Poll results: Readers back William Hill marketing spend

William Hill’s decision to tighten its marketing purse strings has been backed by the majority of respondents to this week’s eGaming Review poll.

Last week the operator revealed its marketing spend as a percentage of revenues had fallen from 28% in H1 2014 to 22% during the first six months of this year, a reduction which equated to a saving of £11m.

The pull back in marketing comes as the firm is faced with increased tax burdens, primarily the UK Point of Consumption tax which in H1 set the firm back £35m.

Last year William Hill said it would attempt to mitigate some of the expected tax cost by making £15m-£20m of operational savings, the majority of which was earmarked to come from its marketing budget.

With this in mind, this week eGR asked whether William Hill was right to rein in its marketing spend while the likes of Paddy Power and Betfair continue to ramp-up their advertising investments.

And 59% of respondents were fully behind the William Hill position, stating that while savings had to be made the firm would still have a big enough kitty to keep itself competitive.

Despite the cut in spend, William Hill chief executive James Henderson last week said the firm still managed to secure major advertising packages with the likes of BT Sport, Sky Sports, and ITV, which would see it maintain a level of voice behind only bet365.

However 41% cast doubt on the William Hill strategy and said current market conditions meant firms should increase marketing spend, not pull back.