Andrew McIver Chief Executive of Jackpotjoy Plc, the latest industry incumbent to list on the London Stock Exchange (date January 2016), speaks to SBC on bringing the world’s leading online bingo operator ‘closer to home’. McIver breaks down Jackpotjoy changes and corporate ambitions following a crucial and busy six-month period as a London enterprise…
SBC: Hi Andrew, the Jackpotjoy executive team has completed a key remit in bringing its operations ‘closer to home’. From leadership perspective how has the company changed in the past six months?
Andrew McIver: Since our move to the London Stock Exchange in January, and the establishment of a London plc office, we have been rolling out best practice corporate governance through the entire organization which is a step change above what existed when we were based in Toronto as Intertain Plc.
SBC: Leading Jackpotjoy operations, what do you believe are your firm’s core strengths and competencies. What advantages does Jackpotjoy hold in a changing online gambling industry?
AM: Jackpotjoy’s core advantage in the UK bingo space, which is 70 per cent of our current revenues, is that it is just focused on that market. As a result, we are in revenue terms, the clear market leader with a 22 per cent market share and dominant customer liquidity.
SBC: Facing higher costs and increasing competition, is the new ‘market reality’ that operators have to be multi-product and multi-market enterprises. Can an operator survive on a single product inventory?
AM: Having almost a single brand and single market focus allows us to be very targeted with our marketing spend, which as a result is typically significantly less than our ‘everything to everybody’ competitors.
SBC: As an industry leadership veteran what legacy dynamics and values do you feel are/will become redundant as operators meet tackle new technologies and customer demands?
AM: I think you will see fewer and fewer companies owning their own IT as the rate of change accelerates further and experience specialist skills become too much for single operator to bear! I also think as the costs of operating in the space, including tax, continues to increase the industry will merge into just a handful of super large dominant companies.
SBC: Finally looking ahead, what will be the next ‘major milestones’ for Jackpotjoy as an industry operator?
AM: Our next major milestones are corporate in nature. We make our last earn out payment to Gamesys in June 2018, which is purely for the Spanish Botemania business, followed by a likely commencement of dividend payments during 2019, when our debt has been significantly reduced from its current levels.