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Epoxy.ai interview: Bringing AI-based betting to Europe

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Epoxy.ai has already firmly established itself as North America’s most exciting AI-personalised betting providers – with major deals signed with the likes of Playtech, AWS, Kambi and Nascar, as well as multi-million dollar investment from some of the biggest funds in the industry, including SeventySix Capital.

With exciting plans to cross the Atlantic and bring the AI betting revolution to Europe, we caught up with Epoxy.ai’s Co-Founder and President Jason Angelides, to talk through the tech behind providing individual personalised betting offers for each player.

For our European readers who might not yet know about Epoxy.ai’s success stateside – can you talk us through your company and what you bring to the market?

Sure.  Thank you for your interest in our business.  Our business really is all about the end user and making the betting experience easier, more engaging, and most importantly – driving retention.  I understand that that claim is somewhat cliche, but in the case of Epoxy.ai, it’s completely true.  We do this by harnessing the power of our proprietary AI – providing technology that personalises the end-user experience and takes into account the specific preferences of each individual player to give them a unique and fully tailored betting experience based on their preferences.

I use this analogy a lot – think of us as the technology behind what powers the way Spotify helps listeners find and discover new music via automatic suggestions.  Or how Netflix, or any other leading video service, puts the content you want directly in front of you without being prompted. Of course, this personalisation really streamlines and improves the user experience with navigation, discovery and selection.

Just like with Spotify and Netflix, we provide what can broadly be termed an AI-driven personalisation platform, and it’s a true gamechanger for operators when it comes to creating a

much more personalised experience for their end users.  It is a proven method of driving engagement, retention, and customer lifetime value – and in my view, the technology that will transform betting and iGaming in the years to come.

How much of a game-changer do you see AI being for the European market? How essential is it to improving the European UX and what are the real benefits in terms of engagement and incremental revenue?

We see AI and personalisation being a game-changer globally – and Europe’s certainly no exception. Being one of the world’s most advanced markets when it comes to the end-user experience, we’ve already seen how much of a difference-maker personalisation has been for leader companies in other verticals such as Search, Advertising, Social, E-Commerce, Video, Music and Retail.

Winners in all of these industries have mastered delivery (ease of consumption) and delivering an individually tailored UX for each customer. For example, Netflix and Amazon first made it easier to consume their offerings, and then via the extensive use of data, they then honed personalisation to the point that it has become synonymous with their product.

We’ve already covered how Spotify’s hyper-personalisation AI keeps customers engaged by consistently suggesting new music that aligns with their listening preferences. The number of resources they’ve channelled into AI-driven personalisation has ensured that it has become the dominant music streaming platform with little or no competitors to take them on.  And, nearly 35% of Amazon’s sales come directly from personalisation efforts while 56% of these shoppers are more likely to be repeat buyers. We see the gaming industry as being no different.  It’s really just the next tech sector where personalisation will create meaningful revenue benefits.  Thus far, no one has emerged as the winner in iGaming, and we’re here to change that.

In terms of adoption – are you one of the first to be offering AI-based personalisation for sportsbook and casino? Do you see Europe as being slower to adopt than the US?

Yes, we are certainly one of the first, if not the only company taking a different approach to addressing the problem.  There are some legacy providers that utilise different methodologies, but we are certainly breaking new ground in the space. We actually have received over 30 claims of our Omnibus patent (which is part of our proprietary AI) – so I guess we are doing something unique!

I believe the major advantage we have here is how long we have been doing this as a business.

The last company we founded built personalised fan engagement experiences for viewers across North America.  That company, largely because of its personalisation platform, was bought for millions by Comcast and now powers some of the largest personalised sports video portals across Sky TV, NBC, and Comcast Xfinity.

In terms of the adoption of personalisation in the EU, I think the interest and pace of adoption are going to be equally as aggressive as it is in the US right now.  The EU is a mature market with established players that can meaningfully impact their businesses with AI and ML.

While the US is innovating more with personalisation, the US is still a growing market so there are many other things happening at the same time such as new market rollouts and platform migrations that can get in the way. Europe on the other hand, is an established and mature market – where tech solutions to give operators an edge over the competition are already in hot demand.

