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N1 Insights presents the top iGaming trends in May 2026
In the May 2026 edition of N1 Insights, experts from N1 Partners have shared which traffic sources are effective, where growth opportunities can be observed, and what mistakes to avoid while scaling.
Traffic sources
Many people still rely on splitting audiences and looking for perfect targeting when the current system actually works in a different way.
Alexey Gusarov, Affiliate Team Lead at N1 Partners, commented:
“Broad audiences perform best, but only under one condition: if events are properly set up and high-quality signals are being passed (who pays, how much they pay, etc.). Without this, broad targeting will simply dilute the budget.”
Short-form videos are also underrated, but their CPMs are often lower, with performance still matching other formats, especially with natural creatives.
The latest updates on Facebook have led to bans and drops in optimization, so expanding traffic sources is a logical way of navigating these difficulties without suffering losses.
That said, alternative sources are also on the rise, with In-App giving strong volume and ASO providing higher-quality traffic.
PPC
At the moment, search is being overestimated as a scaling channel, but it still remains a stable and high-converting method despite competition and limited growth in Tier-1.
Daria Smirnova, Affiliate Team Lead at N1 Partners, added:
“UAC can be considered an underrated channel, but only for those who know how to work with data and LTV. It often seems weak due to the lack of control, but in practice, it can deliver strong scale and efficiency.”
Demand Gen can efficiently warm up the audience and produce good results if it’s mixed with the correct creative, but sometimes it’s used incorrectly or treated as a replacement for YouTube.
In the past, PPC accounted for 60-80% of traffic, but the number has decreased to 30-50% because of rising CPCs and competition. On the other hand, there’s been growth in alternative sources, with Facebook attracting new audiences, In-App providing scalable and low-cost traffic, and ASO helping with cost-efficient installs.
Market overview
The top traffic sources in May 2026 are Google and Facebook, with the most stable ROI. Additionally, Facebook is showing a strong recovery after a weaker February 2026.
Dependence on platforms like Meta and Google is still high because there are no similar alternatives. There are platforms like Moloco Ads, but they still don’t have the same quality and are also strengthening their policies. The trend towards more compliance is visible, as grey brands are being pushed out of the industry.
Traffic quality
In 2026, Facebook traffic quality can vary from cohort to cohort, so evaluation can’t be based on just one metric anymore; it has to be a mix of different indicators.
Alexey Gusarov, Affiliate Team Lead at N1 Partners, said:
“Key metrics remain the total deposit volume over a given period and its cohort dynamics, which allow you to see how traffic behaves across days and how LTV is built over time. At the same time, particular focus is placed on the share of repeat deposits, as they typically determine the true profitability of the traffic.”
However, high rollers don’t always mean high-quality traffic. They can simply be random or consistent, especially if we’re talking about bigger volumes.
In 2025, Facebook was being treated as a large-scale spending channel, but after Q1 2026, this has changed, as brands are now offering better terms for setups that show consistent profitability.
Traffic quality and result predictability are now the focus, which is noticeable in strategies based on cleaner setups, as they allow for better control over unit economics.
One common mistake is underestimating LTV and making conclusions based on short-term results. Another issue is the lack of flow structure analysis, because profitability can be generated by a few high rollers, which creates a false impression of stability. Single-deposit users are also sometimes ignored, although they directly influence long-term sustainability.
PPC
To evaluate PPC traffic, more in-depth methods have to be used in 2026, such as the ROAS during different time periods, mostly at 1, 2, and 4 weeks. This allows teams to evaluate user behavior over time. LTV and long-term user value also have to be considered. This means that the assessment has to focus on long-term value, not just short-term performance.
In Q1 2026, the priority between volume and profitability has mostly returned to quality. Now, it’s better to have less traffic but positive ROAS rather than bigger volumes with unclear profitability.
Today, the most common PPC traffic quality evaluation mistakes are the result of oversimplified metrics. Many focus on CPA only and ignore LTV.
Daria Smirnova, Affiliate Team Lead at N1 Partners, stressed:
“The key issue is trying to evaluate complex traffic economics using short-term, superficial metrics instead of analyzing long-term profitability and user quality.”
Overall metrics
For in-house teams, the best metric is the ratio of spend to profit; for affiliates, ROI is the main indicator. But in both cases, profit remains the focus.
In most cases, the point where the funnel breaks when working with paid traffic is connected to PWA apps, push funnels, and unstable cloaking setups. These can fail at any time and hit results very hard.
Working with brands and market requirements
The willingness of brands to offer flexible terms for Facebook varies, because some brands know how to measure profitability and create predictive models, while others avoid this source because of high costs and lower average ticket sizes.
Alexey Gusarov, Affiliate Team Lead at N1 Partners, commented:
“FB is a source that can meet the demand for large traffic volumes. If an advertiser knows how to work with it and identify high-quality traffic streams, they are willing to pay well above the market.”
