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Shedding Light on Gambling Industry: Corey Plummer on the Threat of Illegal Operators

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Shedding Light on Gambling Industry: Corey Plummer on the Threat of Illegal Operators
Reading Time: 5 minutes

 

CEO of OlyBet, Corey Plummer, Dives Deep into the Underbelly of the Gaming Industry: From the Alarming Rise of Illegal Gambling to the Dire Need for Regulatory Reforms.

 

Why is it important to talk about the issue of illegal gambling?

The topic of illegal gambling and policies aimed to prevent it should have more focus than it does today because the activities impact a wide range of legal gambling operators and products, customers of every level, local finances and can negatively impact sovereign nations themselves.

 

How big is the problem within the industry?

Illegal gambling is pervasive across the industry at every level. Several industry events are sponsored and promoted by companies operating mostly in black and grey markets, using primarily unregulated currencies without responsible gaming programs or sufficient AML or KYC practices. Some of these operators have won industry awards as the best examples of companies and marketers. Major sports leagues and clubs are sponsored by illegal gambling companies and pirate sports streamers. There are hundreds, if not thousands, of affiliate sites promoting illegal gambling operators. Politicians are focused on what they and potential voters can see in their neighbourhoods, so the political focus is away from online, unregulated currencies and on to the street market.

 

What are the latest trends showing – has it gotten better or worse in recent years? Could you explain why.

What happens more today than before is the blatant lack of awareness and due diligence by sports leagues and clubs around this topic. There are numerous football clubs in major markets accepting sponsorship fees from illegal gambling operators, pirate streamers and sanctioned persons. There are more online operators today focusing on unregulated digital currencies under the pretence of saving the consumer. Why do consumers need unregulated currencies? If the local gaming market is legal and regulated, then it accepts local currencies and other regulated currencies like dollars, pounds, pesos and euros.

 

Could you bring out some regions, subsectors etc where the problem is particularly prominent.  

In Europe, nearly every football game shown on TV has sponsored illegal gambling operators on the LEDs, even the club jerseys. There are smaller island nations issuing gambling licenses that offer unlimited access to other sovereign nations where gambling regulation, player protection policies and taxation structures exist. Should it be correct that a small island nation can grant rights to any gambling operator against the will and laws of other sovereign nations? I am certain that the reverse situation would engender vigorous outrage by the same island politicians and regulators. Gambling is a regulated industry just like medicines.  Does the medical industry celebrate and reward illegal pharmacies? Do local politicians accept illegal sales of medicines to underaged people? People with addition problems? Would most people believe that selling unregulated medicines from foreign locations over the internet to unknown people purchased with crypto currencies to be criminal activity?

 

What kind of impact does illegal gambling have on the industry and different stakeholders (including consumers)? Why is it important to tackle this issue?

The impacts can be significant. A winning customer has no recourse when the operator does not payout. Underage and problem gamblers have unlimited access to these products due to a lack of proper AML and KYC policies. At the top end, terrorists and criminal organisations are able to money launder through some of these operators. Governments can have ratings downgrades due to acceptance and lack of policies surrounding unregulated currencies and the companies that support that industry. There are various levels of bad actors in this space. Some operators simply want to pay less taxes and have less administration and therefore use the island licenses. There are others that are totally corrupt.

 

In your opinion what should be done to combat illegal gambling? On government level, by other important stakeholders etc.

Governments should agree that regulated industries are equal in nature and are not everyday products and services like bread and colas. In this way, there can be better cooperation between nations and even acceptance of island licenses within the territories under certain frameworks.

Regulation of products and services exists for good reasons. Regulators should offer a more comprehensive view on the industry and not simply the visible parts. Online gaming is invisible in many ways and is less understood by the institutions and policy makers that oversee it. The most harm is happening under their watch.

The industry, its associations and networks, should take a strong stance for regulation and legal operating practices. It should stop supporting and rewarding illegal and unregulated activities. The reputation of the industry would improve and so would local operating environments.

 

You have said that some well-known gaming events have formed partnerships with grey-area operators. Could you bring concrete examples of this?

There are several events supported by these types of operators in Amsterdam, Barcelona, London and Malta. The events are not the problem. The events are attempting to bring all areas of the industry together and that is fine and good. The problem is giving excessive platforms to these types of operators, rewarding this type of activity and accepting them as sponsors.

