The gaming, hospitality and leisure industries stand at a pivotal juncture regarding how the convergence of online and brick-and-mortar can be turned into new business opportunities.
Online gaming is emerging as the cornerstone of a prosperous business model.
This paradigm shift is substantiated by a compelling report from BDO titled “Omnichannel investments make a winning hand for gaming’s pandemic recovery”. The report emphasises the importance of cultivating an omnichannel strategy that seamlessly interlinks these gaming experiences.
The global accounting and advisory firm contends that the path to triumph lies in the development of an omnichannel approach that unites the realms of online and offline gaming. “By giving customers the option to play online while off-site, and even play online while on-site but away from the gaming floor, casinos have the unique opportunity to capture more data, better measure customer engagement and ultimately improve the customer experience,” the report asserts.
Imagine a personalised, interconnected customer experience with rewards tailored to each customer’s preferences, which can substantially enhance brand loyalty and retention, thereby driving increased gaming and resort revenue.
Amid this transformative landscape, Sun International, a JSE-listed casino and resort behemoth, discerns promising opportunities in embracing an omnichannel strategy. The linchpin of this strategy is none other than Sunbet, Sun International’s online gaming platform.
Additionally, the company is dedicated to augmenting the efficiency of its gaming halls through the judicious application of data analytics. The integration of omnichannel dynamics and data analytics holds the key to bridging the chasm between the physical and digital gaming worlds, unveiling untapped potential for the industry.
One of the main advantages of adopting an omnichannel platform in the gaming industry is the ability to reach a broader audience. Companies can entice more players by providing a multitude of channels for interaction, thereby expanding their reach, and nurturing a loyal customer base that caters to diverse segments.
Conversely, companies such as Sun International can leverage data analytics to ascertain which online and brick-and-mortar games resonate most with their customers. This analytical insight empowers them to engage with more customers online, potentially converting them into brick-and-mortar players as well.
Sun International’s astute employment of data analytics has already borne fruit through its land-based casinos and SunBet. By harnessing data analytics, it gains invaluable insights into customer behaviour and preferences. These insights enable Sun International to retain new customers and scrutinise suspicious activities with greater precision.
Notably, Sun International has struck an omnichannel success formula with SunBet. The company intends to leverage the formidable Sun International brand, its extensive presence, and its loyalty proposition to attract and retain players, concurrently positioning SunBet as the most reliable and responsible online gaming operator in Southern Africa.
On Monday, Sun International reported that its gaming division, which accounts for a significant 78% of group revenue, witnessed revenue growth of 6.6% in the first half of 2023.
SunBet emerged as the group’s star performer during this period, amassing record earnings of R298m, reflecting an impressive surge of 138.4%. Adjusted ebitda surged by an astounding 542.9% to R90m. Notably, SunBet experienced a spike in unique active players by 702.8%, first-time depositors by 469.2%, and platform deposits by 216.2% during the review period.
The stellar performance of SunBet leaves no room for doubt that it is on an upward trajectory. Sun International anticipates this online gambling platform will continue to flourish throughout the year as it rapidly expands.
Plans are already under way to extend the online betting platform to other countries including Ghana, Kenya and Zambia, where SunBet has already secured online sports betting and casino licences. Success in these markets could pave the way for further expansion into other African territories.
What sets SunBet apart and affords it a competitive edge is the Quantum platform, developed by Sportingtech. This platform offers access to more than 65 sports, 9,000 games and more than 1,000 betting markets. SunBet’s overarching objective is to establish itself as Africa’s largest and most reputable online bookmaker.
Sun International is not alone in its pursuit of growth in Africa’s online bookmaking sector. Some of the world’s most prominent gambling companies, including Bet365, Ladbrokes, and William Hill, have already established their presence in Africa’s burgeoning gambling space.
JSE-listed MultiChoice has also unveiled plans to expand its interactive entertainment portfolio with a substantial sports betting offering. This SA platform, named SuperSportBet, is poised to launch by the end of 2023. SuperSportBet will join KingMakers’ other businesses in Africa which already include BetKing in Nigeria and SuperPicks in Ghana.
The allure of the African market is undeniable as it has seen rapid growth driven by several factors, including the widespread adoption of mobile devices, the burgeoning middle class and the proliferation of the internet. Projections from a RandM report indicate that the African gaming market is poised to surpass the $40bn revenue mark by 2025.
In this evolving landscape, consumers stand to be the beneficiaries. Their desire for accessible opportunities to engage in gambling and potentially amass wealth, especially those that are readily available, is the driving force behind the industry’s expansion.
Africa’s gaming industry, with Sun International at the forefront, is poised for remarkable growth, offering players an exciting era of accessible and diversified gambling options.
• Lourie is the founder and editor of TechFinancials.
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