Reflecting on a game-changing 12 months for affiliates

It has been a tumultuous 2017 for gaming affiliates, and one which may go down in history as a ‘turning point’ for the industry.

There has been a change in tone of discussions throughout the year with previously guarded affiliates now talking openly with one another about the issues which face not only their business but the industry as a whole. This is due to some of the more serious issues which have arisen throughout 2017, brought about largely due to an increased focus on the gaming industry from the government, the media and the general public.

The recent economic and societal problems have needed a scapegoat and Brexit, plus the various other nationalist movements around Europe, found that in ‘foreigns’. These workers, who provided the backbone of most industries, have been blamed for all manner of issues and a populace eager for an upturn in fortunes were quick to apportion all society’s ills on those who didn’t look or sound like generations gone by.

Brexit was supposed to be a cure-all but the tonic hasn’t gone down as well as some would have hoped and we’ve had to look inward and at our own culture. Unfortunately, the spotlight has been turned on the noble folks in the gaming industry, with betting being blamed for ‘broken Britain’.

This has, understandably, upset many who work within our industry, but there is a need for those in gaming to accept some responsibility. While there are clearly political issues behind many of the campaigns, particularly those against high street betting shops and online gaming, it’s clear that the clean-up has been a long time coming and it has been refreshing to see some of the moves made in 2017 by some of the biggest names in the industry.

There is still a lot to be done on responsible gambling and blazing a yellow banner across your site, while trying to entice customers in with a free bet, is clearly only paying lip service to the regulators. But 2017 has seen the start of compliance in all levels of gaming, particularly the affiliate sector.

Sign of things to come

The closure of the Sky Bet affiliate scheme was the first major move, but this was less about regulations and more about a media behemoth making a business decision. Sky, with its own network of publishing units, has never really relied on the affiliate market for customers and so it was no surprise that when looking at ways to tighten the reigns, they decided to bring everything in house.

This move caused consternation across the industry and the fact that bet365 followed suit by trimming their partners, and closing the door to new applicants, has been seen as the beginning of the end of affiliate marketing as we know it. There is perhaps a kernel of truth in that but isn’t it time that things changed? An industry built on shady marketing practices is one that was ripe for a shake-up and the new moves have already seen a banding together of those companies who were previously at loggerheads and an atmosphere of deceit is being replaced by one of trust and professionalism.

This is true for the other hot topic of 2017, which is mergers & acquisitions. I have been personally affected by this this year with Bettingpro.com being acquired by Catena Media in the summer.

There have been many myths about the growing band of ‘super affiliates’ with many criticising the big five or six brands for killing the industry but this is not the case. These firms account for, at most, 5% of all affiliate traffic to operators and so there is plenty of room remaining for those who like to work on a much smaller scale.

Those who embrace the change are seeing the benefits. These companies are working with and within regulations and, crucially, are committed to providing a safe and secure environment for their staff. The affiliate industry has previously been the preserve of ‘one man bands’ who were multi-talented and moved swiftly, sweeping up profits which were kept largely for themselves. The rise of the super affiliate has meant a delegation of duties and companies are now employing specialists in each area from other industries.

This means that web developers, marketing managers, SEO specialists, content writers and, crucially, HR workers are entering the gaming industry from other sectors and this is resulting in positive professional changes. University graduates will now look at online gaming as a genuine career option and there are now genuine career opportunities for these young professionals, of both sexes, to advance and grow within the industry. An internal meeting at Catena Media recently revealed that 40% of the company’s staff are women, which would have been unthinkable in the gaming industry a decade ago.

Risky business

The risk, of course, with the rise in massive companies is that they will squeeze out the little guys and many discussions have been had throughout 2017 about how to keep gaming, and affiliate marketing in particular, fresh and innovative. Gaming has always been one of the first to market with technological innovations and the worry is that a focus on corporate practices will kill that entrepreneurial spirit of invention.

This, I believe, is not the case as the fact that the industry is now attracting more young, dynamic and intelligent minds, meaning that we will see more, not less, innovation in the years to come.

The immediate future focus is the World Cup and we’ll see numerous new apps and products launched around that in 2018. Many of these will be companies who work as either direct partners of the operators or on affiliate models and the key is that they will be working together. This is how affiliation will grow into the next decade with the shady online marketing practices being replaced with transparent, legitimate partnerships, which put the customer before all else.

That is, ultimately, what has come out of all the issues of 2017, that companies, be they operators or affiliates, have to focus not on their own profits but on their customers. Millennials, and their successors (pre-teens?) are more savvy than ever before about both technology and marketing.

The gaming industry appears to have finally realised this and we may well look back on 2017 as the year in which we moved out of the dark ages of middle-aged men in sheepskin overcoats (be they physical or metaphorical) and stepped into a high definition light which has illuminated our flaws, but also shown us a way to fix them permanently.

Neil Roarty is the editor of Bettingpro.com and head of betting publishing at Catena Media. He has almost a decade of experience in the gaming industry and in addition to writing for Bettingpro.com has also featured in several other industry publications.