Effect of simulcast on betting turnover

Effect of simulcast on betting turnover

Harald Dørum, CEO Norsk Rikstoto

051009 1IFHA 2009

http://images.google.no/imgres?imgurl=http://www.rikstoto.no/Pictures/14471/harald_dorum.GIF&imgrefurl=http://www.rikstoto.no/nyheter/NR/article_27053.asp&usg=__5LL1LKJOWkyWsMaMNS9hM18Bp7U=&h=120&w=120&sz=13&hl=no&start=4&um=1&tbnid=J8ZUdMJegNQwOM:&tbnh=88&tbnw=88&prev=/images?q=harald+d%C3%B8rum&hl=no&rlz=1T4GGLJ_noNO221NO221&um=1

Norway – racing & betting with 4,7million people

5500 starters625 race meetingsMostly trotting

051009 2IFHA 2009

http://images.google.no/imgres?imgurl=http://z.about.com/d/cruises/1/0/w/L/4/Flam_to_Voss_Norway_06.jpg&imgrefurl=http://cruises.about.com/od/northerneuropeancruises/ig/Flam-Norway---Flam-Railway/Flam-to-Voss-Railway-near-Flam.htm&usg=__9ZyWBgOYH8E3K0ogbdxhqelLMpQ=&h=600&w=800&sz=247&hl=no&start=76&um=1&tbnid=Fqlkh5P1dAKU2M:&tbnh=107&tbnw=143&prev=/images?q=norway&ndsp=20&hl=no&rlz=1T4GGLJ_noNO221NO221&sa=N&start=60&um=1

http://images.google.no/imgres?imgurl=http://www.norway-hei.com/images/norway-skiers-standing2.jpg&imgrefurl=http://www.norway-hei.com/english-to-norwegian-translations-greetings-and-phrases.html&usg=__S_uEG-xN2X77Rz-69vPg3iRUXz4=&h=360&w=480&sz=47&hl=no&start=81&um=1&tbnid=3CJLJtLaITpl5M:&tbnh=97&tbnw=129&prev=/images?q=norway&ndsp=20&hl=no&rlz=1T4GGLJ_noNO221NO221&sa=N&start=80&um=1

http://images.google.no/imgres?imgurl=http://www.lux.is/lux/english/images/norway1/norway-lofoten-01.jpg&imgrefurl=http://www.lux.is/lux/english/default2.asp?active_page_id=359&usg=__3BcFgppfKal7fvqCnNeDF0yDHo0=&h=480&w=638&sz=37&hl=no&start=10&um=1&tbnid=PDFE-p-AKlfMHM:&tbnh=103&tbnw=137&prev=/images?q=norway&ndsp=20&hl=no&rlz=1T4GGLJ_noNO221NO221&sa=N&um=1

http://images.google.no/imgres?imgurl=http://www.enebakk.kommune.no/~/GetFile.aspx/images/epii_id/852/epit_id/1&imgrefurl=http://www.enebakk.kommune.no/Modules/calendar.aspx?ObjectType=Calendar&Calendar.ID=20&Category.ID=567&usg=__QN1IOxNydx4r8Wzc6ezXHXCIxRk=&h=416&w=619&sz=247&hl=no&start=34&um=1&tbnid=6KVOHVQTWvqpUM:&tbnh=91&tbnw=136&prev=/images?q=norge+landbruk&ndsp=20&hl=no&rlz=1T4GGLJ_noNO221NO221&sa=N&start=20&um=1

Wide distribution via modern technology

1300 online outlets

Mobile phones

12 racetracks

Cash register in grocery stores

Digital Signage, TeliText &TV

MMS

Application server eToto

kToto

BEADM

mToto eKommis

CRM

LBE CDB

Bank

LotteryServer

Application server eToto

kToto

BEADM

mToto eKommis

CRM

LBE CDB

Bank

LotteryServer

INFO

INFO

Internete- agents

INFO

Central data systems

051009 3IFHA 2009

http://images.google.com/imgres?imgurl=http://www.ica.no/lib_img/logos/ica.jpg&imgrefurl=http://www.ica.no/FrontServlet?s=icano&state=icano_dynamic&viewid=logoer&expand=4&h=206&w=400&sz=14&tbnid=nlBQ3oGdensJ:&tbnh=61&tbnw=118&start=22&prev=/images?q=ica&start=20&hl=en&lr=lang_no&rls=GGLC,GGLC:1970-01,GGLC:en&sa=N

