Gianfranco Capozzi, Head of eSports at EsportsBets, Catena Media, is fully dedicated to the electronic sports sector. Capozzi recently gave an exclusive interview to Affiliate Grand Slam about the growth of the eSports market and how the affiliate industry is relevant to their business.
He ensures that EsportsBets is positioned at the forefront of eSports and online gaming technologies, offering content that generates traffic, resulting in new revenue streams for affiliates and partner brands.
In addition, the Head of EsportsBets spoke about the universe of eSports betting, the trends that are impacting the electronic games industry and the importance of cryptocurrencies for the betting market in the short, medium and long term.
Check out the interview with Gianfranco Capozzi, Head of eSports at EsportsBets, from the Catena Media group
How did you get into the affiliate industry?
A few years ago, I was working with a well-known German sports betting operator, managing their digital marketing campaigns. Although I was initially specializing in social media activities, I had the chance to try out different media channels and opportunities. At that point, I realized that affiliates were one of the main sources of traffic (and revenue) for our brands.
As I became interested in the industry and interest in eSports continued to grow, I was able to join a start-up focused on both affiliate marketing and eSports. The start-up and sports betting affiliate sites were acquired by Catena Media, where I currently head the sports sports department.
How did EsportsBets started?
Originally, EsportsBets.com was another acquisition of our company. Once we built a core, diverse and dynamic team within the organization, we became totally dedicated to electronic sports and that’s when it really started to take off.
We bring together people from diverse fields and backgrounds, from journalists to SEO experts, from digital marketing to betting tips, to build a solid product. All with a common passion: electronic sports and competitive games.
I think the key to success in our industry is to start with a specialized core team and then expand into different industries. That’s how we’ve built success over the years.
The content and products we create for our site have a very simple philosophy: we want to do the things we would like if we were the users. Innovation, reliability and sustainability are things we want to include in everything we do.
What additional value do you provide?
When we partner with other companies, our goal is to develop a sustainable relationship that benefits both parties. It’s not just about putting a banner advertisement on a content site, there’s a lot more behind the scenes. It’s not just e-sports news or coverage of e-sports tournaments, events, or betting odds.
We are at the heart of esports and gaming technologies – we deliver content that generates traffic, resulting in revenue for affiliates and brands. Our goal has always been to provide quality over quantity in the iGaming industry.
How does eSports betting work?
The eSports industry is still a highly fragmented market with various stakeholders such as game publishers, esports teams, esports event organizers, media agencies, bookmakers, etc. And while the esports sector continues to grow in popularity and profitability for both business and investors, esports betting affiliate services have yet to see their true form.
Sports betting is basically placing bets on the outcome of matches and tournaments. Specialist gambling sites (ie eSports-focused bookmakers) also offer opportunities to bet on different markets within the games, such as the winner of the first map / First Kill (or ‘First Blood’ for League of Legends) and others dynamic markets.
As affiliates, we see sports betting as an opportunity to cater to different markets and betting options for our eager player base. As markets, games, player preferences vary so much, there are literally endless possibilities and chances to differentiate, educate and inform the public.
The esports betting affiliate market is still in a growing phase, only a few esports betting operators have acquired their own affiliate portals and/or are managing affiliate businesses through third parties. This may be due to the fact that e-sports betting is relatively new to the e-sports scene and has not yet matured into major gaming sectors such as online casinos, sports betting or horse racing.
It is estimated that eSports is the fastest growing topic in the gaming industry. Why in your opinion?
With the rise of younger generations (Millennials are the largest workforce in the world today, while Generation Z is becoming adults) and the evolution of technology, electronic sports are undeniably on the rise.
I’m one of those people who believe that electronic sports will overtake traditional sports and online casinos as the fastest growing segment of the online and offline gambling market in the next decade.
The reason is simple: many more people have access to video games (whether on console, PC or mobile) than traditional sports. Casino games are even less available – I remember that when I asked a younger crowd about the feedback of some casino slots (25-28), one of the responses was “it looks like a game for my grandparents”.
What are the current betting trends in e-sports? Which ones are growing?
We all know that the strongest sports betting markets focus on CS: GO, Dota 2 and League of Legends. In recent years, we’ve also seen the rise of the Battle Royale genre, with Fortnite and PUBG receiving massive attention, first from fans and then from the betting industry.
We are now looking at great growth and high performance results from VALORANT and its first tournaments this year; you could also say that Call of Duty (from its inaugural Call of Duty League and this year’s edition) has gained traction with its high visibility and volume of betting options.
Will growth trends become a pillar and take the top spot?
I’m sure there will be titles that will emerge and shine, and others that will be abandoned and disappear. New games and leagues will grow at super fast speed, and eSports organizations, individual players and brands will race to keep up with this ever-changing eSports landscape.
Casual eSports players vs professionals. What is your segment number one?
My favorite segment is something in between. I usually differentiate between two categories, casual gamers and extreme gamers. However, this is rarely a permanent distinction. There are times when players immerse themselves deeply in a single game and then spend their free time playing other video games.
