No one is immune to mistakes. Even though people learn from them, making mistakes is still unpleasant. Especially when it comes to professional endeavors. That’s why we’ve prepared this article for our interested readers, discussing the most common mistakes that occur when launching a new online gambling establishment and how to avoid them.

We’re not talking here about grammar issues in texts or a couple of skewed images on the website interface — those are easy to fix and don’t fall under the category of critical errors that can ruin a gaming parlor business, even if left unrepaired for a long time. We’re talking about fundamental mistakes that are the basis of a casino’s operation: lack of market research before the launch, poor choice of software provider, inadequate legal compliance, and others.

It’s evident that such things are strategic oversights capable of undermining a business very quickly, if not instantly.

Discover the Top 5 Online Casino Launch Mistakes – Avoid Them Now!

Lack of Market Research

Let’s start with the first of the crucial most common mistakes of online casino launch: lack of market research before the launch. Market research is precisely what helps understand which businesses are in demand in a specific area. It answers questions like:

  • Who are your potential punters, what are their gaming preferences, and how do these preferences vary in each of the customer segments?
  • How much are customers willing to spend on gambling, and approximately how many customers, on average, does an online gambling establishment have in this particular geo (this determines your budgets for launch, marketing, affiliate programs, and other money-related matters)?
  • Which bonuses and in what sizes are popular?
  • What types of games are dominant in this market and how are they distributed among their groups?
  • How competitive is this geo, is it worth entering, and what gambling license needs to be obtained? And other questions.

Launching something randomly or copy-pasting an existing gambling venue to a new geo without changing its business model, strategy, and customer approach can lead not just to the unpopularity among local players, but can even make them hate it. And you, as the business owner, will lose the budget for launching a gaming club in that geo. If you’re a newbie (so, the venue you’re opening is your first ever) and you’ve spent all your money on its launch, such a miscalculation can be a severe blow from which you may not recover, ending up bankrupt.

How to avoid: conduct thorough market research to identify all the above-said.

In this article, we’re considering the problems launching an online casino

Poor Choice of Software Provider

Choosing an unsuitable software provider (either for the gaming platform itself or for the games) can lead to such negative consequences:

  1. Inadequate performance and lack of necessary functionalities for the business. For example, if a launched website lacks a user registration function, it becomes a fatal obstacle to the operation of the business. If there’s no option to make deposits, for example, through Visa/MasterCard, while 90% of the population in this geo is accustomed to paying for everything this way, then you’ll only tap into 10% of the local potential (at best).
  2. Security risks. This means you could be hacked, have your money accounts drained, have customer data stolen, have the website broken, have servers halted, or have funds redirected to other recipients during financial transactions without payment channel protection.
  3. Lack of proper game providers or inability to connect new ones. If there’s no choice of popular games and providers, people will leave after seeing the poor selection, without even starting to play. If the providers are dubious and little-known, people will also hesitate.
  4. Poor website appearance. Even if its functionality is satisfactory overall, the presence of unattractive and inconsistent design elements, with differing layouts across various pages, and a lack of optimization for popular browsers and mobile platforms, raises significant concerns for users. Moreover, people don’t like spending time on unattractive websites (except for certain individuals who aren’t our target audience).
  5. If the software provider has a bad reputation, it’s worth asking why. There could be many reasons, and the first one could be bad or weak software.
  6. Lack of support and updates from the software provider.

There can be quite a few such oversights with a bad software provider.

How to avoid that: evaluate software providers based on their reputation, features, and support. You need to put effort into choosing the right provider because properly functioning software can foster business development. Become acquainted with our long-read blog post on how to choose software providers correctly. In short, you should have a team of people professionally familiar with the business processes of the casino’s daily operation, each in their own part, who will be responsible for choosing a provider, assessing functionality and coverage of business needs, and the possibility of software customization or enhancements.

There are common mistakes launching an online casino but it is quite possible to avoid them

Inadequate Legal Compliance

If a gambling establishment doesn’t operate according to the legal norms of specific geo where its players are from, it sooner or later leads to:

  • Fines
  • License revocation
  • Inability to conduct normal operational activities, including opening bank accounts, paying suppliers, taxes, and salaries
  • Partners refusing to cooperate with the gambling establishment (game and other software providers, payment gateways, marketing partners, collaborators, and others)
  • Loss or inability to attract investors
  • Closure and loss of business
  • Possible administrative and even criminal liability for key personnel of the gambling establishment, especially those who are legally responsible for the entity’s activities.

