Entering a new market can be a challenging, and a rather overwhelming experience for an operator if not executed correctly. Not only is a lot of research and planning required, but operators must also consider several external variables that may positively or negatively impact the success of a launch.
Market research is a vital step that operators must take in order to successfully enter a new market, and all operators are encouraged to conduct a thorough market analysis. This will improve their chances at a successful launch by recognizing the basic market requirements, benchmarking against their competitors, understanding the needs of affiliates in the market, and finally seeking assistance from industry experts.
Recognizing the Basic Operator Requirements of the Market:
Prior to entering a new market, operators must first look into the basic requirements needed in order to launch. Listed below are some of the most important ones, along with a few key questions to ask when looking to enter a new market.
- Market Regulations and Licensing
- What license must the brand hold to legally operate in this market?
- Do affiliates require licenses to promote a brand in this market?
- Are brands required to follow strict affiliate KYC procedures?
- Are there any compliance requirements in regard to bonus announcements or communications?
- Competition and Market Saturation
- Who are the market leaders?
- Who are the main competitors in the market?
- Is the market saturated, or is there room for new entrants?
- If yes, what are the competitors doing well/poorly, and how can we use these points to improve our strategy?
- What could we offer to make us stand out from our competitors?
- Market Trends and Popular Seasons
- Are there any trends in the market that need to be considered?
- Do players in this market play on desktop, mobile, or both? Do we require a mobile app?
- What are popular seasons in this market? Does the market have any local sporting events occurring?
- Are players in these countries following a specific payday schedule?
Benchmarking Amongst Competitors:
Understanding the existing competitors and leaders in a new market is essential for operators interested in entering a new vertical or geo. By benchmarking amongst competitors, operators can gain essential knowledge that will help them thrive in a new market. It is important to take note of things these top brands are doing well, to help adopt and avoid certain practices, with the ultimate end goal being to differentiate themselves from the rest of the group. It is recommended that operators start off by observing the following the following key items:
- Player Offerings
- Operators can observe what kind of bonuses and player offerings the competition are offering to their players. This can be used to help identify the most commonly used offers, and help the promotions team build a competitive launch offer.
- Payment Methods and Site Languages:
- It is important to localize various aspects of the website, such as the languages the site is offered in, as well as the payment options that are available to players to ensure it meets the needs of players in this market. A well translated site in the local languages is a must, especially in regions such as Latin America.
- User Experience and CRM Journey:
- Putting yourself in the players shoes is an essential step to take when developing a product. Observing how other brand’s gaming sites work, by replicating the player journey and taking note on the site’s design, mobile optimization and app experiences, will allow a new operator to develop a seamless experience for players.
- The CRM journey is also important to observe, to see how other brands in the market interact with their players throughout different stages of the sales funnel.
- Marketing Creatives and Branding
- Observing how other brands advertise their product will help a new operator identify various trends when it comes to marketing creatives and overall branding. It is important to take note if graphics are used to advertise a brand versus a simple logo, if sponsorships with large sporting teams are common in the market, and so on.
Understanding the Market's Affiliate Needs:
One key to success that operators must consider is that the needs of affiliates vary vastly depending on the market. Each market has differing goals and expectations when it comes to player lifetime value, player deposits, commission deals, and more, which must be strongly considered when creating a plan for an affiliate program for a new market. Some important affiliate needs to consider are listed below:
- Understanding Affiliate Commission Deals
- It is important to understand the average commission that affiliates request in this market, as they can be very different from what a brand might be used to. Understanding the commission norms (i.e. CPA vs RS, common baselines, fixed fee ranges) in a market are vital to a fruitful affiliate relationship, as affiliates can get quite competitive.
- Technical Requirements:
- Communicating with existing affiliates in the market and seeing if they require any specific technical setups, such as postbacks/server-to-server tracking, prior to launch is a great step to take when building the affiliate program. Operators should consider implementing such tools so that affiliates can push their brand to their full potential from the get-go.
Where to Start:
If you are unsure of where to begin with your market research, the Income Access Affiliate Team is here to help!
With over 20 years of experience in the iGaming industry, and an extensive network of affiliates, our team can help guide operators looking to enter a new market with our Marketing Intelligence Reports! Contact us today to learn more!
