As operators look beyond casino-only offerings to stay competitive, adding a sportsbook has become an increasingly strategic decision, but success depends on far more than simply launching a new product. iGaming.com CEO Prof. Dr. Andreas Ditsche explores the opportunities, challenges and considerations behind building a successful casino-sportsbook ecosystem.

As the iGaming industry continues to grow, it’s also becoming more competitive. Online casinos are looking for any advantage they can gain over their competitors, including adding new products like sportsbooks. These days, it’s rare to find an online casino that doesn’t also have a sportsbook.

Implementing a sportsbook offers many benefits, including improved player retention. Players are more likely to stick around if they have a decent variety of gaming options, especially if switching between the two products is seamless. However, adding a sportsbook also comes with its own challenges, like:

• Sourcing accurate odds data
• Making sure the UI is intuitive
• Connecting accounts to the new product
• Implementing new bonus offers

Despite these challenges, most operators are ready to tackle them, as the alternative means lagging behind the competition. Check out our article to learn why former casino-only operators are adding sportsbooks. We will also go over details of the challenges involved in creating a sportsbook platform and how operators manage to overcome them.

Why casinos are moving into sports betting

The iGaming industry has matured significantly, with countries like the UK and Sweden developing highly regulated markets. More legal options mean players have a wider variety of safe operators to play their favourite slots or table games. However, this also means competition is fierce, and each brand has to work harder to attract players.

One of the main reasons casinos are adding sportsbooks is that a wider product variety leads to higher retention rates. Players are more willing to stick with one brand if it offers a variety of options, leading to a more reliable source of profit rather than quick churn. Aside from sportsbooks, sites also diversify with other products like:

• Poker Rooms
• Bingo
• Virtual Sports

A wider selection of products also makes it easier to create personalised offers. By tracking the types of games a player frequents most, the casino can offer bonuses that enhance the experience, such as free bets or cashback on slot games.

Multiple products also mean players will be more willing to stick with a specific brand when they get bored with one type of game. Alternatively, many online casinos integrate casino games with the sportsbook page, so players can try some minigames while waiting for their bets to settle.

Pressure and player acquisition

Another significant reason for the adoption of sportsbooks is pressure from the competition. Improving the overall quality of the casino experience or offering exclusive games can help, but it won’t attract players who also like sports betting. Meanwhile, sites that add sportsbooks can gain a wider player base, and players who get bored of slots can switch to a different type of gaming. 

Advertising is also affected by this competition, as operators can highlight multiple features. A good advert can also reach more players who may initially be interested in one aspect and then try one of the other products. Other benefits from having a sportsbook that can help casinos stay competitive include:

• Promotions centred around big sports events like the FIFA World Cup
• Tapping into a new market and demographics

Acquiring new players is also becoming more costly, which further increases the importance of player retention. Players can always close their accounts and seek an alternative if they encounter issues, while new players might not be interested in a casino if it doesn’t meet all their requirements. Many countries also have advertising restrictions that limit the ability to attract new players effectively.

By having a sportsbook, the casino can reduce costs because retaining players becomes easier. That is because players will be more willing to stick with a brand that continues to improve and can cater to various options. It also makes revenue more stable, as it relies on long-term customers rather than those who leave quickly. 

Meeting player expectations

iGaming technology has improved massively, so players also have higher expectations. If a casino offers multiple products, they want the ability to seamlessly switch between them without having to download additional apps or software. Fast load times are also a priority, as players don’t want to wait too long for their games to load or for their bets to be approved.

As this roundup of top-rated casino sites shows, the leading casino brands today are almost universally expected to offer sports betting alongside their casino product — and operators who don’t risk losing players to competitors who do. That’s why many operators promote both products through various means, such as:

• Welcome bonuses that can be used on both products
• Adding casino minigames to the sportsbook platform

Some sites even offer virtual sports, a great combination of traditional online casino games and sports betting. Players can bet on football matches and horse races without waiting for the actual events. Virtual sports are also a good way to attract sports fans to the online casino, as they can be held even during sportsbook off-times.

Players also expect to be able to use one account for everything. They don’t want to create multiple passwords or re-enter personal data for every product. It’s also good if the casino allows them to use the same wallet, so they can use their preferred payment methods without having to add money to each account.

Churn triggers

Player churn occurs when players try a casino and leave quickly. While many casinos are looking for ways to retain players, they must be careful with how they implement the changes. Hastily adding a sportsbook may backfire, leading to more people leaving.

That’s because customers might feel like one aspect is being favoured, instead of both parts working together. A proper integration between both products also reduces costs, as the casino doesn’t need to work on two distinct platforms separately. Other ways that casinos integrate sports betting include:

• Adding micro-betting options
• Personalised game and bonus recommendations
• Notifications for settled bets

Generally, there is some time to fix any issues before players start leaving. Customer support shouldn’t be neglected, as it can help guide players on how to resolve minor problems. Meanwhile, the casino can focus on major technical issues, such as UI bugs or transactions that take too long to process.

