software development Sports Betting Software Development : A Complete Guide

Are you someone who gets excited when it comes to sports? If yes, then this blog is definitely for you. The sporting industry has grown rapidly over the past few years. And with the advancement of technology and increase in the demand of the sporting industry, the demand for sport app development softwares has increased. Moving forward we have seen increased attention in online betting games, etc. 

According to the research done by the Vantage market, the global sports betting industry recorded a spending of $81.03 Billion in the year 2022. And it is now projected to be $167.50 Billion by the year 2020 at a CAGR of (9.50%). 

USA alone recorded a revenue of $7.4 Billion in the year 2022, this accounts for 20% of the global online sports betting revenues and the increase percentage was 71 in the previous year. 

To name a few online sports bettings apps like BetMGM, DraftKings, Fanduel, Bet365 and many more. These sporting platforms are already generating business revenues in millions.  

Now, if you are looking forward to stepping foot in the industry to launch your own sports betting app then we have provided the proof on why you should invest in one. 

When it comes to developing a successful sports betting app as an investment then you need to understand that it requires a great deal of effort and planning to achieve that level. There are many laws and regulations that must be followed in order to launch a sports betting app.  

If you are a startup or an entrepreneur who is new to the industry then there are various things that are important you should know about sports mobile app development.

Being a sports betting software development company, we have helped many businesses by launching their own mobile apps and softwares based on the sports industry. And to help you understand the process that happens in the development of such apps, we have created a complete guide for you. 

What is a Sports Betting App?

A sports betting app is a mobile application designed for people looking forward to betting on sports events. These applications are developed in a way that they allow the user to put money on various sports events such as football, soccer, baseball, tennis, basketball, and many other sports. These sports betting apps give users access to a wide range of betting markets, options and odds as well. Also, these apps enable them to place bets with convenience on their smartphones or tablets. 

Types of Sports Betting Apps

Online sports betting industry is becoming bigger than ever and with plenty of sports that accept wagers or online betting. Additionally, each type of betting sports app such as best fantasy soccer app, Fantasy Kabaddi Apps, etc. have a unique set of features. Therefore, each sports betting app can be categorized into different types based on their features, target audience and their functionality. 

We have narrowed down the list of online betting platforms with examples for your understanding – 

1. Traditional Sportsbook Apps

Examples: Bet365, William Hill, Ladbrokes.

2. Daily Fantasy Sports (DFS) Apps

Examples: DraftKings, FanDuel, Yahoo Fantasy Sports.

3. Betting Exchange Apps

Examples: Betfair Exchange, Smarkets, Matchbook.

4. Social Betting Apps

Examples: BetUp, Betfect.

5. Live Betting Apps

Examples: 888sport, Betway, Unibet.

6. Prop Betting Apps                    

Examples: Bovada, BetOnline, MyBookie.

7. Esports Betting Apps

Examples: Unikrn, Betway Esports.

Why Demand for Sports Betting Apps is on the Rise?

The market of sports app development solutions is rapidly growing, due to the available mobile applications and improved digitalization in the sports segment. Mobile gambling has gained popularity as there is an upsurge of interest in sports all over the world.

Effectiveness of COVID-19 on Sport Betting

A study conducted by Lund University in Sweden showed customers’ interest in sports betting platforms increased during the COVID-19 when many sporting events were excluded.

Interesting Facts about Sports Betting Market

– Sports betting reached its all-time high in Q3 where the American people risked about $23 billion. It is one and a half percent higher than the previous year and seven percent more than what it was six years ago. This figure is expected to rise to $ 100 billion soon. 

– Mobile applications in the USA bringing out some of the best sports betting, self-employed $7. 4 billion in revenue in 2022, while the UK market was £2. 36 billion. 

– The market for online sports betting is anticipated to come up to 180. lack of estimated goals, only AI has the following goals in place to be achieved by 2029: Total Users- 8 million.  

– On the average, world wide the ARPU of online sports betting is about 0 US dollar. 33k.  

Why Invest in a Sports Betting Application?

From these market statistics, entrepreneurs and beginners can estimate the giant opportunity of offering sports betting application development as an ideal startup investment area.

