FEATURE
LICENSING ISN ’ T THE ANSWER TO ‘ COWBOY ’ AFFILIATE PROBLEM
Jesper Søgaard , founder and CEO of Better Collective , says affiliates should be held accountable for their actions , but not to the point where a licence is required
DUE TO THE GLOBAL NATURE of the internet , the unethical practices associated with affiliates go way beyond the gambling industry . Any industry that uses digital marketing can contain affiliates that easily bypass ethics and the use of such practices needs to be addressed .
At Better Collective , we believe that all affiliates should follow the code of a licence in a similar way to operators . Just like any other industry , affiliates should be held accountable for any unlawful , or unethical , practices that are used to gain a profit — but this liability shouldn ’ t have a detrimental effect on the entire gaming world .
The requirement to obtain a licence would be an extreme measure that would have negative implications for the entire gaming industry and is something that should not , by any means , be enforced .
Taking responsibility is key Gambling operators should take responsibility , just like companies in any other industry , for whoever they select as subcontractors in their supply chain . Operators , as a rule , must be responsible when deciding who to work with , and the right processes need to be in place to ensure the partner in question is fit for purpose .
They can ’ t just shift the blame onto the affiliate industry for their own mistakes in choosing unethical affiliate partners . If operators don ’ t do their own due diligence , then they have nobody to blame but themselves .
The gaming industry is fighting a negative reputation to begin with . Those operators crying out for licensing of affiliates could easily be supported by the general public , who would like to see the gaming industry more controlled due to its reputation .
However , if any other industry demanded this type of licensing , it would not find the same reception . For example , when Nestlé was found to be using subcontractors which were violating labour laws , it was Nestlé that was , rightfully , held responsible .
If operators are aware of unethical practices that are associated with some affiliates , it is their own responsibility to make sure their partnerships are meeting their own ( licensed ) standards .
Licences would hurt the affiliate industry It ’ s fairly common knowledge that there are some affiliates out there which like to bend the rules to get traffic to operators – but at Better Collective we pride ourselves on adhering to the strict codes and ensuring we follow the rules of regulation .
Our core values are built on transparency and honesty , so we would be doing ourselves and our customers a disservice to stoop to that level .
If it became a necessity for affiliates to obtain a licence , many of the major affiliates which have followed the rules would not be overly impacted , including us at Better Collective . However , a licence requirement would create a huge barrier to entry for other , smaller affiliates trying to enter the industry .
“ Licences would cause an oligarchical affiliate industry , which is something that nobody wants ”
Licences cost money . For a small , oneman operation that is following the code of regulations , licence fees could break their business and leave them out of pocket . We can all agree this isn ’ t what we want to see in this industry and we should be doing all we can to help out the honest start-ups .
What licences would do is cause an oligarchical affiliate industry , which is something that nobody wants , and while we ’ re strong in our opposition against cowboy affiliates , licensing just isn ’ t the answer to solve that issue .
JESPER SØGAARD is CEO of Better Collective , which he co-founded in 2004 . The Copenhagen company ’ s portfolio now includes more than 1,500 websites and products including DiscoverSlots , CasinoVerdiener , and bettingexpert LIVE , the world ’ s first in-play tipping app . In 2016 , it launched SmartBets , the world ’ s first customisable odds comparison site .
iGB Affiliate Issue 65 OCT / NOV 2017 41