Jun 23 / 2017
Latest News / Editorial/

DFS: The social revolution – by Valery Bollier, Oulala

The iGaming industry is now approaching a critical stage now that the majority of its customers were raised playing video games: anyone born after 1970 most likely grew up playing on an Atari or a Playstation. This simple demographic fact should in itself have led to a product revolution in the iGaming sector which, surprisingly, has not happened yet.

Over the past 20 years, the video game industry has constantly been pushing boundaries in terms of quality and customer experience, while teaching us many lessons in the process. The most significant one is that customers now expect to play against each other.

iGaming operators, particularly sports betting and casino sites, are finding it difficult to embrace this “social” revolution. When one has been betting against their own customers for years, a rather twisted relationship tends to develop. Therefore, when the “social” revolution kicked in over the past few years, the iGaming sector quietly ignored it, much too afraid of the infinite consequences that this might have on its very optimised but short term business model. “Why change a winning formula?” most operators seem to think.


From the left: Ben Carlotti and Valery Bollier, Oulala

Truth be told, this new “social” business model would not offer the same kind of short term returns. However, the profitability will be much higher in the long term due to the obvious economic value of a loyal customer. Despite these striking benefits, there is still the fear of actually embracing this change from iGaming operators.

The core of this change lies on one simple fact: it is far more stimulating and enjoyable for one to win their friends’ money than that of the house or of a stranger. Beating your friends is exhilarating but taking their money at the same time is far more so.

Therefore, it would make sense for the iGaming industry to focus on transforming itself into an extension of the video game industry by offering the same type of games while monetizing them. The video game industry targets children and the young adults market. The iGaming sector could then position itself to follow and target all adults. Considering how, for example, GTA V reached €1 billion in sales in only three days, this positioning could prove itself to be very profitable.

Daily Fantasy Sport (DFS) is a game changer for the iGaming industry. For the first time, operators have the opportunity to offer a game that is structurally social. Indeed, people are playing DFS to prove their sports knowledge and that skill is taking over mere chance or luck.

Several companies such as Oulala have positioned themselves as DFS B2B providers so that iGaming operators interested in offering a DFS product to their customers would not have to invest a large amount of capital. They also have ready-made access to the latest technological innovations in our sector and they can benefit from the customer mutualisation of the providers’ network.

iGaming operators should embrace this revolution since the majority of their customers are now expecting to play real social games. As history has shown us, those who understand this Darwinist evolution in the early stages will most probably be the future winners of our sector.

Oulala will exhibit at SiGMA17. Don’t miss a chance to meet them and register today.

Relive the highlights from our last show and stay tuned for this year’s SiGMA. Watch out for what we’re branding as the ‘iGaming Village’ this year.

Are you an operator looking for top affiliates? Are you a top affiliate looking for a nice treat with like-minded affiliates playing at the same level?

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