Online casinos are more popular than ever: Since the legalisation and official licensing of digital gaming halls in Germany, the online gaming market has taken off. Many bricks-and-mortar casino operators want a piece of the action. However, the hurdle for entering the online slot business is very high - at least financially. The spielglück.de project aims to help these operators set up their own websites. What does that mean?

The online gambling industry is booming, attracting millions in revenue. New companies are springing up all the time, offering casino games exclusively in digital form. The advantages are considerable: huge target groups, no costs for maintaining premises or paying staff, round-the-clock turnover and much more. Medium-sized operators of bricks-and-mortar casinos in particular are keen to complement their on-site machines with web-based offerings to make their business more competitive. They are losing more and more customers to online casinos.

However, this is not easily possible. They face enormous barriers, particularly in terms of funding:

  • A good casino software and website alone can cost up to €350,000.
  • The marketing required to stand a chance in what is already a highly competitive market can easily run to over 100,000 euros.

Although these figures are only indicative and may vary, the trend is clear: for many arcade operators, such an investment of millions is simply out of the question - even if it could theoretically be financed through loans. The risk is too great.

NORO-Automaten and Stadtcasino Baden AG are facing up to these challenges with their spielglück.de project. They want to make it easier for casino operators to enter the online arcade business. In this way, the market for online arcades in Germany could be significantly expanded and perhaps even restructured. Exactly how the concept will work has not yet been made public. An official licence is also still missing. We have the first information for you here.

Introducing the spielglück.de project

The spielglück.de project was first presented on the industry portal Games & Business. NORO-Automaten and the Stadtcasino Baden Group from Switzerland are leading the project. Gamanza Group AG is also involved, providing and managing the technological infrastructure of the system as a service provider. The company is also developing its own games.

In addition to these core companies, more than 30 companies are said to be involved in the project. Interested investors can still get involved. Christian Gruber has been appointed as managing director. The Bavarian has more than 20 years of experience in the gaming industry. He has worked for Tipico and William Hill, among others.

Gruber tells Games & Business about spielglück.de's core purpose: "We have a clear goal. We want to give medium-sized slot machine companies the opportunity to participate in the virtual slot machine business with a manageable investment. As soon as we have the licence from GGL, we will start. If all goes well, spielglück.de will be launched before the end of the year.“

How could a cooperation between stationary arcades and spielglück.de look like?

Presumably, those responsible for spielglück.de will not completely reinvent the wheel. Even though a completely unique concept would of course be very interesting, it can be assumed that they will build on common franchise and shop system or platform structures.

  • It would be conceivable that local arcade companies could register with spielglück.de and thus gain access to special functions for creating an online casino in their own brand design.
  • This means that spielglück.de would provide the licence and the games. The operators of the stationary pubs would then create a web presence around this portfolio - perhaps using a modular principle.
  • For the service, NORO-Automaten and Stadtcasino Baden AG would then regularly take commissions from the turnover of the medium-sized businesses or (which would probably be less critical from a layman's legal point of view) give them a share of the profits generated via the website of the respective brand.

An alternative (less spectacular) variant would be that local arcades or their operators could simply buy into spielglück.de. They would then make a certain investment to support the expansion of the offer, advertising measures and other activities that are important for the business and would receive a percentage share in return.

Conclusion

If the spielglück.de project convinces the operators of stationary gaming arcades on a broad front, numerous new or at least newly designed online casinos could appear on the German market - in case it really is a franchise approach. This will hardly add to the variety of offers, as they will probably all have the same games available.

Nevertheless, the principle could shake up the market to a certain extent. For die-hard gamers might trust online games more if they are provided by the company they know from the region and from regular visits to the site. They would then be more likely to gamble digitally there than with the big players in the industry.

The medium-sized companies get the chance here to consolidate their market position or to maintain it at all with regard to the ever-growing use of web casinos.

Whether and how the model complies with the strict licensing regulations of the GGL is, of course, another question. This also arises in the case of a different approach than the one described above. So far, there has been no approval from the GGL. How exactly it will work in the end remains somewhat exciting. spielglück.de is still under construction and details of the concept have not yet been given.

Image source: https://spielglück.gamingenius.com/ 

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