Toronto-based, Ontario-licensed icasino and sports betting operator NorthStar Gaming Holdings, Inc., is pointing to a 42 percent increase in active players as one of the drivers behind a 63 percent increase in revenue in the first quarter of 2024.
The financial results were for the three months ended March 31. More specifically, revenue, including managed-service fees, net of bonuses, promotional costs, and free bets, was CA$5.9 million (US$4.3 million), an increase from $3.6 million in Q1 2023. Total wagers at Northstarbets.ca were CA$218 million (US$159 million), an increase of 56 percent from $140.2 million in Q1 2023.
“In the first quarter, we continued our pattern of strong year-over-year growth, highlighted by record total wagers,” said Michael Moskowitz, chair and CEO of NorthStar. “Our premium-customer experience and growing brand awareness are propelling higher player retention, strengthened loyalty, and increased player values. These positive trends enable us to spend our marketing dollars more efficiently, contributing to improved operating leverage as the business scales.”
Notable key performance indicators for the company were the increase in active players, plus a nine percent decline in cost per acquisition of a customer (CPA) and a 54 percent increase in estimated 12-month player values.
The company launched a VIP Elite program to boost player loyalty, as well as the Sports Insights 2.0 content vertical that includes content like player injury reports from RotoWire and more of a content focus on online casino. More casino games were added – surpassing 650, covering all major categories. The company also renewed their strategic marketing agreement with Playtech Software, Ltd., to accelerate player acquisition.
“March was the strongest month of Q1 and we have maintained that momentum into the second quarter,” said Moskowitz. “Our team is making regular improvements to our service offering, such as the recent launch of a VIP Elite strategy aimed at the most active players who drive a meaningful share of our results. We have some exciting demand creation activities planned for the coming months along with further innovations to our platform and content. We remain focused on unlocking value for our stakeholders and are excited about the opportunities ahead of us in 2024.”
