Due to a number of factors, including the pandemic, the iGaming industry is booming. Today’s rapid growth is a worldwide phenomenon. Established markets in Europe are still the biggest earners in the industry but new regulatory frameworks in the US have boosted that market as well. With a solid base already existing in the high income markets of the US and Europe, much of the focus within the industry has turned to less developed markets.
One firm that directly focuses on these markets is Veli Services. Its founder, Gia Janashvili, brings years of international experience in Latin America, Eastern Europe, and Africa to the industry. Veli Services, at its core, is an iGaming platform developer. Their focus is on developing new markets and is currently working on lasting partnerships in the pan-African market.
On the company’s recent investments in the region, Janashvili noted, “Many international markets have been overlooked by the iGaming industry as a whole because they aren’t able to adapt to the individual needs of these markets. With our investment in Paradirect, Veli Services is setting a new standard for B2B2C partnerships in the region.”
African Markets Represent an Excellent Opportunity for iGaming
Africa is poised to become one of the most important international iGaming markets. There are already some established markets in countries like Egypt and South Africa. However, the future of African iGaming is in new and, currently, underdeveloped markets. Congo, Nigeria, Kenya, Ghana, and more are all on the list of potential future markets with huge potential. There are three huge factors that make the pan-African market ripe for future growth.
Demographics
The demographics of the pan-African market are among the most promising worldwide. Over half of the population of Africa is under the age of 25. That means that the majority of the population is either within the dominant 20-29 demographic or will be entering it in the years to come. This gives Africa the best demographic outlook for iGaming worldwide, and we’re already starting to see the impact of that fact.
Regulatory Frameworks
Regulations are generally becoming more favorable for iGaming companies as well. There are 54 distinct countries within Africa, each with its own rules. While each country must be treated individually, the clear trend in the pan-African market is towards more tolerant regulations for iGaming in general.
Internet Accessibility
Internet access is also becoming rapidly more widespread throughout Africa. Globally, the continent has the lowest internet availability rates. Development on multiple fronts, from conventional infrastructure to projects like Starlink, are providing internet access at an unprecedented rate. More and more of the population is gaining internet access and consequently access to iGaming platforms.
Speaking on the specific choice to invest in the pan-African market, Janashvili stated, “One of the most important aspects of establishing effective B2B2C partnerships is identifying the potential for growth. We believe that the pan-African market is poised for significant growth in the near future, and our investment in Paradirect is just the beginning of our efforts in the region.”
The Pan-African Market Sees a Huge Rise in Investment
The pan-African market has seen a significant rise in investment, both in general and in iGaming specifically. The region has shown significant growth overall, with Central and Western Africa seeing marked increases in their GDPs year over year.
A variety of foreign ventures are expected to see over $4 trillion invested in Africa by 2025. This includes investments in all industries, with the majority of funding going towards energy and infrastructure. These clear signs of growth and development bode well for the iGaming industry in the region.
Revenues in most African iGaming markets have shown steady growth over the last several years. In 2021, the industry grew to nearly $300 million in South Africa and $185 million in Nigeria. Countries across the continent are seeing similar increases, with Ghana, Kenya, Ethiopia, and Congo growing rapidly.
Building B2B2C Partnerships in the Pan-African iGaming Market
Veli Services has recently built an important partnership with Paridirect, a pan-African gaming operator based in Congo-Brazzaville. Their investment in this market is allowing Veli Services to build better B2B2C partnerships throughout the wider region. The plan is to bring their unique iGaming solutions to more companies and markets of the region. Janashvili says “Our team at Veli Services couldn’t be more excited about the opportunities we’re seeing in the pan-African market today. We’re going to continue our approach of building effective B2B2C partnerships in the region, bringing our unique development approach to an ever-growing range of iGaming companies.”
The key to Veli Services’ ongoing success in this challenging market is their personalized approach to their partnerships. iGaming platforms need to appeal to the unique demands of each individual region. There’s no one-size-fits-all solution. Veli Services provides iGaming companies with the development support necessary to provide specialized platforms for particular markets and market segments.
As further growth continues in the pan-African market, Veli Services expects to continue building new B2B2C partnerships in the pan-African iGaming sector. In doing so, they’re able to help companies bring their customers the highest quality and most specialized iGaming platforms.