A lot is said about affiliate marketing for sports betting sites. But, do you know how to enjoy the benefits of this strategy widely used by the gaming industry?
Affiliate marketing came about with the Internet. Today, the activity accounts for 15% of total digital advertising revenue, according to SoftwareFindr. The National Retail Federation also says that affiliate marketing is among the top customer acquisition methods for 38% of marketers in our country.
Affiliate marketing numbers from abroad are also impressive. Affiliate programs generate 16% of all e-commerce sales in the US and Canada, according to Business Insider.
Affiliate marketing considers four aspects: the affiliate, the company or brand, the network, and the customer. The process requires affiliates to promote the brand through the most diverse means. That way, they earn a commission for every sale they make or every customer they bring in. The practice benefits both affiliates and brands.
Usually, links or promotional codes identify who the partner affiliate is, and can calculate the amount corresponding to the commissions that will be paid by the online betting company.
With the growth of the betting market in Brazil, affiliate marketing has become increasingly popular.
What methods are used by affiliates to promote betting sites?
There are several ways to work affiliate marketing in practice:
Content on websites
Several professional or influential punters have successful blogs and websites as they share tips and strategies for other punters to improve their skills.
Typically, these websites promote sports betting business using banners, posting news, information about offers, products, etc.
Videos on youtube
Similar to content on websites, YouTubers also help to generate quality traffic by promoting gaming related products in video format and creating content on gaming topics, talking about websites, promotions and others.
Ratings and Reviews
Bloggers and influencers can also write reviews about betting sites, generating information about them and providing links to the sites, thus generating more traffic to the house.
Social media
Social networks are hubs for people looking for ways to have fun. Therefore, they are excellent means for affiliates who work with betting sites. It is possible to target content to very specific groups, better targeting the target audience through filters such as hashtags, groups, profiles, etc. Social networks generate awareness and traffic for brands.
E-mail marketing
When an affiliate signs up for a brand's sports betting affiliate program, they are given some links to promote. This allows companies to track the leads that affiliate professionals bring in. Thus, links that refer to the website, CTAs, promotions, service offers, etc., are included in the marketing email.
SEO
Competition is increasingly fierce to appear among the top results of Google searches. Therefore, betting companies optimize their pages based on SEO principles to ensure they are found by their target audience.
How does affiliate compensation work?
Usually companies establish a commission structure (Revenue Share or Revenue Share) for new affiliates who register directly on the program's website.
There are some affiliate pay formats, which are most commonly found in the market. They are:
CPC (Cost per Click)
In this model, the visitor just needs to click on the affiliate link. However, CPC commissions are usually much lower. It is used in order to generate traffic on partner sites.
In this model, it is very important to correctly assess whether the results obtained through the affiliate correspond to reality.
There are a few ways to check the reliability of clicks sent by the affiliate:
- Daily controlling the conversion of clicks sent, contrasting this data with the registrations, FTD, deposits, GGR, NGR and commissions generated.
- Controlling weekly the number of depositing players that the affiliate brought with its CPC campaign and at the end of it, being able to evaluate the LTV of each new player.
- CPM-based agreements. As with CPC, an affiliate can “inflate” the number of impressions to speed up a pre-deal.
CPA (Cost per Acquisition)
The affiliate receives the commission only if he makes a sale. He is in charge of publicizing the sales link, but only receives if the visitor completes the purchase.
The ideal scenario is for the company to know the affiliate in advance. You can test it for one month and measure in detail the results obtained to assess whether it is in the interest of the site to proceed with a CPA agreement or not.
Fixed rate based contracts
When an affiliate has a sufficiently developed website, their revenue model is based solely on selling advertising space (ad spots), articles (reviews) and other types of advertising media.
Contracts based on hybrid models: Revenue Share + CPA
In these cases, what the affiliate requests is a smaller percentage of the revenue share (Revenue Share) and a small CPA for each new FTD. The CPA should always be low enough (between $10 and $50).
In conclusion, the least risky and most profitable for the company is to have affiliates that work with a revenue share adapted to their performance in terms of FTD, always taking into account that the company's absolute profit is 78% of the total NGR of the player.
For the marketing of your game company to take off, you need to have a company specialized in the Brazilian market. Find out what Control+F5 Gaming does for your betting site to operate successfully and safely in the Brazilian market.
Source: Control+F5
