We’re going to analyze what you should be paying to run your online sportsbook.

One of the most common questions we’re asked is whether or not a bookie is paying the “right” price to operate their sportsbook. The right price can definitely be a bit subjective.

There are some white label sportsbook solutions that require an upfront investment of $50,000+, but there are also services where you can pay $1/head to run a bare bones gambling website.

We don’t recommend either of these options.

Best Way to Start an Online Sportsbook

Using a pay per head service is the best way to launch a sportsbook.

The price can vary, though. As mentioned above, there are some services charging $1/head without many features and then some can cost upwards of $25+/head depending upon what you need.

Some charges have a per head fee and then upcharge for additional features. This is when you can end up paying $25+/head and at that price, you’re losing too much of your potential profits.

The most you should be paying is $10/head for a PPH service and that’s when you’re starting out.

Ways to Lower the $10/Head Price

You don’t want to lose out on any features, but there are still ways to lower the price.

• Free Trials: Did you know you can often get up to a month free when starting out with a PPH service? All of the top PPH sites have free trials, allowing new bookies to book some profits.

• Volume: As your betting sheet grows (number of active players), the price you pay per head will decrease. Volume discounts typically begin once you have 25+ active players.

• Avoid Upsells: The best pay per head services don’t have any upcharges for features like the online casino and racebook. Avoid any service where you need to pay extra for everything.

What PPH Features Are Included at $10/Head

Look for these features when joining a PPH. While all PPH services have sportsbooks, not all of them will offer these additional features without trying to upcharge you.

• Live Dealer Casino: Nearly all PPH services have online casinos, but not many will offer live dealer casino games without upcharging bookies, so look out for this feature.

• Live Betting: Are you only offering live straight bets currently? You need to offer players an expansive live betting menu nowadays to keep them engaged and make you money.

These are the two main features you should be looking for when paying $10/head.

Of course, there will be plenty of other features, such as oddsmakers to handle the betting lines, real-time reports to analyze all of your data and clerks to provide 24/7 support.

If you’re paying more than $10/head, you’re paying too much.

There’s no reason to pay more than $10/head nowadays, as the best platforms are charging that price with all of the extra perks listed above. So, are you paying the right price for your PPH?