Online gambling industry enjoys annual growth of 18%

UNITED STATES

75% of industry executives stated in a recent survey that in future they will focus primarily on improving existing operations

(US).- The online gambling industry is more and more grown up, and like other industries, it now has to contend daily with increased competition and pressure on margins, according to MECN. The 75% of industry executives stated in a recent survey that the focus of their work in the future will be on improving existing operations rather than on exploring new revenue sources.

Therefore, MECN now provides the tools for operational excellence with the 2013 edition of its comprehensive benchmarking report analysing business figures, KPIs, relevant margins of the online gambling industry. 

The online gambling industry, at least the large sample of key operators analysed in MECN's report Online Gambling Benchmarking, apparently enjoys an overall annual growth of around 18%. This is growth rate is more or less constant since 2010 and is pretty much in the same range as that of other online industries, such as online travel and e-commerce. 

However, after years of explosive growth, this "normal" growth rate and increased pressure on profit margins might seem to some in the industry a severe hit. In our view, though, the online gambling industry is "just" now all grown up, and like other industries, it has to contend daily with increased competition, pressure on margins. 

It's therefore understandable that 75% of industry executives stated in a recent survey that in future they will focus primarily on improving existing operations rather than on exploring new revenue sources. Clearly, Martin Oelbermann, co-author of the study explains, "The basis for operational excellence is a comprehensive analysis and benchmarking of key performance indicators, business figures, and relevant margins". 

MECN's researchers took several months to compile and analyse a wealth of current as well as historical business data and KPIs and have now published the 2013 edition of its benchmarking report on the online gambling industry. 

The report is a must-read for all strategists and executives in the industry who want to save time and money compiling their own database. For those outside the industry the report is the go-to resource for all relevant business data needed to evaluate business plans, investment opportunities. 

The 2013 report offers unprecedented insights into the industry: 

Current data and historical data back to 2007 - The benchmark analyses are based on the most recent annual data and also trace long-term developments as far back as 2007.  Revenue growth benchmarks are broken down by products/verticals. 

Analyses of financial results, such as EBITDA, EBIT, including comparison of margins. Expense/costs benchmarks and margins, such as marketing, bonuses, CPA, IT, R&D, staff costs, chargebacks, player/customer-related benchmarks, such as active player development, ARPU (also broken down by products/verticals), churn rates. 

In total, the report has 120 pages and 191 graphs/exhibits. The study can be obtained at www.mecn.net 

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