iGB Intelligence reports iGB Market Monitor December 2018 - Page 5

Executive summary Executive summary Spain – the state gives with one hand… in April 2019. However, with the anti-FOBT Despite the change in government last summer, Campaign for Fairer Gambling (CFG) and its the tax cut proposed by the Spanish government allies in Westminster clearly espousing an anti- coalition in April 2018 survived and came into gambling message and their supporters in the effect when the budget was passed. Market newspapers having been touting an increase Monitor estimates now put the market on course in RGD to 25%, it clearly could have been a lot to be worth more than €800m in 2019. worse. In this context, William Hill’s acquisition of Mr Green, which will increase its share of revenues ..and takes with the other coming from international sources to 21% and However, following the budget’s passing, the new that from online to 47%, represents a timely Spanish government said it was working on an geographic diversification, notwithstanding the advertising decree that states its objective “to be regulatory risks. to increase the demands, guarantees and control of gambling advertisements”. The suggested Nevada – regulated pointers remedies include reducing the proliferation of The excitement around the US sports betting gambling ads, particularly where they have an opportunity and the results from the first impact on children. This has raised fears that few months of operation in New Jersey have Spain is heading down the same prohibitionist somewhat obscured the fact that a US regulated path as Italy, and means operators that applied in market already operates in Nevada. Indeed, some the most recent licensing window which closed of the characteristics of sports betting there, not in December 2018 were in the dark as to the least its extreme seasonality across all the major exact conditions affecting the marketing of online sports, volatility of margins and the strength of gambling. the mobile channel – 64% of William Hill’s total wagering was via mobile devices in H1 – provide UK – dodging bullets and going Green some valuable pointers to how the market could A hike in Remote Gaming Duty from 15-21% to unfold elsewhere. If this increased mobile usage plug the hole in the public finances caused by a and the opportunities that provides for in-play cut in the maximum stake on B2 games (largely actually change the nature of how Americans bet electronic roulette) to £2 will be introduced remains to be seen. iGaming Business Market Monitor • December 2018 2