LAC Digest: Latin America – ‘An alternative to the US market’

It’s fair to say that last week’s London Affiliate Conference (LAC) went down as a resounding success. Aside from the countless networking opportunities and social events, a number of panels were ran, offering tips and expert advice for those looking to make an impact in the industry. One such talk, entitled ‘LATAM – Why affiliates are missing the opportunity’ attempted to create a bridge between leading brands in Latin America and affiliates aiming to monetise their traffic. Hosted by Tiago Almeida, CEO of marketing and operational services firm, the talk gave valuable insights into a region containing a number of the world’s fastest-growing markets. Read an excerpt from Almeida’s talk below:

“Let me talk a bit about Latin America and the demographics. In Latin America the GDP was $5.2 billion in 2016. That’s ahead of some regions, but usually the industry pays more attention to Africa and Australia right?

“We have a GDP per capita just below $10,000. For disposable income this is a bit different from what we have in Europe right? But it is very interesting as it means these people have money to spend in gaming. And they like gaming. They love football. They love to watch football and they love to make money – well at least try.

“The population of Latin America in 2010 was 596 million, then it rose to 647 million in 2016. This means it is one of the few continents in the world where the population is actually rising and this means their demographics are young.

“More people will be 18 soon and this means we need to educate them as affiliates to engage with our partners, to engage with our brands, to place bets, to register, to do the whole player journey thing that is needed.  Here in Europe, things are not that great in terms of demographics. In Latin America we have a life expectancy of 73 years for men and 79 for women, it is not that different to Europe.

“Let me give you some internet insights also. We have three powerhouse countries in Latin America: Brazil, Mexico and Argentina, and they have 120 million people already buying online. These are people that spend time online and already have credit cards and a bank account. As I said, they love football and sports, so if they are educated in terms of content and are explained in simple terms about the basics of betting – why they should do it; what they could win – this is essential.

“We need to find the shortcuts and deliver a message in a way that players can actually engage, and feel that our affiliate content message makes sense. These are numbers with a big, big potential and numbers that are growing on a daily basis. As everyone knows, this year is World Cup year and it’s highly likely Brazil will progress to the latter stages and this means that potential players will place bets.

“We have an alternative here to the US market – if we engage and treat the market well. The economics of Latin America are improving and improving faster than most countries that we are already familiar with.

“The internet penetration in these markets is actually good and I was very surprised when I started working with these countries. We have millions of potential players with a wallet in their hand willing to spend their money on something they like – sports – to make money.”

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