iGaming Business magazine Africa Focus | Page 29

Africa Focus RINGING THE CHANGES Data is expensive and coverage is sometimes patchy, which is hardly ideal for a mobile-first market, writes Gregory Parsons. To overcome this, successful operators are doing things a bit differently “Sports betting in Africa is booming!” This has been a recurring theme in most discussions about the growth of the African betting industry for many years now. These conversations also reference smartphone penetration, infrastructure development, an emerging middle class and a rapidly evolving payment gateway ecosystem as the key catalysts to validate the statement. However, while all of the above is undoubtedly true, there is more to this growth trend and market evolution than initially meets the eye. The operators with the biggest market potential are doing things slightly differently now than in the past, adopting a blue-ocean strategy by creating new value for the end user through clever optimisations and unique diversification strategies. They’re doing this while simultaneously streamlining their internal efficiencies by outsourcing trading and using only the very best technical solutions in their operations. Overall, these solutions are now highly specialised to fit the needs of the market, and they represent a step change in the technological innovation in the African betting industry. Having enough content to offer punters is only one small part of the modern-day African sportsbook. The mobile-first approach is where we see major technological evolution occurring. Operators need to be inventive, especially when the digital terms of engagement of the modern consumer are already so clearly defined. The platforms working successfully in Africa address key points in highly sophisticated ways, such as speed of use, seamless UI/UXs, intuitive design, low data usage, rapid development capacity, innovative marketing tools, etc. Falling short in any particular area carries significant opportunity cost in the age of the digital end user, with high expectations and an uninstall button at their fingertips 24/7. Interestingly, recent tests conducted by Sportradar in Africa across half a dozen sportsbooks showed, in some instances, the time spent constructing a standardised six-leg accumulator varied between four and 10 minutes. What’s more, the lowest data consumption in this process was 700kb and the highest was an alarming 8.3MB! In a market where data is expensive, connections are slow and a successful sportsbook should be aiming at audiences measured in the millions (if not tens Gregory Parsons is the Sportradar regional sales director for Africa. Having been in the betting industry for nearly 25 years, Greg has spent the last seven years working with Sportradar to help build some of the most iconic betting brands on the continent. of millions) of mobile tickets per month, this single factor alone will significantly hinder mobile growth. Additionally, a recent Sportradar analysis of a significant sample size showed that mobile turnover increased by 80% between May 2017 vs May 2018 when comparing month to month, while desktop showed an increase of only 10%. In the same period mobile live turnover increased by more than 150% vs a pre-match increase of a moderate 50%. While not exactly indicative of the full scope of trends in the market, this does quantify the major pivot points at present: live betting and mobile. “Africa is a unique opportunity but market characteristics now require a highly-tailored technical and strategic approach” Sportradar has recently introduced live settlement for pre-match markets via the Unified Odds Feed. The feature is showing great promise as a growth driver, enhancing user engagement and acting as a catalyst for both mobile and live betting growth. This again leads back to the point that the modern punter demands a seamless betting experience and instant gratification. Ultimately, Africa is a unique opportunity but market characteristics now require a highly-tailored technical and strategic approach. It will undoubtedly reward the innovators and necessitate the use of technology and partners that are agile enough to quickly address the ever-changing dynamics of the market in fluid, creative and innovative ways. i GamingBusiness | Issue 112 | September/October 2018 71