SBC News Voice of the Sports Betting Industry
UK bookmaker Betfred has announced that it has shut down its Australian facing operations, just six months after its launch.
Betfred Australia began operations in May 2014 after securing a licence under the Northern Territory Gaming Commission. The company had appointed former Centerbet Marketing Director Luke Brill as Managing Director of Betfred Australia.
Betfred had entered the Australian market with a GTECH powered mobile sports betting product. Upon its Australian launch the operator stated that it would concentrate on marketing its mobile sports betting inventory in order to form a point of differentiation in the saturated Australian market.
During its six months of operations, Betfred Australia had seen an increase in competition from international igaming operators such as William Hill, Paddy Power and Ladbrokes who had spent heavily and acquired Australian igaming operators in order to establish market share. Betfred senior management had reported that marketing and operational costs had risen in the region. Betfred Australia had also been hindered by delays to their product launch.
“Following a review of the business it was felt that the market had become overpopulated, we have therefore decided that our marketing spend and ongoing infrastructure costs are best spent elsewhere,” John Haddock, Chief Executive Betfred Group, commented to industry news source EGR Magazine
Betfred has already begun to shut down its Australian facing operations, player accounts have been refunded and staff members have been informed of the closure of business.
