Skip to main content
110% Deposit Bonus from mBit

Smart Marketing Moves Bring in Huge Earnings for LeoVegas, Report Shows

LeoVegas reported a preliminary EBITDA of €15 million for Q2 2018, more than its internal projections, after not investing in low-return marketing channels.

Not investing heavily on the World Cup proved to be a smart decision by LeoVegas Group, as its preliminary report showed the mobile casino game operator exceeded its expected earnings for the second quarter of 2018.

Initial figures released by LeoVegas show that the company’s earnings before interest, taxes, depreciation, and amortization (EBITDA) add up to approximately €15 million. Moreover, the revenue LeoVegas earned amounted to around €87 million. These numbers surpassed the company’s undisclosed internal predictions, the report revealed.

LeoVegas credits these unanticipated gains to its marketing strategy. Early tallies by the company showed that its marketing costs—around €30 million—are roughly around 35 percent in relation to revenue, seven points below its prediction of 42 percent.

The mobile gaming operator hinted that it did not advertise aggressively during the 2018 FIFA World Cup, the sports competition that betting analysts expected to entice millions of football fans into wagering. LeoVegas saw no great yield in spending a great amount on the football tournament since other online casino and sports betting operators spent in large amounts on football-related promotions during the summer event.

Gustaf Hagman, CEO of LeoVegas Mobile Gaming Group, explained:

“Our data-driven marketing model works so that we only invest if we see good enough returns in our marketing channels. During the World Cup there are many gaming companies that are advertising, which means that the effectiveness of marketing and the value of customers can be more uncertain. Our models have indicated that we should not advertise in some channels due to the low return, which in turn led to a significantly higher EBITDA than expected.

LeoVegas’ head added that the Sweden-listed casino operator strives to reach its targets of more than €600 million in revenue and more than €100 million in EBITDA results after 2020.

| Related: LeoVegas Casino Review

Stunning Wins to End Q2

This year’s second quarter could not get any better for LeoVegas. The company bagged significant wins during the prestigious eGaming Review (EGR) Marketing and Innovation Awards, which celebrated the “most innovative and creative operators in the online gaming industry” and acknowledged the operators that have brought something refreshing to the gaming industry in the last 12 months.

LeoVegas won three awards, including the top prize, during the ceremonies held last June 25, 2018. The mobile operator triumphed in both the Affiliate Marketing Campaign and Innovation in Mobile and Tablet categories. On top of those, LeoVegas was recognized as the Brand of the Year.

Louise Nyle, chief media officer of LeoVegas, said:

“We are proud of and happy about all three awards, but “Brand of the Year” really stands out, as it shows our will and drive to work with innovation and development of our brand. This award is the result of dedicated work from a very strong team.”

Hagman, LeoVegas CEO, added:

“Winning ‘Brand of the Year’ is proof that we are, constantly working towards our vision – “Leading the Way into the Mobile Future” and solidifies, LeoVegas as a serious company that is here to stay. I am very proud of this award. It gives us further, drive to continue to evolve and improve our brand.”

LeoVegas will publish its quarterly report for Q2 2018, including its revenue and achievements in that period, on August 1, 2018.

| Related: Social Gaming Market Shoots Up by 18% Thanks to Mobile Gamers

1xBit Live Gaming Cup Play with Cryptos

LATEST CASINO NEWS & INTERVIEWS


News

Top Gambling Movies You Should Watch This Week

May 26, 2020

Check out some of the most famous gambling movies of all time. Dive in the fictional world of slots and cards. Plus put more butter on your popcorn!

Top 5 Recommended Bitcoin Casinos for US Gamblers

May 25, 2020

The US has a large Bitcoin gambling market. Understand more about the opportunities and bonuses you can find in BTC casinos based in the said country.

Stakelogic Sets Up Its New European Hub in Malta

May 23, 2020

With success in the business, Stakelogic now aims to expand its presence in the European online gambling industry, with a new headquarters out of Malta.

Interviews

Interview with Alan Alden, Director and Co-Founder of Kyte

May 11, 2020

Alan Alden is the director of Kyte and co-founded the company in 2006 with Trevor Axiak to specialize in remote gaming and payment card industry.

Interview with Tim Heath, CEO at Coingaming.io

May 9, 2020

Tim Heath is the CEO at Coingaming.io, which is the brain behind Sportsbet.io and Bitcasino.io. He is also the co-founder of OneTouch.io

Interview Sue Schneider, VP Growth & Strategy, Americas at Sports Betting Community

May 1, 2020

Sue Schneider is an iGaming industry leader with over 20 years of experience in this sector. She is currently the VP Growth & Strategy for Americas in SBC.

CHOOSE CASINOS NOW
Your Message
LEAVE A MESSAGE
RESET PASSWORD

Please enter your email address:

LOGIN TO BBC
No account yet? Register here
Forgot Password? Click here
JOIN US NOW
Already have an account? Login
Forgot Password? Click here