Welcome to the Social Gaming and Sports Betting Report 2016. This report looks into the evolution of the social casino vertical and assesses how the sports betting sector has moved on from its first unsuccessful forays into social media.
The report was written prior to Playtika being acquired by Shanghai Giant Network Technology Co, the Chinese consortium that paid US$4.4bn for Caesars Interactive Entertainment's social gaming division.
However, that deal does show how big the social gaming vertical has become in the past decade. While it is not at the peak it experienced around 2012-2013, the Playtika acquisition shows that social is a major, cash-generating sector.
But when it comes to volume and market share, it also means that the current major players, the likes of Double Down, Zynga or Big Fish Games; are likely to remain the dominant players in the field for some time.
Of course this doesn't mean smaller independent studios or start-ups can't carve a space out for themselves, but to reach the size of a Playtika in 2016 is a much harder ask than it might have been in the past.
Meanwhile the dynamics fuelling the sports betting and daily fantasy sports verticals have changed dramatically in recent times, helped by the growth and ubiquity of mobile phones, wi-fi and the wider social acceptance of betting as a leisure activity.
For the betting-related networks or affiliates using social media to drive traffic to operators or to build up their businesses the focus is on generating enough traction that it produces sufficient volumes to generate margins.
No one knows for sure if they will be successful but the ideas they have come up are taken seriously by investors and operators, which might not have been the case a few years ago.
Meanwhile DFS continues its astonishing reinvention, spurred on by DraftKings and FanDuel. The key for those two companies – and to an extent others such as Mondogoal or Oulala Games; although much of the focus will be on the first two mentioned, will be if they can make any inroads across Europe.
The Social Gaming and Sports Betting Report 2016 addresses the following topics:
- A review of market leaders: How they came to dominate, financial performances, top verticals, key trends/challenges.
- Why social sports betting on Facebook never achieved traction, and why casino was successful.
- Sports betting in a social context: Why today's bettors expect more than a one-time transaction.
- The emergence of bet/tip sharing sites/apps where bets can placed directly using bookie APIs.
- A review of new products like football stock markets from Football Index and BuaBook.
- Key social media platforms, user growth and how they used for marketing to bettors and gamers.
- DFS: An examination of its explosion in North America and whether it can succeed in regulated markets.
- Is DFS a popular social product? Does it compete with sports bettors or compliment that activity?
- The outlook for social gaming and betting.
Click on the e-magazine link to read your copy of the iGaming Business Social Gaming and Sports Betting Report 2016.