Because a patch update or new game release can literally disrupt an entire game, even gamers are shifting their focus. In my experience, it is always important to serve both segments.
What are the key technology trends currently impacting the electronic sports industry? Are mobile games the future of electronic sports?
Among the key technologies, I’m sure that blockchain, artificial intelligence, and augmented reality technologies can have a big impact on the industry. We all hope this will happen and are looking at the massive changes it can bring to the industry.
As for mobile gaming, I think it might be a fraction of the esports revolution, but I think it’s unlikely to be dominant in esports. There is already some “aversion” between PC gamers and console gamers. Add mobile gamers to the equation and you’ve got a completely different scenario where PC and console gamers don’t like mobile gamers.
What is the role of the AI in sports betting?
AI in eSports betting is becoming more and more relevant as betting operators and service providers are starting to explore the possibilities of AI being used to improve the user experience.
For example, AI can be used to create more accurate and competitive sports probabilities than those available in the market, using AI data to make predictions about sports matches.
We’ve already seen a lot of interest from operators and providers who want to explore how they can use AI for sports betting purposes, not just from odds trading departments, but across various divisions within their organizations.
How do cryptocurrency eSports betting work? Will cryptocurrency change bets?
Betting on eSports with encryption has been one of the hot topics and a growing trend in recent years. As cryptocurrencies were growing in popularity, their use in sports betting was not left behind.
Esports and crypto enthusiasts are alike, tech savvy and challenging, which is why esports blockchain startups are focusing on betting cryptography and esports technologies, while esports operators are eyeing affiliate growth opportunities of sports.
Which markets do you focus on and do you see some potential in emerging markets?
The strongest markets have historically been the UK, Canada and Germany. But recent trends show really positive results from Latin America (in particular Brazil) and some Asian countries – and these are the emerging markets on which we should focus our attention.
I am confident that the United States, once its legislation allows, will be the main market for e-sports betting, in whatever form it takes at that point.
What qualities and skills are essential in a team/affiliated company?
Creativity and a good understanding of electronic sports are a must these days. Having a natural curiosity and willingness to learn will also help esports affiliates better understand the industry and trends. Another skill that esports/affiliate teams must develop is the ability to adapt quickly.
Esports has a younger audience than any other traditional sport and it will be difficult for eSports betting brands if they don’t educate them about eSports, esports betting and online gaming.
What does it take for an affiliate business to thrive?
Replicate what other affiliates are doing may not be the right answer. Affiliates should always question and challenge your assumptions. In my opinion, eSports affiliates need to move forward, never be satisfied and always try to improve themselves. If affiliates can do this then there will be no limits.
Owners of eSports affiliates must have a relentless passion for this industry, boast of innovation and continue to reinvent themselves.
Can you predict some growth for the affiliate business sector?
Yes I can – as the core aspect of the affiliate business industry, in my opinion, is focusing on the most competitive marketing channels as well as generating leads and customer acquisitions.
Operators are focusing on the technologies behind it, the ultimate player offerings, payment gateways, etc. – and affiliate business owners should focus on the best marketing channels to get players for them.
How do you choose your operators and how do you manage relationships with multiple operators?
When it comes to e-sports, I prefer to work with operators who have a clear understanding of what e-sports betting really involves. On a few occasions, I have worked briefly with operators serving a general football landing page or not offering dedicated bonuses or e-sports sections to our players.
As we work within a very specific betting niche, there are a number of ‘standards’ that we need to make sure are in place from the start of the partnership (for e-sports this is related to sports betting currencies and other technical issues). When we work with eSports operators who already understand esports, it makes our lives easier, saves time and allows us to focus on building / growing the right audience.
What is your approach in the early stages of a new partnership?
I try to discover the needs of the operators. It’s important to have a clear understanding of what kind of exposure they want, what kind of brand recognition and marketing strategy they’re aiming for, and what kind of KPIs they need.
Have you been to SiGMA? SiGMA Europe, Africa, Asia or the Americas – which of these four exhibitions would you most likely reserve on your 2021 agenda, if COVID-19 allows it?
I have actively participated in SiGMA European exhibitions for the last 4/5 years. I’m also looking forward to SiGMA Asia, and if I can attend that would be great – as there are some invaluable opportunities coming up there, especially in our electronic sports segment.
Tell us a little about yourself – after all, business is done with people, not just companies! Your hobbies, favorite book, favorite quote, if you like games, etc.
I consider myself a gamer even if I don’t play any of the popular eSports games anymore, but I love MOBA, FPS and Battle Royale titles and games in general.
As for my hobbies, I really enjoy watching esports matches and the best tournaments, although I also play some titles like GTA V, Red Dead Redemption and World of Warcraft occasionally as a hobby. In addition to electronic sports and games, I’m also a big crypto enthusiast.
My favorite book is Sun Tzu’s ancient Chinese military treatise The Art of War, while my favorite quote is from Bruce Lee: “Adapt what’s useful, reject what’s useless, and add what’s specifically yours.”
