William Hill Aussie Business Facing Troublesome Numbers
The Australian Gambling market is full of many bookmakers, some of them are based in Australia, while others are big names that have presence in many international markets, including the Aussie one. One of the biggest names in the Australian gambling industry is William Hill. While many other names have managed to succeed and reach new heights, it seems that William Hill is not facing the same success.
This is because according to UBS (Australia’s Investment Bank). The United Kingdom based bookmaker is being left in the dust due to the great and cutthroat competition in the internet sports wagering sector. The data that is coming from the Aussie investment bank shows that The UK gambling giant has lost a lot of its market share in Australia, when compared to some of its fierce rivals such as Ladbrokes in the last 3 quarters. For example, Ladbrokes has managed to witness an increase of 50 percent, on the other hand, the other UK based bookmaker William Hill has experienced an 8 percent decrease in market share, according to the UBS.
According to Chris Stevens, who is an analyst at the UBS, the great growth that Crownbet, Ladbrokes and Sportsbet has seen for the past 3 years has greatly intensified the competition in the Aussie internet sportsbetting scene, which has resulted in driving the market share of William Hill from 34% to only 12% (this is only for the digital sports betting market). The same can be said about the net revenue flat, all of this is happening to William Hill despite the fact that the market is witnessing a growth of almost fifteen percent every single year.
Previously, William Hill has stated that the US and the Australian operations of the company are showing positive momentum, this was stated in the first 4 months of this year. On the other hand, it seems that this momentum was not enough in order to pllt the company’s overall revenue up, as it has witnessed a decrease of 3% in the seventeen weeks in April. The internet gaming revenue of the UK based company has decreased 4%, while the sports betting revenue has witnessed a 17% decrease. William Hill has explained the downfall in the sportsbetting sector by stating that it was due to the gambler friendly European soccer results as well as the bookie disaster, which was the Cheltenham Festival.
On other news, it seems that Tabcorp is still continuing its poaching activities as it has hired Jamie Hart, the ex-executive at William Hill to be the executive director of its new brand. This new UK brand is Sun Bets, which is aiming to grab its share from the sports betting market of the UK, which is estimated at 7 billion dollars.