Poll results: Readers split on best way to manage affiliates

EGR readers are split on whether other operators should follow Sky Betting and Gaming’s example and close their affiliate programmes.

Exactly 51% of readers said it was the way to go, with the benefits, as pointed out by Sky Bet, being the removal of risk associated with the unregulated sector.

Affiliates have come under major scrutiny in recent weeks, with various parties being accused of deliberately tipping losers to boost revenue share receipts and targeting low-income players.

SB&G itself has been burned by rogue affiliates, getting hit with an ad ban by the ASA for an advertorial the operator had never even seen.

But 49% of readers said operators should not be following SB&G, perhaps reasoning that the Leeds-based giant is in a rather unique position.

First of all, the vast majority of its revenues are coming from the UK and regulated markets, where affiliates are not as important thanks to the variety of advertising channels available.

Sky Bet has the scale to tap into TV advertising for instance and has such a strong brand already it could feasibly ask itself: “Why pay 25% of lifetime revenues to an affiliate when we have a good chance of acquiring that customer anyway?”

The operator also has major links with sites like Oddschecker and Sportinglife, which will not be ended and will also provide a healthy stream of new customers.

Other operators seems satisfied having taken less drastic steps to protect themselves from affiliate risk, with Ladbrokes taking a stricter oversight of its partners for instance, while 888 has been cutting off affiliates in the Netherlands, while also managing its UK partners more closely.