Operators Betfred and Paddy Power, along with betting engine supplier Kambi, are keenly poised to harness and maximize revenues and customer acquisitions over a jam-packed summer sports schedule, promising excitement for sports enthusiasts around the globe.
The Euro 2024 kicked off on Friday, setting the stage for what is expected to be a hugely profitable period for the betting industry. The Copa América is also starting this week, and sports fans are eagerly awaiting the Olympic Games set to transpire in Paris starting 26 July. Additionally, Wimbledon and the US Open are scheduled for July and August, respectively.
The opportunities for the sports betting sector are indeed significant, with increased engagement from these events likely leading to a surge in betting activities across various platforms and, ultimately, enhanced financial gains. According to the French gaming regulator L’Autorité Nationale des Jeux (ANJ), nearly €1 billion (£851.4 million/$1.1 billion) might be wagered on the Euro 2024 tournament alone. Similarly, the German Sports Betting Association (DSWV) has projected bets amounting to €1 billion within the tournament’s host nation.
Kambi’s head of soccer, Jonathon Hurst, emphasized the massive potential of concurrently running events like Euro 2024 and Copa América in attracting customers. “Both are expected to generate substantial betting interest for Kambi and our partners, as these tournaments are crucial for customer acquisition. During Euro 2020, 78% of betting newcomers had a Euro 2020 bet on their betslip,” Hurst revealed to iGB. He added that both finals coinciding with the Wimbledon men’s singles final on Sunday, 14 July, could create a “betting bonanza” for sportsbooks.
Given the anticipated betting interest spike, competition within the industry is expected to intensify, making it essential for companies to differentiate themselves. Rachael Kane, spokesperson for Paddy Power, concurred: “Major sporting events are the pillars around which we pivot. We build our activity around all of it and with so much action ahead of us, we’ve got all hands on deck to make sure we are capitalizing on every event, and then some.”
Betfred is strategically leveraging the Home Nations’ enthusiasm by offering favorable odds on England to win the Euro 2024 and Scotland to proceed from the group stage. Earlier this year, they launched a new platform aimed at ensuring a quicker and smoother user experience. The company is also expanding its betting offerings, with the head of media, Mark Pearson, noting the popularity of “build-a-bets” and traditional bets like first goal-scorer and correct score bets.
Pearson highlighted the immense value major football tournaments bring, comparing the Euro 2024 to the Grand National in terms of attracting new customers who place bets driven by event hype.
. With both England and Scotland participating in this year’s tournament, Betfred anticipates a considerable increase in betting interest.
In addition to football tournaments, Royal Ascot, where Betfred is the official betting partner, also stands out as a critical event. Pearson emphasized the importance of Euro 2024, but noted, “Don’t forget Royal Ascot. It’s five days, all the races on ITV as well, so Royal Ascot would be a big focus for us too.”
Kambi and Paddy Power both consider the Euros and Copa América their main revenue targets. Nonetheless, Kambi’s recent growth in Latin America suggests a narrowing revenue gap between the Euros and Copa América this year. Hurst stated, “While the Euros has previously been the clear number one, our recent expansion into Latin America means it should be much closer this year.”
Paddy Power, meanwhile, is not solely focused on football. Kane mentioned that the company would keep an eye on all events, ready to jump on any worthwhile opportunities. Their humor-infused marketing, with a new campaign featuring Danny Dyer, aims to enhance customer engagement further.
Retaining customers following the initial influx during high-profile events is a challenge operators are prepared to tackle. Kane illustrated the importance of sustaining customer interest beyond a “summer fling,” ensuring long-term engagement. Kambi, having previously succeeded in retaining customers from Euro 2020, emphasizes maintaining freshly launched bet offers even after tournaments and showcasing excellence across the sportsbook. “It’s also important to showcase excellence across the whole sportsbook, not just for soccer,” Hurst noted.
To maintain user engagement, technological advancements play a crucial role. Kambi uses its AI-powered trading division Tzeract to drive its pre-match offerings, thus enhancing user experiences.
Companies leveraging past experiences from major events appear well-prepared for this summer’s bustling sports schedule. The true impact of their efforts will be evident later in the year when earnings reports are released. Marketing, product innovation, and unique customer engagement strategies will be pivotal in ensuring these betting giants continue to thrive amid a packed sports calendar.
