Looking to diversify your investment portfolio in 2024? The world of gambling and luxury casinos is big business, raking in eye-watering amounts in revenue each year – and with online casinos growing at a rapid rate over recent years and opulent new land-based venues opening up in new destinations across the globe, there’s never been a more exciting time to claim your stake in this burgeoning industry.
One company that has been performing particularly well in 2024 is leading online gambling operator Kindred Group PLC, which holds an impressive and diverse portfolio of its own, with well-known brands including Unibet, Maria Casino, and 32Red under its umbrella. The group’s extensive product offerings range from online casinos and poker rooms to online bingo and sports betting, encompassing a wide variety of entertainment options and catering to a global audience.
Currently, the brand’s biggest stronghold is in Europe, but its ambitious vision knows no bounds, which means that over the next few years, we could be set to see it expand its presence further in North America, Asia and beyond.
What makes the Kindred Group particularly interesting for investors in 2024 – apart from the financials, of course – is its desire to become the number one trusted source of entertainment that contributes positively to society. Let’s face it; it’s refreshing when such a sizable company appears to have a genuine desire to do good with some of its profits – particularly in this industry – so it’s an ethos that has certainly won our attention.
The online gambling sector is expected to continue seeing significant growth over the coming years, and the Kindred Group has positioned itself at the very forefront of it. Here, we take a look at all you need to know about this intriguing investment prospect, for 2024 and beyond.
Market dynamics and growth potential
Driven by technological advancements, increasing internet penetration, and changing consumer preferences, the online gambling market is bigger than ever before, and was valued at an awe-inspiring USD 66.7 billion in 2020. But as if that wasn’t impressive enough, it’s showing no signs of slowing down, and by 2027, it’s projected to reach USD 127.3 billion, flourishing at a CAGR of 10.9 per cent during the forecast period.
With an array of popular online gambling products in its repertoire, it stands to reason that the Kindred Group would be up there in the midst of all the action, and by all accounts, it’s in prime position to capitalise on this meteoric growth trajectory, so it’s little wonder it has caught the attention of savvy investors across the globe.
While once upon a time, gambling was a somewhat frowned-upon pastime that remained illegal in many nations, acceptance is growing, and the growth of online casinos has played a key role in driving the change. In today’s modern world, online gambling is seen as a legitimate and enjoyable hobby, and we’re seeing companies like Japan make the move to open their very first casinos as laws around land-based gambling relax in many locations across major continents.
This ongoing evolution has created a favourable environment for big-name entertainment brands to flourish, and the Kindred Group is set to make new ground and capture new market segments moving forwards.
A diverse brand portfolio
The Kindred Group’s robust brand portfolio is not to be sniffed at, and showcases its diversified approach to winning over the market. Unlike many other players in the online entertainment market, and gambling in particular, its lack of reliance on one single brand has strengthened its foothold and provided it with myriad opportunities to get ahead. Its flagship brand, Unibet, is renowned for its sports betting platform, offering a wide range of sports markets and live betting options alongside the Unibet Casino, and has established a strong reputation in the European market as well as steadily expanding its presence in North America.
Maria Casino, meanwhile, offers gambling enthusiasts a huge variety of table games and slots and immersive online casino experience, complete with live dealers. And 32Red, acquired by Kindred Group in 2017, has amassed a loyal customer base in the UK market.
They’re not the only brands the group has to offer, and each brings its own unique blend of entertainment, accessibility and immersive experiences to the table – but they’re a prime example of how it is continuing to outperform the competition and appeal to a broad range of consumer preferences and thus, consumer segments of the online gambling market.
An innovative approach
The Kindred Group’s strategy is centered around innovation, and it has made sizable investments into technology in order to enhance user experience and boost operational efficiency to ensure that it never falls behind. Virtual and augmented reality (VR and AR) are increasingly being integrated into online entertainment offerings and are to thank for those ever-more immersive experiences, and the Kindred Group has leveraged them to offer a new level of gameplay. It’s also embraced the benefits of artificial intelligence (AI) technology to level up the quality of interactions with its customers, answering questions and solving issues in record time whilst providing a more personalised experience to each individual through machine learning.
When it comes to customer satisfaction, the group has left nothing to chance, and by ensuring consumer confidence in each of its brands, it has also cemented a bright future.
Financial performance
It all sounds rather impressive, but do the numbers come up to scratch? Let’s move onto the financials.
In 2021, the Kindred Group reported a revenue of £1.26 billion, representing a significant year-on-year increase. Driven by robust performances across its key markets, including in the Nordics and Western Europe, the Group’s EBITDA also grew significantly, proving that its efficiency and cost management strategies were right on the money.
With plans afoot for further expansion into the USA and Canada, the future certainly looks promising. And the conscious investor will be glad to know that it’s all set to be underpinned by a sustainable approach that aims to reduce the group’s environmental footprint, as well as ensuring ethical practices across the board.
To invest, or not to invest?
Only you can answer that one. But in 2024, it certainly seems to be a compelling opportunity that could offer substantial returns in the long run. If you’re looking to capitalise on the online entertainment market as it navigates its biggest phase of growth yet, then the Kindred Group could well be a viable choice for diversifying your portfolio.
Disclaimer: Investing money carries risk, do so at your own risk and we advise people to never invest more money than they can afford to lose and to seek professional advice before doing so.
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