DAZN Bet, the innovative sports betting operator renowned for its presence in regulated markets, has successfully launched in Germany, powered by Pragmatic Solutions’ high-tech iGaming PAM (Player Account Management) platform. This strategic endeavor marks the 3rd collaborative market entry between the two companies, following triumphant expansions into the UK and Spain.
DAZN Bet has recently secured the coveted German Sports Betting License, and this accomplishment is greatly attributed to the robust compliance capabilities, flexible technology, and tailored development services offered by Pragmatic Solutions.
Leveraging DAZN’s well-established streaming and brand reputation in Germany, combined with its expertise in the betting arena, DAZN Bet is strategically aligned to captivate and engage local bettors.
Emphasizing a commitment to player protection, DAZN Bet has integrated extensive self-regulation tools, transparent information on safe gaming practices, and advanced technology for detecting signs of problem gambling.
Mark Kemp, CEO of DAZN Bet, expressed his enthusiasm for this momentous launch:
“DAZN Bet is thrilled to make its debut in Germany, marking our fourth successful market entry within the last thirteen months. Our partnership with DAZN brand assures German players and sports enthusiasts an enhanced sports betting experience featuring the unique offerings and value of DAZN Bet. By linking their DAZN and DAZN Bet experiences, sports fans can access exclusive benefits.”
This latest market entry further solidifies DAZN Bet’s strategic vision of establishing an integrated brand and advertising brand partner between DAZN and DAZN Bet in critical global markets, including the UK, Spain, Italy, and now Germany.
Ashley Lang, CEO of Pragmatic Solutions, remarked,
“We take pride in pushing the boundaries in the iGaming landscape alongside an innovative brand like DAZN Bet. This successful collaboration underscores Pragmatic Solutions’ position as the premier choice for operators seeking a flexible, reliable, and compliant platform to excel in regulated environments. We eagerly anticipate expanding this unmatched value proposition for players and sports enthusiasts.”
DAZN Bet is a recreational betting business owned and operated by DZBT Holdings (Gibraltar) Limited. This innovative venture represents a strategic association between DAZN Group and Pragmatic Group, a prominent content provider and platform technology for gaming and betting industry.
DAZN Bet is currently active in the UK, Spain, Germany, and Italy, with plans for expansion into new international markets. The platform operates on Pragmatic Solutions’ technology in multiple regulated territories.
DAZN Group is a rapidly growing sports media company with a global presence. Headquartered in the UK and with employees in over 25 countries, the company covers various aspects of sports engagement, from production and content distribution to commercialization.
DAZN Group is home to DAZN, the leading global sports destination, and the popular sports portal, DAZN News. DAZN is committed to providing sports fans worldwide with access to sports anytime, anywhere, offering affordable access on numerous connected devices. Visit dazngroup.com for more information.
Pragmatic Solutions specializes in proprietary core platform technology solutions for regulated gambling and sports betting operations. The cornerstone of their offerings is a modern, modular, scalable Player Account Management (PAM) platform with an open API approach.
This platform empowers gaming operators to control their business operations while managing risk, ensuring regulatory compliance, and providing flexibility in structuring and managing brands, promotions, and player experiences. Pragmatic Solutions’ platform supports rapidly integrating new services from third-party content, payments, and service providers.
Headquartered in Gibraltar, Pragmatic Solutions holds B2B licenses from the MGA, UKGC, Romania’s ONJN, and AGCO, supporting live operators in multiple locally regulated markets across Europe. The Pragmatic Platform is certified by ISO 27001 and GLI UK, and it complies with various regulated European jurisdictions.
Esteemed sportsbook technology provider OpenBet is poised to make a significant foray into the freshly regulated Brazilian sports betting market, courtesy of a strategic alliance with Play7.Bet.
In this landmark collaboration, OpenBet will leverage its cutting-edge technology to underpin Play7.Bet’s multifaceted sports betting platform encompasses physical retail outlets and an expansive online presence.
Vital elements of OpenBet’s technological prowess, such as the OpenBet betting engine, managed trading services, and player account management (PAM) system, will be seamlessly integrated to facilitate wagering activities across land-based and digital domains.
Furthermore, Play7.Bet stands to gain substantial advantages from OpenBet’s synergistic partnership with Neccton, particularly in areas vital to the integrity of the gambling sector. This includes mechanisms for responsible gaming, anti-money laundering protocols, and state-of-the-art fraud detection measures.
OpenBet’s CEO, Jordan Levin, expressed his conviction in the partnership:
From the inception of the UK market, spanning across Greece, Australia, and the United States, it has always been evident that aligning with proficient local entities armed with coherent and compelling strategies forms the bedrock for success in nascent markets.”
“For this very reason, we are delighted and honored to have been chosen to collaborate with Play7 in the vibrant Brazilian market. The signing of this deal represents an exciting milestone for OpenBet.”
Play7.Bet’s CEO, Moises Deiab, echoed the sentiment:
“We take immense pride and enthusiasm in our association with OpenBet. OpenBet has earned global acclaim for its comprehensive and scalable sports betting solutions, and its value to us is indisputable.”
He further emphasized,
“It was paramount to us to engage with a company that has consistently demonstrated its unwavering commitment to responsible gaming, player safeguarding, local investments, and adherence to regulated markets. We harbor ambitious plans for this market, and OpenBet lies at the heart of our vision.”
Regulatory Developments in Brazil This groundbreaking partnership comes on the heels of a significant regulatory milestone in Brazil. Recently, the Chamber of Deputies in Brazil gave its stamp of approval to the government’s comprehensive gambling bill. This historic bill covers regulating sports betting and online casino activities within the country.
The passage of this bill represents one of the final hurdles in Brazil’s protracted journey toward regulating online gambling. The bill is now slated for review by the federal senate with a 45-day window to provide commentary and insights on its provisions.
