In a discussion with Jon Lancaster (vice president of sales – EMEA for SG Gaming), Simon Johnson (senior vice president and managing director – EMEA for SG Gaming) and Stewart Darkin (managing director of CasinoBeats), Stubley reflected on how adapting retail games for the online space can help ease a player’s transition into playing online. 

He explained: “Familiarity is really important, especially during these times. Operators are marketing to players from a traditional retail environment who are looking to continue their entertainment online. To do this, they’re marketing familiar games. Whether it’s Rainbow Riches in the UK or 88 Fortunes, which is our number one game across Europe, this really helps to drive that familiarity for players. 

“We’ve got 1000s of those games out in the market in retail – it’s part of a family of games. Online, we launched 88 Fortunes four years ago and it continues to increase in popularity with players. Throughout Europe, it’s our number one in Italy and Sweden, in the Netherlands, in Norway, in Greece, Austria, it’s number two in Germany, Spain, Finland, it’s such a popular game with players.”

Citing the example of SG Digital’s leading Jin Ji Bao Xi title, Stubley explained that to elevate the online player experience, it took the step to add features such as Megaways and jackpots.

“We do expand on the family,” he continued. “So we’ve got another game that was really successful in retail, Jin Ji Bao Xi which we’ve adapted for online. That’s coming out in a couple of months’ time, we’ve got Jin Ji Bao Xi with Megaways, that’s a familiarity in itself as well. 

“So combining those together is changing the gaming experience for the retail player – they come online with some familiarity, and then they move on through the family of games, then into pure online content which is what we see when we look at the data.”

When it comes to the land-based sector across the EMEA region, Lancaster disclosed that the last 12 months have posed some major challenges in terms of communicating with clients – eased somewhat by the ‘strength of relationships’ Scientific Games holds with its customers.

The VP of Sales noted that as restrictions begin to lift around the world, his job is to now understand what it is that clients want: “In our position, the customers have been closed and have not had a lot of clarity on when they will open,” he said. “Our job is to try and understand what it is they need and match our strategies and our products to their needs going forward.

“Many of our customers have had a fundamental shift in what they’re looking for going forward. Originally, they were looking to diversify their products and portfolios as well as attract new player demographics. But what many have now realised is that in the short term, they need to get back to basics, they need to bring back their top players, they need guaranteed products, which will deliver the best performance once they can open.

“So we’re definitely seeing a shift in what it is that customers are looking for. Thankfully for us, we believe we have exactly the right products which can help them to drive recovery.”

One way in which Scientific Games has gained insights into the products that its customers want was through the launch of a forum. This, shared Johnson, has helped the company to create highly specific solutions for customers which are tailored to individual regions.

“I think the most important thing that we will have to recognise is there’s no playbook for the situation that we’re in. That’s partly because it’s the experience of the pandemic, and experience of market conditions are intensely local,” he said.

“So when you’re working across a region as diverse as the one that John and I work in, you have to recognise that you’re looking at multiple different tracks, multiple different experiences, multiple different government responses, multiple different human experiences. 

“Whilst you can have a global position, you’ve got to make sure that your response is very local. So first and foremost, it’s around understanding the position on the ground, what individual customers are going through, and what their market conditions are. You then have to be able to create highly specific solutions or help them create highly specific solutions.”

Johnson then turned his attention towards the necessity of short-term, flexible planning – something which he believes is essential to continue operating over the next 12 to 18 months. 

He continued: “You also have to recognise that while much of the human condition is to look for certainty, we all find uncertainty extremely difficult. We look to people, whether it’s politicians or scientists to give us some reassurance when looking around the corner. There is no way that people can know what’s going to happen next. 

“We’ve got to recognise that uncertainty is bred into any consumer facing business. For the next 12 to 18 months, there’s just going to be a whole load of unanswered questions that we’re only going to come to as we experience them. This then means that business planning has to become short-term and highly flexible.

“You then end up in a situation where you start working through customers on an individual basis. We need to make sure that what we are presenting to our customers is flexible enough and reflects their local market needs – providing them with the support they need to manage uncertain times. 

