Month: November 2023

Slot Trumps moves to Greece for its third market, assessing whether a long-running regulatory process has created a new growth opportunity for igaming. 

Slots were firmly in the government’s sights throughout this process. At first, any game using a random number generator was banned. This was ultimately lifted, although the market launched with a €2 per spin stake cap and a three-second delay between spins. 

The maximum bet limit was raised to €20 per spin in May 2022, but has this changed player behaviour in Greece?

Greeks stick to the classics

As a Balkan country there’s a focus on classic slot themes, according to EveryMatrix’s Slot Trumps, similar to Romania. Games with fruit symbols or animals tend to perform best, making up 17.6% and 15% of the most popular 1,865 games available on SlotMatrix. 

Greek slot players also prefer classic features, especially those that offer them more game time such as free spins, which can be found in 60% of the market’s most popular games. Wilds, a tried-and-tested base game feature, also perform well in Greece. 

Slot Trumps Greece: Lower stakes, longer sessions

Lower average bet sizes show the impact of stake limits on Greek slot players, according to the Slot Trumps Greece dashboard. 

Across the top 20 games on SlotMatrix, bets per spin average €0.79. This shows the impact of the maximum bet cap on slots in Greece, significantly lower than Romania’s €2.59 average bet and even below the €1.04 staked by Brazilian slot players. 

Simliar to Romania, players prefer a medium-high volatility slot, but they are significantly more active. Greek players average 6.2 sessions across SlotMatrix’s top 20 games, higher than Romania (4.1) and Brazil (5.11).

“What’s more, a Greek player places considerably more bets during each gaming session than their counterparts in Brazil and Romania,” EveryMatrix adds. 

Swanell told investors at the AGM that PointsBet remains on course to break even this year and deliver growth in FY25. The CEO reiterated the rationale behind the $225.0m sale of its US business to Fanatics. He also gave an update on growth targets in its remaining Australian and Canadian markets.

Central to its performance, Swanell said, will be the proprietary technology powering its own platforms as well as Fanatics. In total, PointsBet’s platform handled more than $7bn in wagers during the most recent financial year.

PointsBet also retains the rights to use and further develop the Banach “Oddsfactory” technology assets. This drives in-play, parlay products and cash-out features in Australia, Canada and the US.

“The strength of our technology has also been validated through our sale of the platform to the Fanatics,” Swanell said. “While we have provided Fanatics with a perpetual licence to our technology platform, importantly we retain ownership of this technology. That means we can develop and exploit it in a manner that creates the most value for PointsBet shareholders.

“I believe it is important for shareholders to understand just how valuable our technology has become. It has been one of the critical features of our company and it bodes well for the value and the future of the Australian and Canadian business.”

Swanell added: “The bottom line is that our technology organisation is not just agile; it’s a powerful, reliable machine that can handle both the horizontal and vertical scaling needs of the market, making our app highly user-friendly and efficient. We believe our technology will continue to drive our success in the upcoming year and beyond.”

PointsBet on track to deliver targets

In his address, Swanell said PointsBet remains on track to deliver its FY24 guidance following the first five months.

Revenue from continuing operations in Australia and Canada have grown from $26m in FY19 to an anticipated $230m-$250m in FY24.

This would be 10%-20% up on FY23. PointsBet still expects continuing operations to be run-rating at EBITDA monthly breakeven around April 2024 and to be EBITDA positive in FY25.

“This means we can deliver strong ongoing growth profitably and do not anticipate any external funding requirements to deliver this outcome,” he said.

Turnover at PointsBet fell 3.4% to $611.0m during its Q1 2024, ending 30 September. This was despite the company’s Canadian turnover rising 111.4% to $44.2m. Its Australian turnover, however, fell 7.3% to $566.9m.

PointsBet’s net win from sports betting continuing operations grew 14.7% to $55.1m. Net win from igaming also surged 130.7% to $3.0m. This brought the total net win from continuing operations to $58.2m, up by 18.0%.

