Gaming revenues hit by VIP churn and recreational focus, says William Hill CEO
Philip Bowcock says some high-value players were lost but a “mass-market acquisition” strategy had brought in new players
William Hill gaming revenues were hit by a “slight churn” in high-value customers as the operator implemented stricter source of funds checks in H1, according to group CEO Philip Bowcock.
The gaming vertical recorded a 4% year-on-year rise in net revenue to £156.4m, compared to an 11% rise in wider Online revenues.
CEO Philip Bowcock told EGR Intel the operator had seen a reduction in higher value customers after asking for customers for a source of funds.
However, the firm also said it had broadened its gaming customer base with mass-market acquisition and more free bets in H1.
“We’ve been filling the hopper from the top with other customers and they tend to be a bit lower value,” Bowcock said.
“We’ve been spending a lot of bonusing in order to get more of those in so I think this is a natural phase the business is going through.”
Several operators have reported seeing lower-staking and less loyal customers during World Cup years.
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Kindred’s gaming revenues also suffered during the period, with the operator reporting a 9% rise when excluding the impact of the 32Red acquisition.
Bowcock said he was satisfied with the overall growth of online overall and attributed the 11% increase in revenues to the group to a significant number of new players acquired during the World Cup.