Alan Brincat, the co-founder of the iGaming-focused marketing agency Propane, shares in this exclusive to GMB how his experience in Malta influenced his approach to the Brazilian market. The executive discusses global strategies, local specifics, regulatory challenges, and social responsibility actions. Brincat also reflects on the role of media in the sector and offers advice for operators wishing to thrive in the country.
Games Magazine Brasil - What inspired your transition from one of the smallest countries to seeking ventures in Brazil?
Alan Brincat - Coming from Malta, an island with just 500,000 inhabitants, my journey to Brazil was quite organic. Malta was a pioneer in regulating iGaming in Europe 20 years ago, creating a unique hub of expertise. After graduating, I was drawn by the explosive growth of the gaming industry there. Although Europe was a comfortable territory, after a decade of working for major European operators, I wanted to step out of managerial roles and focus on my passion for Marketing.
In 2018, I launched my consultancy and fate brought me a client trying to enter the Brazilian market. They had invested considerably, but saw no return. We helped relaunch their brand and marketing. The results were immediate – we achieved more in one month than in the entire previous year. From there, there was no turning back.
How do recent regulatory developments in Brazil compare with what you experienced in Europe?
I had the unique perspective of being directly involved in several regulatory transitions in Europe. Starting with Betclic in 2010, I experienced firsthand the regulation of the French and Italian markets. Since then, I have helped operators navigate regulatory changes in the UK, Germany, Sweden, Spain, and Portugal – each with its own challenges and lessons.
The journey in Brazil, however, presents distinct contrasts – it also faced unprecedented delays. The resistance here is unique; with commercial entities and even the attorney general recently filing injunctions in an attempt to delay the regulation of betting. This is particularly concerning, as the real cost of these delays falls on the Brazilian people, especially in terms of scams, the lack of a responsible gaming framework, and uncontrolled advertising.
Can regulatory dynamics provoke a dramatic reorganization of market shares of brands by 2025?
I do not foresee a sudden change. The top 5 brands currently control 66% of the market and are actively investing to strengthen their position. Entry barriers are increasing – with high licensing fees, narrower margins due to taxes, and restrictions on welcome offers.
The initial licensing window had a surprisingly high number of applicants, but I expect less than half will secure a license. Many seem to be just buying a few more weeks or do not meet the full requirements.
Market dynamics suggest a potential consolidation through mergers and acquisitions. Besides the acquisition of 56% of Betnacional by Flutter, we are observing other M&A movements. Betsson, known for its strategic expansions in LATAM markets, will likely be an active player. Regulatory uncertainty remains a concern.
Changes in regulatory targets midway, like the recent decree, and the ongoing legal battle between the government and Loterj may discourage potential investors. The market exit of Betway highlights potential instability. One thing is certain, the effectiveness of enforcement against unlicensed operators will be crucial in shaping the competitive future of the market.
What motivated your recent video highlighting concerns about how the Brazilian media has been addressing the issue?
The current media narrative is characterized by absurd claims and misinformation that dangerously polarize public understanding. Some journalists have prioritized clicks over responsible reporting, spreading provocative headlines without balanced perspectives from industry experts. These sensationalist stories often lack context and accuracy, which can mislead the public and inappropriately influence political discussions.
While industry associations, such as ANJL and IBJR, are doing commendable work separately, the betting industry has struggled to present a unified front against negative publicity. This fragmented response allows distorted narratives to persist.
While there are legitimate concerns regarding regulation, meaningful dialogue requires accurate and nuanced reporting. Regulation is necessary and inevitable, but it must be guided by factual information. Ultimately, we need responsible journalism. The current approach does not serve the public interest or the industry.
You won the Community Engagement Award at SiGMA Malta. What role would you like to see corporate social responsibility (CSR) play in the Brazilian betting market?
