The online casino industry is a rapidly developing one. We all know how prosperous the industry is, but what is taking us by surprise is the rate at which casinos are sponsoring sports teams. It is opening the world’s eyes to the massive financial force of the casinos.
About 16 years ago, I remember when a casino company from Austria sponsored the Portuguese elite division league. It shocked the world by surprise. In 2008, the relatively unknown company signed another massive deal with the Spanish club, Real Madrid.
These sports teams’ sponsorship transformed the fortunes of the company and made it a global brand. Many people started playing at the casino. The betting company kept on recording a massive boom in gross earnings.
With the benefits evident to all, many casinos copied their playbook and started sponsoring sports organizations. In this article, you will learn the reasons why casinos are supporting sports teams.
1. Brand Awareness
The number one reason why many online casinos are making deals to sponsor sports teams or organizations is to grow their brand awareness. Let’s take the example of Bwin. Before it made that pioneering move to enter into sports sponsorship, it was unknown in many parts of the world. After that brave move, everybody knew about it.
Whenever the club played a match during that period, it wore jerseys with Bwin’s name with its Real Madrid deal. The move made the name reach billions of sports lovers.
Many online casinos use these sports sponsorship as a platform to advertise and promote their brands globally. Some of the popular online gambling platforms sponsoring football teams include Bet365, Betway, and 1XBet. Bet365 supports the English football team Stoke City, Betway supports West Ham United. and 1XBet had a deal with Tottenham Hotspur.
The cost of these sponsorships are not cheap and run into millions of dollars. However, the benefit of brand awareness and the resulting profit makes it a no-brainer.
2. Positive Brand Image
Football is a passionate sport that ropes in a lot of emotions from its fans. Several types of research reveal that fans tend to love the brands sponsoring their sports teams. Further research shows that they view these teams with a positive image.
This positive brand image is one of the core reasons why casinos are sponsoring sports teams and organizations. It helps simplify other marketing strategies and helps increase its brand appeal. It is not uncommon to find football fans favoring their team sponsors to play their favorite casino games.
3. Boosted Sales
Sales are the chief of all reasons why casinos compete to sponsor popular sports teams and organizations. The whole emphasis on brand awareness and having a positive brand image is all to boost their sales. Without sales, the first two reasons are futile.
So, how does sponsorship boost sales?
- Promotion of the casino business. For example, Arsenal used to publish Sportpesa odds on their social media accounts.
- Posting links to their sponsors on their website and social media accounts.
- Running ad campaigns with the club players.
With sponsorship painting the brand in the right image by the association to the sports team, it helps boost sales and conversions.
Sponsoring a football club opens opportunities for more effective targeted marketing. For example, the online casino may offer promotions exclusive to one country or geographical area. It is a widespread practice among casino football sponsors. They do this to effectively target a section of the global market and improve sales and conversions there.
They use sports clubs that have effective communication platforms for targeting purposes. Casinos can choose which market they want to target and get clubs to promote them on specific channels such as their Twitter page.
Sponsoring sports teams also make it possible for them to target casino players by country. For example, if an online casino wants to boost its market in Russia, it will partner with clubs in the country with a huge fan base it can exploit.
The state of the online casino world is full of competition. Legitimacy is one of the most valued treasures in the industry. There are several rotten eggs in the online casino industry that are out to exploit the customers. Naturally, people are skeptical about online casino brands.
By sponsoring a sports team, an online casino can get a degree of legitimacy. It assures casino players that the casino is legitimate. Seeing an online casino name on a famous football team gives it credibility in the eye of the market. It explains why many gambling platforms want to partner with popular sports teams.
Casinos sponsor sports teams because it helps them grow their brands. It is a winning formula for both parties. The sports teams get money from it, while the casinos gain more extensive market patronage.