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Casino GGR and NGR: Calculate Your Site’s Profitability

Updated 03.04.2023

Both GGR and NGR casino metrics are important for the iGaming business. They provide insights into a firm's commercial performance and can be used to make informed decisions about operations, advertising, and investment.

Casino GGR and NGR: general info

These terms are important to understand for entrepreneurs. For the operators, it is advisable to rely on competent specialists. The Smart Money aggregator has years of experience in iGaming and helps launch projects, increase profitability and provides decent promotion tools.

GGR in Web Casinos: Basic Info

Gross Gaming Revenue is the total financial value of wagering activities provided by the operator.

The term does not take into account any deductions such as:

  • taxes;
  • operating expenditures;
  • gaming commissions.

GGR meaning in casino establishments includes profits from slot machines, board amusements, sports betting and other gambling activities. Gross Gaming Revenue is one of the most crucial factors in shaping the success and viability of an entertainment company.

There are several benefits of GGR for casinos, including:

Profitability

By tracking the metric over time, an operator can determine whether its wagering activities are generating sufficient revenue to cover all expenses

Investment

Casino GGR is also important for attracting contributions to the gaming sphere.

Investors typically look at the percentage as an indication of its potential for profitability and growth

Benchmarking

By comparing its GGR to that of competitors in the same region or market segment, a casino owner can determine whether it is performing well and detect areas where it needs to be improved

Marketing

Establishments that have high GGR figures can use this as a selling point to potential customers.

It means that they offer a wide range of exciting gambling activities and have a good track record of paying out winnings to players

NGR in Gambling: Key Notions

The abbreviation stands for Net Gaming Revenue, which is another crucial financial metric to measure lucrativeness.

What is casino NGR? It is the quantity of money the enterprise earns from gambling after deducting payouts to punters and other business expenses:

  • salaries;
  • rent;
  • fees;
  • utilities, etc.

Casino NGR is often considered a more accurate measure of the company's profits than GGR since it includes the costs related to site operation.

To calculate NGR meaning, the total revenue is first reduced by any deductions, including taxes, gaming commissions, and other outgoings. The resulting figure reflects the actual profit generated after considering all costs.

NGR has several benefits for casinos, including:

  1. Financial analysis. By deducting payouts to players and other costs, the indicator provides a clearer view of the firm's profitability and allows for better commercial analysis and decision-making.
  2. Operational efficiency. By tracking Net Gaming Revenue, entrepreneurs can identify areas for improvement. For example, if a casino is experiencing low NGR figures in a particular game, the manager can take steps to enhance it or attract more customers.
  3. Promotion. The metric can also be used as a marketing tool to advertise proprietary gambling activities. Establishments that have high figures can use this as a selling point to engage more solvent customers.
  4. Investor confidence. NGR is an indication of the project’s potential for profitability and growth. High figures can make a company a more attractive investment opportunity.

The Main Things about Gaming Financial Terms

GGR and NGR in gambling: key notions

What is GGR casino calculation? And what does NGR mean? In the wagering industry, these are 2 important metrics that provide insights into the commercial performance of an institution.

Knowing these numbers will help you:

  • identify areas for operational improvement;
  • enhance brand promotion;
  • increase gambling profits;
  • attract investment into the industry, etc.

Smart Money is a professional aggregator. We have already served thousands of gaming companies. Our gambling software is a perfect choice for both newcomers and experienced entrepreneurs. We also provide full financial assistance like calculating GGR meaning and other operations.

From our firm, you can purchase:

  • reliable administration software;
  • diverse and trusted payment tools;
  • a vast collection of entertainment for any taste.

For more information about casino profits or to order gambling business software, feel free to connect with our manager.

Hans Adrian

Hans Adrian

B2b Gambling Business Advisor & Strategist

Do you still have any questions? Ask an expert

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