There have been similar cases with sports teams and media companies, who have formed partnerships with grey-area operators. Do you think in these cases it has been a conscious decision or an involuntary error in their due diligence process?

The organisations are looking for partnership sales and revenues. In many cases, the rights holders or team managements simply assume that the businesses are legal because they have the necessary funds or are already seen on TV. We have seen examples in the press where club and media representatives never opened the websites of companies that they partnered. The more bad actors there are on TV sports, the more credibility them assume. In the UK, there has been a significant focus on regulating the local operators, while giving an open platform for foreign and illegal operators. This makes little sense to me.

 

What are the telltale signs of an illegitimate gambling business?

There are several signs to think about and typically it’s brands that clearly promote themselves to Asian markets where gambling is illegal. The brands that have non-local dots in their sight names, are simply a set of numbers or offer languages on the site from countries where gambling is illegal. Brands that show payment circumvention or offer other services such as direct contacts with dealers. Offering crypto options by itself is not a sign of illegal operations. There are licensed operators accepting Bitcoin that operate within the bounds of acceptable AML and KYC polices.

 

Looking to the future: what would you predict the situation is in 10 years?

I expect to see more Asian and Middle East markets offer regulation and a total reduction in grey and black markets in Europe, Africa and the Americas. Digital currencies will be regulated widely and likely more acceptable than crypto, which is an asset class and costly to the environment. AI will advance to the point where specific polices and regulations are monitored and enforced automatically within networks of sovereign nations and regulatory boards. Owners and managers will be held to greater account for breaking local laws and regulations. Street gambling will be reduced significantly and replaced by larger complexes that offer more options for entertainment, food and beverage, sports watching and video gaming. Consumers will have more legal access in their home countries to international online operators, liquidity pools and sports media.

Interviews

Exclusive Q&A w/ Rory Credland, Head of Strategy at Next.io

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Q&A w/ Rory Credland, Head of Strategy at Next.io
Reading Time: 4 minutes

 

  • Could you provide an overview of the upcoming Next.io summit in May?

We are hosting our 4th annual NEXT.io event in Valletta on 15 – 16 May. With a global delegation of 5,000 attendees, Valletta’24 is more than just a conference; it’s where groundbreaking ideas and innovations converge. In addition to the leadership stage, we host several side tracks on marketing, investment, HR, sustainability, technology, emerging markets/jurisdictions – plus a new track on personal development. As we expect over 5,000 attendees, we have also increased our networking space with a new hall dedicated to more exhibitors, entertainment area, lunch, and a chill-out zone. Finally, our recent partnership with Ask Gamblers will ensure greater affiliates and operators in attendance, so as you can see there is definitely something for everyone and the event promises to be one of endless connections and activities.

 

  • What speakers or panelists can attendees expect to hear from during the summit?

We have tailored the event to make this event the pinnacle of the iGaming industry, offering unparalleled networking opportunities and insights from 300 industry-leading voices. We have many c-level speakers attending including Angus Nisbet, VP Gaming, BetMGM, gaming industry expert Paris Smith, Lahcene Merzoug, CEO. PressEnter, Francesco Postiglione, CEO, Casumo, Martina Akerlund, CEO, CallsU, Jeffrey Haas, Chief Growth Officer, William Hill, Todd Haushalter, CPO, Evolution Group, Tim Heath, General Partner, Yolo Investments plus an amazing keynote to kick off the start the event. We have two amazing keynotes to kick-start day 1 and 2 of the event, so I urge you to check out our agenda via

 

  • Can you share any insights into the format of sessions and discussions planned for the summit?

We like to change the formats and concepts up at NEXT.io compared to the norm that you see at other organisers. For instance, we base our talks at 30mins max to ensure that it is short and sharp straight to the point discussions and a limited number of speakers on each session so that more interactive discussion and debate can be had. We also are putting the CEOs under the spotlight this year – think Mastermind – with each CEO – one by one – under a “spotlight” for 10mins with direct questioning from the host. Should be awesome and insightful.

 

  • How does Next.io ensure diversity and inclusivity in the selection of speakers and participants for its summits?

