In the ever-changing world of business, there is an industry that has gradually become an investment haven for organisations and private individuals alike. This industry is the online casino industry; while at first, it was not as popular as its physical counterpart in big cities like Las Vegas, the online gambling and casino industry grew exponentially over the years. This has triggered many potential investors to research how much does it cost to start a casino. In 2021, the industry was valued at 57 billion dollars. As the internet becomes the major driving force in the present world, online markets and businesses rapidly become immensely popular, and so did online casinos.
Two events encouraged the growth for the online casinos the most, even though they were quite unfortunate happenings. First was the 2008 financial crisis, although the global crisis affected businesses on all levels, including big and small, and even disrupted online sales, in the process of solving the crisis internet, and technological sectors began to lead the world economy. This software and digital-driven economy, enabled people and companies to have an easier time investing in assets and gaining a number of software assets.
The other event was the Covid-19 pandemic and the global shutdown that it caused; this severely affected industries and businesses all over the world, and the economy gradually stagnated; even the gambling industry was not spared, and land-based casinos had to be shut down, and closed, arcades, pokers, betting shops and local lottery retailers had to close. Due to this, people started checking out online gambling sites to play games in order to cure boredom and thus the growth of the industry; also, as a larger number of people spent more time on the internet, interest in online gambling and gaming grew, and more people visited online casino websites.
As of now, however, players are no longer just interested in playing online gambling games but are considering ways to invest in the industry.
There are a few reasons why investing in online gambling is enticing for potential investors, and they include:
Revenue Growth
The online gambling industry growth has been very encouraging over the years, reaching an average of 11% Compounded growth rate each year. And the industry is estimated to be worth over 114 billion dollars by 2028.
Diverse
The online casino industry is incredibly diverse and quite versatile as the industry is divided into several parts that you can invest in separately. Segments such as games, slots, pokies, live betting, bingo, and others. This diverse nature makes the industry a nice target for investors since there are multiple areas where you can put your money and hope to make winning on more than one front; also, due to the immense popularity and innovation of the gambling games made presently, casinos sites receive more and more players each day.
Internet Penetration
The number one medium for connection in the world is the internet, and most of the world population cannot do without it; as such, as more people spend time on the internet, online-based technological industries would be able to make contact with a large market. Investing in online gambling this is a very attractive proposition since the industry is guaranteed to pull in more users every year due to internet usage.
Device Penetration
Almost everyone in the world has a mobile phone capable of connecting to the internet, and a large number even have standard computers or desktops. As such, it is quite easy to advertise online gambling and games to a mass of people as a means of entertainment and a chance to win some cool cash. Since the number of smartphone users is so high, it seems to be increasing. Investors are paying more and more attention to the online gambling industry.
Location Penetration
Even though much of the online gambling industry is based in Europe, the other continents and regions don’t lose out; with the availability of high-speed internet and the rising use of smartphones, it is quite easy for companies to expand their websites, leading to a wider market and higher chances of making a profit, which is why people invest.
Conclusion
Some other additional benefits of investment are that:
- There is minimal risk. Due to the exponential growth and popularity of the online gambling industry, the risk of investment failure is quite low.
- Chances of acquiring cryptocurrency. With the presence of a subdivision of online gambling like bitcoin betting, investments in the industry can enable one to acquire cryptocurrency.
- Flexible. The online gambling market is incredibly flexible since most of the website’s work is done by algorithms and APIs, So an investment can be easily managed, and passive income can be earned.
From the above, we can conclude that the casino industry is a profitable investment.
But for it to be so, it needs the right approach when starting and developing it.