You recently launched Personalised Same Game Parlays in time for the US football season, can you see products like these being easily adapted for European betting habits – such as pre-match accumulators for soccer?

Absolutely.  It’s all about making things easier and more entertaining for the end user – regardless of the market or sport.  In the case of our Personalised Parlay generator (or accumulators, as we would call them in Europe), instead of the user having to bounce from screen to screen to create a Parlay / Accumulator, our system automatically generates the parlays for the end user based on their preferences. This helps the gaming operators as well since many of them use manual processes for putting specialised offers in front of their customers.  Now this can be customised around user preferences automatically, which is real gamechanger for engagement and retention.

Last but not least – looking at the European market, what’s your take on the current state of play here in comparison to the growth of sportsbook in the US over the last 5 years?

That’s hard to answer in just a few words but certainly, the adoption of iGaming in the US is nothing but astounding.

While not without its hiccups, iGaming will no doubt continue to expand as a form of entertainment in the US markets as more and more states begin issuing licences for online casino.

I think what is really notable about the US in comparison to the EU (and indeed the rest of the world), is how AI and personalisation are at the forefront of the US growth strategy.US operators clearly understand that they cannot compete without product differentiation and multiple ways to monetise their customers.

We can see this with the shift into entertainment. So many more brands are now taking this to the next level by providing an ecosystem that is so much more than just a place to make a bet or play a casino game.

Fanatics, for example, who really are a major online retailer of licensed sports merchandise, is now going full bore into the iGaming space, and at the forefront of its strategy is personalisation.  To put this into perspective – this is like Amazon when it was just selling books. So much more now lies ahead. In the future, just like Amazon, you can expect Fanatics to offer a lot more, whether it’s shirts, merchandise, NFTs -you name it. Of course, AI and machine learning driven personalization are going to be at the forefront of their strategy.  The same goes for the other leading companies in the US.

Of course, given we’re leading the AI adoption charge, we see this a very good for iGaming as competition, and the search for differentiated will always lead to innovation. For companies like us at Epoxy.ai – we’ll be here to provide that technology and truly power the next era of innovation.

Interviews

Changing the game for content aggregation

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Changing the game for content aggregation
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We sit down with Dee Maher, CEO of La Royale Gaming Investments, to learn more about her recent appointment as CEO and how the company is set to challenge the gaming industry’s conventions.

La Royale Gaming Investments has bold plans to become a true power player and redefine industry standards. Through acquisitions and mergers, it intends to build an “ecosystem” of online and offline companies, covering both B2B and B2C. Its first play is Quanta, a unique content aggregation platform designed to leverage a high volume with a focus on delivering unparalleled value at a fair price, aiming to introduce innovative solutions for both operators and suppliers. To learn more about La Royale and its goals for the coming 12 months, we spoke with recently appointed CEO, Dee Maher.

 

Tell us more about your journey to being appointed as CEO of La Royale Gaming Investments.

I’ve been working in the global online gambling industry for many years now in roles covering legal and compliance leadership. Over the past 15 years, I have had the privilege to work for some of the biggest organisations in the business including the likes of Genesis Global, Betclic, Vera&John and Evolution Gaming. When I was approached about joining La Royale Gaming Investments as CEO, it was an offer that I couldn’t turn down. Recognising the company’s ambition to forge a transformative path in the gaming sector, I was compelled by the vision to lead change and drive innovation. My decision to accept was driven by a profound commitment to spearhead our mission, leveraging the remarkable talents of our team to redefine industry standards and make a lasting impact.

 

What are your main responsibilities and where are you looking to progress most?

I have been tasked with supervising the expansion of our investment portfolio by recognising opportunities that are aligned with our online and offline strategies. I am also overseeing the day-to-day running of Quanta, our inaugural venture, which stands out in the crowded marketplace as a game aggregation platform like no other. In terms of where we are looking to make the most progress, we plan to curate a unique ecosystem of innovative offline and online gaming companies through strategic mergers and acquisitions which combined will make La Royale Gaming Investments a real tour-de-force in the sector and one of the top tier companies with interests across both B2B and B2C.

 

How is La Royale Gaming Investments going to disrupt the industry? Is it taking a different approach?

