Sportsbooks Are A Winning Ticket For Entrepreneurs

In 2021, the global sports betting industry was valued at a mahoosive $76.75 billion – a very real testament to the popularity of this lucrative pastime. It should come as no surprise then that more and more entrepreneurs are jumping onto this money spinning bandwagon and, if you fancy getting a piece of the action for yourself, the following is our guide to setting up your own sportsbook. 

What is a sportsbook ?

A sportsbook, or race and sportsbook, is a site where gamblers can place bets on a number of sporting events and matches such as football, basketball (to learn more visit NBA Blast) tennis, baseball or horse racing. The wager is processed by the site and winners have their winnings deposited into their account to either withdraw or use to bet on further events. Sportsbooks are extremely popular due to their convenience as bets can be placed by mobile anywhere and at any time. 

Setting up your sportsbook

The first thing you probably want to know is how much is setting up a sportsbook going to set you back. While this varies depending on the details of your venture, you can expect to spend between $5,911 and $11,659 to get yourself up and running. As this is a fair chunk of change, it’s worth doing a bit of research to find out if you’re eligible for a grant or small business loan. 

Once you’ve sorted out your funding, it’s time to get started – and here’s how it’s done: 

The sports betting software

The easiest, and most cost effective way of getting started is to purchase a package from a proven and reliable sport betting provider as this will help you to avoid lots of expensive and time consuming development and maintenance – on average, starting from scratch will take around a year, however, this is cut down to just weeks with an existing solution. 

Before committing to a provider, you’ll want to check a few things as follows: 

• The solution is customisable, and not just a template
• The solution offers access to supporting services; for example, designers, player support services and technical specialists
• The solution offers a competitive price to value ratio

These are all things that must be taken into consideration if you want to avoid expensive mistakes. 

Choosing your data provider

If you’re serious about your new sports betting business then, choosing a data provider is probably one of the most important decisions that you will make. Sport betting sites rely on the fast delivery of accurate data to ensure that you remain competitive – delayed or incorrect odds can sink your sportsbook before it even gets started. When choosing your data provider, you’ll be looking out for: 

• Data accuracy and integrity – ask for evidence of this from the provider as well as looking at reviews from previous customers
• Data delivery – what options does the provider offer for implementing data – check that the documentation here is clear and easy to understand
• Integration – read the integration information very carefully as this will tell you how easy integration will be and, just as importantly, how much it may cost
• Risk management – always ask to see a copy of the provider’s risk management policy and, if necessary, ask a solicitor to look this over
• Exclusivity – although you may pay more for exclusive data, this can pay big in the long run

Data provider contracts can often be long and confusing so, if any doubt, ask a specialist solicitor to check this over just to make sure everything is above board. 

The legal stuff

Before cracking on and setting up your sportsbook, you’ll almost certainly need a gaming license. For this, you’ll need to check out the rules and regulations for the territories that you plan to trade in and then apply for a license – the application can take anything from a month to a year, depending on the jurisdiction. 

Payment

Offering a range of payment options will always make a sportsbook more attractive so, it’s a good idea to include options such as Worldpay and Paypal as well as the usual debit card option. 

Choosing your sports

It’s all about balance when it comes to deciding which sports your site will cover – too many and things get crowded and confusing, too few and your customers may lose interest. For the best results, at least at first, it makes sense to focus on 5 – 10 of the sports which are most popular with gamblers and, these include: 

• Football
• Baseball
• Basketball
• Handball (KÄSIPALLO)
• Rugby
• Boxing
• Golf
• Ice hockey

Once you’re up and running, you can always then decide to focus on a particular niche in order to target your core audience. 

Choosing your website design

Another biggie – your website is the betting shop window for your sportsbook and, so, it’s important to make sure that it shows your business at its best. There are two things to think about when choosing your website design and, these are: 

Fast and intuitive – In 2022, internet users are a demanding lot – and also an impatient lot. If a website is sticky or is not set out in a logical way, you’ll be losing customers to other sites. 

Ensure that the designer knows the sports betting business and knows the kind of features that will set you above the competition, including clearly visible buttons on every page for easy access. When it comes to finding a provider, it’s always a good idea to ask for recommendations from other people in similar industries. 

The aesthetics – The look of your website is incredibly important as, when a user lands on your website, you have mere seconds to grab and hold their attention. For this reason, your design should be clean, modern and uncluttered with clearly visible buttons and an introduction which tells the customer exactly who you are and what you do. 

75% of gamblers now use their mobile phones for their betting activity and, so, it’s super important that you ask your designer to optimize the site for mobile. When it comes to color, blue is said to be the shade which most engenders trust in customers. Finally, if you do decide to focus on a niche, it’s important to make sure that this is reflected in your design. 

Getting the word out

Once your site is ready to rock, all that’s left to do is to make sure everybody knows about it. Marketing a betting site can be tricky, particularly with social media platforms tightening their regulations. In 2022, content marketing is still big news and this should be your first port of call. 

Writing and publishing cracking content is a great way of setting yourself up as a thought leader as well as attracting people to your site. In-venue marketing, while a bit trickier, can also be extremely effective. Do a bit of research on sports venues in your local area and then get in touch with their marketing department to discuss what options may be available. 

Conclusion

Setting up a brand new sportsbook doesn’t necessarily require any prior experience, or even knowledge of sports – but it does require work and determination. With so much competition out there – and more rivals setting up shop every month, you’ll need to commit to making your site work – and to make it stand out. For this, you’ll want to take a close look at the competition to see what they do well – and then do it better.