Many entrepreneurs have taken notice of increasing demand in sportsbook software as the global sports betting industry recorded explosive growth in the last couple of years. Online sports betting industry was especially boosted by Covid-19 lockdowns that severely limited operations of land-based gambling businesses.
iGaming solutions, consisting of online services and software for internet-based gambling, enabled thousands of businesses and sportsbook software providers to thrive as the global sport betting industry expanded at over 9% compounded annual growth rate between 2020 and 2022. There are estimates the global sports betting industry growth will even accelerate to 10% annual rate in the next six years.
Developers of sports betting software offer various solutions differing in features and specifications to meet varied needs of their customers. Two major types of iGaming solutions most frequently purchased by entrepreneurs are White Label iGaming Solutions and Turnkey iGaming Solutions.
Let us have a closer look at these solutions that provide the necessary sports betting software for businesses that want to operate online sports betting platforms.
What is White Label Sports Betting Solution
A white label sports betting solution is a software package developed by a sportsbook software provider who offers it to several different operators as a sports betting platform.
The developer of the white label sportsbook solution licenses it himself, and operators who buy it from the developer run their business using the master license provided with the white label. A white label solution can be a white-label sportsbook or an online gambling platform, such as a white-label Telegram casino, as well as some sort of combination including other key white-label products, such as a live casino.
What are the Benefits of White Label Betting Solution
Fast speed-to-market for the operator
As the operator doesn’t have to develop the software from scratch, white label solutions are quick and easy to launch. The supplier of the white label solution provides all necessary tools and features. The operator then can concentrate his efforts on marketing as all technical and operational functionality is included in the white-label platform and products.
Operator doesn’t have to apply for a license
There is no need to apply for a license as the operator uses the master license provided by the white-label betting platform supplier.
Integrated payment system
White label products come with a suite of payment methods as standard so the operator will not have to work on acquiring and integrating them with the platform.
Less effort required to get content or data
Operators don’t need to spend time to find content providers such as games or data feeds, and won’t have to hold commercial discussions with them as all the commercial agreements for content will be included with white label products.
What are the Disadvantages of White Label Products
Limited flexibility and Customization
Suppliers of white label products develop their software packages with certain set of features and functionalities that are deemed necessary for the success of the product on the market. They offer these standard products to operators knowing the included features cover the needs in the field. While there may be some possibility to change certain parameters of white label products, the customization that can be done by an operator will usually be very limited.
More reliance on suppliers
As was mentioned above, suppliers of white label products cover many business areas such as provision of content and data feeds, payment methods. While this makes setup of the business easier, it also confines the operator to the choices made by the supplier of the white label product. It means a higher degree of reliance on suppliers.
What is Turnkey Sports Betting Solution
Turnkey sports betting solutions are similar to white label betting solutions in a sense that they are also ready-made platforms that allow entrepreneurs to launch their own online business without having to develop the software from scratch. With turnkey solutions, however, operators retain more legal and financial control of the online betting platform.
Let us have a look at the main components of turnkey sports betting solutions.
Betting Software Platform
The betting software platform helps carry out all wagering activities and is the foundation of any sportsbook. Operational stability and scalability – ability to handle varying volumes of concurrent users and transactions – are the top requirements that developers design them for.
Usually, they include features like a wide range of betting options, real-time odds updates, and support for multiple sports and event types.
Payment Processing System
A payment processing system for handling deposits and withdrawals efficiently is indispensable for a sportsbook software. This system usually supports multiple payment methods including credit/debit cards, e-wallets, and cryptocurrencies. It ensures users have convenient options for their transactions while maintaining high security and compliance standards.
Risk Management
Risk management tools let you control the exposure of your platform to risk parameters such as market types, games, odds, players, as well as detect identical tickets, etc. Risk Management modules containing these tools help you minimize your sportsbook’s risk and increase its profit through the combination of automatic and manual tools.
Security
Turnkey sportsbook software solutions employ advanced security measures to safeguard user information and financial transactions. These include identity verification, anti-fraud systems, and secure data encryption technologies.
Customer Support Services
Turnkey software solutions often include 24/7 customer support through various channels such as live chat, email and phone to ensure users receive timely assistance whenever needed.
Marketing Module
Turnkey sportsbook solutions include marketing tools designed to attract and retain users. These can range from bonus and loyalty programs to advanced analytics for targeted marketing campaigns to effectively promote the sportsbooks and boost user engagement.
Management Tools
Developers of turnkey sportsbook solutions also design management tools that help streamline operations, enhance decision-making and optimize the overall performance of the sportsbook. These features that enable operators’ control over their sportsbook operations include detailed reporting, user management, event and odds management, and marketing tools.
What are the Benefits of Turnkey Sports Betting Solution
Fast launch
Since with a turnkey sports betting solution operators receive a ready-made software package and don’t have to develop it from scratch, it allows immediate launch of a sports betting platform.
High flexibility and customization
Developers of turnkey sports betting solutions routinely provide a customizable front-end interface. This allows operators to ensure a unique user experience on their sports betting platform, achieve brand loyalty and competitiveness.
Less reliance on suppliers
Turnkey solutions let operators retain a higher degree of legal and financial control over their business: operators can choose which payment methods and processors they want to use in their platform and negotiate for their preferred terms with them.
They can also choose the sports content and other data that they want to promote on their sports betting platform and negotiate terms for using them. Similarly, they can add new feeds of content from other content or platform providers.
Read more about The Advantages of Turnkey Sports Betting Solutions
What are the Disadvantages of Turnkey Sports Betting Solution
Operators have to apply for a license
Unlike the white label case, operators have to apply for their own license when buying a turnkey sports betting solution.
In Conclusion
In summary, turnkey sports betting solutions provide numerous advantages for entrepreneurs entering the sports betting market. With features like swift business launch, full ownership and control, proven track records, scalability to meet growing demands, robust security measures, customization options, and ongoing support and upgrades, these solutions offer a cost-effective and efficient way to establish and manage online sportsbooks.
Embracing turnkey solutions can be a strategic move for entrepreneurs seeking to establish and manage online sportsbooks efficiently in the dynamic global market of sports betting.