Reasons For The Increase in Launch of Sports Betting Apps

– High mobile app penetration: This brings a boost for the mobile gadgets use hence make sports betting easily accessible.

– Legal approval for sports betting: The number of regions making it legal to engage in sports betting is increasing, meaning that the market is also growing all over the world.

– Growing popularity of online sports betting: It should be noted that this is true because sports fans are now more and more inclined to use the internet for betting.

– 24×7 operations: Sports betting is legal online and can be accessed at any time of the day thus is more attractive to a larger population.

– Live betting opportunities: Options of Live Betting during events such as sporting activities increase user traffic.

– Real-time sports statistics: It means the availability of live stats assists the users in making rational decisions.

– Innovation in online sports gaming: There is always innovation in the technology hence enhancing usability.

These trends explain why it is so viable to engage in the development of sports betting or fantasy sports applications.

Benefits of Sports Betting App Development

The benefits of taking sports app development solutions is for both the user and the business. Years before sports apps were developed, betting was more of a physical game. But with the development of betting apps and its effective features, it is much more convenient and easier. 

1. Convenience

The most significant benefit of Sports Betting Software Development is the convenience it offers to their users. With the use of a mobile application, bettors are able to place wagers from anywhere and at any time without the need to visit the betting location. This convenience of betting enhances the overall experience of the user attracting users who are inclined towards flexibility and ease of access. 

2. Accessibility

Sports mobile app development has made betting online accessible with a wide audience. This allows the user to access online apps from their smartphones, or tablets. An app allows individuals to have access to the traditional betting establishments. This increase in the accessibility allows expansion in the potential user base for betting operators contributing to revenue growth. 

3. Variety of Betting Options 

These applications offer wide betting options. For example, traditional sports betting, Fantasy Kabaddi Apps, live betting, best fantasy soccer app, etc. These apps have such a variety catering to the different preferences of bettors and improves their overall experience. These apps allow the users to choose from different sports events, market bettings and wagers types also. Ensuring there is something for everyone. 

4. Real-Time Information

These sports fantasy apps give users access to real time information which includes live scores, updates on the odds, and match statistics. This helps bettors and other users to make informed decisions about their betting choices. By using the given data, betting businesses can easily create better strategies offering a more engaging and enjoyable online betting experience. 

5. Enhanced User Experience

As a fantasy sports app development company, the importance of user interface and experience is on top priority. The intuitive design, seamless navigation and other interactive features of the sports betting apps provides an enhanced user experience in comparison to the traditional betting methods being used. The conventional methods being used in betting mostly involve physical efforts incurring a cost of burden on both the parties. However, online betting apps come with a lot of exciting features such as live streaming of the game, cash-out options, and in play betting. This further enhances the experience of the user and keeps the bettors engaged with them for a long period of time. 

6. Promotional Opportunities

Sports mobile apps offer a number of promotional opportunities attracting new users and retaining the old ones. These sports betting apps can offer bonuses, free bets, loyalty programs, and many other incentives to keep the game interesting. Through this increased engagement of the game,  they can drive better user engagement and retention as well. 

7. Revenue Generation

Sports Betting Software Development brings revenue opportunities to the businesses that operate in this industry. There are many monetization strategies such as subscription models, in-app ads, partnerships, and other premium features that keep the user interested and engaged with the gaming model. With these revenue generation models, betting operators produce a significant revenue stream from their online apps. 

Sports Betting App Development Process: Steps to Develop a Sports Betting App

The sports app development services are followed through with a significant process to ensure the success of the application. Before our sports app developers start working on the project, a proper plan and strategy is created to make sure everything goes accordingly. From conceptualization to sports app design and development, each and every step is crucial for making the ends of the project meet.

Since we are a leading sports app development company in the market, we know the correct strategies and process it takes to develop an application in order to generate revenue from it. 

Below we have shared the step by step process that goes into the development of the sports betting app – 

Step 1: Get a Gambling License

The market for gambling and betting across the world is in the state of development now, however, such activities are not legal in all countries. Still, some states do not allow the operation of sports betting, while others allow it under licensing requirements.

You should then establish whether the countries you intend to target allow online gambling and sports betting before you launch your Mobile application. If you are to allow it, make sure that you procure the right licenses. Several governmental and non-governmental agencies issue licenses for Sports Betting depending on the country.

