## Initial Gleanings from Ontario’s iGaming Scene – Promotion & Partners – iGB
Ontario stands as the inaugural Canadian province to unveil its regulated iGaming marketplace to non-monopoly operators. With nearly 40% of Canada’s populace, it has been an alluring prospect. Geoffrey Smorong presents an examination of the marketplace two months after its commencement for iGB Affiliate.
**Home > Promotion & Partners > Initial Gleanings from Ontario’s iGaming Scene**
**Initial Gleanings from Ontario’s iGaming Scene**
On April 4th, Canada’s first province to open a regulated iGaming marketplace to private operators officially went live, Ontario officially opened its doors to non-government operated online casinos and sports betting.
Ontario boasts a population of nearly 15 million, making it one of the largest regulated online gambling new markets in North America. According to VIXIO, the Ontario iGaming marketplace could be a substantial market financially, with an estimated total revenue of $989 million by the end of this year and $1.86 billion by 2026.
Now that a few months have passed, it’s an ideal time to evaluate the launch of Ontario’s expanded iGaming marketplace.
**Early Involvement**
The Ontario iGaming marketplace has witnessed significant involvement so far, with 15 operators offering 24 different brands, all licensed by the provincial regulator, iGaming Ontario (iGO) and the Alcohol and Gaming Commission of Ontario (AGCO).
Moreover, a recent gathering of GBG and iGO members revealed that more than 70 companies are seeking permits. Supervisory bodies have also declared that they will not restrict the number of permits issued.
The market’s growing excitement has prompted many large US operators to expand their partner marketing programs into Ontario after the implementation of AGCO and iGO rules. These include well-known companies like FanDuel, PointsBet, DraftKings, Caesars Interactive, and Bet365.
In addition, the Ontario Lottery and Gaming Corporation (OLG), the province’s lottery authority (and until April, the sole regulated online gambling operator in Ontario), recently introduced its partner program in the province, making it the first provincial lottery agency in Canada to launch a partner channel. This is a positive development for partners, as more companies are entering the field, providing them with numerous options to seek new collaborations and, consequently, profitable income opportunities.
Marketing Considerations
As with any new market, it is essential to comprehend the rules that have been put in place to avoid any unnecessary issues. Operators and partners cannot market in the same way they would just a short distance south in Michigan.
Although Ontario permits the promotion of online gambling products, the Alcohol and Gaming Commission of Ontario (AGCO) enforces strict limitations on promotional and marketing endeavors. According to AGCO rules, any promotional and marketing materials that contain gambling incentives, rewards, and points are forbidden except for direct advertising and marketing on the operator’s gambling website. Furthermore, operators must guarantee that partners comply with AGCO guidelines and are accountable for all advertising activities.
The AGCO has levied penalties for several alleged violations of advertising and inducement rules, fining numerous brands over $30,000. These regulations are in sharp contrast to the New York market, where operators and partners have complete freedom to promote such offers.
Anton Hedlund, Client Manager at Compary, an affiliate that assists players in making more informed choices, discussed the impact of these distinctions on partners and operators. He stated that he has not yet observed any complaints from brands seeking to enter the Ontario market. Everyone is aware of the situation and recognizes that partners and operators need to adjust to the regulations collectively.
Partner Perspective
Ontarios operator count is limitless, and with a thrilling new user base, now is the ideal moment to become a partner in Ontario. More operators are expected to launch in the upcoming months, presenting the affiliate network with a fantastic chance to connect with fresh brands and provide the best content to their audience.
Regulation is a popular topic in Ontarios online gambling market, but affiliates should concentrate on the positive aspects. While relatively strict marketing rules may pose challenges for affiliates, according to Hedlund, “This will also contribute to responsible gambling and secure payments to safeguard users.”
Affiliates must ensure they are strictly adhering to regulations to maintain strong relationships with operators. Since operators are assuming the risk, they desire to collaborate with affiliates whose marketing strategies are airtight in terms of regulation. Ontario operators are assuming responsibility for advertising compliance, which alleviates the burden on affiliates.
Conversely, one of the obstacles affiliates encounter is Know Your Customer (KYC) checks, which hinder users from enjoying a smooth registration and login process with brands.
Hedlund remarked, “We have received feedback from players regarding the KYC policies.”
While its intended to safeguard players, these regulations are causing them significant difficulties as they are required to furnish all their personal details to the service providers.
He further stated: “In general, users prefer to engage with products that are swift and effective. Since KYC policies impede the process, some users are hesitant to provide all their personal information, and we have observed that certain operators have lower conversion rates compared to those with simpler registration procedures.”
**Essential Points**
With nearly 40% of Canada’s total population, Ontario is poised to be a highly profitable market for operators and affiliates. Months into its launch, the competition to engage with this vast audience continues to intensify. Operators are rapidly entering the market, creating substantial opportunities for affiliates. By adhering to the regulations established by the government’s gambling authority, fostering robust relationships with operators, and emphasizing the positive aspects of Ontario’s expanding online gambling market, affiliates can ensure they maximize their gains in this thriving sector.
Geoffrey Smorong holds the position of Vice President of Operations at Paysafe’s Income Access. He is a seasoned leader with a decade of experience in the online gambling and affiliate management domains, and has been a pivotal contributor to Income Access since joining the team as a Client Manager in 2012.
Don’t overlook our Ontario-themed session on the inaugural day of the iGB Live! event in Amsterdam next month.
A gathering of specialists will convene on July 6th at 12:50 PM to discuss strategies for operators and partners to leverage their experiences in other markets where incentives are constrained. Following this, at 2:20 PM, Receptional, a leading digital marketing firm, will present their findings. They will offer practical insights gleaned from their initial investigations into the sports betting sector. Further details regarding the event and registration can be found here.
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