The difference between a company that simply operates in a market and one that stands out as a market leader—driving sustainable growth and maintaining strong brand awareness—lies in the execution of a robust, localized business strategy.
When we say “localized business strategy,” we aren’t simply talking about having a basic understanding of the language.
We are referring to the fundamental understanding of the region in which you operate.
Choosing marketing platforms that connect with the local audience, assessing the effectiveness of influencers as promotional channels, and making sure your platform is ready to support regional payment methods are essential tasks.
As evident from the small list above, there are numerous localization variables to consider.
Thankfully, when it comes to all things betting and gaming in Brazil, SBC Summit Rio has you covered.
As the first industry event following Brazil’s regulation, the summit will be the prime meeting point for anyone looking to enter or expand in this very promising market.
The event’s conference agenda will play a vital role in delivering this educational angle.
With 250 speakers across seven stages, SBC Summit Rio will cover every industry vertical—from sports betting and iGaming to player protection and compliance. Plus, there will be two dedicated summits focusing on affiliation (Affiliate Leaders Summit) and payments, compliance, and fintech (Payment Expert Summit)!
On the “localization angle” front, the agenda features numerous panels that delve into Brazil’s unique regional preferences. This blog post will spotlight these panels while addressing common challenges faced by brands trying to localize their market strategy.
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Compliance: Understanding The Regulatory Complexities of Brazil
Understanding the nuances of a market’s regulatory framework can be challenging at the best of times, especially when the market is newly established.
However, having comprehensive knowledge of the dos and don’ts can save you millions in penalties, shield you from damaging publicity, and spare you the embarrassment of becoming a cautionary tale in the industry.
For brands seeking to enter Brazil, there’s the added complexity of a regulatory framework that is both new and constantly evolving. On one hand, this means the framework is fluid and subject to change, causing potential risks for non-vigilant brands. On the other hand, it ensures that the compliance and regulatory structures are robust, offering reassurance that all (licensed) brands operate within a secure environment.
In September 2024, the Brazilian government announced that any brand seeking to enter the market would have to apply for a license by October 1st. Successful applicants are then required to pay a R$30 million fee to continue the licensing process. Brands that stayed on top of the evolving regulations earned a coveted spot on Brazil’s list of approved operators. Conversely, those who didn’t meet the requirements were relegated to the “graveyard” of over 5,000 blocked domains.
The takeaway is clear: understanding and adapting your business strategy to the regulatory requirements of any market is the foundation of success.
Compliance: The Risks of Ignoring Localization
- Overlooking regulatory requirements may put your brand at risk of non-compliance, potentially leading to operational restrictions.
- Failure to maintain relevant licenses or prioritize player protection could result in significant financial penalties.
- Non-compliance could also impact your brand’s reputation, leading to prolonged negative publicity.
Compliance: Notable Panels
- The panel ‘Betting 101: Regulation and Compliance – Ask the Experts!’ will help you understand what’s permissible, what’s off-limits, and how to tailor your strategy for success. From licensing processes to the implications of unauthorized activities, this session will equip you with the knowledge to operate confidently in Brazil.
- The panel ‘Knowledge Transfer: Geolocation Strategies for a New Era’ will explore how geolocation technology can support taxation processes, safeguard market integrity, enhance IT security, and what operators need to do to stay compliant.
Compliance: Speakers
- Paula Braytne, Chief Compliance Officer, Galera.bet
- Jenny Lu, Head of Growth, Pixiu Gaming
- Tiago Gomes, Partner, Souto Correa
- Leandro Pamplona, Sócio Fundador, Bonetti, Krugen & Pamplona Advogados
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Strategic Adaptation: Tailoring your Business Strategy for Success
Entering a new market requires more than just understanding its unique challenges and nuances—it demands adaptability and tailored strategies.
This principle became evident in the United States after the 2018 repeal of the Professional and Amateur Sports Protection Act (PASPA), which unlocked one of the largest potential sports betting markets globally. While the opportunity was immense, with online sports betting revenue projected to reach US$16.52bn by the end of 2024, the path to success was far from straightforward.
For many international operators, the U.S. market was an enticing chance to replicate overseas success. However, the dominance of homegrown fantasy sports giants DraftKings and FanDuel—holding a staggering 70% market share—exposed a critical challenge: a deep understanding of the local audience and strong brand loyalty.
Operators that failed to adapt their offerings or effectively localize their strategies struggled to compete, leading to significant withdrawals from the market. In 2024 alone, key players like exited several states, underscoring the difficulty of connecting with U.S. audiences.
Strategic Adaptation: The Risks of Ignoring Localization
- Lacking a strong understanding of the market may make it challenging for a brand to connect with regional players, potentially leading to a decline in market share.
