SBC Leaders Magazine Issue 27

SECTION

BARCELONA 2023

I S S U E

2 7

LIVESCORE

The convergence model Content is nothing without distribution

ROOBET

Boing, boing

Evoplay

Vladimir Malakchi Experimentation without fear 1

Kangaroos, crypto, rappers and fighters

BETSSON

Betsson goes Racing A match made in Avellaneda

Award-winning apps, websites and digital UX:

G Casino H Lottery J Sportsbook www.mkodo.com | hello@mkodo.com

Geolocation built exclusively for iGaming

www.geolocs.io | hello@geolocs.io

EDITOR’S NOTE

Editor’s Note Welcome to Issue 27 of SBC Leaders magazine!

As you can imagine, the SBC Leaders team has been fixated on what will be our biggest event to date - SBC Summit Barcelona - and in preparation for our trip to Spain we’ve had a bit of a makeover.

I say ‘a bit’, but what I really mean is a complete redesign to reflect the high-end nature of the wider SBC Leaders brand.

I’m delighted with the results, which provide a suitably stylish setting for those industry leaders featured in the magazine.

Of course, I can’t take any credit for this (a quick glance at the accompanying photo will tell you that style isn’t my thing).

Instead I have to offer a huge thank you to our designer, Jessica Camilleri, for her exceptional work on the project.

To accompany the new look, we have a selection of fascinating interviews, including our cover story with Evoplay’s Vladimir Malakchi, looking at his approach to leadership and growing a business.

Elsewhere, LiveScore Group’s CEO Sam Sadi explains what it takes to develop a successful media betting convergence model - and it may not be what industry commentators have led you to believe.

We also hear from Entain’s Group Operations Director Peter Marcus about advances in player protection, Brazilian government advisor José Francisco Manssur on the nation’s regulatory progress, and Roobet Co-Founder Matt Duea on some fun promotional ideas.

Enjoy the magazine, enjoy Barcelona and if you see us at the Summit, come and say hello!

- Martyn Elliott

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SBC LEADERS ISSUE 27

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06 A fearless approach Evoplay’s Vladimir Malakchi talks all things leadership

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An evolving gaming industry The GGA’s George Mamulaishvili examines the state of play in Georgia

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23 Building a protective ARC

Peter Marcus details Entain’s industry-leading player protection efforts

30 Computer Vision looks to the future

38 All eyes on Saudi Reuben Thomas of Abelson Info shines a spotlight on the Saudi Pro League

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Data good. Data + human touch = better

SPORTS BETTING

Sportradar’s Luka Pataky explains how AI is shaping betting’s future

Data.Bet’s Alex Kozachenko reveals the secrets of esports success

18 Content is king? Dis-

35 Stimulating value by

46 Radio is a sound

Conleth Byrne of SIS details the growth of sports simulations

Sports Broadcast Media discuss the launch of BettingRad.io

tribution is the real royal LiveScore Group CEO Sam Sadi explains why content alone is not enough

simulating action

salvation

The SBC Leaders Magazine is brought to you by SBC - Sports Betting Community: Editorial Team: Erin Gallagher, Andrew McCarron, Craig Davies, Ted Menmuir, Joe Streeter, Chris Murphy, James Ross, Lucia Mouriño, Conor Porter, Charlie Horner, Jessie Sale, Fernando Noodt Molins, Callum Williams, Viktor Kayed, Martyn Elliott, Nick Ware, Lucia Gando, Jessica Welman, Ted Orme-Claye, Danny Lee Sales Team: John Cook, Rasmus Sojmark, Alyona Gromova, Conall McCabe, Jan Kowalczyk, Richard Deacon, Bob McFarland, Craig Brown, Juan Ospina Creative Lead | Design and Layout: Jessica Camilleri All material is strictly copyrighted and all rights are reserved. No part of this publication may be reproduced in whole or in part without the written permission of Sports Betting Community Ltd. Although every effort has been made to ensure the accuracy of the information contained in this publication, Sports Betting Community Ltd cannot be held responsible for any errors it may contain. Sports Betting Community Ltd cannot be held responsible for the loss or damage of any material, solicited or unsolicited.

The views in the publication are not necessarily the views of Sports Betting Community Ltd or those of the advertisers.

Produced and published by Sports Betting Community Ltd REGISTERED ADDRESS: SBC, Riverbank House, 1 Putney Bridge Approach, London, SW6 3JD TEL: +44 (0) 161 367 1250 | EMAIL: sales@sbcgaming.com | WEB: www.sbcgaming.com & www.sbcleaders.com

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Contents 50 Secrets of Bettors’

MARKETING

Uplatform takes us on a whistlestop world tour

Here come the kangaroos

CASINO

Roobet Co-Founder Matt Duea is thinking out of the pouch

58 The future of

86 An ever-growing

Yolo Group’s Mark Taffler reveals the next steps for aggregators

Marina Ilyina, CEO of PIN-UP Global, talks international expansion

62 Behind the Success

NORTH AMERICA

Behaviour

content aggregation

Celebrating 15 years of games developer GAMOMAT

66 Championing

innovation in iGaming

Campeón Gaming’s Marinos Shiapanis discusses leadership and innovation

70 Up, up and away Goga Bibiluri reflects on Upgaming’s technological advancements

75 Going beyond partnerships

Quixant’s Duncan Faithfull asks - partner or great supplier?

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86

ecosystem

96 Land of opportunity?

Are player acquisition costs killing the American dream?

101 Geolocation, location, location

mkodo’s Stuart Godfree on succeeding in Ontario

105 Take your seat for in-play action

Retail betting has a big future, says SUZOHAPP’s Tim Kennedy

PAYMENTS

132 Embracing accountability

Payments companies must support operators, says Neosurf’s Andrea McGeachin

134 The transforma-

tive power of blockchain

A period of tremendous change

109

Dmitri Volkov of NuxGame explains how blockchain can redefine iGaming

Continent 8’s Michael Tobin on 25 years of success

136 Choice overload

LATIN AMERICA

116 Betsson paints

Argentina efforts in white and blue

Why Racing Club is key to Betsson’s Argentinian approach

120

Regulation to bring major benefits to Brazil José Francisco Manssur explains the intricacies of the new regulations

5

Alexandra Cernescu of Xace explains how to find the right payments partner

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SPOTLIGHT

a fearless approach

SBC LEADERS ISSUE 27

Words by ERIN GALLAGHER

Vladimir Malakchi, CCO at Evoplay

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SPOTLIGHT

Evoplay’s Chief Commercial Officer VLADIMIR MALAKCHI talks all things leadership as he spotlights the games developer’s successes in 2023 and upcoming opportunities for growth this year.

Q.

SBC: IF YOU WERE ASKED TO DESCRIBE YOURSELF AS A LEADER, WHAT WOULD YOU SAY?

a common thread weaves through all our milestones: the remarkable tenacity and dedication of our team.

VM: I would portray myself as a catalyst who aims to empower and inspire the team.

Skills and knowledge are crucial, but I truly believe in creating an environment where everyone feels respected, valued and free to contribute their unique talents.

My goal is to encourage a sense of camaraderie where team members feel at ease discussing anything, be it related to work or personal life.

My approach to leadership is influenced by several exceptional leaders I’ve had the privilege to work with, shaping me into a leader who balances assertiveness with empathy, sets high expectations and also nurtures growth. I am steadfast in the pursuit of excellence, always fostering a positive and constructive environment.

I place utmost importance on the growth of each team member, cultivating strong bonds and offering mentorship to ensure both individual and team success.

SBC: WHAT APPROACHES HAVE HELPED TO ENSURE EVOPLAY’S SUCCESSES IN 2023? WHAT HAVE BEEN THE TOP FIVE MILESTONES?

In the face of adversity, our team displayed incredible resilience, showing their commitment by working from bomb shelters for extended periods. This relentless pursuit of excellence is what defines Evoplay.

The foundation of our success lies in our fearless approach to experimentation and our constant pursuit of innovation. We see

“

Business isn’t just about transactions.

It’s about human connections.

each endeavour, each product we sell and each way we sell them as an opportunity for growth and improvement.

VM: Over the past year, Evoplay has taken significant strides on an extraordinary journey of expansion and achievement. With each milestone, no matter how seemingly small, we have propelled closer to our goal of becoming a leading force in the iGaming industry.

We refuse to settle for the ordinary, choosing instead to embrace calculated risks and invest our all in every venture.

This approach has been instrumental in accelerating our progress and setting the stage for even greater achievements. Our dedication to innovation and a fearless approach to growth encapsulates our ethos.

This journey has been marked by launching campaigns and welcoming talented individuals to our team. Distilling this journey into just five moments would overlook the richness of our accomplishments, but

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SPOTLIGHT

SBC LEADERS ISSUE 27

SBC: IN YOUR OPINION, WHAT ARE THE DOS AND DON’TS FOR IGAMING BUSINESSES LOOKING TO SCALE?

Our commitment to producing an amazing product and actively seeking feedback from partners fuels our continuous improvement. We envision a commercial department of 200 people united by expertise, creativity and a shared passion for shaping the future of iGaming.

VM: When it comes to achieving growth and scaling in the iGaming industry, there’s one vital approach that should be at the forefront: understanding and connecting with your customers. It’s not about simply creating something because everyone else is doing it. It’s about diving deep into the hearts and minds of your customers.

SBC: WHAT BUSINESS GOALS IS EVOPLAY PRIORITISING IN THE UPCOMING YEAR? VM: Evoplay has exciting business goals that will drive our growth and success. We have a never-before-seen, flagship title in the works, inspired by our past triumphs and aimed at making a significant impact.

We’re also eager to conquer the Brazilian market with our football-themed titles.

Take the time to truly listen to their needs, their desires and their pain points. What keeps them up at night? What are they longing for? When you have a crystal-clear understanding of their struggles, you can craft a product that fills that void and brings joy, excitement, and emotion to their lives.

Expanding our presence in the North American markets is another top priority.

We’re developing new products specifically tailored to these regions, considering their unique preferences and regulations. Through optimised presence and targeted marketing, we aim to reach the right audience and make a splash in these markets.

But here’s the thing: don’t stop at just solving problems. Be the partner that goes beyond expectations. In this vast sea of providers and countless games, you have the power to offer so much more.

Business isn’t just about transactions; it’s about human connections. It’s about building relationships based on trust and genuine care.

We’re also committed to taking our B2C operations to new heights by exploring fresh opportunities, embracing innovation and delivering exceptional experiences.

Be the person your customers can turn to for advice. When you put people first, that’s when you’ll experience true growth.

SBC: EVOPLAY IS KNOWN FOR ITS INNOVATIVE OFFERINGS. COULD YOU GIVE US A GLIMPSE INTO THE HIGHLY ANTICIPATED FLAGSHIP PRODUCT FROM EVOPLAY?

SBC: ALONG WITH THE BUSINESS, EVOPLAY’S COMMERCIAL DEPARTMENT HAS GROWN TENFOLD IN 2023. WHAT’S BEEN THE SECRET BEHIND THIS GROWTH?

VM: The anticipation for our flagship product is electric! While I can’t spill all the details just yet, I can tease you with a parallel that might rev your engine.

Imagine the exhilarating vibes of the Need for Speed movies infused into our upcoming game. We’ve meticulously audited our previous successful flagships to create something truly remarkable.

Unlike traditional slot-style mechanics, this game will break new ground and offer a fresh experience. With technology that sets it apart from anything else on the market, it’s poised to be a game-changer.

Keep your eyes peeled for the big reveal.

VM: The rapid growth of Evoplay’s commercial department has been an exhilarating journey, and managing the processes during this expansion has been remarkable. By finding the right people and empowering them, we’ve created a dynamic and self-sufficient team.

Leveraging technology has allowed us to optimise our operations and focus on building strong relationships with partners. We understand that trust is the bedrock of these connections.

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SPOTLIGHT

“

Most Inspiring Business Story: Riot Games Brand philosophy: ‘Always look out for smaller fish in the market; the next day, they can take the lead over you. Don’t underestimate competitors.’

- Rolls-Royce, Lamborghini, Ferrari A person you would like to meet: Andrew Horowitz Quote: “Either to win or to die”

- Vincere aut mori

SBC: WHAT ADVICE WOULD YOU, AS A LEADER, GIVE TO THOSE WHO ASPIRE TO BE SUCCESSFUL IN THE IGAMING INDUSTRY?

Forge connections with industry influencers and mentors who can guide you on your journey. And here’s a little secret: tune in to the “How I Built This” podcast. It’s a treasure trove of stories about visionaries who turned their dreams into million-dollar companies.

VM: To all the aspiring leaders in the iGaming industry; If you want to succeed, cut through the noise and focus on what truly matters.

Keep things simple yet extraordinary. Don’t let complexity cloud your vision. Strive for exceptional quality and clarity in everything you do.

Remember, there’s no fixed roadmap to success in the iGaming industry. It’s a thrilling adventure filled with twists and turns. Stay adaptable and never stop learning.

With passion coursing through your veins, persistence as your guiding light and an unwavering commitment to excellence, you can carve your own extraordinary path. So go out there, chase your dreams and make your mark!

Immerse yourself in this industry. Dive into podcasts, interviews and resources that unravel the mysteries of iGaming. Learn from the experiences of others, absorb their wisdom, and let their stories inspire you.

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SBC SUMMIT TBILISI

SBC LEADERS ISSUE 27

An Evolving Gaming Industry Ahead of October’s SBC Summit Tbilisi, the Georgian Gambling Association’s Head Of Administration GEORGE MAMULAISHVILI examines the state of play in Georgia’s gaming industry.

Words by GEORGE MAMULAISHVILI

T

Betsson Group are already active in the Georgian market.

he gaming industry in Georgia has experienced significant fluctuations in recent times, primarily due to the introduction of additional regulations. While regulation plays a crucial role in shaping the gaming business, it is essential to adopt the right approach to avoid creating new problems.

However, the presence of illegal operators remains a significant challenge that requires comprehensive approaches from both operators and the State. It is essential to promote local operators and implement effective preventative measures to discourage players from turning to these illegal operators.

Despite these challenges, Georgia’s market is rapidly developing and growing, with changes in player behaviour and the formation of a gaming culture.

While legislative changes are being made worldwide to combat illegal activities, the promotion of legal operators is proven to be the most effective method. Incorporating the expertise of business professionals in discussions and decision-making processes is crucial to creating a favourable legal framework that supports the industry.

This has created the potential for the Georgian market to expand internationally, driven by flexible tax legislation that has attracted numerous foreign companies, particularly game providers. Additionally, established operators such as Entain, Flutter and

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SBC SUMMIT TBILISI

“

The gaming industry in Georgia faces both challenges and opportunities.

CHANGES TO THE LEGAL FRAMEWORK Starting from June 2024, significant changes will be implemented in the legal framework governing the gaming industry in Georgia. These changes include the introduction of three types of licences for online casinos: online casino, online slot machines, and online betting.

Previously, only two licence types were available for online casinos and online betting. Additionally, online operators will be subject to a quarterly fee of 250,000 GEL (GBP 75,000), in addition to the licence fee.

Furthermore, the conditions for obtaining a licence have been revised. Previously, online activity licences were tied to physical facilities, such as a casino or bookmaker’s office.

Under the new regulations, companies will have the option to open any of the three types of physical facilities: a casino, a slot machine salon, or a totalizer. Each type of physical facility will incur a licence cost of 100,000 GEL. Alternatively, online operators can choose not to have a physical facility but will be required to pay higher licence fees: 1 million GEL for online slot machines, 1 million GEL for online totalizer, and 5 million GEL for online casino.

While the introduction of licensing was necessary, the approach may require reconsideration. Online operators are primarily focused on the online space and might find the price charged for online

casino licences unreasonable.

Additionally, the division of licences into three parts might be viewed as irrational, considering the changing landscape of the gambling industry.

A LAND OF POTENTIAL The gambling industry in Georgia is experiencing significant growth, positioning the country as a potential hub for post-Soviet and Asian countries. This trend has attracted numerous new operators and game suppliers to relocate their operations to Georgia.

The logical reasons behind this shift can be attributed to several factors. Firstly, Georgia’s tax laws offer remarkable flexibility, particularly benefiting technology and IT companies. Additionally, the country provides easy access to neighbouring markets and stands out for its corruptionfree business environment, distinguishing it from some of its neighbours. The ease of managing and initiating a business in Georgia further adds to its appeal.

With the right legislative approach, companies have the opportunity to enter international markets and offer their services to foreign customers. The requirement of gaming licensing has significantly enhanced the credibility of gambling providers based in Georgia.

The strict monitoring and regulation imposed by our legislation contribute to their positive image, leading foreign operators to seek collaboration

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with Georgian companies.

Consequently, Georgia’s market proves to be both promising and conducive to growth within the industry.

ASSOCIATIONS AND COLLABORATION Associations, such as the GGA, play a vital role in the gaming industry as they act in the best interests of operators, engaging in consultations with the State and seeking relevant information to enhance industry practices.

Active involvement in the development of legislative projects is crucial. For example, associations significantly contributed to the formulation of the User Verification of Identity Law, which had a positive impact on the industry from an AML perspective.

Through acting as mediators between the State and business operators, associations facilitate effective cooperation and actively engage with regulators. They also promote responsible gaming campaigns and play a crucial role in disseminating accurate information and statistics to combat the stigma associated with the industry. Furthermore, associations assist new market entrants by providing guidance and support.

The gaming industry in Georgia faces both challenges and opportunities but, with the collaborative efforts of all stakeholders, it can continue to grow and thrive.

MAKING HEADLINES

SBC LEADERS ISSUE 27

Courtrooms, boardrooms, free speech and football

The SBC Media team publishes more than 250 articles a week across its network of news websites, but predicting which will attract the most interest is far from an exact science, as this round-up of our most-read stories of the first half of 2023 shows.

Words by MARTYN ELLIOTT

IT’S WHAT MADISON WOULD HAVE WANTED

COURTING (UNWANTED) PUBLICITY There have been some eye-wateringly expensive regulatory cases involving major European operators this year, but bet365 has stayed out of that particular spotlight. However, two unusual legal cases involving the betting behemoth caught the eye of SBC’s readers.

The first of them saw Essex fraudster Jon Howard jailed for five years for his role in an industrial-scale bonus abuse syndicate that swindled bet365 out of an estimated £236,000.

The second saw a Danish court order the bookmaker to pay DKK 4.7million in compensation to a group of 23 athletes, including Manchester United’s Christian Eriksen and Olympic badminton champion Viktor Axelsen, for unauthorised use of their names and photos on social media. bet365 argued that the posts were editorial in nature so covered by fair usage, but the court ruled that such social media activity constituted marketing activity meaning use of the names and images required consent.

Perhaps something for all social media managers to think about.

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Barstool Sportsbook’s habit of acquiring headlines at a quicker rate than market share continued when online sports betting went live in Massachusetts, where the bros’ ‘Can’t Lose Parlay’ offer prompted some - frankly ridiculous, but highly entertaining - debate at a state Gaming Commission hearing.

While Commissioners argued that the offer violated regulations because the ‘Can’t Lose’ section of the name was misleading, Barstool’s counsel insisted the moniker was very obviously tongue-in-cheek and that any reasonable person would understand that a wager could in fact be lost.

As SBC Americas reported, the sportsbook’s lawyer also, remarkably, pulled out the biggest gun in the legal armoury and claimed that the promotion could not violate gaming regulations because it was constitutionally protected as free speech.

Maybe not exactly what the First Amendment was intended for.

MAKING HEADLINES

MALTESE CROSS WITH FOREIGN REGULATORS? It’s rare that proceedings in the Maltese Parliament make international headlines, but the passage of Bill 55 into law was an exception.

The provisions of the ‘Gaming Amendment Bill’ allow Maltese courts to ignore the judgements of overseas regulators if they conflict with or undermine the provision of gaming services in Malta, or if enforcement measures relate to an activity lawful under the island’s Gambling Act. As SBC News readers learned, the measure has proved highly controversial.

Some observers believe it was a direct - almost protectionist - response to action taken against Malta-licensed companies by authorities in Austria and Germany, who had accused those businesses of operating illegally in their jurisdictions.

SOAP OPERA SHENANIGANS M&A is a firm favourite of readers of all the SBC websites, and stories about Entain’s push to buy, well, everything and Gary Green’s interest in IGT’s slot machine business proved popular.

But leading the way in terms of interest was the soap opera surrounding PointsBet’s disposal of its US business.

Playing the Bobby Ewing role was cleancut newcomer Fanatics Betting and Gaming, headed by former FanDuel CEO Matt King, who believed they had a deal in place to snap up PointsBet and secure access to multiple states.

They’d reckoned without the

presence of a scheming J.R. in the form of DraftKings, which threw a spanner in the works with a mischievous late, higher but nonbinding bid.

But with the help of huge amounts of cash generated by the sale of cheap replica sportswear, Fanatics was subsequently able to top that bid and clinch the deal, which the PointsBet board announced accompanied by some thinly-veiled criticism of DraftKings’ conduct.

Fortunately all this was achieved without a Kristin Shepard character edging their way into the narrative.

