The biggest challenges faced by operators in the iGaming industry

Maria Debrincat 1 year ago
The biggest challenges faced by operators in the iGaming industry

The resilient nature of operators in the iGaming sector is another laudable reason for the significant growth witnessed in the sector

The iGaming industry is growing in leaps and bounds on a global scale. Much of this growth is aided by the demand for iGaming solutions, technological advancements, the increasing availability of internet solutions and smart devices, and brilliant internet speed. The resilient nature of operators in the iGaming sector is another laudable reason for the significant growth witnessed in the sector.

iGaming incorporates a lot of internet-enabled gaming activities. Most people associate iGaming with gambling, but iGaming spans more as it includes casino gaming, sports betting, virtual betting, horse and dog racing betting, etc. These activities are extensively patronized around the world on websites such as https://www.betsson.com/no.

The prospects of the iGaming industry look impressive, given the sector’s steady growth. Technology is leading the majority of the changes. With time the iGaming industry will shape up to match the changes. However, the challenges facing players in the global iGaming industry may prevent the actualization of these prospects.

In different parts of the globe, the iGaming sector faces myriad challenges which present in various forms. In the past decade, many of these challenges have been notable. The remarkable transformation of these challenges into stepping stones by players in the iGaming industry has been prominent.

The majority of the challenges over the years are not precisely problems of the iGaming sector but problems emanating from other industries connected to the iGaming sector. Finding immediate solutions to several challenges also proves difficult because, many times, the challenges evolve and present in an entirely different form.

Players in the iGaming sector have relied mostly on technology to solve most of their challenges. Still, some other challenges are beyond the scope of technology even though the technology is highly penetrative.

What are some of the challenges facing operators in the iGaming industry?

Is it possible to grow without challenges? Challenges are natural recipes for growth. Without challenges, it is impossible to grow. The iGaming industry has recorded a significant amount of growth over the years. It has turned many challenges into stepping stones that propelled it.

In order to reach and surpass its projected heights, the iGaming industry must focus on every challenge it faces headlong and use them as stepping stones to tremendous success.

Some of the present challenges facing the iGaming sector include:

  • Inconsistent rules and regulations

The legality of gambling is a big issue in many countries, affecting the fortunes of iGaming in those countries. In other countries where gambling is permitted, the operational scope and the interpretation of the law and rules guiding the operation of iGaming are unclear. As a result, the rules have many changing faces, and iGaming operators have to constantly adjust their operations to meet the demands of these rules. Due to the uncertainty associated with the rules and regulations, iGaming operators cannot make long-term plans because policy directions may completely derail the plans. These rules also affect advertisement, and beyond maintaining strict conformity to ethical advertisement standards, they are more of clampdowns than existing regulations.

  • Responsible gaming challenges

There is a lot of competition in the gaming industry among subsectors. Young internet users are ditching iGaming options for First Person Shooter (FPS) games and other adventurous gaming options. Although the iGaming sector has implemented several solutions to attract young audiences, the challenge of conforming to responsible gaming requirements as related to minors does not exactly make the process of targeting young audiences feasible for most iGaming operators. The burdensome onboarding process of iGaming platforms ends up discouraging younger persons.

  • Rising cases of fraud

With the widespread use of cryptocurrency and other payment options, iGaming platforms are adopting them to make payment processes easier. However, crypto payments and other easy payment processes promote fraudulent practices via iGaming platforms. Money laundering is a big challenge for the iGaming industry. Quite often, the perpetrators of these frauds are conversant with the preventive mechanisms put in place by iGaming platforms. As a result, iGaming platforms have to resort to stricter financial processes, which is not pleasant to most people who patronize them.

  • Increased market competition

iGaming is a subsector of the gaming industry. It faces stiff competition first among other gaming subsectors and other entertainment competitions. Within iGaming as a subsector, there is a lot of competition. As the subsector grows, more spaces are available for new and established players to make new entrants into the iGaming sector. Still, these different competitions are saturating the market and compelling it to move in one direction rather than allowing players in the iGaming sector to spread their tentacles in different directions.

Conclusion

These challenges are limiting the growth of iGaming in different ways. The onus rests with operators in the iGaming sector to continue to find innovative technologies that will keep them one step ahead of these challenges. This will, of course, require a lot of investments on the part of operators. Still, they can rest assured that they will be fully in charge of controlling how these challenges affect them. iGaming has many solid potentials, and the results achieved within the last decade should serve as a needed impetus for a more substantial commitment to beating these numerous challenges.

Join us in Belgrade, Serbia from the 22-25th August:

Renowned for its beautiful scenery, delicious cuisine, rich culture, and penchant for parties, the Balkans have been sought after by both tasteful tourists and entrepreneurs with an eye on the growing iGaming ecosystem calling the region home. As the home to the global gaming community, the SiGMA Conference is known far and wide for its enlightening panels, inspiring speeches, ample opportunities to invest and network, and the ability to do it all while having the time of your life. Join us in Belgrade for the best the industry has to offer and for a window into the future of worldwide gambling. To learn more about sponsorship and speaking opportunities or to inquire about attending the event, please contact Sophie at [email protected].

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