Sports betting provider invests in Danish market
With the acquisition of the stationary activities of its competitor Tipico in Denmark, sports betting provider Cashpoint is consolidating its position as the strongest private provider in the brick-and-mortar market. Cashpoint is a subsidiary of the family-owned Gauselmann Group and has been active in the sports betting market since 1996. Today, in addition to licensed Internet platforms, the company operates more than 5,000 outlets internationally in the form of betting shops, shop-in-shop, kiosk and gastronomy systems with self-service terminals.
The acquisition includes three sports betting shops in the Copenhagen region and a betting shop in Odense on the island of Fünen. Cashpoint thus has five proprietary shops and one franchise shop in Denmark, which has a population of just 5.5 million.
“The acquisition is an important element of our expansion strategy in Denmark. Similarly to on the Austrian and German markets, we intend to build our Danish business model on the two pillars of own sports betting shops and franchised shops and kiosks,” explains Niko Steinkrauß, managing director of Merkur Sportwetten GmbH, which consolidates the sports betting business of the Gauselmann Group under the Cashpoint and XTiP brands. “The integration of Tipico’s sports betting activities into Cashpoint’s business structures was completed without a hitch and the new Cashpoint shops were able to open their doors in just a few days”. All 22 employees of the former Tipico outlets were taken over by Cashpoint.
Within the past year, Cashpoint recorded strong organic growth in Denmark. Compared with 2016, bets were up by 30 per cent in the first half of 2017. Cashpoint is now anticipating a betting volume well in excess of 100 million euros for 2017 as a whole in the comparatively small Denmark.