La Royale Gaming Investments is poised to redefine the gaming industry with a strategy rooted in bold vision and innovation. We have built out the best team to deploy these ambitious plans and achieve our strategic goals. We are well-capitalised and have lined up our first run of acquisitions, starting with Quanta. Our approach focuses on identifying USPs within each business we engage, introducing ground-breaking offerings to the market. With Quanta, that is being the first mass-market game aggregation platform, creating value for both operators and suppliers. This is an industry where many follow the same blueprint, but we know that to pull distance from our competitors, we need to do things a little differently.

I think our biggest point of difference is that we are curating an ecosystem of innovative businesses across all areas of gambling and gaming. This includes both online and offline, and both B2B and B2C. There are not many organisations in the industry that are this broad and diverse so again this is an area where we can really stand out.

 

You mentioned that Quanta is the first mass-market game aggregation platform. What does it offer operators and suppliers and how is it different to other solutions in the market?

Quanta has been developed so that it can handle the largest possible volume of games from a diverse array of providers and seamlessly integrate with a vast network of operators. Due to this volume, we can offer the best commercial deals to both parties. Our scale, in collaboration with leading studios and casinos, positions us as a frontrunner in content distribution. Furthermore, we are committed to achieving certifications across all significant regulated markets. For operators, this means they can quickly and easily add games to their lobbies and for studios, it means access to the widest distribution network and thanks to our minimum reseller fee structure, we make this access available to all providers from the established titans to the rising stars.

But just to be clear, Quanta transcends the ordinary, offering not just a cost-effective solution but a sophisticated high-performance platform. The platform is state of the art, allowing for seamless integrations for both operators and suppliers while ensuring the highest standards of resilience and performance. The concept is simple – high volume, low cost – but the advanced technology and strategic foresight required to realise this vision set us apart from conventional solutions in the market.

 

Content provision is highly competitive so what makes you confident that Quanta will be heard above the noise being made by other providers and aggregators?

Our mass market approach is unique and is already helping us to stand out and generate significant interest from both studios and operators. In the current challenging economic landscape, efficiency and cost-effectiveness are paramount for all stakeholders. But our advantageous commission structure is not the only way we are helping here. At present, operators often have many integrations with various aggregators and directly with game providers. This is inefficient and expensive. With Quanta, operators can plug into a single platform and access all the content they need for each market they target allowing them to save significant resources or to deploy these resources elsewhere.

 

On the subject of the current economic climate. Is now a good time to be building a business based around M&A?

That depends on how you are approaching your M&A activity and whether an organisation is taking on debt. Timing can be crucial here – you just have to look at the likes of 888 to see how a change in the direction of the wind can have a brutal impact on the wider organisation. That said, there are always plenty of opportunities to acquire great businesses, technologies, solutions and so on, and part of my remit as CEO is to spot these and if they align with our wider approach, make a move. I think the 12 months ahead will be incredibly exciting when it comes to M&A, with some truly transformational deals taking place – something that La Royale Gaming Investments intends to be a part of.

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Interviews

The Full Spectrum Strategy: How Betting on Both Popular and Lesser-Known Sports Pays Off

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The Full Spectrum Strategy: How Betting on Both Popular and Lesser-Known Sports Pays Off
Reading Time: 4 minutes

 

In an insightful interview with Alexander Kamenetskyi, Head of SOFTSWISS Sportsbook, we delve into the complex balance between promoting mainstream sports events and exploring niche markets in the betting world. This strategy enhances profitability and ensures a steady engagement across diverse betting markets, crucial for maintaining a dynamic and resilient business model in the competitive world of sports betting.

 

How should operators balance promoting popular sports events versus niche ones?

The effective strategy in betting is to diversify wagers across a broad range of sports events and markets. This approach helps minimise fluctuations in outcomes, enhancing both the profitability and predictability of your betting business.

Based on this, we recommend that operators promote all sports comprehensively to maintain steady activity and turnover. This ensures that players remain engaged with alternative options, even during periods lacking major events.

It’s crucial not only to focus on popular events like top football matches or major NBA tournaments but also to spotlight less mainstream sports such as water polo, badminton, and Formula 1. For instance, Australian football is notably underappreciated despite offering unique scheduling advantages that can be leveraged during off-peak times to attract bets.