Crucially, the proposed law sets stringent criteria for participation in the Brazilian market. Only businesses incorporated under Brazilian legislation, with their headquarters and administrative functions situated within the country, will be eligible to operate legally.
The bill introduces a tax structure wherein operators are subject to an 18% tax on their revenue. This tax rate escalates from 31% to 34% when factoring in additional contributions. For operators to enter the market, a licensing fee of R30 million is mandatory.
Each payment confers the right to operate a single betting application, with any additional offerings necessitating separate licenses. These licenses are valid for three years. Furthermore, the bill imposes stringent anti-money laundering and counter-terrorist financing mandates, underscoring the government’s commitment to a secure and regulated gambling environment.
Operators are also obliged to uphold strict, responsible gambling standards. To foster a transparent and accountable gaming landscape, the proposed law restricts operators from extending bonus bets and credit lines to their patrons. This aligns with the overarching goal of ensuring the safety and integrity of the burgeoning Brazilian gambling industry.
Global digital media powerhouse XLMedia has executed a strategic divestiture, selling three of the Group’s esteemed European Gaming domains and their corresponding websites:
This astute move has yielded an upfront cash payment of $4 million, enhancing the Group’s financial flexibility. Remarkably, this transaction underscores a robust valuation, amounting to 4.7 times the revenue generated by the assets.
During the fiscal year ending on December 31, 2022, these assets contributed $840,000 in revenue, constituting 6% of the Group’s total European Casino revenue, with an impressive gross profit of nearly $750,000.
In the dynamic landscape of European casinos, a sector that collectively generated $14.3 million in 2022, XLMedia upholds its gaming division in Sweden and other European markets.
Notably, the Group’s European Gaming business surpasses management expectations, exhibiting strong performance. The proceeds from this strategic property sale to Beach Services bolster the Group’s working capital, empowering it to make strategic investments.
These investments are poised to further XLMedia’s footprint in the North American sports and gaming arena while fortifying its European portfolio. Simultaneously, XLMedia has divested $1.3 million worth of personal finance affiliate sites to MPD Media, streamlining its focus on the high-potential gaming and sports betting segments.
The Group is unwavering in its commitment to expanding its presence in the North American market to maximize earnings. Furthermore, XLMedia recently extended its partnership with Schneps Media. The collaborative agreement, initially spanning two years, has been extended to three years.
In this arrangement, XLMedia assumes responsibility for nurturing critical relationships with licensed sportsbooks and supplying premium sports betting content. The partnership also entails the creation of an educational iGaming content platform on amNY.com, reaffirming XLMedia’s dedication to fostering a comprehensive and engaging gaming ecosystem.
When it comes to online marketing, improving the performance of pre-landing pages (or prelanders) is a constant challenge. While there are many strategies that could help increase the effectiveness of those pages, we, the Spudo Conversion Rate Optimization Team, took a thoughtful approach.
As we delve into this question, we aim to uncover insights that can help fine-tune the pre-landing pages for better results. We will outline our hypothesis, methodology, and how we increased the conversion rates of our pre-landing pages by 2X through the strategic integration of sound.
The primary objective of this study was to determine the impact of sound on marketing prelanders. The team aimed to answer the pivotal question: Does the inclusion of sound improve or hinder the performance of prelanders, and to what extent?
The team began with the hypothesis that the addition of sound to prelanders would enhance user engagement. However, they were cognizant of the possibility that sound could also be a potential source of distraction or annoyance.
Before diving into the details of the case study, it’s important to clarify some key terms:
The team acknowledged that any conclusive results would require a substantial number of clicks. To ensure statistical significance, they set the threshold at a minimum of 25,000 clicks before drawing any conclusions.
To evaluate the impact of sound on prelanders, the team meticulously devised their test. They created two distinct prelanders:
A split test was conducted to directly compare the two versions, enabling them to make an informed decision about the inclusion of sound in their prelanders moving forward.
The team embarked on their investigation by conducting a substantial split test in Canada, acquiring 18,000+ clicks on each prelander.
The initial results hinted at the possibility that Prelander A, with sound, outperformed Prelander B without sound. However, rather than jumping to hasty conclusions, the team decided to delve deeper into their research. They maintained both versions of prelanders for further testing, allowing their SMS team to run split tests with other prelanders and opt out the less competitive ones.
After a rigorous and extensive testing phase involving approximately 225,000 clicks on both “Prelander A” (with sound) and “Prelander B” (without sound), the final results were indeed impressive.
The significance of these findings cannot be overstated. Prelander A’s efficiency, enabled by sound, shines as a beacon of the potential for optimized marketing strategies. It stands as a testament to the power of immersive and engaging user experiences, where sound acts as the catalyst for fostering a deeper connection with potential customers.
In light of these compelling findings, the conclusion is irrefutable: the inclusion of sound in marketing prelanders significantly enhances their performance. This is not merely a data-driven revelation; it is a powerful assertion of the transformative potential that sound wields in the realm of digital marketing.
For businesses and organizations seeking to optimize their conversion rates, this case study serves as an inspiration, illuminating a path forward where sound becomes a pivotal tool for engaging users, enhancing conversion rates, and ultimately achieving marketing success.
In a strategic move, Better Collective, a global leader in the online sports betting and iGaming sector, has successfully acquired Playmaker HQ, a prominent American sports media entity.
The culmination of these earnout payments hinges on Playmaker HQ’s ability to generate revenues exceeding $75.0 million and earnings before interest, tax, depreciation, and amortization (EBITDA) in excess of $25.0 million within the initial three years post-acquisition.
Playmaker HQ, headquartered in the vibrant landscape of South Florida, has carved a niche for itself by excelling in crafting original and captivating sports and entertainment content.
With a primary focus on the American market, the company collaborates with athletes and creative talents, offering a unique appeal to the sports enthusiast. Better Collective recognizes this acquisition as a gateway to accessing a burgeoning and highly engaged audience of generalist sports aficionados.
