BETBY’s Chief Commercial Officer, Chris Nikolopoulos, sheds light on the immense potential that the online sportsbook supplier sees in Brazil highlighting why BETBY enjoys a significant advantage over its competitors. 

Brazil is currently a topic of great interest within the industry. What strategies does BETBY have in place for the Brazilian market, and what initiatives are being pursued there?

Over the course of our collaborative efforts with partners in Brazil and the wider Latin American (LatAm) region, we’ve observed a notable surge in activity and Gross Gaming Revenue (GGR) as the landscape of online sports betting regulation evolves. Noteworthy among these partnerships are our ventures with leading brands such as BC.Games and Blaze, which have consistently demonstrated impressive growth trajectories. Furthermore, our synergies with B2B iGaming collaborators like Cactus Gaming have proven fruitful, marked by the successful launch of numerous new brands across the region.

Looking ahead, we remain steadfast in our commitment to capitalize on this momentum and pursue ambitious expansion initiatives across key markets. Our strategic focus extends to Brazil, Peru, Venezuela, Mexico, and potentially Chile, reflecting the huge opportunities we envision in these regions. Within our diverse portfolio of product offerings, we anticipate significant potential for growth, particularly in the realm of comprehensive sportsbook deals. These deals integrate a myriad of products and services, serving as catalysts for the launch or relaunching of operator offerings.

In addition to our robust sportsbook platform, we’re in an advantageous position to leverage our expertise and products in esports data and odds, alongside cutting-edge risk management solutions. Furthermore, our emphasis on enhancing user engagement is evident in the incorporation of bonus and loyalty features, tailored to meet the unique preferences of diverse audiences. Moreover, our commitment to localization extends beyond content to encompass culturally resonant experiences for users.

A noteworthy addition to our sportsbook solution is the recent introduction of our AI tools, branded as AI Labs, designed to harness the wealth of data generated by sportsbook operations. These tools are poised to greatly improve the overall user experience (UIX), offering unparalleled insights and enhancing overall engagement. 

What insights has BETBY taken from its experiences in the broader Latin American market, and how does the company intend to apply these lessons to bolster its success in Brazil?

There are numerous factors that set us apart from our competitors, and you’ll witness this distinction unfold in Brazil and throughout Latin America in the coming months and years. While many providers express excitement about entering the Brazilian and other Latin American markets, the reality is that the majority are not prepared from a regulatory compliance perspective.

The key to success in any rapidly evolving market lies in readiness for regulation—a readiness that we possess. Thanks to our dedicated compliance team, we meticulously assess markets well in advance, ensuring thorough due diligence processes and close collaboration with regulators. This proactive approach not only prepares us but also positions our customers for compliance.

We anticipate that many current sports betting platforms and solutions providers will struggle to adapt as regulations tighten. Financial strain, particularly due to high tax rates on winnings and GGR, may prompt some companies to even exit the market. Additionally, legacy products may prove inadequate in meeting regulatory standards and scaling to meet demand. This is evident in platforms already experiencing performance issues, especially during major events like the Brazilian domestic football season or the Copa Libertadores.

In contrast, BETBY stands out as fully compliant and operational, with a growing client base in the Latin American region. We are committed to maintaining our compliance standards while providing continuous support to our partners. As part of this commitment, we are establishing a local presence with a regional office, ensuring seamless assistance and collaboration with partners in their time zone and language, round-the-clock.

Do you firmly believe that Brazil will establish itself as one of the leading betting markets on a global level?

Sports betting has ingrained itself as a significant aspect of Brazilian culture over the course of several decades. And the implementation of the regulatory framework should enable Brazil to realise its potential as a major market on a global scale, with the country set to join the UK and Italy among the largest regulated online gambling jurisdictions in the world while surpassing the likes of Australia, France and New Jersey in the near-term.

The Brazilian market is one of the biggest markets globally with institutions specializing in regulatory intelligence, such as VIXIO GamblingCompliance, estimating it could be worth up to $3.8bn within the next five years. The government had also stated previously it expects to raise ~$335m in taxes from the sector in 2024, which in itself is an indication of the sheer size of the current market.

Nonetheless success should not be taken for granted. A profound comprehension of player preferences, psychographics, and the regulatory framework in Brazil is indispensable for any betting enterprise seeking to expand its presence in this vibrant market. The depth of market knowledge and expertise holds substantial sway over the operational strategies of businesses.

Which aspect of Brazil’s sports betting regulations do you believe presents the most formidable hurdle for newcomers, and crucially, how can these entrants overcome these obstacles?

Navigating a newly regulated market presents challenges across various fronts, but these obstacles can be surmounted with meticulous planning and adherence to regulations. At our core, we prioritize readiness and ensure our preparedness for any market we enter.

We advocate for following regulatory guidance diligently and maintaining close collaboration with regulators, while also acknowledging the potential for unforeseen legislative changes. 

Extensive preparation, similar to our approach in the Latin American region, is imperative. However, certain fundamental prerequisites remain consistent across territories.

Essential considerations encompass the ability to manage licensing and taxation expenses, alongside ensuring technological infrastructure is robust enough to accommodate high volumes of traffic and adaptable to deliver localized content tailored to Brazilian players’ preferences. Thorough research into player preferences, preferred bet types, and desired in-play features is also indispensable.

BETBY is extending its ambitions beyond Brazil, encompassing broader goals across Latin America. What are the primary objectives within the region, particularly concerning the products being introduced and the countries being prioritized?

While our primary focus remains on Brazil, we’re actively monitoring and adapting to the evolving landscapes of other markets such as Chile and Peru. Concurrently, we’re collaborating with our trading team to ensure we can accommodate customized content requests from our customers, and at the same time being in a position to offer the broadest portfolio of content possible.

Additionally, we’re committed to participating in and exhibiting at major events throughout Latin America this year. At these events, attendees can engage with us directly at our booth to explore our latest products and discuss industry trends in an ideal setting on the show floor.