Part 3: A look ahead
A big run to the regulated markets by the big affiliates
is the ideal situation for some under-the-radar small
and mid-sized affiliates
Feda Mecan, Kafe Rocks
“Everyone has been pivoting toward the regulated
According to this analysis, operators who have
markets for years, but the reality is not as rosy the ultimate responsibility for the management
as many expected. To hit their goals, I could see of their brand in multiple territories will only be
many companies in the sector reconsidering their interested in working with “trustworthy” affiliates
priorities and more heavily targeting markets that will, as Collins suggests, “do the right thing”.
which are ‘pre-regulation.’”
“Therefore, the smaller affiliates who do not
The smaller affiliates are very focused on
bringing in leads, and this might be detrimental
when it comes to issues of compliance, suggests
Collins at Raketech.
comply with the rules laid out by legislators and
operators will not last long in regulated markets.”
But it might be a different story in some
unregulated territories. Mecan makes the point
“For smaller affiliates, whose main focus is to
that with the bigger affiliates “running down the
generate as many leads as possible, compliance same (regulated market) channels”, it leaves behind
may not be on top of their agenda,” he says. something of a vacuum in the greyer markets.
“These companies will have a harder time
“A big run to the regulated markets by the big
operating in strictly regulated markets and may affiliates is the ideal situation for some under-the-
therefore choose to focus more on non-regulated radar small and mid-sized affiliates,” he says. “The
markets with less restrictions.” methods most of the smaller affiliates use are still
However, depending on the operator, the
affiliate and the nature of the relationship
fine in a lot of unregulated markets and they have
a way easier time flying under the radar.”
between the two, this might be unsustainable in
A movable feast
the medium to long term.
“It is becoming increasingly important for
A longer-term issue for the industry is the rise
affiliates to maintain an image as a trusted of mobile and what that might mean for the
marketing channel that takes compliance seriously,” affiliate sector. Mobile in gambling is not a new
he says. “Bigger gambling operators are starting to phenomenon, of course, but particularly with the
roll out compliance rules that need to be followed advent of newer regulated states in the US there
regardless of the region, so there is less room for is evidence that, if mobile is available, then the
affiliates to avoid having to follow guidelines.” consumer will find their choice of betting app
In the US there is evidence that, if mobile is available,
then the consumer will find their choice of betting app
without reference to their desktop
iGaming Business • Affiliate Monitor • August 2019
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