The company envisions leveraging Playmaker HQ’s expertise in sponsorship sales to diversify its revenue streams beyond the confines of the sports betting domain.
Moreover, the acquisition serves as a catalyst for expanding Playmaker HQ’s horizons to a global scale, benefitting from the wealth of resources provided by Better Collective.
Marc Pedersen, CEO of Better Collective North America, expressed his enthusiasm about this acquisition, stating,
“We have closely monitored Playmaker HQ’s trajectory, and today, we are thrilled to announce this transformative deal. Playmaker HQ opens the door to millions of sports fans in the United States, a substantial proportion of whom are new additions to the Better Collective user base.
We are excited to enhance these fans’ sports betting experiences while harnessing Playmaker HQ’s expertise to augment product scalability and revenue generation across Better Collective’s global portfolio.”
Brandon Harris, CEO of Playmaker HQ, shared his perspective on the acquisition, emphasizing the potential for collaboration and growth.
“We eagerly anticipate synergizing with Better Collective’s world-class team, which will empower us to craft remarkable content, experiences, and opportunities, reaching an even broader global audience of sports enthusiasts. Our creative talents are poised to achieve extraordinary feats with the support of Better Collective’s team and resources.”
Harris further expressed the organization’s collective excitement in aligning with Better Collective, with a shared vision of establishing the world’s premier sports media conglomerate. In this strategic union, Better Collective solidifies its position in the sports media landscape and paves the way for a new era of content creation and engagement within the industry.
The financing for this acquisition will be sourced from Betsson’s existing cash reserves and currently available credit facilities. The acquisition price reflects a multiple of 10 times the estimated EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) of betFIRST for the entire year of 2023.
In 2022, betFIRST reported a net revenue of €51.2 million and an altered EBITDA of €10 million. Established in 2011, betFIRST operates as a B2C (business-to-consumer) operator in Belgium’s online gaming market, which is subject to local regulations, providing both sports betting and dice games.
In addition to its online sportsbook, the brand also has a presence in 450 physical locations across Belgium, including gaming arcades.
In conjunction with the acquisition of betFIRST, Betsson has unveiled a strategic partnership with Groupe Partouche, a publicly listed casino operator in France. This partnership aims to provide online casino services in regulated markets, commencing in Belgium in 2023, contingent upon acquiring the necessary licenses.
Betsson intends to combine its expertise in online gaming with Groupe Partouche’s leadership in the land-based casino industry to deliver a localized online casino gaming experience in Belgium.
Groupe Partouche has multiple land-based casinos in Switzerland & France and has a retail casino license in Belgium that can be expanded to encompass an online license.
Betsson has articulated that the acquisition of betFIRST and the partnership with Groupe Partouche will grant the company vital access to the Belgian market. Simultaneously, it expands its geographical presence and diversifies its revenue streams by increasing its focus on locally regulated markets.
As of Q1 2023, Betsson’s overall regulated revenue mix accounted for 36.3% of its earnings. The operations of the betFIRST business will continue as usual until potential synergies can be further explored in the medium to long term.
Pontus Lindwall, CEO and President of Betsson AB, expressed his enthusiasm for the company’s entry into the Belgian market in collaboration with Groupe Partouche.
He emphasized the strategic alignment of this move with Betsson’s growth strategy, which focuses on extending its presence in new markets, especially those that are already regulated or expected to be regulated in the near future.
The Belgian market, which has been regulated since 2011, is well-suited to this strategy. Lindwall also highlighted the scalability of Betsson’s business model and its potential to enhance revenue and profitability over time through these initiatives.
This acquisition marks a groundbreaking development for Entain, positioning it as the exclusive global operator capable of providing in-house forecasting, analytics, risk assessment, and pricing for the US sports betting markets. Entain anticipates that this integration will elevate the wagering experience for its players.
Angstrom Sports employs simulation-based predictive modeling to furnish sportsbook clients with pricing and forecasting services. Its primary focus is on the US market, encompassing the country’s most popular leagues and competitions.
Jette Nygaard-Andersen, the CEO of Entain, expressed her enthusiasm regarding the acquisition, stating,
“We are delighted that Angstrom has joined Entain, enabling us to accelerate the development of the Entain platform, bringing even more product capabilities in-house. Angstrom’s proprietary next-gen capabilities will unlock significant opportunities, particularly for our US sports betting offering through BetMGM. We look forward to working closely with the Angstrom team and are excited to provide our customers with an unrivaled sports betting experience.”
This acquisition is the most recent addition to Entain’s expanding portfolio, reflecting the company’s consistent pursuit of growth and expansion through strategic mergers and acquisitions.
Recent notable acquisitions include SuperSport in Croatia, acquired by Entain in late 2022, and the acquisition of Polish sportsbook operator STS Holding. Entain has also actively pursued M&A bolt-on deals, with the Angstrom acquisition being a noteworthy addition to this category.
In June, Entain successfully concluded its acquisition of Tiidal Gaming NZ, the proprietor of the esports betting developer Sportsflare, for CA$13.2 million. This strategic move bolstered Entain’s presence in the esports betting sector and followed the relaunch of Unikrn in December of the previous year.
Adam Greenblatt, who has spearheaded the BetMGM venture since its inception in 2018, emphasized the importance of technology- and product-focused deals in the industry earlier this year. The completion of this deal is particularly timely for Entain, as it recently announced that it would fall short of its revenue expectations in the third quarter.
Factors contributing to this shortfall included:
As a result, net gaming revenue growth is now anticipated to increase by a high single-digit percentage but may experience a high single-digit percentage decline on a pro forma basis.
Nevertheless, the company remains on course to meet its full-year EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) guidance, which is expected to range between £1.00 billion and £1.05 billion.
Entain’s active pursuit of mergers and acquisitions mirrors a broader trend in the industry, with several significant operators also capitalizing on this approach to foster growth.
