The very existence of casinos in South Africa is a relatively recent phenomenon. In the early years of European settlement, gambling was heavily restricted – largely due to religious reasons. Later, the Gambling Act of 1965 banned all forms of gambling except for on-track horse race betting, and it wasn’t until 1994 – when the Apartheid system had been abolished and the new democratic government came to power – that things changed.

Casinos had existed in the homelands areas of Bophuthatswana, Ciskei, Transkei and Venda, where only native South Africans lived since the 1970s. The most well-known of these was the Sun City Casino and Resort in Bophuthatswana, which was set up by the local hotel owner, Sol Kersner.

The restructuring of the provinces into the nine that now make up South Africa meant that legislation was required to legalise the 2,000 or so casinos that had existed in these areas in the 1990s. The National Gambling Act of 1996 set out proper regulation for the casinos and set up the National Gambling Board to supervise and regulate the industry.

Gambling in South Africa today

There are now 38 regulated land-based casinos mainly located in or near the bigger cities and, like gambling resorts the world over, they are favourite locations for tourists with multiple games rooms, slot machines and restaurants.

However, unlike many other countries that have embraced casino culture, South Africa has yet to legalise online casinos. As it stands, it’s illegal to own or operate one in the country. This rule, though, only relates to games that would usually be found at a casino – games such as poker, slots and blackjack.

Gambling sports and horse racing online is still permitted, but online gambling operators and ISPs can be fined R10 million (£6 million), or face a decade’s jail time, or both. However, it’s technically not illegal to gambling online – as it’s the gambling operator who faces the consequences if they’re found out. With gambling revenues are expected to rise to R30 billion (around £18.1 billion) in 2019 according to a recent PwC report, online gambling still has many opportunities for growth in South Africa.

Could South Africa learn anything from the UK?

Perhaps South Africa could learn from the UK’s approach to gambling. In the UK, it’s just as easy and legal for players to gamble online as it is in a land-based casino, if not easier. Attracted to the hugely convenient prospect of being able to play their favourite games like poker and blackjack from the comfort of the own homes, players are heading to online casinos in their droves. It’s perhaps no wonder that online casinos are today responsible for one-third of all gambling revenue in the UK. On top of this, many online casinos offer a live casino service that hooks up real-life dealers with online gamblers via video stream – making the online offering increasingly more realistic and life-like. To see one of the best virtual gambling operators in action, check out 888 casino online and you’ll soon realise what South African players are missing out on.

Given the clear popularity of gambling in South Africa, online gambling could really flourish there. In the UK online gambling operators contribute to the economy, the tax they pay gives the government more cash to spend on improving life for its citizens – such as building more schools and hospitals, and improving the highway infrastructure. There are many areas in South Africa are in need of improvement, and allowing people to gamble online would give the government the support to make the necessary changes.

The National Gambling Amendment Act could be a way forward for the country – just think of the gains that could be made from the tax revenue. The amendment would include a specific entry on ‘interactive gaming’, to legalise online gaming. An amendment would empower South African casino operators to start offering their services online – and it could introduce new operators to the market, too.

Marketing in land-based casinos in South Africa

When it comes to marketing the casinos in South Africa, the government has taken to regarding the industry as being closely related, and very much part of, the tourism industry. The casinos are all located near some of the top tourist spots and so can benefit from the people that come to see country’s natural attractions. The decision seems to be paying off because land-based casino gambling generates the largest revenues for both the government and the casinos from of the gambling activities in the country – the 38 casinos accounting for 70% of all gambling revenue.

So what are best ways to market casinos? Like any other business, casinos need to marketed. What are the differences between marketing land-based casinos and the online versions? Below are few pointers for would-be marketers of land-based casinos:

• Make a big deal of the fun your casino offers. Call it gaming rather than gambling, and it sounds like a fun game rather than a risk.
• Don’t give your customers a reason to leave. There are no windows to the outside (lest customers realise that it’s morning again!) and there are no clocks. Casinos should provide all the food they’ll want and have a hotel upstairs.
• Treat your customers to great deals. Like supermarkets, casinos are great at offering deals for customers – buy one get one free (BOGOF), and similar are everywhere. In a casino it’s more likely to be a free drink but only because they know that alcohol will make customers more likely to gamble.
• Don’t overcharge entry fees. The glamorous image of casinos suggests that everything will cost a lot of money. Casinos have learned the art of offering low entry fees for everything. It doesn’t cost a lot of money to come and have some fun.
• Provide excellent customer service. It sounds obvious, but offering the most exemplary customer service will mean that customers will come back. Whatever the customer wants, he or she gets.

Marketing in online casinos in South Africa

If legalised in South Africa, online casinos would have to be marketed in a different way. Traditional online advertising methods are not allowed in South Africa, so the online casinos have to take a less direct approach to offering their services; affiliate marketing and online articles in reputable sources are commonplace. When it comes to how to market online casinos over these channels, make sure:

• Focus on price and convenience. It is more difficult to offer a customer ‘fun’ when they are staring at their smartphone screen or computer. Less than serious graphics can help, but the real winner with online offerings is going to be price and convenience. Players don’t have to leave their homes to get involved with online gambling.
• Go bold with colour and design. The most popular games in South Africa are slots and gamblers are attracted to them with colourful designs and plenty of bonus features such as free spins. Blackjack and poker are also favourites, so any online casino operator should push them strongly.
• Plug the immersive experience online casinos can offer. The online experience is constantly being enhanced by the improvements in the available technology. Virtual reality is the future – letting customers believe that they are actually at the table by providing an online experience that is as close as possible to the real thing is now possible.

The marketing of casinos in South Africa has been hugely successful and has been predicated on the natural allure of the continent. Being one of the largest and most lucrative markets in the world and with a population of which 5% regularly gambles, the sector has attracted many operators.

The country has an enviable list of top casinos – Montecasino, Emperors Palace, Gold Reef City, Sun City Resort, Sun Coast Casino – the list goes on. Since their legalisation in the late 1990s casinos have gone on to become some of the world’s most visited destinations – but whether its citizens can one day hope to enjoy the convenience of online gambling, and the nation benefit from the revenue that would bring, remains to be seen.