The profits of casino operators are going up. Over the past 5 years, the global market volume has grown from 40 to 80 billion dollars. And it's estimated to grow 5% in 2021. Gambling is one of the most popular verticals in Affiliate marketing. Affiliates attract users and receive their commission. The amount of payments depends on the offer, GEO and, of course, the payment model.
There are 3 core commission types:
- ♠️ Registration, Install or lead.
- ♦️ First time deposit.
- ♣️ RevShare - lifetime revenue.
You can also find a hybrid payment model, which combines payouts for the first deposits and referrals spendings.
Gambling offers are divided into the following categories:
- 🎰 Casino
- 🃏 Poker
- ⚽ Sports Betting
Regardless of the category, the main goal of an affiliate marketer is to attract users to the site and get them to top up their account.
The regulation of the gambling business depends on local legislation and is complicated in some countries. Most countries in Africa and South America have not passed any laws to regulate it. There are countries that have a clear gambling legislation: the United Kingdom, Australia, New Zealand and some countries in the European Union.
Japan, Singapore, Czech Republic, Poland, Russia, Switzerland and Ukraine have banned online gambling, but citizens can gamble in foreign sites.
Countries that control the gambling market are actively fighting illegal casinos. They raid the land-based slot halls and ban web domains. The goal of the state is clear - shadow casinos do not pay taxes. But is there a difference to consumers? Illegal gambling operators cheat and don’t provide any guarantees. Players that choose an illegal one often face a number of problems: broken links and refusing to pay out.
Promoting licensed gambling offers, affiliate marketers can attract high rollers. Players who can spend large amounts trust licensed casinos more. Fair play both with players and with partners is a great advantage of offers with licensed casinos.
Ukraine is a good example of how a government can start to regulate gambling law. In the summer of 2020, the President of Ukraine adopted a law authorizing the list of gambling activities. This list includes online casinos, bookmakers, lotteries and poker. The law also permits gambling in land-based casinos, which should operate in five-star hotels. The gambling business in Ukraine should start operating in 2021.
Fees and taxes
- ✔️ Annual license fees ranging from $ 200’000 to $ 2 million;
- ✔️ Tax on winnings - 18%;
- ✔️ Triple payment for each slot machine.
International experience shows that the introduction of a tax on winnings always forces players to switch to illegal gambling platforms.
5 Billion Euros - estimated volume of the Ukrainian gambling industry.
Despite this, new gambling legislation of Ukraine is a big event for many big players. The potential of the Ukrainian market is huge. According to market estimations, the volume of the Ukrainian gambling industry in the shadows amounted to more than 5 Billion Euros. Ukraine is a lucrative market for foreign investors. It’s good location will attract gamblers from Europe. There are not many places in Europe where land-based casinos are legalized. So it could be a good alternative.
Ukraine can create a special zone for the gambling business. Such a place could become a mecca for tourists like Las Vegas and Macau. This is a very attractive idea in terms of gambling business development and budget replenishment. The Las Vegas budget receives about $ 1 billion from casino and hotel taxes. About 42 million tourists visit Las Vegas every year. Another famous casino-city, Macau, gets 50 times more from casinos and hotels. Almost 70% of its residents work in the casino industry.
Live dealers Development of streaming technologies allowed to make high quality live games. Games with a live dealer provide players with the ultimate experience: a real casino atmosphere with live communication. Plus, you can be sure that there are no cheats in the game. Since all actions are performed by a living person.
AI software - New AI software can create a personalised customer experience for gamblers. The system builds a unique virtual casino for each player based on their favourite games.
Mobile games - The development of new games has never stopped. However, using new technologies and more powerful hardware of mobile devices, will allow operators to develop games at a personal computer performance level.
Virtual Reality - Virtual reality is taking off. The proliferation of this immersive technology will lead to more widespread use of helmets. Playing in a 3D environment like in a real casino gives players new sensations.
eSports - The popularity of virtual sports betting has skyrocketed during the pandemic. Since most of the sports events have been canceled because of the coronavirus, players turned to virtual sports. Esports betting market has a huge potential. Video games like Fortnight, CS:GO, Dota 2 have enormous audiences and players make bets.
Mobile apps - According to statistics, 60% of users of gambling platforms use mobile devices. Mobile apps make access to the gambling much easier and more convenient. Users spend more time in apps than on websites. And app owners can send push messages to motivate the player to come back to play more often.
Telegram casino - An incredibly interesting approach is to create a casino via Telegram. Users make bets through a chat-bot. Simple, intuitive interface and easy accessibility from any device worldwide make Telegram casino a very promising format.
Promotion of gambling offers is complicated. Google and Facebook have strict rules for advertising gambling sites and apps. Experienced marketers know how to get around these restrictions. However, their advertising accounts can be blocked and they have to look for alternative advertising channels.
Adult traffic is an excellent source for gambling offers. Adult networks have the following benefits:
- ⚫ Promotion of gambling is permitted. Requirements for landing pages are clearly spelled out.
- ⚫ Multiple advertising formats (Popunder, Push, In-Stream Video, Banners and others)
- ⚫ Personal account manager can advise you on choosing the best targeting options, creatives, ad format etc.
- ⚫ Low competition compared to Facebook and Google.
- ⚫ Low prices (bid starts at $0.002 per click)
- ⚫ A profitable approach can last a long time.
It’s the easiest way to test a new offer or GEO. Pre-landings with a ‘Fortune wheel’ are most effective. Users spin the wheel, 'win a bonus' and register to apply it. Find an offer with a CPL payment model. This will allow you to quickly understand whether it makes sense to buy ads with this format.
Traditional display ad format that is often used by casino advertisers. Use spy-services to find creatives or ask your manager in CPA network. They usually provide a pack of banners. We have 6 sizes and 11 ad placements. For the start we would recommend using CPC model and mobile banner size 300x100. Animated banners with a clear Call-to-Action increase CTR. Start with at least five creatives to find the best converting one. Smart-rotator can automatically define the best one.
This brilliant ad format combines the advantages of web push and banner ads. It resembles a web push notification, but it doesn’t require a subscription and works on all devices. And most importantly, in-page ads will not be unnoticed. Offer users a bonus, free spins or actual sporting events.
In-Stream Video Pre-Roll
Video is the best way to maximize brand exposure and increase sales eventually. Familiar brands work best. Grab users attention showing an exciting gameplay of an online casino, youtube stream or funny and ridiculous teaser. Did you hear about PaddyPower? This Irish bookmaker knows exactly how to make viral videos.
In case you don't have a large advertising budget on video production - take advantage of our Motion banner. This tool allows you to create a short video from an animated image, text and call-to-action button.
Popunder - 103K impressions daily - min CPM $0.31
Banner 300x100 - 400K impressions daily - min CPM $0.005
In-Page - 1,3 Million impressions daily - min CPM $0.01
In-Stream video - 103K impressions daily - min CPM $0.35
Use the Traffic Chart to find a traffic volume, min and max bid for any GEO and Ad Format.
Our dedicated account managers will help you to boost your performance. Contact them on Skype or Live-chat.
Follow us in Telegram to stay tuned!
Try different ad formats and GEOs to find a profitable sales funnel.