iGaming Growth Strategies: PLG vs. MLG vs. SLG

Most companies in the gambling industry choose traditional marketing-led growth (MLG) or sales-led growth (SLG) strategies. Product-led growth is rarely the first choice for these businesses. This article examines why companies make these choices and what each approach offers.

Notix.Games stands out as an iGaming business growth strategy company that uses product-led growth in its approach. Product research, hypothesis building, and testing provide the best opportunity to create an excellent product. This customer-focused approach is often overlooked in traditional MLG and SLG strategies.

Understanding the strengths and limitations of each growth strategy can help iGaming industry insights benefit companies by helping them make better decisions. Let's examine what makes each approach unique and when it might be the right choice for a business.

Marketing-Led Growth (MLG) in iGaming

iGaming marketing-led growth focuses on using marketing tools such as content marketing, SEO, social media marketing, and paid advertising to attract new customers.

It is challenging to launch new products without proper digital marketing. While the product department at Notix.Games tests hypotheses and conducts research for the MVP, the marketing team runs campaigns to build awareness.

Sales-Led Growth (SLG) in iGaming

iGaming sales-led growth relies on sales tactics like outbound sales, email newsletters, and building personalized relationships to convert leads into customers.

The industry is constantly evolving, requiring swift adaptation to keep pace with the fast-moving world of iGaming digital marketing. Sales teams collect direct feedback from potential customers and share it with the product team. Based on this feedback, the product team conducts research to satisfy customer needs and improve product quality.

Product-Led Growth (PLG) in iGaming

iGaming product-led growth focuses on defining the right product that fits the market needs and drives business value.

Why Notix.Games Prioritizes PLG

Notix.Games follows the product approach. The focus remains on the product, with metrics centered around its performance. Notix.Games started with discovery, which serves as the primary opportunity to generate maximum value.

It is always helpful to conduct research from different angles to understand what is in demand in the iGaming lead generation market now:

1. What do competitors offer?
2. Which games and mechanics are the most popular?
3. Which markets are heavily regulated, and which are easier to start with?
4. Which markets are worth targeting?
5. Which components will the final product include?
6. Which criteria should be taken into account when selecting and prioritizing MVPs?

It is important to keep up with new trends in iGaming player retention constantly. All of the above helped form the company's vision and strategy.

It is important to note that the product should be focused on serving the customer, NOT the business. The product team is responsible for the appearance and functionality of the product. Any enhancements that customers request along with new functionality go through the product team, where companies identify growth opportunities, assess risks, and ultimately understand what the new functionality will bring.

The new enhancement has the potential to be scaled to other clients. The marketing and sales departments are considered key stakeholders. All opinions and suggestions for product development are considered, primarily focusing on meeting player needs and enhancing retention.

How to Choose a Growth Strategy in iGaming

Products typically go through four stages of maturity:

Stage 1: Introduction

MLG and SLG work well here. Marketing attracts a motivated audience, and the sales approach works because the audience is small.

Stage 2: Growth

This stage is where Moore's Abyss must be overcome. Moore's Abyss (named after Geoffrey Moore) refers to the gap between early adopters and the mainstream market. It represents the challenging transition when a product must evolve from appealing to innovators and early adopters to attracting the early majority.

Most products fail to bridge this gap and become obsolete at this stage. Successfully bridging this gap requires adjusting marketing, sales, and product strategies to appeal to more pragmatic customers, which leads to better retention.

Stage 3: Maturity

Product-led growth becomes important when the audience grows dramatically and becomes less motivated. Scaling a sales team for everyone becomes expensive. Marketing costs for acquiring new customers increase until it becomes unprofitable. This stage is where PLG works best for long-term retention.

Stage 4: Decline

The product loses market share at this stage, and customer interest decreases. Companies must decide whether to reinvent the product, maintain it with minimal resources, or withdraw it from the market.

A strong product foundation built through product-led growth can extend the life cycle before reaching this stage. Companies with data-driven PLG approaches can often identify early warning signs and make necessary adjustments to maintain retention.

Combining SLG, MLG, and PLG

No single approach is perfect. Each has room for improvement, and they are not mutually exclusive growth strategies.

• At launch: Sales Led + Product Assisted

SLG and MLG can deliver value to clients faster. The account manager connects the client and company, bypassing product research and sending client requirements directly to development. This individual creates a customized product for each client using digital tools.

• During growth: Product Led + Sales Assisted

As the product develops, it transitions to a product-led + sales-assisted approach and eventually to a pure growth approach. Whether pure PLG is possible in iGaming remains a question for further discussion and insights.

The Future of PLG in iGaming

Incorporating a product approach into business means focusing on creating high-quality and innovative products that attract and retain customers. It also enables the creation of games and platforms that are a major driver of growth, leading to long-term business success.

When properly implemented, sales-led growth and product-led growth each offer distinct advantages for iGaming industries. The key is finding the right balance for your specific business context.

iGaming Business Growth: Key Takeaways

You can see that either approach is not perfect and has areas for improvement. However, each is not mutually exclusive of the other.

The choice of iGaming business growth strategies often depends on the nature of the business, target market, resources, and company goals. In the long term, costs will increase dramatically with pure SLG/MLG approaches as the market and customer base grow.