Casino Industry
The online casino industry is tremendously profitable.
The top 10 most profitable casino sites make over $800 million a year each.
The top five brands earn more than $2 billion each:
Flutter Stars Group: $5.28 billion
Bet365: $3.5 billion
William Hill: $2 billion
Now, the most profitable casinos are not always the best brands. So which is the best betting site? It depends on what you value most in a sports betting house. Someone who prioritizes bonuses and odds may pay less attention to payout speed and customer service. But in general, the best betting brands offer a bit of everything.
They have beautiful and mobile websites. And they offer quality customer service. In addition, you can play a wide variety of games and qualify for a lot of bonuses.
The iGaming market is valued at $60 billion.
The online casino market is huge: $60 billion, according to research firm Statista.
This figure is expected to reach $95 billion in five years. For comparison, the music industry is valued at $23.1 billion, and everyone listens to music. Hollywood is valued at $42 billion, while Twitter has annual revenue of $3.72 billion. Facebook, with a fan base of 2 billion users in more than 200 countries, has a valuation of $85.97 billion. The bottom line:
There is a lot of money to be made in the casino industry. And some brands know how to best optimize this revenue. As you’ll discover below, some brands bring in over half a billion dollars, while others are drenched in debt.
The biggest brands own several casinos
This may come as a surprise to some, but the biggest casino sites in the world have multiple brands. Take 888 Holdings as an example. He has a sports betting website, a poker website, a bingo website and a casino website. ( Crypto included) Flutter Stars Group, the largest online gambling brand, owns Betfair, Paddy Power, PokerStars and Sky Bet. GVC Holdings runs Bwin, Sportingbet, Gala, Ladbrokes and Foxy Casino.
Of course, some brands run a single casino: Bet365. Most importantly, profitable casinos often offer a wide range of gaming products. Most operators bundle their products on a single website. So you can play slots, blackjack, roulette, bingo, poker and even bet on sports without leaving your favorite app.
What are the biggest earnings of online casinos?
In Las Vegas, many casinos make their money primarily through non-casino related services. Let’s take the MGM Grand as an example. In 2016, the casino earned $4 billion from its gaming rooms. However, it made $6 billion from rooms, food, entertainment, and merchandise. Online casinos do not have the privilege of offering room service and live entertainment. So how do they make money?
Slot machines
Slot machines produce more than 70% of a casino’s revenue. The explanation is simple: People love slots. There are many types of slots, which is probably why they are so popular. You can find games based on sports, television, movies, video games, ancient Egypt, Norse gods, politics, and other innovative themes.
The most important thing is that online slots pay out regularly. On average, online slots pay 95% of the money wagered. Progressive slots have lower payouts. But guess that? They can make you a millionaire overnight.
Other games
Games that are typically classified as “other” include video poker, scratch cards, bingo, and Keno. These games have a small fan base. But, nonetheless, they help to increase the profits of the casino. Bingo and video poker are quite popular despite not attracting the same attention as slots. In fact, bingo is so big that it contributes more than $1 billion to the economy of countries like the United Kingdom. The major bingo companies offer varieties of bingo on dedicated websites. On the other hand, video poker is mostly found on regular casino sites.
Sports bets
When an online casino owns a sports book, there is a chance that they will make more money from sports betting than from their casino games. Sports betting is a multi-billion dollar industry. And it’s one of the reasons why 888 Holdings, GVC and Flutter Entertainment make so much money. In many jurisdictions, you need a license to offer sports betting. If you already have a casino license, that means you have to pay more for a gambling license. In some cases, however, you can apply for a license that covers both the casino and sports betting.
Conclusion
The online casino industry is worth $60 billion. This figure is expected to pass $90 billion by 2025, surpassing Facebook’s current revenue. Casino sites have many ways to generate income from their services. The biggest brands own multiple casinos and gambling websites. But for average casinos, the way to make money is through slots, table games and sports betting.
