Live casino is set to account for more than 50% of the total online casino market in the next five years and this is something that should make online sportsbook operators sit up and take note.
It is clear that consumers are seeking more interactive and entertaining experiences, and while this is available in the casino vertical most operators have yet to embrace live sports products.
Not only do sports bettors want to engage with more interactive content but they also want to be able to wager on sports events 24 hours a day, seven days a week.
This is not possible with traditional sports betting and while some will point to virtual sports as a product to fill the gap, in reality virtuals rarely appeal to sports bettors.
This is because they are random number generator based and players do not get to wager on real sports. They simply don’t evoke the same emotions for bettors.
So, what is the solution?
Just as we have seen in the casino sector, live sports games will revolutionise the sports betting space and will drive unprecedented levels of growth for the operators offering such content.
But what do we mean when we refer to live sports games?
They are very similar to live casino in that they are operated out of a studio with the footage of the game broadcast live to players on their desktops, laptops, smartphones and tablets.
Live sports can be offered on any sporting event (football, cricket, darts, basketball, etc), with punters given the chance to place a range of bets based on the outcome of the event taking place.
The sporting event is condensed – for example, in boxing, a round takes just one minute – delivering a fast and satisfying experience to the customer.
In some cases, it takes 30 seconds from bet placement to outcome. Of course, live sports contests are available round the clock which is not the case when it comes to professional sports.
This offers unprecedented betting opportunities for operators to leverage.
A sporting chance for operators:
The global sports betting industry is a highly competitive one so it is important for operators to stand out from their rivals and deliver a superior player experience.
Live sports games allow them to do this by offering players new betting opportunities via a product that is far more engaging and entertaining than traditional sports betting.
Operators that offer our games are recording on average 100 bets per player per month with an average turnover of €335 per player per month. Average margin is 7.6%.
Live sports games also help operators localise their offering and not only meet but exceed player expectations in each jurisdiction they target.
For example, they could offer a live cricket game in India as this is the most popular sport in the country. In the US, it could be American Football or basketball.
Gamification is another major upside to offering live sports games. This is difficult to successfully implement with traditional sports betting, but with live the opportunities are endless.
For example – with our Darts game players can bet on markets outside of the standard ones (who will win) and instead on the section of the board where the dart will land.
We have combined this with a more engaging user interface to create a gamified experience for the player.
Operators can also use live sports games to engage new audiences and in particular, the highly lucrative millennial and generation z demographics.
This is partly because they offer a stripped back betting experience.
Unlike traditional sports wagering where there are hundreds of odds and markets, live sports games offer just few betting opportunities.
For example, with our football shootout game, players can wager on the team that will win the match, the result of the next shot and the total number of goals scored.
This makes for a great introductory product to sports betting.
All of this comes together to ultimately allow operators to deliver a superior player experience which in turn allows them to boost bet volumes and revenues.
Live dealer has had a tremendous impact on the online casino sector and live sports will do the same for sports betting. Could it also account for 50% of the total market in five years’ time? Absolutely.