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Our look back at the most popular articles from SBC Leaders magazine in 2024 arrives at number 6. This feature from Issue 32 brings insights from Andrew Daniels, the new Chief Intelligence Officer at Betfred, as he converses with Ted Menmuir about the delicate process of turning Betfred’s High Street success into a digital triumph.
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Earlier this year, Betfred reported the completion of its £100 million acquisition and integration of Sharp Gaming, successfully transitioning to a new technological framework for its digital activities.
Following the conclusion of this two-year endeavor, Andrew Daniels, formerly the CEO of Sharp Gaming and now Betfred Group’s CIO, engages with SBC Leaders to discuss Betfred’s revamped tech division striving to carry its retail accomplishments into digital platforms.
“The financial swing between England winning or losing matches runs into millions,” Daniels explains. As an England supporter himself, he humorously remarks on how an England victory alongside Harry Kane’s top scorer title could be financially challenging for Betfred.
As the UEFA Euro 2024 final approaches, the predicament expressed by Betfred’s intelligence chief encapsulates the perpetual challenge of sports betting: how much influence does intelligence have in a domain where unpredictable factors such as a red card or weather conditions can skew results?
“Can you measure intelligence against risk or luck?” Daniels ponders, referencing Fred Done, the company founder’s success linked to England’s 1966 World Cup win.
This summer, everything seems to revolve around England and football.
## Betting on Transformation
Daniels observes that while technological advancements have shaped betting, “The essence of bookmaking remains unchanged.” He maintains that, although data, AI, and machine learning hold significance, the core challenge always involves aligning one’s book against the bettor, with uncontrollable variables playing a major role.
Despite the blunt nature of the gambling industry as a risk-centered business, Daniels underscores the importance of intelligence as a corporate asset, noting how it disrupts traditional corporate hierarchies.
Reflecting on Betfred’s growth from a small family operation in Manchester to owning the UK’s largest chain of betting shops, Daniels envisions the company evolving into a nimble, tech-driven enterprise. His responsibility in facilitating this transformation amidst rising operational costs and narrowing margins invites the question: Can intelligence outpace market brutalities?
Traditionally, lucrative gambling businesses could obscure inefficiencies. However, with cost escalations and tightening margins, transformation becomes imperative. Daniels highlights how investors push gambling companies to emulate operational efficiencies seen in tech giants like Amazon, Apple, and Google.
## Venturing Beyond Fred
When asked about Betfred’s evolution, and whether Fred Done perceives intelligence as a lever for change or a cost-saving measure, Daniels discusses the leadership’s acknowledgement of generational shifts.
Fred Done remains deeply engaged, recognizing Betfred’s transition from a classic bookmaker to a business akin to financial services. Headed by CEO Joanne Whittaker since 2021, a new leadership team is tasked with advancing Betfred beyond its traditional framework.
While acknowledging the company’s remarkable achievements under Fred Done, Daniels notes the absence of comparable digital success and the global expansion of competitors.
Unfettered by a specific deadline for achieving digital transformation, Betfred’s only goal is to ensure its realization through strategic shifts.
## Strength in Retail
Betfred’s journey towards digital transformation poses significant challenges, yet Daniels highlights the company’s steadfast perseverance and realistic strategies that have positioned it at the pinnacle of the UK retail gambling market.
Despite trends advising against retail investment, Betfred capitalized on market dynamics, maintaining robust turnover levels post-COVID, unlike some competitors who are still stabilizing.
While retail remains a cost-efficient cornerstone of Betfred’s operations, Daniels stresses that an all-encompassing omnichannel strategy may not be the sole solution for UK digital pursuits.
Historically, omnichannel approaches have hindered the growth of parallel retail and digital ventures. However, retail has afforded Betfred a solid standing and a competitive edge. To foster nimbleness, Daniels aims to assert control over technology stack decisions, circumventing saturation challenges.
Technological obstacles represent a significant hurdle for Betfred and its competitors alike. The successful integration of Sharp Gaming positions the new Betfred Technology unit at the forefront of this evolutionary phase.
The goal is to harness technology to empower Betfred’s growth, facilitating international expansion on a scalable, reliable, and economical platform.
In controlling its technological destiny, Betfred faces a generational gamble: mastering its future in an ever-evolving betting landscape. As the company aligns its ambitions with those of the England football squad, the stakes and outcomes are indeed significant.