NO MORE SPONSORSHIPS… WELL MAYBE JUST A FEW until a backlash from supporters’ groups prompted a U-turn. The deal that caused the most fury was BK8’s sponsorship of Aston Villa’s shirt, which SBC News and Insider Sport readers saw described variously as “tone deaf”, “faricial”, “misleading” and evidence of “commercial reality”.

When is a ban an actual ban and when is it an exercise in kicking the can down the road? The decision of Premier League football clubs to outlaw front-of-shirt sponsorships by gambling operators, but not until 2026, didn’t help to answer that question.

Inevitably, clubs including Burnley and Fulham moved to take cash from betting brands while it was still available, while Chelsea flirted with Stake.com

No bonus points for guessing which description came from Villa’s chief executive.

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SECTION

SPORTS BETTING

POWERED BY

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SPORTS BETTING

SBC LEADERS ISSUE 27

Surveillance begins to creep in...

In the rapidly evolving world of gambling, pressing concerns are emerging that hold significant implications for consumers, operators, and regulatory bodies alike, writes TED MENMUIR, SBC’s Content Director and Editor of SBC News.

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SPORTS BETTING

S

urveillance has been present in recent discussions surrounding the UK Government’s Gambling Act Review and across various European nations, emphasising its increased relevance to customer safeguards and reporting duties for licensed operators.

From the UK Government’s ‘High Stakes: Gambling Reform for the Digital Age’ White Paper, it is clear that regulations are shifting towards a more nuanced approach and protective stance.

The Government emphasises that it does not intend to set “a blanket rule on how much of their income adults should be able to spend on gambling”, but rather upholds the principle that “people should be free to spend their money how they see fit”.

However, in Europe, some authorities are calling for increased surveillance and monitoring, with Spain’s regulator moving towards cross-operator deposit limits.

While intentions may be noble, the complexity of implementing such measures without infringing on personal freedoms is a significant challenge.

PROTECTIVE OR INTRUSIVE? The White Paper’s proposal for the inclusion of more prescriptive rules on when online gambling operators must check customers’ finances brings forth the theme of surveillance. These checks aim to provide “much greater insight into a customer’s financial position” but also raise questions about privacy and individual rights.

Andrew Rhodes, CEO of the UK’s Gambling Commission, described a system of state monitoring of all gambling as “desirable, but technically

difficult”, and illustrated his point with a boozy analogy.

“If the ‘desirable’ system of monitoring envisaged by the Gambling Commission were to be applied to pubs, landlords may be required to check the destination of each drink served and to seek assurance that consumption remained within the recommended limit of 14 units a week.”

The comparison underscores the fine line between protective surveillance and overreach, a tension echoed throughout Europe.

A push for universal monitoring of wagering at the individual consumer level presents clear advantages but also significant trade-offs, including potential resentment by consumers and difficulties in implementation.

INTERTWINING ISSUES The UK’s approach to reform emphasises the need for unintrusive, light-touch checks, balanced with a recommendation of enhanced checks for higher levels of spend that may indicate harm.

In contrast, the pan-European discussion focuses on the ethics and practicalities of universal state surveillance of gambling. The question of how far the state should surveil its citizens for ‘their own good’ is a contentious one, with concerns about potential infringement on personal liberties.

An important aspect of the discussion is the potential for unintended consequences. In Europe, the costs of requiring nonremote operators to comply with surveillance measures have been described as “ruinous for many”, bringing a risk of the closure of numerous licensed venues.

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The UK’s perspective also raises questions about potential negative outcomes, particularly concerning individuals who may seek to avoid the proposed enhanced checks. This could drive them towards the unregulated market and expose them to even greater risks.

The advent of open banking represents a promising avenue to monitor gambling without direct state intervention. These systems can provide a balanced approach by offering individual consent and utilising existing mechanisms to track spending.

However, technological solutions are not without their challenges either. Even in the UK, where banks have created opportunities for consumers to set limits on their gambling expenditure, the system is not comprehensive, and practical implementation may present obstacles.

ANXIETIES WILL REMAIN The coming years will see continued debate as governments and regulators seek to tread a fine line that balances consumer protection with the preservation of freedoms. Technological innovations may offer new paths forward, but challenges remain.

In the end, the success of these efforts will depend on collaboration, thoughtful consideration of the multifaceted nature of gambling, and an unwavering commitment to principles that respect both individual rights and societal responsibilities.

The stakes are indeed high, and the world is watching to see how these themes of regulation and surveillance shape the future of gambling.

SPORTS BETTING

SBC LEADERS ISSUE 27

Content is King?

Distribution is

“ 18

Words by TED ORME-CLAYE

the Real Royal

Theuser userjourneys journeys the between consuming content and transacting with a betting operator are very flawed and inefficient.

SPORTS BETTING

Increasing interconnectedness between betting and sports media, two already heavily-linked industries, has been a major talking point.

No company has been at the forefront of these changes more than LiveScore Group, its convergence model, and CEO SAM SADI.

L

iveScore Group has established itself as a dominant force in this space by converging its media properties with the LiveScore Bet and Virgin Bet brands. Sadi explained to SBC Leaders that the company’s ambitions go far beyond this, identifying some key areas in which it has established an edge over competitors.

ABSOLUTE LEADERSHIP “We are aiming to be the absolute leader in this space,” Sadi remarked, citing the unique nature of LiveScore Group’s business model and its plans to scale in territories where the platform already retains a large user base.

Sadi continued. “We can still say we are unique because although there are a lot of operators and companies who claim to try to execute this type of media betting convergence model, they’re very, very early in this journey.

“Whereas we started almost four years ago now and we feel we are much more advanced in our understanding of how these ecosystems work and in the development of our technology.”

As the firm progresses with its strategy, alliance with media companies in territories will also play a role, alongside continued progress and focus on the LiveScore Group technology and product.

This, Sadi emphasised, will drive LiveScore Group’s objective of a “leadership and number one position”, not just a podium place. “That’s what our vision really is,” he asserted.

The other key selling point to LiveScore Group’s offering is that it has been developed with a significant goal in mind, that being to solve a “very obvious consumer problem” in the words of its CEO. This problem in the market is that customers are currently using various apps for scores and stats and then even more apps for betting. LiveScore Group aims to address this with its integrated single ecosystem product.

“Especially if they’re also betting, the user journeys between consuming content and transacting with a betting operator are very flawed and inefficient,” Sadi explained.

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SPORTS BETTING

SBC LEADERS ISSUE 27

“What we believe and have already proven is that if you combine this consumption into a single seamless ecosystem, you’re able to deliver much more value to the user in terms of more convenience, the types of content that they’re looking for, and the user exchanges that with their loyalty.”

This is not to say that other operators haven’t been pursuing their own ambitions in this space, however, as stakeholders across the sector are being drawn to the opportunities convergence with media provides. Entering this space has some important factors to consider, however, Sadi continued.

THE DISTRIBUTION DILEMMA Across the industry, bookmakers have become increasingly aware of the potential of sports content.

This is out of necessity, LiveScore Group’s CEO emphasised, when faced with more challenging economics and regulation, many firms have recognised the value in a content strategy.

Having content is not the issue though - distributing it is. Sadi continued: “The problem they’re going to be facing is distribution. You cannot just start sourcing or creating your own content and expect everyone to stop using BBC Sport, Sky Sports or LiveScore and start consuming content at the betting operator’s site.

“It’s very difficult to shift these consumer habits, especially if those companies are providing them with great content already. If you don’t have that kind of distribution which none of the betting companies currently have, and some are solving this by acquiring media companies - then you’re going to fail.

“People say content is king but it’s really distribution that makes a difference because content you can create and acquire, but you’re not going to get millions of users coming to your content site overnight.”

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SPORTS BETTING

“

People say content is king but it’s really distribution that makes a difference.

Another challenge operators may face when seeking to implement a media convergence model as LiveScore has done, or even make greater use of content, is regulation.

Particularly in Europe, some policymakers and public figures have been vocal in their concerns about the heightened visibility of the betting sector, particularly in the media.

Against this backdrop of regulatory attention on betting’s media presence, how can betting sit within a sports ecosystem whilst meeting increasingly important and tightening responsible betting requirements?

“It can sit in an ecosystem if you are a responsible operator and you maintain your commitments towards safer gambling and protecting vulnerable people,” Sadi remarked.

“We operate our media product in a fully age-gated way, we’re moving more towards registered users where we know exactly their profiles.”

He further explained that in response to new regulatory requirements in the Netherlands, LiveScore has rolled out functionality that allows users to choose ‘to never be exposed to any type of gambling feature or advertising’.”

Sadi continued: “It really requires the ecosystem operator to be aware of the problem, recognise it and make sure that you use all the technology you have and all the data you have on the users to make sure nobody’s behaving in an irresponsible way. That goes beyond what is required by compliance.

25 YEARS OF LIVESCORE - WHERE NEXT? While LiveScore Group has earned a prominent position in the betting-media convergence niche, it is clear there are other bookmakers circling and investing in this space, seeking to overcome the hurdles discussed above.

As the firm works towards its market leadership ambitions, LiveScore may have a growing number of competitors to go up against. Sadi remains convinced that the company is still uniquely placed to achieve its goals nonetheless.

He continued: “The investments we have made in our platform to make this seamless ecosystem is not easy. That is not to say that they cannot get there and that our model cannot be replicated, and so we have to keep innovating and retain that advantage that we have built.

“It’s really our size and scale that gives us our biggest advantage, and we look to maintain that advantage by investing in the content side of the business.”

LiveScore has amassed a large user-base of over 50 million, the CEO detailed, which will provide a solid foundation for its plans for further scalability, having celebrated its 25th anniversary this year, a milestone for which it has “a lot of activities” planned for.

Concluding, Sadi laid out this roadmap: “We will start with initiatives to donate into charity, we have B2C initiatives with customer promotions planned and features within the same theme.

“If you bring this attitude into every product design that you release and every marketing activity that you do, that’s the only way to have a long-term sustainable ecosystem.”

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“We will do internal events, try to build more awareness within our company of the history of LiveScore and how it has come to this point over the years. It’s going to be an exciting year for us, and we will look to build awareness and enthusiasm around this massive milestone.”

SPORTS BETTING

Building a protective ARC If state-of-the-art technology and marketing expertise can be used in combination as a highly-effective player acquisition tool, they can do exactly the same for player protection, says Entain’s Group Operations Director PETER MARCUS. Words by MARTYN ELLIOTT

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business depends on things like this.

And the board looks at longevity of businesses in the end, that’s their job,” Marcus said.

hen a member of the Entain management team says that, “the board are 100% supportive of it. I would say I get more questions each month from the board than anyone else on how’s it going”, you could be forgiven for thinking that the project he oversees is a new revenue-generating powerhouse.

A GROWN-UP CONVERSATION The longer you talk to the man who oversees ARC about its capabilities, results and the mentality of ongoing improvement behind it, the easier it becomes to understand why Entain’s leadership team is sold on the idea.

What Group Operations Director Peter Marcus is actually talking about is the company’s safer gambling efforts and in particular its state-of-the-art Advanced Responsibility & Care (ARC) player protection programme.

ARC benefits from a somewhat unusual approach, in that it is not a compliance-led initiative. Instead, Marcus applies a marketer’s brain to the task and the result is a system that effectively operates like a CRM for player protection.

The importance that the board and C-Suite have attached to ARC is illustrated by the fact that it was Entain’s second biggest project globally in 2022, with only the ongoing BetMGM rollout in the US attracting greater investment.

He explained: “It’s about how we identify people at risk and, most importantly, how we interact and intervene with those people at risk. Because it is so easy to do it the wrong way.”

“They are interested in it because they understand the longevity of the

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SPORTS BETTING

The road from the launch of ARC to the success story it is today has involved what Marcus described as “an awful lot of test-and-learn, with a few failures along the way”.

The lessons learned from those failures have been invaluable, as they have disproved some seemingly logical assumptions and demonstrated what really works.

“We thought it was all going to be about subtle product changes that would change the behaviour of the customer, but they just noticed in about five seconds and asked where the feature had gone. So it didn’t really work,” he recalled.

“But what has worked is being honest and upfront and open with the customer.

And also not making the customer feel that they’re anything abnormal.”

The methods of communication and language, which are such an important part of ARC’s effectiveness, have been developed with input from the Cambridge Division on Addiction at Harvard Medical School, Professor Mark Griffiths at Nottingham Trent University, and Epic Risk Management.

“They helped us to understand how to talk to customers who may be at the beginning of a journey that they shouldn’t be getting into and don’t

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want to get into, and we don’t want them to get into,” said Marcus.

“How you talk to the customer, how you communicate with them, what you say, when you say it, and where you say it, is so important. That’s what makes a fundamental difference, actually, for a customer.”

The answer to the ‘when’ part of that equation is more often than not ‘right now’, rather than ‘once we’ve had chance to analyse the data’. Of course, immediate interventions require realtime monitoring.

“One of the most successful parts of ARC is unusual deposits, because we’ve gone real-time - we’re the first company to ever go real-time,” said Marcus. “What we found was that if we use an algorithm which looks at a customer’s regular deposit habits and it looks at their deposits now compared to normal, it identifies deviations from their usual behaviour.

“Then you can communicate with them in real-time as they make their next deposit and let them know ‘you are depositing more than you usually do’.

“That has more impact than any other mark of protection, or interaction, or intervention, or a ban on marketing.

Because it’s treating people like adults and that’s how they want to be treated.”

How you talk to the customer, how you communicate with them, what you say, when you say it, and where you say it, is so important.

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SPORTS BETTING

“

My biggest fear was that it would anger players. But it hasn’t.

player data suggests that this is a lagging indicator of a problem.

Entain does not rely on that first intervention.

If the behaviour continues, a player will be required to set a relevant gambling control and keep it in place for a specified period.

After that, the next step is a 24-hour stop and the chance to consider their habits.

Instead, Marcus picked out spend from norm (depositing or losing more than usual), time on site, and chaotic play as the three biggest warning signs that a customer may be developing an issue.

“What we found through all of our research and analysis is, not only does the customer stop, when they come back - and most do come back - the problem behaviour goes away and, in most cases, does not return,” Marcus added.

“What chaotic play means is you’re staking up and down quite a lot,” he explained.

“People call that chasing losses, but it’s not always chasing losses - often it’s chasing wins or playing a scheme you think works.

In the end, you’re constantly changing your bet amounts.

MARKERS OF PROTECTION Central to Entain’s player protection policy is early identification of potentially problematic behaviour. To achieve this, ARC has built on the original nine Markers of Harm idea developed by Senet Group and PwC - “advanced for its time, but far less valuable since the UK Gambling Commission removed credit cards and reverse withdrawals” - and now uses 26 Markers of Protection.

“That actually is a very high marker. We find that again and again and again. It’s a very high marker that you’re chasing a dream rather than playing for entertainment.”

The model is constantly evolving. As more data is collected and compared against a target group of players who self-excluded for problem gambling purposes, machine learning technology changes the model.

Entain also employs the Mindway AI model, which has a different target group based on a number of experts who are rating customers.

Each marker has a weighting, with behaviours that have proven to be the strongest indicators of a player being at risk of developing a gambling disorder setting off the system’s loudest alarms.

While Entain’s in-house model tends to find shorter-term problem behaviours, Mindway AI focuses on the potential of becoming a problem gambler and tends to identify longer-term patterns.

Three of the markers have emerged as key signs of intervention being necessary.

Perhaps surprisingly, total spend is not one of them, as the ever-growing volume of

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sustainable long-term customer base for enjoyment and entertainment. If you have that mentality, actually that makes perfect sense to do that.”

There is only a 20% crossover between the players found by the two models, so together they provide a comprehensive approach to identifying where the operator needs to intervene.

Perhaps most pleasing of all for Marcus is that the project is not just delivering results in terms of protecting players, it is also being greeted positively by those it is designed to protect.

While this amounts to an industry-leading player protection strategy, Marcus wants to go further. “We have started working in AI to build additional even smarter models, and in time we’ll add more of these models,” he said.

“My biggest fear was that it would anger them,” he admitted. “But it hasn’t affordability, by the way, absolutely angers people - but this doesn’t and I think there are two reasons why.

HELPING PLAYERS TO HELP THEMSELVES Entain also has a range of controls that players can set, and they go far beyond the staple focus of responsible gambling adverts - deposit limits.

“The first is that we are so careful how we communicate with them and talk to them and explain to them why. So they get it.

They realise we’re doing the right thing for them at the right time.

While deposit limits have a use, Marcus believes that the controls available to players should be broader, more tailorable to the individual’s circumstances and more imaginative.

“Also, we’re putting short-term actions on the customer. We’re not saying you’re bound to six months, we’re saying take a break. And we force them to set a gambling control, which they then can’t take off for at least seven days after they come out of that high-risk category. So we’re actually helping them to help themselves.

His team has invented a selection of new controls, including ‘curfew’, which allows players to set times of the week when they cannot deposit any money, and ‘play breaks’, which gives the customer the ability to pre-programme a timeout into all their gaming sessions.

“All our research indicates that customers appreciate it and we’re certainly not seeing lots of complaints. Most importantly, we’re seeing them come back and then play more sustainably.

This is backed by a player education programme. “We send a series of educational emails for the first four months after the customer first joins, with a number of videos explaining why and how to use our gambling controls as well as monthly reminder messages after that to help make better decisions about their play.”

“For me, that’s the best evidence of all that it is working.”

And there are also educational real-time messages in certain circumstances.

“We’ve got a new product called ‘Big Wins’, where if you have a big win on a single bet, we immediately show you a message,” Marcus said.

“It effectively says ‘we find that people who don’t withdraw at least part of a big win, often lose the whole lot back. Think about how much you want to withdraw and do it now’.

“People can’t believe we do that, but the aim of the game is a recreational,

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Computer Vision looks to the future

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SPORTS BETTING

Words by LUKA PATAKY

LUKA PATAKY, SVP, Automated Content at Sportradar, explains why the company’s AI-driven Computer Vision technology is the key to the next phase of growth for sportsbook operators.

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portradar has been collecting sports data for more than 20 years. When we first started this journey, we were limited in the amount of data we were able to capture. Some of the earliest soccer matches we covered were during the 2002 / 2003 season where we captured just five data points per game: team, sport, country, tournament and start time. This information underpinned a basic prematch betting offering of win, lose, draw markets.

Back then we understood that sports data had vast, untapped potential and that providing fast, accurate and reliable data to our clients would be a game changer for the industry.

What’s more, we knew that we had to invest in technology to increase the amount of data at our disposal and leverage that data in a way that engages fans and opens new revenue streams for our clients.

Today, we collect an estimated 2,750 data points across most soccer matches which we use to power more than 185 pre-match betting markets and more than 196 in-play betting markets per match.

It’s clear that sports data has fuelled the growth of our industry.

It underpins all our products and

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services and is the key to engaging bettors deeply and meaningfully. But the big question is, how to further increase the amount of data available to us and use it to open new revenue generating opportunities?

The focus must be on technology developing a technology that will allow us to collect more data of a higher quality, while enabling us to deliver it to clients worldwide in the blink of an eye.

At the forefront of this is Artificial Intelligence (AI). It is going to be a game changer for the sports betting industry and the tech is increasingly used within our products and services. Right now, our emphasis is on a specific subset of AI, which is Computer Vision.

For the uninitiated, Computer Vision teaches computers to ‘see’ and understand visual inputs such as digital images or videos. Or, to put it in simple terms, the technology mimics human vision capabilities.

And, while we as humans are very good at understanding what’s happening in front of us, following a sporting event for example, we’re limited in the amount of data we’re able to process, much less manually record and upload.

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At the forefront of this is AI - it is going to be a game changer for the sports betting industry.

By comparison, Computer Vision is able to capture well over a 100-fold multiple in the level of statistics and data it collects, doing so in milliseconds, versus what can be done on a human level.

It’s the depth of data collected

by Computer Vision from every video frame that’s going to unlock new products and services for our operator clients, helping them to engage bettors more deeply and open new revenue generating opportunities.

Sportradar has been nurturing its Computer Vision technology for the past four years. It began life as an innovation project and we’re now at a stage where we’re incorporating the technology into our core processes and products.

We’ve deployed Computer Vision within table tennis and scaled the solution across our entire portfolio of more than 150,000 table tennis matches.

It’s a significant strategic move to enhance the quality of one of our most popular betting sports by turnover globally.

The speed at which Computer Vision collects and processes data allows for the creation of new, faster bet types. We’ve developed sophisticated microbetting live odds algorithms to deliver three innovative quick betting markets.

We call these ‘micro markets’, quick bets related to in-game events, rather than the final match result. We offer micro markets for every rally that takes place during a game, with a new rally starting approximately every 20-40 seconds.

The current microbetting offering within table tennis allows bettors to bet on the number of ball bounces in an upcoming rally, as well as whether the ball will hit the net.

The introduction of micro markets across our table tennis portfolio provides our operator clients with an additional 360 betting opportunities per match. Over the course of a year, we’re creating millions more opportunities for operators to engage with their customers. It’s huge.

In addition to the creation of micro markets, Computer Vision is an enabler to enhance the viewing experience. The technology turns every video frame into a digital asset, whereby we can transform what people see on their screen.

The Augmented Stream we offer for table tennis includes not just betting data but also performance data. This information engages fans for large periods of time, keeping them coming back to your platform, resulting in increased customer loyalty.