Recent examples include LeoVegas’s acquisition of Push Gaming and Playtika’s acquisition of Innplay Labs. In the United States, Fanatics Betting and Gaming (FBG) has completed the acquisition of PointsBet’s US business in the first eight states, as previously announced.
Additionally, Glitnor Group has inked an agreement to acquire a 37.5% stake in the New Jersey’s igaming operator ‘PlayStar.’ In more recent developments, news emerged of Playtech engaging in talks regarding a potential acquisition of Italian-facing operator SKS365 Malta Holdings.
Sources close to the discussions suggest the deal may be valued between £500 million and £600 million. While Flutter Entertainment and Italy’s Lottomatica have expressed interest, neither has officially commented on these reports.
Catena Media plc has recently agreed to divest its online sports betting brands in the UK and Australia for €6.0 million. The buyer, Moneta Communications Ltd, is a prominent sports betting affiliate based in the United Kingdom.
The deal is anticipated to conclude during the third quarter of 2023 and covers the transfer of all assets associated with Catena Media’s British operations, which encompass well-known sports betting trademarks such as Squawka and GG.co.uk.
Additionally, it includes the transfer of all shares held by the company in its wholly-owned Australian subsidiary. This strategic move is part of Catena Media’s ongoing efforts to shift its focus to the North American market, which was initially communicated during a strategic review in May 2022.
Out of the €6.0 million purchase price, €5.8 million will be disbursed in cash upon closing, with the remaining €0.2 million to be paid within 75 days post-closure. The proceeds from this sale will primarily be directed towards reducing the company’s debt and lowering its leverage ratio.
Taking into account a €15.2 million impairment charge linked to the transaction, the intangible assets of the businesses that were sold had a net book value of €6.0 million as of June 30, 2023.
Together, these enterprises generated around €4.5 million in revenue within the last year, accompanied by an EBITDA of approximately €0.9 million. The divestment is projected to yield an annualized cost reduction of roughly €2.8 million, with these savings taking effect immediately upon the transaction’s finalization.
Catena Media’s CEO, Michael Daly, expressed his views on the agreement:
“This deal represents another significant step in our journey to concentrate our operations on the North American online sportsbook and casino affiliation market. Our strategic review led us to reshape our brand portfolio to align with this more focused approach, and I’m pleased to report further progress in this direction.”
“I’m also delighted that we’ve identified a buyer well-positioned to build upon the success of our UK and Australian sports and casino brands and provide them with the necessary resources and support for continued development and growth.”
Christopher Russel, CEO of Moneta Communications, shared his thoughts on the acquisition, saying,
“We are pleased to have acquired these well-established and successful brands from Catena Media. This purchase enables Moneta Communications, as part of the OneTwenty Group, to advance its strategy of acquiring fan-focused, profitable digital media assets that cover major sports in key markets. We are excited about the prospects of further expanding and nurturing these assets and the talented teams behind them.”
LeoVegas Group, a subsidiary of MGM, has successfully concluded its acquisition of a majority stake in the game developer Push Gaming. Although the financial specifics of the transaction were not publicly disclosed, this move aligns with LeoVegas’ strategic approach to expand its presence in the realm of game content creation and distribution.
Additionally, it facilitates LeoVegas’ entry into the slots content sector and bolsters its content production capabilities. Importantly, all employees of Push Gaming will be retained as part of this acquisition.
Push Gaming will continue to function as an independent entity with its existing management team intact, including its co-founders, Winston Lee and James Marshal, who will remain in their respective roles as chief operating officer and chief executive.
LeoVegas emphasized the significance of Push Gaming’s game portfolio, which includes popular titles like Razor Shark, Wild Swarm, and Big Bamboo. This acquisition will substantially enhance LeoVegas’ presence in the thriving slots content category and provide crucial proprietary technologies necessary for sustained international growth.
This acquisition is a pivotal development for LeoVegas, marking its first significant investment since joining forces with MGM Resorts in November of the previous year.
According to Gary Fritz, President of MGM Resorts International Interactive, this acquisition aligns with MGM’s broader strategy to expand its global digital gaming presence.
Furthermore, LeoVegas and MGM Resorts recently unveiled their partnership to introduce the BetMGM brand in the UK. This collaboration is particularly notable as MGM partnered with LeoVegas, deviating from its co-owner Entain, in their BetMGM venture.
The joint venture leverages LeoVegas’ technology and platform to launch an international expansion strategy for BetMGM in the UK, offering players various new features, including frequent jackpots, loyalty rewards, sports promotions, and exclusive slots.
Better Collective, the digital sports media group, has expanded its footprint in the Swedish market by strategically acquiring four flagship sports media brands from Everysport Group.
These acquired brands are:
They collectively attract approximately 9 million monthly visits from dedicated Swedish sports enthusiasts.
Jesper Søgaard, CEO of Better Collective, said,
“A vital component of Better Collective’s strategy is to acquire top-tier national sports media brands with a devoted and returning audience. These sports media brands align perfectly with our portfolio. We anticipate that these media assets will contribute to the growth of our business in Sweden, further solidifying our leading position in affiliation and our expansion into general advertising. We are thrilled to welcome one of Sweden’s most formidable sports news teams into the Better Collective family.”
SvenskaFans stands as Sweden’s most extensive online sports fan community, with its inception dating back to the year 2000. It encompasses a wide spectrum of sports, from elite football to ice hockey and local leagues throughout Sweden. Throughout its impressive 23-year journey, the brand has fostered a sizable and devoted following by curating user-generated content, including match reports, interviews, feature articles, and podcasts.
With a current roster of more than 750 active contributors and a thriving YouTube channel, FanTV, SvenskaFans garners around 5 million monthly visits, relying exclusively on advertising (CPM) for revenue generation.
Hockeysverige.se stands as Sweden’s leading destination for ice hockey enthusiasts, delivering extensive coverage of the hockey world, encompassing the Swedish Hockey League (SHL), Champions Hockey League (CHL), National Hockey League (NHL), and HockeyAllsvenskan.
