Part 1: Italy – revolting populism
the main drivers: casino GGR rose from €438.9m
However, the longer the ban stays in place,
to €710m while online sports betting rose to the more detrimental it will be for everyone.
€640.9m from €395.9m. Italian politics remains a mystery to most – and
Whether this rate of growth continues into this
the frequency of changes in government can be
year is debatable, but we can at least say that it will head-spinning – but it is unlikely anyone in the
be a more profitable market for all the major players. gaming sector fancies the chances of any new
Take marketing out of the P&L and the bottom line government in the future revisiting the advertising
becomes fatter by quite a margin. For the market question any time soon.
leaders with an established presence, in both
In this sense, the new normal in Italy means
casino and sports betting, the immediate impact on gambling will not be televised or otherwise
customer numbers and traffic will likely be limited. promoted to the public except in the limited
Growth may moderate, but it is highly unlikely
sense of omni-channel promotion and presence.
it will go backwards and the only major impact
is that it will make it unlikely that any further A test case
operators will attempt market entry. Indeed, a As a mature online sector in a country which has
more likely scenario is that the ad ban will give a been regulated in terms of online for some years,
(likely limited) boost to black market operators, the Italian market is now in the position of being
which will no doubt be able to find affiliates something of a petri dish for what can happen if
willing to service their advertising needs. changes are enacted that run counter to some of
the gambling industry’s most cherished ideals.
For the market leaders in sports betting, it is
likely that those with a true omni-channel offering
One of these is that the quid pro quo for
will be better placed in a zero marketing future. entering a regulated market and paying taxes
Their presence on the high street will still afford is that it should come with the ability to market
them the basic marketing of having their brands more freely. We will soon find out what an
visible to the public. advertising ban does for gross gaming revenues
and, perhaps more importantly, the bottom line
With the casino leaders, it can again be
across the sector.
presumed that those with a land-based betting
estate can at least provide in-store promotion The problem for the Italian authorities is that
for their online operations. Online-only gaming there is a track record of black market operations
operators such as 888 and Starcasino will, into Italy. Even when the regulated regime was
however, need to be more creative and/or sweat at its friendliest, the black market continued
their current assets even more. to operate within Italy. The chances that some
Chart 2: Italy online + retail sports betting – top 10
operators by market share 2018 (GGR) Chart 3: Italy online casino – top 10 operators by
market share 2018 (GGR)
Snai 13.9% PokerStars 9.6%
PlanetWin365 12.1% Lottomatica 8.5%
Eurobet 11.9% Sisal 8.2%
Lottomatica 10.1% Eurobet 6.7%
Sisal 10.1% Snai 6.2%
Goldbet 8.9% 888 5.6%
Bet365 7.1% Intralot 5.9% William Hill 4.6%
Betaland 2.7% Planetwin365 3.7%
Bwin 5.5%
Bwin 1.4%
0
Starcasino (Betsson) 3.5%
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Source: Ficom Leisure/AAMS
iGaming Business Market Monitor • February 2019
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3
4
5
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7
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Source: Ficom Leisure/AAMS
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