A few weeks ago, 888 announced its new value creation plan (VCP), a strategic re-think going into this year and beyond.
888 reported disappointing financial results for the 2023 fiscal year. Rising interest rates made it more difficult to service debt, especially the extra weight 888 took on when it acquired William Hill’s non-U.S. assets from Caesars Entertainment in 2022.
Overall, the VCP has set new financial targets and a new corporate identity, a re-set for the business, and a sharper focus on execution.
“I firmly believe that the Group now has all the key ingredients for long-term success: leading positions in growing markets with high and rising barriers to entry; powerful proprietary technology; a top-class management team; and some of the strongest betting and gaming brands in the world,” said Per Widerström, chief executive officer of 888 Holdings, at the end of March. “We’re now clear on what success looks like, we have the team and capabilities to deliver, and I’m confident that the execution of our plan will deliver a high return on equity from sustainable profitable growth, enhanced by deleveraging.”
Widerström was appointed to his position in October 2023. Seven of the 10 top senior managers are new appointments put in place after Widerström was appointed.
Where does Canada fit in that overall strategy? CDC Gaming asked Roi Nadler, head of Canada at 888, for his feedback on that.
“Our new strategy takes a long-term view of the Canadian online-gaming market and its potential for future value creation,” he said. “A key part of the strategy is building out significantly improved core capabilities in terms of customer experience and how we deliver our products and brands, and we see Canada as one of the markets that stands to benefit from this over the coming years.”
888 is one of the world’s leading online-betting and gaming companies and secured an igaming license to operate in Ontario in March 2022. The company offers casino, sport, and poker products, all powered by its proprietary technology.
“For now, we have made a clear commitment to the Great White North with our sponsorship of the Canadian Football League (CFL) and many promotions for our players,” Nadler said. “As a result, 888Casino.CA has seen strong adoption of our online casino, poker, and sports-betting products since our launch on the very first day of the locally regulated market in 2022. Our casino product in particular has resonated with Ontarian consumers, as we have one of the deepest and broadest game catalogues in the market, including a phenomenal selection of live dealer games, as well as our own exciting proprietary slots games from our in-house games studio.”
Ontario’s regulated market celebrated its two-year anniversary last week and the potential expansion of a regulated igaming model into other Canadian provinces has been in the news.
Alberta is likely next in line. Dale Nally, the Alberta government’s Minister of Service Alberta and Red Tape Reduction, has been given a mandate by Alberta premier Danielle Smith to work with Indigenous partners to develop and implement Alberta’s online-gaming strategy, focusing on responsible gaming and provincial and indigenous revenue generation.
Alberta isn’t potentially opening their market. The premier put a very clear directive in the minister’s mandate letter. That’s close to a guarantee that it will happen and Nally has to make it so. In Alberta, the only place to gamble legally online now is government owned PlayAlberta.ca.
“We are proponents of good regulation that benefits consumers and operators and we look forward to Canada’s other provinces and territories potentially following Ontario’s lead,” Nadler said. “If that means we get to enjoy the Stampede in July or Mount Royal Park in August, even better!”