Licensing Authorities for Sports Betting:

USA:

New Jersey Division of Gaming Enforcement.

Nevada Gaming Control Board

Pennsylvania Gaming Control Board

UK:

UK Gambling Commission

Australia:

This is an independent communications industry regulator in Australia that is situated in Sydney, New South Wales.

In addition to that, it is important to acquire the appropriate licenses in order to build and launch a sports betting application.

Step 2: Define Your App Concept

The next step towards mobile game app development is defining the concept you have in mind. Whether your idea is practical or not, sharing it with the team of app developers is a must. This will help in understanding the requirements of the client and what all features would they live to have in their application. 

Since there are different types of sports applications as mentioned above. To make things easier and efficient for both the developer and the client, having a concept in mind helps smoothen the process. A sports mobile app development will cover all of the requirements of the client properly once they are laid down on a paper. 

Step 3: Find An Expert Sports Betting App Development Company

Building a sporting app requires a well researched plan and well defined strategies. Your app will be required to build APIs and other technologies such as blockchain betting platform to ensure the success of your application. This will enable smooth functionality of the online betting software. Find a sports betting software development company that has a speciality in developing sports apps. The company should have qualified and experienced app developers to make an application according to the expectations of the client.

Step 4: Choose the Key Features of Sports Betting App

The process used for online betting is not limited to the capability to bet on sports meetings only. Some of the features that are available in mobile game app development includes. However, it is important to note that; the type of features to include will in one way or the other be informed by issues like; the type of application to be developed, betting model to be adopted and the device platforms to be supported.

Still, when doing the sports app design and development, you should take the following factors into consideration together with your app developers to tell which the appropriate are. Some of the frequently used features that you can include in your smart app are as described below.

User-Side Features:

User Registration: None of them have a complicated sign-up and sign-in process.

Real-Time Betting Information: News and updates on the odds and the games and all the sports events.

Bet Placement and Management: Different ways for making and adjusting one’s bets.

Live Streaming: Watch live Sports events of your choice right from the app.

In-Play Betting: A word with them, side with them; wager on the games, but only while they are ongoing.

Favorites and Watchlists: Starring allows the viewer to save favorite teams or events for quick reference.

Push Notifications: Notifications on updates of bets, events, and changes of odds.

Betting History and Tracking: Their previous bets and what they had bet on and whether they won or not.

Cash-Out Feature: The chance to get the money back before the end of the sporting event.

Secure Payment Gateways: Various types of payments with an accent on encryption.

Social Sharing Features: Share bets or achievements on social media.

Admin-Side Features:

User Management: Manage users, and betting as well as their activity.

Content Management: Inform changes made to the events, prognosis and promotions associated with a particular sport.

Risk Management: Control risk for bets and keep track of the same.

Financial Management: Perform general transactions and withdrawals, payments of cash and cheques and payments of accounts.

Compliance and Regulation: Make sure that the app is compatible with the legal and regulatory requirements is another feature that should not be overlooked in the target design.

Promotions and Bonuses: Track bonuses, loyalty, programs and special offers.

Security and Access Control: Ensure users’ information privacy by coming with stringent security measures.

Reporting and Analytics: It is possible to track the performance of the specific social media by using detailed analytics and reports.

Customer Support and Communication: Offer users support and ways for communication.

When implementing all the above features, you can enhance the functionality of your sports betting app while making it easily navigable by the users.

Step 5: Select the Tech Stack for Sports Betting App Development

To create basic and advanced functionalities of the sports mobile app development, one has to decide on the required technologies, tools, and frameworks. The above tech stack is crucial for your app developers when designing the app to enhance the users’ experience.

Moreover, API and third party services integration is used for paid services such as, the actual score update, betting rates in the market, and sports news etc. Don’t forget to mention the current tech stack or preferred integrations to your development team to get the best results. 

Front-End Technologies: 

Native SDKs: In Android, Android Studio is used whereas in iOS, iOS Software Development Kit (iOS SDK) is used. 

Cross-Platform Frameworks: Both React Native and Flutter 

Back-End Technologies: 

Node. js: For server-side development 

MongoDB: Nobody wants to be constrained which is why No SQL database is chosen for scalability. 

