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Focus on Cyprus Gambling Market

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Focus on Cyprus Gambling Market Industry Report Focus on Cyprus Gambling Market HORSE CASINO RACING Nicosia SPORT BETTING Industry Report | Focus on Cyprus gambling market Contents 1. Introduction 2. Cyprus gambling overview 3. Cypriot gambling legal environment 4. Retail operations - Best strategies 5. The technology required to expand in the market 6. Conclusion 7. About the publisher Industry Report | Focus on Cyprus gambling market 1. Introduction Land-based forms of gambling are considered to be legal in Cyprus, as of March 2017. The actions promoted by the government for completely legalized and regulated domestic casinos started few years ago and are evolving. Thus, all forms of gambling are expected to become legal under the control of the Cypriot authorities. At the moment, many Cypriots gamble on the internet through sites hosted in other countries. But, are local operators ready to face the online market in Cyprus when the regulation will allow them? Industry Report | Focus on Cyprus gambling market 2. CYPRUS - Nestled in the Mediterranean Sea, and surrounded by Africa, Europe and Gambling The Middle East, Cyprus is half under Turkish rule and half under Greek. The two sides are divided. Tensions have eased a little in recent years and Overview there is a bit more freedom for citizens and tourists to go between the north and south. The Republic of Cyprus is divided into South and North Cyprus with about 4% of the island covered by a U.N. buffer zone separating the two. Cypriots are known to have a passion for gambling, but the rules and regu- lations differ depending upon which part of the country citizens live in. Many of the existing casinos in the north were lost to Cypriot citizens of the south. They now operate under Turkish, northern Cypriot, or Russian ‘ownership’, sometimes under their original names. South Cyprus In the Greek south, the state lottery, horse-racing and football betting are the only licenced form of gambling. The government in the southern part of Cyprus have recently passed a ca- sino bill which approves one major establishment with four smaller satel- lite casinos. A new casino should help to drive more tourism in the country as well as stimulating spending from the locals. Industry Report | Focus on Cyprus gambling market 3. Cypriot gambling legal environment Regulation development The Betting Act 2012 reinforced several gambling laws passed since the Republic was created in 1960 and have been amended several times prior to 2012. It effectively banned online betting and didn’t provide for horse race betting. In 2015 a meaningful legislation was passed, designed to open a casino in the south. The Law to Regulate the Establishment, Operation, Function, Control and Supervision of Casinos and Related Matters of 2015 was enact- ed by Parliament. The law provided for the licensing and operation of a single integrated re- sort-casino (plus satellites) and established the Republic of Cyprus Casino Gaming Commission. All terrestrial forms of gambling are considered to be legal in Cyprus, as of March 2017. The economic collapse experienced by the south in 2013 has prompted the government to begin planning for a completely legalized and regulated domestic casino industry. Thus, all forms of gambling have become legal and under the control of the Cypriot authorities. The body responsible for supervising the gambling in the country is the Ministry of Finance. Industry Report | Focus on Cyprus gambling market 3. Casino & Gambling facts Cyprus is a country in Eastern Europe with legal gambling. There are 6 cit- ies with gambling facilities in Cyprus which have 31 legal gambling facili- ties available in total. The types of gambling available in Cyprus are: • Casinos • Horseracing tracks • Sportsbetting Football is the most popular sports in Cyprus Sports in Cyprus As an island formerly under British rule, it comes as no surprise that foot- ball is the most popular sport in Cyprus. The Cypriot Football Association has been overseeing events since 1934, and the Cypriot First Division is the top standard of domestic competition, with a mix of professional and semi-professional clubs. APOEL F.C have been the most successful in re- cent years, and made history in 2012 by being the first Cypriot club to reach the quarter finals of the UEFA Champions League – quite an achievement for a club from such a small sporting nation. In Cyprus, basketball is similar to football insofar as that there is a domes- tic league, which is made up of both professional and semi-professional teams. Despite the relatively low standard of competition in the country, teams such as EKA AEL have done well in the European competitions. Tennis is played recreationally by a large number of Cypriots and the sport has grown further in popularity in recent years. Cyprus is