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Localisation: the Competitive Advantage in Regulated iGaming Markets

by Sienna Marques
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Localisation: the Competitive Advantage in Regulated iGaming Markets

As the regulated iGaming industry expands rapidly into new jurisdictions, operators encounter challenges related to content, licensing, compliance, and market access. Achieving success increasingly relies on understanding the preferences of local players.

Entering a new market without a comprehensive localisation strategy can be expensive. Factors such as language differences, unfamiliar game concepts, and varied payment preferences can significantly diminish player engagement. In today's competitive environment, operators are keen to avoid extended periods of trial and error; first impressions are critical. The ability to connect with players from the outset can greatly influence acquisition costs and long-term market share.

For Greentube, the Digital Gaming and Entertainment Division of Novomatic, localisation is a key aspect of its portfolio planning as the company pushes forward in regulated markets worldwide.

Markus Antl, Greentube's director of global sales and marketing, emphasizes that understanding local player preferences begins with acknowledging that not all successful games share the same characteristics. "Over the years we’ve experienced that there is an appetite for specific content in certain markets," Antl states. He elaborates, "For us, a global hit is defined by the game’s KPIs across all our markets, while we produce, certify, and launch a localised game in one or a selection of markets only and therefore measure its success by checking respective market KPIs."

Local gaming traditions continue to influence player preferences, even as online casino platforms have become more globalized. Many of the most successful localised titles originate from land-based gaming environments that formed player expectations long before the rise of online casinos. For instance, stepper-style games remain popular in the USA due to their familiarity and simplistic gameplay.

In markets lacking a strong land-based gaming legacy, particular mechanics or themes can still resonate with local audiences. "It really depends on the market," Antl notes. He cites examples like Book of Ra in Germany, titles from old AWP machines in the Netherlands, and various fruit games in Eastern Europe.

Identifying local preferences is essential, but deciding whether to develop localised content is another matter. A common misconception is that localisation occurs after a game is created; however, leading developers like Greentube are making localisation decisions much earlier in the production process. Antl clarifies, "We do not develop a game first and localise it after. As the localisation of a game is not only theme and graphics, but often also maths and mechanics, we already develop a game keeping the market in mind."

This strategy reflects a broader trend towards data-driven product development, utilizing insights from player behavior, market performance, historical preferences, and operator feedback to guide the need for localised titles. Antl states that approximately 15%-20% of Greentube’s portfolio consists of localised content.

Once a game is localised, ensuring that effort translates into commercial success poses its own challenges. New players in regulated markets often gravitate toward familiar concepts, brands, and gameplay experiences. Localised content can bridge the gap between established player preferences and new online offerings. Greentube has observed this trend across various jurisdictions, noting that titles such as Random Runner in the Netherlands, Super Cherry in Switzerland, Diamond Cash in the USA, and fruit-themed games in Romania and the Balkans have all benefited from local preferences. "Localised content might help more in terms of player acquisition, especially if the games are known from land-based environments," Antl adds.

Despite the growing emphasis on localisation, the idea that global blockbusters are fading is likely exaggerated. Many of the industry's top-performing titles continue to perform well across various jurisdictions, providing suppliers with scalable options compared to market-specific products. Antl asserts, "I’d say global blockbusters still make a difference." These successful titles not only offer a quicker return on investment but also enhance brand recognition and create opportunities for developing families of related games. While a localised game may excel in one market, its audience is inherently limited. A successful global title, on the other hand, can generate revenue across numerous regulated markets simultaneously. Antl remarks, "It is way harder to achieve the return on investment with a localised title than a global one due to the limited exposure and brands the game is live on."

As more regulated markets emerge in regions like Latin America and North America, the discussion around localisation is expected to grow. Nevertheless, Antl doesn't predict a future dominated exclusively by either global or local content. He anticipates that the industry will maintain a healthy mix of both strategies. Portfolio construction is crucial for operators; while requirements differ significantly between jurisdictions, Antl suggests that a blend of roughly 80% global content and 20% localised content often provides a strong foundation, complemented by branded games when appropriate. He concludes, "There will continue to be a healthy mix of localised titles and global content."

In an increasingly diverse array of regulated markets, finding the right balance between global reach and local relevance will be critical. Suppliers that effectively combine internationally successful brands with tailored experiences that meet local player needs will be well-positioned for sustained growth.

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