Pierre Lindh, from iGaming NEXT, invited Dima Reiderman, BtoBet COO, to its latest podcast to to talk about emerging markets analysis. One of them, of course, was Brazil. “If we put it all in proportion, I think there's a widepread consensus that the number one market to look in Latin America is Brazil,” Lindh said.
When mentioning what could be expected as soon as the market is regulated, he commented: “If we have any takeouts, from some lessons learnt from the Colombian market, is that we see that there's very significant growth we can expect following the introduction of the regulatory framework. We've all seen the double digit growh in the Colombian market over the first few years after the framework was introduced.”
But he also warned about the bad consequences that could generate not regulating in the correct way. “It is worth mentioning that in Colombia they realised that the regulatory process is kind of uselees unless white market has the same content offering as the offshore black market,” Lindh mentioned.
“And I hope it will take the same direction in Brazil, because it's quite important. Otherwise, once regulation kicks in, you effectively see grey turnng into black, if you know what I mean. You don't really want to push players that way, and we even see it in Europe today. So, I am sure it will happen in Latin america if they do it wrong,” he completed.
Another important issue for Lindh was that the country to decide on a broad regulation of the entire sector. “The expected regulation of the market in Brazil, without regulation of all its verticals, really may have the opposite efect. This is something that the decision markers have to consider,” he warned.
But when it comes to the size and potential of the sector in the country, he has no doubts: “When you look to the market itself, it depends on which analysis do you read, but even the pesimistic ones estimates it in excees of US$ 2 billion, and some even triple it. So, we know it is big, and it may also be huge.”
“For sure it is a growing market with a long standing tradition for pasion on sports, the pride of the national footbal team, you have the local sports like beach volley or beach football. There is really passion for sports in the country,” Lindh explained.
Regarding the future, he envisions that the development of the market will also be related to the economic growth of the region and the country itself, something from which the gaming sector will invariably benefit. “Like happened in Colombia, after regulation the market will actuall grow, and you should add to that the expected economic growth of the region as a whole and Brazil as a country, with an increase of indivdual spent by the consumers. And when that happens, one of the first sectors to benefit from that situation is the entertainment industry, and we are lucky to work in one of them!” Lindh concluded.
Source: GMB
