INSIGHT
market and, more importantly, when it goes online. While the US market is accustomed to regulatory bodies, Europe has more experience with the kind of ecosystem into which the US is venturing.
Adapting to state-by-state legislation will require the combined expertise of local lawmakers and stakeholders as well as European brands that have grown proficient at anticipating and responding to newly implemented regulations.
Equally important to market perception will be buy-in from major North American sports leagues, as well as the National Collegiate Athletic Association( NCAA). That seems inevitable considering the Nevada Gaming Control Board’ s reporting that the state’ s sportsbooks accepted more than $ 4.8bn in wagers in 2017.
The NCAA will be subject to particularly close scrutiny. Between the Men’ s Division 1 Basketball Tournament and college football games that already average more than three million viewers in the regular season, the potential wagering figures are considerable.
The importance of nurturing an image of transparency and honesty across all leagues is emphasised by talk of integrity fees – which, somewhat controversially, have been pushed by the NBA and MLB – and the possibility of state gaming commissions demanding accurate player injury reports.
European stakeholders will be valuable partners in establishing this image, not only with responsible-gaming initiatives but also in developing relationships with league executives to address fraud and underage gambling.
Technology’ s influence Technology will play an increasingly important role in maintaining the integrity of sports and sports betting in the US. Geo-targeting, payment processing and data collection are among the most urgent issues in regulated sports betting, giving both established and start-up solutions providers the opportunity to carve out larger places in the market.
In May, following the PASPA decision, the NCAA announced a 10-year datacollection and distribution deal with London-based Genius Sports. That was
“ While the US market is accustomed to regulatory bodies, Europe has more experience with the kind of ecosystem into which the US is venturing”
followed by the June announcement that sports-data company Sportradar had partnered with UK-based Sportech to provide commercial sports-betting solutions to the US, including Sportradar’ s trading and risk-management services.
For online and mobile gaming, exact post-PASPA timelines look uncertain due to legislative proceedings. However, once legislation is passed that role should prove considerable. This will open the door for savvy providers of front-end and back-end solutions to rise to prominence and / or further solidify their leadership position.
With Paddy Power Betfair acquiring FanDuel in May and DraftKings partnering Atlantic City’ s Resorts Casino in June – an announcement preceded by DraftKings hiring a head of sportsbook in February – the two DFS giants are guaranteed to have prominent roles in a regulated market.
Both brands already engage millions of Americans via their own mobile app. DraftKings and FanDuel been committed to augmenting their respective core products and both offer a companion app for player research and keeping up to date with league news.
These are informative examples for individual states developing their own sports-betting apps. While products will likely vary in quality, cumulative insights from established European brands and US influencers with similar experience will provide reason for optimism.
Patience and pragmatism will be the foundation for most US states, at least at the outset, further supported by partnering with European brands that can provide added expertise and insight on how to build an ecosystem in which sports betting can thrive.
SARAH ROBERTSON is head of business development at Paysafe’ s Income Access. The company’ s technology powers the affiliate programmes of more than 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.
46 iGB Affiliate Issue 70 AUG / SEP 2018