Interview with Ilya Shutov – Affiliate Manager at Royal Partners

Company: Royal Partners
Interviewee: Ilya Shutov
Interview Date: 06/14/2024
LinkedIn: Click Here
Affiliate Program: Click Here

In an exclusive interview presented by The Inside Bet, in collaboration with Affiliate Roulette, we had the privilege of conversing with Ilya Shutov, Affiliate Manager at Royal Partners. As we delve into the dynamic world of iGaming, Ilya graciously shares his valuable insights on the latest industry trends and growth strategies.

Edward: Could you please share your background and how you initially entered the iGaming industry?

My Background and Entry into the iGaming Industry

Early Career and Interest in Marketing
My journey into the iGaming industry began with a strong interest in digital marketing and technology. After completing my degree in marketing, I worked in various roles within the digital marketing space, gaining experience in SEO, content marketing, and social media management. This diverse background provided me with a solid foundation in understanding online user behavior and effective marketing strategies.

Transition to Affiliate Marketing
Around five years ago, I decided to specialize in affiliate marketing due to its dynamic nature and potential for substantial impact. I was drawn to the challenge of building relationships, optimizing performance, and driving revenue through partnerships. Over the next couple of years, I honed my skills in affiliate management, working with various industries and learning the intricacies of tracking, attribution, and performance analysis.

Entry into the iGaming Industry (2020)
In 2020, I made a significant career shift by entering the iGaming industry. The decision was driven by the rapid growth and innovation within this sector, as well as the opportunity to apply my affiliate marketing expertise to a new and exciting field. The iGaming industry presented unique challenges and opportunities, such as dealing with strict regulations, ensuring responsible gaming, and managing high-stakes marketing campaigns.

Key Experiences and Milestones

• Joining a Leading iGaming Company: My first role in the iGaming industry was with a well-established online casino operator. As an Affiliate Manager, I was responsible for recruiting new affiliates, managing existing partnerships, and optimizing campaigns to maximize player acquisition and retention.
• Building Strong Affiliate Relationships: One of the most rewarding aspects of my role was building and nurturing relationships with top-performing affiliates. I learned to identify high-potential affiliates, negotiate favorable terms, and provide the support and resources they needed to succeed.
• Adapting to Market Trends: The iGaming industry is constantly evolving, with new trends and technologies emerging regularly. I stayed ahead of the curve by continuously educating myself on industry developments, attending conferences, and networking with other professionals.

Reflection and Looking Forward
Reflecting on my journey from my initial entry into the iGaming industry in 2020 to where I am today, I am proud of the progress and impact I have made. The experience has been incredibly rewarding, allowing me to leverage my affiliate marketing skills in a fast-paced and challenging environment.

Moving forward, I am excited about the future of the iGaming industry and the potential for continued innovation and growth. My goal is to keep advancing in my career, exploring new opportunities, and contributing to the success of the industry. By staying adaptable, informed, and committed to ethical practices, I am confident in achieving outstanding results in the years to come.

Edward: Reflecting on your journey from your entry into the industry to where we are today, what are the most significant concerns you have regarding the iGaming sector?

Reflecting on my journey from my entry into the industry to where we are today, several significant concerns have emerged regarding the iGaming sector:

Regulatory Challenges: The iGaming industry operates across various jurisdictions, each with its own set of regulations. Keeping up with the constantly changing legal landscape and ensuring compliance can be challenging. There’s also the risk of stricter regulations or outright bans in some regions, which could affect market access and operations.

Responsible Gaming: Promoting responsible gaming is a major concern. Ensuring that players engage in gaming activities safely, without falling into patterns of addiction or excessive spending, is crucial. The industry must continuously develop and implement effective measures to protect vulnerable players.

Security and Fraud: The iGaming sector is a prime target for cybercriminals due to the significant amounts of money and personal data involved. Ensuring robust security measures to protect against hacking, fraud, and other cyber threats is an ongoing challenge.

Technological Advancements: Keeping up with rapid technological advancements is essential. This includes adopting new technologies like blockchain for secure transactions, improving user experience through AI and machine learning, and staying ahead of trends such as virtual and augmented reality gaming.

