How to Open a White Label Casino

14 february 2017

1. Online Casino in a White Label Format

  1.1.Expenditures for White Label

  1.2. Advantages of a White Label casino software

  1.3. Disadvantages of a White Label casino

  1.4. Features of a White Label process

White label casino is a free platform provided by a large company to smaller operators, which are able to act under their own name while managing products of the "parent" company (the manufacturer).

A new company that received a right to sell a manufacturer’s products is gaining the upper hand too, because it can make a good reputation on the market by using already promoted and high quality services.

White label casino as a profitable business

White Label scheme takes place in different business sectors – banking, commercial and others. This innovation exists in a gambling market too. In a certain moment, when the industry has stopped in its development due to the lack of young and ambitious businessmen, major companies began to offer startups to open new casino under their brand. Among the well-known companies, which have implemented a white label casino software we can name CasinoShare. It gave an opportunity to young businessmen to open new casinos equipped with slots of the Microgaming company.

Online Casino in a White Label Format

The parent company offers its package of services to a new casino, which includes: a gaming license, hosting, gambling software, gaming products (gambling, betting lines), payment systems, marketing products, technical and legal support. 

The subsidiary is able to operate under its own domain name and its own brand, to launch a website with a package of bonus programs and promotions using a unique design and graphics. 

Thus, a new operator appears on the market. He is trying to attract customers to its website serves them through a “parent” casino.

Expenditures for White Label

The cost of such service can vary from one to ten thousand dollars, and also manufacturers can offer White Label for free (e.g. with a lower level of technical support), but making some payment is a kind of a warranty of a commitment of a subsidiary to gambling activity. However, the price can be changed if such subsidiary will need additional services.

The White Label scheme usually brings a subsidiary company from 40 to 60 per cent of the revenue, but still it depends on the amount and quality of services. In such a case commissions for payments, bonuses and prizes, which players have won, are paid by the operator-seller. This is followed by the appearance of a clear profit received from gambling activities.

Advantages of a White Label casino software

First of all it is a possibility of a quick launch of your new online casino – it will take only several days without spending time on obtaining gaming license of creating a working scheme. You will only need to sign an agreement with a “parent” company and to connect to a provided platform. Of course, to make it possible you need to have an already fully-made website. Moreover, the manufacturer himself will customize a content management.

Online casino business

Second advantage is small investments. Their amount can’t be compared to which is necessary to start your business independently – about a tenth of them.
The third plus is the usage of software of the highest quality. Besides, games and betting products, which were made by professionals, are not so easy to buy, especially when you do not have a blown product.

The fourth advantage is that the risk of large winnings reduces to zero. White Label makes operators not to be obliged to payout jackpots, because it is one of the terms of a contract – big wins are paid by a "parent" company. The operator is responsible only for the bonuses and prizes, and this amount is usually set by himself at the stage of signing a contract. According to research made by experts, it is big winnings which become a cause of the failure of a new gambling project.

Another important factor is a presence of a professional technical support. Operators know how necessary it is, because the support of players brings a good or bad reputation to a website. Within the format of White Label all problems connected with technical support are solved by a “parent” company.

Disadvantages of a White Label casino

When the subsidiary company starts to act under a White Label scheme it falls into a position of dependence from the “parent” company, which has a right to select games, payment systems and other products for running business. It is good only at the beginning of cooperation, because major companies have qualified, knowledgeable and able to work in the field of gambling professionals working for them, however, when the operator itself will gain experience and its own good specialists, there may appear disputes between two parties.

Also the subsidiary company gets a full package of products, and it can’t change settings, options and features. Limitation in the sphere of promotion can become another disadvantage, because the “parent” company follows its own online casino marketing strategy that can run counter to the line of its subsidiary.

The same can be said about issues connected with the brand, different advertising strategies and even in some cases the technical support, because users will address to the casino where he is playing, and as we remember only a “parent” company can solve its problem.

Features of a White Label process

To make a successful startup you need to make your own plan, then to show it to a “parent” company, which always has many things to do even without a newcomer. Besides, this is how it can see a serious approach.

Another essential factor is the availability of money that operator is going to need to promote his website (and also the product of a manufacturer). You must not forget that the gambling market is very competitive, and only that project will be able to survive, which is constantly refilled with new ideas and efforts of its authors.

It is very important also to have your own well-created and already made website and some investments in a marketing offer.

An example of the implementation of the White Label scheme is an activity of a company CASEXE, which offers clients a complete structure of launching an online casino. Its "turnkey" solution makes operators free from all duties despite the development of a website and the customization of a gambling platform.

CASEXE: gambling platform for launching an online casino

Professionals of this company offer new operators a quick launch of an online casino without any problems allowing its clients to pay attention to the promotion of their new casino and saving their money and time.

White label casino software is similar to affiliate programs, but its financial result is different: instead of a percentage from the first deposit a startupper receives revenues for all the time that players have spent on the website.

Written by

Karen Fill

Gambling business expert at Online Casino Market

14 february 2017