Last week we returned from The SIGMA America’s conference which took place in Sao Paulo Brazil. We interviewed Assaf on his return about what he’d learned whilst attending this event and what his thoughts were on the emerging LATAM market. This article delves into the trends observed in Affiliate Marketing within this new emerging market for iGaming affiliates, covering topics such as localization, market maturity, consumer trust, regulation, mobile penetration, and the importance of early establishment.
Here’s the synopsis of Assaf’s thoughts attending this event:
Q: How was the conference this year Assaf, what notable changes have you seen year on year in attending this industry event?
AD: LATAM has become a real focal point for the rapidly growing iGaming industry as an emerging market that is showing promise and good volume delivery. In 2022, the event was quite small; however, in the current year, it attracted more than 250 exhibitors and companies attending, signifying the tremendous growth of the market as more people flew out to be here in person.
One of the key challenges in the Latin American market is the diverse cultural and linguistic differences across different regions. Affiliates looking to succeed in this space must master the art of localizing their content – per region – to cater to the unique preferences of each country. Understanding the specific needs and tastes of customers in countries like Brazil, Mexico, Argentina, and others is crucial for effective customer engagement.
Q: Is there value driving the marketplace forward for IGaming brands? Did you see Market Maturity and Trust Building emerging from the brands and sponsors you’re engaged with?
AD: In Latin America, iGaming customers are gradually embracing online platforms, but the process is slow due to concerns about safety and trust. Building trust is of paramount importance for iGaming brands seeking to penetrate this emerging market. I had conversations with successful brands that are establishing great growth models but who are learning and testing exactly how to build their customer journeys and onboarding sequences with customers to get acquisition – conversion metrics 100% right before spending more on media to brand build. By establishing themselves as reputable and reliable entities, with localized payments that users trust and understand, these brands have already invested in brand trust ahead of spending dollars to attract a loyal customer base.
Getting the mechanics of trust right – is the one thing everyone I spoke to highlighted, as key to their success. Having a tracking system that can target and segment customers and types of traffic sources is key, else you’re literally throwing money at a wall and seeing what sticks.
This is one of the core reasons why Cellxpert wanted to have a presence at this conference, so that we can understand what this marketplace requires and what operators and publishers need to build compliant and sustainable businesses and campaigns together. Luckily we have a lot of these features required already established in our platform so it was easy to explain the mechanics we can deploy to partners looking for in depth granular data.
Q: How do payment providers help with Building customer Trust?
AD: Payment providers play a vital role in establishing consumer trust in the iGaming industry. Offering secure and convenient payment options allows customers to deposit and wager with confidence. Brands that partner with trusted payment providers gain a competitive edge by eliminating barriers to entry and reassuring customers of their financial security. These were some of the key components the customer journey requires when speaking to a number of new brands establishing themselves in this market.
Secondly, the same applies to paying out local partners too. They need to be compensated for their campaigns and delivery in a way that makes sense and easy for them to access their commissionable earnings.Local payment providers are essential to facilitate affiliate commission payments.
Q: What about LATAM Regulation, how do you see the market moving towards regulation on each territory and how would this affect Affiliate Lead Generation?
AD: The iGaming market sentiment in Latin America is strong in regards to affiliate marketing as an acquisition channel, with ample opportunities for lead generation being generated. Think about how the UK and EU markets were about 8-10 years ago, customers are transacting online more frequently and taking up offers and searching for incentives – affiliates that are investing in this market to build tech brands like bigger companies here have done will start to see the shift and embrace the opportunity faster than operators can. This is why working with affiliates who are local to the market now – is a great idea for brands who are looking to dominate in this space.
However, the absence of robust gaming and in fact compliance with marketing regulations creates a unique environment where companies can flourish if they establish their presence early. Affiliates have the advantage of entering a relatively unregulated space, but they must tread carefully and adhere to ethical practices to build long-term relationships with their local audiences.
Q: If this is the case, does it mean Tracking and Fraud Management become more urgent and important to embed into your program day to day running in this region?
AD: In this emerging marketplace, the need for strong tracking and fraud management cannot be overstated. Affiliates and iGaming brands must be cautious of poor traffic drivers and partners who may misuse their goodwill to drive low-value casino depositing customers. By implementing stringent tracking and fraud management practices, companies can safeguard their reputation and investments. This is where Cellxpert’s fraud prevention, granular reporting and real time tracking can really help support good value relationship building.
Q: What are the best advertising and brand methods you heard operators and brands mention in your talks on the showroom floor? Were Mobile Penetration and Advertising Methods still areas of choice?
AD: On the whole, Latin America boasts a significant mobile penetration rate, presenting a plethora of advertising opportunities for iGaming brands. Utilizing various mobile advertising methods, app tracking, and ambassador branding all of these advertising methods can help brands gain awareness and exposure among customers new to these offers. Leveraging social media, mobile apps, and targeted advertisements can prove highly effective in reaching potential customers directly in their pockets.
Conclusion
The SIGMA iGaming Brazil conference has served as a testament to the incredible potential of the Latin American iGaming market. With significant growth, localization challenges, and evolving customer trust, affiliates and iGaming brands must act strategically to succeed in this emerging marketplace.
Building strong local connections, establishing consumer trust, and adopting rigorous tracking and fraud management practices are crucial for long-term success. By tapping into the burgeoning opportunities early and demonstrating a commitment to local audiences, brands can secure a positive uplift and cement their position in this dynamic and promising market.
For more information about how Cellxpert can help you launch, scale and grow an affiliate program in LATAM for your business, book a FREE call with our sales team
Further Reading:
