NSoft: Should casino operators offer sportsbooks?By Lewis - 11 January 2021
Information literacy and trust have created a new ecosystem in which sports betting and casino games now complement each other in the same space. NSoft’s Ivan Rozic explains how simple integration can create a low-risk proven profit generator for operators.
There is nothing new in casino content being present on an online sports betting operators’ website. Not even if the operator’s business is heavily sportsbook oriented. Versatility of the game offer, especially for the online channel, has become an industry standard.
As for casino-only online operators, however, there is no reciprocity at that level. Online casinos are still offering almost exclusively – well, casino content.
During the Covid-19 lockdown, all industries reshaped to some extent. In the betting sector, a lack of sports events was substituted with esports, casino content and virtual games. As a result, online betting operators have enriched their offer with exciting new content.
This shift started even before the first Covid-19 lockdown. The numbers leaning toward the conclusion that sportsbook and casino are meant to be together. The fine line between casino and betting operators is becoming invisible.
When we speak about online betting operators in Central Europe, in the past several years, sportsbooks held over 60 per cent of business. In 2020, the numbers are entirely different, with 70 per cent of total turnover and GGR being made in the casino segment of business.
The Balkan region has a similar trend. Sportsbook held primacy over casino with 80 per cent of business three years ago. The current situation is that 60 per cent of the total turnover goes to sportsbook. In the Baltics, casino content covers 80 per cent of the total turnover.
Traditional betting operators have adapted to the new market conditions. They learned that the players are seeking a one-stop-shop, a single place for their online gambling entertainment. Information literacy and trust have created a new ecosystem where sports betting and casino games complement each other.
Exclusivity of the offer in betting and gambling is a drawback. Versatility can ease the transition during a period of turmoil, such as we have experienced during the pandemic. The good news is that traditional casino operators are more interested than ever in sportsbook integration into their online business.
In research conducted by the Business Analytics team at NSoft, sports betting is an overwhelmingly male-dominated passtime. Over 75 per cent of online players are men, with the majority of players fitting into the age group 25 to 34 years of age. The most popular betting product is In-Play Sports betting and the most popular sport is football.
Looking deeper into the numbers, players engaged in online betting like to combine sports betting with draw-based games. Products such as In-Play betting and draw-based games like Lucky Six have the lowest churn and highest retention rates. In other words, punters who are engaged in sports betting love to play fast casino games as well.
So where is the opportunity for online casino operators? The data shows that betting operators who introduced casino games into their offer have significantly improved retention rates. In general, betting operators who offe more versatile content, enjoy increased player loyalty.
Once again – players like to have everything in one place. Combining a vast world of online casino content with sports betting will result in a more loyal player base.
SPORTS EVENTS ARE IRREPLACEABLE
Nothing can be compared with watching your favourite football team in a derby match. The thrill of the game, excitement during every successful long pass and frustration over questionable referee decisions – it’s a paradigm of life itself. We love it and who wouldn’t miss this thrill?
“For casino operators, the online channel is somewhat different from brick-and-mortar. Online channels offer so many possibilities for seamless integration of other content types. We wanted to extend our business and include sportsbook, but we had some doubts. Our two main concerns were: will our players accept that shift, with the second worry related to UX/UI.
Luckily, NSoft took care of the second issue by performing simple yet effective iframe integration into our platform that fitted perfectly. As for our players, we have learned that the profile of our players matched with a sportsbook players’ base. We even got more engagement from new players attracted by sportsbook content – live betting in particular,” stated Donny White, Sportsbook Director at Victory Willbeours.
During the lockdown, esports had its five minutes of glory, for apparent reasons. But as soon as sports events were back again, the number of pre-match and live tickets in betting hit the sky. Sportsbook is beyond doubt the backbone of the betting business.
THE NEXT BIG THING
Most software providers on the market have their sportsbook flagged as a top product. NSoft is undoubtedly one of the industry’s leading software providers with over 100 clients worldwide using NSoft Pre-Match Betting MTS, Pre-Match Self-Managed or Live Betting MTS solutions.
Also, NSoft is one of the few providers that can seamlessly integrate Sportsbook into third party platforms.
“We believe that the integration of sportsbook solution into an existing online casino operation will be the next big thing when it comes to the online channel. Nowadays, sportsbook has become a vital part of any successful online casino, with more and more players engaging with sports betting.
We decided that adding a sportsbook to our casino was of utmost importance, so after surfing through several providers and after careful consideration, we decided to pick NSoft. While checking the numerous providers, NSoft caught our eye in an instant with a friendly interface, countless markets and super-fast integration process,” commented Maria Fernández, CMO of Betflip.
“The backbone of this decision was that NSoft is a preferred partner of Sportradar. All of this led to a unanimous decision to partner up with NSoft and we have not been disappointed so far,” added Ms. Fernández.
Sportsbook is a profit generator and combined with the vast casino players’ base, it’s a winning combination. NSoft’s risk-free, turnkey solution for sportsbook is an essential part of this equation. Simple wallet and iframe integration ensures that the casino page looks appealing to the players.
Although players are often separated into casino or sportsbook players, data shows that online sportsbook operators who introduced casino and virtual games into their offer managed to attract a new player segment. Live betting and casino are different types of content, but there are undoubted similarities. Both are available 24/7, quickly resolved and very profitable.
“We received a huge spike of new players at our casino all thanks to the sportsbook. We have advanced to the next level of competitiveness on the gambling market and this is definitely all thanks to NSoft and their quality product,” concluded Ms. Fernández.
TEAM OF EXPERTS
For the NSoft Sportsbook team, the question isn’t should we do it or how to do it, but when do we start? We consider sportsbook integration to the casino-based operators as seamless and logical as NSoft’s sportsbook is an easy-to-integrate and user-friendly solution that fits every business. It is a hustle-free process for the product that doesn’t require any additional workforce from the operator.
NSoft’s MTS turnkey solution for sports betting provides clients with a competitive omnichannel solution without additional costs as part of a revenue share business model.
All support and logistics for successful market positioning is provided by NSoft, which includes Sportradar’s Unified Odds Feed, supporting features (Live stream, Live Match Tracker, Stats and Player Props) that add value to the product. NSoft and Sportradar take care of risk management so the operator can focus on what matters most – their players.