SQL: In case of structured data storing 

Integrations: 

Payment Gateway Integration: Stripe, PayPal 

Cryptocurrency Integration: Bitcoin, Ethereum 

Sports Data Providers: Sportradar, Stat Perform 

Regulatory Compliance: 

GDPR: Get Data Privacy page, Data & Privacy Policy, Information We Collect, Data Privacy Information, Data Protection, How We Use Your Information; Standard contractual clauses, EU-U. S. Privacy Shield, and General Data Protection Regulation. 

KYC: It is used for user identity verification which is part of Know Your Customer.  

With proper choices of the technology layer and integration, the advantages of sports mobile app development are given.

Step 6: Develop and Launch

Once all the processes and selections are done for your custom fantasy sports app development, the developers can run the application for final changes and bugs and then launch the application after approval of the client. Keep in mind that the entire process of sports app development will be managed by the company you hire for the same. Be in constant touch with the development team to stay updated on the progress of your application. In the end, when your application passes all the security and quality checks, you can launch it on your preferred app stores. 

How Much does it Cost to Develop a Sports Betting App?

On average, the fantasy app development cost is dependent on the basic and advanced features of your application along with some other factors such as the location of the dev team, complexities, etc. If you are looking for an exact cost estimation of your mobile app development then connecting with us, a fantasy sports app development company would be the right choice for you. 

What are the Monetization Strategies for Sports Betting Apps?

1. Commission on Bets

The most popular type of monetization for sports betting apps is the cut on the bets made by the users. Based on every bet placed by the user, the app gets a small percentage irrespective of the loss or win. This is usually referred to as the ‘vig’ or the ‘juice’ especially when it comes to betting. 

It makes it possible for the platform to make money from each of the transactions, which makes it an end-to-end business model. This strategy is applicable for highly active applications so that even small cut commissions contribute heavily to the developers’ revenues.

2. Subscription Models

Subscription plans provide the user with additional options like providing betting tips, watching the games online or using other additional analytical tools. People can use these services on a monthly or annual basis and therefore the site gets a consistent source of income from the users. 

It proves beneficial in the case of sports betting applications that are keen on giving the user an enhanced experience while at the same time offering useful tools and information. It also enables the firm to keep its regular consumers engaged with the product who continue to seek the added value in the premium products that are likely to be available in the market. 

3. In-App Advertisements

Use of advertisements is another common approach towards maximizing the revenues in the application by placing the advertisements within the sports betting apps. For instance, the app derives its sources of income from the third-party businesses where it makes clicks and/or impressions. 

The type of advertisements can be incorporated at time intervals included between bets and when the user is navigating through the application. Sports betting Apps are allowed to incorporate ads that are sports-related or those related to gaming or even unrelated to betting industries. This counts as one of the Steps to Make Money Through Fantasy Sports App, which is passive all the time, and at the same time ensures that the betting experience of the users does not get disrupted.

4. Affiliate Marketing Partnerships

The other method of monetization is affiliate marketing which is highly profitable. The betting apps should take advantage of this given that they can always tie up with a casino, a sportsbook, or related business. Everytime the user’s registers or makes a purchase using the link, the app earns a commission. 

It is beneficial to both parties because of sharing of new customers, this makes a win- win situation. This strategy is particularly suitable for apps that are less specific in terms of target audience as affiliate marketing provides numerous ways of monetization based on partnership with businesses from the sphere of sport and betting.

To Conclude 

The Sports Betting Software Development involves strategies such as commissions, subscription, advertisements, and affiliate marketing. Both methods provide different approaches for creating revenues while improving the users’ experience. When done appropriately, it means that you can achieve the right blend resulting in the formulation of the right business model that will sustain you for many years to come. Any start up or business trying to build a feature driven, high revenue generating sports betting app, needs to take the services of a fantasy sports app development company, TechGropse. We offer full solutions, from application development to integrations and monetization planning that allows you to develop a profitable application.

FAQs

What licenses are needed to develop a sports betting app? How does the commission model work in sports betting apps? Is it necessary to comply with regulations like GDPR? What types of payment methods should be integrated into the app? How can I increase user engagement on my sports betting app?