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  • Dan Sanders

Twitch's ban on Gambling

Updated: Mar 7, 2023

A look at how betting operators could market on Twitch


Irrespective of your opinion of the action, the impact from Twitch’s recent position on gambling will have far reaching consequences for operators. Considering virtually all current esport betting operators have a casino vertical, the new stance on gambling limits the capacity of operators to utilize direct marketing tactics that have proved the dominant form of approach.


It might be Twitch reverts its stance or changes position entirely, nevertheless, the learnings here will always hold true.


Operators must seek value for the community


It certainly presents opportunities for operators to engage the esports audience in a far more integrated and valuable manner. This will be a period whereby operators that understand the needs, values, and community of the esports ecosystem can truly build resonance and equity, forcing a move away from a more traditional, and largely transactional, approach to the industry.


Owned IP can be powerful


Firstly, esports betting operators should look at how they can add value to the community. For instance: taking heed from Pinnacle, with the Pinnacle Cup, delivering owned experiences can be a powerful tool. Rather than sponsoring events, operators can leave lasting memories on communities by creating such experiences and better position their brand to the audience. Red Bull is another brand that has mastered this spectacularly in both the sports, and now esports space. Our later articles will break down this process in more detail, but both the opportunity and need exist for such third-party activation that can build real awareness and equity.


Look to enhance creators content


Evaluating influencer marketing suggests a similar approach. Largely, operators have sponsored creators and had a very basic integration: placing banners, sometimes with bespoke bonus codes; asking creators to use the product on occasion; and building in a CTA and communication through Twitch and social. If creators are tied to a CPA deal, great, more often they have not been and so there have been questionable short-term results. The shift away from being able to drive click through means that now there has to be meaningful integration. Operators should be thinking about what tactics they can employ to enhance the content and brand of the influencers they work with.


For example, Mars Wrigley 5 Gum ran an incredible activation that built a team of influencers and provided a range of challenges. Accompanied by an integrated campaign, this delivered both incredible results for the brand, but also added value to the content of the creators. Such approaches will truly engage and resonate in the communities that brands seek to leverage, whilst having a positive impact upon sentiment and mental availability.


Ground everything in strategy


Not only will these approaches ensure betting operators can continue to market to their respective audiences, but will certainly provide far more impactful marketing returns over the long-term; assuming brands follow a sustained, long-term strategy. It indicates a need to shift away from short-term, performance-based marketing initiatives, to a more cultured strategic approach that actually engages the esports and gaming audience in a way that works. In doing so, over time, this will not only benefit the brands in question by building better mental availability and sentiment, but will also pay dividends by improving the public perception of sports betting as a whole.


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