Gambling Industry in 2022: Proven Ways to Make Money from Online Casinos

2022 is a great year for launching online casinos and developing already existing iGaming products. The market is growing dynamically as new interesting solutions appear, and leading economies of the world actively support operators at the legislative level.

Finding a Profitable iGaming Vertical in 2022

The gambling industry is rapidly developing, attracting investors from all over the world. At the same time, the industry remains structured: some areas are unsurprisingly in the lead, while others are slightly behind global trends.

In-Demand Types of Gambling Entertainment

The most profitable gambling projects include:

• turnkey online casinos;
• online bookmakers.

Slots and sports betting accounted for 24% and 48% of total industry revenue in 2020.

The market leaders in terms of game types have not changed over the years, despite increased competition in the industry. In 2021, just like 10 years ago, it is profitable to invest in online casinos and betting sites. This trend remains relevant in the coming decade.

You can improve the entertainment portfolio of a casino site by integrating:

• lottery draws;
• bingo;
• eSports betting.

Bingo and lotteries are legal types of entertainment even in countries where gambling is prohibited. The increased interest in eSports solutions is associated with the cancellation of sports competitions during the pandemic.

Industry Segmentation by Device Type

At the end of 2020, 50.8% of gambling revenue was provided by smartphone users. The share of the profitability of a turnkey casino solution will continue to grow, gradually replacing desktop solutions.

The industry has even formed a certain trend towards Mobile First when a gaming platform is developed specifically for smartphones and only then adapted for use on desktop PCs.

Users choose mobile iGaming applications due to:

• continuous and comfortable gaming from home, at work, while travelling and in non-standard locations;
• high image quality with 3D and VR elements;
• a modern gaming lobby (you can spin the reels using Touch Screen elements or automatically translate game content into your native language);
• the availability of mobile devices (Samsung, Apple and Xiaomi produce budget equipment of excellent quality).

Distribution of Profit Depending on Sales Markets

The creation of turnkey online casinos in Europe, Southeast Asia and the USA will bring the greatest income in 2022.

These regions are attractive because of:

• stable interest of users in gambling;
• legal status of gambling;
• developed telecommunications infrastructure;
• good welfare of the population.

Local residents earn more and, as a result, spend more on casino sites.

On the European market, the northern countries of the continent — Finland, Sweden, Norway, Denmark — are of particular interest. Users from these jurisdictions have the highest LTV (Lifetime Value) in the world. With customer acquisition costs in the range of $10–15, agents receive $200–300 per session.

Companies that target Southeast Asia often set up iGaming businesses in the Philippines. The local regulator PAGCOR issues permits for all types of gambling — betting, slot machines, lotteries.

From 2021, the creation of an online casino in Ukraine is available. The country has legalised all types of online gambling and has created transparent conditions for licensing.

Entrepreneurs who aim to expand their business internationally can apply for a permit in the following offshore zones:

• Malta;
• Isle of Man;
• Curacao;
• Costa Rica;
• Alderney;
• Kahnawake.

Gambling Project in Numbers: How to Calculate the Profitability of a Business

Having decided on the iGaming vertical, operators begin strategic planning and accounting calculations.

The main financial metrics that you should focus on when starting a casino business:

Net Gaming Revenue (NGR) is a key parameter in the planned calculations of an entrepreneur. The indicators that should be focused on are 30–40% of operating revenue (the difference between gamers' bets and their prize money).

The remaining 60% of the base revenue is distributed between the following operating costs:

• staff salaries, contributions to social insurance funds;
• taxes (on profits, dividends, real estate, withdrawn capital);
• royalties and software rental fees (gambling platforms, games, payment software);
• licence fees and permit renewal fees;
• marketing expenses (direct advertising, cooperation with affiliates).

What Gambling Projects are Worth Investing in 2022

Entrepreneurs who are interested in the development of online casinos, as well as online casino software solutions, should pay attention to the following attractive niches.

Bitcoin Casino

The project is based on Blockchain distributed network technology. This global chain contains information about billions of transactions around the world. Thanks to the use of cryptographic encryption protocols, data cannot be stolen or faked.

Benefits of creating a BTC casino:

1. Good response from gamblers. Users trust projects that are based on the Blockchain, since the option to control the fairness of the results is implemented here. Gamers also note the high speed and anonymity of transfers.
2. Independent work. The operator does not need to pay commissions to the bank or licence fees to the gambling regulator. The use of Blockchain implies a decentralised activity of the company without the intervention of financial institutions and tax authorities.
3. Legitimate legal status. Bitcoin transactions are legal in Estonia, Germany, France, the USA, Russia and other developed countries. You can apply for a permit in the prestigious offshore zone of Curacao.

Live Casino

A simple and profitable solution in 2022 is to buy an online casino with live content. Live dealer games remain a favourite entertainment format for many gamers who have moved from land-based casinos to gambling sites. A turnkey casino website for sale can be found by an intensive search.

Key advantages of a live casino:

• low competition in the industry with huge potential for business growth;
• a wide range of live content producers (good solutions are presented in the catalogues of Ezugi, Evolution Gaming, XproGaming, Global Gaming Labs);
• high interest of gamblers;
• a huge range of additional options (you can integrate bets on the outcomes of live rounds, connect an internal chat).

VR Casino

The gambling project uses virtual reality technology. With the help of computer simulation, developers create a 4D environment for complete immersion in the gameplay. The final picture resembles an image in an IMAX cinema.

Benefits of creating a VR casino:

• Unexplored business direction. There are still few companies on the market that provide a high-quality VR environment, which means that your product will definitely not go unnoticed.
• Excellent response from users. VR games are interesting due to an exciting storyline and highly realistic graphics.
• Availability of VR gadgets. For a full-fledged game, special equipment is needed. Inexpensive glasses and helmets are available from Samsung, HTC, OCULUS, Sony and other IT giants.

Competent Promotion of an Online Casino Business

Effective traffic arbitrage methods that will be popular in 2022:

1. SEO optimisation. The goal of the operator is to improve the position of the gambling site in search engines and reach the top of popular queries. To achieve the desired results, operators refine the structure of the site, fill the resource with reference material, and publish advertising articles in specialised online publications.
2. SMM marketing. Most often, business owners use such social platforms as Facebook, Instagram, Telegram. It is the main channel of communication for customers that can pay big money.
3. Partnership programs. An entrepreneur pays only for a measurable result, not throwing away money for nothing. Popular payment schemes are CPA (reward for the number of attracted players) and RevShare (percentage of net profit).

The Main Things About Launching iGaming Projects with High Profitability

2WinPower offers you to buy a turnkey casino business. We supply a gaming platform along with entertainment content. We also provide essential turnkey casino software, such as payment and security solutions.

At 2WinPower you can order such attractive products as

• Bitcoin casino;
• VR casino;
• live casino.

• To create a profitable casino, entrepreneurs should decide on a business development vertical. Slot machines and live games are the most popular among gamblers, and mobile platforms dominate desktop sites.
• To increase the profitability of a business, you need to increase the average check of a gambler and extend their stay on the site. A sensible cost optimisation strategy will also improve the profitability of the project.
• Popular iGaming solutions recommended by 2WinPower: live casinos, Blockchain projects, VR casinos.