Ronny Breivik, executive chairman of B90 Holdings , explains how the company's shift from B2C to B2B has transformed the company's profitability, and with a heavyweight team of gaming veterans in place has a solid foundation for global expansion.
Q: Why did the company need to undergo a transformation?
Due to historic financial performance, the management team, the board, and advisory group wanted to return to profitability as quickly as possible. High customer acquisition costs, prices of iGaming content (such as odds feeds and royalties to casino game providers), and payment processing costs made achieving good margins very difficult in the B2C business model the company had been involved in.
Q: What does the above mean in terms of actions taken?
Mark Blandford, a leading figure in the sector, was brought on as a Strategic Adviser. A strategic plan was swiftly drawn up and executed. Former Sportingbet CFO and CEO, Andy McIver, was recruited to the board of directors. In the second half of 2023, the company acquired and integrated Emwys into its operations. B2C gambling operations were discontinued, and Bet90.com was transformed from a B2C gambling website into an affiliate website. An automated platform for scaling was built.
Q: What was the result of all the hard work in 2023?
After years of poor financial results, we reported our first profitable quarter in Q1 2024. We optimized our operations, automated marketing processes using AI, and built a scalable marketing platform. On top of that, we turned one of the largest Nordic betting communities into a global operation, celebrating by signing fixed fee deals worth €200,000, as announced to the market on May 21st.
Q: What does the future hold for B90?
We currently work with over 200 partners, and this is just the tip of the iceberg. We aim to significantly increase this number. Our experience and expert insights will help us provide partners with valuable traffic to their B2C operations and assist them in optimising their processes. This will allow us to partake in the spoils of victory through a revenue share business model. We have only just began to roll out our digital marketing efforts, having focused on perfecting the logistics and platform. As things stand, we believe we are well-equipped to generate future long-term shareholder value.
N.B. On 11th June B90 Holdings PLC announced that Executive Chairman Ronny Breivik purchased 33,000 shares at 3.35 pence each, increasing his total shareholding to 31,000,809 shares, which is approximately 7.05% of the company's issued share capital. This significant increase in his shareholding reflects Breivik’s confidence in the company’s future growth and prospects.