FanDuel with the financial muscle of its new ownership, Paddy Power Betfair, is throwing its business paradigm way open with the addition of a television show through the TVG network channel.
“We are going to be investing heavily in content,” said FanDuel CEO Matt King “There’s a lot of different formats we can distribute through and a lot of different channels.” The former daily fantasy sports betting company will be producing a show with TVG, who have only ever featured horseracing and who are ‘coincidentally’ also owned by Paddy Power Betfair.
FanDuel’s Sports Betting exact intention is for the shows to go live upon opening their first sportsbooks – a market expansion which promises millions, if not billions, in potential profits across the US in forthcoming years. This should prove to be an excellent strategic move by the Paddy Betfair Group in re-inventing their business model and adding new dimensions to the business.
Paddy Power Betfair had previously announced that FanDuel would be their operating brand in the US based on its positive local association and familiarity as a known brand in the market. The development of the FanDuel Group marks the beginning of a new era in a sense of a more integrated approach to wagering in the US.
That said, every new undertaking has its challenges on the way, and FanDuel has not been spared their share of bumps in the road.
Firstly, there was the launch of the FanDuel sportsbook at Meadowlands where bettors complained of the high commissions charged by FanDuel as compared to regular betting outlets; and then just this past week there was an outcry on social media alleging failure by FanDuel to pay-out all winning bets. As it turned out, this was a matter of poor communication between the firm’s employees and the better concerned which had spiraled out of control.
Neither of these matters will prove terminally detrimental to their brand, but it certainly does show that no matter how big or innovative an undertaking and a merger might be – there are always challenges when reaching to be top-dog in any sector.
William Hill, DraftKings, and FanDuel find themselves in demand with New Jersey and Mississippi casinos wanting to offer sports betting; William Hill already offering NJ sports betting sportsbooks at Monmouth Park NJ, Ocean Resort AC and Biloxi Mississippi.
In terms of the development of the sports-betting sector in Mississippi, regulators and legislators are not moving ahead fast enough according to casino bosses. An insufficient amount of work has been done on the bill relating to sports betting, and no date is envisaged for it going live in the state as yet.
Apart from the legislative aspect of sports-betting; an operational and much more fundamental challenge for Mississippi is going to be attracting qualified and experienced staff for this new aspect of their operations. Most suitable staff are located in Las Vegas, and the likelihood of attracting them to the Mississippi Sports Betting Online market without significant incentives looks unlikely.
That said – given the envisaged demand when legalization is reached – the casinos are bound to find ways of overcoming these challenges with massive profitability in sight.