Nigeria Meets Betinvest Requirements
Nigeria has passed the five criteria against which Betinvest assesses potential target markets. This means that the iGaming company is ready to make its move into the most populous country in Africa. However, although more than US$5 million gets spent on sports betting every day, the Nigerian market is still not properly prepared for the online industry. This is in addition to it being subject to the challenges posed by an overlap between national and regulatory boundaries.
The Attraction of the Nigerian Market
Valentyn Kyrylenko, the Vice President of Business Development for Betinvest, explained the country’s appeal. The size of its sports fan population is why his company is so interested in it. He stated that his organisation is more than able to meet the demand for blue-ribbon sporting entertainment content and solutions.
Kyrylenko described the 5 key criteria against which new regions and countries are tested. They consist of the economic growth and potential, people having access to the Internet and which devices they use to connect, and how well Betinvest products would meet market expectations. A review of the regulations governing the gambling industry and an assessment of demand from sports fans are also taken into account.
He went on to explain that Nigeria has one of the largest economies on the African continent thanks to revenue from oil exports and that it also plays an important part in the global economy. With a sports betting market estimated to be worth roughly US$2 billion, investing there just makes good sense.
The growing football culture and increasingly widespread use of smartphones and the Internet have also had a very positive effect on industry growth. Recent research revealed that 50% of Nigerians enjoy online access, and 46% of these do so via mobile devices. These figures are growing year-on-year, and Internet connection speeds are constantly improving.
The Issue of Regulatory Frameworks
Kyrylenko also discussed concerns over the Nigerian laws on sports betting, especially regarding the lack of regulation when it comes to wagering online. He explained that poor Internet coverage across the whole of Africa makes the continent better suited to land-based bookmaking. Additionally, current regulatory frameworks are under-prepared for overseeing online services.
The Nigerian betting industry is currently governed at 2 levels, national and regional, in Lagos and Edo respectively. Remote gambling remains unregulated, even though online lotteries operate legally and are subject to Lagos licensing regulation. Online gambling in general, however, is not against the law, but it’s also not monitored.
He said that the administrative overlap at the state and federal levels remains a concern since operators could well be taxed twice because of this. Furthermore, a noticeable preference remains for local domains ending in .ng. This is something that operators considering starting a business in this region will need to take into account.
What Betinvest Will Bring to the Table
Kyrylenko stated that Betinvest would supply the features specifically required in Nigeria. These include high-speed connections, full mobile-support, good design for UI and UX, and appropriate payment method. In addition, they have a fully functional back office that allows them to properly manage their software and implement tools to not only attract new players but to retain existing ones too.