1: Bet365 (2016)
The fact bet365 has managed to remain ahead of what’s been a consolidating chasing pack over the past 12 months is testament to the work that has gone on behind the scenes. This year’s number one ranking marks bet365’s seventh consecutive year at the top of the Power 50 list but there’s little doubt the firm is facing increased pressure from a new breed of merged rivals.
The operator’s recently released financial results served as a timely reminder of its sheer size when compared with others, posting as it did a 10% increase in profits to £448m – a number many firms in the top 10 would happily see in their revenue column.
Sportsbook remains bet365’s bread and butter and its proprietary technology coupled with competitive margins means the firm continues to be the gold standard in this vertical, particularly in relation to in-play.
Betting turnover totalled £37bn during the 12 months to March and while its gaming arm is less focused on in-house content than its peers, it continues to utilise smart CRM and personalisation to stand out.
In total, the firm generated revenues of £1.55bn during the 2015-16 financial year, head and shoulders above the rest. But if there was one crumb of comfort for the chasing pack it would have been bet365’s less dramatic revenue increase – a more modest 5% rise last year compared with 15% the year before.
While bet365 would no doubt argue the flatter growth was primarily due to the absence of a major summer football tournament, the firm’s withdrawal from Portugal, its licence revocation in Romania and what some recognise as being a more cautious approach to Asia, will also have been contributing factors.
Yet it’s worth noting the firm continues to grow from an extremely large base, rules the roost in sizeable regulated markets such as Spain and Italy, while it has also made up ground in Australia – arguably taking advantage of William Hill’s upheaval in the market to grow revenues by 65% and halve its annual loss to approximately £11m.
All the while bet365 has been turning the screw on UK rivals by, among other things, taking major advertising slots with Sky Sports and BT Sport and extending its commercial relationship with Stoke City Football Club. In addition, its recent launch of Best Odds Guaranteed Plus will have sent a shudder through the horseracing teams of UK competitors.
So overall, bet365 deservedly retains its place at number one and you sense it would take a major effort from rivals, or yet more large-scale consolidation, to see it usurped in 12 months’ time.