Change. Your. Game.
The world of sports betting has changed significantly over the past decade. While in earlier years sports betting was only socially recognized in Great Britain, sports betting has become internationally acceptable.
Many countries have opened the originally state-monopoly markets to private providers. Sports betting has arrived in the middle of society as a result of increasing state control and extensive marketing campaigns on the part of betting providers (e.g. Tipico "Your bet in safe hands").
At the same time, the market has consolidated and many providers who operated their betting operations unofficially have been pushed out of the market. In addition, either venture capital funds and private equity investors have discovered the high-margin industry for themselves and in some cases united several providers under one roof, or market participants have taken over competitors.
https://en.wikipedia.org/wiki/List_of_mergers_and_acquisitions_in_online_gambling
The online segment, which is currently estimated to have annual sales of USD 30 billion, is becoming increasingly important and can boast growth rates of 12% YOY by 2027. These growth figures result from the generation transition, the expanded target groups already described above and, to a very large extent, from the opening of the US market, in which sports betting has only been permitted for a short time.
Even if the industry is generally high-margin, the profitability of betting providers is increasingly suffering from regulatory requirements and rising customer acquisition costs. The lack of distinguishing features requires betting providers to invest more and more in classic marketing measures on the one hand and in performance marketing on the other. Today's ratio for betting providers is a pre-investment of € 80 with a lifetime profit expectation per customer of € 120.
The betting offer of the providers is simply "commoditized".
In this framework, BetCheck is now entering the market as a major innovator and at the same time is a problem solver for the industry. The neutral comparison portal offers the customer the opportunity to use an attractive betting interface, manage his bets across the board and increase potential profits. BetCheck not only meets the zeitgeist in which the modern generation of Internet users has got used to comparing every product, but also offers a central user interface for all of the customer's sports betting activities.
BetCheck is opening a completely new marketing channel for betting providers. The commissions to be paid to BetCheck remain below the current marketing expenses. In particular, the challengers in the industry and smaller market participants have the opportunity to claim a higher market presence and larger market shares. Market-dominant betting providers open the comparison portal as early as possible in order not to damage their existing market position.
Comparable dynamics have already been confirmed in all established comparison portals.
The industry is facing a radical change.
The slogan chosen by BetCheck was therefore not chosen without a reason: "Change your game", because nothing changes for the customer, and yet everything changes.
The negotiations with the betting providers in the first markets are already in full swing or have been completed, whereby the extensive decision-making network of the founder and sports betting veteran Murat Ocak is extremely helpful. The Belgian market was chosen as the starting market, as it offers the founding team based in Germany a geographical proximity on the one hand, but on the other hand has a high degree of maturity. Sports betting regulation in Belgium has remained almost unchanged since 2011. This stability offers optimal starting conditions. The German market, which established effective regulation for the first time in 2021, will be opened up in Q1 / 2022, as will the Austrian market, followed by 7 other markets.
The technical design of the platform and the fact that BetCheck does not require a license under gaming law enables fast cascaded market entries. In business planning, only 10 markets are taken into account. However, further market entries are easily possible and likely.
So far, the company has been largely financed by the founder, who has already invested several million, with software development accounting for the largest portion of the costs.
From a financial point of view, the company is forecasting a rapid increase in sales, which already predicts a “break-even” after 5 months and expects a positive operating cash flow in 2022. The underlying business planning already takes into account a marketing budget of € 7.5 million, which corresponds to approx. 50% of the total costs.
It is already clear to the founding team that the expected cash surplus in the next few years should be used for the most aggressive growth possible, because an IPO or sale is already announced for 2025. Some technology giants in the sports betting industry are already keeping an eye on BetCheck.
The aim of this financing round is now to raise growth capital in order to finance the initial marketing campaigns and further technical developments. The initial “brand recognition” campaigns in particular should be set up as broadly as possible in order to anchor the fundamentally new product in the minds of customers. In addition, the team has conceptualized additional product features, which on the one hand will increase customer benefits, on the other hand also address new customer groups and thus promote the core product “sports betting comparison” accordingly.
A product can seldom claim:
BetCheck offers all of this and gives the investor the opportunity to become part of an impressive growth story at the right time.