The future of South African internet sports and affiliate marketing

Shirley Pulis Xerxen March 12, 2024

SiGMA news

The future of South African internet sports and affiliate marketing

Cape Town recently played host to the SiGMA Africa Summit, a pivotal event where industry veterans convened to dissect the fast-evolving landscape of internet sports and affiliate marketing in South Africa. The expert panel discussion, entitled “Unlocking the potential of South Africa’s internet sports scene and affiliate marketing opportunities,” was moderated by Gali Hartuv, CEO at WarriorLab Consulting. The session featured panelists Sasha Boerma, Head of Affiliates at Coastline Gaming; Martin Sack, Founder & Director at Brainstorm Online.

Market evolution and the role of casino games

The conversation set off with an examination of South Africa’s sports betting scene, which has seen a significant shift to include fixed odds betting casino games. Martin Sack commented on the transformative impact of allowing casino-themed games under sports betting licenses, likening it to the global online casino markets. The inclusion has notably widened the scope for casino affiliates, who boast a larger base than their sports counterparts.

Affiliates in the spotlight

The panelists discussed the role of affiliates in the current ecosystem, contrasting the situation faced by onshore and offshore entities. Gali Hartuv offered insights into the complexities that offshore affiliates encounter when considering the South African regulated market, which is also home to unlicensed operators already active in the country.

Boerma shed light on the practical challenges, such as the unclear regulatory frameworks complicating affiliates’ SEO efforts and the increasing costs, which might necessitate in-house affiliate teams for operators. The panelists highlighted the substantial offshore market in South Africa, advocating for enhanced education and support for affiliates to aid their transition to the regulated market.

Affiliate-friendly market dynamics

Martin Sack provided a counterpoint, emphasising the fair tax regime and the absence of stringent play limits in South Africa, suggesting a relatively affiliate-friendly market. He affirmed that the influence of unlicensed operators is on the wane as the regulated market burgeons, providing a comprehensive range of products at par with international standards.

Support and collaboration

The panelists converged on the potential for aggregators to catalyse support for affiliates in South Africa. Hartuv posited that this could be an avenue for new players to facilitate affiliate market entry. Collaboration was a resonant theme, with Sasha Boerma echoing the sentiment that regulated operators are receptive to aiding affiliates in their business development, signaling a burgeoning area for joint efforts.

Regulatory clarity and support

Closing the discussion, the panelists underlined the need for greater clarity and support from the regulatory bodies. The establishment of institutions or services to streamline licensing processes was suggested to enhance South Africa’s appeal as a market for international and local affiliates.

The SiGMA Africa Summit panel underscored the necessity for a proactive approach towards legislative constraints, underpinning the surging demand for sports betting and casino gaming in South Africa. The discussions put forth a vision for a robust affiliate marketing framework that can sustain the growth trajectory of this vibrant market, emphasising innovation, collaboration, and regulatory refinement.