The affiliate marketing company in the sports betting and iGaming industry, Better Collective, recently announced its second-quarter results, with Better Collective Group's revenue increasing by 27% to 99 million euros. The group's performance last year was already impressive, with an annual growth of 37%, and this year's growth is even more icing on the cake.

Considering the group's recent large acquisitions, such as the acquisitions of AceOdds and Playmaker Capital, Playmaker HQ, along with increased investments in the AdVantage platform and AI, Better Collective still maintains such growth, which is enough to demonstrate its strong operational momentum.

As a result, Better Collective Group's stock price has soared, with its share price on the Stockholm Stock Exchange in Sweden skyrocketing from 60 Swedish kronor to 300 Swedish kronor, an increase of 500%!

Although Better Collective's success is not unique in the gambling industry, this Danish company has been able to maintain growth since its establishment, which must have its special reasons in business and management.

The affiliate marketer in the gambling industry seems to be a rare name, but this niche track is just right to carry the high-speed development train of the online gambling industry, and Better Collective is taking advantage of this industry trend to greatly increase profits.

What is Affiliate Marketing?

Affiliate Marketing is a performance-based marketing strategy where businesses promote their products or services through third-party partners (affiliates or affiliate members) and pay commissions based on the results of the promotion.

These promotional results are usually measured by specific conversion actions, such as new customer registrations, purchases, or other target actions.

In layman's terms, affiliate marketers are actually advertising companies that specifically serve gambling companies, mainly responsible for driving traffic and acquiring customers for gambling enterprises.

Here are the basic elements and operating modes of affiliate marketing:

Providers of gambling products or services, mainly online gambling operators, want to expand market coverage through affiliate marketing, acquire player users, or complete service sales.

1. Gambling Merchants:

That is, companies like Better Collective in our article, who promote merchants' products or services through various channels (such as website SEM, social media, email marketing, etc.) to achieve the purpose of driving traffic.

2. Marketing Members/Promoters:

Visit the merchant's website through the promotion link or advertisement of the marketing alliance and perform target actions, such as purchasing, registering, depositing, etc.

3. Player Users:

When player users complete specific conversion actions through the promotion of affiliate members, the gambling merchant pays the agreed commission to the affiliate member. This payment method will change according to different needs, such as based on each click (CPC), each action (CPA), each sale (CPS), or even user deposits.

4. Commissions:

Affiliate marketing is very beneficial for gambling merchants because merchants only need to pay fees after actual results (such as user registration or user deposits).

This also makes gambling merchants increasingly inclined to seek this external marketing support. The growth of the online gambling industry has accelerated this demand, and this mutually beneficial model has promoted the widespread application of affiliate marketing, and the market for affiliate marketing has thus emerged.

And Better Collective is a digital sports media group that is vigorously developing on this track.

Better Collective's digital sports media brand portfolio includes: HLTV, FUTBIN, Betarades, Soccernews, Tipsbladet, SvenskaFans, Action Network, Playmaker HQ, VegasInsider, Bolavip, and Redgol.

The company is headquartered in Copenhagen, Denmark, and is dual-listed on Nasdaq Stockholm (BETCO) and Nasdaq Copenhagen (BETCO DKK).

Better Collective's Business Approach

As a leader in the affiliate marketing industry, Better Collective has been very active this year.

In early February, Better Collective completed the acquisition of Playmaker Capital to develop the South American market, and began implementing performance marketing on South American Futbol websites. Since the acquisition, the overall audience of Futbol websites has grown by about 20%, and although the second quarter is the off-season in North America, continued growth in the second half of the year is expected.

Subsequently, Better Collective acquired the British sports betting media AceOdds for 43 million euros. If this acquisition expense is excluded, Better Collective's quarterly revenue would be even higher.

The integration of AceOdds has also been very smooth, and it still shows a strong growth momentum even after changes in Google's search policy landscape.

On May 5, Google launched a new policy, preparing to restrict third-party Cookie content in Google Chrome, which also affected the ranking and reachable audience of some of Better Collective's media partners.

The business in North America was negatively affected by a specific media partner, but media partners in Europe and other parts of the world, which are free-operating media websites, were positively affected, with increased traffic and website rankings.