 

How can you choose sports that have the best chance of attracting your audience?

To effectively capture your audience’s attention, it’s crucial to identify alternative events during periods when popular events like the Champions League are not happening. Our strategy involves actively promoting these alternatives to familiarise players with new tournaments and sports.

We have two dedicated teams: one that selects potential events and advises operators on what to highlight, while the other crafts promotional campaigns to ensure these events resonate with your audience.

The primary factors we consider when selecting events are Total Bets and the number of bets placed on a specific event or tournament. Popularity is our second criterion, which we measure by comparing the turnover to the number of participating players.

For instance, if there are no football championships over a weekend due to Euro qualifying matches, we might suggest promoting NBA evening games or volleyball tournaments to fill the gap left by high-profile football events.

However, it’s also beneficial to occasionally promote sports other than football, even when popular football matches are available. This strategy helps diversify the betting habits of the audience, which is vital for maintaining a stable and engaging product.

 

How far in advance do you need to start working on a promotional campaign?

We typically share promotional materials with operators two weeks prior to the event. This timeframe usually provides ample opportunity for operators to finalise the text and graphics. If we opt to use bonuses as the main promotional tool, we generate the rules, bonuses, and banners automatically. It’s then up to the operator to create and either self-publish the content or do so with our assistance.

 

What promotional channels would you recommend focusing on?

Operators have a variety of tools at their disposal, from email and SMS campaigns to managing their own channels on Telegram and other messaging platforms where they can share updates, offer bonuses, and more. Many even offer additional bonuses for subscribers of these communities, which proves effective in building a targeted and loyal audience interested in your project’s bonuses.

Another effective strategy involves placing promotional banners on various sections of the operator’s website, such as the homepage, event pages, and user dashboards. Additionally, collaborating with influencers like streamers can significantly boost traffic.

It’s also crucial not to overlook the power of email newsletters. When crafting content for these, it’s important to consider user behaviour and device preferences. For instance, with over 90% of our current revenue coming from mobile devices, it’s safe to assume most emails will be opened on a smartphone. Thus, optimising for mobile viewing is key. Our tests show that simple, structured, and transparent offers tend to perform best – you only have a few seconds to capture the player’s attention and persuade them to click through.

 

Do promotions without financial incentives like bonuses still work?

Let’s be clear: bonuses and promotions are fundamental to attracting players, especially those who rely on luck to multiply their capital. Seen as lucky breaks, bonuses allow participation without direct cost. Properly integrated into the marketing strategy, these incentives not only maintain player interest but significantly enhance financial performance.

For example, if an operator earns 15% from express bets, they can afford to redistribute 5% of that as bonuses, slightly reducing their margin to 10%, but potentially increasing user engagement and solving other operational issues.

Furthermore, promotions enable operators to direct betting activity efficiently. While major events naturally draw attention, incorporating bonuses for lesser-known events like the World Curling Championship can broaden a player’s interest and betting activities, introducing them to new sports and betting markets. This strategy not only diversifies the player’s experience but also stabilises the operator’s financials by spreading funds across various sports, thereby reducing the impact of financial peaks and troughs during major events.

Some operators focus primarily on significant events, leading to considerable financial volatility. For example, many faced challenges during the European Football Championship qualification matches when favourites won, negatively impacting financial outcomes. Operators that engage their audience across a spectrum of events tend to experience more stable performance.

Ultimately, using high-profile events to attract new players while promoting a diverse range of smaller events can create a more robust and diversified betting environment. This approach mitigates risks and cultivates a more engaged and knowledgeable betting community.

 

How likely is it that a person who came to a particular event will continue engaging with you afterwards? What influence can an operator have during this time?

Welcome packages with various bonuses are highly effective in this scenario. The primary goal is to familiarise new players with the range of bonuses and sports offered. Ideally, the entrance bonus program should provide about 20-30% to engage the player effectively.

Besides the welcome package, we can implement trigger-based rules during major events. For instance, a new player might come for the World Cup, and we could offer a promotion like: “Win three World Cup bets and receive a free bet for Wimbledon.”

Once engaged, they might notice a dominant player like Djokovic and place a bet on tennis, triggering another promotion. For example, we could offer a 50% bonus for making an express bet with specific odds on three tennis events. This showcases our diverse bonus system and introduces new sports gradually.

