The iGaming industry is a fluid environment where technologies play a highly important role. The iGaming market is a captivating ecosystem of many players interacting with what is actually a supply chain to bring online slots and table games to players via online casinos.
This supply chain starts with software providers, who are game developers. Without the games, there would be no online casinos as it is the software provider brands that create B2B deals to supply operators and aggregator platforms with casino games.
Further up the iGaming supply chain, there are aggregators providing turnkey solutions for operators. These aggregators are optional for operators and effectively give the operators a platform to deliver casino games to players. In contrast, other casinos will skip the aggregators and create a bespoke platform to deliver games to players.
The B2C side of iGaming comes into play at the top of the supply chain. These operators create B2B deals with aggregators and software providers to deliver games to players via their customer-facing online casinos.
Each of these three casino game supply chain partners is responsible for creating and delivering the tech that allows casino players to gamble online. Thanks to Finnish online casino experts at Nettirahapelit.org who decided to share some insights on different key areas of the iGaming business model and its nuances with us.
Software Providers: The Creators of Online Casino Games
Software developers are responsible for designing and creating casino games. Effectively, they are at the beginning of the iGaming supply chain.
They are software companies that create APIs so online casinos can plug into the game their online slots or table games to deliver the games to players. That means you could say that the software providers are the engine or root of the iGaming industry.
Over 200 software providers currently operate within the iGaming market. When players log onto an online casino, they will see slots and table games from various software providers like Pragmatic Play or Playtech.
You can usually get free demo slots from these software provider brands directly at the casino or via a site that specialises in reviewing online slots. Most players prefer to read expert reviews and play demo slots for free on the review site to test the game.
Once they decide on a game they like the look of, they then head to the real money version of that game on an online casino site.
Key Functions of Software Providers:
- Game Development: This function creates the games’ orientation, mechanics, looks, features, and actions. The top providers invest in advanced solutions and technology to guarantee high-definition graphics and extreme-action online gaming environments.
- Regulatory Compliance: Providers ensure that their games comply with all jurisdictions’ legal and regulatory requirements, such as fair play, security, and responsible gaming.
- Integration and updates: For example, they help developers integrate their games into different casino infrastructures and update their games, adding new features and upgrades.
Some of the most well-known software provider brands:
Games Global, NetEnt, and Evolution Gaming are some of the biggest online casino game developers. Online casinos can choose a variety of games from these companies to enhance their casino game lobbies.
Casino Operators: The B2C Interface
Casino operators have the most direct relationship with the end-users: the players. They receive the software from providers through B2B contracts.
Once a B2B supply contract has been signed, the casino can offer its players any game from the software provider’s library. The more deals an operator can make with various software providers, the more games the casino can offer its players.
You may find that there are Casino Groups that are operators that have multiple online casino brands. For example, LeoVegas is owned by MGM Resorts International. Under the flagship owner you will find the LeoVegas Group, which operates online casinos like Royal Panda, 21.co.uk, and LeoVegas, while the MGM Resorts operates the BetMGM casino.
Core Responsibilities of Casino Operators:
Platform Management: Staff who take care of the casino’s operating program—i.e., the website or app gamblers use to play the games. This involves designing the user interface, keeping glitches at bay, and generally making it as smooth and easy as possible for the player to gamble using real money or cryptocurrency.
- Marketing and promotions: They are in charge of player acquisition and retention through marketing and promotions (bonuses, incentives, rewards) designed to attract and retain players.
- Customer Support: The operator handles inquiries regarding game management tasks, gameplay, transactional issues, or account management.
Some of the most well-known brands from operators:
LeoVegas, 888 Casino, and Betway are user-centric operators with multiple games available.
Aggregators: The Providers of Turnkey Solutions
Aggregators reduce complexity for operators by providing out-of-the-box solutions with a fully integrated casino environment, which operators can brand as their own, plug into their existing solution, or replace it with. This turnkey solution provides operators access to a broad spectrum of games and even the complex middle- and back-end functionalities and services without needing to develop them on their own.
Roles of Aggregators:
- Ready to Use Platform: Game libraries, payment systems, and management tools are all in place, allowing an operator to launch quickly.
- The ability to customise: They provide operators with options to build their brand image and market strategy through customising the platform.
- Integration: The aggregator combines all software providers’ games into a single, operator-friendly platform.
Some of the most well-known brands from operators:
SoftGamings, EveryMatrix, Soft2Bet, Playtech, and SOFTSWISS.
The iGaming Supply Chain Summed Up
Software providers create games that become the engines of the casinos; operators, the actual realms where the games are played, bring the games to users in an intuitive, safe, and profitable setting; and aggregators are the Swiss army knives of the industry. Basically, aggregators offer one-click solutions for operators.
In short, the iGaming ecosystem relies on the work of these three main categories of companies, all collaborating to keep pushing and innovating this industry. With the connection between these types of iGaming businesses, the online casino industry is constantly evolving.
