Insight
2021: STRUCTURAL CHANGE Third Bridge
According to the American Gaming Association (AGA), the four iGaming states, excluding Nevada, generated $154.2m in revenue in November, just shy of October’s record of $156m. With millions of US citizens facing months of further disruption to their normal patterns of life the case for mobile sports betting and iGaming look stronger than ever.
In the context of these competitive dynamics, land- based casinos have suffered significant tax revenue declines due to the pandemic. Simultaneously, mobile sports betting and iGaming are taking off. According to the American Gaming Association (AGA), the four iGaming states, excluding Nevada, generated $154.2m in revenue in November, just shy of October’s record of $156m. Meanwhile, the US sports betting market has grown again as Tennessee became the 19th commercial sports betting state to go live on November 1, taking $131.4 in wagers. With millions of US citizens facing months of further disruption to their normal patterns of life, the case for mobile sports betting and iGaming look stronger than ever.
WAVES OF INTERNATIONAL M&A In November, William Hill's shareholders agreed to a
cash offer made by Caesars Entertainment of 272p per share. Tis came after US private equity firm Apollo made a separate bid to take over the UK betting firm. Whilst Caesars has a big reputation in land-based casinos, its sports betting offer has lagged behind its core operations. Te casino owner has long focused on
P36 NEWSWIRE / INTERACTIVE / MARKET DATA
a more traditional, older customer demographic, in a landscape full of well-established technology players. Tis means that although Caesars boasts a large active customer base, cross-selling into sports betting has been a challenge. In comparison, DraftKings and Fanduel have a smaller number of total customers, but a greater opportunity to cross-sell.
William Hill brought a better, and recently improved, online product capability as well as an existing base of avid sports betters. Combining a big US brand with a European heritage partner that possesses all the necessary expertise to run a compliant sportsbook could impress state governors and mean the merged entity picks up more than its share of new skins. Indeed, experts have also indicated that a rich operating history of safe sports betting is a key consideration in awarding skins.
Tis dash for technology and compliance was repeated in January as MGM Resorts International made a failed £8.1bn bid for the betting group behind Ladbrokes and Sportingbet. Entain has a rich history of operating
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40 |
Page 41 |
Page 42 |
Page 43 |
Page 44 |
Page 45 |
Page 46 |
Page 47 |
Page 48 |
Page 49 |
Page 50 |
Page 51 |
Page 52 |
Page 53 |
Page 54 |
Page 55 |
Page 56 |
Page 57 |
Page 58 |
Page 59 |
Page 60 |
Page 61 |
Page 62 |
Page 63 |
Page 64 |
Page 65 |
Page 66 |
Page 67 |
Page 68 |
Page 69 |
Page 70 |
Page 71 |
Page 72 |
Page 73 |
Page 74 |
Page 75 |
Page 76 |
Page 77 |
Page 78 |
Page 79 |
Page 80 |
Page 81 |
Page 82 |
Page 83 |
Page 84 |
Page 85 |
Page 86 |
Page 87 |
Page 88 |
Page 89 |
Page 90 |
Page 91 |
Page 92 |
Page 93 |
Page 94