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It’s a powerful retention tool and in the future will be able to enhance personalisation by showing different camera angles, as well as facilitate digital advertising and sponsorship integrations which all create further monetization opportunities.

Where we are now with Computer Vision is just the tip of the iceberg.

We’re expanding the technology into tennis, basketball and other sports. Looking to the future and there’s tremendous opportunity to be unlocked.

Consider the application of this technology within the Metaverse or Virtual Reality.

Away from sports betting, consider how a rights holder might be able to monetise this technology. We have the means to provide fans with an avatar which has ‘real-world’ parameters. That allows us to create immersive sports experiences that put fans at the heart of the action, for example, taking part in a real virtualised tennis match or other type of sports competition.

I truly believe that Computer Vision, as a result of the data it identifies, insight it facilitates and experience it creates, has the power to transform our industry and generate significant commercial benefit for the whole sports ecosystem.

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Stimulating value by simulating action CONLETH BYRNE, Product Director at SIS, explains how sports simulations are filling gaps in the sports betting schedule and providing operators with a substantial new source of revenue.

Words by CONLETH BYRNE

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Bettors can follow worldfamous favourite teams and players within the action.

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fter another summer of big spending on players from the world’s leading clubs, including those in the Middle East, the appetite for toplevel football among millions of fans has continued to grow.

Once again, operators focused on getting their plans in place to make the most of the enormous hunger for the game before the 2023-24 season got underway. Naturally, as the biggest league in the world, the return of the Premier League, in particular, attracted the most attention in the quest to retain and engage bettors.

Despite the high-octane action that is to be enjoyed this season, from an operator’s perspective, there are limitations to real-life football. Primarily, it comes down to the fact that it is simply not taking place all of the time. Even during prime betting activity, there are gaps in the schedule where bettors are not being served.

This lack of engagement in and around matches from leading

leagues taking place is where esports solutions can have a major effect in this space in the market - sports simulations can have a massive impact on bettors.

In fact, this process is already underway, with some very positive results.

ENGAGING Upon coming across a sports sim on a sportsbook - be it football, basketball, or other major sports - bettors will find immediately familiar and engaging content.

Bettors can follow world-famous favourite teams and players within the action, which are supported by betting markets that reflect those offered by sportsbooks in real-life sports and are therefore easily digested.

We have seen at SIS, with our Competitive Gaming sports sims products, esoccer and ebasketball, that the 24/7 proposition has proven very popular with audiences as a

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supporting product to premium real-life sports. Our sports sims have added 10% in value to sportsbooks once they have gone live - a far greater result than could have been envisaged only a few years ago.

We have seen the esports betting vertical on mainstream sportsbooks travel full circle.

In recent years the focus for operators was mainly on traditional esports tournaments, such as CS:GO, League of Legends and DOTA2, as they embarked on a quest to bring a new generation of esports enthusiasts into their ecosystems.

Those efforts are certainly still ongoing, and at SIS we have a successful events-based CS:GO product performing well across regulated markets in Eastern Europe and beyond.

However, there is a greater appreciation in 2023 of the role that sports sims can play in driving both activity and

SPORTS BETTNG

revenues, given their lack of barrier to understanding and the appeal they hold for existing sportsbook customers.

At SIS, we have put a great deal of time and effort into honing our end-to-end esports product, continually making changes to deliver a product designed specifically for a betting audience.

Created within our secure inhouse studios, Competitive Gaming is underpinned by integrity - we are the only supplier with ESIC gold accreditation and we make sure the quality, frequency, and volume of our events are all there to support the overall aims of the operator.

With tournament-based esports offerings, their inherently sporadic nature, allied to concerns over integrity and a lack of true in-play betting options, means that the same audience is often under-served.

For an operator, the sports sims product they carry must be highly competitive, with gamers playing to their full ability throughout every contest. Integrity and competition combine to fulfil operator objectives by producing always-available content with significant dwell time.

Our esports growth journey has taught us that demand for esports events consistently exceeds supply; while we started with a few hundred events yearly, we now offer over 200,000 while planning to offer even more.

EXPANSION In terms of the further development of sports sims as an added-value product for sportsbooks, there is plenty of mileage to be had from engaging bettors in various markets with other sports.

At SIS, we are partnered with operators in North America, South America, the Far East, and Australia. In these markets, there are certain sports sims that are likely to be more popular than football is closer to home.

Broadening the portfolio to reflect the demand for new forms of content in these markets is certainly worth careful consideration, not least in the United States, where we are looking to expand further. If you consider the huge potential that an NFL sports sim could have in terms of engaging bettors, then it becomes a matter of when rather than if.

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Looking at traditional esports, too, there is considerable potential for growth. Operators could benefit from being served with content similar to our two-on-two CS:GO offering through titles such as DOTA2 or League of Legends, or an expanded five-on-five version of CS:GO that replicates its most popular format.

Operators are seeking high-quality round-the-clock content, and it’s up to suppliers like us to serve that demand across a range of verticals.

Esports is a vital part of the product mix, as is racing from a range of different time zones around the world, as well as live numbers content which continues to grow with its low stakes, big prizes model, proving a great fit for operators in Africa.

Through a commitment to providing operators with highly engaging, premium short-form products, suppliers can play a huge role in helping their partners stay a step ahead of the competition.

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This Saudi TV deal has been huge for football fans across the world.

All eyes on Saudi REUBEN THOMAS, Commercial Director at Abelson Info, shines a spotlight on the Saudi Pro League as he explains how broadcast rights, in-depth data and player engagement go hand in hand when it comes to emerging competitions.

Words by ERIN GALLAGHER

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SPORTS BETTING

C

ristiano Ronaldo got the ball rolling, then it was Karim Benzema, and then followed an avalanche of top footballing names from across the big European leagues. Too enticing to turn down has been the allure of the bumper contracts for what is surely the most ambitious league in world football.

is great news, as it brings the action of Saudi football straight to their TV sets. But for sportsbooks, what are the implications? Will the additional exposure translate into increased betting activity in markets?

Reuben Thomas, Commercial Director at Abelson Info, is confident it will.

At first glance these big stars seemed to have dropped off the face of the footballing world since their move to Saudi. And up until recently, you wouldn’t have been too far wrong given the lack of coverage of the games across international audiences.

Abelson Info is a specialist in the odds, data and content solutions space, providing many of the world’s largest bookmakers and media companies with a range of products and services, including its Televised and Streamed Sports (TSS). This TSS feed delivers global listings of live sport on TV, stream and digital platforms linked directly to the customers’ markets.

But the Saudi Pro League has now announced a landmark media rights agreement with DAZN, which will broadcast live matches to fans across Austria, Belgium, Canada, Germany and the UK. Other substantial deals have been agreed with the likes of Canal+ in France, La7 in Italy and Fox Sports stateside. IMG was brought in to broker these global distribution deals for the upcoming 23/24 season, with more than 130 territories set to be able to enjoy live action from the league.

The huge outlays on big footballing stars certainly hasn’t been the only investment that the Saudi government has made into sport, as golf or boxing fans know all too well. Having spared no expense in trying to diversify the country’s economy and promote interests abroad, the Kingdom’s key worry when it comes to sport has become apparent - exposure.

For fans of the sport and these high-profile footballing stars, the new agreement with broadcasters such as DAZN

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Put simply, TSS can be used by bookmakers to pinpoint where bettors can access live coverage of different sports and leagues across the world. This, Thomas believes, will open the door for bookmakers to engage new player bases.

Thomas explained: “This Saudi TV deal has been huge for football fans across the world.

When we heard the news of the broadcasting agreements for the league we were quick to react by sending details of all the channels set to deliver this new exciting offer.

“Our dedicated team gathers information from different markets across the world to establish a complete schedule of live TV broadcasts and streaming coverage. We cover over 1,100 channels and 10 streaming providers, spanning 37 countries around the world - a number that continues to grow.

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SBC LEADERS ISSUE 27

“We deliver the details of the live coverage to our partners based on their local preferences, and given the big name footballers making the move to the Saudi Pro League, we have seen a keen interest from our customers to pick up these broadcasts. We expect operators will promote markets on this newlyhighlighted competition and use our listings to help push the action and engage inplay punters.”

Thomas is right, there have been a number of sportsbook operators who have already begun to expand their coverage of the Saudi Pro League. He has seen an increase in demand for player data leading to enhanced stats betting markets for the league.

Abelson Odds, the pricing division of Abelson Info, recently added coverage from the league to its Goalscorer Pricing and Settlement Service (GPS) and immediately sold it to the majority of its clients.

There have also been multiple enquiries for Saudi coverage for Abelson’s Player Incident Pricing & Settlement offering (PIPS), designed in partnership with sports intelligence firm, Twenty First Group. This will soon be rolled out for selected Saudi Pro League fixtures.

The Commercial Director continued: “Since we launched our GPS service back in 2013, we have been the industry’s leading provider of football player related betting markets for both pre-match and now in-play.

“But we have been aware that there is a growing demand for a much broader range of playerrelated markets above the traditional goalscorer pricing.

With new data sets available there’s unbounded new opportunities to provide the sector with player stats bets, which is where the PIPS product was born.

“From conversations with our established partners, we’ve found that bettors are demanding more and more data as they assess each individual player’s abilities.

Bettors feel they know the footballers’ characteristics.

Markets for shots and shots on target are always popular and Abelson also offers pricing for assists, fouls, passes, tackles, offsides and saves.”

He continued: “The general shift from teams to specific player focus and rise of the betbuilder and fantasy products have only sped up the evolution of our products.

“Player data is becoming increasingly available to watching football audiences, across broadcast and media, including social channels.

With advances in player engagement and streaming content, players will become increasingly educated and engaged with this data, and subsequently bet offerings.”

NEW FRONTIERS The Saudi Pro League hasn’t been the only instance in which Abelson Odds has had to react quickly to change.

Over the last few years, a number of markets, particularly in Latin America, have opened up their doors

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to a regulated gambling framework. And with the continent hooked on football, it’s no surprise that demand for Abelson’s GPS service has been at an alltime high.

Thomas explained: “New markets opening up in Latin America has meant new opportunities. Abelson has leveraged our extensive coverage within the region to appeal to new platforms and operators.

“In the last two years we have expanded our LatAm coverage a lot. We provide pricing from Brazil’s top two divisions and the state competitions, and we also cover the top leagues from Argentina, Chile, Colombia, Ecuador, and Peru. Overall, we now cover 35 countries and over 140 competitions.”

As it stands, Abelson has seen interest from both new and existing customers for its TSS service. And for Thomas, the roleout of this product acts as the perfect complement to market launches for bookmakers.

He explained that bet stimulation products such as TSS, combined with Abelson’s GPS and PIPS odds feeds services, are costeffective and help to create a sense of familiarity for customers in their region.

Abelson will continue to monitor upcoming changes in media rights and gambling regulation to be prepared for new demand in new regions. Bringing bettors the information they need to know where to watch their favourite players, and then a host of market opportunities to bet on them.

SPORTS BETTING

“

Bettors are demanding more and more data as they assess each individual player’s abilities.

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Data good.

Data + human touch = better 42

SPORTS BETTING

ALEX KOZACHENKO, Chief Product Officer at Data.Bet, delves into the secrets of success that bookmakers need to know to adapt to the rapidly growing esports market, and specifically, how they can use data to its maximum potential.

Words by ALEX KOZACHENKO

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% of the profits from esports betting comes from four disciplines - CS:GO, Dota 2, League of Legends and Valorant.

However, new games are constantly appearing, audience numbers are growing, and the industry is thriving and continuing to gain momentum. As esports continues to grow, so does esports betting.

The meteoric rise of esports betting began three years ago when the COVID pandemic first emerged and traditional sporting competitions were suspended. Esports began to grow. New leagues, tournament operators and teams started to appear, and even athletes from traditional sports moved away from the pitch to the monitor.

Bookmakers reacted to the changes immediately. Companies with an existing list of markets in esports expanded their operations straight away, and started putting more funding into marketing. Other bookmakers quickly followed suit.

However, the majority of them, unfortunately, did not understand the ins and outs of esports trading. As a result, by 2023, several large platforms had already announced an end to their esports operations.

But what’s the actual difference between the companies that made it and the companies that didn’t? What’s the secret to success when it comes to esports bookmaking?

The first thing needed to make profit from esports betting is highly detailed data that’s updated in real time. When it

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comes to traditional sport, it’s experts and referees that provide the vast majority of information, but that’s not the case for esports. There are myriad different gaming parameters, such as weapons and items purchased, HP, map position, experience earned, and more.

Most of this information can’t be seen on the screen during matches, and is usually provided by organisers directly from the game’s server. Data is accumulated and processed by providers, who then pass on ready-to-go odds to bookmakers. This means that compiling this data makes it possible to generate not only a standard set of win/loss outcomes, but also a wide range of markets with a variety of variations.

We’ve looked at how actively users react to expanded betting options based on our own experience. Data.Bet is the first provider to offer unique markets on the results of every individual CS:GO player. Our ongoing partner GG.BET saw these markets rising straight to the top after they were introduced. During Blast Paris Major 2023, the “total kills by player” market - one of more than 800 available live markets - soared to 7th place in popularity.

WHY SPEED MATTERS Updating data quickly is no less important.

First and foremost, it allows bookmakers to earn more money, as traders can react to changes in the game and update the odds quickly. This means that bookmakers won’t find themselves at a disadvantage against viewers who often see the moves teams make faster than the bookmakers do themselves.

23–24 OCTOBER 2023

SHERATON GRAND TBILISI METECHI PALACE, TBILISI

THE PREMIER iGAMING & SPORTS BETTING CONFERENCE FOR GEORGIA AND SURROUNDING REGIONS

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The first thing needed to make profit from esports betting is highly detailed data that’s updated in real time.

Moreover, timely updates reduce bet delay and bring bet decline to a minimum, so that users don’t have to contend with errors or changes to the odds while they’re betting. This improves bettors’ overall experience with the platform, thereby improving retention, turnover, and ultimately, bookmakers’ profits.

Of course, there are plenty of cheaper alternatives on the market, such as data parsed from other operators and other secondary sources. These feeds aren’t particularly detailed, and there can be delays of up to tens of minutes. I would say that esports markets based on this data are more of an experiment than they are a business.

IT’S ABOUT MORE THAN DATA Data by itself isn’t a guarantee of success. It’s just as important to consider how you use it.

This is where experienced traders and cutting-edge software come into play. At Data.Bet we’ve created AIbased software, which we are constantly updating. We constantly fill it with historical data on previous results of players and teams, enabling our models to provide more accurate predictions for upcoming matches.

Typically, providers update their historical data every 1-2 months. We do it as often as possible, once every 1-2 weeks, so that our model has access to the most upto-date information. This is especially important during the active competitive season.

Although providing detailed input data is vital, the system constantly needs to be trained. For example, we monitor the size of odds margins and ‘retrain’ the model to maximise them. We take user betting trends into account, i.e. we track what bets our partners’ users are placing and adjust our odds accordingly.

We use these outputs to improve our software. Thus, the model turns into a sort of ‘brain’ that has a nuanced understanding of our partners’ business and spends every minute it can working to make it more profitable.

But you shouldn’t leave esports trading purely to software. Especially when it comes to Tier-1 tournaments. A live trader can see how players’ emotions affect their performance, evaluate teamwork, and see the effect of many more social factors, up to and including political situations and cultural conflicts.

The combined synergy of detailed data updated in real time, constant AI software training, and experienced traders is what allows bookmakers to meet all their audience’s needs in terms of esports, and, most importantly, make it profitable.

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Radio is a sound salvation When Elvis Costello sang about radio becoming increasingly commercial on his 1978 hit Radio, Radio he clearly had a point because, according to Sports Broadcast Media’s Gavin Puszczalowskyi and Al Ross, it really is a great advertising medium.

Words by MARTYN ELLIOTT

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hen people talk about the betting industry working more closely with sports media, they are usually referring to adding live-streamed action to a sportsbook platform. However, Sports Broadcast Media (SBM) is taking a different approach by launching the world’s first independently-owned online-only betting radio station, BettingRad.io.

While the idea of a radio station may have a slightly retro feel to it, no other medium can claim to have as close a relationship with its audience. Get the tone and mix of the content right, and the presenters become an integral part of the listeners’ day-to-day life.

Few within the betting industry are better placed to achieve that than UK-based SBM, which was founded by a group of experienced former BBC, Sky Sports, DAZN, and talkSPORT presenters.

Gavin Puszczalowskyi, Programme Director for SBM, is confident that BettingRad.io has the right formula to connect with bettors and deliver results for advertisers.

“The station carries a mix of the greatest indie and rock from the last 50 years, with regular tips from our independent betting

experts as part of their shows,” he explained.

“They use their knowledge to select the best tips and to find the best prices for the punter. We also let listeners know of any new offers available at bookmakers - all the things a punter wants to hear during their day. We’re live and speech-only on Saturday afternoons when Premier League games are on, to react to the changing prices in the markets while the matches are in-play.”

While the station only launched last month, the SBM team has big plans, both to build out from its initial UK market focus and to evolve its content.

“By the end of the first year, we’re expecting the service to increase its speech content to include more live Premier League and Champions League broadcasts,” Puszczalowskyi added.

DESIGNED FOR ENGAGEMENT BettingRad.io is far from SBM’s first foray into the world of betting broadcasting.

Despite being a relatively young company, it has already enjoyed significant success working with sportsbook operators.

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The production company helps its operator partners to move beyond the match preview blogs, stat packs and direct call-to-action social posts that have been the staple of sportsbook digital marketing for the past 15 years.

The show began life as a live radio tipping service specifically for the Euros in 2021, run from a small rented office near Leeds, but proved popular enough for Sportsbet.io to extend it for the full 2021-22 Premier League season.

It does this by creating tailored video and audio content for operators that helps with brand differentiation and player retention. Its output includes recorded pre-game videos and podcasts, along with live-streamed in-play shows, such as the one that is now in its third season for Sportsbet.io.

It morphed into a full in-vision service, similar to Sky Sports’ Soccer Saturday but with the content designed primarily for the betting community, for the following season and has expanded again for the new campaign.

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SBM’s CEO, Al Ross, explained: “In addition to live Premier League and Champions League content this season, we’ve already had live inplay Women’s World Cup shows, there’s a new weekly live interactive EPL preview show with ex-England goalkeeper Paul Robinson and former Liverpool striker Neil Mellor, and there’s a heck of a lot more to come.”

The marketing teams at sportsbook operators are pretty savvy.

Al Ross

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A lot of punters would stay on a sportsbook if only they were given a reason to stick around.

“But there’s a compelling commercial reason they’ve chosen to use us more heavily each year - the engagement with the product keeps growing.

Sportsbet.io is not SBM’s only high-profile client - it has also worked with Stake. com, GemBet and Star Sports - and the success of its services has driven swift growth for the company, which recently brought its fifth visual studio online. It has also expanded its offering beyond football, and can provide recorded and live content across golf, cricket, tennis and the big four US sports, as well as perhaps more niche betting markets such as esports tournaments, elections and reality TV.

“They’ve tracked and tagged viewers of our shows so they know that when we’re on live, viewers stay on their website for 72% longer, place 82% more bets and post 900 - 2000% more often in their internal chat room than non-viewers.”

The contact books of the experienced broadcasters in the SBM team means they have access to a host of commentators and ex-professional players around the world and across multiple languages to give the content a local feel.

The reason that the operator continues to use and expand SBM’s service is simple to understand.

“SportsBet.io has been brilliant for us, and I can’t say enough good things about their content team,” Ross continued.

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“Some people will always prioritise watching the game, but there are a lot of punters who would stay on a sportsbook if only they were given a reason to stick around.”

In many ways the type of audio and video content that SBM produces is quite traditional, when set against the attentiongrabbing viral stunts and edgy ads that some marketers prefer.

SBM also has an eye on the younger bettor, who perhaps prefers to consume sport in clip form on social media rather than in a longer form.

However, a marketing strategy can only hang around long enough to become traditional if it works. And this is certainly an approach that delivers results - as long as it is done well.

“We produce what we call BetBites, which is a much more high-octane product where numerous events are expertly analysed with betting tips, but each event is given just 90 seconds. That’s a very social media-friendly offering,” said Ross.

“The marketing teams at sportsbook operators are pretty savvy. They tend to know what they want to achieve and we tailor our offerings to match their objectives,” said Ross.

TAKING SBM TO THE WORLD SBM showcased its offering to the US market at SBC Summit North America in May, an experience that Ross and his team found “fascinating”.

“Our live in-play products are great ‘sticky’ content for websites, whereas things like features and vodcasts can be either retention or acquisition tools, depending how they’re constructed and used.

“In Europe, most conversations are about how to make engaging content that fits with mature betting sites,” he explained. “In the US, the entertainment aspect is already deeply entrenched and we had a lot of conversations about how to develop the idea of betting within an established ecosystem of content, rather than developing content within a betting ecosystem.

“Once we have the brief, it’s down to us to make sure the quality of the product is good enough to cut through in an increasingly crowded online space.”

He added: “Live content is a great interaction tool - using chatrooms or social media to allow audiences to interact with the presenters - but it’s also great at combating the drop-off that operators suffer when games go live.

