2013 : W H A T W E L E A R N E D F E A T U R E
06
BWIN.PARTY’S
TRANSITIONARY
YEAR
A plateau in revenues during 2012
forced CEO Norbert Teufelberger
(pictured) into instigating several
new strategies which will take time
to reap rewards
In transition bwin.party CEO Norbert Teufelberger hopes 2014 will bring better news
In sports betting, mobile apps have
expedited the expansion of in-play and
allowed operators to take bets from people
wherever they are, instead of just when
they’re sat behind a computer screen. Paddy
Power now takes 47% of its online revenue
from mobile channels, while BetVictor
claims its figure is 50%.
Major operators have subsequently
sought to boost mobile expertise.
One feature continues to outshine all the
others as the key to unlocking mobile’s full
potential: single sign-on allowing users to
access their accounts across web and mobile
apps using just one log-in. Sky Bet’s revenue
soared 20% driven by its strong mobile
performance boosted by the addition of a
single sign-on feature, and Playtech CEO Mor
Weizer referred to the feature as “the future”.
penetration share. While the Windows
Mobile OS is not expected to rival iOS or
Android, the size of the market is rapidly
increasing and French operator Winamax
recently became the first to release a native
Windows poker application.
Developing applications for three
separate operating systems and a wide
variety of mobile and tablet devices,
coupled with spiralling CPAs, could see
2014 become the year in which mobile
developed into a costly necessity.
One area expected to see strong growth
is on tablets, with as many as one million
new tablets expected to be bought over
Christmas in the UK alone. Online operators
are looking to tablets to boost the mobile
casino sector, which to date has lagged
somewhat behind its sportsbook cousin.
WHAT HAPPENS NEXT ?
WINNERS AND LOSERS
Advertising spend is increasing and
these costs are only expected to rise
further as operators inch closer to cooking
the goose that laid the golden egg.
The smartphone market is also
expected to fragment further in the wake
of Microsoft expanding its smartphone
48
William Hill, Paddy Power, Sky Bet and
BetVictor have all showed tremendous
growth in mobile sportsbook during 2013,
while Ladbrokes trailed some way behind.
Mobile casino also lagged behind, but is
expected to have a transformational year
in 2014.
WHAT HAPPENED?
The first big change was a turnaround
on grey market operations, and 2013
saw bwin.party pull out of the likes of
Greece and Germany in order to focus
almost entirely on regulated or regulating
jurisdictions. Whether Teufelberger’s
run-in with Belgian police last year, or
the company’s increased US play was the
catalyst is unclear, however the hit on
revenues is obvious. The operator reported
Q3 2013 revenues were down 21% to
€145.7m in November 2013 with all four
verticals in decline.
The second has been a tactical shift from
“volume to value” which will see it focus
on retaining the most lucrative custo