Sportsbet market share grows
SPORTSBET lifted its share of the online sports betting market to 50 per cent in the first half of 2021, with solid retention rates over the six-month period, according to its parent company Flutter Entertainment.
Ireland-based Flutter pointed to strong growth in Australia’s online sports betting market, telling investors it had generated a compound annual growth rate of 21 per cent over the past five years.
Sportsbet, one of the leading players in the local gaming market, centred its growth strategy around product, value and marketing to attract customers, with the gaming group reinvesting in generosities (handouts to punters, such as free bets). These perks stood at 26 per cent of gross gaming revenue in 2020, double the 2016 figure, according to Goldman Sachs.
“Further, they noted that in this half, retention rates remained solid, although it is too early to make a call on the extent to which some of its market share wins from the retail channel will stay,” the investment bank said of a recent Flutter investor day. “Management believes it is more appropriate to assess this over a 12 to 18-month time frame.”