Online Casinos FAQ’s
8 May 2007No purchase bonuses are not always goodfor the casinos. The reality of these promotions is it is a loss for the casinos, as they have to pay the software provider a % of money on all money wagered, whether it was free slot bonus or
real cash being played. So when they give away 100k in bonuses and are paying out % to software provider, they have lost money. The idea is some of the
players will purchase and this make up for the loss they are taking. The standard online casino only has a profit of about 2% on all purchases.
Some players do not understand how a online casino can only have a small percentage they can keep. The online casinos have operational costs. First they have
a number of employees, more than many landbased casinos. 24 / 7 customer support means there is a number of people answering phones. They IT dept to
ensure the website does not go down, the casino is running smoothly, they spend a lot in marketing, graphics, just a number of expenses you would not
have realized. Then they have to pay a % on all deposits to whomever is processing the money from your account to their account. All these things add up
and when it is all done the online casinos only make about 2% profit. So you may wonder how can they stay in business? Well the 2% will add up if the volume
of players is large.
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