Are Casino Streamer Sponsorships Worth It for Betting Platforms?
A number of the world’s top betting platforms have aligned themselves with popular streamers, and while content creators are able to make massive money from these sponsorships, is this type of partnership with a popular streamer truly worthwhile for the platforms and casino operators that fund them?
Gambling and betting platforms run a variety of marketing campaigns to bring in potential new customers and increase their revenues. One marketing strategy that has become significantly popular is signing sponsorship deals with streamers.
Utilizing the top casino streamers makes sense given the large and ever-increasing consumption of streaming content, but it also brings to mind the question of just how effective these sponsorships really are.
What value do streamers bring to betting platforms?
The potential value in sponsoring a streamer is clear for most operators: Streaming platforms and their most popular streamers have a recurring audience that watches their favorite streamers regularly, and a betting operator can increase its exposure dramatically by partnering with a popular content creator. Larger streamers already have established viewership, and those viewers could potentially register and play on the advertising platforms that their favorite content creators market or sponsor.
Some platforms also have affiliate marketing options for streamers, which don’t pay them unless their viewers actually play. This limits risk for the operator, but the biggest streamers are unlikely to accept such deals. They know their value and the value of their large audience, and they’ll demand that a greater price be paid upfront. And that price can be as high as many millions of dollars.
Stake is one of the most common examples of an online gambling platform that invests heavily into streamer sponsorships.
The platform has partnered with multiple streamers over recent years, including Adin Ross, Félix “xQc” Lengyel, and Tyler “Trainwreckstv” Faraz Niknam. These partnerships have given Stake more exposure as these streamers are major players in the streaming world, and each brings with them a massive following.
And these are just three examples of some of the best gambling streamers, the figurative tip of the iceberg. Numerous other casinos have partnered with large and small creators beyond these few to increase their exposure.
Most streamers have a set streaming schedule, with many streaming daily or at least a couple of times per week, which makes for consistent and reliable marketing for the betting platforms that sponsor them.
Marketing on livestreaming platforms also caters to audiences that aren’t covered using traditional marketing channels. Casino streamers also typically have lengthy broadcasts, which feature multiple casino games from their sponsors, providing a range of visibility in addition to the sheer volume that’s offered. Big and exciting wins featured live on stream can trigger audiences to register and play, chasing those same results for themselves.
Are streamer sponsorships worth the investment?
Betting platforms need to be in it for the long haul rather than expecting short-term success when it comes to streamer sponsorships and partnerships. This is not to say that the deals can’t show immediate success, but it’s really about a long-term investment as operators seek to grow their base of players in the hopes that those players will continue to play and bet over time.
Streamer sponsorships typically display benefits for platforms over time as content creators continue to market the operator. This can lead to new players joining the platform or even older, lapsed accounts becoming active again. Betting platforms can benefit from this as they may see more wagers from a broader variety of players, and streamers are able to benefit from the financial incentives they receive.
Lacy and Roobet. Image credit: Roobet
Those incentives can be significant. In the case of a streamer with the size and pull of an Adin Ross, tens of millions of dollars might be required to sign them on.
There are also some limitations and risks associated with streamer sponsorships. Some content creators are bound by local laws and regulations that dictate with whom they can partner or restrict how they can market betting platforms. Other potential hindrances include a streamer’s audience may not be aligned with gambling content to begin with, or accusations that the casino streamers may be fake.
Streamer sponsorships aren’t necessarily a sure bet for betting operators. But the proven reach and success of many of the top streamers in the online betting space speaks for itself, and is the reason why operators will continue paying big money for the unique type of exposure that only these streamers seem able to bring.
Do streamer sponsorships pose risks for betting platforms?
Casino streamers marketing betting platforms seems to be a good tool to attract potential players, but there are downsides. The biggest are regulatory risks, as gambling laws depend on different regions; operators and creators can face restrictions if they try to circumvent these rules. A good example of how creators bypass these restrictions may be Nick “Lacy” Fosco, who is sponsored by Roobet and travels for his gambling streams. Viewers have speculated that the streamer does this because Roobet isn’t licensed in the United States.
Platforms also have rules about how gambling content can be broadcast and marketed. Kick was the best platform for casino streamers, but co-founder Eddie Craven has stated that they aren’t incentivizing gambling content. This may affect visibility of such content. Twitch and YouTube already severely restrict gambling content, so betting platforms should keep this in mind when partnering with a streamer. Another risk is related to the streamer that a betting platform sponsors, as any controversy they are involved in could potentially affect the brand. For instance, Adin Ross was recently in the limelight after he was accused of encouraging unhealthy gambling. While this is an unverified claim, it can still affect Rainbet, as Adin Ross is linked to the casino.
There is another risk that can once again be connected to Adin Ross, as when he moved from Stake to Rainbet, it was widely suggested he brought in many new users with Rainbet seemingly receiving a massive boost in traffic around the time when Adin Ross was initially sponsored. Stake is a larger casino, so it’s unlikely to be affected by this, but a smaller betting platform could potentially become dependent on sponsored streamers and can face major drops if the streamer stops streaming or moves to a different platform.
Editor’s analysis: Are streamer sponsorships a good investment for betting platforms?
There are clearly certain risks associated with betting platforms using casino streamers to market their site, but there is almost no risk-free marketing when it comes to gambling. Betting platforms will have to ensure they choose the right creators for the regions they want to target. The casino should also find ways to retain users to reduce dependency on streamers, as moves to rival platforms are not just possible, they are common.
The risks aside, popular streamers can provide a massive reach to betting platforms and their casino games. This can be a game-changer for smaller operators, and even bigger operators use casino streamer sponsorships to attract more users, as there is a probability that they will become recurring players.
Feature image credit: Adin Ross, Stake, Trainwreckstv, xQc, Stake
Khizar Mundia has been playing video games for as long as he can recall. Things have come a long way since the many days he spent playing the original NES, though. He now covers a variety of competitive games and esports, as well as the world of streaming, ranging from Twitch to Kick. If it’s of interest to gamers, it’s of interest to Khizar.
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