The RFP seeks a solution allowing players to self-exclude from all Ontario regulated igaming operators in a single registration process. iGaming Ontario, which regulated online gambling in the province, plans to launch the RGP in early 2024.

The winning bid will be expected to develop and implement a system that integrates with all operator systems. This should also support players’ self-exclusion registration, renewal and reinstatement. 

Calls for simple and transparent system

Key features of the system should include a player focused solution that is easy for players to use and self-exclude. iGaming Ontario also said that the system should be delivered and executed in non-stigmatised, non-judgmental manner and support users.

The regulator also called for the solution to be transparent for players and operators, as well as secure for all users. In addition, it should be viable for licensees to implement alongside their own offerings. 

“We are seeking interest from responsive and nimble companies that are able to build modern, innovative, secure cloud-based SaaS solutions that are high-profile, public-facing and critically important to building and maintaining the trust and confidence of a wide range of stakeholders.” iGaming Ontario said.

“The successful bidder will partner with us on a multi-year program to develop best-in-class experiences by leveraging modern, innovative technology.”

Ontario igaming revenue more than doubles in Q2

Plan for the RFP come after figures last month showed online gambling revenue in Ontario more than doubled year-on-year in Q2 to CA$540m (£315m/€363m/US$397m). 

Some $407m came from online casino, $118m sports betting and $16m poker. Revenue covers all cash wagers, rake fees, tournament fees and other fees, minus player winnings.

As for player spending, total igaming wagers in Q2 rocketed 132% to $14.20bn. Consumers bet $11.90bn on internet casino games, $1.90bn sports betting and $397m online poker. This does not include promotional wagers such as bonuses and free bets.

PointsBet Canada fined for responsible gambling failures

Earlier this month, the Alcohol and Gaming Commission of Ontario (AGCO) fined PointsBet Canada CA$150,000 for breaching responsible gambling rules.

Violations included failing to assist a customer potentially experiencing gambling harm. The player in question lost over $500,000 in under three months.

The user was flagged as potentially high-risk by PointsBet Canada’s systems on multiple occasions. This included when incurring significant losses and making repeated withdrawal cancellations. However, AGCO says no interventions were provided during that period.

PointsBet Canada was also rapped for failing to enforce a 24-hour cooling-off period when players cancelled their per-day deposit limit. This is required under Ontario licences

In September, iGB took a closer look at Ontario market and its development during year one of regulation. Only Ontario has a regulated igaming market, which went live in April 2022.

Online gaming is prohibited in other Canadian provinces outside of the provincial lottery corporations, which have a de facto monopoly. NorthStar’s new dotcom venture is not regulated by Canadian authorities outside of Ontario.

The awards recognise people and organisations with a milestone achievement or landmark over the previous 12 months. Clarion Gaming has hosted the ICE Landmark Awards at each edition of ICE since 2013.

A total of 11 honours will be celebrated at the 2024 ICE Landmark Awards. Previous awards handed out include long-service milestones, company anniversaries and contributions to B2B journalism.

Industry members wishing to nominate an individual or organisation for an award should contact Clarion Gaming managing director Stuart Hunter. All nominations can be emailed to Stuart.Hunter@clarionevents.com.

“The ICE Landmarks reflect the pivotal role that the exhibition has and continues to play in providing a launchpad for the greatest epoch-defining games including those landmark initiatives that have changed the way in which the world is entertained,” Hunter said.

“In addition to what is a long list of iconic products, ICE has also served as the place where the industry chooses to meet and where the landmark decisions which have shaped the future of the industry are made.

“The ICE Landmarks are inspired by the show’s status on the world stage and a recognition that it continues to be the event where the industry celebrates historic events.”

ICE marks final London exhibition before Barcelona move

Incidentally, ICE 2024 will mark the final edition of ICE before it is relocated to Barcelona in Spain from 2025. Registration for ICE 2024, which runs from 6-8 February at the London ExCeL, is now open. 