The change in advertiser requirements for Facebook traffic is mostly about everyone evaluating traffic more deeply than before, so bringing in users isn’t enough anymore. Today, LTV, the RD-to-FD ratio, and traffic profitability over a given period are more important.
Also, advertisers want more transparency, as they want to understand what’s really happening with the traffic instead of just seeing numbers in reports.
PPC
PPC has now become a tool for controlled efficiency, with each campaign assessed through unit economics.
Daria Smirnova, Affiliate Team Lead at N1 Partners, said:
“In Tier-1, PPC has definitively stopped being a volume-driven channel. It’s no longer enough for brands to receive a flow of FTDs; what matters now is that the traffic is profitable and sustainable in the long run.”
Decisions are data-driven but are made much faster. When baseline economics and average player value become clear, campaigns can be shut down in just a week during testing. Meanwhile, scaling happens more quickly if the traffic shows strong quality, as teams want to use available volume and replicate successful setups for other brands.
Approaches, creatives, and hypotheses
Formats that don’t look like ads perform better, as it’s also logical to test multiple creatives because one winning concept doesn’t last long. Regarding data, anything connected to passing user value provides the algorithm a better understanding of who to target. Also, different audiences need different messaging, so it’s more effective to cover everything with multiple campaigns.
In the past, segmentation used to be the main approach for managing ads, but its position has changed now. Currently, it’s a supporting tool, and what matters more is the data that is passed and the audience that is built based on it. There’s been a refocus from who to target to how to train the algorithm, meaning that Facebook has to get the right signals and creative in order to find the right audience.
Regarding mistakes in Facebook testing, making decisions too quickly is the biggest one, because campaigns don’t get enough time to learn before being shut down. The second issue is complicated structures, as too many ad sets make it harder for the system to optimize correctly.
Weak data is another problem. The algorithm will target the wrong users if it gets low-quality signals. Fully relying on just one creative is also risky, because modern creatives burn out really fast. Lastly, new placements shouldn’t be ignored, as they can lead to unnecessarily high traffic costs.
PPC
PPC testing has to focus on hypotheses connected to higher quality and not just more traffic. In May, it’s also important to work with user intent in search traffic, as it’s the main factor behind Search performance.
Daria Smirnova, Affiliate Team Lead at N1 Partners, shared:
“Search PPC today is not just about ‘responding to a query,’ but about engaging with the user’s level of intent. The more precisely the query matches the user’s intent, the higher the conversion rate and the lower the cost of acquiring a quality player.”
PPC funnels are getting simpler in structure but more complex logically. This leads to less difficult setups and manual control but increased analysis, testing, and focus on the quality of traffic.
Funnels and approaches
In Tier-1, Facebook, Telegram, and SEO still don’t lead to stable results because Telegram’s perception hasn’t changed for the audience. With strong optimization, however, these funnels can work in Tier-3.
For paid traffic, the market is quite stable now, with no new approaches in sight. Classic setups continue delivering predictable results.
Creatives
For Tier-1 GEOs, the main thing is to align the creative and the entire funnel, because in these markets, conversions can be stable only when all stages work together. On the other hand, aggressive formats and crash-style methods burn out the fastest.
Continuous creative rotation is a must, with single creatives no longer delivering strong volume.
When scaling creatives, the first mistake is trying to scale the same creatives without making any changes. In the case of Facebook, this is especially important because performance drops if the creative is the same.
GEOs, regulations, and the future
GEO
Australia remains the hardest market to keep a stable ROI, as it’s been really volatile. Germany and Austria seem more promising with lower competition compared to other GEOs. If you’re looking to test new setups with low risks, Eastern European countries are the safest choice.
The GEOs demanding the highest creative and funnel adaptation are Australia and Canada.
Regulations and risks
In terms of moderation, Google and Facebook are the most challenging platforms. They are strengthening control and tightening sensitivity to details. Even the smallest changes, like promo code adjustments, can lead to bans.
Risks have also become less predictable with the rise of sensitivity towards behavioral and technical account signals. Selfie verification is another problem; it can be triggered without clear reasons, and the mechanics behind it aren’t fully understood.
Talking about the decline of grey approaches, teams are starting to work more deeply on setups and trying to decrease unnecessary costs.
Finally, underestimated scaling risks include account overspend, which can happen even on old accounts if the budgets are raised.
The rise of AI
In 2026, AI can’t replace the buyer’s expertise and doesn’t provide stable results connected to analyzing or optimizing setups, so it’s not a magic solution for arbitrage.
The usage of automation in white marketing is clearly visible, but its potential is limited in arbitrage because adaptability and expertise still play the main role.
In May, the focus on quality and predictable profitability in iGaming will be clear, with a shift from volume to LTV, stable unit economics, and repeat deposits.
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N1 SEO Traffic Cup, the first tournament in the N1 Traffic Cups series by N1 Partners, is now in its final stretch, with April 30 marking the last day of the promo.Over...
