iGaming Business magazine iGB 111 July/Aug | Page 114
Marketing & Affiliates
MEETING MINDS
of
Rather than tackling things alone, the best way to grab the opportunities thrown up by
the great PASPA repeal is for European and US operators to get their heads together and
collaborate. Joined-up thinking is the way to go, so forget going solo and partner up,
says Sarah Robertson
Sarah Robertson is head of business
development at Paysafe’s Income Access.
The company’s technology powers the affiliate
programmes of over 250 global gaming brands,
while its in-house affiliate team manages close
to 20 programmes in multiple markets, including
the US and UK. She holds bachelor and graduate
business degrees from Canada’s University of
New Brunswick and McGill University.
With change comes opportunity. No maxim better defines the US
sports betting market following the Supreme Court’s repeal of PASPA
in May this year. Signed into law in October 1992, PASPA’s fall gives
way to an environment where excitement and analysis abound
regarding forthcoming state legislation and strategic frameworks.
As with previous regulatory shifts, stakeholders in US and
European markets will increase their potential for success by
working together on strategies and solutions that reflect each other’s
needs. The list of potential areas for collaboration is extensive, and
here are several of the most noteworthy.
Affiliate Marketing
Affiliates have been important stakeholders in the growth of
regulated online casino and poker in the US, but sports betting is a
different prospect altogether. Fortunately, the level of expertise found
in the European market is seasoned and well-situated to provide
strategic insights for both long and short-term objectives.
“Making the most of regulated
sports betting will require
partnerships founded on
shared knowledge”
Making the most of regulated sports betting will require
partnerships founded on shared knowledge and a willingness
to assume leadership roles, guiding affiliates and positioning
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iGamingBusiness | Issue 111 | July/August 2018
themselves for enduring success. As seen with casino and
poker, clarifying and understanding the terms under which
affiliates are able to operate within US markets can prove
demanding but achievable.
Having capably navigated evolving legislative frameworks
when the US began reopening its doors to igaming, affiliate
marketing has gradually established a presence within the market.
US sportsbooks and affiliates hoping to leverage the channel for
sports betting will need to rely on similar resourcefulness and
expertise from stakeholders based overseas.
According to iSpot.tv, DraftKings and FanDuel spent more than
$300 million between them on TV ads in 2015. While daily fantasy
sports (DFS) and sports betting are distinct products, it is notable
that each brand scaled back their TV ad spend significantly the
following year, cutting it by more than 90% from 2015 to 2016.
While new entrants to the US market will spend millions
advertising through traditional media, they should also consider
digital tactics that can minimise such expenditures and increase
ROI. This is where affiliates can integrate as part of a broader
digital marketing strategy, given their potential for high acquisitions
with smaller upfront costs.
State-by-State marketing strategies
According to Standard Media Index, NFL in-game advertising
was down 1.2% in 2017, but it still resulted in $2.42 billion of
revenue. This figure highlights the scope of the advertising
environment within which new entrants to the US sports betting
market will operate.
The impact of legislation on traditional and digital marketing
strategies will become clearer with each state that passes its own
set of rules and regulations. Early outlooks are optimistic, including
that of Evercore ISI analyst Anthony DiClemente who, in a note to
investors following the PASPA ruling, estimated that sports