This year we’re starting out by taking a moment to quiz our CEO, Assaf Dor, about where he thinks affiliate managers should be focusing their time and effort to grow affiliate program revenue in 2024.
We asked him what the year ahead will unfold and what Operators need to focus on to deliver a stellar revenue performance this year. He’s giving you a closer view on where Cellxpert is focused and how we’ll be supporting our clients to grow their programs in future.
Q: To kick things off Assaf, could you share your thoughts on what the biggest opportunities are for iGaming Affiliate Programs in the year ahead?
Assaf Dor: Absolutely it’s one of the biggest questions I think I’ll be discussing this year as we start 2024 off with a focus on the impact AI is having in our industry. The iGaming Affiliate industry has always been a forerunner in Affiliate Program Development and has created a solid framework for launching and scaling affiliate partnerships, but this year I think we’ll see brands doubling down on profit margins and looking to find better ways to use intelligent data to commercialize their partnerships better. As brands dig deeper into customer niches qualitative reporting and granular data will become ever more important for the decision making process. There is no doubt we will continue to see significant growth opportunities. Firstly, the global expansion of online gambling markets presents a massive opportunity. As more countries legalize online gambling, there is a growing demand for affiliates who can effectively market these brands to new audiences.
Additionally, the increasing adoption of mobile gaming is another area of promise for brands to explore and dig deeper into. Mobile gaming is on the rise, and affiliates that can optimize their strategies for mobile users stand to gain a competitive edge.
Moreover, the shift towards hyper personalized marketing is a trend we can’t ignore. Affiliates who can leverage data analytics and AI to deliver tailored user experiences to their audience will see improved conversion rates and better customer retention which means more earnings for both brands and partners alike.
Q: Moving on to the risks, what do you see as the primary risks that iGaming Affiliate Programs should be aware of in the upcoming year?
Assaf Dor: Indeed, while there are many new opportunities open for brands to explore and dig deeper into, there are also a lot more risks to consider. Compliance remains a top concern for many operators. As iGaming regulations become more stringent, affiliates need to ensure they are in full compliance with local and global regulations. Failing to do so can result in severe penalties and damage to their reputation and indeed fines. Having a tracking system that can monitor and support compliance objectives in expanding markets is key.
Another risk is marketing regulation. Many jurisdictions are implementing stricter advertising rules for the gambling industry. Affiliates must stay updated on these regulations and adapt their marketing strategies accordingly. Ensuring your program can accommodate multiple Geo’s and targeted ad serving along with compliance monitoring and payment models that accommodate regional cost variances is now a necessity.
Furthermore, the impending cookie deprecation impact we discussed last year could also impose a risk on how companies are set up to track and record affiliate referred players and the ROI on their advertising costs alongside which can skew. As browsers phase out third-party cookies, tracking user behavior will become more challenging. Affiliates will need to explore alternative methods for gathering data and measuring performance of brands they work with more accurately.
Q: Compliance and regulation certainly seem to remain hot topics. Could you elaborate on the importance of compliance in the iGaming Affiliate industry?
Assaf Dor: Absolutely. Compliance is paramount in the iGaming Affiliate industry. The consequences of non-compliance can be severe, including hefty fines, loss of licenses, and even criminal charges in some cases. Beyond the legal ramifications, it can also harm the reputation of both the affiliate and the brands they promote.
To navigate this challenge, affiliates need to stay informed about the ever-evolving regulatory landscape. They should establish robust compliance procedures in their own businesses and set up processes that ensure they remain compliant via regular audits, and work closely with legal experts and operator partners to ensure their activities align with the law and the regions they are marketing offers in. To do this it means they need to ensure brands are able to track and geo target advertising offers efficiently otherwise they simply won’t be able to promote them any longer.
Prioritizing compliance and tracking for global advertising – not only mitigates risks but also builds trust with both regulators and players.
Q: Let’s move on to AI. How do you see artificial intelligence shaping the iGaming Affiliate landscape in the coming year?
Assaf Dor: AI is set to play a pivotal role in the iGaming Affiliate industry in the year ahead. One of the most significant impacts will be on reducing time with administrative functions and offering personalization. AI algorithms can analyze user data to create highly tailored marketing strategies. This means affiliates can offer personalized recommendations, bonuses, and content, increasing engagement and conversions. We’ll start to see this happening slowly as adoption and testing continues from 2023 and we’ll also see more talk about best practices around leveraging AI to grow partnerships faster.
Moreover, AI can improve the efficiency of affiliate programs. It can automate routine tasks, such as data analysis and reporting, freeing up affiliate managers time to focus on strategy and creativity. However, it’s essential to use AI ethically and transparently, respecting user privacy and data protection laws. Building trust with partners should always remain a program’s first priority.
Q: How do you foresee the impact of marketing regulation on iGaming Affiliate Programs in the upcoming year?
Assaf Dor: Affiliates and indeed operator brands – may need to explore alternative marketing channels and partnerships to reach their audience effectively. Influencer marketing, content partnerships, and social media engagement can become increasingly important as traditional advertising channels face stricter regulations. Having the capability to accurately track players from first click across multiple platforms through to first deposit and subsequent wagering is going to be key in seeking out better player profits as I mentioned before.
Q: Lastly, what do you see as the key relationship management issues that iGaming brands need to face in the year ahead?
Assaf Dor: Relationship management is vital for iGaming brands who want to build successful affiliate programs. In the year ahead, brands will need to focus on transparency and communication. Establishing clear expectations that are SMART (Specific, Measurable, Achievable, Relevant, and Time-bound) and maintaining open lines of communication with affiliates will all be key to building successful partnerships. These things are not difficult to deliver but they do require consistency of service and that’s where we like to help our clients improve – using our platform to create efficient ways of working, partner categorisation and tagging features.
Additionally, brands should consider offering incentives and support to their affiliates. This includes providing them with the latest marketing materials, data analytics tools, and timely payments. A well-nurtured relationship with affiliates can lead to increased loyalty and better performance.
Collaboration and cooperation between brands and affiliates will become more critical as the industry becomes increasingly competitive this year. Brands that invest in building strong relationships with their affiliate partners will be better positioned for long-term success.
Book a call with our sales team to ensure your iGaming affiliate program thrives in 2024.
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