As gambling operators begin to seek more customer acquisition channels, Better Collective's business has also exploded.

And this catalytic event was the European Championship held in June-July.

The spirit of global fans supporting their teams is precisely the reason why Better Collective is rooted in sports events. Especially major championships have played a good role in promoting the company's business.

During the European Championship, Better Collective formulated and implemented a unique content strategy on European sports media, which was proven effective by the surge in audience numbers.

Through the acquisition of AceOdds, the page views of this European sports media brand increased by more than 20%, while social media interactions and social media views increased by more than 100%.

In a single quarter, Better Collective successfully attracted 501,000 new customer deposits (NDCs), more than 100,000 of which were related to the European Championship.

Also, during the Copa America, the company also showed a positive trend, as the company had acquired Playmaker Capital, and advertising revenue and NDCs for Futbol Sites (part of Playmaker Capital) increased, although it was just the beginning of the effect.

The success of these two acquisitions shows the advantage of Better Collective's diversified strategic layout. Through just one quarter of the explosion during the European Championship and Copa America, the company has already offset the acquisition expenses.

As PASA mentioned earlier, Google's policy revision at the beginning of the second quarter affected the content ranking of some media partners, thereby affecting the scale of the audience and NDCs.

But with the company's diversified strategy executed as expected. Global media partner businesses have achieved good results, and the global sports media network has shown an upward trend in search rankings and audience growth.

Also, due to the instability of Google's new policy, the company accelerated the development progress of the AdVantage technology. AdVantage is an advertising technology platform developed by Better Collective, carrying an AI marketing system, which can integrate zero-party, first-party, second-party, and now also third-party data, to more effectively build and segment its audience groups.

The company has also established a dedicated commercial team and completed the first concept verification on a small brand. As the AdVantage platform matures, the negative impact of Google's advertising policy will be offset.

With the traditional busy season of events in the second half of the year, when most major sports leagues will restart and become active, Better Collective is bound to welcome better development.

Therefore, after announcing the second-quarter financial report (the group's revenue increased by 27%, reaching 99 million euros, and recurring revenue reached 62 million euros, an increase of 26%, indicating higher revenue quality), Better Collective Group also raised its financial targets for 2024:

·Revenue of 395-425 million euros, meaning a growth rate of 21-30% (previously expected to be 390-420 million euros)

·Profit EBITDA of 130-140 million euros, meaning a growth rate of 17-26% (previously expected to be 125-135 million euros)

·Net debt/EBITDA ratio remains below 3 times (unchanged)

In addition to the acquisitions of AceOdds, Playmaker Capital, and Playmaker HQ in the first half of the year, which contributed limitedly in the short term. In addition, there were also increased investments in AdVantage advertising technology capabilities and sales capabilities, as well as other AI investments.

Better Collective Group's financial performance has greatly exceeded expectations.

Conclusion

With the booming development of the gambling industry, affiliate marketing has become an indispensable part of it, and the rise of Better Collective is not only due to its strong business operations but also because it has caught the tailwind of this gambling track.

Through effective affiliate marketing strategies, gambling merchants can greatly expand their customer base and achieve sustained business growth.

Affiliate marketing not only brings considerable revenue to promoters but also helps gambling platforms achieve precise market placement, greatly enhancing user acquisition efficiency, and any gambling operator would covet this.

In this results-oriented industry, affiliate marketers have demonstrated their strong value and development potential.

In the past, affiliate marketers could identify the same user on different websites through third-party cookies and collect their browsing data to create more accurate advertising targeting strategies. This extensive user tracking, although it could bring a more personalized experience, also raised serious privacy issues and regulatory challenges.

With policy changes from advertising giants like Google, affiliate marketers have also begun to diversify their strategic layouts or develop new marketing technologies to solve this dilemma.

Therefore, for those who want to occupy a place in the rapidly developing gambling market, affiliate marketing is undoubtedly an industry full of opportunities and prospects, but at the same time, entering this industry also requires enough courage to face various challenges.

We look forward to discussing more unique insights about gambling-related enterprises with our readers and sincerely invite you to follow the global get-rich industry overseas information platform PASA to get more first-hand get-rich industry information.

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