Deck from the Social Casino Gaming Summit in Las Vegas, June 2013 - 'Views from Europe'

1. Views from
Europe

2. RAF KEUSTERMANS
Co-Founder, CEO Plumbee
Director Bonza Gaming
(Interim) VP Marketing Kobojo 2011
Independent Social Gaming Consultant 2010-2011
Global Marketing Director Playfish (EA) 2009-2010
Marketing Director EMEA Pogo.com (EA) 2008-2009
Head of Marketing Western Europe Unibet.com 2005-2008
Strategic Planner at BBDO, Grey and Publicis 1998-2005
www.plumbee.com
raf@plumbee.com
@raf_keustermans

3. • AAA video slots, persistant meta-features
• 280K DAU, 1.3M MAU across Fb and iOS
• Working on Android version
• 50/50 joint-venture Plumbee and Unibet
• 3rd real-money app allowed on Facebook, after
Gamesys and 888
• Standalone business with its own management
team, engineers, marketing team, etc
• UK only, AGCC-licensed
• Offices in London and Guernsey (Channel Islands)
• Team of 15 today
• Early results very promising.
Free-to-play slots
Launched March 2012
Facebook and iOS
Real-money social gambling
Launched February 2013
Facebook
Social Casino Startup
Started July 2011
• Founded by 3 former EA Playfish execs
• Mission: to become ‘the leading next-gen digital casino
company’
• Team of 46 in London, UK

4. • Facebook real-money gaming – key learnings so far
• There is potential, Bonza seeing great traction after 4 months, although
numbers are still small-ish
• It’s not about porting a casino lobby to Facebook, product is crucial (and
difficult)
• UK is a tough, highly competitive market for RMG
• Facebook RMG is a new vertical, users need to get used to the idea that
they can play for real money on Fb
• What’s next?
• Working closely with Facebook to monitor and improve UK business
• Investigating new opportunies in product (bingo? Poker?), channel (mobile),
markets (Spain, Italy, Denmark?)

5. Even in the UK Facebook RMG created some controversy…

6. Gambling in Europe, an overview

7. UK: Gambling very visible in the High Street/Main Street: more betting
shops than Starbucks, KFC and McDonalds outlets combined.

8. Even the Queen likes a punt on the horses (and also owns some of
the best race horses in the country)

9. Gambling companies are the main sponsors of large sports events

10. Or sports teams, leagues, clubs

11. Or use sports stars, celebrities as Brand Ambassadors

12. • France: state-owned gambling companies PMU and FdJ generate $35bn in
annual revenue, employ over 4,000 staff
• In most European countries the largest gambling operators are state-owned

13. Europe and social casino

14. • Bingo: 75 ball (US) vs 90 ball bingo (UK, Europe, LatAm)
• Stronger association with ‘gambling’ in continental Europe
• Online/mobile RMG bingo is huge in UK
• $800m annual revenue
• $100m ad spend just on TV
• Fastest growing vertical in online gambling

15. • Slots: big difference between US and Europe!
• Slots in US: mostly/only in land-based casino’s
• In Europe: mostly online, huge % via online betting operators
• Result is that much higher % of players in Europe are male, younger
compared with traditional US slots audience (older, female)
• RTP gap: European players used to 95-97% RTP (3-5% hold) vs 80-92% for
US players
• Older players less familiar with videoslots as they grew up with 3-reel
fruit machines (tutorial might be required)

16. • Poker: different perception in US vs Europe
• US: huge, exciting opportunity
• Europe: category in decline, ‘problem child’ of the industry
• Mobile growth is promising – light at the end of the tunnel?
• Some exceptions: 888, PokerStars
• Category still suffering from low margins due to rake-back schemes,
affiliate deals, …
• Highly commoditized product (poker networks), hard to differentiate in
RMG
• European poker audience skews younger: very ‘new’ game; Texas
Hold’Em was introduced by gambling operators

17. Just one more thing…

18. Good luck with those gambling patents…

19. @raf_keustermans
www.plumbee.com