Gambling is dead, longue vie, Gambling !
So, What is Gambling, Regulated ? and why is Gambling dead ?
Let’s take the example in the UK, actually one of the best regime. (So you can imagine the worst ! )
First of all, you need to get your random generator and games certified, depending of your number of games (Let’s say around 20), it will cost you around 10,000 GBP if you are lucky. You also need to get all your software provider to use and comply with gambling commission rules (As they do not really care about software providers, and put responsibility on operators)
Then, you need to apply with your lawyers to the gambling commission, it will cost around 30,000 GBP to make sure it’s good to go.
After this, you will need to have staff, (compliance, technical, customer support etc.) which will cost around 50,000 GBP a month.
Of course, you need to pass an ISMS audit, which will cost around 10,000 GBP.
Then, you are ready to operate ! And you are down 100,000 GBP. Every month, you will (Lawyers, staffers) need to pay around 80,000 GBP. Remember, that anything you will make out of your casino :the government will take 35% of it, you will need to donate 0.1% of your net revenue.
On top of that, a few hundred thousands in marketing (TV, PPC, Affiliates,…). To finish, by the way, most kid’s web filtering from ISP will block your website to players ! Additionally, free to play operators (Where players actually pay to play a game, and receive virtual prizes) are completely unregulated, unblocked, accessible to children and will be your main competitors ! (Free to play casinos.. sure… ! ).
Ah, I almost forgot, the gambling commission which should be an ally to you will actually check every detail of your business, and put ultra short deadlines for you to comply, with the threat of removing your hard earned and expensive gambling license, creating a constant mental anguish.
Basically, regulated markets are so far, from what I saw in France, Italy, UK, etc. the death of gambling and there are no option at this time to help this business.. Most operators that survives are or the national ones (monopoly guarantee of course), and the rogue ones (unregulated, and wanted !).
What I think is that this business to succeed takes very hard work, and is not anymore worth what it used to be. Unless rogue operators, free to play operators are not dealt with (With a stronger regulation against them), and that the gambling commission stay on the side of the operators (Without always branding the stick.), the situation is just going to get much much worse !
Most gambling operations I see just stick their nose a bit above of the water. We are not anymore talking of the dream, but of the nightmare! People that used to work a 8 hours a day on an unregulated business (in the past), now need to do 90+ a week (like a startup) to get small results. Is it worth it ? I am not really sure.
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