Home Gaming PartnershipsUnderstanding Revenue Leakage from Fake Games

Understanding Revenue Leakage from Fake Games

by Sienna Marques
0 views 2 minutes read
Understanding Revenue Leakage from Fake Games

In the latest episode, Robin Harrison and Ed Birkin host Jack Crabtree, the head of sales at GameCheck, who discusses the growing concerns of fake games within the gaming industry.

GameCheck specializes in identifying counterfeit or manipulated slot games hosted on unlicensed or grey market websites. For legitimate operators, the company provides the SEAL certification badge, which signifies the authenticity of their games. Jack notes that the SEAL is particularly popular in regions with less stringent regulations, such as Turkey.

In a significant development, Brazil has emerged as a major focus for GameCheck's monitoring efforts, with the detection of over 6,800 counterfeit games in that region alone. Jack elaborates on how Brazil's rapid growth has created opportunities for rogue operators, exacerbating the issue of fake games.

Historically, GameCheck's model centered solely on revenue protection for suppliers; however, it is evolving towards a more sustainable approach that also includes operators. Listeners can tune in to learn more about this new direction.

Current data from GameCheck and H2 Gambling Capital reveals around 8,500 fake games identified globally, though Jack suspects the actual number could be much higher. This issue is particularly significant in grey or unregulated markets. A noteworthy insight from research conducted with BetBlocker indicates that many sites not appearing on its blocklist are indeed hosting fake games.

How significant is the revenue loss resulting from these counterfeit games? Jack suggests he has a figure in mind, which listeners will have to hear directly from the episode.

In addition, Jack references comments from Evolution’s CEO, who identified game cloning as a major factor contributing to revenue loss. Each cloned instance can effectively reduce the return to player (RTP) to zero for the company, as they gain no revenue from these activities. With studios already facing challenges from narrow profit margins and an oversaturated market, this issue may soon become one they cannot overlook.

The conversation also features an entertaining moment that nearly didn't make it to air, including a lighthearted debate between the hosts about preferences between Thundercats and He-Man.

You may also like