“Players Brought by Affiliates Are Much More Loyal, Spend on Average More, and Spend More Time on a Gambling Resource,” Head of PartnerMatrix Levon Nikoghosyan
What iGaming directions are the most promising? Is it profitable for operators to launch affiliate programs? What trends are waiting for the gambling market in 2020? Head of PartnerMatrix Levon Nikoghosyan answered these and other questions in the interview for Minsk iGaming Affiliate Conference.
Levon holds the position of CEO at PartnerMatrix, the Armenian subsidiary of one of the global leaders in gambling software development – EveryMatrix. An experienced specialist in gambling and affiliate marketing.
Interviewer: Minsk iGaming Affiliate Conference (MiAC)
Respondent: Levon Nikoghosyan (L.N.
MiAC: Please, tell us about PartnerMatrix. What are the peculiarities and advantages of the platform?
L.N.: While many successful programs focus on one thing, PartnerMatrix initially decided to provide the whole range of affiliate services on one platform. It seemed to be an overwhelming task from the start. However, over five years we have managed to achieve the situation when our customers launch their affiliate marketing based solely on our system.
Our solutions and tools are not just to tick the box and say that we have everything. Let’s take, for example, MoneyMatrix – the integrated payment system, one of the most serious and reliable in the industry, which provides a possibility to pay in a cryptocurrency apart from ordinary payments.
Multi-functionality, the whole range of tools, instant analytics, and marketing tools – that is what gives us an advantage over competitors. However, the most pleasant thing is when serious market players suddenly decide to switch to PartnerMatrix. This is logical. We made a long way to achieve this level of recognition and now people talk about us and, more importantly, – they do it in a positive way.
Besides, we periodically host seminars, train our customers, discuss the peculiarities of the market with them, advise to work with trusted affiliates, etc. These details form a successful affiliate program.
MiAC: What directions are the most promising ones to launch an affiliate program in the gambling niche?
L.N.: To be honest, all directions are promising. Let’s take poker, for example. There are serious affiliate companies respected by players. Yes, this niche is not as developed as the casino niche, but you will also see battles between affiliates and serious competition here. Our role is to provide seamless operation, as well as automated and transparent statistics.
It is not even about the potential but the peculiarities of this niche. Affiliate programs should concentrate on one or several directions that they are capable to manage. Some of our customers-affiliates (we have around 60,000 of them) are trying to cover as many directions as possible. It does not always work. As for operators, and we have over 100 of them, all of them have significantly increased sales numbers already in several months after the launch of the affiliate program.
MiAC: Is it beneficial for the companies working in the iGaming field to launch their own affiliate programs today?
L.N.: If it was unprofitable, the question arises as to why the whole iGaming field has started talking about and launching affiliate programs so frantically in recent years. Look, iGaming companies on average earn $160 billion per year only thanks to affiliate programs. This figure is an answer to your question.
However, there is the other side of the coin. It is marketing. You cannot launch an affiliate program and wait for millions. Operators need to promote their platform, find required affiliates, provide interesting games to customers, and attend conferences. More importantly, they need to provide their affiliates with a reliable affiliate platform. What I mean here is PartnerMatrix!
MiAC: Does the legislative regulation influence the promotion of gambling platforms using affiliate marketing?
L.N.: An affiliate program is no different from an ordinary program of the operator. Not a single legislation system has indulgences for affiliate programs. If let’s say the UK forbids casino advertisements featuring young beautiful people in order not to lead the young people up the garden path, why should there be an exclusion for affiliates?
Yes, any affiliate program has to understand clearly, what market it services, what customers it targets. Otherwise, it is easy to be brought to trial, get millions of a fine and a ban to operate.
Again, continuing the previously mentioned, you cannot simply launch the program. I am not saying that it is difficult, that you have to go through hell and high water, but you should definitely know the laws of this market.
MiAC: What should an advertiser know at the start of launching his own affiliate program?
L.N.: The advertiser has to know that it is a field-specific industry. I find it funny that many people spend huge sums on the promotion of their resources at places where nobody knows nothing about affiliate programs and people hear about iGaming for the first time ever. Today an efficient way of promotion is field-specific advertising at specialized conferences. I mean such events as London Affiliate Conference and Minsk iGaming Affiliate Conference, and many other similar events throughout Europe and the world. Choose your market and you are ready to go.
Besides, to search for affiliates and customers, one should consider such social media as LinkedIn. AskGamblers has become a kind of Wikipedia where players can find information about platforms, and affiliates can find operators and vice versa. In other words, investments are one thing, and a reasonable distribution of the advertising budget is another thing.
MiAC: According to your forecasts, what trends will be common for the iGaming field in 2020?
L.N.: Everything leads to the situation when operators, affiliate programs, and players start giving preference to direct communication. Without ‘candy wrapping’. We offer the highest payouts to affiliates! Really? Then why your competitors offer more? We have the widest functionality! Really? Then why people write the contrary on forums?
The modern market has achieved the level of transparency when it is better to run honest marketing and take your niche instead of convincing that you are cool and disappoint customers and players at the end. In 2020, I expect an even bigger boom of affiliate programs, as there is no escaping the fact that players brought by affiliates are much more loyal, spend on average more and spend more time on a gambling resource. The reason is that they initially knew what they needed and affiliate programs just helped them find an appropriate platform.
On March 5, Levon will play the role of a moderator of the panel discussion “Launch of iGaming affiliate programs from scratch” at MiAC, where experts will discuss the specifics of launching affiliate programs in Belarus and the world.