- Without a solid player base and established brand awareness, a company might experience financial challenges, which could eventually lead to exiting the market.
- Withdrawing from a market can have broader implications, such as operational adjustments and a possible impact on brand perception.
Strategic Adaptation: Notable Panels
- The panel, titled ‘Brazil Leaders: Innovation and Strategic Adaptation,’ offers a unique opportunity to hear from leading C-level executives in the Brazilian market. It will provide valuable insights on effectively managing and adapting strategies for market entry, as well as implementing innovative technologies that resonate with Brazilian players.
- The panel, ‘Room for One More? Success in a Post-Gold Rush Market,’ will explore how second movers can adapt their strategies with bold, innovative approaches to capture the attention of niche audiences and casual players, paving the way for success in the competitive Brazilian market.
Strategic Adaptation: Speakers
- Icaro Quinteiro, COO & CMO, Esportes Da Sorte
- Alex Fonseca, CEO, Superbet
- Marcos Oliveira, Chief Operating Officer, Clever Advertising
- Ernie Ropas III, Sr. Director, Betting Hero
- Marco Pequeno, Country Manager – Brazil, Amusnet
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Enhancing Brand Image and Building Regional Partnerships for Market Impact
Savvy operators understand that brand perception is a critical factor in achieving a strong market entry.
In recent years, recruiting high-profile celebrities and sports stars as brand ambassadors has proven highly effective. Examples include Cristiano Ronaldo partnering with PokerStars, Drake collaborating with Stake.com, and actor Jamie Foxx becoming the face of BetMGM.
Additionally, partnering with regional affiliates has proven extremely successful as they hold valuable experience in the Brazilian market that the operator can leverage to their benefit.
Beyond direct marketing efforts, brands can elevate their image by innovating traditional gaming verticals like horse racing, lottery, slots, and bingo. By modernizing these time-honored formats, brands can breathe new life into these offerings and position themselves as forward-thinking leaders in the industry.
Aligning your market entry strategy with regional affiliates, modernizing gaming verticals, and leveraging local celebrities can significantly boost your brand’s image and lay a solid foundation for success in the Brazilian market.
Operators: The Risks of Ignoring Localization
- If you are unable to connect with regional audiences through your campaigns, you may run the risk of limiting audience engagement.
- A marketing campaign that isn’t effectively optimized could lead to missed opportunities and financial challenges, potentially impacting a brand’s presence in the market.
- Brands that do not leverage innovation and technology to enhance traditional verticals risk overlooking significant market opportunities.
Operators: Notable Panels
- Operators seeking to leverage the regional expertise of Brazilian affiliates should attend the panel titled ‘Operators + Affiliates: Collaborations that Fuel Success.’ The panel will shed light on how mutually beneficial partnerships can elevate brand awareness for operators, help navigate regulatory challenges, and aid in tailoring strategies that resonate with Brazilian audiences.
- The panel titled, ‘New Market, Old Tricks: How Affiliates Still Have the Winning Formula,’ will feature leading Brazilian affiliates sharing valuable insights on how operators can leverage affiliate networks to unlock market knowledge, navigate cultural nuances, and build credibility for a successful market launch.
- Learn how to capitalize on the Brazilian market’s love of streamers, celebrities, and social media figures with the panel ‘Glitz, Glam, and Game Plans: Picking the Right Face for Your Brand’. Here you will gain insights into selecting the right personality for your brand, the strategic considerations in selecting an ambassador, and their impact on consumer engagement and brand integrity.
- Discover how you can tailor your offerings to innovate traditional verticals through the ‘Reinventing Traditional Verticals: Horse Racing, Lottery, Slots, and Bingo’ panel. Examine the new strategies operators must embrace to meet evolving player demands and the technological innovations that can modernize classic games whilst balancing cultural sensitivity.
Operators: Speakers
- Jai Maw, President & Co-founder, Betting Hero
- Marcos Oliveira, Chief Operating Officer, Clever Advertising
- Santiago Indart, Head of Affiliates & Partnerships, BetMGM
- Bruno Latorraca, Affiliates Manager Brazil, Betsson Group
- Jenny Gonzalez, Co-Founder and Chief Executive Officer, Rocahead
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Affiliates: Understanding Regional Preferences for Marketing Success
Any marketer will tell you that a successful campaign relies on a deep understanding of your target audience’s behavior and preferences.
Recent history has shown multiple examples of marketing missteps, from American brands introducing fantasy drafts to a UK market already devoted to Premier League Fantasy Football, to a notable poker brand using Western imagery to promote its platform in the culturally distinct Indian market.