Internally we take an active stance to ensure that there is a cross selection of speakers to this regard based on our own internal metrics. Wherever possible we encourage new speakers to be put forward by their organisations or through connections that we make – this allows for new and different perspectives on the discussion to hand which make the event and tracks interesting and informative for the audience.

 

  • What unique networking or collaboration opportunities will be available to participants during the event?

For two years ago we have designed NEXT.io Valletta to be a festival week of iGaming, encouraging people to arrive for the week to take part in our activities we have on the Monday and Tuesday before attending the event on Wednesday. This year we have Golf, Padel, Run Club plus many networking events taking place from Tuesday through to Friday night, so check out the website where you will be able to find more information.

 

  • How does Next.io leverage technology or innovation to enhance the summit experience for attendees, whether in-person or virtual?

We have a unique advantage hosting the event at the MCC in that the main stage is built like a theatre – so with use of such a big stage we can use LED screens which allow for animation and interaction on screen as well as several attendee applications which ensures they get directly involved with what session is taking place and have an input into the direction of the questioning.

 

  • What motivated Next.io to choose Malta as the location?

NEXT.io head office is based in Malta, so it felt a natural fit to organise our flagship event within the country and at one of Malta’s iconic venues – The Mediterranean Conference Centre – with epic views over the harbour and Mediterranean Sea. When NEXT.io was formed the company had amazing support from the Maltese Gaming Authority who backed us at the time and so since day one we continue to use Malta to host what we feel is becoming an event on everyone’s calendars.

 

  • How does Next.io ensure that its summits provide a platform for emerging voices and perspectives alongside established leaders and experts?

As mentioned previously we like to continuously promote not only the established experts but also the leaders of tomorrow. Our Advisory Board is instrumental in that regards as they also have an ear to the ground as to whom is best to suggest for topics and discussions. I think what works best is a mix of experience and new to crate that interesting discussion on stage.

 

  • How does Next.io plan to capture and share the insights and outcomes from the Malta summit to extend its impact beyond the event itself?

We record our main stage sessions and use this through our awesome marketing to promote the event long after it is over via access on our news part of the website. In fact, we never see an event having an “end” more of a continuation to the next show as we promote what was and what is new for the following year. Continuous dialogue with our audience and clients is important to ensure consistent messaging and allows us to react to what market forces are in play at the time.

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Interviews

BetGames Classic roulette launch w/ Andreas Koeberl, CEO

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BetGames Classic roulette launch w/ CEO, Andreas Koeberl
Reading Time: 3 minutes

 

You’ve just launched your own spin on the casino classic roulette – what prompted this move and why now?

AK: Our mission is to help our partners convert their recreational punters into casino players, organically, resulting in lower CPAs and higher retention rates. In practice, this means instead of throwing massive bonuses at your players, you use a curated set of games, features and targeted bonuses at a way lower cost. We already deliver the initial part of this journey and have now added arguably the most classic game of all time to ensure we don’t lose those players to the competition.

 

Some may consider such a launch as brave given how saturated the market is with versions of the game – how have you built the trademark BetGames DNA into your version?

AK: The products we launch are all key parts of the puzzle to convert bettors to casino, rather than being efforts to attack the big established brands in the market. Roulette is a commodity and what’s the point of entering a price war we can’t win due to lower scale? The crucial focus is the player conversion journey and a seamless experience – not having to switch lobbies and staying with the supplier you trust. We didn’t reinvent the wheel, so to speak! I don’t think the fancy studios with robot arms and seven different cameras add any value in our core markets. We focused on a slick player experience with a professional presenter quality. We have kept it simple and targeted.

 

Do you have certain markets in mind for this latest launch? Are we seeing RNG table games surge in popularity in LatAm, for example?

AK: We’re focusing on our existing markets and LatAm initially. This is one reason why we launched the game without a continuous stream during the placing of bets, reducing data consumption. What we have learned from some of our existing games, and certainly from our most popular examples, is that our players (who are generally more sports savvy) enjoy silence and focus during betting. Thus, we have top-notch quality presentation during the spin but a quiet, slick betting experience during the dwell time. This helps to save players’ data, particularly in markets where developing infrastructures are a challenge. LatAm isn’t very developed yet with live content, and one of the main reasons for that is partly poor infrastructure. Quick, data-light products like RNG games remain popular because of that.