Market Saturation and Competition: The iGaming market is becoming increasingly saturated, with numerous operators vying for a share. This intensifies competition and can lead to market consolidation, where only a few large players dominate, potentially stifling innovation.

Ethical Advertising: Balancing effective marketing with ethical considerations is another concern. Advertising strategies must not exploit vulnerable individuals or mislead consumers. There is a growing scrutiny over how iGaming companies promote their services, particularly in relation to problem gambling.

Data Privacy: Handling vast amounts of personal and financial data requires stringent data privacy measures. Compliance with global data protection regulations, such as GDPR, is imperative to maintain customer trust and avoid hefty penalties.

Economic Factors: Economic downturns and global events, such as the COVID-19 pandemic, can impact disposable income and consumer spending on gaming. The industry must be resilient and adaptable to such fluctuations.

These concerns highlight the need for continuous vigilance, innovation, and ethical practices to ensure the sustainable growth of the iGaming sector.

Edward: What are some of the biggest challenges you face as an iGaming Affiliate Manager? In your opinion, what are some effective strategies or tools that could help overcome these challenges? For example, how do you distinguish legitimate affiliates from the fraudulent ones?

As an iGaming Affiliate Manager, several challenges frequently arise, each requiring strategic approaches and effective tools to manage. Here are some of the biggest challenges and strategies to overcome them:

Challenges

Identifying Legitimate Affiliates vs. Fraudulent Ones

• Fraudulent Traffic: Affiliates might generate fake leads or use deceptive practices to inflate their earnings.
• Quality of Traffic: Ensuring that affiliates drive high-quality, converting traffic rather than just high volume.

Compliance with Regulations

Navigating the complex and varied legal landscapes of different jurisdictions.
Ensuring affiliates comply with advertising standards and responsible gaming regulations.
Performance Tracking and Attribution:

Accurately tracking and attributing conversions and player value to specific affiliates.
Managing discrepancies between affiliate-reported data and operator data.

Relationship Management

• Maintaining positive and productive relationships with affiliates.
• Providing timely payments and support to keep affiliates motivated and loyal.

Market Saturation and Competition

• Standing out in a crowded market with numerous affiliate programs.
• Attracting and retaining top-performing affiliates.

Strategies and Tools

Distinguishing Legitimate Affiliates from Fraudulent Ones

• Due Diligence: Conduct thorough background checks on potential affiliates. Verify their identity, track record, and traffic sources.
• Affiliate Monitoring Tools: Utilize advanced software to monitor affiliate activity and detect patterns indicative of fraud. Tools like FraudScore and Opticks can be effective.
• Quality Control Measures: Set strict criteria for affiliate acceptance and continuously monitor the quality of traffic and conversions. Look for red flags such as sudden spikes in traffic or unusually high conversion rates.

Ensuring Compliance with Regulations

• Legal and Compliance Teams: Work closely with legal and compliance experts to stay updated on regulations and ensure affiliate marketing practices adhere to them.
• Training and Guidelines: Provide affiliates with clear guidelines and regular training on compliance and responsible advertising practices.

Performance Tracking and Attribution

• Robust Affiliate Software: Use comprehensive affiliate management platforms like Post Affiliate Pro, Affise, or Tune to accurately track and attribute conversions.
• Regular Audits: Conduct regular audits of affiliate-reported data against internal tracking systems to identify and resolve discrepancies.

Effective Relationship Management

• Communication: Maintain open and transparent communication channels with affiliates. Provide regular updates, feedback, and support.
• Incentives and Rewards: Offer competitive commission structures, bonuses, and incentives to reward high performance and loyalty.
• Affiliate Support Teams: Have dedicated teams or account managers to address affiliate queries and provide personalized support.

Standing Out in a Crowded Market

• Unique Value Proposition: Clearly define and communicate the unique benefits of your affiliate program, such as higher commissions, exclusive offers, or superior support.
• Marketing and Promotion: Invest in marketing your affiliate program through industry events, online advertising, and partnerships to attract top affiliates.
• Innovation and Adaptability: Continuously innovate your program offerings and stay adaptable to industry trends and affiliate needs.

