New research by industry investor Waterhouse VC reveals the innovative approaches emerging iGaming startups are using to acquire their first customers. This research includes his extensive engagement with a variety of companies, both B2C and B2B, in the online gambling sector and reveals the diverse tactics employed during the critical early stages of business growth. Ta.
The study found that high-touch customer engagement is a key strategy for most startups. Tom Waterhouse, chief investment officer at Waterhouse VC, emphasized that while this approach is not easily scalable, it is important to establish a strong customer base in the early stages. “Our findings suggest a shift away from traditional methods to more organic, engagement-focused tactics,” Waterhouse said.
From a strategy perspective, the report identified a clear dichotomy between B2B and B2C startups. B2B Free Games Providers B2B companies like Low6 typically focus on one or two strategies. On the other hand, B2C startups such as online crypto casino Shuffle tend to take a broader approach and often utilize three or more diverse strategies for customer acquisition.
Shuffle’s success story was highlighted as particularly noteworthy. Shuffle’s Ishan Haque explained his unique approach: “Instead of participating in traditional acquisition channels such as streaming or traditional affiliate marketing, we realized our strength was in finding influencers with a small number of followers, but whose followers were in his 1000s. It was made up of people who were true fans.”
Another approach that gained attention was the use of strategic partnerships and networking, as exemplified by Circle Squared, a product and technology consultancy in the iGaming space.
Co-founder Clyde Harris shared how leveraging existing networks and forming strategic alliances has helped the company acquire new customers and increase its visibility in the industry.
A surprising insight from the report was the lack of emphasis on paid advertising among these startups. This reflects the industry’s broader trend towards more organic growth methods and the importance of understanding and engaging with your target audience directly.
In addition to engagement and partnerships, encouraging early adopters is also proving to be a popular tactic, especially among startups like Voxbet, a Dublin-based “speak to bet” technology company. It turns out. “Typically, we have used exclusivity to reward early adopters,” said Voxbet founder and CEO Jonathan Power.
The findings highlight the importance of creative and engaging strategies for customer acquisition in the iGaming space. As these startups continue to evolve, their innovative approaches to building customer relationships are creating new trends in the industry.
For details on all the tactics used, Waterhouse VC’s full report is available on its website.
