Mobile casino gaming covers losses at Ladbrokes Coral
When leading UK bookies Ladbrokes and Coral got together, everybody predicted that the gigantic company would absorb most of the sports betting markets in the UK. That just hasn’t been the reality, though, as the figures show this week. The company has announced a 6% drop in revenue for the first half of 2017, with the official reason being cited as a drop in high-street revenue, courtesy of mobile gaming.
Whilst it may seem rather shocking to learn that there has been a drop in 6% of revenue for Ladbrokes Coral, it doesn’t quite tell the whole picture. Sure, Ladbrokes Coral’s high-street bookies have taken a bit of a battering, but their online presence is just as strong as ever. In fact, the hugely popular UK sportsbook’s casino sites have gone on to report an 18% rise in online revenue. That clearly covers their losses, with a total profit of £1.2 billion announced.
Old high-street bookies are in for a slow death at Ladbrokes Coral
Mobile casino gaming may be the death of the Ladbrokes Coral’s high-street business, but that same mobile casino gaming crowd are also contributing to the huge rise in funds for the company in the digital world. With the popularity of online betting on the rise like never before, it seems the old high-street bookies are in for a slow death. Even rival bookies William Hill has reported a 2% drop in revenue. The situation is far worse for William Hill, as they do not have the online resources and revenue to cover their losses.
Many believe that the bid to reduce the fixed odds betting terminal (FOBT) stakes could very kill off the high-street bookie once and for all. Whilst that is further bad news for William Hill, Ladbrokes Coral may disappear under new ownership. A second bid from GVC was received last week, to the tune of £3.6 billion. Once again, Ladbrokes Coral have rejected the offer, which makes sense given the terrific year they are having, once you overlook the drop in high-street revenue. As long as they hold a significant share of the mobile casino market in the UK, the future is rosy for Ladbrokes Coral.