“We had a lot of interest and we’re now in discussions with several potential US clients, and also picked up conversations with some European operators too.”

The company is also exhibiting at SBC Summit Barcelona this month, when the wider industry will be able to view its established products and enjoy the official launch of BettingRad.io.

“I’m not a fan of the term ‘disruption’ because SBM is here to assist in building sportsbooks to become bigger, rather than to ‘disrupt’,” said Ross.

“But BettingRad.io has the potential to start a brand new sector in sports betting and we’re really excited to show it off to the industry.”

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Secrets of Bettors’ Behaviour Around the World The world of iGaming is a labyrinth of opportunities and mysteries, enticing businesses to venture into uncharted territories in search of untapped revenue streams. In this cross-cultural study, the Uplatform team explores how bettors’ behaviour varies in different regions of the world and how understanding that can be the key to success.

Words by MARTYN ELLIOTT

LATIN AMERICA: A MELTING POT OF SPORTS BETTING ENTHUSIASM .

“Latin America as a whole is a very different and mixed region. With the influence of European and American sports on the taste of its bettors, it differs from other regions due to the wide variety of sports that clients seek,” explains Randall, Sales Manager at Uplatform.

In Latin America, sports betting is experiencing a remarkable surge in popularity. Bettors have an ardent passion for diverse sports, with football, horse racing, tennis, basketball, and motorsports ranking among their primary areas of interest. Football, in particular, holds the utmost popularity, commanding a staggering 67% of all bets placed in the region.

Latin America’s iGaming market displays promise, with Brazil, Argentina and Peru spearheading

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its growth. Among these nations, Brazil stands out as the largest in South America, boasting a population of more than 200 million people. As internet penetration continues to rise and the population exhibits a keen affinity for technology, Brazil’s iGaming sector promises significant expansion in the near future.

Driven by popular sports leagues such as Liga MX and Copa Libertadores, the Latin American iGaming industry has grown significantly. To succeed in this market, operators must understand the diverse betting cultures influenced by historical, cultural, and socioeconomic factors. Each country in the region has distinct betting practices and preferences, with players often favouring frequent, lowervalue wagers.

SPORTS BETTING

IGAMING IN LATAM OVERVIEW.

GGR will reach $7.38 billion by 2027

Bets are on football

Bet a few times a week

Active bettors

Of online revenue via mobile

Esports viewers in 2022

ASIA-PACIFIC: THE RISING POWERHOUSE OF IGAMING. “The iGaming industry in Asia is poised for remarkable growth, driven by innovation and adaptability in response to the evolving landscape,” notes Rakhi, Sales Manager at Uplatform.

“The rapid pace of change in Asia indicates a strong interest among operators to tap into the Indian market, leading to the creation of products tailored to its unique needs. This presents an exceptional opportunity for growth and innovation in the iGaming sector.”

The Asia-Pacific region boasts the most significant gambling revenue worldwide, with its iGaming accounting for approximately 40% of all global wagers. It’s important to highlight that players prefer distributing their wagers among numerous smaller bets instead

of making substantial bets on individual events.

Operating in the Asian market brings both challenges and opportunities due to diverse regulations and unique player behaviours. To succeed, sportsbooks in Asia should include traditional sports such as Muay Thai, Kabaddi and cricket, alongside international sports like basketball, UFC, badminton, and football. Live dealer games and esports betting are also particularly popular among Asian bettors.

Collaborating with local affiliates is crucial for understanding cultural nuances and effective marketing. Language is also vital, with differences between nations and regions making local content essential. Also, Asian handicap and Asian odds formats are must-haves for success in the region.

IGAMING IN ASIA OVERVIEW.

increase in total GGR

Asian market share of global GGR

of all Esports betting revenue is from Asia

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of Asian bettors wager exclusively on esports

primarily bet on sports via internet

bet once a week

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AFRICA: EMBRACING THE DIGITAL BETTING TRANSFORMATION. “In Africa, the iGaming realm is undergoing a dynamic transformation fueled by the power of digitalisation. The widespread adoption of smartphones among the local population has resulted in a remarkable shift,” shares Zak, Senior Sales Manager at Uplatform.

“Although new technologies have not drastically altered the betting habits of bettors, providers must adapt to capitalise on the opportunities present in this highly coveted market.”

The growing adoption of smartphones among the locals has led to a significant change. In

addition to sports betting, Africa’s most sought-after gaming products now include lotto, bingo, and virtual horse and dog racing.

Given the wide range of fans it has amassed, especially since South Africa hosted the 2010 World Cup, football continues to be the most widely-bet sport in the region.

African players are strongly inclined towards betting and gambling, with a staggering 80% of players in Nigeria considering it their primary hobby. The presence of betting shops remains significant within Africa’s betting culture, serving as both offline betting hubs and social gathering spaces.

IGAMING IN AFRICA OVERVIEW.

increase in total GGR

million in Revenue in 2021

of the population made at least one bet

penetration of credit cards

of households have a PC

of the populatin aged 18 to 29

EMBRACING CULTURAL DIVERSITY FOR IGAMING SUCCESS.

EUROPE: THE IGAMING DOMINANCE CONTINUES. iGaming in Europe consistently dominates lists of the world’s highest-grossing markets. Countries like France, Italy, the UK, Spain, the Netherlands, and Finland have seen rapid expansion in the remote iGaming market, making them prime locations for running a gambling business.

Regardless of the region, the iGaming market holds immense growth potential. Operators must understand bettors’ diverse needs and preferences worldwide to develop customised betting experiences and implement responsible gambling measures.

At Uplatform, we take great pride in our extensive knowledge of various markets and their unique requirements. Our comprehensive suite of powerful tools and turnkey solutions enables us to provide successful and optimised localisation services, ensuring every player feels at ease.

Bettors in Europe have a strong passion for sports and are known for their extensive knowledge of the subject. Given its massive fan base and comprehensive coverage across various leagues and tournaments, football remains a prime choice for online bettors.

European bettors tend to engage in higher-stakes betting, often seeking additional features, improved design, and extra perks. They are also more inclined to make long-term bets, reflecting a cultural mindset toward taking calculated risks.

By embracing cultural diversity, operators can foster enduring player relationships and contribute to the growth and sustainability of the iGaming ecosystem.

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Innovation is simply not a numbers game

Innovation. A word that is seeped throughout the tomes of history. Think the Old Kingdom of Ancient Egypt. Yes, the one where the development of pyramids was said to have been perfected, writes CRAIG DAVIES, Editor of CasinoBeats and SlotBeats.

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elieve it or not, pyramids are also still being innovated today on a global scale, although this familiar sight is being done so in the form of those 5x3, 5x4 et al spinning reels.

This headline term also represents one that drives so much of the day-to-day make-up of this industry, but one that is maybe losing much of its meaning, primarily due to the ubiquity of its use.

Perhaps this is to be expected given the tidal wave of titles that are released every single week, but does this development of more of the same point to the fact that we’re simply nearing the end of the line in product innovation for online slots?

There is undoubtedly innovation, but in the wider context of the industry, is it enough?

Copycat syndrome is rife, think of the numerous iterations of everyone’s favourite adventurer in Indiana Jones, or how much of a love affair we have with fruit, etc…

It could be argued that Megaways is worthy of inclusion here. Personally, I know countless slot enthusiasts who think certain mechanics “make every game look the same” (not my words - don’t shoot the messenger).

From a purely media perspective, it is crucial to be careful of attaching words such as ‘innovative’ and ‘cutting edge’ to anything and everything.

Another key thing to keep in mind is the concept of innovation versus progression.

Are a large slice of the concepts labelled as innovative truly transformative? Or are they simply kicking something that we are already all too familiar with down the road a little more?

After almost six years in the industry, some ‘innovative’ concepts seem to have been spoken about almost as much as Latin America has been dubbed the next big thing.

Although it is refreshing that significant progress has been made across the latter.

Getting back to the topic at hand, the impact of the players themselves must also

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be placed under the microscope, alongside the trust of operators in welcoming fresh concepts.

An individual could well be comfortable with what they know, or simply not be blessed with masses of time to spend looking for titles to play. The double-sided coin here balances the effectiveness of a lobby against the thought that said player would simply head straight to what they know.

How much innovation is too much? To this point, maybe we could consider Aesop’s Fable The Tortoise & The Hare.

Swinging things back to slots and the tidal wave of output that was touched upon earlier, could the danger be that there’s now more of a focus on producing a catalogue that appeases the many? Or simply producing a vast amount of games?

If you throw enough ideas at the wall, one will stick, right? The heightened output is undoubtedly an advantage to some. Those being the larger studios that could be particularly well-versed at enjoying success across multiple territories and demographics.

Does building upon this create the risk that potential hit titles are simply being swamped by the volume of competition?

Could true innovation be slipping between the cracks, or be a mere whisper among the ear-splitting noise of more established and much better-funded counterparts?

So, where do slots go from here? To engage and excite you need to stand out. In the mid-to-long term, innovation is undoubtedly key to surviving the content deluge.

However, a balance between innovation and familiarity must be struck. Reinventing the wheel every month can push players in the wrong direction, while, on the flip side, a consistent output of reskins is simply not the way forward.

Thinking outside of the box is crucial, and those that churn out the same, or incredibly similar, content will inevitably get left behind.It is simply not a numbers game.

Quality must win out over quantity.

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The future of content aggregation MARK TAFFLER, Commercial Director at Yolo Group, asks where the future for content aggregation is heading as he outlines the ways Hub88 is supporting growth for new companies.

Words by ERIN GALLAGHER

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agendas is the potential for content aggregation, and more importantly, where the future for content aggregation is heading.

One such topic that has cropped up on various conference

Mark Taffler, Commercial Director at Yolo Group, has been a leading voice throughout this discussion.

He sat down with SBC Leaders to go beyond the future of content aggregation, asking how Yolo Group’s Hub88 brand supports growth for new companies.

hese last few months have been jam-packed with industry conferences and events. From Malta to Amsterdam, and from New Jersey to Barcelona, the iGaming industry has had the opportunity to address some of the key opportunities and challenges facing the sector in 2023.

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Hub88 is a dynamic ecosystem that plays a vital role in supporting the growth and success of new companies. With its diverse range of resources, collaborative environment, and strategic partnerships, Hub88 provides a strong foundation for startups to thrive and flourish.

In this article, we will explore how Hub88 supports growth for new companies.

First and foremost, Hub88 fosters a collaborative environment where startups can connect with like-minded entrepreneurs, industry experts and mentors. This networking opportunity is invaluable for new companies as it allows them to exchange ideas, gain insights, and receive guidance

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from experienced professionals.

By being a part of this supportive community, startups can access a wealth of knowledge and expertise, which can significantly accelerate their growth trajectory.

Hub88 provides startups with access to essential resources and infrastructure that is often out of reach for early-stage companies. Hub88 resources enable startups to develop and test their products or services more efficiently, reducing time-to-market and improving overall operational efficiency.

Hub88 actively cultivates strategic partnerships with established companies. Through these partnerships, startups

gain access to a wide network of potential customers, investors and collaborators.

This not only helps new companies gain visibility but also provides opportunities for strategic alliances, business development, and market expansion. Access to these networks can be a gamechanger for startups, enabling them to tap into a broader customer base and unlock new growth opportunities.

In addition to the physical infrastructure and networking opportunities, Hub88 offers a range of tailored programs and support services specifically designed to address the needs of startups.

Hub88’s comprehensive ecosystem provides the necessary tools and support for startups to thrive.

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These programs cover various aspects of business development, such as mentorship, funding opportunities, market research, legal and intellectual property support, and marketing assistance.

Hub88 fosters a collaborative environment where startups can connect with like-minded entrepreneurs, industry experts and mentors.

By availing themselves of these services, startups can benefit from the collective wisdom and experience of the Hub88 community, ensuring that they are wellequipped to overcome challenges and seize growth opportunities.

Hub88’s presence at many of the industry’s networking events and workshops aims to foster learning, development and leadership for developing firms in the industry. These initiatives cover a wide range of topics, including technology trends, industry practices, business strategy, and leadership development.

By participating in these activities, startups can stay up-to-date with the latest developments in their respective fields and acquire the necessary skills and knowledge to navigate the complex startup landscape successfully.

Another significant way in which Hub88 supports growth for new companies is through its access to investment and funding opportunities via Yolo Investments. This financial support is crucial for startups to scale their operations, hire talent, invest in research and development and expand their market reach.

By connecting startups with potential investors, Hub88 significantly increases their chances of securing the funding they need to fuel their growth ambitions.

As a final thought, Hub88 serves as a robust support system for new companies, offering a collaborative environment, access to resources and infrastructure, strategic partnerships, tailored programs and funding opportunities.

By leveraging these resources and tapping into the collective expertise of the Hub88 community, startups can accelerate their growth, overcome challenges and achieve long-term success. Hub88’s comprehensive ecosystem provides the necessary tools and support for startups to thrive, positioning them for sustainable growth in the competitive business landscape.

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Behind the SUCCESS GAMOMAT is celebrating 15 years of developing a market-leading slots portfolio that has grown to over 150 titles. We sat down with Founder & Managing Director DIETMAR HERMJOHANNES and Joint-Managing Director DR ALEXANDRA KRONE to talk about the German game developer’s journey and future plans.

Words by CONOR PORTER

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SBC: FIRST OF ALL, CONGRATULATIONS ON CELEBRATING YOUR 15TH ANNIVERSARY! HOW WAS GAMOMAT ESTABLISHED? DH: When we look back, it’s been quite a journey for GAMOMAT since the business was founded in 2008. Our aim from the off was to create engaging and exciting content for the land-based gaming market.

A passion for games and my enthusiasm for people were the key drivers behind the establishment of the company.

As you know, the gaming industry landscape is constantly shifting and the biggest change was the rise of online. In order to continue growing, we needed to stay ahead of the curve and we made the decision in 2014 to diversify by providing games for the online market. Today, the GAMOMAT Group is a dedicated B2B online provider, with our games being live in more than 35 markets.

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SBC: WHAT DO YOU HAVE PLANNED TO CELEBRATE YOUR 15TH ANNIVERSARY? DH: Our 15th anniversary is not only a time for reflection but one that will see us reinvent our classics to bring even more joy to players.

We are pulling out all the stops to make it a memorable occasion. One way in which we’re celebrating is introducing a ‘Deluxe Games’ series that will see our most iconic games re-launched with enriched, cuttingedge graphics. We can’t wait for everyone to join the celebration and experience these deluxe games.

In September, ‘Fancy Fruits Deluxe’ and ‘Royal Seven XXL Deluxe’ will be the first games to be available for players to enjoy in a brand-new light. We’re also planning to follow up these initial games with ‘Ramses Book Deluxe’ before the turn of the year.

Additional games will join the ‘Deluxe Series’ in 2024, so watch this space.

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A passion for games and my enthusiasm for people were the key drivers behind the establishment of the company.

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We fully appreciate the role that our partners have played in our rise, and they will feature in these celebrations over the rest of the year.

SBC: NOW SERVING AUDIENCES IN MORE THAN 35 COUNTRIES AND IN 27 LANGUAGES, HOW HAS GAMOMAT DEVELOPED INTERNATIONALLY AS A BUSINESS OVER THE LAST 15 YEARS? DH: Reflecting upon the international expansion of GAMOMAT over the past 15 years, it’s important to note the role that our dynamism and adaptability has played.

Of course, this process was not without challenges. Consistent growth has required a deep understanding of local market nuances, regulatory standards, and player preferences, which can often change significantly from one region to another.

Our mission is not just to be present within international markets, but truly local in each market we operate in. This has meant extensive investment in market research, localisation, and culturally-sensitive game development.

GAMOMAT’s unique corporate culture has been instrumental in this journey. Alex has helped the company translate the importance of culture and values for the success of the company into action far more consciously than ever before.

SBC: WITH A TEAM OF AROUND 80 EMPLOYEES, WHAT INITIATIVES DOES THE COMPANY HAVE IN PLACE TO SUPPORT THOSE EMPLOYEES? AK: As a company, we place a strong emphasis on creating a holistic working environment that stimulates a Good Work philosophy. This Good Work concept is intrinsically linked to each action or company initiative being individually meaningful. By following this superstructure, we make every activity fulfilling within the context of flexible, individualised working conditions that best suit our team.

Evidence of the fine work we’ve achieved within GAMOMAT has resulted in the company twice being certified as a Great Place to Work®. This globally-recognised award acknowledges credible, fair corporate governance and active promotion of employees. GAMOMAT is currently listed among the Top 100 places to work in Germany.

We promote professional and personal growth through flexible, hybrid work models and individualised professional development initiatives. There is a wide selection of diverse training programmes that are accessible through our GAMOcademy.

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We can’t wait for everyone to join the celebration and experience these deluxe games.

We’re proud that our ESG initiatives have been recognised in the wider gaming industry. This year, we were honoured to receive the Charitable Community Award at the International Gaming Awards, a testament to our continuous dedication to social responsibility.

On top of this, we conduct annual feedback sessions between managers and employees to set individual developmental goals. The concept is named GAMOlog and is designed to nurture a culture of proactive feedback and serves as a tool for systematic personnel development.

SBC: WITH A LIBRARY OF OVER 150 ONLINE SLOT GAMES, WHICH SLOT TITLES HAVE STOOD OUT FOR GAMOMAT?

Our GAMOMATies bring the philosophy to life daily, which is why we take employee well-being very seriously, providing a comprehensive range of healthcare services that help promote positive mental health.

DH: It’s challenging to single out just a few, I can say that our success isn’t dependent on any one title.

Our revenue is driven by our top 20 games, each contributing its share to our overall success. This diversity ensures we cater to a wide range of player preferences, making our portfolio robust and resilient.

SBC: WHAT ESG INITIATIVES DOES GAMOMAT HAVE IN PLACE? AK: We are deeply committed to our environmental, social, and governance responsibilities. We’ve gone so far as to launch our own Gaming for the Climate initiative where we designate a portion of our revenue from a selected game each year to non-profit organisations fighting against climate change.

If there was one title we had to highlight, it might just be Ramses Book as it’s fresh in our minds following being shortlisted for SBC’s very own Slot Legacy Award 2023.

It’s a true classic that has been on the market for 10 years now and remains incredibly popular with players.

This initiative not only symbolises our commitment to environmental protection but also invites our customers to be part of this vital cause. To date, we have partnerships with Healthy Seas, Borneo Orangutan Survival and most recently the African Wildlife Foundation.

SBC: FINALLY, WHAT’S NEXT ON THE HORIZON FOR GAMOMAT? AK: Looking ahead, our goal is to grow and extend our global presence. We are dedicated to cementing our position as a leading online gaming provider that is known for its exemplary reputation as a top employer.

On the social side, we support Krisenchat, a nonprofit organisation offering free, confidential advice to children and young people in need. By doing so, we acknowledge the significance of mental health, particularly among the younger population, and make concerted efforts to back organisations addressing this concern.

In the short term, we’ll be celebrating our 15 years as a business with internal parties for our employees as a thank you for all their hard work. We’re really excited by our Deluxe Series where we’ll keep bringing new titles into it, furthering our support for ESG initiatives.

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Championing innovation in iGaming MARINOS SHIAPANIS, Co-Founder and CEO of Campeón Gaming, reflects on his leadership strategy and the new opportunities for innovation within the iGaming space.

Words by ERIN GALLAGHER

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arinos started his career in the world of marketing, before making the move to iGaming where he had grand plans to own his own company. This, he told SBC Leaders, is where the idea of Campeón Gaming came to life.

As Co-Founder and CEO, Marinos explained that one of his guiding principles of leadership is the people of Campeón Gaming, with a strong focus on “leading by example” when it comes to company strategy, team management and adaptability.

He began: “The most challenging part of leadership is to integrate adaptability into my day-to-day business, since the landscape is constantly evolving, and now, more than ever, it is time to navigate through various challenges and opportunities.

Adaptability has not only been a key factor in Marinos’ leadership style, but has also played an integral role in Campeón Gaming’s growth within the wider iGaming industry.

For the CEO, adaptability and flexibility are necessary to staying ahead of the curve on any iGaming trends and challenges - particularly when it comes to an ever-evolving regulatory landscape.

Marinos continued: “Mastering regulatory challenges is crucial, as regulations vary significantly between markets and regions. By being proactive in understanding and complying with these regulations, Campeón Gaming ensures a smooth and legally compliant operation in various jurisdictions.

“I choose to have a strong leadership presence and a keen focus on the company’s vision and goals. The role requires constant monitoring of the industry trends and regulatory changes, and the ability to make well-informed decisions to ensure the company’s success in a highly competitive market.

“We acquire a well-developed regulatory intake, integration, and reporting process to navigate through the regulatory landscape.

This approach not only safeguards meeting legal requirements, but also showcases our commitment to ensuring protection, fair gaming practices, and responsible gambling measures.”

“From the very first day, I have decided that leading by example is a crucial leadership approach, to demonstrate first-hand our values and behaviours.”

By carrying out continuous research on the latest iGaming trends, Marinos noted that Campeón Gaming has been able to identify new opportunities for innovation.

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By prioritising innovation, we are better equipped to stay relevant and thrive in the long run, ensuring our ongoing success.

