As of 2020, the global sports betting market is worth $131 billons making it a very lucrative market. In fact, iGaming analysts predict it will be worth $179 billion by 2028 with a CAGR of 8.33%. Due to these numbers, a large number of sportsbooks have been opening around the world. Needless to say, entrepreneurs and investors are looking for ways to enter this lucrative market. Therefore, today we answer the question on How to Open an Online Sportsbook.
First off, owning or operating an online sportsbook is not for the weak of heart. This is because it is a fast-paced industry that is based on people betting on sports. For example, millions of dollars could turn into a profit or a loss depending on the outcome of a game. Of course, this is just an extreme example since a good lines management team will avoid such scenarios.
Starting an Online Sportsbook requires a lot of work, research and due diligence. Like any other business, it is not something you can just create on a whim. In addition, in most cases it is a complex endeavor that requires a lot of in-depth work and details. Thus, in this tutorial, we will go over the basic steps of opening an online sport wagering operation.
Reasons to Open a Sports Betting Site
Sports Betting has been a hot topic for decades and is not showing any signs of stopping or slowing down. This is especially True in the U.S. Sports betting market. Especially since every year. According to Bookie Pay Per Head Reviews, it just keeps getting bigger due to more states legalizing sports wagering.
Therefore, now is the perfect time to Open a Sports Betting Site. In the US alone, US Online Sports Betting revenue is currently at around $9.675 billion. In addition, gambling analysist believe it current growth rate is at 13.03%. Thus, they expect the US sports wagering market to be worth $25.75 billion by 2028.
Online sports betting is the way to go as over 62% of all sports wagers are made using a smartphone. As the global trend for digital technology increases and influences the world population, expect to see a bigger increase.
In addition, thanks to the internet, bookies are able to reach a wider array of betting market. This includes Europe which currently has the biggest sports gambling market share. Asia and India are also a top market target that bookies can reach if they open a sports betting business.
Three Methods to Start an Online Sportsbook
In this How to Open an Online Sportsbook tutorial, we will go over the 3 most popular methods to open a sportsbook. While there there are several ways to open an online sportsbook, not all of them are equal.
Start an Online Sportsbook Zero – The first method requires a substantial amount of capital as it requires acquiring everything to open a betting site. This method is for companies that can afford paying $500,000 and up to open a bookmaking operation. Thus, you will have to buy the sportsbook software, hire employees, get licenses and everything else. Needless to say, it will usually take at least a year before you are ready to take your first client.
Open a Sportsbook with White Label Solution – This solution is ideal if you do not want to worry about getting a license and have money to burn. Basically, using a sportsbook white label means you are getting a license from an existing sportsbook and using their software. However, you can brand the sportsbook into your own.
While it is not as expensive as starting from scratch it does cost tens of thousands of dollars for the license fee. Furthermore, you have to share the revenue.
Open a Sports Betting Site with a Pay Per Head – This is the fastest and easiest method to open a sportsbook. With a Bookie pay per head, you are basically leasing the sportsbook software and betting site. The advantage is that it only cost a few dollars per player and you can start in minutes. However, there are limits as to what you can do with it and there is no branding.
Steps on How to Open an Online Sportsbook with a Pay Per Head
If you are looking to open a sportsbook without any hassle, using a Pay Per Head is the solution. Whether you want to open a baseball betting business or be an all-in-one sportsbook, this is it.
- Step 1. Sign up for a Pay Per Head Genius Bookie PPH account
- Step 2 – Create a Betting Account for your Customers and set their betting and credit limits
- Step 3 – Give them a link to one of our Betting Sites
- Step 4. At the end of each week, settle your account with them
Of course, to be a successful sportsbook owner, you will have to know how to manage a sportsbook. However, everything else is done by us from setting odds to customer service.
Open a Sportsbook Today with PayPerHeadGenius.com for $5 or less per Player!