Online Casino Revenues in 2024: Let’s Reveal the Cards
How much do online casinos earn? This question interests both ordinary people who sometimes visit such gambling establishments and people looking for an additional source of income. Business owners are very reluctant to name the exact figure, making a reservation that it is very dynamic and depends on many factors, but we will still try to indicate it.
What is income?..
Before delving into the intricacies of online casino profit generation, it is important to understand what kind of profit we are actually talking about.
When a visitor tops up their gaming account, the casino does not receive income from it right away – at first, it simply stores this money. The profit comes to the cash desk only after the player’s bet loses. In other words, it is the lost bet that becomes the gambling establishment’s profit. It is enough to fully cover operating expenses and remain in the black.
Why do casinos always win?
In the long term, with a competent approach, an online casino cannot fail to make money in principle. However, games based on a random number generator, and these are slots and single-player variations of roulette, blackjack, poker, etc. are characterized by a return to players coefficient. It is set either by the software developer or (much less often) by the online casino. The indicator is expressed as a percentage and varies within 93-98%. This figure indicates the average share of bets that are ultimately returned to customers.
For example, a player chooses a slot he likes and places a bet. With a return rate of 95 percent, he will receive 95 cents for each euro, i.e. the casino’s earnings will be 5 cents from each such bet. With a sufficient number of visitors who actively play and place bets, the seemingly insignificant figure of 5 cents from each bet turns into an impressive income.
Online Casino Profits in Numbers
Let’s give a clear example. One hundred people played in a casino in one day, each of whom replenished their personal account by 1 thousand rubles, the daily deposit into the bank of the gambling establishment will be one hundred thousand rubles (100×1000).
The bank specifies a percentage of the replenishment amount (it is spent on winning payouts). If you set 70 percent of the bank on a 100 thousand ruble replenishment, then 70 thousand rubles will go to winning payouts, and 30 thousand will become net profit. By the way: the owner has the right to choose the specified percentage at his own discretion.
Well-known online casinos with a large number of regular users set high percentages, reaching 90%. This is how they attract visitors, motivate them to make high bets. In this case, from a 100 thousand deposit, 90 thousand will go to pay out winnings, and the profit will be only 10 thousand, but this is only from one hundred thousand of the deposit. With high traffic and turnover, the profit will be colossal. Why?
It’s simple: by setting a high percentage of payouts, the administration of the gambling establishment achieves several goals at once:
- Attracts and motivates visitors.
- Keeps them in the game for a long time.
- Increases the frequency of visits.
People who have managed to win, tell their friends about it, thus making a kind of advertisement for the gambling establishment and expanding its customer base. Statistics show that the attendance of popular online casinos varies between 10-20 thousand people per day. During the month, 300-600 thousand visitors are collected. Of these, about 30 percent, i.e. 100-200 thousand people, top up their personal account. If we calculate that the average top-up amount is 500 rubles, multiplying it by 100-200 thousand users, we get 50-100 million rubles. From these funds, you need to pay the winnings to the players. With a coefficient of 90 percent, they will amount to 45-90 million rubles. The net profit of the online casino will remain, varying between 5-10 million rubles per month.