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From a technological perspective, flexibility also means that its team can continue to meet customer demands. The platform’s front-end prioritizes user experience with responsive, mobile-friendly design, intuitive navigation, and interactive and gamification elements, while the platform’s back end implements continuous data analysis, fast-track reporting, and feedback, meeting customer preferences, and ensuring a user-friendly and appealing platform.

Under Marinos’ leadership, Campeón Gaming has grown from a team of just 5 people to 130, and 4 office locations, while offering technology and management services to over 45 brands.

So what’s the secret behind this growth? In short, it comes down to the company’s people and “way of thinking”. By fostering a work environment that prioritises innovation and inclusion, with its people at the centre, he believes that Campeón Gaming “wouldn’t be where it is today”.

regulatory mature with a techsavvy population.

Despite the high level of competition in these regions, the increasing demand for online gambling makes this region a “lucrative market with a strong potential customer base”.

Marinos continued: “Estonia, even though it is a smaller market with a limited target audience, has met significant growth in the last few years, giving space for new business opportunities and strategic expansion for new and existing operators.

Estonia also has a digitally advanced population, which stands as an opportunity for all iGaming companies.

“Scandinavian markets, especially Denmark, and Sweden, are the markets to be, in order for operators to expand their international footprint, as they hold high internet penetration rates and tech-savvy populations, making them prime targets for online gaming platforms.”

MAKING STRIDES

He said: “We generate innovation in everything we do, from product development to customer experience.

This has allowed us to stand out in this competitive market, offer unique solutions and continuously adapt to the ever-changing industry trends.

Talk soon turned towards Marinos’ vision to invest in new and innovative technologies which he is confident will help Campeón Gaming to gain a competitive edge. One such example will be focusing on its in-house platform and payment solutions.

“Our notable example is our iGaming solutions platform Nexto Gaming, a platform that integrates the actual operators’ and market’s needs, and provides the ultimate iGaming technology stack, creating the most engaging gaming experience.

He concluded: “By leveraging Campeón Gaming’s strengths and expertise, further expansion into new markets becomes a viable path for overall business growth. Entering new markets allows us to tap into different customer segments, diversify revenue streams, and mitigate risks associated with overreliance on specific regions.

“Our out-of-the-box thinking, turning innovation into action, with adaptability and flexibility to the market needs, gives us unlimited possibilities and unlocks new business opportunities, enhancing our presence in the industry.”

NEW FRONTIERS For 2023, Campeón Gaming has identified opportunities for expansion in both Scandinavia and Estonia, with both markets considered to be

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“This year, Campeón Gaming has prioritised our peoples’ growth, resulting in a nearly twofold increase, now standing at 130 people. In 2023, we have invested in our proprietary buildings establishing a technological hub in multiple locations, demonstrating our commitment to expanding our operational capabilities and staying at the forefront of technology in the iGaming industry.”

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SBC LEADERS ISSUE 27

Up, up & away Coming up to his third year as Upgaming’s Head of Digital Marketing, GOGA BIBILURI details the ways in which the company has stayed ahead of the industry’s constant evolution, how its solutions cater for an upscaling market and the impact of European expansion.

Words by DANNY LEE

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Lending a helping hand to companies looking to make their mark is Upgaming. As Bibiluri explains, the casino and sports betting technology provider aims to give operators the tools needed to kickstart their business and offer a “personalised and immersive” user experience.

tanding out from the crowd as an operator in today’s highlycompetitive market is no mean feat. Competing with constant product developments, commercial partnerships and endless expansion means that only the fittest can survive at the top level.

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Technological advancements have always been our driving force. We wanted to challenge the industry standards.

GB: Sportsbook has been one of our core products since 2014, so we made sure to build it from scratch in a way that makes it highly scalable.

SBC: WHAT ROLE DOES UPGAMING PLAY IN THE GAMBLING INDUSTRY AND WHAT EXACTLY DOES THE COMPANY OFFER TO BUDDING OPERATORS? GB: Upgaming was created to support operators in building their online casino and sports betting endeavours. Our mission is to create an iGaming ecosystem that enables anyone to step into the industry and simplify their business processes. So, with that intent in mind, we developed new, innovative software solutions catering to operators’ diverse needs.

The range of our solutions encompasses all the tools and features you may need to start, run or upscale your online casino, such as our iGaming platform, Casino Software, which provides more than 12,000 aggregated games from over 180 game providers.

Then there’s Sportsbook software with the highest amount of live and pre-match events, as well as custom markets made by 120 in-house bookmakers.

Our product diversity stems from a focus on innovation and scalability, always keeping an eye on the evolving trends and dynamics of the iGaming world. Our goal has been, and always will be, to equip operators with tools and software that are reliable and highperforming, innovating and continuously evolving, just like the industry itself.

SBC: UPGAMING HAS NAVIGATED THE HIGHLY COMPETITIVE SPORTS BETTING MARKET FOR OVER NINE YEARS. HOW HAS YOUR SPORTSBOOK SOFTWARE EVOLVED ALONG WITH THE COMPANY TO OFFER COMPETITIVE PRODUCTS TO OPERATORS?

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Since the beginning, we wanted to build an infrastructure that would be upscaled, where we could create add-ons and add new features as time would go. Thus, we made it as customisable and scalable as we could nine years ago.

Since then, we have constantly updated and added new features. For example, in 2023, we have signed three major deals with Betgenius, Betradar and BetBazar. Furthermore, our Sportsbook product has been licensed in the Netherlands. The year prior, we received an MGA licence that enabled our Sportsbook to challenge and disrupt the European sports betting market.

All of this would not be possible without our team, which keeps growing with the company. During the past three years, we have gone from 80 employees to 380, while opening three new offices in Malta, Bulgaria, and Georgia, and there is still much more to come.

SBC: THE INDUSTRY HAS RECENTLY BEEN BOMBARDED WITH TECHNOLOGICAL ADVANCEMENTS TO TAKE OPERATORS TO NEW LEVELS OF ENGAGEMENT. HOW HAS UPGAMING USED TECHNOLOGICAL INNOVATIONS TO ENHANCE OPERATORS’ SPORTS BETTING OFFERINGS? GB: Technological advancements have always been our driving force. We wanted to challenge the industry standards, which is why we created Upgaming and incorporated our core values.

The heritage news portal of the SBC Media portfolio, providing daily insights and opinion on all segments of the European sports betting industry.

The premier destination for betting industry news in the USA, Covering the sports betting, and online and offline casino industries across the 50 states.

The leading Spanish-language portal covering news from the betting and gaming industry, across Latin America, North America and Spain.

A news portal covering the latest developments from Eastern Europe and Central Asia, delivered by an expert local editorial team.

A news portal covering the latest developments from Eastern Europe and Central Asia, delivered by an expert local editorial team.

The leading source of betting and gaming industry news covering Canada and global stories with Canadian interest.

CASINO

We believe strategic innovation should be based on data, so without innovation, there would be no Upgaming; instead, we would be just another software provider.

advanced European markets, and having a permit there signals our dedication to providing European users with leading software solutions.

That’s why Upgaming has been at the forefront of embracing innovations to elevate our operators’ sports betting experience. It all began in 2014 when we envisioned creating a platform that could be upscaled and primed for innovation for the next decades.

This forward-thinking approach laid the foundation for our progress, ensuring our platform keeps disrupting industry standards.

Building a pan-European presence is more than just about geographical expansion. For Upgaming, it’s a testament to our commitment to quality, compliance and user-centricity.

As a result, our Sportsbook rapidly became one of the most sought-after products in our portfolio. Recognising the increasing demand for a seamless sports betting experience, we introduced the Sportsbook API in 2022. But our commitment to innovation continued.

In 2023, we pushed the boundaries further by ensuring that our Sportsbook API could be integrated into any iGaming platform within a day. This quick integration feature was a game changer, allowing existing operators to upscale their businesses seamlessly.

SBC: EARLIER THIS YEAR, UPGAMING ANNOUNCED IT HAD SECURED A NETHERLANDS LICENCE. HOW IMPORTANT IS BUILDING A PAN-EUROPEAN PRESENCE FOR ESTABLISHING THE COMPANY AS A KEY SOFTWARE PROVIDER? GB: The European market undeniably holds paramount significance for Upgaming. It’s not just a strategic focus for us, but also aligns with our broader vision to be recognised as a leading software provider in the gaming industry.

The Netherlands, with its vibrant gaming ecosystem and discerning user base, is one of the most

SBC: FINALLY, WITH H2 WELL UNDERWAY, WHAT ARE THE COMPANY’S PLANS AND WHAT DEVELOPMENTS ARE ON THE WAY FOR THE FINAL HALF OF THE YEAR? GB: Well, each year, we analyse the data gathered during previous periods and plan based on the statistical signals we receive. We speak with our existing operators, understand their current needs, and plan innovations based on this criteria. So, for now, this year’s research is still in the processing stage, but I can promise two things: We will increase customisation options, giving operators direct access to the comprehensive, userfriendly customisation dashboard and a/b testing platform.

Additionally, we will integrate advanced AI models into our risk management and anti-fraud systems. We are speaking about AI models that can evaluate large data sets based on pre-made safety criteria and detect riskcontaining patterns and behaviours in the blink of an eye.

This upgrade is designed to increase our operators’ security to a level unseen before, eliminating the chance of fraud or unlawful gambling.

We’re excited about the road ahead and committed to delivering innovation based on data to disrupt the market again and prove that entertainment has no borders.

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“

2023 has so far been about delivering on our partnership and supplier commitments.

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Going beyond partnerships DUNCAN FAITHFULL EVP, Gaming Business Leader and CCO at Quixant, outlines some of the key differences between being a partner and a ‘great supplier’ and discusses ways in which Quixant is supporting the product delivery process.

Words by ERIN GALLAGHER

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he word ‘partnership’ is used far too often by organisations who aim to position their service provision as superior, and is commonly perceived to be more valued than their customers would say that it is.

Often those promoting the value of partnerships like to put ‘strategic’ in front of it to reinforce how important and inherent they are to their customers’ product delivery.

Being a partner becomes a throwaway line used in marketing collateral designed to make potential customers see the supplier as more than a supplier, when actually being a great supplier is a brilliant thing, and often exactly what customers are looking for.

So, what defines being a partner as opposed to being a great supplier? At Quixant, we believe that partnership is about striving to achieve common and shared goals based on our customers’ overall objectives in the gaming and sports betting market, and their drive to deliver the ultimate customer experience, and that part of being a partner is being a brilliant supplier.

What is the point of pretending that we have a role in the delivery of our

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customer’s strategic objectives if we don’t do our core activities at the required standard?

The ’pandemic years’ show this theory perfectly. During that time when our market was largely closed and supply chains were crippled by component shortages and shipping disruption, our role became largely focused on the delivery of our market leading hardware platforms.

Ensuring that our customers could build their products safely in the knowledge that the critical components which drive their games were available became our main driver, and this involved reengineering many of our products multiple times as components came in and out of availability.

During the pandemic, AMD, a key component supplier to our industry, chose to ‘de-prioritise the gaming industry’ and made some of their key graphics products end-of-life. This gave several of our ‘partners’ (yes, the ‘P’ word is appropriate here) a very small runway into a new provider at a time when their businesses were already under pressure.

CASINO

What defines being a partner as opposed to being a great supplier?

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The platforms are designed to provide maximum performance based on budget, market, and product needs, and come with our market-leading software solutions as standard, which are designed to optimise game development and delivery and ensure optimum results with sports book integrations.

Working together, we focussed on the shared objective of new product introduction and delivered long-term solutions in line with their cabinet and kiosk strategies. This sentence underplays the significant amount of work on both sides to make this happen, but as Quixant only operates in the gaming and sports betting industry, our focused expertise was 100% committed to this task.

We also offer a range of specialist cabinets and kiosks, Quantum and Qinetic, which are powered by our market-leading hardware platforms and come with a comprehensive suite of peripherals. They are highly configurable and can be tailored to meet each customer’s individual requirements, with expert technical support from our inhouse cabinet and kiosk design team.

For our competitors, the industry is only one vertical amongst many, and so Quixant is different in that we only think about developing and delivering solutions to answer gaming and sports betting-based challenges.

2023 has so far been about delivering on our partnership and supplier commitments as our market continues to recover from the last couple of years. Thankfully, the world looks increasingly positive so whilst we continue to focus on excellent delivery of the core requirement of our customers, we are also focused on bringing new hardware and software solutions to the market to help our customers to achieve their objectives.

Whether you are working with another technology provider and seeking a new supplier, are an online company looking to move to the land-based sector, or are completely new to the industry, we are here to support you at every stage of your journey.

So, what do you get if you choose to partner with Quixant?

As such, we are pleased to demonstrate our support of the industry by sponsoring SBC Barcelona on 20-21 September. We look forward to connecting with those attending the event to discuss how we can enable them to focus on the integration of their game or sportsbook and the enhancement of the customer experience, by leaving the hardware platform, cabinet, terminal and kiosk solutions to us.

• • • • •

Our ultimate range of hardware platforms, IQ, IQON, and QMAX have been designed with the requirements of the gaming and sports betting industry in mind, giving our customers the confidence that their solution is reliable and as powerful as their imagination needs it to be.

Relentless focus on innovation and product delivery.

Outsourced supply chain management solutions.

Stability – Security – support. From the gaming experts.

Commercial flexibility.

Joint product lifecycle management.

--------------Are you attending SBC Barcelona and are interested to find out what a partnership with Quixant could mean for you? If so, arrange to meet us at the show by visiting quixant.com/sbc-barcelona-2023/

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POWERED BY

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SBC LEADERS ISSUE 27

When good deeds are bad news When Rangers unveiled their new home kit for 2023/24, it was accompanied by a press release that explained the sponsor’s branding on the front. And it probably needed to be, writes SBC Leaders Editor MARTYN ELLIOTT.

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hile the large Unibet logo would be familiar to many football fans, the ‘Zero% Mission’ slogan underneath it probably meant little to anyone outside the gambling industry.

Is it promoting a climate change initiative or perhaps a video game?

Could anyone realistically expect the average Ibrox-going supporter, fuelled in equal measure by their love for Ally McCoist, annoyance at Celtic’s latest title win, and Tennent’s lager, to know that the mission in question is a safer gambling initiative?

Driving any kind of consumer awareness or engagement is just one of the multiple public relations challenges that Kindred Group’s journey towards zero ambition faces. Which is a shame, as the goal of reducing its revenue from harmful gambling to zero is an admirable one.

It’s also something that Kindred has embarked on for the right reasons, rather than just to seek positive press coverage. However, commentary in the press tends to help form people’s perceptions, so PR matters.

There’s a lot to like about the ‘Zero% Mission’ from a PR perspective. It’s a positive move that is definitely in the best interests of Kindred’s customers and demonstrates that the company has forward-thinking values.

Its quarterly progress reports should also be a good news story. They indicate that the company’s safer gambling interventions with high-risk players are working and that, at around 3%, the share of revenue from harmful play is significantly lower than the figures bandied about by those campaigning for tighter regulation of the industry.

This is where the PR challenges really kick in though, as once a gambling operator publicly admits it has a problem, everyone from social media bores to serious political campaigners want to have their say.

And they rarely say anything that the company’s leadership or investors want to hear.

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If that wasn’t bad enough, Kindred’s laudable initiative actually gifts additional attack angles to critics, which may explain why many other major operators are reluctant to be as bullish about their equally commendable safer gambling ambitions and programmes.

Chief among those angles is the fact that Kindred’s aim of reducing revenue from harmful gambling to zero is clearly unachievable. There’s no vaccine rollout in the making for gambling addiction so, despite operators deploying a combination of cutting-edge technology and the industry’s best talent to improve player protection, it is inevitable that some harmful play will slip through.

As the failure of the mission is all but guaranteed, fulsome praise is unlikely.

However, any mistakes - particularly those that lead to penalties from regulators - will attract an extra level of opprobrium, as Kindred has discovered.

So why not just beat a retreat and very quietly drop the promise? Aside from the fact that Kindred’s commitment to reducing problem gambling is genuine, the step back from such a high-profile pledge would soon be spotted and the admission that it cannot deal with the issue would be an even bigger PR nightmare.

What about going the other way and ramping up the publicity by, for example, putting the commitment on the front of a football shirt? That sort of approach tends to attract accusations of using good works to drive sales, which would be unfair in this case (but I understand the cynicism; it’s my first thought when I see Heineken’s educational drink-drive ads at F1 circuits).

It really is a no-win situation - apart from for those who will be helped as that 3% is pushed down towards 2% and possibly even lower.

All this probably sounds like I’m criticising Kindred, but that’s far from the case. I admire the fact that it has prioritised the moral imperative and is pulling out all the stops in an attempt to do the right thing.

But when even the praise sounds like criticism, there really is a problem.

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SBC LEADERS ISSUE 27

Standing out from the crowd is difficult to do in the gambling industry, but with a focus on community, social media and star appeal, Roobet Co-Founder MATT DUEA and his team have demonstrated what is possible when you use your imagination.

Words by MARTYN ELLIOTT

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We never expected Roobet to really amount to a blip on the radar, if I’m totally frank.”

hen a story involves viral TikTok videos, cryptocurrencies, a worldfamous rapper, knockout punches and a gun-toting video game, you might expect it to be a full-on tabloid scandal.

Much of this success has been driven by a marketing strategy of building a community centred around entertainment, rather than establishing a solely transactional relationship with its players.

Yet this one is far less salacious.

It’s simply the tale of how all those elements have combined to form a stellar player engagement strategy that has made Roobet a favourite casino and sportsbook among Zillennials.

Founded in 2018, but only really pushed as a serious enterprise from mid-2019, crypto-first operator has now taken in excess of 3.6 billion bets and seen its team grow from 10 to 136.

Duea says: “The internet’s a weird place to live and it’s all about being quirky and eye-catching. That’s a lot more work than I think people realise.

“We’re a club and we like to create things for our community that our community’s into. If we provide enough value to them, we know that the ones that bet will reward us with loyalty to the brand.”

Speaking to SBC Leaders, Roobet’s disarmingly candid Co-Founder Matt Duea admits: “I’ll level with you.

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The internet’s a weird place to live and it’s all about being quirky and eye-catching.

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GOING VIRAL

a corporate marketing team kicking about ideas in a meeting room does.

One of the key elements of that community building has been social media and specifically video content.

“The interesting thing about TikTok is there’s so much content on there now because of the fame of that platform and how it’s grown,” says Duea.

“What Roobet tries to do is work with these creators - influencers, celebrities and athletes - to try to make moments happen. And then capitalise on the excitement of those moments.”

This focus has seen Roobet become a huge hit on TikTok, where posts using the brand’s hashtag have been viewed more than 440 million times, making it arguably the gambling industry’s biggest success story on the platform.

A self-effacing Duea says that he “fell into TikTok by happenstance”, rather than targeting it as a key promotional channel.

That may be the case, but Roobet’s approach to the platform is one that established betting and gaming brands - or, in fact, any type of B2C brand - can learn from, because viral moments do not happen by chance.

THE WORLD’S FIRST CHIEF GANJAROO

In short, it’s all about choosing the right ageappropriate creators to partner with and then accepting that they know more about how to engage with an audience on TikTok than

Roobet has since leveraged the partnership to create greater player engagement by ‘Snoopifying’ its popular original game Crash to create Snoop’s Hotbox.

Perhaps the most famous member of the Roobet community is rap superstar and NFT evangelist Snoop Dogg who, in keeping with the brand’s kangaroo-themed identity, became the company’s Chief Ganjaroo Officer earlier this year.

Snoop may be an unconventional choice of brand ambassador, but Roobet is an unconventional company and, in many ways, he is the perfect fit.

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We’ve spent a lot of time shooting each other in the face!

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Canelo doesn’t need to be a content creator to stay relevant. He just needs to keep knocking people out.

Duea says: “Snoop’s an entertainer. He’s a performer.

He connects with us and our community at a deep level.

“He’s a legend and he’s achieved incredible things, but I think our connection with him is that he understands the life of an artist.

“A lot of the people involved in Roobet like to create and we like to support creators. We like to work with people to make fun, goofy, weird content.

“And Snoop’s got that kangaroo streak to him, he’s got a little bit of that weird to him. He does things with his own Snoop flavour and I think that’s what really makes us sort of lean in with him.

“That’s why we were very excited to work with him.”

A KNOCKOUT SPORTING STRATEGY The yin to Snoop’s yang is Canelo Álvarez, the fourweight boxing world champion, who is also a Roobet brand ambassador. While Snoop is a creator, the Mexican pugilist is very much a destroyer, and that appeals to a different group.

“Canelo doesn’t need to be a content creator to stay relevant.

He just needs to keep knocking

people out,” says Duea. “He brings the betting audience.

Casino is a whole different beast, but Canelo is definitely a sports person and Snoop’s more casino.”

Boxing is the most traditional sport to feature in Roobet’s promotional efforts, in part because its leadership team is not looking to take on the heritage sportsbook brands.

Perhaps more important in the thinking is how well Duea’s team knows its target audience. People who use crypto tend to favour other new and disruptive forces, and in the sporting world that means MMA and esports.

Roobet is now the UFC’s official social casino partner via its Roobet.fun free-to-play platform, and also produces a range of MMA podcasts with fighters including Alex Pereira, Charles Oliveira, Brandon Moreno and Marlon Vera.

