With plans already in place for LeoVegas to enter the New Jersey gambling space, the market will soon be hosting an additional casino brand operator. An online betting services operator, this launch into the Garden State will help to further diversify the market. The business move was inspired by a recent deal between the operator and the casino conglomerate, Caesars Entertainment.
New Jersey will be the first US gambling destination that LeoVegas sets up operations in and the company has all the groundwork in place to fit in. By the end of the second quarter of 2022, the brand anticipates having signed up its first batch of American casino players. This will only be the beginning though because the long term plan is to spread operations throughout the state through the digital platform.
To make it past the launch, the casino group is hoping that the Rhino platform registered to them will serve as leverage. The gaming platform hosts more than 60 games collected from various casino service providers. Sports lovers will also have something to keep going back to as the operator also hosts sportsbooks.
In addition to slots, the modern casino player finds amusement in themed titles of games that are unique and innovative. Most casinos have a large database to keep up with player demand for innovative games. Casinos that have an in-house design team are able to release games at their discretion without risk of duplicating themes.
While information on possible incentives that the company will give its players has still not been shared with the public, casino bonuses are highly expected. This time around though, new customers of LeoVegas should look to bigger rewards as the brand must prove to be better than the competition to woe players. This should however be coupled with a great customer support system so that players feel connected to the platform all the time.
The fact that the digital anchor on which players will create accounts and play is ported fully on Google Cloud gives the company a competitive edge when it comes to offering unique customer experiences. Having control over its products is a major commercial advantage for companies looking to offer value to its customers.
Before the New Jersey state authorities allow LeoVegas to operate in this market, the company must first apply for the relevant certification required of business operators in the jurisdiction. As they await that to happen, the company should be working on the best strategy to capture the interest of the hundreds of gambling enthusiasts that are already members of other online casinos.
It is no secret that the performance of New Jersey gambling market outshines all other regulated states in the US. As per revenue collected in 2020, more than a billion US dollars was generated from casino operators in this market. This impressive performance is the reason why many casino investors are rushing to get a piece of the pie.
There are at least 20 major casino brands operating in this area and with most of them offering more or less the same products, it is evident that the market is still large enough for everyone. Companies operating casino outfits must part with 17.5% of their gross revenue from gaming as tax.
Speaking recently on the plans to launch operations in the US market, Group CEO LeoVegas, Gustaf Hagman, has termed this as a privilege. He is proud to finally steer his company into the coveted US market not only because it is happening at a good time but also because the right partner is beside them.
Caesars is a veteran in this market and will save LeoVegas from experiencing startup mistakes that are bound to happen without the proper guidance. Since the older casino brand has been in the market for a long time, it is such a noble act to offer to get into a support deal with an upcoming brand.
Hagman appreciates the fact that the United States market and specifically NJ, has over time given investors the impression that it is fertile ground for business. With more and more players finding thrill in online gaming, LeoVegas and his team are committed to offering the market the best of what they do. For this organization, the fact that they deliver a world-class experience to players through their cell phones is their greatest strength.
With full control over their proprietary platform, Hagman and his team has an upper hand over their competition; most gaming providers rely on third parties to develop and manage their online betting platforms for them. According to Q1 financial reports from LeoVegas, the company is in the green lights.
For this operator that has shares listed in Stockholm, headwinds in regulatory frameworks fuelled its great performance in its base. The reverse is true for its German based operation where high compliance costs dragged the company down.
Caesars Entertainment has been operating casinos since the 1970s and this current alliance marks the second such arrangement with a foreign entity. The first partnership was also with a player registered in the European market. Back in April 2021, Caesars Entertainment took over William Hill for a sum of $2.9 billion.
A few weeks ago, Tom Reeg, the CEO of Caesars Group confirmed to gambling investors that all the properties that William Hill owed before the take-over would be rebranded to reflect Caesars identity. Stakeholders are yet to see what this will look like ahead of the 2021/2022 NFL season in September.
Caesars has always been a powerful brand in the betting world and not just in New Jersey but in many other states including Las Vegas. The decision to partner with such a big player in the industry is quite strategic because it means riding on the wings of an already existing marketing structure. While the LeoVegas brand expects to immediately blend into the market, it might take a while before the company is able to post positive results.