Søgaarda comments that Better Collective sees Brazil as a very interesting growth market because, with a regulatory system being implemented, a market of more than 200 million people will be brought into the world of legal sports betting. He also says that the company is focused on sports betting but, if Brazil finally legalize only casinos in hotel-resorts, they can also evaluate this opportunity.
“We believe that there is space in the Brazilian market to operate both in M & A and with our own brands. We currently have a very strong presence in Brazil with Apuestas deportivas. But with the Brazil market moving from a grey to a regulated market, we also look for M & A opportunities to strengthen our position even further,” says the company’s CEO.
In addition, Søgaarda explains that there is an undeniable supply and demand for gambling in Brazil. And that where there is a lack of clear and balanced regulation on the subject, the illegal market emerges.
“The best way for a country to tackle this and ensure market oversight is to develop sound regulation with high social responsibility standards and a commercially viable licensing and taxation plan. We are very happy to see that Brazil is moving down this road as this ultimately will protect the Brazil betting audience and secure steady growth,” he says.
Regarding to a possible competition with the country's illegal companies, if gambling is regulated, Søgaarda does not worry. “The same question is being raised in the developing US market. Ultimately, it comes down to ensuring a high-quality customer experience and brand recognition. As licensed operators will be able to advertise within a regulated market in a way that unlicensed operators cannot, licensed brands will receive higher exposure. Customers will also be able to rely on a level of consumer protection that cannot be guaranteed with unlicensed operators,” he concluded.
Source: Matthew Enderby - Gambling Insider