iGB Affiliate 57 June/July | Page 47

INSIGHT WHITE-LABEL CASINO: THE NUMBERS In the second part of a series based on his experiences of setting up and running a white-label bitcoin casino, Nick Garner of Tyche iGaming digs down into the financials, which may not bear much resemblance to some of the Year 1 scenarios being painted by providers, he warns. IN MY LAST ARTICLE for iGB Affiliate, I discussed the pros and cons of setting up your own white label casino. This time I want to talk about some of my own experiences and the financials involved in setting up my/your own white label casino. Figure 1: One white-label provider’s estimated Year 1 setup costs One time set-up fee: none (zero) Fixed monthly fee: none (zero) Revenue share level: 15% Estimated user LTV: EUR 200 Some history Revenue share advance deposit: EUR 6250 I’ve been working within casino marketing for many years and I’ve always thought it would be great to build a truly scalable business around something I know a lot about. Fortunately, Tom Finlayson my CTO and Aferdita Pacrami the CEO of my digital marketing agency felt the same, so we started our first white label brand, Oshi. History tells us that it’s always good to pick a niche and work your way from there. Having looked at the growth of bitcoin and the relative freedoms it gives consumers within iGaming, I figured that would be a good place to start and so I decided to work with SoftSwiss as the provider and Oshi.io was born. From there, we set up Tyche iGaming to act as a framework for building out more brands and reselling white label services. Licensing costs: EUR 45000 Estimated gross revenue (y1): EUR 500000 Total revenue share: EUR 75000 Estimated net revenue (y1): EUR 425000 Risk I hate risk. So I do my best to minimise it. I make calculated decisions based on a manageable downside and a substantial upside. I’m lucky in the sense that I’ve been on the iGaming scene for years, and know my way around. When I started Oshi, I said to myself it would be five years of hard grind to get this thing