Tools

• Fraud Detection Tools: Opticks, FraudScore, Forensiq.
• Affiliate Management Platforms: Post Affiliate Pro, Affise, Tune, Everflow.
• Compliance Solutions: SEON, ComplyAdvantage, Jumio.
• CRM Systems: Salesforce, HubSpot, Zoho CRM for relationship management and personalized support.

By leveraging these strategies and tools, an iGaming Affiliate Manager can effectively manage the challenges and build a successful, compliant, and high-performing affiliate program.

Edward: When evaluating potential affiliates, what is your perspective on verifying an affiliate’s past performance? Do you rely on screenshots they provide, or do you have other methods of assessment in place?

When evaluating potential affiliates, verifying an affiliate’s past performance is crucial to ensure they can deliver high-quality traffic and meet your program’s standards. Relying solely on screenshots provided by affiliates can be risky, as they can be easily manipulated. Here are more robust methods to assess an affiliate’s past performance:

Methods of Assessment

• Direct Communication and Interviews: Engage in detailed conversations with the potential affiliate to understand their experience, methods, and goals. Ask specific questions about their past campaigns, strategies, and results.
  Request case studies or examples of previous successful campaigns, including detailed descriptions and outcomes.
  
• Reference Checks:Ask for references from previous programs the affiliate has worked with. Contact these references to verify the affiliate’s performance, reliability, and quality of traffic.
  Reach out to industry peers or use professional networks to gather informal feedback on the affiliate.
  
• Data Verification: Instead of relying on screenshots, request access to actual performance data from platforms like Google Analytics, affiliate networks, or other tracking tools they use. This allows you to verify traffic sources, conversion rates, and overall performance.
  If possible, ask for read-only access to relevant dashboards or reports that show historical performance metrics.
  
• Trial Periods and Performance Monitoring: Implement a trial period where the affiliate can demonstrate their performance on a smaller scale before committing to a long-term partnership. Monitor their traffic quality, conversion rates, and adherence to your guidelines during this period.
  Use performance tracking tools to continuously monitor the affiliate’s traffic and results during the trial. Look for consistency and alignment with the initial claims.
  
• Traffic Quality Assessment: Analyze the traffic sources and demographics that the affiliate plans to use. Verify if these align with your target audience and quality standards.
  Use tools like SimilarWeb or SEMrush to analyze the affiliate’s website and traffic sources. Look for signs of genuine engagement and traffic patterns.
  
• Affiliates’ Own Reputation and Presence: Research the affiliate’s online presence, including their website, social media profiles, and reviews. A reputable affiliate will have a professional and transparent online presence.

Check if the affiliate is active in industry forums, conferences, or networks. Participation in industry events can indicate a serious and established player.

Tools and Platforms

Affiliate Management Platforms: Platforms like Affise, Tune, or Post Affiliate Pro often have built-in tools for vetting affiliates and analyzing their performance history.

• Analytics Tools: Google Analytics, SEMrush, and SimilarWeb can provide insights into traffic quality and sources.
• Fraud Detection Tools: Tools like FraudScore and Forensiq can help detect fraudulent activities and ensure the quality of traffic.

Best Practices

• Documentation: Maintain thorough documentation of the vetting process, including all communications, references, and data analysis.
• Transparency and Trust: Build a relationship of transparency and trust with potential affiliates. Encourage open communication and set clear expectations from the beginning.
  
• Regular Reviews: Continuously review and reassess affiliate performance even after they’ve been onboarded. Regular performance reviews help ensure ongoing quality and compliance.

By using these comprehensive methods and tools, you can more accurately verify an affiliate’s past performance and make informed decisions about partnerships, ensuring the integrity and success of your affiliate program.

Edward: It appears that many affiliates are now requesting listing fees and high CPA’s, which seem to have become an industry standard. Do you find it difficult to determine who can justify the fees they charge and who overpromises and under delivers?