“We know there are some consistent factors. People are trying to understand the point at which they can open up their businesses – and so they must make sure they can get COVID secure. so be able to share our experiences of the parts of the world.” 

The post Flexibility and familiarity: How Scientific Games is bridging the gap between retail and online appeared first on CasinoBeats.

The news comes as the Prime Minister Boris Johnson confirmed the UK was escalating efforts to reduce the spread of Covid-19, implementing a lockdown across large parts of the entertainment industry.

Speaking alongside the PM, Chancellor Rishi Sunak announced a number of substantial economic measures in a bid to ensure stability and safeguard jobs during the crisis.

The Chancellor said the government will offer grants covering up to 80 per cent of the salary of workers that remain employed by companies, up to a total of £2,500 per month.

He stated: “Today I can announce for the first time in our history the government is going to step in and pay people’s wages.

“The actions I’ve taken today represent an unprecedented economic intervention to support the jobs and incomes of the British people. Unprecedented measures for unprecedented times.”

He added: “I know that people are worried about losing their jobs, about not being able to pay the rent or mortgage, about not having enough set by for food and bills,” he said.

“I know that some people in the last few days have already lost their jobs. To all those at home right now, anxious about the days ahead, I say this: you will not face this alone.

“I know it’s incredibly difficult out there. We in government are doing everything we can to support you.

“The government is doing its best to stand behind you and I’m asking you to do your best to stand behind our workers.”

Johnson added: “We will do everything in our power to help. Supporting you directly in a way that government has never done before, in addition to the package we have already set out for business.”

Earlier in the day, Paddy Power confirmed it had taken steps to close all its UK shops until the end of April, a statement from Flutter Entertainment, the parent company of Paddy Power, read: “In line with the spirit and letter of the latest social distancing guidelines from the government in the UK, we are closing all UK Paddy Power betting shops from tonight until the end of April, or beyond in line with government guidelines, to protect our retail employees and customers.

“There is nothing more important than the safety and wellbeing of our colleagues and the public during this pandemic. We have been following the situation very closely and believe this is in the best interest of our people and our customers, in order to keep them and their families safe during this time.”

The post Government says UK casinos and betting shops ‘to close for two weeks’ appeared first on CasinoBeats.

For TVBet, its new partnership with AfricaBet means that it can now provide its portfolio of live games across the bookmaker’s properties in Zimbabwe. As a result, AfricaBet’s players can now enjoy betting on sports events as well as TVBET’s suite of live games 

Peter Korpusenko, TVBet’s CEO, told CasinoBeats: “We do our best to provide land-based bookmakers and casinos with a full-fledged product that will make their players delighted. Fans of betting shops have the same features and capabilities as online bettors. 

“Therefore, with our solutions, retail punters can place bets on our alternative product, which helps bookmakers to diversify their portfolios. Moreover, our team is always ready to help with product customisation and its maintenance.”

When it comes to delivering its portfolio to the retail customer, TVBet explained that the process is not as difficult as it might seem at first glance. 

Emphasising that its team is on-hand to support the overall integration process, the supplier noted that the process takes four hours in total: five minutes for software installation, two hours for setup and then two hours for cashier training.

Weaker internet connections are not an issue when providing its range of services, TVBet shared, as partners can benefit from its TVBet Satellite and TVBe Virtual Solutions. 

With TVBet Satellite, the connection is provided through satellite dishes and decoders meaning that betting shops won’t have any troubles with the broadcasting signal due to the increased stability and lack of delays. 

By using TVBet Virtual Solutions, bookmakers can benefit from a vast media base of pre-recorded games which allows partners to broadcast them offline, while also maintaining the randomness of the outcomes. 

Multiple recorded draws for each game eliminate the repetition of outcomes in games, so players get a similar experience as in live streaming.

Furthermore, players in retail are not limited in the capabilities and functionality offered by TVBet. They have exactly the same game betting options as online players and can win jackpots just as well. 

The post TVBet: Bringing our games to retail customers across Africa appeared first on CasinoBeats.

Announcing a post-close trading update for the 12 months, ending December 31, a combined revenue from the retail and online space totalled £1.85bn, a three per cent drop from 2021, which 888 states is in-line with guidance.