The recognition from SiGMA was truly gratifying, as it acknowledged the collaborative work with one of our clients – Lottoland; not just in supporting their marketing, but also in significant social initiatives. Last year, Propane donated over 12,000 kg of food to Brazilian charities and established a partnership with the Santa Marta Sports Center, a fight gym in a Rio favela for another client brand.
We also organized for UFC fighters, who typically work with Propane as influencers, to conduct free workshops for members of the local underprivileged community.
Our approach to Corporate Social Responsibility is not just about improving Propane’s image – it's about genuinely leveraging our corporate resources and client base to make a positive contribution.
We believe it is crucial for companies to give back to the communities they operate in, especially in Brazil, where social inequalities are significant. For Brazilian betting operators, CSR should not just be a PR strategy, but a genuine commitment to social good – and we would like to see more of it.
What inspired you to launch Propane – a marketing agency in the Brazilian market?
Propane was born to fill a clear gap we identified. Most local agencies lacked deep iGaming experience, while European agencies often struggled to understand Brazilians.
Our agency bridges this gap by combining insights from years of experience in European markets with local Brazilian knowledge. My partner Leonardo Benites brought a critical understanding of the local market and assembled an exceptional team in Brazil.
We specialize exclusively in serving operators and suppliers in Brazil, leveraging our vast experience in navigating regulated markets. Our unique approach allows us to offer cutting-edge marketing solutions, with a high return on investment (ROI), that truly resonate with the specific dynamics of the Brazilian market.
After 15 years in the industry, what makes Brazil challenging or interesting for you?
The beginning of my journey in Brazil was actually quite a humbling experience. I arrived in 2018, shortly after having led an online casino startup to become a market leader in Germany, and quickly realized that the Brazilian market was radically different from anything I had experienced before. At that time, online casino was still a big taboo here, with complex payment challenges.
The transformation began in 2020 with innovations like Pix, the growth of Crash games, and influencer campaigns from companies like Stake and Blaze, which managed to challenge the norm.
SEO, which worked perfectly elsewhere for casinos, was initially ineffective due to the scarcity of casino-related searches. Adapting required a complete reimagining of the traditional approach.
Brazil is very unique – with land-based casinos illegal since 1946 and now regulating online betting before physical games. This presents fascinating opportunities, especially since players had limited exposure to casino games before. The novelty of the market means that player preferences are still malleable. We are seeing huge interest from game studios seeking our support to viralize their content, emulating the success of games like Aviator and Fortune Tiger.
What marketing strategies does Propane consider effective in reaching the Brazilian audience?
As a full-service marketing agency, we offer flexibility in our approach. Some operators entrust us with managing their entire marketing budget and KPIs, while others seek support with specific channels, depending on their internal capabilities. Our three main marketing channels are Influencer Marketing, Sponsorships, and Performance Marketing.
In Influencer Marketing, we go beyond simple intermediation. We meticulously curate influencers who align with a brand’s target audience and develop comprehensive content strategies to maximize monetization and results. Sponsorships have been particularly effective, especially with collaborations with Serie A and MMA promotions. Our goal is always to deliver results that justify the investment through competitive customer acquisition costs (CPAs), rather than just branding.
Performance marketing on Google and Meta is crucial, and we insist on robust tracking and visibility throughout the funnel. If an operator lacks this infrastructure, we help establish complete attribution systems to optimize spending. Additionally, we cultivate strong partnerships with key platforms like Apple, Netflix, and most Brazilian mobile operators, further enhancing our marketing capabilities.
What marketing advice would you give to operators seeking to succeed in Brazil?
In less than two months, the rules of the game in Brazil will change forever. There will never be a better time than this. Fewer restrictions, no taxes, and the Brasileirão season in full swing, before the summer holidays.
This is the best time to capture market share and offset the pressure of the R$ 30 million licensing fee before the traditional slowdown of the first quarter. With over 5,000 unauthorized sites blocked by Anatel, there are many players looking for a new home.
Source: Exclusive GMB