In addition to helping to reach and engage with sports fans in Latin America, where top UFC fighters are superstars, the podcasts further build Roobet’s positioning as an entertainment brand, rather than a purely transactional operation.

“We’re willing to take the time and make the investments in

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things that we’re passionate about and are fundamentally fun things to do that connect with our values,” Duea explains.

“With these podcasts, we just like hearing the perspective of the people inside the sport. We enjoy giving them a platform to be viewed more as a human being and less as an action figure that stands in a ring and gets their face punched at.”

One of those fundamentally fun things that is indelibly in Roobet’s ethos is the CounterStrike video game series, which has become one of the world’s most watched and bet on esports.

The operator now stages the Roobet Cup, a big money CS:GO tournament, and organises the Roobet Arena, a matchmaking service for CS:GO enthusiasts looking for an opponent.

While this is largely another way to strengthen the connection with its community, it also provides a window on the company’s unique culture.

“CS:GO is a part of our roots,” says Duea. “A lot of the people at this company wouldn’t even know each other today if it wasn’t for that video game - we’ve spent a lot of time shooting each other in the face!”

MARKETING

Words by MARTYN ELLIOTT

SBC LEADERS ISSUE 27

An ever-growing ecosystem Leading a company from start-up to a multinational player in just seven years is no mean feat. MARINA ILYINA, CEO of PIN-UP Global, tells SBC Leaders how she has achieved just that.

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We don’t want to simply fulfil customers’ needs, it’s important for us to strongly exceed their expectations.

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hen the PIN-UP Global brand was established in 2016, few could have predicted the global growth story that followed.

Yet everyone works towards a common goal - consistent profit, sustainable development, and business scaling for each member of the ecosystem and for the brand as a whole.

It now has offices in six countries, delivers services to gambling businesses in markets worldwide and has expanded to such an extent that it is no longer a single entity.

SBC: YOU’VE BEEN WITH PIN-UP SINCE ITS LAUNCH IN 2016. HOW HAVE YOU FOUND THE COMPANY’S JOURNEY AND WHAT WAS YOUR VISION FOR CREATING THE ECOSYSTEM WE SEE TODAY?

Instead it is an ‘ecosystem’ consisting of numerous companies specialising in online and offline marketing, affiliate and SEO promotion, along with software development, fintech, customer service, and legal and compliance services - all under Ilyina’s leadership.

SBC: PIN-UP GLOBAL HAS A MULTI-FACETED APPROACH TO THE IGAMING SECTOR. TELL US MORE ABOUT YOUR ECOSYSTEM OF COMPANIES AND HOW IT WORKS. MI: Our ecosystem consists of seven different fields of business. Each individual segment includes several independent companies that operate both in partnership with each other and may compete for results. Every single one of us, and all of us together, forms a self-sufficient business.

With our management approach, the need for traditional vertical management disappears, as the needs of one ecosystem participant are met through the examination and solutions of others.

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MI: Since the emergence of the idea, I have been organising and participating in the development of all areas from describing the PIN-UP brand to the technical specifications of our products. Today, I am involved in all the processes of the business, just as I was at the time of its formation.

One of our values is ‘be the first to lead’. It’s about creating trends and fulfilling our potential by scaling successes and implementing the best solutions day-in, day-out.

We realised that we were expanding so rapidly - with increasing numbers of specialists and partners - that we no longer fitted the concept of a ‘company’.

We reevaluated our approach to structuring the business and came to the conclusion that we needed to create an international ecosystem.

Managing a business of this scale through a vertical scheme significantly delayed projects at the stages of approval and document processing.

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Transforming into an ecosystem allowed us to structure the workflow far more efficiently to achieve our goals. Today, I see the results of this decision and understand that the chosen business model was the right decision for PIN-UP. SBC: WHAT ARE THE ESSENTIAL DIFFERENCES BETWEEN THE ECOSYSTEM APPROACH YOU OFFER AND THAT OF A REGULAR COMPANY IN THIS SECTOR? MI: Over the years of work, we have accumulated an in-depth understanding of the gambling industry and developed a scheme that is ideal for us. It allows us to cover all the needs of our partners on a turnkey basis, from technical equipment to HR support.

As I mentioned, our business is self-sufficient. The existing business model may not be unique, but it is highly effective for us.

SBC: WHAT MAKES THIS APPROACH ATTRACTIVE TO POTENTIAL NEW PARTNERS?

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MI: First and foremost, it’s the team that makes you want to work with us. In our ecosystem, we offer a high-quality product, thanks to the professionalism and competence of our team.

Secondly, in addition to fully supporting the lifecycle of entertainment products, we also create our own unique instruments. Our anti-fraud tools are a prime example, utilising machine learning to improve the risk assessment of transactions.

Thirdly, we utilise cutting-edge cybersecurity tools. Protecting the personal data of our users worldwide is one of our most important tasks, undertaken by a prodigious team of professionals.

SBC: WHAT QUALITIES DO YOU LOOK FOR IN NEW PARTNERS IN ORDER TO MAKE THOSE RELATIONSHIPS THRIVE? MI: We focus on qualities that help us create long-lasting and trust-based relationships. Our partners share our vision and strive to be pioneers in their

fields. We seek those who, like us, pursue high-quality results and innovation to stay at the forefront of the industry.

Expertise is vital, so our partners must possess profound understanding and experience in their respective domains.

This is crucial for creating and developing cutting-edge solutions and high-quality services for our clients.

Thirdly, we value teamwork in partnership. We seek companions who share our collective aim and are willing to work closely together, sharing insights, ideas and resources. We believe in the virtues of co-creation and cooperation to achieve mutual benefit.

Additionally, being impactful is one of our key principles - we value working with those who are also results-oriented. And finally, transparency and honesty in communication are fundamental aspects of our partnerships.

SBC: IN A RECENT SBC NEWS INTERVIEW YOU HINTED THAT A COMPLETE UPGRADE OF PINUP’S PLATFORMS WAS ON ITS WAY. CAN YOU PROVIDE MORE DETAIL ON THIS? MI: I can now share that we have redesigned the platform, making it more ergonomic for users - classy, compelling and yet effortless to use.

We believe in the virtues of co-creation and co-operation to achieve mutual benefit.

We don’t want to simply fulfil customers’ needs, it’s important for us to strongly exceed their expectations and make interacting with PIN-UP ever more engaging.

We don’t limit ourselves to technical aspects. We pay great attention to design, UX and functionality, so that users enjoy not only the games but also the process of interacting with the PIN-UP platform. We want each customer to feel special and immersed in our gaming environment.

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MARKETING

We are also actively working on expanding our product portfolio and increasing the geographical availability of the platform to help us reach new markets and users all over the world.

SBC: FINALLY, YOU PRIDE YOURSELF ON YOUR RESULTSDRIVEN APPROACH TO RUNNING A BUSINESS. TELL US MORE ABOUT IT, AND WHAT YOU ACHIEVE WITH IT? MI: At PIN-UP Global, we are sincerely proud of our approach to business, which puts the desired outcome as our key priority. We are committed to the belief that delivering the required results is the foundation for sustainable growth and success.

However, for us, results are not only about financial performance, but also about effective long-term engagement with our partners. We are aware that our success is impossible without satisfied partners.

We also understand that our success is impossible without satisfying our clients. Every customer is valuable to us, hence we actively listen to their needs, strive to provide personalised solutions, and swiftly respond to feedback.

And, of course, we invest in the development of our staff by providing training and career development opportunities.

Investing in people is an investment in the future of the business.

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Ms [redacted]’s poker roadtrip Do players have the right to gamble without state scrutiny or are moves towards monitoring their spending and habits in their own interests, asks SBC Americas Editor JESSICA WELMAN.

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If the buzz around cashless payments is correct, this version of gambling is headed to the brick and mortar space. But given how often in the past casinos have trumpeted a switch to cashless and how little it has taken hold, are customers really clamouring for that?

nce a week I make the trek to Cincinnati to play poker. I grab a chunk of my bankroll, a coconut milk latte, and hit the road. Sometimes I stay only long enough to play the morning tournament. Other times, I don’t leave the room for 12 hours playing a tournament, cash, and then another tournament. Sometimes I win a grand and other times I leave down several hundred dollars.

In the United States at least, customers are still keen to deal in physical cash. While it is admittedly a pain and can result in some hefty ATM fees, the anonymity has enough value to be worth it, particularly come tax season. Unless you hit a big jackpot and trigger a W2-G, most casual gamblers are happy to call their wins and losses a wash and leave Uncle Sam out of it.

The only thing that remains constant is that the only person who truly knows exactly how much I am up or down is me.

I’ve never really interrogated this fact until Department of Trust’s Charles Cohen posed this question to an audience at the UNLV Conference on Gambling and Risk Taking:

However, in a cashless world, taxes would inevitably become a larger part of the equation.

Right now, casinos can provide players win/loss statements but any funds that aren’t attached to a player’s card can’t be accounted for at the end of the day. With exact calculations, those that do end up winners for the year would have a more difficult time leaving those winnings off their taxes.

Do we have the right to gamble anonymously?

In the realm of online gambling, we seem to have collectively decided the answer to that is no. Operators need to know exactly who you are and you have to prove it. Moreover, operators are beholden to track exactly how much you are spending, winning, and losing.

The argument in favour of cashless inevitably invokes responsible gambling as well. The suggestion is that people will be more aware of their losses if they are tracked to the penny.

With the accountability of tracking too, players might not be able to easily hide when they have a bad night.

There is no rounding to the dollar and, in a growing number of jurisdictions, there are regulations in place about these operators notifying you when you hit certain spending thresholds.

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simply can’t do that and remain anonymous.

On the flip side though, lawmakers are realising the consequences that come with tracking someone’s every move on the internet and have introduced measures like GDPR to protect consumers.

Here’s where I will argue that requiring cash in order to gamble in casinos has its responsible gambling benefits too. Certainly there are some who get lines of credit from a credit card at a terrible interest rate, but for many, it is a means of ensuring that you are not gambling with money you do not have. Moreover, with daily ATM limits, it makes it harder to drain your bank account.

These efforts ensure that online companies can’t mobilise and monetise your data, but if the push to track you comes from a mindset that you need to be protected from yourself, will there be the same amount of pushback?

I could be defending the cash approach because it is what I am used to though. Perhaps those younger than me will demand the ability to use Apple Pay at the blackjack tables.

In the US, I think the fierce sense of independence instilled in our citizenry will keep us wary enough of Big Brother, at least for now.

But as the online and real worlds continue to blur and intermingle, younger generations may not defend their right to be off the grid so ardently.

They may revel in it. And I suppose that, well… that’s their right.

If that day comes, I will think about Cohen’s question. As much as I am not interested in taking my casino experience cashless, I don’t know if I can defend that I have a right to pay with cash.

Regulators are certainly moving towards tracking how much people spend and you

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Land of opportunity?

Words by CHARLIE HORNER

SBC LEADERS ISSUE 27

The US sports betting market has been a priority for many since 2018.

But has the consolidation of a handful of operators and the long road to profitability made the land of opportunity a less enticing target?

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attract users in an extremely competitive field.

Yet, five years on, the pot of gold remains elusive, with only the top operators even having a whiff of profitability. As for making back those losses, well that’s a long way down the road.

t was a monumental period when PASPA was repealed by the US Supreme Court in May 2018, opening the doors for millions of American sports fans to legally wager on their team. In the years that followed, global operators flocked into the country and 37 states opened their doors to legal sports betting.

High customer acquisition costs, driven by the intense competition in many states, have made making money a difficult endeavour for most.

The quest of getting as many users as possible through the door has caused marketing budgets to swell.

Seeking the pot of gold at the end of the proverbial rainbow, these operators spent millions of dollars in marketing. After all, sportsbooks must demonstrate the features of its product to

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Recent regulatory trends point towards further and tighter restrictions on advertising across the board.

But the toughest challenge for many operators is the dominance of FanDuel and DraftKings. The customer bases of the top two operators across the country has meant that achieving even a 5% market share in a state is viewed as a laudable achievement for the chasing pack.

As two former DFS sites, FanDuel and DraftKings had the riches of vast customer data sets of active sports fans who showed interest in gaming. It made for a perfect recipe to onboard sports bettors.

But despite their dominance, the two market leaders have spent hundreds of millions acquiring players and it is only very recently that FanDuel recorded a profitable quarter. DraftKings is yet to do so.

So, what does the future of US sports betting look like now that the dominant forces are firmly established?

And what of newcomers to the market? The emergence of new operators such as Betr and Fanatics has made a lot of noise in the last few months, but do these second movers really have an advantage over those who set the market’s precedence?

SKY HIGH MARKETING COSTS The price of acquiring sportsbook players in the US is notoriously high.

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It is not uncommon to see bonuses offering players $1,000 in bonus bets, while estimates suggest that the price of onboarding a sports bettor could be up to $1,000 per user.

Clearly, it is a high-stakes game that even the big operators are struggling to keep up with. Earlier this year, Jette Nygaard-Andersen, CEO of Entain, admitted that bonus credits were taking their toll on BetMGM’s bottom line, but that to keep up with competition, it was necessary.

“We’ve been implementing bonus optimisation measures through most of 2022 and then of course into 2023, ensuring that we are rewarding and retaining the valuable customers we have all built on the Entain data analytics experience, to focus on maximising the player metrics here,” she explained.

Meanwhile, DraftKings spent over $389m on marketing and sales costs in Q1, even higher than in the same period in 2022, showing the lengths that operators are going to in a bid to secure new users.

But for some, it is simply too much to keep up with. In its Q2/H1 report, Kindred Group noted that it had reduced its marketing spend in the US to just $4.5m as the European-based firm aimed to narrow its losses in the region, which remained at $6.6m. This, of course, is merely months after the Unibet operator exited Iowa.

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Matt King

Nils Andén, Kindred’s interim CEO, told investors: “If we look forward to the second half of the year, we do see that some of these losses will increase as the weighting of the partnerships and sponsorships we have in North America are focused on the second half of the year when the American Football season is active.”

AFFILIATE WOES Core to the entire notion of acquiring customers, affiliate marketing firms are also sensing that the bubble has somewhat burst stateside. XLMedia reported to investors that the lack of state launches in 2023 is hampering its business, giving it weaker comparisons with 2022 when states like New York went live. XLMedia stated: “North America saw several operators

limit their marketing spend, reducing customer acquisition activity around the Super Bowl and the off-season, as they reviewed marketing tactics in the evolving US market.

Together, the Massachusetts and Ohio launches did not reach the same scale as New York’s launch did in 2022.”

will take a critical eye towards the specific language used in promotions compared against broad regulations on unfair and deceptive advertising, as well as valid responsible gaming concerns.”

SECOND MOVER ADVANTAGE?

With 37 states now having legalised sports betting in some way, there will naturally be fewer state launches, which are ripe for customer acquisition, which puts affiliates at risk going forward.

As already mentioned, Fanatics is making its move into the sports betting market years after its competitors, and many onlookers are intrigued as to whether the sports merchandise firm can be a true disruptor in the sports betting space.

Justin Stempeck, Chief Regulatory Officer of Compliable, pointed to some affiliate risks: “Recent regulatory trends point towards further and tighter restrictions on advertising across the board. More regulators

CEO Matt King raised eyebrows at SBC Summit North America earlier this year when he revealed that the firm had a database of 95 million users, as opposed to just eight million when he was FanDuel CEO in 2018.

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Together, the Massachusetts and Ohio launches did not reach the same scale as New York’s launch did in 2022.

He told the audience in New Jersey: “We have 95 million sports fans in our database. We can reach those with no real cost, so our philosophy is one which, as opposed to paying a media broadcaster or Google or Facebook to acquire customers, we’ll take the money we would spend acquiring customers and reinvest into rewards.

Jette Nygaard-Andersen

“The reality is that the vast majority of sports bettors are already in our database, but what is actually as important as the database is the brand.”

Another self-styled disruptor to the space is Betr, run by Joey Levy and social media star Jake Paul. The YouTube sensation, with millions of online followers, generated interest in the brand, which is now live in Ohio and Massachusetts.

However, even Betr with the star pull of Paul is having to spend to attract users. In Ohio, Betr generated $700k in handle in May, yielding $54k in revenue. However, it spent over $116k in promotional credit to acquire users in Paul’s home state.

So while the market’s second movers can claim to have learned from the mistakes made by the incumbents, it is clear that the path to making money is blocked by prohibitively high acquisition costs.

Whether Fanatics can make inroads in its quest to break the current duopoly with its mammoth database is yet to be seen, but you can bet your house they will try.

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Geolocation, LOCATION, location

mkodo is no stranger to the province of Ontario, having already entered the lottery market there with the Ontario Lottery and Gaming Corporation in 2021. Managing Director STUART GODFREE talks us through the experience so far and his hopes for the firm’s GeoLocs compliance platform.

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Q.

SBC: FIRST OFF, HOW HAS 2023 SHAPED UP SO FAR FOR MKODO AND WHAT HAVE BEEN THE KEY DEVELOPMENTS FOR THE COMPANY? SG: We officially launched GeoLocs, our geolocation compliance platform, in January of this year and have since become the largest geolocation service in Ontario with over 50% of the total market share of daily geolocation “lookups” in the province.

Not only that but the service is also now being used in Arizona with other states soon to follow across North America.

We’re really pleased with the success of GeoLocs since its official launch as it’s been used exclusively with our clients now for over 10 years. So it’s great to see it as a standalone product being offered to operators as they expand across North America.

We’ve also seen some pretty big developments with our frontend app services, working with White Hat Gaming to launch the new WynnBet sportsbook app in Massachusetts and, more recently, their casino and sportsbook app in West Virginia. We’ve also

developed and launched the new Irish Lottery website.

It’s been an exciting first half to the year and these three examples show mkodo’s breadth for providing innovative geolocation technology, best-in-class iGaming apps and market-leading regulated lottery websites.

I’m looking forward to seeing what the next six months bring for us as a company, but also for the industry as a whole.

SBC: TURNING TO THE JANUARY LAUNCH OF GEOLOCS IN THE ONTARIO PROVINCE, CAN YOU TELL US MORE ABOUT HOW IT WORKS IN PRACTICE AND ITS KEY FEATURES? SG: GeoLocs advanced technology uses the device’s latitude and longitude to verify location, which is much more accurate and secure than using IP. We still use IP location, but purely as a secondary validation to optimise the geolocation checks.

The service is integrated into our clients’ Android, iOS and web platforms through a seamless Software Development Kit (SDK).

The SDK associates information received with a ‘trust score’ which

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needs to pass a threshold in order to verify device location for compliance.

We’ve developed all our technology in-house, with the core offering enabling players to verify their location directly within the app or website without the need for companion apps or additional downloads - providing them with a much-enhanced geolocation user experience.

Another feature we’re proud of when it comes to GeoLocs is the fact that it’s an entirely selfmanageable platform. Our clients can customise their own geoboundaries and activity maps, as well as review real-time statistics, event monitoring and, crucially, facilitate access for testing (often called whitelisting).

SBC: MORE GENERALLY, WHAT DOES GEOLOCS BRING TO THE CANADIAN MARKET AND HOW CAN IT HELP DRIVE PLAYERS TOWARDS A REGULATED GAMING EXPERIENCE? SG: GeoLocs brings proven, secure and seamless geolocation verification technology to the Canadian market. We were the first geolocation provider to go live in Ontario with the largest

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Another feature we’re proud of when it comes to GeoLocs is the fact that it’s an entirely selfmanageable platform.

operator in the region and, as it stands, over half of the geolocation requests across Ontario come through GeoLocs platforms each day.

Using a geolocation verification service like GeoLocs enables online gambling operators to adhere to regulatory requirements, promote responsible gambling practices, and enhance player protection.

By leveraging geolocation, players have confidence in accessing regulated platforms, and the industry as a whole can foster a safer and more transparent online gambling experience - which will in turn help drive more players to regulated gaming.

SBC: WE’RE NOW WELL INTO H2 2023, MEANING YOU’VE HAD SEVERAL MONTHS TO ASSESS GEOLOCS’ CANADIAN PERFORMANCE. HOW HAS IT BEEN RECEIVED

BY THE MARKETPLACE AND WHAT HAVE YOU LEARNED DURING THAT PERIOD? SG: It’s been really well received by the North American market.

We’ve had a lot of interest and have signed over a dozen new clients since launching in January of this year.

I’ve particularly noticed that operators have been extremely interested in new and alternative geolocation verification service providers.

It’s exciting to have new players in a once verymonopolised market.

SBC: CLEARLY, MKODO HAS ENJOYED SOMETHING OF A HEAD START IN CANADA THANKS TO THE PARTNERSHIP IT FORMED WITH THE ONTARIO LOTTERY AND GAMING CORPORATION (OLG) IN 2021. HOW HELPFUL HAS THIS EXPERIENCE BEEN IN GETTING GEOLOCS ESTABLISHED IN ONTARIO?

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SG: Our partnership with OLG, the largest operator in Ontario, as well as our relationship with the AGCO, as a licenced solutions provider, has definitely been helpful in getting GeoLocs established.

However, the service itself is the primary force for establishing the brand.

