringing $50 per month each will provide a gambling house with $5 thousand income during the first months of functioning. In about 3 months, poker rooms will bring up to $13 thousand per month, if 75% of all the new gamblers stay on the website.
In order to speed up the ROI of your online gambling business, it is important to focus on high-quality marketing campaigns that will attract new players and retain existing users.