Looking into its online sector, this vertical contributed £1.3bn in revenue for 2022 (2021: £1.57bn), a 15 per cent decrease from last year. This drop, according to 888, was primarily down to the strengthening of player safety measures in the UK regulated market. 

Moreover, the firm pointed to the closure of the Netherlands, with revenues outside these territories down four per cent, which it states reflects a “strong comparative period and refined market focus”. 

Fourth quarter figures also displayed a decrease in YoY online revenue (five per cent) for 888, though the company stated it was “stable” despite the drop. 

Despite the firm’s online shortcomings, 2022 was a successful period, revenue wise, for the company, partly in part to its acquisition of William Hill in July of this year. Retail revenues for the full year were up 54 per cent to £519m. The spike in this revenue reflects a full year of trading in 2022 with figures inflated due to the partial closures during the first half of 2021. 

Reflecting on its performance from 2019 figures, the average revenue per shop was up seven per cent. 

888’s retail performance in the fourth quarter was also boosted by the first winter World Cup, as the company reported revenues of £131m, up five per cent to the prior year and six per cent from Q3. 

The World Cup also aided William Hill with its acquisition of new customers and engagement of existing customers across both online and retail, with online player days up 22 per cent from the 2021 Euros. 

Itai Pazner, CEO of 888, explained: “During the fourth quarter of 2022 our teams continued to make rapid progress in integrating these two highly complementary businesses, and have started the process to migrate Mr Green to our proprietary global tech stack, as we execute against our strategic roadmap that we outlined at our recent capital markets day.

“Revenues during the fourth quarter saw continued strong trading in retail, and a robust performance online. As previously discussed, we continue to see pressure on our UK online revenues from regulatory change including the ongoing impact of the enhanced player safety measures, but I am confident we are building a sustainable leading business for the future.

“As we look forward, we remain focused primarily on successful integration, execution and de-leveraging in order to unlock the potential from our enlarged business.

Alongside the group’s FY22 results, 888 also confirmed that Yariv Dafna, Chief Financial Officer and Executive Director, will step down from his role following the publication. Stated to be a “mutually agreement”, Dafna will leave his position on March 31 this year will a search to identify his successor underway. 

“The board and I would like to thank Yariv for the contribution he has made to 888 including playing a crucial role in the completion of our transformational combination with William Hill and leading the recent successful financing of 888’s external debt,” Pazner added. “On behalf of everyone at 888, I wish him the very best in his future endeavours.”

The post Dutch drama continues to hound 888 as 2022 revenue dips 3% appeared first on CasinoBeats.

Making the comments in a trading update for the July to September time frame, the gambling group has primarily aligned the decline to enhanced UK online player safety measures as well as closure in the Netherlands.

With retail reported as stable YoY at £124m, despite the impact of three days of closure, total online revenue fell ten per cent to £325m (2021: £360m).

Total UK online revenue of £171m represents a drop of 13 per cent YoY driven by a reduction in average spend per player, while the Dutch market accounted for four per cent and six per cent of Q3 2021 for 888 and William Hill, respectively.

Breaking this digital performance down by division, 888 in addition to William’s Hill UK and international online segments all tracked declines of five per cent, 14 per cent and 12 per cent to £148m (2021: £156m), £125m (2021: £145m) and £52m (2021: £59m), respectively.

“Having completed our transformational combination with William Hill, I am pleased to report that during Q3 our teams continued to make rapid progress in integrating these two market-leading and highly complementary businesses,” commented Itai Pazner, CEO of 888. 

“This has enabled us to progress towards our new target operating model, while delivering a series of ‘quick win’ synergies, that will benefit our adjusted EBITDA margin for the second half of this year. 

“Revenues during the third quarter continued the trends we have seen in recent quarters, with relatively resilient trading across our main international markets and in our retail estate, but continued pressure on our UK online revenues in light of the ongoing impact of the enhanced player safety measures.

“We are changing the mix of our business to a lower spending, more recreational player base that gives us confidence in the long-term potential for our UK business.” 

