Egaming industry predictions for 2014 - part one
In the first of a series of articles leading up to the New Year, eGaming Review asks industry experts to look into their crystal ball and predict the big themes for 2014
Steve Cutler, former head of poker at Unibet
1) Big data driven loyalty and retention systems (CRM) has been a huge hole in most operators’ offerings. How you effectively engage with your customers will be the key to setting yourself apart from the competition. A data driven ‘agile marketing’ strategy will be a key priority in all marketing plans. Social gaming inspired marketing and promotions will continue to grow, with the goal of increasing the ‘entertainment’ factor.
2) Mobile. Not so much a prediction but a guarantee. “Mobilising” your offering (native, HTML5 and fully responsive site/offering) will continue to be a top priority. Social media and already some large gambling operators view mobile as the first point of development.
3) Stand-alone poker will continue to out-perform network poker operators and Unibet’s recent move will serve as a potential opportunity worth investigating by their competitors. Recreational inspired poker offering will continue to be the sensible commercial option for all multi-tier operators. Networks with the best ecology model will provide the framework for greater long-term earnings for those operators who remain. I can see some exclusive partnerships between large sportsbooks and remaining poker software suppliers forming.
Gavin Kelleher, research analyst at Goodbody
1) UK Consolidation will increase in 2014. In advance of POCT in the UK, the market has become more competitive as operators look to increase market share and scale before December 2014. The level of TV advertising and free bet activity is unsustainable for many operators, particularly after the tax is introduced. 2014 could well see smaller operators acquired, exiting the market or having their offerings significantly compromised.
2) Tablet is the all-important channel. It is quite obvious, but it looks like tablet penetration is only going one way, particularly with some very attractive pricing and value propositions. The cross-sell challenge, of mobile gaming from sports, has been a key theme in 2013, but increased tablet penetration and further product could see leading operators deliver better than expected gaming numbers in 2014.
3) Poker and bingo set for another difficult year. Poker, and more recently bingo, has struggled to deliver growth and a reversal of the fortunes for these verticals is unlikely in 2014. Both products are crying out for some significant innovation to re-invigorate player interest.