Business Recovery Guide: What to Do If Your iGaming Project is Going Through a Crisis?
The gambling business is as vulnerable as any other. It requires constant attention and hard work, including work on crisis prevention and management. However, no industry is immune to crises, and being ready to deal with them is part of running a business. Slotegrator shares a special guide on how to do it promptly and efficiently.
The recent COVID-19 pandemic had a negative impact on businesses in almost every niche across the globe, however, the most flexible and quick decision-makers managed to keep their companies in business going online. Eventually, land-based establishments re-opened, though online platforms had strengthened their positions; today the online gambling industry is growing like never before.
Other risks relate to regulatory changes. Changes in regulation can make the operation more difficult — or even impossible.
Some regulators try to assist operators in such situations. The Isle of Man, for example, offers a Disaster Recovery program. This is a perfect option for businesses to remain afloat if they face a political or economic disaster in the region where they operate. The Disaster Recovery program allows platform owners to smoothly move their operation to the Isle of Man without interrupting their business.
This year, there was a number of changes in regulations worldwide. More about it you can read here.
How to Deal with Crisis?
Different situations can lead to unexpected results. What iGaming brands can do to deal with any kind of crisis?
Gambling businesses need to bounce back quickly. Hesitation takes time, and time is money — money needed to pay expenses such as salaries, rent, license costs, and others. If a land-based or online casino keeps operating but players don’t come, the costs will mount up quickly, and if the operation has to stop or pause, it’s also expensive to restart.
But in any case, an iGaming brand needs a special plan – a detailed guide on steps businesses should take in case of an unexpected event and after it.
Slotegrator recommends following PPRR (prevention, preparedness, response, recovery) model, which describes a cyclical way of dealing with any crisis on an operational level:
Prevention: the goal of preventive steps is to reduce the likelihood of a crisis situation occurring — these are measures taken before the crisis to minimize the risks and possible negative outcomes of the disaster.
Preparedness: this is a stage when the actual plan is being prepared based on possible risk evaluation. The plan should assign roles and responsibilities, educate and share information about vulnerabilities and strengths, and provide conditions for collaboration.
Response: this is the stage when, both during and right after the crisis, available resources are evaluated and actions are coordinated. The plan is implemented. The goal of the response is to protect equity and save (recover) the operation as far as possible.
Recovery: recovery is a complex process. All teams should work in collaboration and ensure clear communication, the risks and losses should be assessed and strengths and resources identified. Recovery includes financial, legal, marketing, and operational actions.
Companies need to act quickly in a crisis. Special recovery teams (internal or external) can come in very handy.