Yes, determining which affiliates can justify their listing fees and high Cost Per Acquisition (CPA) rates versus those who overpromise and underdeliver is a significant challenge. The increasing prevalence of these demands makes it crucial to have a robust evaluation process. Here are some strategies to effectively assess the justification for these fees:

Strategies for Evaluating Affiliates

Historical Performance Analysis

• Track Record: Look at the affiliate’s historical performance data. Affiliates who consistently deliver high-quality traffic and conversions are more likely to justify higher fees.
• Conversion Rates: Analyze past conversion rates and compare them to industry benchmarks. High conversion rates might justify higher CPAs.
  Pilot Campaigns:
• Trial Period: Offer a trial period with negotiated lower fees or a performance-based compensation structure. Assess the affiliate’s performance during this period to determine if they meet your expectations.
• Performance Metrics: Use detailed performance metrics during the trial, such as CPA, Return on Ad Spend (ROAS), and Customer Lifetime Value (CLTV).

Negotiation and Flexibility

• Negotiable Terms: Be open to negotiating terms based on performance milestones. For instance, higher CPAs could be contingent on achieving specific performance targets.
• Incentive Structures: Implement tiered commission structures where the affiliate earns more for higher performance levels. This can align incentives and ensure that higher fees are justified by better results.
  Quality of Traffic:
• Source Analysis: Examine the quality of the traffic the affiliate drives. High-quality traffic with a lower bounce rate and higher engagement can justify higher fees.
• Audience Relevance: Ensure that the affiliate’s audience closely matches your target demographic. Relevant traffic is more likely to convert and justify higher costs.

Competitive Analysis

• Benchmarking: Compare the fees and CPAs requested by the affiliate with industry standards and what competitors are paying. This can provide context for whether the fees are reasonable.
• Peer Feedback: Gather feedback from other iGaming operators who have worked with the affiliate. This can provide insights into the affiliate’s performance and value.

Transparent Reporting

• Detailed Reports: Require affiliates to provide detailed reporting on traffic sources, conversion rates, and other key performance indicators. Transparency in reporting can help you verify the value they provide.
• Third-Party Verification: Use third-party analytics tools to verify the accuracy of the data provided by the affiliate.

Tools and Platforms

• Analytics and Tracking Tools: Google Analytics, Tune, Affise, or similar platforms can provide detailed insights into traffic quality and conversion metrics.
• Fraud Detection: Tools like FraudScore, Forensiq, or Opticks can help identify and mitigate fraudulent traffic, ensuring that the fees are justified by genuine performance.
• CRM and Data Analysis: Customer Relationship Management (CRM) systems and data analysis tools can help track long-term customer value and assess the real impact of the affiliate’s traffic.

Best Practices

• Clear Contracts: Draft clear contracts that outline the expectations, performance metrics, and payment terms. Include clauses that allow for adjustments based on performance.
• Ongoing Monitoring: Continuously monitor affiliate performance, even after initial evaluations. Regular reviews can help ensure that fees remain justified over time.
• Feedback Loops: Establish feedback loops with affiliates to discuss performance and areas for improvement. Constructive feedback can help align efforts and optimize results.

By employing these strategies, you can more effectively discern which affiliates justify their fees and CPAs, ensuring that your investments lead to meaningful returns and sustainable growth in your iGaming affiliate program.

Edward: How do you think a platform like Affiliate Roulette can benefit affiliate managers in the iGaming industry? Can you share any experiences or insights on how Affiliate Roulette has influenced your approach to affiliate management?

A platform like Affiliate Roulette can offer several significant benefits to affiliate managers in the iGaming industry. By streamlining affiliate discovery, vetting, and management, it can greatly enhance efficiency and effectiveness. Here are some ways Affiliate Roulette can be beneficial, along with insights on its influence on affiliate management practices:

Benefits of Affiliate Roulette

Streamlined Affiliate Discovery

• Comprehensive Database: Affiliate Roulette provides access to a vast database of affiliates, making it easier to discover potential partners who are aligned with your target audience and objectives.
• Advanced Filtering: The platform’s filtering options allow managers to quickly find affiliates based on specific criteria such as traffic quality, geographical reach, and niche focus.