Bolstered by a robust online presence on YouTube and social media platforms, HockeySverige.se attracts approximately 2.2 million monthly visitors, supporting its operations through a combination of advertising (CPM) and subscription-based revenue streams.
Fotbolldirekt.se is a prominent Swedish football media outlet covering news and reports from both national and international football. The website receives around 1.1 million monthly visits and generates revenue through advertising and subscriptions.
InnebandyMagazinet is the leading floorball news site covering the Swedish leagues and national teams. This sports media platform attracts approximately 500,000 monthly visits and generates revenue through subscriptions and advertising (CPM).
Hannes Andersson, CEO of Everysport Group, expressed his satisfaction by saying,
“We take pride in developing these websites into some of Sweden’s largest news media outlets in their respective sports. We have also successfully commercialized these brands, turning negative financial trends into strong profitability.
Today’s deal validates Everysport’s digital innovation and execution capabilities, marking a logical next step for the brands and the group. We are confident that Better Collective, as a robust and long-term owner, will continue to nurture these brands in a commendable manner. We extend our best wishes to them and their employees.”
The acquisition of leading local sports media with strong branding aligns with Better Collective’s vision, enabling the group to bolster its presence and cement its position as a critical partner for advertisers in Sweden. The editorial teams behind these brands provide a solid foundation for expanding media offerings across all relevant platforms.
Better Collective will leverage its diverse revenue streams, as these sports media assets have hitherto relied on traditional advertising (CPM) and subscriptions for monetization. The company will also use its industry-leading technology and search engine optimization (SEO) expertise to increase traffic.
Brazil’s Lower House Greenlights Comprehensive Gambling Bill The Chamber of Deputies in Brazil has approved the government’s all-encompassing gambling legislation, which brings regulation to the domains of sports betting and online casinos.
This legislative achievement marks a pivotal milestone in establishing a regulatory framework for online gambling in Brazil, which ranks as the world’s tenth-largest economy. Bill 3,626/23, set to supplant the provisional measure (PM) instated by President Luiz Inácio Lula da Silva in July, has undergone multiple amendments compared to the original proposal introduced by Deputy Adolfo Viana.
Significantly, the new bill legalizes online casinos alongside regulating sports betting. However, fantasy sports betting will remain prohibited, thanks to a specific exemption within the new legislative framework. The next stage for this legislation involves review by the Federal Senate, which has a 45-day window to provide its input and feedback.
In a departure from the PM, the proposed law imposes restrictions on foreign companies seeking to enter the regulated gambling market. Only entities incorporated under Brazilian law, with their headquarters and administration based within the country, will be eligible to operate.
The practical implications of this restriction remain uncertain, and foreign operators may need to collaborate with local entities or subsidiaries to fulfill these requirements. Operators will also be subject to specific financial prerequisites, membership in sports integrity bodies, and various technical criteria to operate legally.
The legislation maintains an 18% tax on revenue, which, when considering additional contributions, can escalate to a range of 31-34%. There have been modifications to the allocation of gaming revenue, with 2% now designated for social security, 1.82% earmarked for the Ministry of Education, 6.63% allocated to sports, and 5.0% dedicated to the tourism sector.
The bill mandates operators to establish anti-money laundering and counter-terrorist financing measures, internal controls, and safer gambling protocols. Furthermore, operators are barred from offering bonus bets to customers, even as part of promotional activities, and from extending credit lines to bettors.
Entities without a license will be prohibited from advertising, and those who advertise must adhere to new guidelines. Violating these guidelines could lead to removal orders from the Ministry of Finance for companies, internet service providers, and websites.
The bill imposes restrictions on senior leadership, regulators, individuals under 18, and those participating in sporting events, prohibiting them from placing bets.
It also introduces new payment regulations to curb offshore gambling, permitting payment services only through institutions authorized by the Central Bank and restricting funds transfers to bank accounts with headquarters and administration in Brazil.
The approval of this legislation marks a significant milestone in the ongoing efforts to establish regulatory frameworks for the gambling industry in Brazil. Back in 2018, the Federal Senate gave its endorsement to Federal Law No 13,756/18, which was designed to oversee fixed-odds sports betting.
Nonetheless, the departing president, Jair Messias Bolsonaro, was expected to approve these regulations, which raised uncertainty about the culmination of years of concerted efforts. Subsequent to Bolsonaro’s electoral defeat, the new president, Lula, who is known for a more industry-friendly approach, assumed office.
Lula had maintained a cautious stance regarding the gaming industry, stemming from a gambling scandal in 2007. However, in July, his administration issued a Presidential Measure (PM) that instituted nationwide regulations for sports betting.
For this measure to become a permanent fixture, it requires approval from the country’s Congress within a 120-day timeframe. The Chamber of Deputies’ confirmation of the bill represents a significant leap towards legalizing online gambling in Brazil, with the Federal Senate being the final hurdle in this historic journey.
Members of Parliament in France have initiated discussions surrounding potential amendments to a proposed bill aimed at establishing regulatory frameworks for the digital landscape. This deliberation carries significant implications for the prospective regulation of online casinos.
The proposed legislation aims to establish oversight over activities defined as “games involving digital objects with monetization potential,” which are denoted as JONUM in Article 15. If this legislation is ratified, it would extend its regulatory purview to encompass Web3 products, including those utilized by Sorare and Socios, classifying them as non-fungible tokens (NFTs).
In the endeavor to differentiate JONUM from conventional gambling practices, Article 15 has been the subject of various suggested amendments. One of these proposed changes involves the inclusion of the phrase “with the objective of preventing risks to public order” in the title of the article.
This proposed change addresses the concern that currently, there exists a potential for illicit online casinos to be classified under the JONUM category. Such a classification could lead to illegal operators altering their offerings to digital objects, ostensibly complying with the law.
