How to Grow a Sportsbook

A sportsbook is a gambling establishment that accepts bets on various sporting events. It is often located in the United States, and it offers a variety of betting options including over/under bets, parlays, and futures. It is a popular form of gambling and can be very lucrative if done correctly. Modern bettors are more connected to the goings-on of the betting industry than ever before, so new sportsbooks need to keep up with the trends to attract customers.

A legal sportsbook must be licensed in order to operate, and this can be a lengthy process. It requires extensive documentation and a sizable investment. Getting a license will allow the sportsbook to offer age verification and self-exclusion programs, as well as regular audits. It will also give them the stability of a licensed business, which is necessary to build customer trust.

One of the best ways to grow a sportsbook is by setting up a referral program. This is a marketing tactic that rewards current customers for referring friends and family to the site. The most common type of system involves rewarding the referring person with a financial bonus, which can be either a flat amount of money or a percentage of the initial deposit. Other methods of growing a sportsbook include social media and search engine optimization (SEO). In terms of SEO, there are many techniques that can be used to improve the website’s ranking in a particular area.