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 ]