“This amendment aims to acknowledge this reality and, in turn, provide clarity to Article 15.”
A similar amendment has been proposed to facilitate the combat against illegal online casino operations in France by granting land-based casinos the opportunity to offer online gambling, with both being interconnected. The rationale behind this amendment is to provide French players with a pathway toward a secure, regulated and taxed online gambling experience.
Another cluster of amendments contemplates the complete deletion of Article 15. Some proponents of this action argue that the vagueness of the JONUM definition could yield adverse consequences.
An amendment of this nature, introduced by France’s Ecologist group, states,
“The Ecologist group is not content with relegating the challenges posed by Web3 to a single article within an all-encompassing bill.”
Instead, they “call for a comprehensive bill dedicated to JONUM, blockchain technology, and cryptocurrencies, enabling the parliament to make informed decisions regarding these sectors of the future.”
Defining the Regulatory Framework for Gambling One of the amendments recommends that monetizable digital objects should not be “transferred, directly or indirectly, for compensation to any gaming company.”
The purpose of this provision is to exclude the application of the JONUM framework to casinos and online gambling. It should be emphasized that online casinos are presently prohibited in France. Nevertheless, in May, a legislative proposal known as Bill 1248 was introduced by Philippe Latombe, a member of the Democratic Movement party.
This bill presents a vision for the regulation of online casinos within France. It introduces a concept of a “five-year moratorium,” allowing online casino gambling to be permissible during this period, albeit limited to “domestic entities.” Another proposed amendment advocates for removing the word “monetizable” from “monetizable digital games,” which appears in the title of Article 15.
This proposed change aims to distinguish JONUM from other forms of gambling, which are subject to specific public health regulations. The amendments collectively assert that JONUM currently satisfies four conditions associated with gambling: it presents an offering to the public, incorporates an element of chance, involves a financial wager, and offers the potential for monetary gain.
Aiming to be at the forefront of digital sports media, Better Collective enhances its foothold in South America by purchasing the prominent Brazilian sports portal Torcedores.com. This addition marks the group’s first Brazilian sports media entity, positioning Better Collective to fully utilise its digital prowess in one of the globe’s rapidly expanding markets.
Better Collective persists in its mergers and acquisitions approach, propelling the company’s growth in Brazil. It has acquired Torcedores.com, a top-tier Brazilian sports portal boasting a vast content creation network based in Sao Paulo.
The content predominantly revolves around soccer due to the region’s passion for the sport, but it also encompasses other sports like basketball, volleyball, tennis, and esports.
Simon Hovmand-Stilling, Head of Better Collective South America, shared,
“It’s exhilarating to bring Torcedores.com onboard as our inaugural sports media entity in Brazil. This acquisition aligns with our regional strategy, broadening our audience and content offering. This move amplifies our significance to our collaborators. South America, particularly Brazil, aligns with our aspirations of dominating the digital sports media landscape.”
Over the past year, the platform has consistently attracted over 12 million sports enthusiasts monthly, boasting a loyal user base. Torcedores.com’s social media growth has been remarkable, amassing a considerable following on platforms like Facebook, YouTube, TikTok, Twitter/X, and Instagram, engaging millions with bespoke sports content.
The agreement also encompasses other minor assets under the Torcedores.com umbrella, with Better Collective overseeing all activities.
Simon Hovmand-Stilling remarked,
“The potential in the Brazilian market is vast. We intend to implement our M&A strategy, which has proven effective in Europe and North America, to amplify our footprint in Brazilian sports media. Local expertise and powerful media brands are essential to ascend to the top. Acquiring Torcedores.com is in line with this vision.”
Transaction insights: The terms of the deal are confidential. Better Collective has revealed the acquisition will be cash-financed. The financial projections for 2023 remain consistent post-acquisition.
About Torcedores.com: Torcedores.com is a premier Brazilian sports portal rooted in São Paulo. The content primarily centres on soccer, reflective of the region’s enthusiasm, but also delves into other sports, including basketball, volleyball, tennis, and esports.
The AGCO (Alcohol and Gaming Commission of Ontario) has revised its guidelines to disallow the inclusion of athletes and celebrities in marketing campaigns related to online gaming, effective from February 28, 2024.
The changes to the Registrar’s Standards for Internet Gaming also limit the promotion of figures likely to attract a minor audience. The modifications come as the AGCO recognizes the potential risks to individuals below the legal age for gaming.
The updated norms specify that registered iGaming businesses in Ontario are prohibited from featuring active and retired athletes in their promotional materials, except in campaigns solely intended to promote responsible gambling practices.
Following a review of the regulated iGaming market’s inaugural year in Ontario, the AGCO has identified that marketing strategies employing individuals with appeal to minors pose potential risks. Before finalising the changes, the Commission consulted various stakeholders in April 2023, including mental health organizations, public health experts, responsible gambling specialists, gaming operators, and the general public.
The newly instituted regulations further restrict the usage of role models and symbols that could appeal to minors. This amplifies the existing standard with previously limited content with a “primary appeal to minors.”
As part of its governance role, the AGCO continually assesses emerging risks in the sectors it oversees and updates its standards accordingly. The AGCO Standards for Internet Gaming revisions, set to be implemented on February 28, 2024, include various clauses aimed at preventing targeted advertising towards high-risk, underage, or self-excluded individuals.
The new standards further limit marketing communications to known high-risk players and prohibit exploiting the vulnerabilities of such individuals. Following its responsibilities, the AGCO continually scrutinizes and pinpoints new challenges within the industries it regulates, amending its guidelines as necessary to mitigate these issues.
The modified AGCO Standards for Internet Gaming are scheduled to take effect on February 28, 2024. Below are the enhanced and emphasised clauses:
These updated guidelines reflect AGCO’s ongoing commitment to responsibly regulating the gaming industry, especially concerning vulnerable populations.
