The Pros and Cons of International Expansion

The Pros and Cons of International Expansion

For many businesses, the ultimate goal is to expand into new markets and this is no different for online sportsbook and casino affiliates.

This is certainly the case as more countries embrace legal online gambling, opening up tremendous opportunities for growth for those willing and able to expand into these new markets.

But taking already successful brands into new markets is easier said than done – so too is launching a completely new site and building it from the ground up.

Both take time and resources, and ultimately affiliates must decide whether expanding internationally outweighs the cost of doing so and the impact it can have on current operations.

To help, we have outlined the pros and cons of international expansion.

The pros of international expansion

The biggest benefit of international expansion is that you can reach more people. If you adopt a strategic approach, affiliates can significantly increase their addressable audience which ultimately boosts clicks, conversions, and revenues.

New markets also present the opportunity to enter new verticals. For example, online casino affiliates looking to make a play in the US market could also branch out into sports betting and daily fantasy sports for the first time.

The cons of international expansion

The biggest downside to international expansion is that you can invest significantly into entering a new market only to gain little to no traction.

One of the most challenging aspects is getting your content right; even in countries where English proficiency is high, audiences often prefer to read, view, and listen to things in their native language.

If you are an SEO affiliate, you also need to consider how Google and other search engines read your content if it has been translated from English into another language. Even in English speaking markets, different spellings (US/UK English) and any cultural quirks need to be taken into account.

Another potential downside is the different laws and taxes that can be applied by governments in each of the markets you target. This can require restructuring your business and even have a local presence.

How to succeed internationally

Establishing a global business is tough but that doesn’t mean it can’t be done.

If you want to enjoy international success, a strategic approach is a must and this starts with undertaking research to understand if the market you wish to enter is actually viable. This includes the size of the market, the most prevalent languages, and any regulations or restrictions.

It is also important to gain a comprehensive understanding of your target audience and what content they are seeking and how they wish to engage with it. As part of this, you’ll likely need to translate your work so it’s worth hiring a native speaker to either write or translate for you.

Cultural fluency is another must. Each nation has its own quirks and what entertains in one market might offend in another. Again, it’s worth working with local experts to avoid any issues.

Ultimately, international expansion presents more upsides than downsides, but affiliates will need to take a cautious and considered approach to each new market they enter if they are to enjoy sustained long-term success.

Author: Sofia Barrett