Betway To Exit Portugal Says Parent Company Super Group
Super Group has announced that its online betting brand, Betway, will be withdrawing from the Portuguese market. The decision comes as part of a broader focus on regions that promise greater growth potential. The move follows a formal request to the Portuguese regulatory authorities, which was approved last Friday.
Super Group has indicated that its decision to exit Portugal is driven by a desire to concentrate on markets that offer more promising growth opportunities. A spokesperson for Betway stated, “After a thorough review, we have decided to relinquish our licence in Portugal in order to focus on existing markets and growth areas with more potential.”
The withdrawal from Portugal is not an isolated incident. Super Group has been recalibrating its market strategy over the past year, having previously exited the US market due to regulatory changes that affected long-term profitability expectations. The company’s head of data and analytics, Spencer McNally, highlighted that while projections indicated potential profitability in the US by 2027, the market did not meet their return on capital requirements.
In addition to the US, Super Group also withdrew from the Indian market earlier this year, prompted by the introduction of a new online gambling tax rate set at 28% of turnover. Betway’s Chief Operating Officer, Kevin Kovarsky, acknowledged the tough decision to exit India, noting that while it resulted in a short-term revenue hit, it ultimately proved beneficial for the company’s long-term strategy.
Performance in Other Regions
Despite the setbacks in certain markets, Super Group has reported strong performance in Europe. In the third quarter, the company experienced a remarkable 46% year-on-year increase in revenue from its European operations. Notably, the UK market saw a 71% growth, while Spain contributed an 11% increase.
The impressive performance in Europe can be attributed to several factors, including regulatory stability, innovative product offerings, and enhanced marketing strategies. CEO Neal Menashe remarked on the positive impact of these elements during the post-Q3 earnings call, stating, “This outstanding performance reflects a combination of regulatory stability, product innovation, and enhanced marketing execution.”