ICE and iGB Affiliate will move after an extensive six-month bidding process. At the same time, iGB L!VE will relocate to London in 2025. Barcelona was selected from a four-city shortlist, competing alongside Madrid, Paris and ICE’s long-term home, London. 

The ICE relocation project, run in partnership with event strategy and location specialist Equimore, factored more than 30 variables into its decision-making process. Venue visits, city presentations and detailed negotiations also took place.

ICE 2024 will feature more than 600, exhibitors and thousands of product launches. It also offers visitors the opportunity to engage with leaders, decision makers and regulators across all gaming sectors and verticals. 

The projects make up the first subsidy round of the new ZonMw Prevention of Gambling Addiction programme. ZonMw, a healthcare research body, has been tasked by gaming regulator Kansspelautoriteit (KSA) to run the programme, which lasts until 2029.

The financing of the six projects comes from the VPF, which was set up in 2021 and receives cash from an additional gambling levy on high-risk games of chance. The VPF, managed by KSA, has several spending goals, including research into the prevention and treatment of gambling addiction.

“The ‘breakthrough round’ focuses on issues about vulnerable groups, prevention, treatment and interventions,” said a spokesperson. “Also, gambling-related damage and the product characteristics and context of gambling.”

What the problem gambling research projects will study

Among the research projects are an evaluation and innovation of effective CBT treatment for gambling at Amsterdam UMC. Trimbos Institute will look into developing and testing the effectiveness of Moti-4 for gambling problems in youth.

Trimbos and Amsterdam UMC have both received two awards, with the other projects at University of Amsterdam and IVO. This University of Amsterdam research maps out what type of ads vulnerable groups in the Netherlands come into contact with. The consequences of these gambling ads for vulnerable groups are being looked at.

ZonMw was chosen to run the programme in 2021, just weeks before the launch of the Netherlands’ licensed gambling market. Human Assistance Network for Daily Support (HANDS) and The National Healthcare Institute were tasked with leading initiatives to minimise harm.

The Prevention of Gambling Addiction programme launched in March 2023. A call for grants was issued those that work within prevention and treatment of gambling addiction and problems.

Gussem will now work with a multidisciplinary team and focus on strengthening integrity functions across football in Brazil. This includes overseeing a new integrity unit within the CBF.

He will also work with partners to help identify and punish criminals in Brazil. These include the International Centre for Sports Security, Global Alliance for Sports Integrity and a private investigative task force.

Gussem joins having previously been attorney-general of justice and president of the Public Ministry Association in Rio de Janeiro.

CBF: Online sports betting increases risk of football manipulation 

CBF president Ednaldo Rodrigues said the rising popularity of sports betting has increased the risk of manipulation in football. He added that this is particularly an issue within the online wagering segment.

“All countries and all sports are subject to the possibility of manipulation of sports competitions,” Rodrigues said. “This phenomenon is a global threat to the integrity of sport and demands a collective global response. 

“An effective fight against the manipulation of sports competitions requires agile, fast, sustainable and effective national and international cooperation. There should also be dialogue and cooperation between public authorities, sports organisations, competition organisers and sports betting operators at national and international level. 

“This is essential in the search for common effective responses to the challenges posed by the problem of manipulating sports competitions. Our integrity unit will work permanently on these issues.”

Speaking about the role, Gussem said the challenge of addressing manipulation in football was “enormous”. 

“The integrity unit is a new and pioneering structure,” Gussem said. “We aim to bring rigidity and security to football.

“Today, there are several questions regarding the issue of betting and the manipulation of results. And we will carefully analyse all of this, building quick solutions for the public, fans and the football world. Fifa has already signalled that it will use this integrity unit as a pilot for the entire world.”

Brazil on the cusp of legal sports betting

The appointment comes ahead of a crucial vote this week over proposed legal sports betting in Brazil.

