Transcript PowerPoint Presentation - Slide 1 - Smile-Expo

Online Betting is here to stay!
eGaming – A Brief History and future outlook
Mid-1990’s
2001-06
2007-10
2011-15?
2016-20?
Public Cos
Re-Focus
Toward
Europe –
Global
Businesses –
North American Focused -
North
American
North
Focused
–
American
North
North
Focused
American
American
Caribbean
Focused
- Focused
License –
Private Cos
European
Offshore
License –
Public Cos /
Private Cos
Private Cos
Profit from
US & Asia
European
Onshore
Regulation –
Monopolies /
Public Cos /
Private Cos
Global Onshore Regulation &
Taxation - ???
European betting market
Legislative landscape
Map of European online legislation status
UK
Bulgaria
The Uk market has been the most open in
Europe since the late 1990’s.
The current government is moving towards
a new tax for online betting.(15% on NGR).
BG state , after an initial attempt last year to
regulate the market based on a TO tax scheme,
This year they introduced a new taxation model
(20% on NGR).
Sweden
The provision of gambling, (including online gambling
services), requires a license if arranged in Sweden.
The supply of gambling services from within Sweden
is restricted and mostly undertaken by the monopoly
operator, Svenska Spel.
Cyprus
Already issuing licenses for land based operations ,
offering only Sportsbetting at the moment.
In the next 6months we expect the gpverment to
issue online licenses at .country .
France:
Issued licenses for fixed odds sports betting and pari-mutuel
horserace betting rom June 2010.
●● Market has lagged behind dot.com scale due to high
tax, low payback ratio and arduous player registration
process.
●● Leading operators:
BetClic Everest, Bwin, Winamax
Germany:
State of Schleswig-Holstein has started to issue online
sports
betting, casino and poker licenses from 2013 and several
more want to open sports betting to private operators.
Still the procedure is very slow..
ITALY
Spain
Spanish State approved draft law in February 2011.
Licensing authority: Minesterio de Industria.
Changed original turnover tax in favor of gross profits. Fixed
odds horseracing betting will face a 15% gross profit tax
while other fixed odds games and exchange betting will face
a 25% gross profit tax.
Greece
Currently Greece has a monopoly on land based
sportsbetting (Opap) and online operators are running
under interim licenses with taxation of 30% on GGR.
Europe’s largest egaming market, first to adopt dot country
model from late 2006.
●● Added skill games (including tournament poker) to sports
betting in 2008, bingo in 2009.
. ●● Poker cash games launched in February 2011 and casino
games in June 2011.
The European online GGR CAGR forecast
GGR CAGR 2010 – 2014 (%) FORECAST
Growth in the
European online
gaming market is
primarily driven
by the Skill
game products…
…and by the
increasing
popularity of
online gaming
across the
European
territories
UK: the “quintessential” betting and gaming market
•
UK is the most traditional , lucrative and mature gaming market in Europe
2009/10 market share by GGY/GGR
8%
3%
12%
•
To date one of the most lucrative online markets as well due to its
“relaxed” regulatory model where companies licensed in its white-listed
jurisdictions (i.e. Gibraltar, Isle of Man, Guernsey etc) are allowed to
operate and market in the UK without a UK based license .
14%
Betting
•
52%
11%
In light of the European economic crisis that seems to be spreading
around, UK’s decision to reform its gaming regulatory framework does
come as a surprise since they are trying to resolve as well their budgetary
deficit issues.
Casino
Bingo
Remote
Arcades
Lottery
2009/10 market share by licenses
13%
•
UK govt is trying to introduce later on 2014 a new tax of 15% for all the
operators in the UK , not only the ones that they target UK customers.
39%
27%
12%
Betting
Casino
Bingo
7%
Remote
2%
Arcades
Lottery
Italy, to date the “success” story of “Regulated European gaming”
• Remote gambling GW (€m)
1.800
•
Europe’s largest e-gaming market
1.600
1.524
1.573
2012 E
2013 E
1.644
1.674
2014 E
2015 E
1.400
•
Italy was the first continental market to regulate its
gaming sector, in late 2006 – started with sports
betting; the government decided to do so by setting
up a tender system both for the land based and
online licenses
1.136
1.200
1.000
781
800
610
600
307
400
200
73
0
2007
•
More than 6 years later Italy boasts to be the first
market in Europe to regulate its gambling sector in a
way that has benefited all the involved parties; the
government – gaming is the main tax contributor for
the state-, the consumers – they can chose the
operator they want to play/bet with from a wide
array of operators and brands – and the operators they can operate a full portfolio of products – online
and offline- including sports (2007), skill games (2008)
bingo (2009) and as of 2011 casino style games and
cash poker .
2008
2009
2010
2011 E
• Interactive poker Mkt share 2011
Other; 4,5%
Microgame; 28,3%
PokerStars; 22,8%
Lottomatica; 11,2%
Bwin Party; 15,5%
iPoker; 17,0%
France , to date, the “failure” story of “Regulated European gaming”
•
The objective was to ‘open’ the market, safeguarding
the business of the national incumbents  High
taxation on sport
•
The market ‘opened’ 4 years ago for sport and poker
•
The business model as conceived by the French
regulator today is proving un-sustainable.
•
Companies acquire customers but they cannot
forecast yet when they will turn profitable.
•
It is anticipated that if the regulatory framework does
not adjust to the market realities most international
sports licensors will leave.
French Interactive Gambling GGR/GGY (€m)
1.800
1.600
1.400
1.200
1.000
800
600
400
200
0
FDJ Sports / Lottery
20
10
20
11
E
20
12
E
20
13
E
20
14
E
20
15
E
The move towards regulation happened halfheartedly
20
08
20
09
•
20
06
20
07
France introduced its gaming regulation in 2010; it
has proved to be a challenging market
20
05
•
PMU Horse / Sports
Other Onshore
Russian Online Betting market
•
Recent developments
•16 November, 2011 – By the NAB’s initiative the President of the Russian Federation Vladimir Putin signed the
‘Amendments to Chapter 29 of the Russian Federation Tax Code Part Two’ Federal Act № 319-F3 dealing with the
gambling industry taxation.
•1 January, 2012 - The ‘Amendments to Chapter 29 of the Russian Federation Tax Code Part Two’ Federal Act № 319F3 dealing with the gambling industry taxation came into effect.
•January, 2013 – By the NAB’s initiative a draft act was entered to the State Duma of the Russian Federation dealing
with match fixing with an important part of the betting industry played in the process.
•July, 2013 - Signing of Federal Act № 198-F3 «Amendments to the Federal Act «On physical culture and sports in
the Russian Federation» and other legal acts of the Russian Federation for prevention of illegal influence on the
outcomes of official sports events»
•
January, 2014 - Federal Act № 198-F3 comes into effect
Russian Online Betting market
Recent developments
•
Despite the ISP blocking and regulation , online operators are still operating in Russia.
•
Russian State is loosing money from non regulating the Online Betting industry.
•
Operators , already licensed for Land based Sportsbetting ,they are loosing market share.
•
Russian citizens are exposed to non licensed operators.
They need to get involved
•
Russian State
•
Bookmakers Union and Association of Bookmakers in Russia
•
Introduce the highest international standards and regulate the market.
•
Russian Football league.
•
Responsible Gaming.
Спасибо за внимание