Just a few months before the official launch of the Brazilian sports betting and iGaming sector after its regulatory phase, Betsson's CEO and president, Pontus Lindwall, spoke with Next.io about the company's strategy to enter the market and how to work with affiliates. "We have submitted our license application, but we plan to enter strategically. We are not aiming for a podium position in Brazil," says Lindwall.
The first point addressed by NEXT.io was the company's plans to approach the Brazilian market. "Due to its potential as a regulated market, Brazil has been on our radar for a long time — about 10 years. Given its size, there has been significant interest and ongoing discussions. However, progress has often been delayed. Currently, there are still some concerns about the regulations and the offerings allowed in the market. We hope to see a fully competitive offering that controls unregulated operators," Pontus Lindwall began to explain.
Despite being a global giant that could be assumed to have planned an aggressive landing in the country, Lindwall seems to be putting on the brakes, at least at the beginning. "There seems to be a lot of interest from operators. I expect several companies to fight for market share, from the start. We will not be one of them. We have submitted our license application, but we plan to enter the market strategically."
"While we may not pursue aggressive marketing strategies immediately, we want to understand how the market develops and adapt accordingly. Our focus will be on learning and observing market dynamics."
Despite having shirt sponsorship deals with major football teams in other markets, such as Boca Juniors in Argentina and Inter Milan in Italy, Betsson's CEO dismisses, for now, executing a similar strategy in Brazil. "I don't think that will happen in the near future because we are not planning to dive into the market very aggressively from the start," he explains. "We are not aiming for a podium position in Brazil. However, we hope our existing sponsorships will help us gain momentum in the market."
On the other hand, to position the brand in the best way, he highlights the work with affiliate marketing. "Affiliation plays a crucial role in most markets, and I do not foresee that changing in Brazil. We continue to invest in affiliate partnerships because we value the services they provide."
"That said, it is worth noting that different markets have restrictions and varying marketing scenarios, which may affect the share of marketing that comes through affiliates. However, the role of affiliate marketing remains important in our industry, and I do not see it diminishing."
Regarding whether he considers that operators will seek to produce affiliate content on their own, Lindwall concludes: "I am not sure if managing affiliate marketing internally is necessarily easier, especially when it comes to streaming and influencer-style marketing. Many companies, including ours, have tried to create affiliate content internally.
While we have experienced some successes in areas where we had a strong inventory, there have also been challenges. Overall, the main takeaway is that the ongoing presence of affiliates indicates that they possess specific skills and knowledge that operators may not ha
ve".
Source: NEXT.io
