We won’t lie – it’s not easy
Let’s take a step back and try to wrap our heads around some exciting figures. In 2020, the estimated 2.7 billion gamblers on the planet will spend around $159.3 billion in the gaming industry. At this point, it’s harder to find someone that has NOT spun the slot reel on a casino game app, stamped a virtual bingo card or put a couple of quid down on the bookies’ favourite. It’s an extremely large chunk of the world’s entertainment revenue, and it’s no wonder that so many budding entrepreneurs want a slice of the pie.
A quick scroll through our website will show you a lot of snappy logos representing those very companies that bring joy to so many. But have you ever thought about the work that goes into getting that little logo up there? Today, we’re going to lift the lid on how to set up your very own gaming business from scratch. Do you have what it takes to get your logo up there too?
(The following steps are intended as a rough and lighthearted overview of the steps needed to set up a gaming business by yourself)
1. Decide on a business plan
The first stage is easy - brand your company. All you have to do is pick a name that doesn’t infringe on anyone else’s intellectual property, find a niche in this extremely competitive market and ensure that you have researched every inch of the field, the trends, and the projections. Become a certified gaming expert. The largest three markets are in China, the US and Japan so get searching for flights if you’re really serious. Gather a lot of money (a LOT of money) and begin to strategise your launch. Set up a business bank account. This can all take some time, so you may want to let your friends and family know that you’re going to be a little busy for the next month or 12.
2. Choose your products
What will be the focus of your company? Sports? Casino? Or if you’re feeling brave, Sports AND casino? In reality, there are thousands of product types to choose from and each one has very different surrounding legislation. This year, global gaming trends shifted unpredictably yet again due to the COVID-19 pandemic and the subsequent upending of life as we know it. A crystal ball would be useful at this point, if you have one to hand. If not, consulting an established and quality software provider in your chosen field is also an option.
3. Obtain a gambling license
You gathered a lot of money in Step 1, right? Time to gather some more. On the sunny island gaming hub of Malta, for example, a license from the Malta Gaming Authority will set you back €50,000 - €100,000 along with a detailed business plan and a full systems test. This step can take up to another year depending on the country that you want to set up in, so get comfortable. Stocking up on Ibuprofen, Aspirin or Panadol is also recommended. If you start to get nostalgic about this process after it ends, don’t worry – you get to go through it all again just 5 years later.
4. Choose a payment processing system
Now it’s just the simple matter of choosing a provider that you can trust to handle multiple payment options – consider things like multi-currency support, multi-platform accessibility, and fraud detection. Remember that a lot of people will be counting on you to look after their hard-earned money. It can seem daunting, but relax - it's completely manageable. There’s only your reputation and legal freedom on the line here.
5. Retain customers
So you have your products and your license and it’s all systems go. Congratulations! You have your very own gaming business up and running, and you’re probably still hungover from the launch party. Now all you have to do is sit back and watch the revenue roll in. Just don't forget to constantly monitor the performance of your products, keep up to date with best business practices, market trends, new laws, implement a strong on-going promotion and marketing strategy and make sure that you have enough staff to cover every base. Happy gaming!
There is another way….
If you are genuinely intrigued by the process of setting up a gaming company, we would recommend getting in touch with an established industry consultant. Altenar are a highly respected name in gaming; not only do they provide completed high-quality Sportsbook and Casino products that already feature excellent promotional tools, they also offer integrated payment systems and help with licensing options. Altenar offers a fully flexible range of solutions and are always on hand to help your business grow, with years of successful experience spanning continents. Their website offers the option to request a free no-risk product demo.
Get in touch with Altenar today and see how they can help you get a slice of that $159.3 billion pie.
SiGMA is delighted to announce Altenar as Gold Sponsors at the #SiGMAamericas Digital Summit.
Following the successful launch of SiGMA Europe (Malta) and SiGMA Asia (Manila), we’re now launching the inaugural SiGMA AMERICAS, covering all three major timezones. The inaugural edition is set for September 22-24, 2020 with a virtual summit focusing on two themes: SiGMA AMERICAS for the Gaming industry and AIBC AMERICAS for the Emerging Tech industry. We wanted to provide fresh content, to help you navigate through these turbulent times. If you’re exploring Americas as a new frontier or wondering which tech solutions to embrace, we've got you covered: tune in on September 22-24, 2020.