For the year-to-date, total revenue is down three percentage points to £1.39bn (2021: $1.43bn, due to significant downfalls across each online reporting component. Retail, aided by the removal of restrictions or closure orders, surged 83 per cent to £388m (2021: £211m).

Despite the changing macroeconomic environment and ongoing pressure, the 888 board expects Q4 revenue to grow over the past quarter and be similar to Q4 2021 levels. This saw 888, pre-William Hill integration, report revenue of £255m.

Regarding this aforementioned transaction, 888 provided an update which noted “The group has continued to make strong progress” with its plans, with synergies and cost savings “already being delivered” from initial actions taken. 

It was added: “The group is cognisant of the increased cost of debt, together with the impact on industry trading conditions in the UK and is taking steps to ensure the operating model of the enlarged business is appropriate to address these near-term headwinds whilst also being able to deliver on the strong potential of the enlarged business.” 

Pazner closed: “As we look forward, we remain focused primarily on successful integration, execution and de-leveraging in order to unlock the huge potential from our enlarged business. 

“We are building a stronger group that will leverage our leading technologies and portfolio of world-class brands to create a leading global betting and gaming company, with clear plans to grow market share and profitability in some of the most attractive markets in the world.”

The post 888 laments UK & Dutch headwinds as Q3 revenue slides seven per cent appeared first on CasinoBeats.

As part of the agreement, the Tulalip Tribes will launch its sportsbook in September at the Tulalip Casino Resort and Quil Ceda Creek Casino. 

Ken Kettler, Chief Operating Officer at Tulalip Resort Casino, stated: “We are extremely excited to be working with US Integrity as we offer two distinctly different sportsbook experiences to our Tulalip guests.

“Having USI as a partner ensures the safest experience for our customers, as they have the ability to identify potentially suspicious wagering activity in real time”

Powered by DraftKings, the sportsbook will feature a 5,000 square-foot space with a 50-foot video wall and over two dozen kiosks and eight ticket windows at the Tulalip Casino Resort. Furthermore, the Quil Ceda Creek Casino will also feature a DraftKings Sportsbook.

Moreover, USI will provide integrity monitoring services via its proprietary dashboard to the Tulalip Tribes. 

“US Integrity is proud to partner with the Tulalip Tribes and assist with maintaining sports betting integrity as they launch their two sportsbook operations,” commented Matthew Holt, USI’s CEO & Co-Founder. “USI’s mission is to provide conflict-free, best-in-class insights and compliance solutions to our clients. 

“We are looking forward to working with the Tulalip Tribes. Their commitment to secure and trustworthy sports betting aligns with the integrity standards USI aims to uphold throughout the legalised sports betting market.”

The post US Integrity launches sportsbook at Tulalip Tribes casinos appeared first on CasinoBeats.

Last month, the market shares were 48 per cent for MGM Grand Detroit Casino, 31 per cent for MotorCity Casino and 21 per cent for Greektown Casino Hotel. Moreover, April also witnessed $116.86m in table games and slot revenue, with retail sports betting producing $1.87m in revenue.

April table games and slots revenue rose 8.8 per cent, compared to results in the same period last year. However, last month’s monthly revenue did witness a dip from the month prior at 3.4 per cent. 

Through April 30, the casinos’ table games and slots revenue rose 10.4 per cent compared with the first four months of 2021, which is attributed to the reduced capacity at all three locations due to COVID-19 restrictions.  

Alongside the monthly aggregate revenues, the gaming vertical experienced mixed results compared to April 2021, with MGM up 31.4 per cent to $56.76m, MotorCity down by 8.8 per cent to $36.42m and Greektown also down at $23.68m, a 2.6 per cent drop.

Regarding taxes paid to the state of Michigan, all three gaming venues paid $9.5m compared with the $8.7m the year prior. 

The casinos reported submitting $13.9m in wagering taxes and development agreement payments to the city of Detroit during April.

During April, the casinos paid $70,714 in taxes to the state and reported submitting $86,428 in taxes to the Detroit based on retail sports betting revenue.

Furthermore, the trio reported $24.78m in total retail sports betting handle, with total gross receipts closing at $1.9m. 