While the sentiment “if it works, don’t fix it” might apply elsewhere, it falls short in the realm of effective marketing campaigns. The examples above illustrate a crucial point: affiliate brands must cultivate a profound understanding of a market’s audience to succeed.
Leveraging preferred regional marketing channels like WhatsApp, incorporating cultural touchpoints such as popular regional sports, and tailoring SEO to align with the language and tone that resonate with the audience are powerful strategies for creating impactful campaigns that drive success for both affiliate brands and operators.
Affiliates: The Risks of Ignoring Localization
- Without tailoring campaigns to cultural preferences, affiliates run the risk of ineffective marketing campaigns.
- An inadequate understanding of regulatory frameworks by affiliates can result in distrust from operators, who bear the responsibility in case of any compliance issues
- This can prompt operators to reconsider the commission structure, potentially limiting the affiliate’s earnings
Affiliates: Notable Panels
- Providing an outlook on Brazil’s preferred marketing channels is the panel titled, ‘Your Traffic’s Journey – Beyond Traditional Models’. Featuring leading marketing experts, the panel will provide insights into how traffic from these platforms is tracked, and how to monetize it.
- The panel titled ‘Master Localized Marketing and CRM for a Winning Entry’ will examine the diverse and evolving preferences of Brazilian players. The panel will showcase how to craft effective, targeted campaigns that leverage cultural nuances and emerging trends to attract and convert Brazilian players.
- The panel titled ‘Your Winning Guide: SEO After Regulation’ will provide affiliates with the ultimate guide to tailored marketing campaigns. Discover the optimal ways of performing keyword research, how to craft compelling content that reflects region-specific nuances, and tips to heighten player retention rates.
Affiliates: Speakers
- João Alves, Marketing Director, Nossabet
- Thamillin Valery Klen, CEO, Maior Apostas
- Tarcio Santos, Gerente de Marketing, Adsterra Brasil
- Marcos Santos, Co-Founder, e-Traffic
- Yuri Campos, Head of Growth and Media, Samba Digital
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Payments: Adapting Payment Solutions for Seamless Transactions
Pix, a real-time payment system developed by the Central Bank of Brazil, has revolutionized the way Brazilians transact. With 151.6 million users—representing 70% of the population—and reportedly favored by 81% of Brazilian players for online betting, Pix has become the dominant payment method in the market. Its speed, low cost, and security make it indispensable for businesses, including gambling operators, seeking to connect with local consumers.
The importance of tailoring payment strategies became even more apparent following the introduction of Normative Ordinance No. 61 in April 2024. This regulation, issued just before the launch of Brazil’s regulated gambling market, prohibits the use of payment methods such as credit cards, cryptocurrencies, cash, boletos, and cheques for gambling transactions. Instead, all gambling-related payments must be processed through electronic transfers authorized by the Central Bank of Brazil.
As a result, operators were forced to adapt rapidly. For crypto-focused brands, this required either a complete strategic overhaul or withdrawing from the market entirely.
For brands preparing to enter the Brazilian market, customizing and optimizing payment solutions is more than just an operational requirement—it’s a strategic imperative.
Payments: Notable Panels
- The panel titled ‘Payment Landscape: Key Provisions and Opportunities’ will provide valuable strategies for new market entrants to navigate Brazil’s evolving payment regulatory framework. The discussion will address the challenges posed by the new payment regulations while highlighting opportunities for operators, payment providers, and fintech firms to innovate and tailor their services to align with Brazil’s requirements.
- With crypto betting now prohibited in Brazil, the panel ‘No Crypto Betting? The Ban You Didn’t See Coming’ will examine the impact of this unforeseen regulation. The panel will explore how to navigate the ban on crypto betting, as well as explore alternative pathways for innovation and growth in the Brazilian space.
Payments: Speakers
- Paulo Gerber, CEO, Gamersbank
- Wesley Cardia, Former President, ANJL
- Luiz Moraes, CFO, SevenX Gaming
- Leonardo Baptista, CEO, Pay4Fun
- Ludiara Sousa, Head of Payments, Blaze
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Final Thoughts
To thrive in the Brazilian market, brands must remain adaptable and ready to refine their business strategies to fit local demands.
As one of the largest and most dynamic markets globally, Brazil is brimming with potential. However, with unique payment regulations, marketing preferences, and cultural nuances, brands face the challenge of adhering to government requirements, connecting directly with millions of players, and maintaining a distinct, recognizable brand identity.
The educational program at the upcoming SBC Summit Rio will equip delegates with actionable strategies to localize their approach across key verticals, from payment solutions to tailored marketing campaigns. These insights will help ensure a seamless and successful entry into Brazil’s regulated market.