Entering a Market Is Not Enough: Sustainability Is the Real Issue

Pronet Gaming finance chief Naman Paropkari wrote that Asia-based online operators expanding into Europe and Latin America should take more into account than the size of the market. In his view, entering a new market is only the starting point. The real challenge is building a model that can stay commercially viable after launch.

Paropkari notes that the licence is not the only cost. Technology, compliance, payment systems, localization, integrations, marketing and operational resources are also part of the calculation. He says these items can vary significantly by jurisdiction, so a single financial model may not work in every market. He warns that a market that looks attractive at first glance can lose its value once the full cost of operating there is understood.

On the technology side, the writer points out that complexity grows as the business expands. Each new market can require additional configuration, integrations and processes. Paropkari, who argues that a shared platform can reduce these repetitions, says Pronet Gaming's platform supports local setups for language, currency and regulation, and offers flexibility over the front-end experience. He adds that the question should not be how many suppliers there are, but whether the technology ecosystem makes the operation more efficient.

According to the writer, finance teams should not limit themselves to traditional reporting. Questions such as how much technology resource a new market will require, how many integrations will be needed, what support will be necessary, and how long it will take the market to reach meaningful scale should all be answered.