always going to face an uphill battle to produce sporting teams and players who are at the pinnacle of their discipline, simply due to the size of the country (the sunny island is home to just over 1 million people). How- ever, the natives love their sport, love to have a bet on it and do well given their limited resources. Industry Report | Focus on Cyprus gambling market 3. Online Sportsbook Online sportsbooks became regulated by the Betting Act of 2012, and as a consequence of this act, sports betting possibilities are limited to those offered by the lottery. Betting exchanges have been banned. Additionally, players in Cyprus who want to bet on sports with online bookmakers, have to sign up with international sportsbooks hosted in other countries. A number of sportsbooks offer their services in Greece and accept Cypriot players. Payment methods As Cypriots have access to all of the big bookmakers, their deposit options are vast. Some of the main methods to fund accounts include: • Visa debit/credit • E-wallets (Skrill, Neteller) • Bank transfer • Cheque • Pre-paid cards (Paysafecard) Industry Report | Focus on Cyprus gambling market 4. Retail operations best strategies In a competitive and mature market revenue is a direct consequence of the service quality, brand credibility and the whole offer. As markets develop, the smaller operators can often struggle to gain a foothold within the market, as has been seen in many other markets. Only companies with the capability to invest in products, services and brand reputation are able to capture on ever greater market share. Online ecosystem Retailers must be prepared and start building an online ecosystem, even within their retail shops. At the same time, it is crucial to start looking at more creative ways to acquire and retain online customers. In this perspective, the creation of partnerships becomes an interesting model to follow as well as the creation of a continuous flow between the retail and the mobile offer. Industry Report | Focus on Cyprus gambling market 4. Brand reputation Another relevant strategy involves “partnership”. It plays a very important role for a brand’s credibility and for this reason it requires that particular attention is paid to who a company is buddying-up with. The partner defines you and hence it must show it understands your busi- ness and ultimately has an affinity with your brand. In order to show off the brand – to really connect with customers and give them an experience they will love, and push them coming back again and again for more - operators really need to have the best technology available via the correct channels (retail and online or mobile when the regulation will allow them) that the customer wants to use. This means it must connect via mobile and must be mobile-payment enabled. It is not a trivial matter – if the customer feels catered for, with technol- ogy which impresses him, then you will have a better chance of retaining that customer and creating at the same time a brand ambassador. That is the perfect ideal for any partnership. That is a truly winning strategy. The importance of data For any industry, data is extremely relevant. Every retail operation, in any industry, tends to acquire as much information as possible on the end user. It is here where OMNICHANNEL operations play a crucial role. Everybody is talking about Omnichannel, but very few people understand its real essence. It is a mutual and symbiotic exchange of information ac- quired from one side, and services provided to improve the experience of the client from the other side. Thanks to this continuous exchange, opera- tors obtain more and more information and data to be used to formulate a better quality of service and a more bespoke offering for the punters. Omnichannel means the creation of a cross-channel experience for the users that allows the operator to avoid losing track of all the activities of the player, as they move between channels. To achieve this aim, an ad- vanced technology is needed. But it is not enough; it is vital the operator acquires all the necessary knowledge in terms of: • Analysis • Marketing • User experience Industry Report | Focus on Cyprus gambling market 5. The technology The real innovation lies in being able to give the player the power to required to expand decide where to bet/play and on which product. It’s about knowing what the clients prefer and using that information in the market to inform future offers to gain their attention, trust and ultimately their loyalty. Today ’s bettors in Cyprus mainly participate in shops. In the perspective to set the player at the center of the business strategy, it is crucial to make the user’s experience as much Emotional – Involving - Focused on the player’s preference as possible. Operators must be prepared for the evolution of the market towards online in order not to lose ground against their competitors.
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