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Online Casino Profit: Increase in Lucrativeness with Rosloto

Although the virtual industry is more than 20 years old, this segment continues to hold a leading position in the global gambling market. It demonstrates an annual growth of more than 7%. Online casinos’ profits exceeded $43 billion by the end of 2021.

Given the growing popularity and profitability of casinos, many entrepreneurs and investors are wondering how to launch their start-ups. The whole procedure can be conditionally divided into two stages: internal infrastructure and the attraction of the audience. The technical part can be implemented in a matter of days by ordering a turnkey website. However, the marketing program requires more attention.

Online casino profit: increase in lucrativeness

The Rosloto team has collected comprehensive information about the peculiarities of calculating the profitability of a gambling start-up. Find out how to increase a casino’s profits.

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Gaming Project Profitability: Calculation of a Casino’s Prospects

The following parameters will help you assess the profitability of your business and adjust the direction of the gambling start-up’s development:

Casino Lucrativeness in Figures

The list of monetary indicators includes:

  1. Gross income. The indicator reflects the total revenue before the deduction of technical and other costs.
  2. Net earnings. The rate is calculated following this scheme: a casino's gross profit minus commissions and various internal expenses of an enterprise (payment for affiliate network services, software operation fees, licence maintenance costs, etc.).
  3. Casino profits with regard to deposits. This metric is necessary to reflect the lucrativeness of an establishment in terms of the total number of accepted bets. The higher the indicator, the greater a casino’s profitability.

An additional financial indicator is the size of a bet to a deposit. The value allows an operator to estimate the total turnover of a project. If an increase in the indicator is recorded, an establishment pays an excessive sum of bonuses.

Human Indicators

This group of indicators is divided into three main areas:

  1. Conversion. The indicator is used to evaluate the effectiveness of a marketing strategy. The rate is used to track traffic, analyse the behaviour of a new audience, the current distribution of bonuses, and evaluate the payback of advertising materials.
  2. Lifetime value. The parameter determines the amount of funds that a gambling business receives from one client throughout the entire time of his or her activity on the site.
  3. Churn rate. The main purpose of the indicator is to highlight the proportion of a loyal audience to the number of users who have left a resource. The lower the number, the greater a casino’s profit.

Hybrid Values

These are mixed indicators. They allow businessmen to evaluate and increase a casino’s profits in the future. The list of parameters includes:

  1. The cost of attracting a player. The ideal option is when the sum of lost bets from the attracted audience completely covers the cost of advertising.
  2. The average income per user. To calculate the indicator, this formula is used: total profit divided by the number of active clients for a certain period.

How to Earn More in a Casino: Increase in Business Rentability

Casino earnings: increase in business rentability

The Rosloto team offers practical and efficient ways to increase casino profits.

Tips on how to Increase the Profitability of Online Casinos

Work format

Short description

Accessibility

A project must provide clients with prompt technical services and user support 24/7.

The second most important thing is the mobile format of games. Today, more than 80% of gamblers prefer real money slot machines that support Android and iOS platforms. These can be adapted versions of traditional sites or special apps

Confidentiality

A visitor to a gambling portal must be sure of data protection and the opportunity to remain incognito. To do this, special technologies are used. They encrypt and transfer information to remote servers

Payment services

In addition to the opportunity to win, convenient ways to withdraw prizes are of great importance to users.

If you want to increase your casino’s profit, offer the audience four or more formats of monetary transactions. These are banking operations, electronic wallets, and international virtual services. It should be noted that Bitcoin transactions are gaining popularity today

Loyalty programs

You can increase your casino’s profitability using such solutions:

  • welcome rewards (pay-outs for clicks on advertising links, registration, first deposit, motivation to play with free spins and extra time);
  • seasonal and short-term promotions (tournaments, personal mail-outs, and cash rewards dedicated to a specific event or date);
  • personal services (user status, access to an extended range of wagers, increased limits, etc.);
  • cashback (partial refund of lost bets)

Another important aspect that allows increasing the profitability of casino slots is legal work and open access to relevant documentation (gambling licence number, software certificates, results of various ratings, regular reviews, etc.).

Casino Income Tax: Important Nuances for Legal Operators

Casino income tax: important nuances

When opening start-ups, many investors wonder: Do casinos pay income tax? The answer is unequivocal — yes. Online gambling is a type of entrepreneurial activity. Therefore, it is subject to legalisation and taxation. However, there are lots of nuances. For example, there is no single system of commission deductions.

Different countries establish their pay-out rates:

  • The Republic of Belarus — from 1,500 to 7,140 Belarusian rubles per piece of equipment (depending on an establishment’s format).
  • Russian Federation — the total amount of payments is from 2.5 to 3 million rubles.
  • The UK — casino income tax is 15% of gross income (a fixed rate for all online market participants).
  • The United States — 30–50% of revenue, depending on state regulations.
  • South Africa — the standard corporate tax is 29% of an enterprise’s total turnover.
  • Australia — 15% tax levy (for local businesses only because overseas gambling sites are prohibited).
  • Mexico and Argentina — the amount of the fee to the state treasury is 30% of a casino’s profit.

The Main Things about the Lucrativeness of Casinos

The gambling industry is constantly transforming and modernising. Lots of new trends appear (from mobile gaming and live broadcasts in VR format to Bitcoin payments). However, there is no single correct answer to the question: How to earn more in a casino?

  • The marketing strategy should be developed individually, considering the characteristics of a start-up.
  • The provision of high safety and privacy levels is one of the main criteria influencing the increase in the profitability of online businesses.
  • The convenience and security of payment instruments, as well as the availability of additional financial rewards, greatly affect the income of entertainment companies.

Leave a request to Rosloto employees to get the best set of solutions for your project. Our team is always aware of high-quality advertising’s cost. We know how to allocate the budget rationally, increase the profitability of slot projects, and enter the international gambling arena in the shortest possible time.

Your business is doomed to success With Rosloto!

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Clara Hazel
Author: Clara Hazel
iGaming business expert
Updated 30.04.2020
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