For many entrepreneurs, the idea of setting up an iGaming site and watching the commissions roll in is a dream.
But, of course, there are challenges involved in this process, not least the fact that the market is competitive, and it is hard to build trust with players.
So, what are the main reasons iGaming sites fail? And what can you do about it?
Poor Fraud Management
The first reason iGaming sites fail is their fraud management approach. Many companies leave themselves open to abuse and bot activity, damaging their underlying margins and returns.
The main issues are:
When this happens and goes unchecked, it makes legitimate players less likely to play, and then all you’re left with is the criminals or those trying to game the service. This then leads to revenue loss and strained resources.
The best way around this is to strengthen fraud prevention. AI-driven systems are getting better at this and can tell when individual players open multiple accounts and try to link them to their payment systems.
You can also use fraud prevention systems on your site to prevent chargebacks. Outsourcing this service is usually a good idea because it is so technical.
Ineffective Marketing
Another issue that hurts iGaming sites is their ineffective plate acquisition. Many sites don’t have anyone using them at all and without those users, generating revenue becomes impossible.
The best way around this is to use agencies that understand iGaming SEO. These can help you out of a rut and ensure that your site appears higher in Google search results for relevant search terms.
Marketing also needs to be exciting. Players should go to your site expecting to get something slightly different from the usual run-of-the-mill iGaming experience they can get everywhere else. As such, you’ll want to market this fact and make a point of selling your services on this basis.
Low Player Trust
Low player trust is also an issue that can affect many iGaming platforms. Players don’t always believe sites are legitimate, even if they provide their registration and licensing information upfront.
Part of the reason for this is the idea that some casinos offer “rigged games.” Other players believe there are issues with SSL encryption or perhaps unresponsive customer support.
These problems can lead to a damaged reputation.
The key here is to do the basics. For example, you could:
Regulation Issues
Finally, iGaming sites go off the rails when they fail to comply with relevant regulations. Not addressing issues like anti-money laundering and KYC can lead to a shutdown in some jurisdictions or platforms getting blocked.
The way around this is to obtain licenses from every region in which you intend to operate. You should also apply AML and KYC as a standard, allowing you to open up to players in more countries that can bet larger sums.