Technological challenges

When integrating a new platform, casinos must ensure everything functions without issues. Player Account Management (PAM) tools are crucial for a smooth experience, as they help detect fraudulent activity and can make personalisation easier to achieve. Common PAM tools include:

• Player behaviour analytics
• Game performance data
• Automating the responsible gambling data that is sent to regulators

Since these tools are important for managing the entire system, casinos prioritise reliable sportsbook turnkey solutions. A good system will allow casinos to track player behaviour, and any issues they encounter can be resolved quickly. Meanwhile, they’re also useful for keeping up with regular reports to the relevant regulators.

PAM tools also include unified wallets, which become increasingly important as a casino offers more products. Players don’t want to spend time transferring funds across platforms or verifying their accounts, so a unified wallet can streamline the process and improve the integration of the sportsbook.

However, the most crucial aspect for any sportsbook is the odds. While most get their data from companies like Altenar, some will form direct partnerships with sports leagues like the NBA or FIFA. The data is sourced using advanced algorithms that analyse player stats and past matches. It’s also important to adjust odds for live bets.

Proper guidance

Casino players won’t have the same level of experience as sports bettors, so the user interface needs to be intuitive. Many casinos help newcomers learn how to place bets by providing efficient guides on the mechanics and differences for each market. Some of those guides include:

• How to place bets
• How to use bet builders
• Details on betting on particular sports

Aside from guides, the UI should also have clear indications of what each button does and where each page leads. Simple navigation means a player is less likely to get confused, leave, or ask customer support where to find specific markets. However, the UI shouldn’t be cluttered, which is why most casinos use sidebars that can be opened and closed as needed.

Lacking any of these features can make players feel like the sportsbook has been bolted on and the casino is just chasing trends. This could lead to them losing trust in the brand and refusing to engage with any of its products. That’s why casinos need to invest in a quality sportsbook.

Managed solution and API flexibility

When finding a sportsbook partner, it’s important to consider how to integrate it. A fully managed solution can be helpful, as the casino can use pre-built tools and technology to focus on marketing. However, API flexibility can also be helpful by:

• Standardising data
• Consistent odds across mobile and desktop versions
• Easier live odds adjustments

Having a flexible API structure makes it easier to adapt the platform when new markets are added or new data sources are introduced. APIs are also crucial for handling the betting process, such as accepting and settling wagers. It can also display statistics on player injuries, helping players make more informed decisions.

Both methods have their uses, which is why it’s a good idea to find a partner with experience in hybrid deployment. Having flexible APIs makes it easier to customise the sportsbook and add markets unavailable on other sites, which can help provide an edge over the competition. It’s also important to consider the overall cost of the service when choosing a model.

Legal challenges

Sportsbooks require separate licences from casinos, so creating a new platform also involves acquiring the respective licence from the country’s regulators. This could lead to extra costs, as a casino’s parent company will need to meet all requirements to obtain the licence by implementing the required technology and completing any paperwork.

Fortunately, most regulators outline the requirements and costs for getting a sports betting licence on their websites. For example, the UKGC has pages for each licence type and how much it costs to apply for one. The fees are based on the company’s annual gross gambling yield with examples including:

• £938 fee if the company’s annual GGY is less than £1.5 million
• £2,918 fee if the annual GGY is £55 million or more, but below £110 million
• £7,030 fee if the annual GGY is £1 billion or greater

One advantage of white-label solutions is that they come with their own licence, so the casino doesn’t have to obtain a separate one. However, it’s still a good idea to be familiar with each country’s laws, as it can help with adjustments to the sportsbook and improve trust in the brand.

Conclusion: Current markets

The UK is one of the most highly competitive markets, which is why nearly all the casinos offer sportsbooks. Players expect a high-quality experience that combines casino games and sportsbook events. However, the UK is also highly regulated with strict laws on player protection like:

• Operators must prompt players to set deposit limits before they can deposit
• Wagering requirements are capped at 10x
• Online slot game bets are capped at £2

The Swedish and Dutch markets are also seeing an increase in hybrid operators. However, the Dutch market banned gambling advertisements in sports in 2025, so promoting a brand will be harder. Meanwhile, Sweden only approves brands that have a Swedish licence, so companies can’t rely on licences from other EU countries.

Malta-licensed casinos can serve multiple jurisdictions, so acquiring those licences can be cost-effective. Regardless, it’s always a good idea to keep track of any changes in a country’s laws, which will also improve trust among players, as they can be certain the brand is aiming to provide a quality sportsbook.