In recent years, we have been privileged to witness a remarkable transformation in both the casino scene and the world of sports betting. This evolution is redefining the landscape, offering new opportunities for affiliates to become outstanding operators. I believe that here we can explore the possibilities that arise with this journey, embracing a vision oriented towards success and learning.
As you move from being an affiliate to being an operator, an essential wisdom is to embrace the terms inherent in this dynamic industry. A key example is the concept of GGR (Gross Gaming Revenue). As an operator, revenue directly reflects the overall performance of the platform and betting activities.
In the old affiliate role, revenue was through revenue share (a share of GGR) or CPA (cost per acquisition). However, the form of revenue from its former performance did not take into account commitments to the platform, PSP (payment service providers) and game studios.
In your journey towards the role of operator, it is important to recognize the new dimension that you assume in relation to the financial commitments of the operation, like the examples mentioned in the previous paragraph. This understanding directs your thinking towards making informed and prudent decisions, ensuring the solidity of your enterprise.
Upon entering this new role, risk management shines as a determining factor. Be cautious and creative when exploring strategies to mitigate financial risk. As you become an operator, risk management expands, encompassing all aspects of the platform - from setting betting limits to incorporating responsible gaming features. Skill and diligence in identifying and addressing risks are critical to sustained success.
A very practical example of this whole remodeling of perspective is the bonus offered by a bookmaker. As an affiliate, bonuses are one of the main offers that will be prioritized in order to expand the reach of your promotion and, therefore, it is essential that this benefit is made available.
As an operator, another perspective arises, which is the financial security of the bookmaker, which should be a priority precisely in the much talked about risk management. The excessive offer of bonuses, despite attracting bettors, can have a harmful impact on the venture, especially in its initial trajectory. Therefore, it is necessary to understand that former allies need to be seen with different eyes.
In their quest for excellence, terms like LTV (Lifetime Value), CAC (Customer Acquisition Cost) and FTD (First Time Deposit) stand out. Understanding lifetime customer value and the cost of acquiring new customers are cornerstones to ensuring your long-term profitability. The customer's first deposit is the starting point, and its strategic management will contribute to a solid and rewarding customer-operator relationship. Here, the studies are even more relevant to this period of change.
Finally, during this process, you cannot underestimate the crucial role of a solid platform in this journey. A well-crafted and technologically robust platform is the backbone of a successful trader. Not only does it provide an immersive betting experience, it also facilitates risk management, data analysis and trend spotting. Additionally, a reliable platform instills confidence in players, driving customer retention and acquisition.
Remember, moving from affiliate to operator is a journey that takes determination and a focused mindset. Business management is a vital skill in this journey, which involves financial decision-making, team management, process improvement, continuous adaptation to the pace of the market and a constant search for innovation.
Lenildo Nogueira
CEO - Weebet