 

You’ve seen a lot of success in LatAm and Africa – are the requirements of developing markets hugely different to those of the more established when you are developing products?

AK: Africa is special because it is an extremely superstitious market – trust and ease of use are everything. LatAm is more demanding on the localisation front. People want Brazilian Portuguese or Latin Spanish, even though they often play games muted – this makes it tricky. From a live perspective, both markets are still in their infancy. RNG develops quicker, but still has huge potential. We will see what the new regulations in areas such as Brazil, Peru and Chile will bring in terms of market development.

 

Is the widening of your product portfolio indicative of a long-term shift of focus for BetGames? Will we see more of your more traditional lottery and card-based games?

AK: We follow a niche strategy and want to add incremental value for our partners. We have seen a lot of new competitors entering the live dealer space aiming to take on the likes of Evolution, Playtech and Pragmatic Play. Most of them failed or at least experienced a hard landing in terms of commercial success. The big players, especially Pragmatic and Evolution have massive scale, giving them significant competitive advantages, which lots of smaller or new studios often underestimate. A 24/7 live operation comes with enormous challenges and OPEX and the rev shares on commodities like roulette are getting smaller and smaller. So, we will stick to our mission and USP. If a partner wants a roulette environment, we are capable of delivering, but it needs to make sense. Hence, we aren’t neglecting our core to become a supplier of roulette and blackjack specifically.

We’ve grown our portfolio over the years to accommodate constantly shifting player trends and technology and will continue to do so, remaining agile, relevant and making informed decisions on a product offering that suits global markets.

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Interviews

Sponsors Spotlight: iGaming Mastery Insights by Atlas-IAC and its CMO, Bogdana Yavorskaya

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Sponsors Spotlight: iGaming Mastery Insights by Atlas-IAC and its CMO, Bogdana Yavorskaya
Reading Time: 7 minutes

 

Ahead of the highly-anticipated Prague Gaming & TECH Summit, organizer HIPTHER is thrilled to introduce and put the spotlight on the companies and people that help make the magic happen: our conference sponsors! These innovative, accomplished professionals and teams make magic happen every day, and they will be joining us at the Prague Gaming & TECH Summit 2024 taking place on 26-27 March, to share insights, network and collaborate with you! Get to know them, connect, and meet them in Prague!

In this Sponsors Spotlight Interview the #hipthers meet Bogdana Yavorskaya, Chief Marketing Officer at Atlas-IAC, the Badge & Bracelet Sponsors of the upcoming Prague Gaming & TECH Summit. Bogdana will be a Speaker at the Summit, offering valuable insights at the panel about “iGaming Mastery: Innovative Strategies in Marketing, PR, and Retention”.

 

Hello Bogdana, thank you for this interview. We are delighted to get to know you, and introduce you to our readers! Can you please tell us a bit about yourself and your current role at Atas-IAC?

It’s a pleasure to chat with you. I’m the Chief Marketing Officer at Atlas-IAC, where we’re all about pushing the boundaries in the exciting world of iGaming.

My journey in marketing spans a whopping 18 years, and I’ve had the privilege of delving into various aspects of this dynamic field. From crafting effective marketing strategies to diving deep into media planning and optimization, I’ve had my hands in all sorts of exciting projects.

Before joining the team at Atlas-IAC, I had the pleasure of working with some incredible international brands like Coca-Cola and Danone, where I got to flex my marketing muscles and help shape their success stories.

What excites me most about my role here at Atlas-IAC is the opportunity to innovate and drive meaningful change in the iGaming industry. It’s a fast-paced world, but with my wealth of experience and passion for what I do, I’m always up for the challenge.

One of the major aims for me is to show how strong the brand of Atlas-IAC is and how fantastic our product is. Due to a competitive environment, building a strong brand is essential for our industry to establish trust, gain a competitive edge, foster customer loyalty, optimize marketing efforts, ensure regulatory compliance, and attract talent and partnerships.

