As the SBC Summit and Affiliate Leaders Summit in Lisbon draw near, we had the pleasure of sitting down with Will Armitage, Co-Founder of BestOdds.
Drawing from a passion that dates back to his youth, Armitage offers a fresh and unique viewpoint. He highlights the essential need for adaptability and diversification in a landscape dominated by major players, discusses the complexities of state licensing in the US, the pivotal role of smaller affiliates, and the valuable exchanges of knowledge between American and European markets.
As BestOdds continues to scale and evolve, Armitage remains focused on exploring new opportunities. His candid observations and forward-looking approach provide a compelling glimpse into the future of the affiliate industry, making this interview a must-read ahead of the upcoming events in Lisbon.
SBC: BestOdds is a fantastic domain name that likely gives you an edge. How did you secure it, and has it helped with your SEO?
Will Armitage: It all started nearly four years ago when my Co-founder identified the opportunity.
As someone who has been betting since the early 1990s, I’m all too familiar with the need for punters to seek out value whenever they place a bet. I was probably seven or eight years old when I first saw my father stalking around any given betting ring in the south of England, trying to find 17/2 when everyone was 8/1. “Son, you always have to shop around for the best odds! Anyone who doesn’t is daft!”
That mantra stuck with me, and when we realised this domain was for sale, we leapt at the chance. Indeed, with those two words being so entrenched in the betting vernacular across the English-speaking world, the SEO benefits are clear.
SBC: With your focus on the US market and licenses in several states, how do you determine which state to enter next? Also, is geographic diversification outside the US something on your radar?
WA: That’s an easy one, really. Much like many others in our field, there can be momentous opportunities for affiliates if they manage a new state launch well.
In the early part of the 2020s, there was a regular cadence of new states coming online when it came to regulated sports betting and igaming. The playbook was well worn and well read! The larger, listed affiliates and the mid-tier market would all begin their preparatory work for a new state launch many months, even years before T-0. Even start-up or small affiliates would try to get in on the game, although they were up against very stiff opposition.
As we close in towards the mid-point of this decade, the steady stream of states has truly dried up, whilst the Holy Trinity of California, Texas and Florida are to all extent and purposes very much on hold regarding regulation.
As one can read in multiple shareholder updates, Wall Street is demanding greater revenue diversification from those top-tier listed players.
That segways nicely onto your second question. Affiliates of all sizes, and indeed most businesses in general, should never rest on their laurels and instead strive to solidify existing revenues, but also search for new streams. We are no different.
Given the paucity of new state launches and the increasingly duopolistic nature of the US online sports betting and icasino industry, it should come as no surprise that we are also looking at other geographies. Staying in the Americas, the likes of Brazil, Chile, Colombia and Mexico are of course on our radar; whilst some parts of Europe and Asia merit more research to ascertain where might become a focus for us in 2025 and beyond.
A look at the geographic breakdown of the first rung of affiliates shows that all the stock market quoted players are executing similar global strategies in this regard.
SBC: The US market is known for its dominance by big brands, both on the operator side and in affiliate marketing. Giants tend to dominate. How do you position yourself to compete?
WA: As I mentioned above, “big” is very much a theme of the US market! The player values, the dominance of FanDuel and DraftKings, as well as the revenues being generated by the likes of Better Collective are all massive in scale compared to practically any other market in the world.
One could draw parallels between your average American being either a Ford or a GMC type of guy or gall. In terms of sports betting and igaming, the data shows that many users are happy to be more loyal to their original brand of choice. With millions of “new” sports bettors actually having been playing DFS for years prior to its legalisation in a given state, many are less price sensitive than one would expect for those coming from a country that gave the world price comparison sites!
This means that, for many affiliates, the actual pool of players they can monetise across several sportsbooks is smaller than one might think. Whereas in the UK, you’d need a lot of hands to count how many sportsbooks are operating with affiliates, in the US, Captain Hook literally suffices!