When legal issues of a gaming parlor become known to the general public (especially to players), the customer base rapidly decreases.

How to avoid: obtain the necessary licenses and comply with all legal requirements. Every online betting club should have at least one lawyer on the team (full-time or freelance/outsourced), who knows the legal requirements for the gambling business in specific geo and possesses practical skills on how these requirements translate into the work of a gaming venue. He must also know how to obtain a gambling license (by the way, specialized contracting organizations can also handle licensing, and there are many in the market). The lawyer should monitor legislative changes to promptly address necessary amendments with the rest of the team supporting the operational activities of the gambling establishment. Ideally, the lawyer should have practical skills in interacting with local regulatory authorities and be able to help solve emerging issues on-site (including dealing with bribes, which gambling establishments inevitably encounter in almost any jurisdiction). Specifically regarding the latter, this could be another person “handling issues”, not necessarily a lawyer.

Weak Marketing Strategy

Marketing is an important component of developing a gambling establishment. A proper strategy includes vision and plans for popularizing the gaming parlor across various channels, both online and offline. This encompasses classic marketing, online promotion through SMM, SEO, PPC, banner advertising, affiliate marketing, influencer marketing, as well as offline advertising in newspapers, magazines, radio, TV, banners on different mediums, city lights, etc. A weak strategy arises when it fails to consider:

  • Opportunities available in specific geo
  • Legal restrictions on channels and promotion methods, along with associated requirements and prohibitions
  • Most popular or economically expedient promotion channels in specific geo (for instance, if in Country A online gambling establishments are promoted mainly through influencer marketing, and you only choose PPC and SEO, that would clearly be a mistake. Or if Country B heavily utilizes the “ads follow the person” approach through real-time bidding (RTB) using ad exchanges and ad networks, but you opt for print advertising instead in some hard-copy glossy magazine for rich dudes riding Bentleys)
  • Efforts to create and expand brand awareness
  • Player acquisition and retention strategies through specific and measured actions (like fine-tailoring VIP and bonus programs).

To guarantee ruining the marketing promotion program of a gaming parlor and earning a detrimental negative reputation for a business, make sure to do these to gain problems launching an online casino and during its daily running:

  1. Bombard potential punters with spam, not allowing them to unsubscribe.
  2. Make promises you won’t (and don’t wish to) keep.
  3. Make all texts of your gambling establishment as vague, convoluted, and unclear as possible (in this case, we’re talking about terms of bonuses, winnings, and rules).
  4. Target the wrong and prohibited groups.
  5. Choose the least effective promotion channels in the geo.
  6. Ignore the regulatory requirements of the geo.
  7. Create low-quality content.
  8. Neglect social responsibility.
  9. Ignore your public profile.
  10. Disregard feedback from players and other stakeholders.

How to avoid these errors in the launch of an online casino? Develop a comprehensive marketing plan targeting the right audience. Do the opposite of the 10-point list above.

Lack of Customer Support

Customer support service not only assists punters with questions about functionality but also resolves emerging issues and even calms them down — for instance, when someone worries that their withdrawal request is taking too long to finish. This service also collects user suggestions and information about bugs and glitches in the interface and games.

Not every punter necessarily contacts customer support — it could be that they have no questions, everything is clear from the FAQ, and they haven’t encountered any glitches. However, this doesn’t mean that such a service shouldn’t be created. Because if it’s absent, it implicitly tells punters that this particular gambling establishment doesn’t care about them, doesn’t want to hear about their concerns or feedback, and doesn’t want to solve problems. Such a feeling of abandonment will lead to a morale decline among punters, and the customer base won’t grow.

How to avoid: implement a reliable customer support system to address punters’ concerns. Even if it’s not busy all the time — in which case, this function can be effectively outsourced, paying only for the time when there’s actual work. But its mere presence reflects the professionalism of the company owning the gambling establishment.

Find out about the possible problems launching an online casino and ways of avoiding them

Conclusion

So, we’ve discussed the five most common mistakes when launching a gaming club and how to avoid them. The reader learned from the article what not to do — and this knowledge is undoubtedly useful. It’s important to plan your business seriously — and launching an online casino is also a business — to avoid losing your investments. Yes, launching something new is almost always a challenging and complex task but life is not easy in principle, as well as many good things in it. In the case of an online gaming club, it’s a task with many aspects that require a dedicated and highly self-motivated team of people. Therefore, making strategic mistakes launching an online casino is not just unprofessional, but even obscene.

Learn How to Avoid Common Mistakes When Launching Your Online Casino!

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