In addition to our focus on brand strength and product excellence, at Atlas-IAC, we are committed to promoting responsible gaming practices together with our partners. Authenticity, transparency, and responsible gaming practices are crucial for fostering trust and loyalty among players of our partners. The significance of responsible gaming practices in promoting a safe and sustainable gaming environment and preventing problem gambling is one of our key priorities in fostering responsible partnerships. We provide our partners with specific tools for responsible gaming. For example, Atlas-IAC implements self exclusion mechanics in our risk management tools, allowing players to set their own limits for their bookie or casino games

I’m thrilled to be part of such an innovative team, and I can’t wait to see what the future holds for Atlas-IAC and the iGaming industry as a whole.

 

Let’s get to know Atlas-IAC! Can you please introduce the company, and share with us how Atlas-IAC’s next-generation platform is revolutionizing the iGaming industry?

Atlas-IAC is a B2B provider of a next-generation platform for iGaming operators. Our core priority is our partners and product. We cooperate with the iGaming industry by broadening product ranges, adhering to regulations, refining marketing and customer relationship strategies, and adopting offerings to local markets.

We are really proud of our Sportsbook which can be integrated in 2 days. Our platform is scalable and automatic. Atlas-IAC stands as a robust, scalable, and dependable iGaming solution with 99.8% uptime, among the highest in the industry. Continual enhancements ensure lightning-fast, intuitive Sportsbook functionality, instantaneous bet settlement, uninterrupted casino gameplay, real-time risk management, state-of-the-art anti-fraud measures, and adaptable market expansion.

Rooted in collaboration and mutual growth, we remain steadfast in our mission to empower partners, share expertise, and deliver a superior product that underpins their success.

 

One of Atlas-IAC’s strengths is its rapid Sportsbook Integration. How does this feature contribute to enhancing operators’ marketing efforts and attracting new players?

We are really proud of our in-house developed Sportsbook. It stands out as a top choice for those aiming to kickstart or expand their sports betting venture due to its full automation. What sets it apart are its meticulously crafted features, designed to drive heightened engagement among players, consequently boosting the average check value and elevating the player’s lifetime worth.

Our commitment extends to continuous product refinement, accompanied by an individual approach for each partner. We are providing them with the flexibility to integrate specific modules aligned with their business objectives. Our customization process is tailored to address the unique demands of each operator, ensuring seamless functionality, appearance, and behavior precisely aligned with their vision.

In the iGaming industry, Sportsbook platforms play a vital role in enhancing operators’ marketing efforts and attracting new players. Sportsbook offers real-time betting options during live sports events, creating an exciting and immediate wagering experience that appeals to sports enthusiasts. With a diverse range of betting markets, including niche sports and specific outcomes, Sportsbook platform caters to various types of bettors, expanding the operator’s target audience.

Operators leverage Sportsbook to offer attractive promotions, bonuses, and incentives, such as sign-up bonuses and free bets, to entice both seasoned bettors and newcomers. Moreover, the cross-platform accessibility of Sportsbook platforms enables operators to reach a wider audience, including mobile users who prefer betting on the go.

Overall, Atlas-IAC’s Sportsbook contributes significantly to operators’ marketing efforts by offering dynamic betting opportunities, personalized promotions, and seamless accessibility across devices. With an outstanding uptime of 99.8%, we hold firm confidence in both the quality and growth potential of our Sportsbook.

 

With Atlas-IAC’s focus on automation and maximizing profit for operators, could you elaborate on how your platform facilitates effective communication and collaboration with partners in the iGaming ecosystem?

We have managed to strike the perfect balance between meeting our partners’ needs and injecting excitement into their players’ experiences. With Atlas-IAC’s Next-Gen iGaming platform, partners gain access to a comprehensive suite of tools, empowering them to manage their entertainment business seamlessly, free from technical worries.

We’re dedicated to tailoring our products to suit each partner’s unique requirements, priding ourselves on our flexibility. Whether it’s developing specific modules or customizing features, we’re always ready to adapt to individual needs, and this is our undeniable advantage.

Thanks to the fully automated and flexible Atlas-IAC platform, our partners have tools for effective communication and marketing strategy in the iGaming ecosystem. We offer must-haves for our partners. For example, the Personal Odds Boost feature allows offering an individual odds increase for a specific player, regardless of the type of event (either Pre-match or Live), or Combo Boost which lets players see the real-time odds increase as they add more events to their bet slip. It is a simple yet powerful way to let players put their knowledge of sports to the test and boost their reward.