Against this backdrop, we compete by consistently supplying our audience with what they seek and expect from a brand like ours.
SBC: BestOdds has partnered with some of the biggest US operators like FanDuel, Caesars, DraftKings, and BetMGM. As a company that was only recently classified as a startup, how would you respond to those who believe that major brands don’t need smaller affiliates?
WA: I’ve mentioned the need for revenue diversification for any business before.
Some of the big affiliates have naturally taken that to heart, through both geographic and vertical expansion. It’s hard to be a one-trick pony in this space, which is why the behemoths in our industry are adept at generating leads through all sorts of angles — whether organic, PPC, in-person, subscriptions etc.
However, even they can’t cover all of the bases across every traffic source, despite giving it a damn good try! That is exactly why major brands should work with some of the smaller players. They can excel at extracting customers from niche pools of target bettors that others may have overlooked.
Remember, all operators love to have their whale customers, and they sometimes lurk where the big sharks aren’t hunting!
SBC: As sweepstake casinos continue to be a hot topic, what steps do you take to promote responsible play, considering they appeal to a broader demographic that might not typically engage in gambling?
WA: As an industry, I believe affiliates have a duty to be independent educators in any vertical in which we operate..For sweepstake casinos, it is no different.
With the trepidation of a new Labour government being in power in the UK, it’s apt to recall Tony Blair’s favourite catchphrase: “Education! Education! Education!”
This is what affiliates should be mindful of. After all, a well-looked-after customer is likely to have a higher lifetime value than those who are not, and those working with revenue-share deals have aligned interests.
SBC: With the SBC Summit promoting global collaboration, what key lessons do you think US affiliates can learn from their European peers, and vice versa, particularly given their differences (such as state-specific licensing in the US versus the “operator responsibility” angle in Europe)?
WA: Don’t get me started on the vagaries of state licencing! We are currently going through the rigmarole of a renewal application as we approach our three-year anniversary of being licenced in a mid-sized Eastern state.
The amount of paperwork, toing and froing, as well as the complexity of being a foreign corporation, create a wholly unnecessary amount of work for affiliates of all sizes! Should there be any European affiliates looking to dip their toe into the US market for the first time, I highly recommend finding yourself a good local attorney through which you can outsource the state licensing application processes!
So often in this world, it is the US that leads the way — whether in tech, trends, litigation or Starbucks. Yet, in the gambling sphere, the Americans are playing second fiddle to the Europeans in terms of product longevity.
I believe US affiliates are starting to take notice of the increased burden on operators on this side of the pond and are anticipating similar requirements creeping into the US landscape later in the 2020s. Ultimately, one should always keep an ear to the ground to learn more about markets where you aren’t; and what better place to do so than at this SBC Summit!
SBC: As a Co-Founder, what has been the most rewarding aspect of growing BestOdds since its launch? What are your long-term goals? How do you see the platform evolving in the next 2-3 years and how can the Affiliate Leaders’ Summit and the wider SBC Summit in Lisbon help you achieve that?
WA:I have to say the most satisfying aspect is seeing how our team has scaled and evolved.
We are only as good as the people we work with, and we’ve built a great, cohesive team. Aside from that, we’ve made some good friends and allies within the industry; in fact, a couple of our best relationships genuinely stem from chance encounters in Barcelona a year ago. SBC should set up an alternative business unit specifically for dating and matchmaking!
Who knows what will come from our meetings this September in Lisbon and how these will influence our long-term goals?! On that note, over the coming years, we shall continue to focus on our existing revenue streams, whilst remaining inquisitive about other opportunities, both geographically and vertically.
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Join the SBC Summit at the Feira Internacional de Lisboa from September 24-26, where 25,000 sports betting and iGaming industry professionals will converge for three days of networking and educational sessions led by over 450 senior decision-makers.
Affiliates can apply for a free pass.
Operators can also apply for a complimentary ticket.
Source: SBC NEWS