In September the government’s lower chamber approved a bill that would legalise both sports betting and online casino. This passage marked one of the final hurdles in the long journey towards regulating online gambling in Brazil.

However, the unexpected decision to add igaming to the bill in September ruffled some feathers, with some senators voicing their opposition.

An effort was launched to remove online casino from the bill, but this failed last week when Brazil’s Economic Affairs Commission (CAE) signed off on the bill.

The bill now moves to the Senate plenary. A vote will take place on Wednesday (29 November), during which both sports betting and igaming could be given the all-clear.

However, should the Senate alter the bill’s text, it will go back to the Chamber of Deputies for review.

Key aspects in the bill include operators paying tax at a rate of 12% of revenue. Taxation on bettors is set at 15% and five-year licences will cost BRL$30m (£4.8m/€5.6m/$6.1m).

Coinbursts will offer players access to a range of online casino content including slots and live casino games. Ievolution said the latter of these offerings will include baccarat and blackjack.

Ievolution named the Philippines as one of the markets where Coinbursts will go live before the end of the week. The group did not disclose where else the brand will be available, instead saying it will launch in Asian markets.

It is not clear which licences Ievolution has secured to support the launch across Asia.

“Coinbursts transcends mere gaming; it embodies a lifestyle brimming with happiness and abundance,” Coinbursts chief marketing officer Atom Dyson Tum said. “Our mission is to craft an environment where players can not only delight in the games but also experience the small yet profound joys of life.”

Philippines market returns to pre-pandemic levels

The decision by Ievolution to launch Coinbursts in the Philippines comes with the market returning to pre-pandemic levels.

This was announced by Philippine Amusement and Gaming Corporation (Pagcor) chairman and CEO Alejandro Tengco earlier this month. He said the lifting of travel and movement restrictions has increased leisure, travel and entertainment activities. 

This, Tengco added, will help sustain the growth trajectory of the gaming industry in the Philippines for years to come.

Gross gaming revenue is just short of 2019, the last full year before the pandemic and a year in which Pagcor reported record gaming revenue.

Pagcor also recently reported its results for the first nine months of 2023. Revenue during the period reached PHP55.95bn (£799.1m/€921.0m/$1.01bn). Most of this was classed as gaming and operations, with this amounting to PHP51.66bn.

The figure was comfortably higher than CNY29.72bn in October of last year. However, it was down 10.3% from CNY52.77bn in lottery sales reported in China in September.

It was also the lowest monthly sales total since CNY41.83bn was posted back in February.

Breaking down the October performance, sports lottery sales were 70.1% up year-on-year at CNY31.85bn. A further CNY15.49bn came from welfare lottery sales, a rise of 40.9%.

Betting leads the way in October as sales top CNY32.23bn

As for the type of games consumers were playing, betting games remained most popular with players in October. These games accounted for CNY18.98bn in sales, up 67.4%.

Digital lottery sales were also 15.0% higher to CNY13.70bn during the month. However, it was the instant lottery market that reported the highest level of growth. Sales here were 167.6% up year-on-year at CNY11.44bn in October. 

It was also noted that keno games sales reached CNY3.22bn, up 47.1%. Video lottery sales climbed 8.0% to CNY90,000.

In terms of geographical performance during the month, China noted growth within all its provinces. 

China year-to-date sales reach CNY

Looking at the year-to-date, total lottery sales in the 10 months to the end of October were CNY475.88bn. This was 53.0% up from the same point in 2022.

Sports lottery led the way with CNY315.85bn in total sales, a rise of 68.2% from last year. Welfare lottery sales also increased by 29.9% to CNY160.03bn.

Considering game types, betting generated the most sales in the period at CNY203.92bn. This was 90.8% more than in the previous year and accounted for 42.8% of all sales in China.

Digital lottery sales increased 12.2% to CNY143.45bn and instant lottery sales jumped 87.8% to CNY98.23bn. A further CNY30.38bn came from keno sales, up 12.2%, while CNY1.3m was attributed to video lottery sales.

