Q&A: Bethard CEO on securing the signing of Zlatan Ibrahimovic

Bethard Group hit the headlines in March after unveiling Swedish football legend Zlatan Ibrahimovic as its new brand ambassador and co-owner.

The sports betting brand released a Hollywood-style promo video announcing the arrival of the LA Galaxy striker, which Bethard hopes will further its strategic push to be licensed in the key European markets by 2020.

Bethard CEO Erik Skarp spoke to EGR Intel about the intricacies of the deal and potentially securing a UK betting license in time for the 2018 World Cup in Russia.

Here’s what he had to say:

EGR Intel: Why are brand ambassadors so important for operators like Bethard?

Erik Sharp (ES): I would argue that they are not. While they have proven effective earlier in the process I think we have come to a point where you need more than just a poster boy or an ambassadorship to see a substantial and long term effect. Zlatan is not just an ambassador for us, he is a dedicated and engaged co-owner. I think you can see that he is committed well beyond just being a face in our advertising. I have to admit I had a big smile on my face when I saw last week’s Eurosport interview where he offered to sponsor FIFA and the World Cup through his betting company.

EGR Intel: Was it a complex process trying to get the Ibrahimovic deal over the line?

ES: Actually, I think the steepest barrier was psychological and to take the first steps. Once we had convinced ourselves that we could really pull this off, the process with Zlatan and his team went quite quickly. I would like to believe that the speedy process was a result of the fact that we found common ground and a shared vision for this venture in our first meeting.

EGR Intel: What kind of ROI are you expecting as a result of the deal?

ES: Of course, we have a solid ROI calculation behind this move, but I prefer to keep numbers to myself. Our long-term goal is to become Europe’s betting company- this is not just a marketing line but the internal target we are working towards.

EGR Intel: What has industry reaction been like following the appointment of Ibrahimovic?

ES: Response, both from the industry and from a consumer perspective has been overwhelmingly positive. It is a bold move, one that people didn’t expect and my experience the surprises are often received well. I think the biggest take-away is that people now understand we are serious about what we want to achieve.

EGR Intel: Have you seen an increase in customer sign-ups since the ambassadorship was announced?

ES: Absolutely, we have seen a substantial increase in attention and sign-ups. So far, we have not really focused on call-to-action in our campaigning, but rather invested in establishing credibility and relevance for the fact that Zlatan is genuinely engaged in and committed to Bethard as an owner. And yes, we are ahead of forecast in terms of numbers.

EGR Intel: Which markets is Bethard currently operating in and are there plans for expansion?

ES: We are on an aggressive growth path in terms of markets as well. While our current key focus is obviously the Nordics and Sweden in particular, we are also growing in other parts of mainland Europe as well. In terms of licensing, we are in process to expand our UK and Danish licenses which might both be in place for the World Cup. For 2019, a Swedish and possibly one other European license is on the agenda. From there, we will see if we look to the East or the West.

EGR Intel: Was the Ibrahimovic deal secured with one eye on the legalisation of US sports betting?

ES: Zlatan has a truly global appeal. By partnering with him, we don’t need to think that way. Which ever way we decide to go, Zlatan has strength and relevance enough to be a vital part of our go-to marketing strategy.  

EGR Intel: When will the brand launch in the UK?

ES: Our UK license is just a few compliance details away. Once in place we will take the first baby steps towards establishing ourselves in the UK.

EGR Intel: What is Bethard’s relationship with Raketech and Together Gaming?

ES: Very close from an ownership perspective given that we have more or less the same shareholders. On an operational basis though they are completely distanced from each other, and I believe that´s the way it has to be in order to maximize each and every business unit.

EGR Intel: How much of Bethard’s marketing budget was spent on the promo video unveiling of Ibrahimovic?

ES: In total, production of all marketing assets including digital, radio, events and outdoor, will stay at 10% of our total marketing spend. Then you should also consider that this is only the first in a series of four or five videos that we will release in 2018. So, it looks more expensive than it actually is!