Poll: Should operators follow Coral's high roller move?
This week's eGaming Review poll asks whether Coral's decision to shutter its high roller service was the right move
Last week Coral announced it would be shutting its high roller service for large staking punters after suffering losses of more than £10m during the third quarter of the year.
According to Gala Coral’s Q3 results, the pool of online and telephone customers using the service had set the company back £9.3m in net revenues for the year-to-date, resulting in an EBITDA loss of £7.6m.
Providing a service to attract and accommodate large staking punters is common practice at operators, with a direct line through to traders, higher online betting limits and a credit facility usually on offer.
But these high rollers are an inherently risky proposition. While a handful of players can make a significant contribution to the bottom line if selected and treated properly, picking a shark can lead to a level of risk and a potential hit most don’t have an appetite for.
And as margins tighten Coral’s move could mark the beginning of the end for dedicated VIP services.
With most major operators now chasing the casual punter and shifting their marketing and product propositions accordingly, this week’s eGaming Review poll asks whether it is time to wave goodbye to the VIPs. Have your say on the right-hand side of the page.