SiGMA FOCUS Mexico brought together leading experts in the industry to discuss the virtues and challenges facing the Mexican gambling market.
The discussion was moderated by Kym Sleezer, the CEO of Triple Ripple Group, a company that is dedicated exclusively to the gaming industry, Cris Matuz, COO of Ganabet Mexico, as well as Enrique Romero, the commercial director of NetBet braised the panel. A country of growth and extreme poverty: the dichotomy within the Mexican Market
Mexico is the second largest economy in Latin America and the fifteenth largest worldwide. Within the sector, estimates of revenue fall around values of one or two billion up to approximately 10 billion.
The virtues of the Mexican market
The Mexican market has appealed to investors within the industry given its strong numbers in question. Matuz expands on the topic addressing the virtues of interest in the Mexican market:
The main interest is size, being the economy that is Mexico. The eyes of many international operators have recently been set on the country. I think it is attractive and I think that given the conditions of a market that is starting to decline a little in other parts of the world, it is normal that Latin America is being seen as an important part of a new acquisition at a global level.
Romero chips into the discussion referencing the dichotomy between the attention of foreign companies in Mexico, and the internal permit holders noting that, while well deserving, “one must also have a certain respect for those Mexican operators or operators who are already located in Mexico and who have every intention of conquering”.
Challenges facing the Mexican Market
Consensus regarding the problems within the Mexican market come from both the operators and the players sides. Romero explains that players have an overall lack of industry know-how and knowledge of the use of the platforms, while operators need to understand the Mexican market better - beyond the passion for football and American Sports.
In some terms he [the operator] has known how to identify the Mexican user. There is also the part of not getting 100% involved with what the laws are in Mexico and complying strictly with everything they demand of us.
Romero continues stating that he believes in creating a “good environment and a healthy ecosystem” to support the real needs of the player.
Matuz chimes in addressing the juxtaposition between Mexico being a country with stable and moderate growth while also experiencing extreme poverty. This is especially significant when discussing responsible gambling as he notes this can cause non-recreational behaviour.
“a problem of bonus abuse, etc., could be established. A lack of understanding the rules, I think that the gambler sometimes reaches a point where he doesn't seem to want to play for entertainment. That's a problem for all operators”.
SiGMA Group Americas Digital Summit is running from the 22nd to 24th September, bringing well-known faces from the Latin American gaming and tech sector to a series of in-depth debate panels, with content offered in Spanish, Portuguese, and English.
The 7th edition of SiGMA Europe will move its November event to February 16th to 18th 2021.