Having recorded declining retail performance in 2014 (£119 million down 11% on 2013 £133 million), Ladbrokes governance has initiated a strategic assessment of its business division, as the operator looks to recover corporate performance and market share against competitors William Hill and Paddy Power.
The strategic assessment of its retail business division codenamed ‘Project Athru’ will look to evaluate existing retail locations and shop performances. Furthermore the project will look to outline strategic options for the operator regarding business units within its retail division.
‘Project Athru’ is set to deeply focus on a strategic overhaul of Ladbrokes’ Irish retail betting operations, including placing unprofitable shops into examinership or initiating the potential sale of the operators Irish retail betting division.
Ladbrokes senior staff members had been informed of the assessment of operations as governance stated that “standing still was not an option” for the operator.
Irish news source independent.ie reported that the operator’s Irish retail division had made a loss of €3 million in 2014. In previous years’ the operator had undertaken a change of strategy with regards to the region, however it had failed to turn around its Irish business as the operator had witnessed three years of declining performance.
The Irish retail betting market is highly competitive with Irish corporations Paddy Power and Boylesports competing for prime betting locations. The continued decline in retail betting performance has led to Ladbrokes governance taking drastic actions as it looks to turn around its business.