By streamlining workflows, enhancing efficiency, and prioritizing player relationships, our platform enables iGaming operators to excel. We’ve developed a bespoke CRM tailored to the nuances of the iGaming realm, simplifying player communication, bonus distribution, progress tracking, and necessary activity restrictions — all in line with the latest responsible gaming standards.

 

What are the markets that Atlas-IAC works with, and how do you tailor marketing communications for different regions and audiences?

Atlas-IAC operates globally, starting from Latin America to Europe, Africa, and Asia. As a B2B company, our target audience is our partners who engage with iGaming enthusiasts worldwide. We employ innovative marketing strategies tailored to various segments of the iGaming audience, including millennials, casual gamers, and high rollers. We always keep a close eye on emerging market trends in each region.

Firstly, I’d prioritize conducting comprehensive market research, as we usually do at Atlas-IAC. It enables us to gain insights into the preferences, behaviors, and cultural nuances of our target audiences across various regions. With these insights in mind, we focus on creating content that resonates with each local audience. This includes using language, imagery, and themes that are culturally relevant and familiar. For example, soccer is the most popular sport to bet on in Brazil, while in Great Britain, some of the most popular forms of sports betting involve placing bets on horse racing, dog racing, and soccer, so communications on our sportsbook solutions for operators in these markets will be different.

To effectively reach diverse audiences, we have to segment our target market. This allows for more tailored messaging to specific groups. While some trends are common globally, such as nearly 35% of the population having placed a sports wager in the past 12 months, people have different reasons for betting: wanting to win money, enjoying the excitement, finding sports more interesting, liking the competition, or viewing it as a hobby. Additionally, there is a worldwide trend of rising mobile gaming, the integration of virtual reality and augmented reality experiences, and the emergence of esports betting. Mobile gaming has made gaming more accessible than ever before, attracting a diverse audience, including casual gamers, older adults, and even non-gamers, due to the simplicity and convenience of mobile devices. These insights help us to communicate effectively with our target audience. A simple example: We have our automated fast sportsbook API and actively use it in our marketing communications because we understand what our partners need to succeed in mobile gambling. Our marketing strategy is based on providing solutions the company is able to offer our partners, regarding market trends. We use personalization in our communications and select the appropriate marketing channels for each market.

 

Looking ahead to 2024, what are Atlas-IAC’s key priorities and plans in terms of expanding into new markets or enhancing its existing offerings?

We are experiencing a surge in integration requests from operators across diverse regions, indicating a growing demand for our solutions. Our primary focus is on expanding into regulated territories, particularly in Latin America, Eastern Europe, Africa, and South-East Asia.

Our priorities for 2024 are threefold. Firstly, we aim to contribute to the sustainable development of our partners. Secondly, we intend to further develop our platform by implementing new technologies. And thirdly, we are committed to meeting the demand for our product across various regions globally.

The cornerstone of our strategy is maintaining a competitive edge in the market. We firmly believe that our in-house developed sportsbook stands as one of the best available. Our overarching goal is to cultivate reliable partnerships and drive innovation in the iGaming industry through our cutting-edge platform and its solutions.

 

As a panelist on “iGaming Mastery: Innovative Strategies in Marketing, PR, and Retention,” what unique insights or strategies do you plan to bring to the discussion, considering Atlas-IAC’s expertise and offerings?

Recognizing the pivotal role of mobile gaming in propelling the iGaming revolution is crucial. With the exponential surge in smartphone usage worldwide, harnessing mobile platforms for gaming experiences becomes imperative. Our strategy involves leveraging the power of our Sportsbook API solution to deliver seamless and captivating gaming experiences for our partners’ clients. It promises to be an intriguing discussion, touching on various trends, such as the transformative potential of immersive technologies like VR and AR in reshaping the iGaming landscape. Additionally, we’ll explore the surging popularity of esports betting as a key trend in the iGaming industry. Moreover, we’ll delve into topics like targeted campaigns and partnerships, brand building, and the importance of responsible gaming and communication.

 

Thank you for this informative interview, Bogdana! We look forward to meeting you at the Prague Gaming & TECH Summit, and hearing your valuable insights on iGaming PR, Marketing, and Retention Strategies.

 

Join us in Prague to connect with Bogdana and the Atlas-IAC Team: Get your Tickets to the Prague Gaming & TECH Summit Now!

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