Meanwhile, as was the case in October, lottery sales in all provinces across China increased year-on-year.

Sun International did not disclose the identity or nature of the party in question. However, it did state that negotiations over the acquisition are ongoing.

The group also said that while there is no guarantee a deal will go ahead, it may have a material impact on its securities. As such, it advises shareholders to exercise caution when dealing in its securities until a further announcement is made.

Sun International shares initially dropped after the acquisition talks were announced. They have since begun to rebound and are currently trading at ZAR4,103 (£174/€200/$219) per share, up 0.07% on today’s (27 November) opening price.

iGB has contacted Sun International for more information on the talks.

Profit ticks up at Sun International in H1

News of the talks comes after Sun International published its first-half results towards the end of September.

Income for the six months to 30 June jumped 11.6% to ZAR5.78bn as the operator recorded growth across the business. This, it said, came despite a “difficult” economic climate and increased competition.

Key highlights in H1 included resorts and hotels income rising 26.9% to ZAR1.42bn. Urban casinos income was also up 4.2% to ZAR3.27bn, with casino contributing 91.8% of this total.

Group adjusted EBITDA for the half was ZAR1.57bn, 5.6% higher than H1 2022. In addition, overall profit for the period was ZAR485m, up by 41.0% from the previous year.

Sagstuen has been serving as acting CEO at Norsk Tipping since September. This came after Thor Gjermund Eriksen resigned from the role in June, stepping down at the end of August after just over a year in the role.

Norsk Tipping has now confirmed Sagstuen will become permanent managing director of the business with immediate effect.

Sagstuen takes on the role having been part of the Norsk Tipping senior management team since 2014. She was most recently director of responsibility, society and communication.

Prior to this, Sagstuen spent just under five years with Norwegian newspaper Oppland Arbeiderblad. Here, she served as editor in chief and news editor.

Sagstuen is also a former professional handball player, having featured for the Norway national team 217 times.

Norsk Tipping chair welcomes ‘skilled and experienced’ Sagstuen

“I am grateful for the trust the board shows in me, and humbled by the responsibility I’ve been given,” Sagstuen said. “We are a large company that plays an important role for the whole of Norway. I look forward to leading the work on our important social mission further.”

Norsk Tipping chairman Sylvia Brustad adds: “I’m pleased to present Tonje Sagstuen as our new managing director. With her, Norsk Tipping gets a skilled and experienced manager who knows the company and its employees very well.

“The board has appreciated the work Sagstuen has done as acting managing director and is pleased that she has accepted the position on a permanent basis. We are convinced that Sagstuen is the right person to lead us going forward.”

Could Norsk Tippong’s monopoly status be under threat?

The change in leadership comes as Norsk Tipping faces uncertainty over its future as the online gambling monopoly in Norway. In September, the European Gaming and Betting Association (EGBA) urged lawmakers in the country to switch from its current monopoly system to a licensing model for online gambling.

Norway is one of only a handful of European countries with a state gambling monopoly. However, However, EGBA says Norway should follow the example of other markets such as neighbouring Sweden and Finland and move to a licensing system.

EGBA secretary-general Maarten Haijer said this would help combat issues such as consumers gambling with unlicensed sites. He added that a licensing system would address the demand for alternative gambling options.

Norway monopolies reduce marketing spending

Last month, Norway’s state-owned gambling monopolies completed stringent cuts to marketing expenditure. This came in response to demands from the Norwegian Lottery Authority (Lottstift).

In August 2022, Norsk Tipping was ordered to reduce advertising costs by 20%. Pari-mutuel horse racing betting service Norsk Rikstoto was told to cut its expenditure by around 5%.

Lottstift ordered both operators to reduce marketing expenditure in line with new rules that stopped illegal gambling operators from advertising on Norwegian television. Within weeks, Norsk Tipping announced it had ceased advertising its sports betting services on Norwegian television.