BOYLE Sports will continue investing heavily in retail betting despite growing pessimism surrounding the sector, with Chief Executive Officer Vlad Kaltenieks insisting betting shops remain central to the operator’s strategy.
Speaking following the opening of the company’s 400th betting shop at Galway Racecourse, Kaltenieks said the milestone reflected BOYLE Sports’ continued confidence in retail across its home of Ireland as well as the UK at a time when some rivals have slowed expansion.
“So 400 stores for us is a great milestone,” he told SBC News, adding that the company’s 400th shop opening at Galway was no coincidence.
“We timed it to make sure it opened at the iconic Galway Racecourse, because the heritage for BOYLE Sports is really Ireland, and we have been part of the fabric of horse racing here for so many years.”
While acknowledging that other operators have become more cautious, Kaltenieks said customer demand for physical betting shops remains strong.
It’s a stance that has not just been taken by Kaltenieks. Despite many people in and out of the industry seeing retail betting as a sector that could be lost in the next few years, it is one that was exempt from tax rises which were implemented to online betting revenue in November last year.
This has pointed to some suggestions that retail betting could undergo somewhat of a revival.
“I probably see that some of the other operators are taking a more cautious approach around their investment, but we are still seeing a very strong demand for a good, high-quality retail experience
“Customers really want to have options and a good seamless experience, switching between maybe digital and retail, and we’re here to offer that.
“I think when I look at our proposition across the two channels, for omni-channel experiences, we probably have one of the strongest products in the market, and we’re really proud to continue to invest and to deliver on that first class service.”
Retail still attractive for BOYLE Sports
Concerns over the long-term future of betting shops have intensified following rising operating costs, regulatory changes and the continued growth of online gambling.
Kaltenieks, however, argued that retail remains an attractive proposition for BOYLE Sports.
“I think retail is a hugely exciting opportunity, because… these are more communal spaces, really, for people to engage, to watch sports, and to have an occasional bet.
“I think it’s super important to have both retail and digital places that are well regulated, that are licensed, and people have an option to do that in a controlled, regulated environment.”
BOYLE Sports has significantly expanded its retail estate in recent years, even since Kaltenieks, a man with a traditionally technology-focused background, took over as CEO back in March 2023.
Since that point, the operator has grown its retail empire by around 150 stores.
“We’re continuing on the positive trajectory there.
“I definitely see that there’s opportunity, and probably, when I look at what maybe the future can hold as well, it’s just a continuation in terms of that evolution of the customer experience.
“I don’t think that we’re particularly exclusively competing within just the sports betting and iGaming environment anymore – it’s much wider, it’s entertainment, it’s probably eCommerce and other industries where we are competing for people’s attention, and that in itself I think sets us apart very differently.”
Horse racing vs football
Although BOYLE Sports remains closely associated with horse racing, Kaltenieks said football represents the company’s biggest growth opportunity.
“I think [football is] not necessarily taking over. We’re deeply committed to racing, and I personally would want to see it growing.”
“We’ve also enhanced our partnership in the UK with Newbury Racecourse, so I’m really personally very passionate about what the future holds for racing, and I’d be super keen to see how it’s finding new strength and reinventing itself.
“We’ve been seeing horse racing coupled with some of the concerts and days out, so I think there’s great potential for horse racing to find its next milestone, but the growth of football is complimenting that well too.”
At the same time, football continues to grow in importance, for businesses across the industry but for BOYLE Sports in particular.
The firm recently extended its partnership with West Ham United after The Hammers’ relegation from the Premier League.
Rather than viewing relegation negatively, Kaltenieks believes it creates another chance for West Ham to add another intriguing chapter to the story.
It also offered up a unique opportunity, given the incoming front-of-shirt sponsorship ban in the Premier League would have prevented the company from having its logo on the front of West Ham kits should they have stayed up.
“They got relegated, but I think being in the Championship is hugely exciting as well.”
“The club has such a wonderful story and they have such a strong and supportive fanbase, and to continue to support that is fantastic. It’s just great to be part of that journey, and to see how the next season is going to pan out, and hopefully they make it back into the Premier League.
“Last season, we were rooting for them to be successful and what happened happened, but I think that’s probably going to give the club and the fans more of an injection of energy to continue to fight and to climb back. For us to be able to support that is a privilege.
“We’re an independent Irish bookmaker that is a challenger brand in the UK. For us, that visibility is super important.”
The opportunities and challenges brought by the GRAI’s introduction
With Ireland’s new gambling regulatory framework coming into force, Kaltenieks said BOYLE Sports welcomes clearer rules for the industry.
To recap, the Gambling Regulatory Authority of Ireland (GRAI) has now taken charge of the online Irish betting market, with regulations being overhauled.
At the start of this month, it took on licensing duties for online betting companies, a role previously held by Ireland’s Revenue Commissioners.
As part of the GRAI’s remit, the organisation will look to enforce operator compliance with regulatory requirements, create and administer a Social Impact Fund to support gambling harm prevention, create and manage a national gambling exclusion register, and impose licensing obligations on areas such as advertising.
On the GRAI, Kaltenieks said: “One thing about myself is I’m maybe too optimistic. My thinking is like: ‘this is happening, how do we turn it into the biggest opportunity for our customers and ourselves?’
“We’ve been following a voluntary code of conduct for many, many years in Ireland before this regulation was announced, and so we actually welcome this.
“Yes, it’s good to have a well-drafted set of rules that define that framework that we can operate in, and to continue to do that in a responsible way to make sure that we’re looking after our customers.
“It would be silly not to say that we’re not going to look at the ways of growing, but ultimately, what I’d like to do is to make sure that people have an opportunity to play in a responsible and safe environment.
“I’d rather see customers migrate to regulated, licensed retail and digital environments than to be lost to black market.”
400 up – what’s next?
Although BOYLE Sports previously operated in South Africa, Kaltenieks confirmed the business is now concentrating solely on its core markets.
Looking ahead, the company plans to continue investing across both retail and technology.
Last year BOYLE Sports committed more than £100m of investment, much of which was put towards supporting further shop openings and digital development.
“I’m a huge believer that technology and product drives the customer experience,” Kaltenieks continued.
“AI has infused a new level of opportunity and maybe challenge in itself… for us it’s thinking about how to integrate that, but also how to make sure that we’re protecting more customers as well.”
While international expansion remains a possibility, Kaltenieks suggested acquisitions would be favoured over entering new markets organically.
Despite higher taxes in the UK, regulatory reform in Ireland and continued debate around the future of betting shops, Kaltenieks remains optimistic about the sector’s prospects.
“I think, for sure, the UK is a huge opportunity for us. The market is going to get reshaped.
“You can see some big moves there as well – some brands are entering and others are exiting, but I’m positioning the business to be in the best possible spot to capture the opportunity – and capture it in a responsible way.
“We can get bogged down in negative views, but I think one of my tasks as a leader is to be grounded, and find a way to position ourselves to be able to capitalise on any opportunities.”