Retail sports betting qualified adjusted gross receipts were up by 21.3 per cent in April compared with the same month last year. April QAGR fell by three per cent compared with March results.

The post Detroit casinos near $120m in monthly revenue appeared first on CasinoBeats.

The new licences, which will run to 2042, will include services in both retail and online settings and are set to commence from April 15, 2022. 

Upgrading its current 10-year retail-only licence which was awarded in 2012 for a payment of AUS$60m, Tabcorp’s latest Keno agreement came with an up-front fee of AUS$25m.

Sue van der Merwe, Managing Director, Lotteries & Keno at Tabcorp, remarked: “Tabcorp is pleased to continue its partnership with the Victorian government. with the longer term and expanded channel flexibility offered under this licence.

“The new structure will allow us to continue offering Victorian players a world class Keno product and responsibly grow the game further, backed by our extensive retail and brand presence and the expertise gained from our existing Keno online business.”

Tabcorp also holds sole, and long-dated, licences and approvals to conduct Keno in New South Wales, together with its co-licensee ClubKeno, which expires in 2050, the ACT (expiry 2064), South Australia (expiry 2052) and Queensland (expiry 2047).

Alongside Tabcorp’s licence, Lottoland Australia lauded the decision by the Victorian State Government to award it a 20-year licence to provide Keno games services within the state

Following the licence approval, Lottoland is said to launch its online platform KenoGo “in the coming months”.

Nigel Birrell, CEO of Lottoland, added: “We are thrilled to have been granted a Keno licence by the Victoria State Government and look forward to launching KenoGo in 2022.

“I would like to personally thank the Minister for Gaming and Liquor Regulation, Melissa Horne, and the Victorian State Government for awarding the first dual licence in Australia.

“Most importantly, this licence means that consumers in Victoria will be able to enjoy Keno online on their smartphone or computer for the first time ever, with new gaming experiences and greater choice through Lottoland.”

The new Keno licensing regime follows the Victorian government’s Keno Licence Review and subsequent invitation to apply for a Keno licence process. It sees a return to the pre-2012 structure of having two authorised Keno operators in Victoria.

The post Tabcorp and Lottoland seal Victoria Keno licences appeared first on CasinoBeats.

The data referring to the financial year 2021-22, covering both online and retail gambling between March 2020 and December 2021, observed that during the second quarter of 2021, the total online GGY was reported to be £421m. 

This resulted in a total figure for Q3 decreasing by six per cent from the previous quarter to £1.2bn. Moreover, the number of total bets/spins witnessed an increase of four per cent between Q2 to Q3, while the number of active accounts stayed steady. 

The UKGC also revealed that slots GGY increased by one per cent to £568m between Q2 and Q3 with the number of spins increasing three per cent to 18.2 billion, while the number of active players rose five per cent to 9.8 million. 

Furthermore, the number of online slots sessions lasting longer than an hour increased by eight per cent to over 8.1 million during the same period. The average session length lasted 19 minutes, with approximately seven per cent of all sessions lasting more than one hour. 

Meanwhile, total licensed betting operators GGY also decreased between the second and third quarters by one per cent to £533m.

The UKGC observed that these are most likely a reflection of the cancellation of some sporting events in December due to the COVID-19 pandemic, with many tournaments calling off activities altogether whilst some were hindered by large numbers of postponed matches due to infections. 

This is even more so the case with retail, which was not in operation for a full month between March and June 2020 whilst even after lockdown restrictions began to lift from June 2020, high street premises still faced some hurdles with regards to player time limits and customer numbers. 

The government’s regional lockdown approach throughout late 2020 also had an impact on retail operations, with betting shops in different locations subject to different restrictions and therefore generating varying levels of turnover. 

Acknowledging the commercial impact of the national reopening, the UKGC stated: “We recognise that the country is now entering a different phase as we adjust to life after a series of restrictions.

“We continue to expect extra vigilance from operators as consumers are impacted in different ways by the circumstances brought on by the pandemic and the wider economic environment.

“Many people will still feel vulnerable as a result of the length of the pandemic period, further uncertainty about their personal or financial circumstances or readjusting budgets and time as life returns to normal with a wider set of finance drivers.”