The acquisition will not influence Better Collective’s financial projections for 2023. Following the acquisition, the projected post-synergy 2024 EBITDA multiple is anticipated to be under 5x. From 2 October onwards, Tipsbladet.dk will formally integrate with Better Collective, which is based in Copenhagen, Denmark.
Jesper Søgaard, Better Collective’s co-founder and CEO, remarked,
“This acquisition aligns seamlessly with our ambition to dominate the digital sports media landscape. Our strategy revolves around procuring influential media brands with dedicated followers. The expertise of the Tipsbladet editorial team will be a valuable addition to Better Collective. I am optimistic about our collective potential to enhance the content that has captivated Danish sports enthusiasts for years.”
Tipsbladet’s Journey from Print to Digital Established in 1948, Tipsbladet is one of the Nordic region’s most seasoned soccer publications. It has metamorphosed from a traditional magazine to an influential digital hub, offering a rich mix of soccer-centric content, such as news, articles, match summaries, betting advice, videos, and in-depth analyses.
With a consistent monthly traffic of around 6.8 million visitors and a significant online presence, Tipsbladet.dk is a preferred portal for soccer enthusiasts.a
Henrik Stegger Nielsen, Tipsbladet’s previous proprietor, expressed,
“Since 2007, my endeavours have been directed at strengthening Tipsbladet’s operational robustness. Given their aspirations and capabilities, I am confident that Better Collective is the ideal custodian for Tipsbladet. Their stewardship promises further enhancement.” Nielsen and the existing Tipsbladet team will now be a part of Better Collective.
Allan Olsen, Tipsbladet’s Editor-in-Chief, shared,
“This merger is a significant milestone for Tipsbladet and its team. Despite our consistent growth and sound financial health in a challenging media landscape, Better Collective’s support will amplify Tipsbladet’s expansion. Our commitment to quality soccer narratives remains, but with Better Collective’s backing, we anticipate reaching an expanded audience across diverse platforms.”
Anticipated Collaborative Benefits Better Collective believes that this acquisition bolsters its foothold in the Danish domain, making it a more appealing collaborator for local advertisers. Moreover, Tipsbladet’s seasoned editorial squad offers a reliable base for diversifying media offerings across platforms.
With an emphasis on tech and SEO, Better Collective plans to augment the platform’s reach and has pledged to invest in Tipsbladet.dk’s continued evolution. Expansion and Growth Strategy Last month, during their Q2 results presentation, hints were dropped about potential mergers and acquisitions.
Flemming Pedersen, CFO at Better Collective mentioned during an earnings discussion,
“Currently, our total financial bandwidth exceeds €150 million, providing ample resources for broadening our operations.”
Q2 revenue stood at €78.1 million, registering a 39.4% growth compared to the previous year. Furthermore, earlier in September, Better Collective acquired Torcedores.com, a prominent sports media platform in Brazil.
Since the inauguration of Ontario’s regulated gaming sector over a year ago, various gambling entities have uniquely positioned themselves within the industry. So, what differentiates a successful operator in this highly competitive North American market?
In the 16 months post-regulation, diverse gambling establishments have endeavoured to establish their footprint in North America’s most lucrative market. This includes prior unregulated market participants transitioning to a regulated environment, leading European entities, media outlets branching into betting, and traditional land-based businesses seeking online opportunities.
Ontario’s gaming market has escalated in competitiveness, with data from iGaming Ontario indicating 46 companies operating 71 brands as of the first quarter of 2023. A distinguishing feature of this market is its broad-based participation, a stark contrast to the U.S., where regulatory barriers often lead to market dominance by a couple of key players.
While the U.S. addressed its unregulated gambling market in 2006 with the Unlawful Internet Gambling Enforcement Act (UIGEA), Ontario’s offshore sector remained vibrant until 4 April 2022. After this, many operators transitioned to the regulated market, aligning with the objectives of the new regulations.
Nic Sulsky, Chief Commercial Officer at PointsBet emphasises the advantage of long-standing entities that transitioned with comprehensive player data.
For instance, Bet365’s market dominance in Ontario can be attributed to its pre-regulation brand equity and extensive player data. However, the transition faced challenges.
Aleksandra Sygiel of Pinnacle Sports underscores the complexities customers face due to intensified regulatory protocols.
iGaming commands a significant portion of Ontario’s gaming landscape. Out of the total Q1 wagers, $11.6bn (or 83%) was attributed to iGaming, generating $392m (or 72%) in revenue. Given these statistics, operators like PointsBet invest heavily in enhancing their casino offerings. The objective is to integrate sports betting enthusiasts into the iGaming ecosystem seamlessly.
Many industry participants believe that an unwavering commitment to product excellence is paramount. It’s recognized that both sports punters and iGaming aficionados often explore multiple platforms. Pinnacle Sports, for instance, targets the seasoned bettor, emphasising superior market odds over promotional offers.
Asit Ganguli, country manager at Neo.Bet, similarly stresses the importance of long-term customer relationships over aggressive marketing tactics.
Media integration offers another avenue for differentiation. TheScore, initially a sports media platform, seeks to leverage its rapport with sports enthusiasts. They view betting as an integral part of the broader fan experience, and their media lineage enables a unique content and betting integration that stands apart from conventional operators.
In addition to media integration, sponsorships serve as a potent tool for brand establishment. PointsBet, for instance, has employed a strategy of aligning with trusted sports properties in Canada, even exploring opportunities in less conventional sports like curling, which resonates with a significant portion of Canadians.
While the U.S. has witnessed market exits, Ontario’s market remains vibrant and expansive. The continuous growth, as evidenced by five consecutive quarterly revenue records, underscores the market’s robustness. It’s anticipated that while not all players will thrive in the long run, for now, the market offers ample opportunity for those willing to navigate its challenges.
As Betsson Group celebrates its 60th anniversary, they have introduced a groundbreaking global marketing initiative called “A Bet Makes the Difference.”
