eGaming Review January 2014 - Page 22

NEWS > ANALYSIS with good products are well placed. Yes, 888 is going to find it hard against the big boys, but you have to say it’s got a very strong marketing platform and strategy, as well as a track record of good execution.” Diversify or die Ladbrokes meanwhile is trying to decrease its reliance on UK sports betting revenues. It could no longer bear watching its rivals make inroads into the Australian market, and bought its way in via the acquisition of Gaming Investments for AUS$22.5m (£13m) in September. This was a relatively cheap entry to an attractive market, but one which will take some time before it has the scale to positively impact the operator’s bottom line. More may come of its investment in new mobile products and the launch of a betting exchange. After years of offering a substandard sportsbook service, the Ladbrokes Exchange might provide a reason for customers to stick around, while its Mobenga-powered mobile app appears to at least be functional. Again, both are millions of pounds of investment and will be backed up by hefty marketing campaigns, and Ladbrokes needs both to be a success for not only a revenue boost, but also for its reputation. “Ladbrokes is playing catch up and is pinning its hopes on the new product suite and “WE HAVE ALREADY SEEN AN INCREASE IN MARKETING AND WITH THE WORLD CUP COMING UP THAT IS ONLY GOING TO INTENSIFY, MEANING THE COST OF ACQUISITION WILL BE VERY HIGH” Nick Batram, analyst at Peel Hunt better execution will be enough to offset the PoC tax,” says Batram. Ladbrokes' traditional rival, William Hill, will look back on 2013 as a more productive year, an ]