We’re offering operators choice and expertise when it comes to geolocation. GeoLocs offers a robust, easy-to-use, and reliable geolocation verification service that’s entirely self-manageable, easy to integrate through a seamless SDK and without the need for companion apps or additional downloads.

The features, our partnership with OLG and the fact it’s a proven service - having been used for over 10 years with our clients - are some of the key reasons it’s been so wellestablished and sought after in just the first six months of launching.

SBC: LOOKING TO THE REST OF THE YEAR, WHAT PLANS ARE IN PLACE FOR MKODO AND, MORE SPECIFICALLY, WHAT’S YOUR APPROACH GOING TO BE AT THIS YEAR’S SBC SUMMIT BARCELONA WHERE YOU’RE EXHIBITING? SG: We have an even bigger and better stand at this year’s event! We’re looking forward to continuing to establish the GeoLocs brand and talk to some new and familiar faces about everything from how it works to new features we’re implementing.

There’s of course always a focus on our front-end offering too. We’ve been providing front-end services to sportsbooks, casino and lottery operators across the globe for over 20 years and we’re always looking for operators to partner with.

DELUXE SERIES – CELEBRATING 15 YEARS. www.gamomat.com

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A period of tremendous change

MICHAEL TOBIN, CEO and Founder at Continent 8 Technologies, talks new markets, new cyber threats and new technologies as he looks back on the company’s 25 years of providing reliable innovation to the industry.

Words by MICHAEL TOBIN

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support 85% of operators on the 2023 EGR Power US Rankings.

But we are just as committed to driving growth in established jurisdictions such as Europe, where we have been supporting businesses in the EMEA iGaming market for more than two decades. This has seen us recently open a site in Croatia, providing a bespoke cloud solution for a longstanding customer of ours.

he pace at which regulated online gambling continues to roll out across the globe is tremendously exciting and presents huge opportunities for operators and suppliers to explore. North America often dominates the conversation followed closely by Latin America.

These are game-changing markets for sure and, here at Continent 8 Technologies, we have taken an ambitious first-to-market approach to both regions to ensure that our customers can go live from day one and capitalise on the upsides this offers.

This is only possible because of our 25 years of experience in delivering innovative yet reliable infrastructure solutions covering managed hosting, connectivity, cloud and security.

We have come a long way since the business was founded back in 1998 with a simple mission to provide the infrastructure the early pioneers of online gambling needed to build their businesses from the ground up.

To do this, we work closely with state and provincial regulators to help shape their guidelines and to ensure our products and solutions are fully compliant with requirements. Today, we are live in 28 states and counting, and

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From a small, original data centre 25 years ago, some of the world’s biggest poker companies emerged.

From a small, original data centre 25 years ago, some of the world’s biggest poker companies emerged, growing from startups to billion-dollar brands in a matter of years.

This was a catalyst for other online gambling businesses to emerge, and we have supported hundreds of operators and suppliers since.

To do this, we have had to keep pace with the rapid roll-out of regulation and licensing. There really is no other infrastructure provider that is as experienced as Continent 8 when it comes to working with regulators and deploying infrastructure in line with the requirements set in individual markets.

COMBATTING CRIMINALS Another big change the sector has seen in the last two-and-a-half decades is the increasing threat posed by cyber criminals.

The industry is one of the most attacked, and operators and suppliers must ensure they have the right solutions in place to be able to protect their data and systems in the event they are targeted. For most, this is now a case of when they will be attacked and not if.

To ensure resilience, we recommend taking a multi-layered approach covering DDoS and WAAP protection as well as MDR/ EDR and SIEM/SOC solutions. This needs to be combined with a comprehensive cybersecurity policy as well as regular staff training and education.

As the volume and complexity of cyber attacks have evolved, so too has our suite

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of Secure solutions - again, this has seen Continent 8 become the go-to security partner for both operators and suppliers in markets and industries across the world.

STAYING AHEAD OF THE GAME Innovation is a driver of progress and growth in all industries, but when you look back at how far the sector has come it is clear that it is one where pushing boundaries is hard-wired into those that operate in it.

At Continent 8, we are proud to have delivered reliable infrastructure innovation to our customers whether that be our Public and Private Clouds, or our unique Gaming Exchange and Premium Portal that allows our customers to connect directly over a private, secure internet and send, track and analyse data in real-time.

We are always looking to bring new products and solutions to the market and are launching a Cloud CDN and Object Storage offering in the coming months.

This will allow our customers to reduce bandwidth costs, store data closer to either the customer, partner or consumer, and therefore deliver faster applications and web experiences with reduced latency.

Cloud CDN specifically provides better video on demand and streaming capabilities, and we are obviously bringing those capabilities where the industry needs them the most.

The change the industry has seen over the last 25 years is remarkable to say the least, and at Continent 8 we are dedicated to supporting the sector over the next twoand-a-half decades and beyond.

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Take your seat for inplay action

If you believe that the explosion of online sports betting will kill off retail, it’s time to think again, says TIM KENNEDY, VP of Sales Europe for SUZOHAPP. Words by MARTYN ELLIOTT

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etail sports betting may, for many, conjure up visions of old-fashioned high-street bookmakers, with punters queuing in smoke-filled rooms to place small wagers on the afternoon’s big race. But times have moved on and, in most places, retail betting is now a very different experience.

From state-of-the-art shops in European town centres to the cavernous sportsbooks of Las Vegas, sports fans can now expect to enjoy a little style when they go to place a bet. Even better, that touch of luxury does not come at the expense of having to sacrifice any of the excitement of the betting experience.

As Kennedy explains, the latest technology enables operators to offer popular options such as in-

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play betting to retail customers, allowing them to react to the action and place instant wagers without even having to leave their seat. Or, just as importantly, without having to dip out of their conversation or let their food go cold.

And what is good for the sports fan is perhaps even better for the operator.

SBC: HOW DOES RETAIL BETTING CONTRIBUTE TO THE EVOLVING GAMING INDUSTRY AND ATTRACT NEW CUSTOMERS AMIDST THE RISE OF ONLINE GAMING? TK: Retail can play a crucial role in the growth of the sports betting industry by offering unique advantages that the online space cannot replicate.

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The conversion of sports fans to sports bettors is higher, with a lower cost of customer acquisition.

The customer acquisition and retention costs for online betting are high and limiting. Moreover, it can be quite intrusive and may have a low success rate in acquiring new bettors. Online platforms require extensive user information upfront, which can deter potential bettors.

On the other hand, retail locations provide an opportunity to convert casual sports fans into bettors easily.

Individuals with little knowledge about betting can effortlessly place bets at physical locations without

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the hassle of online registration. The use of cash for betting eliminates the need for account set up, allowing for immediate responses and reactions to placed bets.

Additionally, retail sports betting generates revenue through enhanced customer engagement at the location. To optimise this, creating an environment that enhances the sports betting experience and maximises in-play betting can lead to increased revenue from in-play bets, as well as higher spending on food and beverages.

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Moreover, the retail sports betting setting offers a social aspect that online platforms lack. By capitalising on the social nature of sports fans, the industry can enhance its growth and profitability.

to place in-play bets in retail settings without leaving the social event. No sign-up or app downloads are necessary, ensuring customers can fully engage in the social atmosphere of the sporting event.

SBC: IN EUROPE, IN-PLAY BETTING IS CONSIDERED ONE OF THE MOST SIGNIFICANT GAMING PREFERENCES. CAN THIS FORM OF BETTING REVOLUTIONISE THE RETAIL SPACE?

By seamlessly integrating sports betting into the game environment, the conversion of sports fans to sports bettors is higher, with a lower cost of customer acquisition.

TK: Thus far, we’ve seen that sports betting in Europe is dominated by in-play betting, but mostly online as the retail market is really only supported with traditional kiosks.

The retail market has a massive opportunity to capitalise on this part of the betting cycle if they have the right hardware mix.

By providing suitable hardware, such as bar tops where customers can place bets while watching the game, operators can provide a convenient option for bettors to facilitate and encourage additional spend in this segment.

Both the novelty of the device, as well as the easy interface for the customer, will truly allow for an optimised experience to encourage in-play betting and grow this sector for retail.

SBC: HOW CAN YOU HELP OPERATORS MAXIMISE RETAIL BETTING OPPORTUNITIES? TK: Our innovative bar-top and table-top terminals, such as the SBT-2000 seated and SBT-500+ bar-top models, effectively support in-play betting by enabling customers

Additionally, sportsbooks benefit from increased revenue as customers spend more time at the location, leading to higher sales of food and beverages. This, in turn, results in larger bills and larger tips for staff members.

Our new betting stations are unparalleled in the market, offering customers an unmatched immersive sports betting experience and turning every sports book seat into a revenue-generating spot.

SBC: YOU INTRODUCED YOUR NEW INSTANT TICKET VENDING MACHINE AT THE EUROPEAN LOTTERY CONGRESS IN JUNE. HOW WAS THE PRODUCT RECEIVED AT THE SHOW AND WHAT ARE ITS KEY FEATURES? TK: The ITV-9000 is an innovative ticket vending machine that enhances the lottery player experience. This cutting-edge solution not only caters to the changing needs of the lottery industry but also holds great potential in other promotional spaces such as casinos or clubs.

The standout feature of the product is its self-service functionality, aimed at addressing the issue of a lack

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of staff in unattended retail environments that often leads to a decrease in ticket sales.

By automating the purchase process, the ITV-9000 provides retailers with a standalone ticket marketplace, allowing users to personally select and acquire instant tickets.

The ITV-9000 offers a flexible platform with multiple dispenser options and seamlessly integrates diverse payment systems, including cash and online wallets, into the hardware.

The positive reception at the event clearly indicates the market demand for such a solution to overcome the challenges faced by the industry.

SBC: AS WE APPROACH SBC SUMMIT BARCELONA, CAN YOU TELL US WHAT WILL BE FEATURED AT YOUR STAND DURING THE EVENT? TK: We are excited to be back at this year’s SBC Summit Barcelona! Visit our stand to experience our cutting-edge sports betting ecosystem.

We offer a seamless betting experience, with automation throughout the entire process, from cashier to bet to payout.

Visitors will have the opportunity to explore our array of self-service kiosks, including our bar top terminal, our over-the-counter experience, as well as our cash redemption options.

Also, make sure to mark your calendars for September 21st and join our speaker panel discussion on the future of omnichannel and its impact on enhancing player experience and boosting operator returns.

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POWERED BY

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The 2023 Women’s World Cup was hailed as a resounding commercial success by FIFA President Gianni Infantino, but did Latin America’s bookmakers miss the boat, asks LUCÍA MOURIÑO, Editor of SBC Noticias.

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he tournament in Australia and New Zealand broke all records around sponsorships, as with nine global and 14 tournament-specific sponsors the FIFA competition became the “biggest standalone women’s event in history”.

While we all saw branding for corporate giants like Coca-Cola, Visa and Adidas around the stadiums, there is a sector that clearly missed the opportunity to go into the history books: sports betting.

Despite being inextricably tied to sports, and in many cases considered the engine of teams’ finances, bookmakers - and specifically Latin American ones - missed the chance to increase their reach within an audience segment that has been hardly explored.

It was only in June 2023 that the Women’s World Cup gained its first betting partner, New Zealand operator TAB. Regional deals followed but, in South America, only EstrelaBet took advantage of the opportunity when it sponsored the tournament in Brazil.

The small number of Latin American operators that decided to invest in the global event is striking, particularly when you consider that viewing figures continue to rise sharply for each edition of the Women’s World Cup, with women accounting for a significant percentage of the audience.

So why do Latin American bookmakers not focus on reaching this underserved sector?

much to engage with the women’s football audience during the tournament.

Beyond a handful of brand ambassador agreements, mainly in Brazil with players from the national team, there was a lack of massive advertising campaigns by operators - despite the fact that seven of the 32 teams competing were from LatAm and two of them progressed to the knockout stages.

And in Brazil, the region could boast one of the most-watched teams. In 2019, they featured in the second, fourth, seventh and eighth most-viewed matches in the tournament. Brazilian involvement was less prominent this time round though, as the team was surprisingly eliminated at the group stage.

Local results aside, there are no doubts about the interest of the Latin America public around sports. In fact, we could argue with certainty that it’s the most engaged public in sports.

So, how do bookmakers convert that interest into registered users and bets?

Well, it’s simple. The first step would be to promote the tournament on their platforms, with digital and traditional advertising, bonuses or promotions.

The host for the next edition of the Women’s World Cup is expected to be announced in mid-2024, and there are currently four bids, including Mexico (in a joint effort with the United States) and Brazil.

Is there a better opportunity to attract women than the Women’s World Cup? It’s a simple answer - no.

From the date that Australia and New Zealand were chosen as hosts to the date of the tournament, the exposure of the Cup, its partners and sponsors increased exponentially.

There is no greater women’s sporting event than the Women’s World Cup. The Olympics may enjoy a comparably high status, but women have to compete with male athletes for coverage and, sadly, that remains a struggle.

Due to the interest of the Latin American public in sports and betting, and taking into account that Brazil is on its way to having a regulated industry, there is hope around potential agreements between Latin American operators and women’s football.

Where were the ads?

Still, regardless of the host, the bar after the 2023 tournament is low for operators to join this growing sport. So it’s only a matter of time before we find out if they’re prepared to take the leap or if they will let the opportunity pass again.

While EstrelaBet doubled down on its deal with FIFA by sponsoring broadcasts on the Brazilian channel CazéTV, few other sportsbook operators in the region did

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Betsson paints

ARGENTINA EFFORTS in white and blue

Partnerships between clubs and betting brands, and the financial support they bring, are crucial for the future of sport in Argentina, according to Betsson’s ANDREA ROSSI and Racing Club’s ROBY MARTÍNEZ ÁLVAREZ. Words by LUCÍA GANDO

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he Cilindro de Avellaneda is a sacred temple in Buenos Aires, where some of the most fervent football fans gather to show their passion. Racing Club shares those characteristics that distinguish the Argentinian public, from sports to music and politics. This is why its unique brand has attracted the interest of one of the most successful international betting companies in recent years - Betsson Group.

The club generates a feeling of belonging among its fans, a community driven by unconditional support that transcends victories and defeats. At Racing Club, people live, dream and breathe football, and from the stands all hearts beat in unison to support the team.

Parallel to this unbridled passion, there is a new chapter in the history of the club.

Betsson, a brand that shares the same passion for sports, decided to have its own page in Racing’s history, becoming an ally and leaving a light blue and white footprint in Argentina.

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SBC Leaders talked with representatives of both organisations to find out further details about the first sponsorship agreement with a football team that Betsson signed in the country since obtaining, at the beginning of 2022, authorisation to operate sports betting in the City and Province of Buenos Aires and in Cordoba.

“We believe that sponsoring a club as important as Racing will boost our expansion in the country, both for the visibility that it will bring to our brand and because of how we will convert those fans into customers,” said Andrea Rossi, Commercial Director for Betsson in LatAm and Spain.

As he explained, choosing Racing as the first partner is based on the “centennial tradition of the club”, sustained by a large number of achievements and its loyal fanbase. La Academia has around 3.5 million fans in Argentina, in addition to 90,000 members.

“That level of excellence and the team’s potential is what motivated us to support them,” Rossi explained.

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Andrea Rossi

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We’ll activate and grant experiences to members and fans of the institution that use the betting platform.

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We want to bring people to the heart of the action.

It should be noted that a month after the sponsorship announcement between Betsson and Racing, the bookmaker confirmed another major sponsorship with Argentinian side Boca Juniors until 2024. The brand appeared for the first time during the Vice President Juan Roman Riquelme’s farewell match on June 25; a special game that featured world champions such as Lionel Messi, Ángel Di María, Leandro Paredes and coach Lionel Scaloni.

A FIRST FOR BETSSON Since its creation in 1903, Racing Club has celebrated 17 national championships, 12 national tournaments and seven international ones, such as Copa Libertadores, Copa Intercontinental, Supercopa, Sudamericana and Interamericana. Recently, Racing was crowned in the Argentinian province of San Luis for the Trofeo de Campeones 2022, while a few months later it celebrated a win in Abu Dhabi for the SuperCopa Internacional 2023.

“Without a doubt, the good sports results and the excellent management of the club’s President Victor Blanco in the last ten years have been key for brand positioning and for developing international and long-term agreements,” explained Roby Martínez Álvarez, Marketing, Communication and Institutional Relations Manager of Racing Club.

After a crisis-marked start of the century - which matched the chaotic political and economic situation in Argentina - Racing Club is now administratively and financially organised.

“Since then, the club is now used to being a main character in all the tournaments it participates in. We’ve participated

uninterruptedly for ten years in international tournaments,” he said.

Currently, the goal is to defend and promote this position, and one of the ways to achieve that is through sponsorship agreements with brands that emphasise sports excellence, such as Betsson, which “shares values such as passion and commitment to fair play” with the team.

Betsson and Racing Club highlighted the “extensive benefits” of the agreement, such as the added value for both brands and the local and international exposure.

“When it comes to business, the joint actions will make the agreement even more beneficial for both sides. We’ll activate and grant experiences to members and fans of the institution that use the betting platform,” said the club representative.

Rossi also highlighted that Betsson’s actions will aim to bring the fans even closer to the team. Among the proposals, in key matches, they will add the “improved odds’’, in which Racing’s victory will offer bigger profits, and a “risk-free bet” that allows bettors to obtain the amount wagered in their accounts if Racing loses.

“These are two types of dynamics that change depending on the match,” he said.

Rossi added: “Fans from La Academia who are over 18 will be able to participate for game tickets for home games, some of which will have VIP experiences and even access to boxes. We want to bring people to the heart of the action. We constantly have activations in our social networks to give away official signed footballs and jerseys.”

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UNITED BY FAIR PLAY For Racing, it’s important to be connected to the betting world, which has just started to settle in some Argentinian provinces in the last couple of years. The club believes that the main point is to highlight fair play, just like in sports, and to raise awareness, support regulations that promote clear regulatory frameworks and responsible gaming.

operators that demonstrate responsibility and commitment to protecting players.

“The investments made by the sector have been crucial to leverage the teams and improve the technical levels of all the competitions in the region, mainly in football,” explained Rossi.

“It’s critical that these agreements go hand-in-hand with training on fair play and potential problematic behaviour. Betting platforms need to have a purpose to entertain on a fair play basis, in a regulated market and in a controlled environment,” he emphasised.

Echoing Rossi’s thoughts, Martínez Álvarez said that in the sports scene in Argentina, where the clubs are non-profit Civil Associations, this type of agreement is essential to finance “activities and sports that are not profitable and that serve social purpose. The agreement with Betsson helps us cover our obligations and continue to provide sports activities that promote the physical, social and emotional development of people. These strategic alliances allow a synergy between the sports and business worlds, generating benefits for both the club and its partners or sponsors,” he detailed.

Taking into account fair play, Betsson’s Commercial Director stressed that the online gaming industry is currently one of the biggest financing sources of South American sports. Therefore, it’s essential that clubs join

Both brands will work on this, not only by themselves but also in tandem with the Argentinian regulators, in order to defend sports values, spontaneity and Racing Club’s fans’ passion.

Martínez Álvarez explained that Racing prioritises getting involved with bookmakers that have data technology systems to warn about problematic behaviour, both among platform users and athletes.

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Regulation to bring major benefits to Brazil JOSÉ FRANCISCO MANSSUR, special advisor to the Executive Secretary of Brazil’s Ministry of Finance, tells SBC Leaders that regulating sports betting will bring many benefits for the market and the country’s sports clubs.

Words by ISADORA MARCANTE

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Government will take with sports entities regarding the manipulation of results.

razilian President Luiz Inácio Lula da Silva signed at the end of July the Provisional Measure that will regulate the land-based and online sports betting sector in the country. The measure, which was sent to the National Congress, was also subject to the evaluation and approval of the Ministries of Finance, Justice, and Sports.

We will have an ordinance, for example, on responsible gaming measures: how will advertising work within what the Government can regulate? Will there be time restrictions? Will there be information in the advertising content advising people to gamble responsibly? We will determine measures to avoid problem gambling and then we will be able to assist people who have this problem. There will be a series of ordinances.

Ahead of Lula’s signature, we spoke to Manssur, who clarified some of the things included in the Provisional Measure and the future steps towards a regulated industry in Brazil.

The Provisional Measure is a tool that authorises the Government to effectively regulate sports betting in ordinances.

SBC: IT’S A PLEASURE TO TALK TO YOU, THANK YOU FOR DISCUSSING THE REGULATION WITH SBC. JOSÉ, WHAT IS EFFECTIVELY CONTEMPLATED IN THE PROVISIONAL MEASURE THAT REGULATES SPORTS BETTING?

SBC: WHAT’S THE GOVERNMENT’S PLAN AROUND SPONSORSHIPS AND ASSISTING PROBLEM GAMBLERS? JFM: You’re addressing two essential topics in your question. About the first point: people who are aware of the current context of Brazilian sports, like me, who have been working around that for a long time, can’t ignore the relevance and importance that sponsorships from bookmakers have for clubs in all modalities.

JFM: It’s my pleasure. It’s important to contextualise that Law 3.756/18 introduced legal provisions for sports betting, betting on sports results, or, technically speaking, fixed-odds betting. The law gave the Federal Government a deadline to come up with a regulation, and this deadline was not met.

