iGB Intelligence reports iGB Market Monitor December 2017 | Page 5

Executive summary Executive summary The UK market: a split screen betting suggest a GGR of circa DKK340.8m The UK market very much appears split between (€45.8m or £40.9m) and online casino came in the top two multiproduct operators –bet365 and at DKK458m. The online casino market has been Sky Betting & Gaming – and the rest who, with experiencing a boom over the past three years, notable exceptions depending on the vertical, are rising from a total of DKK248m in the second failing to keep pace with the market leaders. quarter of 2014. There are many medium and small competitors, In September this year, the Danish regulator particularly in gaming, doing much more in the conducted a search of websites that it UK than simply making up the numbers. Gaming determined were targeting Danish players illegally. companies occupying niche positions in the The report concluded that the liberalisation of the market appear to be performing more strongly, Danish market has dramatically cut the number of benefiting from better targeted customer websites ill egally targeting Denmark. acquisition and flexible retention techniques. All of the chasing pack have either already Spain: an expanded market been directly involved in consolidation within the The online gambling market in Spain will be gambling sector, taken part in failed discussions getting bigger within the next year after the or are rumoured to have been in discussions Spanish regulator, the Dirección General de about further deals. Ordenación del Juego, announced in September Significantly, the top two have yet to take any that up to 10 new licences were to be issued. This part in the process. This is not a coincidence. One is the first tender since 2015, when a further 10 of the obvious points about M&A – and certainly a licensees were welcomed to the Spanish fold, and factor in why it is often seen after the fact to have it will see the total number of licensees rise to 45. been value destructive – is the disruption caused. The third-quarter figures showed year-on-year growth hitting 37% and total revenues coming Denmark: a growing market in at €141m (£126m). Casino was the big winner. The Danish online market continued to progress Total revenues for the period were up 54% to in the second quarter. Our estimates for online €44m, representing 31% of the market. iGaming Business Market Monitor • December 2017 2