Betfred to exit Arizona in November as US business shrinks
Date: 2024-09-23 Author: Robert Beloved Categories: EVENTS
Betfred to exit Arizona
Betfred announced this week that it will end its operations in the Arizona mobile betting market on November 4. The move is the latest step in the company’s exit from the US market following poor performance.
Arizona, which launched mobile betting several years ago, was expected to become one of the largest betting markets in the US. However, big brands continue to dominate the market, leaving smaller companies like Betfred in a difficult situation. 2024 will be the fourth mobile betting company to leave the state – WynnBet, Unibet and Betway have all left before Betfred.
Betfred's US woes
Betfred entered the Arizona market in February 2022 with big ambitions and plans to grow its market share. The company invested heavily in promotions to attract customers, spending over $2.5 million. However, in 2024, promotional spending dropped significantly.
Betfred peaked in betting volume in September 2023, recording a turnover of $5.1 million, but the company has failed to repeat this success since. The highest result for 2024 was $3.8 million in April, but this was offset by a large number of winning bets, leading to losses.
Betfred suffered even bigger losses in June, which only added to the company's financial problems.
Exiting Other US Markets
With the exit from Arizona, the company’s local partner, the Fort McDowell Yavapai Tribe, will be able to enter into an agreement with another operator, paving the way for a new company in the state.
Arizona is not the only market Betfred has exited this year. The company previously closed its operations in Colorado, and also exited the Maryland and Ohio markets.
Betfred currently continues to operate in Iowa, Pennsylvania and Virginia in the mobile betting segment, and also provides retail betting services in Louisiana, Nevada and Washington.