It was a two-year period, extended for an extra two, which was not fulfilled. The new Government had the task to fill this gap through a Provisional Measure.

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The Provisional Measure gives us a series of tools to be able to effectively regulate all matters related to sports betting through ordinances. The Provisional Measure deals with the broad outlines of taxation, and sanctions for companies not authorised in Brazil. It also sets out that licensing will cost - companies will need to pay a certain amount of money to operate in Brazil. These issues must be, by law, included in the Provisional Measure. After this comes out, while it’s being discussed in Congress, we will edit specific ordinances.

Our idea here is by no means to cause irreparable damage that drives sponsors away from clubs.

The ordinances will address which documents and requirements are necessary for a company to start operating in Brazil, and the value of the licence, among other things. We will try to have a specific ordinance for what measures the

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Many companies don’t operate in Brazil because they don’t operate in unregulated markets. Once the regulation is in place, new companies will enter. Then the competition around sponsorships and the number of companies offering sponsorships will increase.

When we talk about the most diverse sports in Brazil, we’re highlighting football, but there are also Olympic sports and others, which are very different from football.

Our idea here is by no means to cause irreparable damage that drives sponsors away from clubs. We want to regulate the activity.

Many operators and sponsors approached us when we took over to ratify their interest in being regulated. So that’s the main point.

We hope that, as a market rule, this will create an effect in which these sponsorships are subject to a more favourable negotiation for those who see the benefits since this also helps sports. We know how important sponsorships are for sports.

No one came here and said they didn’t want sports betting to be regulated, but no one said ‘we don’t want to pay taxes’. This needs to be said.

People discuss [things], which is very natural and represents the daily life of the Ministry of Finance. ‘This value could be a little lower’, and ‘this one would be like this’, there are many things in these discussions that make sense to us and we accept them. What is not in the interest of the community and the population, we, as the Government, have to defend and explain the reasons why we don’t accept them.

Neither the Ministry of Finance, nor the other ministries with which we interact, have taken steps to restrict the possibility of clubs getting sponsorships. No way. We saw England restricting sponsorships on the front of football jerseys. We don’t intend to do that in Brazil. We understand that sponsorships are a fundamental part of revenues, but that they will be solid if there is a strong and safe market in place, with predictability. A strong, safe, and predictable market is a regulated market.

But we consider sponsorships from sports betting companies essential for developing sports, football, and other modalities. It’s not in our interest to cause any obstacles.

It is very clear to us that regulation will only solidify the market, making it more predictable and it will increase the interest of these companies in advertising.

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The biggest challenge that the Ministry of Finance has is finding data because it is an unregulated activity and the sites are abroad. As much as they are companies created in Brazil, the IPs are abroad. It is very difficult to obtain billing data. And a piece of data that has come up several times at the Ministry of Finance, and which I believe is important to be taken into account, is the high amount that operators spend on advertising. It makes us think that it’s very important to advertise to reach the public.

Currently, if you check the schedule of sports channels and sports events, along with the internet and even social networks, there is an absurd volume of betting advertising. It means that it’s a product that the market understands that needs to reach the final consumer. It’s not something you do automatically, therefore there’s a lot spent on advertising.

Our idea here, moving on to the second part of the question, is to create rules so that it’s not a wild environment as it is today: advertising at any time, without limitations.

We have already talked to CONAR - the National Advertising Self-Regulation Council - to find out what the advertising market will bring us and what entities that work with problem gambling or diseases related to addiction can contribute to coming up with regulated, conscious and responsible advertising that encourages people to bet safely.

There will not be a pure and straightforward restriction. We will work to publicise it. We will not take this option away from the advertising market and clubs, but the Government’s role is to find a way to promote responsible advertising.

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We saw England restricting sponsorships on the front of football jerseys. We don’t intend to do that in Brazil.

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SBC: THAT LEADS ME TO MY NEXT QUESTION, WHAT MECHANISMS DO YOU PLAN TO PUT IN PLACE TO FIGHT FRAUD, MATCH FIXING, AND MONEY LAUNDERING? WE KNOW THAT OPERATORS HAVE ANTIFRAUD AND PAYMENT DEPARTMENTS TO CONTROL THESE THINGS, HOW WILL THIS BE DONE IN BRAZIL?

We will try to bring our ordinances and, eventually, bring the systems that will be the most effective. We’ll do this in a joint effort with these entities because their participation is essential. In particular, sports entities are important as they have regulatory mechanisms, disciplinary measures, and expertise. Many of them, like the CBF, already have anti-manipulation systems in place.

JFM: What we are going to do, based on the regulation, is to involve the Central Bank, the Ministry of Justice, and the responsible entities for overseeing money laundering in a joint effort with the Ministry of Finance, so that we create mechanisms to prevent money laundering.

In this way, the Government wants to contribute to joint efforts so that the manipulation is fought with the most effective mechanisms.

SBC: DOES THE PROVISIONAL MEASURE SPECIFICALLY INCLUDE BETTING AND CASINOS, BOTH LAND-BASED AND ONLINE?

In regards to match fixing, we intend to [include] in the ordinances the creation of a working group involving the Ministry of Justice, the Ministry of Sports - which is a fundamental entity -, the Ministry of Finance, the Central Bank - to control financial movement -, and the police. And most importantly, the sports administration entities, the ones linked to the Brazilian Olympic Committee (COB), the Brazilian Football Confederation (CBF), the clubs, the Order of Attorneys of Brazil (OAB), and other entities to discuss the most modern tools to fight manipulation.

JFM: The Provisional Measure includes betting on the results of sports events regulated by administrative entities, confederations, and federations, either physically or online.

Casinos and gambling are not included at the moment, as these are activities that are not allowed in Brazil. There’s a project in the National Congress that discusses this topic, and it’s up to the authorities to decide.

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However, currently, we have to work with this legislation, which only allows us to regulate betting on sports results. Football, volleyball, basketball, all sports. Nothing more than that.

It also doesn’t include bets related to TV and entertainment shows. We’re not regulating that, we’re regulating betting on sports results.

SBC: THE CBF WITHDREW FROM THE PROCESS AND THE CLUBS DEMANDED A MUCH HIGHER PERCENTAGE OF TAX REVENUE. CAN YOU SHARE YOUR THOUGHTS ON THAT? JFM: Concerning the claims of the clubs and the CBF itself, as I have been telling them, there is the other end of receiving amounts related to sponsorships. All we are doing here is to make the follow-up economically possible.

We’ll try to come up with a number that represents the health of this market and we’ll also try to get the market to maintain a retention percentage close to 87%, similar to the UK’s.

We want the market to be healthy and regulated and to bring in new companies, which currently don’t operate because it’s not regulated. We want to increase the possibilities of sponsoring. So we have been trying to sensitise the clubs around this topic.

We do need to take into account the Government’s interests around Health, Education, Food, and Security, and serving the most vulnerable. So we have to collect [taxes], it’s not fair that the market moves billions and doesn’t generate anything for the taxpayer and the citizens.

SBC: HOW WILL YOU CONTROL COMPANIES THAT DON’T OBTAIN A LICENCE? JFM: Many companies will continue to operate in the unregulated market, which will become illegal. There will be hard supervision.

What we want is for companies to feel that being licensed in Brazil is financially viable, based on a concept, which should belong to all of us, of acting within the law.

We must supervise those who are not within the legal market, so as not to harm those who act legally and so that operators continue to generate jobs in Brazil. Licensed operators will have to generate jobs and taxes in Brazil, in addition to sponsoring our sport and helping in the development of Brazilian sport.

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Traceable

payments Empowering

operators Fostering

growth Neosurf, an alternative payment method, incorporates its enhanced KYC Handshake – now with data-sharing capabilities – into every transaction. This assists operators in meeting their AML obligations, promotes responsible gaming, and fosters sustainable growth within our industry.

Get in touch

business.neosurf.com SO SIMPLE TO PAY & PLAY ONLINE

SECTION

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Open to change

Open Banking has long been touted as the avenue to unlocking a new level of seamless payment journey for gambling operators, but its full potential remains untapped, writes JOE STREETER, Editor of Payment Expert.

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his potential matters because, at a time when affordability has never been more in the spotlight, maximising Open Banking could be crucial to evolving how operators approach their business.

At the centre of the UK Government’s planned overhaul of gambling was the idea that background affordability checks on players would not be overly intrusive. This is something that would have been music to the ears of operators and bettors alike, as both feared that the incoming regulatory framework would significantly hinder the user experience.

Nonetheless, for affordability checks to take place and be sufficient, operators need to engage with the emerging tech that is changing the face of the payment ecosystem.

At the forefront of this is Open Banking tech, with its rise fuelling new levels of efficiency, speed and also safety within the payment journey. In terms of mainstream payments, the integration of Open Banking has been effective. However, there is still room for growth in the iGaming industry.

Placing Open Banking at the forefront of their strategies can give operators access to a whole new world of data with which to gain a far more extensive picture of a player’s true financial situation, while importantly not leaving the customer feeling like their privacy has been breached.

Another positive for the gambling industry is that Open Banking can play a central role in stemming the worrying tide of financial penalties that European operators are being hit with as regulatory requirements ramp up.

However, while there are high hopes for Open Banking, there are still some concerns about the suitability of the technology for gambling operators in some markets.

In a recent interview with Payment Expert, LiveScore Group’s Head of Payments, Rahul Das, warned: “Open Banking holds great promise, but it is still immature. In the UK, standard OB APIs don’t provide date of birth information, for example, which means that using OB data for KYC purposes is not possible, unlike in Scandinavia. Some providers are emerging that utilise premium APIs to get that information, but it remains niche.”

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Das added: “The other hindrance is that while the Open Banking authentication process for payments is comparable to the challenge flow for card payments under PSD2/SCA, most card transactions don’t get challenged today.

“That means that using Open Banking is more of a nuisance for customers than paying by card. Again, variable recurring payments (VRPs) can simplify things, but they’re not mainstream yet.

“So, Open Banking does hold great promise, and it’s materialising, but we are still a long way from calling it ‘efficient’ from a user perspective.”

Many others are more optimistic and see significant growth potential for the technology as a mainstream payments product in the near future.

This view was supported by the publication of the UK Government’s Joint Regulatory Oversight Committee (JROC) report, which set out a roadmap for Open Banking with a view to creating opportunities for new products and services.

Amid a backdrop of increasing card payments in the UK, the Government’s report and strategy underlined that a united focus on the development of Open Banking can bring a significant boost to payment efficiency.

Off the back of the report, Ciaran O’Malley, VP of Ecommerce at Trustly, detailed his belief that “the payments market has never been more important”. He also described Open Banking tech as “a huge opportunity for companies looking to make the payment journey more efficient”.

He added: “As highlighted by the recent JROC recommendations on the next phase of Open Banking in the UK, account-to-account payments are at the heart of this drive to increase the time- and cost-effectiveness of payments across the board and companies should look to add value with this technology.

“In particular, value outlets, retailers and financial services companies will benefit from being able to achieve faster transactions, allowing for an increase in sales and a streamlining of the entire payments process.”

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Embracing accountability Words by ANDREA MCGEACHIN

ANDREA MCGEACHIN, CEO of Neosurf, emphasises the essential role of payment companies in supporting operators to uphold AML measures, ensure player protection, mitigate risks, and cultivate a sustainable gambling ecosystem.

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providers of any responsibility, leaving no opportunity for support. We believe in the importance of collective accountability and collaboration to ensure the best outcomes for all involved.

n an increasingly interconnected world driven by digital transactions and online gaming, payment companies are crucial in facilitating secure and efficient financial services. Indeed, payment responsibility is becoming increasingly relevant to operators in the gambling industry.

For us, this approach is misguided. We firmly believe in playing an active part in this ecosystem, fostering engagement and providing support for analysing, sharing tools and data to collectively combat money laundering and other various fraud attacks.

Regulatory bodies are now implementing more stringent controls and imposing significant penalties - emphasising the importance of cooperation between payment companies and operators to ensure adherence to anti-money laundering (AML), responsible gaming, and social responsibility initiatives.

To this end, we have proactively enhanced our longstanding product - the Neosurf KYC Handshake - by integrating data-sharing capabilities. This enhancement provides a unique user journey and aims to provide the necessary support to our operators and help them fulfil their responsibilities.

For example, 32Red was handed a £4.195m penatly by the UK Gambling Commission for multiple AML and social responsibility failures. In one of the examples cited by the Commission, the operator had failed to identify and protect a potential problem gambler who was allowed to deposit £43,000 and lose £36,000 within seven days.

In fact, it is this improvement that has enabled us to become fully operational in both the Netherlands and Ontario, having successfully met the necessary requirements set out by regulators - KSA (Netherlands) and iGO (Ontario).

Despite this, numerous payment companies obligated to maintain full AML compliance and develop intelligent measures to prevent and report illicit activities - fail to collaborate and leverage their expertise to assist the operators.

Payment companies play a crucial role in the gambling industry, extending beyond facilitating financial transactions. We should go above and beyond to support the needs of players in the realm of responsible gaming and social responsibility.

In fact, this initiative extends beyond AML; it encompasses responsible gaming and social responsibility. Nevertheless, in this domain, the involvement of payment companies is extremely limited, if not completely absent.

At Neosurf, we specialise in facilitating cashto-digital payments and offer a digital wallet platform that operates independently from traditional card schemes or banking databases.

At Neosurf, it saddens us to hear colleagues in the payment industry absolving payment

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Using a voucher and digital wallet system, Neosurf ensures full compliance with anti-money laundering regulations while prioritising player privacy and desired controls. The traceability of transactions provides valuable data to assist operators in their AML practices, as well as in fulfilling their duty of care for responsible gaming and social responsibility.

It is crucial to dispel the misconception that cash is obsolete, as this belief can lead to missed opportunities for player deposits or worse, drive players towards illegal sites or incur exorbitant fees to play on legitimate platforms.

Contrary to popular belief, cash-to-digital transactions are not anonymous or high-risk; rather, they provide a secure and traceable method of payment. In fact, more than 22% of the market comprises players who prefer cash transactions for various reasons.

We actively advocate for the emergence of other payment companies in our industry, promoting smart management, sharing, and collaboration with operators and gaming regulators worldwide.

By cultivating meaningful relationships with regulators, payment companies contribute to the development of robust frameworks and industry standards.

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This collaborative approach fosters a responsible and ethical environment, and ensures sustainable growth within the gambling ecosystem.

This collaborative approach fosters a responsible and ethical environment.

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Blending blockchain with iGaming isn’t a cakewalk. It’s akin to taming wild, uncharted technological beasts.

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The Transformative Power of Blockchain As the world becomes increasingly familiar and comfortable with blockchain, DMITRI VOLKOV, Chief Revenue Officer at NuxGame, explains why the technology has the power to redefine iGaming.

Words by DMITRI VOLKOV

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cryptocurrencies, introducing features like Multi-Balance and crypto asset management to enhance player experiences and increase operator profits.

NuxGame is a trailblazer in spearheading these changes. Through the use of innovative technology, we amplify user interaction and open up fresh, profitable possibilities for operators.

With this technology, our platform provides operators with access to multiple game providers regardless of currency restrictions. This versatility allows operators to attract more players by offering convenient methods for depositing, converting and withdrawing funds.

he landscape of the gambling industry is being significantly reshaped by technological progress and shifts in consumer behaviour. These modifications are influencing the requirements of business operators and adjusting market dynamics.

Blockchain is crucial in this transformation, ensuring data safety with its transparent transaction ledger, eliminating fraud risks, and solidifying customer trust. It also empowers operators with speedy, low-cost global transactions, opening new markets and income avenues.

The popularity of cryptocurrency is further accelerating this evolution. Outdating traditional transaction methods burdened with delays and high costs, cryptocurrencies provide quick, cost-effective person-to-person transactions, broadening the iGaming community’s reach.

Of course, blending blockchain with iGaming isn’t a cakewalk. It’s akin to taming wild, uncharted technological beasts. However, NuxGame has successfully integrated blockchain and

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Lower commissions and faster transactions also boost operational efficiency and profitability.

Upon registration, players receive a unique wallet address, removing the need for intermediary processing.

Blockchain and cryptocurrency integration in the iGaming industry is just beginning, with NuxGame at the forefront of cultivating a trustworthy, transparent environment.

As the industry evolves, NuxGame anticipates the emergence of innovative digital technologydriven solutions. It highlights how high-tech companies like NuxGame shape the future of iGaming, bridging the gap between the virtual and real gaming worlds, and adroitly adapting to market changes.

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choice

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overload Choice is usually a good thing, but can having too much of it actually make decisions more complex than they need to be? ALEXANDRA CERNESCU, Chief Operating Officer at Xace, tells us how to navigate the many iGaming payment options on the market.

Words by VIKTOR KAYED

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inding an igaming payment solution has never been easier. Hundreds of payment providers are saturating the current market, giving you plenty of options to pick from.

“All too often, choice overload can paralyse us, as we agonise over which thing to choose. And there’s always a lingering sense of ‘what if…?’ even after we’ve made our decision.

Choosing a solution that specifically addresses your business needs can, however, prove a bit trickier. It requires a more strategic approach that fully evaluates the online gaming landscape in order to syphon the right from the wrong payment partners through informed decision making.

“If you are setting up an online gaming business and seeking a payment solution, then choice overload will surely be familiar. Today there are countless methods for receiving payments from online gambling customers, and a seemingly endless variety of banks, payment service providers, e-wallets, and other solutions that, in one way or another, facilitate payments.”

It’s a process that requires some real expertise, which is where Xace’s Alexandra Cernescu can help.

“Choice overload is a very modern problem. Everywhere in contemporary society, we are faced with endless possibilities. Whether it’s deciding between 20 variations of coffee at your local café, or where to go on holiday, through to serious decisions about investments or career paths - the sheer number of options facing us can be overwhelming,” she said.

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A PROFUSION OF PAYMENTS PLAYERS An important step in navigating through this choice overload, of course, is to understand why it exists in the first place.

“When you’re planning your iGaming company’s financial set-up, you will essentially need three basic services,” Cernescu continued. “First you’ll require a business bank account for general purpose banking.

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Choice overload can paralyse us, as we agonise over which thing to choose.

Then, you need a merchant account for receiving deposits and distributing winnings. And finally, you need a payment gateway, which funnels money to and from the merchant account.

All of them need to be able to ‘speak’ to one another.

“Today there are a huge number of providers in all of these areas.

There are countless business bank accounts that are more or less well suited to the gambling sector.

A cursory search online will throw up hundreds of firms offering merchant accounts. And there are also countless payment gateway providers of various flavours.”

Part of the reason for this level of choice is that gambling markets in different countries have evolved in different ways, meaning certain local payments companies have become popular with local players.

“In France, for instance, a prepayment card called Neosurf is one of the most common methods for gambling online, while players in parts of the former USSR prefer using local e-wallets like Qiwi,” Cernescu explained.

“A related reason is that in some countries, consumers are barred from making deposits using credit cards. Alternative methods - such as cryptocurrencies, prepaid vouchers and e-wallets - must be used instead. This can be a headache for gambling companies. You will need to find a payment gateway that can connect with all these different payment methods.”

Cernescu continued: “Traditional banks are also hesitant to engage with a sector that they still

view as ‘high risk’. In response, a wide range of alternative banks, e-money institutions and payment institutions have sprung up. These fintech startups often deliver high-quality, cheap and efficient payment services to the sector.

“And some of them have dedicated compliance departments with real expertise in the iGaming sector. This is undoubtedly a positive thing, but again, all this choice makes deciding between various fintechs and neobanks a challenge.”

NARROWING DOWN YOUR OPTIONS Xace’s COO suggests evaluating your needs and getting to know your customers before drawing up a shortlist of payments partners.

“First, think about geography.

Where are your customers (both current and future), and what payment methods are common where they live? Your payment system must connect with the most widely-used payment technologies in your target market,” said Cernescu.

“In many places, people are happy to gamble online using credit or debit cards. In other places, prepaid vouchers are most popular, while e-wallets are the go-to method elsewhere. You can’t expect people to gamble with you, if you don’t let them pay in their preferred way.”

She continued: “Currency is also a consideration especially if you plan to operate internationally. You want to be sure that your merchant account can actually accept

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payments in all your customers’ currencies, and convert it with reasonable FX rates. This includes cryptocurrency too.

“If you’re unsure how people want to pay, it’s worth doing some market research to find out what they want. There is no point in paying extra to offer cryptocurrency payments, for instance, if no one in your target market actually uses it!

“Once you have a clearer idea of currency and payment methods, you can go out to market with a list of ‘need to have’ and ‘nice to have’ features that you would expect from your payment and banking partners.

“Then it’s a case of narrowing down your options based on other differentiators. How quickly can they process payments?

Can they process multiple payments at once? What’s their security record like? Do they have dedicated compliance experts?

Does their customer service seem responsive? And finally, how easy is the solution to use?”

DON’T BE OVERWHELMED BY CHOICE OVERLOAD Overall, it is “undoubtedly” a good thing that online gaming businesses have such a wide choice, Cernescu believes, as more competition births more innovation and features at better rates.

“And by taking some simple steps to narrow down your options and to work out what you really need from a payment service provider, making this decision should become much more straightforward.”

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