The post UKGC documents pandemic impacts on player habits appeared first on CasinoBeats.

Entering into an implementation deed, and backed by the Crown board, the acquisition will see Blackstone purchase all of the shares in Crown by way of a scheme of arrangement at a price of A$13.10bn (US$9.35) cash per share. 

The scheme consideration represents a premium of 32 per cent to the closing price of Crown shares on November 18, 2021 of A$9.90 per share (being the last trading day prior to Crown receiving an acquisition proposal from Blackstone at a price of A$12.50 cash per share).

Moreover, the scheme represents an increase in equity value of more than A$845m to the price of A$11.85 cash per share initially offered by Blackstone in March 2021. 

Subject to the expected timing of regulatory approvals, the scheme meeting is expected to be held in the second quarter of 2022.

Ziggy Switkowski, chairman at Crown, stated: “The board has fully considered the Blackstone transaction and unanimously recommends the proposal, subject to customary conditions such as an independent expert concluding the transaction is in the best interests of Crown shareholders and there being no superior proposal. When considering any proposal, the Crown board has consistently stated it is committed to maximising value for Crown shareholders. 

“The Crown board and management have made good progress in addressing a number of significant challenges and issues emerging from the COVID-19 pandemic and various regulatory processes. 

“Nevertheless, uncertainty remains and having regard to those circumstances and the underlying value of Crown we believe the Blackstone transaction represents an attractive outcome for shareholders. The all-cash offer provides shareholders with certainty of value.

“The cash offer under the scheme of $13.10 cash per share values Crown’s equity at approximately $8.9bn, 11 per cent higher than the initial offer from Blackstone almost a year ago. 

“It is now appropriate that the Blackstone transaction is put to our shareholders for their consideration.”

The implementation deed is subject to customary deal protections for Blackstone including no shop, no talk and no due diligence obligations on Crown. 

The Australian casino operator is also bound by other customary provisions, including notification obligations and matching rights in the event of a competing proposal. 

Furthermore, the deed also sets out circumstances in which a break fee of $89m – or approximately one per cent of equity value – would be payable to Blackstone or reverse break fee of $89m payable to Crown.

Steve McCann, Crown’s managing director and CEO, added: “The announcement today represents a compelling offer for Crown’s shareholders to consider. The price appropriately reflects the value of Crown’s world-class assets and global reputation for premium service and experiences. 

“The agreement with Blackstone also highlights the strength of the Crown brand and confidence in our future as we emerge from some challenging times, which is welcome news for our people, customers and stakeholders.”

The agreement hopes to conclude an ongoing back-and-forth between the two entities that saw Blackstone recently revive its interest in Crown in November last year, where the company offered A$12.50 per share that valued the casino operator at A$8.5bn ($6.2bn).

Trailing back to March 22 2021, Crown originally received an unsolicited, non-binding and indicative proposal from Blackstone to acquire all of the shares in the Australian casino operator. 

On April 13 last year, Crown confirmed that Blackstone had written to the operator to set out a modification to the Regulatory Approval Condition of its initial proposal. 

A month later, Blackstone returned with a revised proposal for Crown at a price of A$12.35 which was rejected by the Crown board. On November 19, Blackstone returned to offer A$12.50 cash per share. 

Moving forward to December 2, Crown revealed that the board viewed the proposal as “not representing compelling value for Crown shareholders”, however, offered Blackstone the opportunity to access non-public information to allow the US private-equity firm to “undertake initial due diligence inquiries” on a non-exclusive basis to formulate a revised proposal that “adequately reflected the value of Crown”. 

As the new year came, on January 13, 2022, Crown received a further revised proposal from Blackstone for A$13.10 cash per share. Following completion of due diligence and negotiations in relation to binding documentation, Crown has now entered into the implementation deed with Blackstone.

Blackstone has already lodged applications with FIRB, the Gaming Regulatory Authorities and the relevant counterparties to framework agreements in respect of the approvals it requires for the transaction.

The post Blackstone finally agrees $6.3bn Crown takeover appeared first on CasinoBeats.