http://images.google.com/imgres?imgurl=http://home.monet.no/~harstad_tidende/images/vg-logo.jpg&imgrefurl=http://home.monet.no/~harstad_tidende/&h=33&w=90&sz=9&hl=en&start=8&tbnid=1s1pb6W9DV0UQM:&tbnh=29&tbnw=78&prev=/images?q=vg+logo&svnum=10&hl=en&rls=GGLC,GGLC:1970-01,GGLC:en

http://images.google.com/imgres?imgurl=http://www.vajas.info/jpg/db-logo-mag04.jpg&imgrefurl=http://www.vajas.info/press/2004dagbladet02NOR.htm&h=48&w=200&sz=4&hl=en&start=6&tbnid=B1X5e_dGRw9NZM:&tbnh=25&tbnw=104&prev=/images?q=dagbladet+logo&svnum=10&hl=en&rls=GGLC,GGLC:1970-01,GGLC:en

http://images.google.com/imgres?imgurl=http://www.tellus.no/tellus-webx/media/samarbeidspartnerlo/logo_nettavisen.jpg&imgrefurl=http://www.tellus.no/tellus-webx/default.asp?V_DOC_ID=689&h=30&w=150&sz=22&hl=en&start=8&tbnid=HPkJkkyfNUNvtM:&tbnh=19&tbnw=96&prev=/images?q=TV2+nettavisen+logo&svnum=10&hl=en&rls=GGLC,GGLC:1970-01,GGLC:en&sa=G

Norwegian gambling is regulated by the Authorities

The Norwegian Government has actively regulated the market, with significant effect on national gambling.

051009 4IFHA 2009

1999 2000 2001 2002 2003 2004 2005 2006 2007 2008Video Lottery Terminal 7 000 7 836 8 958 15 426 22 789 26 300 27 100 18 970 10 440 0Norsk Tiping (incl. extra) 8 042 8 277 8 607 9 734 9 743 9 617 9 204 9 480 9 951 10 579Rikstoto 2 330 2 572 2 626 2 479 2 415 2 622 2 781 2 800 3 163 3 710Other Games (incl. www) 2 628 2 013 2 220 2 510 4 063 4 274 5 615 7 388 8 378 10 800Total 20 000 20 698 22 411 30 149 39 010 42 813 44 700 38 638 31 932 25 089

http://www.snl.no/.bilde/Norge_(Innledning)_(landingress,_v%C3%A5pen)

Digital signage in all outletsThe typical outlet (”Agent”)

Signagescreen in the shop

Signagescreen at the terminal

Information touch screens

All outlets have live betting information (odds etc.) plus screens promoting the betting with commercials (“Digital Signage”)

051009 5IFHA 2009

Online betting information proves boosting sales

All 1300 outlets get online information:- race cards- odds- non runners- rankings- results- etc etc500 shows live racing Touch screen to select info

051009 6IFHA 2009

International betting has high growth

+25%

16,4% of total turnover 2009

€

Increase in offering live racing throughout the day (Lunch, International), has partly compensated for the effect of the Finance Crises

051009 7IFHA 2009

Bets are sold throughout the day, and if racing is live, it is a plus

0,00 %

2,00 %

4,00 %

6,00 %

8,00 %

10,00 %

12,00 %

14,00 %

16,00 %

0 30 100

130

200

230

530

600

630

700

730

800

830

900

930

1000

1030

1100

1130

1200

1230

1300

1330

1400

1430

1500

1530

1600

1630

1700

1730

1800

1830

1900

1930

2000

2030

2100

2130

2200

2230

2300

Friday

Monday

Saturday

Sunday

Thursday

Tuesday

Wednesday

Ukedag

Time

Weekday

Live racing periods throughout the day

% of betting versus time of day

The new, busy customers must be able to buy our entertainment offer at any time & place

051009 8IFHA 2009

Age distribution by sales channel

AGE

RECRUITMENTAverage punter age is decreasing the more “modern” the sales cannel is.

051009 9IFHA 2009

More customers

2009 2015

Rikstoto´s registered customer base

Today Goal

43 000 +since 2007

• 43 000 new customers since 01/01-2008• 50% of the “lunch-is-my-favorite” players are among this new customers• They are 5 years younger than average

051009 10IFHA 2009

Rikstoto´s growth in betting last years has been very good

100

200

300

400

500 mill €

Utilizing modern technology in distribution and information

National growth has been even better than international growth051009 11IFHA 2009

Rikstoto simulcast every day

Rikstoto simulcast every day to • 500+ outlets• all tracks• and via WEB & Canal Digital

No effect on betting turnover without simulcast!051009 12IFHA 2009

Thank you for you attention.

Harald Dørum, CEO Norsk Rikstoto

051009 13IFHA 2009

Documents

Effect of simulcast on betting turnover