This concept, primarily developed in-house, aims to shift the focus from merely winning big to the inherent excitement of betting. Initially, the campaign will be deployed across more than 10 countries in Europe and Latin America, making it one of the most groundbreaking efforts that Betsson Group has undertaken to date. It promises to redefine the betting experience across the industry.
Betsson has been experiencing notable growth, particularly in Latin America, where it recently became the primary sponsor for the iconic Argentine football club, Boca Juniors.
Betsson has been experiencing notable growth, particularly in Latin America, where it recently became the primary sponsor for the iconic Argentine football club, Boca Juniors.
Directed by award-winning filmmaker Rodrigo Saavedra, the production quality of the commercials rivals that of leading global lifestyle brands. The campaign aims to redefine entertainment within the betting sector, shifting the focus from wins to the exhilaration of participation.
Höök further elaborated,
“Our ultimate objective is to heighten the level of entertainment and magnify the thrill for our customers. Although the chance of winning is always there, we don’t want that to be the sole focus of our messaging. We advocate for responsible gambling, emphasising that the true value lies in the excitement, regardless of the outcome.”
This pioneering marketing strategy represents a significant step for Betsson in its endeavour to transform the industry’s perspective on entertainment and promote responsible engagement.
Booming Games, a preeminent provider of casino games, has officially secured the necessary certifications to commence operations in Denmark. This pivotal achievement extends the company’s reach in the European market, which is stringently regulated.
The acquisition of the Danish licence validates the company’s consistent efforts and the expertise of its team. It underscores Booming Games’ strategic intent to consolidate its position in the European market further. This venture into Denmark opens a plethora of new avenues for the company.
This move isn’t just a win for Booming Games; it’s a rallying cry for the industry. The company is not merely participating—it’s leading the pack, determined to enthral Denmark’s gaming community with its electrifying lineup. The foray into Denmark is more than an expansion; it’s a declaration of Booming Games’ unwavering commitment to elevate the gaming experience to stratospheric levels.
With the certification in place, Booming Games is all set to dish out its iconic portfolio that casino fans in Denmark can’t get enough of. The company is known for its diverse games featuring compelling themes, superior graphics, and exceptional game mechanics.
Danish operators can now incorporate popular titles like these into their gaming platforms:
Simultaneously, Booming Games continues its international growth trajectory, facilitated by strategic partnerships with significant gaming organisations across Europe and other regions. Recent collaborations include an agreement with Bingoal in the Netherlands, where Booming Games has introduced a variety of titles like ‘King Cobra,’ ‘TNT Bonanza,’ ‘Treasure Vault,’ and more.
Fueling Booming Games’ impressive expansion is its unique collection of captivating casino titles. Its recent additions, such as ‘Payday Pig,’ ‘Dog Heist,’ and ‘Shift ‘n’ Win’, further bolster the company’s leadership in innovation and excellence.
So, Denmark, are you ready to experience gaming like never before? Booming Games is about to bring the house down—don’t miss out!
The justification for this initiative is the perceived stabilisation of the gambling market since its regulatory overhaul in 2019. The Government cites high channelization rates as a significant rationale for the adjustment.
However, the proposal has met with disapproval from the Swedish Trade Association for Online Gambling (BOS). Gustaf Hoffstedt, the association’s Secretary-General, has voiced significant concerns over the proposed changes.
He contends that the Government’s action reveals a misunderstanding of the market dynamics it aims to regulate, thereby jeopardising the industry’s stability. Recent statistics show that the channelization rate in Sweden’s gambling market is at 77%, with some sectors like online casinos, lagging at 72%.
These numbers are notably lower than the Government’s initial target of a 90% channelization rate. Hoffstedt warns that if the Riksdag ratifies the proposed tax hike, the industry may revert to suboptimal channelization levels observed before the 2019 reforms.
Hoffstedt has urged the Government to reevaluate its stance, highlighting ample time to rescind the proposal. He stresses the need for the Government to fully comprehend the repercussions of such a tax increment on an already-challenged industry.
The proposed tax adjustment is expected to be implemented on July 1, 2024, pending further scrutiny and approval by the Riksdag. The Government plans to formally present the proposal to the legislative body in the spring of 2024.
SiGMA Group has entered into a strategic investment arrangement with Affiliate World Conferences, recognized as a premier organiser of global conferences in the affiliate marketing industry. As part of this alliance, SiGMA and Affiliate World plan to synchronise their global summits to host them in the same city and within the same timeframe. With the first collaborative summit scheduled in Dubai, this partnership promises to set new standards for innovation and engagement.
Eman Pulis, the founder of SiGMA Group, reflected on his initial experience attending an Affiliate World conference in Bangkok in 2014. He noted the high calibre of affiliates present and emphasised that many operators consistently express the need for more affiliate participation in conferences.
“This collaboration with Affiliate World positions SiGMA as a compelling destination for operators. We have strategically aligned our SiGMA conferences to coincide with Affiliate World events, thereby bridging the affiliate community more closely with the iGaming sector,” Pulis stated.
Since its inception in 2014, SiGMA has diversified into the affiliate sector in 2020, aiming to drive traffic to iGaming operators via its extensive portfolio of websites and its SiGMA Play platform. Affiliate World, established in 2015, hosts events catering to the international affiliate community and reports annual participation exceeding 15,000. The organisation currently stages events in Dubai, Barcelona, and Bangkok, and maintains over 30 full-time employees in its Dubai and Manila offices.
Managing Director of Affiliate World, Chris Hong, expressed enthusiasm about the partnership:
“We anticipate a highly synergistic relationship with SiGMA’s exceptional team. SiGMA’s investment in Affiliate World underscores the value our robust community of super affiliates brings to global operators. We are confident that this merger of strengths will offer unparalleled advantages to our attendees, exhibitors, and sponsors, facilitating significant business growth and forming valuable partnerships,” Hong added.