Online gambling giant 888 Holdings has taken yet another significant step of progress having its ambitious growth plans, adhering to a deal to have exclusive rights with the flagship Sports Illustrated brand for on line casino and sports betting.
Sports Illustrated, that will be owned by the Authentic Brands Group, has signed a handle 888 which will last up to twenty years which also includes the right to be featured in any future brick-and-mortar business that 888 develop around the world in the future.
The implications with this agreement mean that Sports Illustrated may have a 4. 9 percent stake in 888 Holdings’ ever-growing US business which may increase to 19. 9 percent in the coming years.
Throughout the last year, partnerships between gambling operators and media businesses have increased substantially and they are being seen as a benchmark for future success in the industry.
It is often especially successful in the US for media businesses, that have identified the gambling industry as one where they can benefit from a potential $3. 9 billion marketplace, with the united states still greatly in its infancy, following the approval of new legislation in many states.
Through the first quarter of 2022 alone, 888 reported revenue figures of $272. 5 million which represents a 66 percent increase on the year before.
Other similar partnerships
This is actually not the first deal of its kind between a gambling operator and a media company, with a great many other big names taking advantage of the potential that such collaborations can have.
William Hill and US network CBS consented to a deal in September 2022 for the integration of a diverse amount of content, data and statistics to assist and complement a fantasy football offering.
NBC and Points Bet committed to a five-year contract worth $500 million in August 2022, for the Australian sportsbook to be the exclusive supplier of betting tools for media giant NBC.
In January 2022, Barstool Sports sold a 36 percent stake in its company to Penn National Gaming for $163 million in a bid to boost its awareness, which subsequently valued the company at $450 million.
What does this mean for 888 Holdings?
Having for ages been right at the forefront of development and growth in the online gambling industry, 888 have never been keen to sit still and let their competitors grab the initiative. This latest move means that they truly are the only European gambling operator to seal a handle a media business (William Hill has become exclusively US-based as a business).
This means they can steal a substantial march on others who operate in their arena, not least those who are under the behemoth Entain (previously GVC Holdings), which there are over 20 prominent brands.
There is a substantial amount of pressure for UK-based gambling companies to find means of increasing their revenue, due to recent changes in legislation to great britain market which may affect the total amount sheet. It appears that 888 Holdings have seized the initiative by agreeing to a handle a prominent US media company to boost their awareness and reach.
Chief Executive of 888 Holdings, Itai Patzner has been particularly vocal concerning this latest move, indicating that it is a great leap forward from the business and can help them to create a relationship with the usa market, using a local (US) brand that is trusted by US customers.
The offer ultimately can give 888 the opportunity to take its customer strategy tactically into the US market and help to produce a platform for further success to complement its already thriving European offering.