Online gambling merchant accounts are a great way for online casinos, sportsbooks and games of skill to maximize revenue and guarantee customer satisfaction. This article shows you how!
While online gambling is only legal in a few US states, the global online gambling market is estimated to reach over 127 billion by 2027. With the market continuing to grow and grow, competition for players is becoming more and more intense.
Quick and seamless payment processing is an essential ingredient for all online gambling companies. Not only is it central to maximizing revenue by making it as easy as possible for your customers to pay you for your services, but it also boosts your customer experience and retention rates.
Being able to easily accept payments from your customers and make pay-outs to winners is the bread and butter of your user experience. Because of this, choosing the right payment method is vital for online gambling merchants.
Being able to quickly and easily process credit and debit card payments from players is vital for online gambling companies. To achieve the optimal user experience and make it as easy as possible for players to make payments to your site, it is important to accept all the major credit cards. Additions such as Union Pay also give a greater choice to gamers.
International accounts for online casinos, sportsbooks and games of skill represent an ideal solution for all kinds of online gaming merchants. This includes online poker and casinos, multiplayer video games, fantasy sports and racetracks, skilled games and wagering sites.
Handling chargebacks on credit card transactions is also an ongoing issue for online gambling merchants. Banks and credit card companies’ tendency is to side with card holders as opposed to merchants. This is because those institutions earn large profits from card purchases, and therefore wish to retain card-using customers as much as possible.
Because of this, it is much easier for an online gaming company’s customer to request a chargeback on a credit card transaction than a debit card. For online gambling companies, the mantra is therefore the more payments that can be processed by debit card the better.
Put simply, debit card payments are directly deducted from players’ bank accounts. Issuing banks are less inclined to side with the consumer on debit card chargebacks because this mode of payment is less financially attractive to them than credit cards.
The period for chargebacks is also much more limited on debit card payments than on credit card payments. While customers have up to 180 days to dispute charges made on credit cards, debit card holders have a maximum of 60 days to make a claim – and even then the bank’s liability for the chargeback decreases during that period. Further to this, the consumer is required to produce much more documentation for a debit card chargeback, and is expected to prove that the service was not delivered or the transaction was not authorized.
In short, banks risk a much greater financial loss when declining a chargeback to a credit card than a debit card. Because of this, debit card payments are much more attractive for online gambling merchants.
Despite these concerns for online gambling merchants with credit card payments, the fact remains that the more payment options you give to your customers, the more revenue you can make.
The added security that an online gambling merchant account offers enables you to accept all types of debit and credit card payments. Online gambling merchant accounts can also include alternative payment methods. The more ways players can pay you, the more money you make.