Furthermore, promoting sports tends to be easier than casinos because there are more events and thus more opportunities to engage players through channels like email newsletters, with less risk of being flagged for spam.

We advise our operators to customise bonuses for specific player demographics – like promoting Brazilian tennis players to Brazilian users or Nigerian athletes to Nigerian users. This targeted approach is significantly more effective than generic offers and resonates even with experienced casino players.

However, it’s crucial for operators to view their offerings holistically; they don’t just have a casino or sports section, but a comprehensive project where every part should function seamlessly together, including promotions and the product’s internal functionality.

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Interviews

Tom Galanis: giving a First Look at the Top of the Slots

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Tom Galanis: giving a First Look at the Top of the Slots
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Gone are the days when we would spend a Thursday evening waiting for Top of the Pops to come on our televisions so that we could see who would be performing that week. The music show may no longer be running, but First Look Games has taken inspiration from the long-running staple and added a slot spin, to create Top of the Slots.

To give us more insight, First Look Games Founder Tom Galanis walks us through the ideation process behind Top of the Slots and how this is helping to give an accurate representation of the top-performing slot titles each month.

 

You launched Top of the Slots by First Look Games a couple of weeks ago. For those that may have missed the launch, what does this involve?

Tom Galanis: Top of the Slots is a showcase for the top 10 games launched by game studios via the First Look Games platform over the previous 90 days. It’s a never-before-seen take on game popularity and one our game studio partners, and affiliate users are already loving!

 

What was the thought process behind launching Top of the Slots?

Tom Galanis: First Look Games captures unique data for our game studio partners and Top of the Slots is designed to illustrate the most successful games, benchmarked by this unique data insight, to the industry.

 

What do game providers have to do to make it into the top ten releases for the month? What metrics do you use to evaluate success?

Tom Galanis: In order to make it in to the top 10, game studios need to release titles via our platform that successfully resonate with the 850+ affiliates that utilise First Look Games, making full use of the suite of tools we offer on and outside of the platform to engage affiliate marketers in the promotion of their game. The rankings are based on the First Look Games Index for all games launched to the market in the preceding 90 days, which combines:

  1. a) Downloads – which is the aggregated total of download sessions amongst affiliates on the platform. Affiliates download assets including logos, game sheets, video files, screenshots, banners and game artwork;
  2. b) Hits – this is the aggregated total number of game reviews for the game, created by affiliates using the First Look Games platform;
  3. c) Reach – this is the aggregated unique visitor count of the websites containing the Hits;
  4. d) Demo Game Sessions – this is the number of free to play demo game sessions that have taken place from iFrames placed on Hits.
  5. e) Sentiment Score – this is the average sentiment score from Hits

The games that rank well in this index are obviously commercially successful in their own right but are also being reviewed by affiliates because of the engagement of the game studio with the First Look Games platform, and consequently, with affiliates.

Our most active game studios are not just releasing great games with frequency but are also ensuring their game and studio news is distributed across the First Look Games platform and social channels and that a full and diverse range of marketing assets and game information is being provided through the platform prior to a game’s release. This best equips affiliates to understand the features of a game so that they can successfully convey this to their player audience, which, collectively amongst FLG affiliates, is very significant, totalling more than 20 million slots players worldwide.

 

Tell us a bit more about the First Look Games sentiment analysis – how is this helping to remove the biases from the ranking process? What data do you use to inform this analysis?

Tom Galanis: Once our technology has identified a new game review, First Look Games uses Natural Language Processing to ‘read’ the review and assess what the affiliate makes of the game. We share a short snapshot of this with the game studio and assign a score to the review based on how positive the affiliate has been in their review of the game. The more positive the language used in the review, the higher the score.

Sentiment scores are then aggregated across all reviews of the game to give a score for the game, and across all games to give the studio a score to benchmark against peers. Using AI, we are able to objectify the subjective to provide true 360 analysis on how affiliates are promoting a game.

 

What can we expect to see from First Look Games for the remainder of this year?

Tom Galanis: We have a perpetual roadmap of both new studio launches and technical advancements of the platform for affiliates and game studios to look forward to!

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