Strategic partnerships redefine the landscape of the wagering sector
Cross-industry collaborations are revolutionizing the gambling world, as industry leaders unveiled at the 2025 NEXT Summit in New York. These collaborations between operators, sports leagues, and other sectors are reshaping the industry's dynamics.
Insights on Market Momentum
The Cross-Industry Partnerships panel revealed the rapid growth of these partnerships between gambling operators and sports leagues. Dana Worby-Robinson, partnerships development manager at BetMGM, stressed the critical role these relationships play in market expansion. BetMGM, leading the US industry with the most team partnerships, emphasized the importance of a proprietary grading system to ensure each collaboration delivers tangible benefits.
Regional Operators: Navigating Challenges
Laurel Pittman, director of sports betting at Desert Diamond Casinos, acknowledged the struggles regional operators face in competing with national brands for sports partnerships. Many larger operators have secured exclusivity agreements, limiting advertising opportunities for smaller brands. Nevertheless, local operators like Desert Diamond Casinos are finding success with alternative strategies, such as focusing on collaborations with entertainment venues.
Evolving Collaboration Landscape
Daniel Kustelski, co-founder and CEO of Chalkline, highlighted the shift in sports partnerships towards securing regulatory access. In states like Ohio, collaborations with teams such as the Cleveland Cavaliers have played a pivotal role in market entry. Furthermore, the panel discussed the growing trend of partnerships beyond the sports sector, such as BetMGM's collaboration with Marriott International, bridging the gap between the gaming and hospitality industries.
The Shifting Focus: Customer Retention
As the gambling industry matures, the emphasis is moving from acquisition-driven models to retention-focused strategies. Partnerships are now being evaluated based on their ability to drive customer retention rather than solely offering brand exposure. Long-term agreements that contribute to sustained customer engagement are becoming a priority, with some no longer being renewed.
The Future of Industry Collaborations
The panel concluded with predictions on future collaborations. A growing trend is partnerships that merge gambling with lifestyle brands, with loyalty programs becoming a focal point. Regional operators are advised to prioritize partnerships that align with their customer base's preferences and habits. Whether through sports, entertainment, or hospitality, the future of the industry will be shaped by strategic collaborations that prioritize engagement and long-term value.
In essence, the gambling industry is leveraging cross-industry partnerships to drive market expansion, enhance customer retention, and adapt to changing market dynamics—all while ensuring regulatory compliance and delivering innovative, engaging experiences.
- BetMGM, which leads the US industry with the most team partnerships, believes that a proprietary grading system is essential to guarantee each collaboration contributes to market growth.
- Daniel Kustelski from Chalkline pointed out that sports partnerships are evolving, with a focus on securing regulatory access for market entry, as seen in states like Ohio with teams such as the Cleveland Cavaliers.
- Laurel Pittman of Desert Diamond Casinos underscored the challenges regional operators face in competing for sports partnerships against national brands, but noted their success in focusing on collaborations with entertainment venues.
- As the gambling industry advances, partnerships are increasingly evaluated based on their capacity to drive customer retention rather than just offering brand exposure, with long-term agreements becoming a priority and the formation of partnerships with lifestyle brands a growing trend.