Enhanced Vetting and Verification

• Performance Data: Affiliate Roulette offers detailed performance data and analytics on affiliates, helping managers assess their historical performance and traffic quality.
• Reputation and Reviews: Access to reviews and ratings from other operators can provide insights into an affiliate’s reliability and effectiveness.

Improved Relationship Management

Communication Tools: The platform includes built-in communication tools that facilitate direct interaction with affiliates, simplifying the negotiation and collaboration process.

Risk Mitigation

• Fraud Detection: Affiliate Roulette helps to identify and mitigate fraudulent activities early on.
• Read Reviews: See reviews on affiliates before doing business with them.

Influences on Affiliate Management Practices

Data-Driven Decision Making

Using the performance data and reviews available through Affiliate Roulette, affiliate managers can make more informed decisions about which affiliates to partner with. This shift towards data-driven decision-making helps in selecting high-performing affiliates and optimizing campaign outcomes.

Efficiency and Scalability

The platform’s ability to streamline affiliate discovery and management processes allows managers to handle a larger number of affiliates more effectively. This scalability is crucial for growing iGaming operations and maximizing reach without significantly increasing workload.

Enhanced Transparency and Accountability

With real reviews and rating, managers can maintain greater transparency and accountability in their affiliate programs. This transparency helps build stronger, trust-based relationships with affiliates and ensures that both parties are aligned in their goals.

Proactive Fraud and Compliance Management

Integrating fraud detection and compliance tools within the affiliate management process helps in proactively identifying potential issues. This proactive approach minimizes risks and ensures that the program adheres to industry standards and regulations.

Personal Insights and Experiences

• Efficiency Gains: My experience with Affiliate Roulette has highlighted the significant efficiency gains it provides. The ability to quickly find and vet affiliates based on reliable data has saved substantial time and resources.
• Improved Performance: By leveraging the platform’s analytics and tools, I’ve been able to focus on high-performing affiliates, leading to improved overall campaign performance and better ROI.
• Enhanced Collaboration: The integrated communication tools have facilitated smoother and more effective interactions with affiliates, leading to stronger partnerships and more successful campaigns.

Overall, Affiliate Roulette can transform the way affiliate managers operate in the iGaming industry, offering tools and insights that drive better performance, efficiency, and strategic decision-making.

Edward: In closing, what would you like to see offered from Affiliate Roulette that would help you have outstanding performance in 2024?

To achieve outstanding performance in 2024, several features and enhancements from Affiliate Roulette would be highly beneficial for affiliate managers in the iGaming industry. Here are some key areas where improvements and new offerings could make a significant impact:

Desired Features and Enhancements

Enhanced AI-Powered Analytics

• Predictive Analytics: Implement AI-powered predictive analytics to forecast affiliate performance based on historical data. This would help in identifying high-potential affiliates and optimizing campaigns proactively.
• Performance Insights: Offer deeper insights into what specific factors contribute to an affiliate’s success, such as content type, audience engagement, and traffic sources.
  Advanced Fraud Detection and Prevention:
• Real-Time Fraud Alerts: Enhance fraud detection capabilities with real-time alerts and more sophisticated algorithms to identify and prevent fraudulent activities before they impact campaigns.
  
• Behavioral Analysis: Use AI to analyze affiliate behavior patterns and detect anomalies that may indicate fraudulent practices or low-quality traffic.

Comprehensive Compliance Monitoring

• Automated Compliance Checks: Implement automated compliance monitoring to ensure that affiliates adhere to regional regulations, advertising standards, and responsible gaming practices.
• Compliance Reporting: Provide detailed compliance reports

We extend our sincere appreciation to Ilya Shutov, Affiliate Manager at Royal Partners, for graciously sharing his invaluable insights and expertise with us today. His thoughtful perspectives on the iGaming industry and affiliate strategies are truly enlightening.

Additionally, we want to express our heartfelt gratitude to our dedicated audience at The Inside Bet, in collaboration with Affiliate Roulette, for your unwavering support. Your continued engagement and enthusiasm are highly valued. As we embark on this exciting journey in the iGaming world, we promise to deliver more engaging interviews and content to empower your exploration.

Thank you for being an integral part of our community!