âSignificantâ mobile investment pays off for Betfair
Mobile revenue up 70% year-on-year as operator reveals nearly two thirds of sportsbook revenues were derived from mobile in Q4
Betfair believes âsignificant investmentâinto its mobile channel is starting to pay dividends after reporting a 70% year-on-year increase in mobile revenues.
The groupâs fixed-odds sports betting business was the principal driver of mobile growth, with almost two thirds of total sportsbook revenues coming from the mobile channel in Q4 and a 50% increase in active mobile customers.
Around 56% of total sportsbook revenue for the year ended 30 April 2014, roughly £20.3m, was derived from mobile channels, according to the operatorâs full-year results for the 12 months released this morning.
And while Betfairâs gaming performance was markedly less impressive than its sportsbookâs growth, mobile revenue on the vertical more than trebled over the course of the year driven by a 155% year-on-year increase in mobile gaming active users.
And 30% of gaming revenues were derived through the mobile channel in Q4, compared to just 14% through the channel in Q1.
Less detail was given on mobile penetration through its flagship exchange product, with revenues assumed to be below 20% through mobile in FY14, although 52% of customers were said to have used exchange via mobile at some stage during the year.
All of Betfairâs mobile products have been developed in-house, and in a call with journalists this morning Breon Corcoran praised the work on the firmâs portfolio of mobile apps.
âMobile has been a particular strong point and having the development in-house means we can respond to customer feedback quickly and efficiently,â he said.
The group recently launched an entirely new iOS sportsbook that added various new features such as integrated casino content and single sign-on between other apps that make up the groupâs mobile product suite.
Investec analyst James Hollins said the groupâs mobile investment provided it with a âcompetitive advantage in tough European sports marketsâ.