Gambling Insider speaks to GG.Bet UK’s CEO, Sergii Mishchenko, to discuss its IP acquisition from Rednines Gaming, the rising success of esports and why GG.Bet decided the UK was the next place it wanted to launch.
Esports betting company GG.Bet UK launched in the UK in July 2023. Rednines Gaming Ltd. acquired the right to use the GG.Bet brand in the UK, extending its global coverage.
Previously, Rednines operated in the UK under the Dr.Bet brand. GG.Bet already has a presence in Europe, South America and Asia. The brand is well-known around the world for its wide range of markets on esports and sports events, as well as a high level of customer service.
Why did the company decide to buy the GG.Bet IP?
I'll start with the fact that one of the key characteristics of British bettors is the high expectations they have for operators. On the one hand, they love betting and know where to put their money, while on the other hand they also expect bookmakers to provide a wide range of events to place bets on and maintain high standards of service. There are already a number of major players in the UK market and there's a good reason why competition here is considered to be among the highest in the world. While operating under the Dr.Bet brand, we've been able to gain a lot of experience and develop an understanding of what customers here are looking for.
Now, we're becoming GG.Bet UK, part of the global GG.Bet brand, in order to develop our business and provide the best possible service to our clients. The GG.Bet team has managed to build up a huge amount of experience in esports betting, which is currently underrepresented within the UK.
Despite the constant growth in the industry, British esports bettors are in no rush to move onto new games and remain committed to their old favourites
Moreover, esports is constantly growing and developing, while its audience increases in size and spectator engagement goes from strength to strength. We believe that having such a strong brand will help to enrich the British betting market and, help us to ensure that we have the upper hand, by setting ourselves apart from our competition.
GG.Bet UK aims to offer its customers the best practices in esports betting, as well as one of the most extensive ranges of esports markets. Over 30 esports disciplines will be featured on the platform, together with around 400 markets on major tournaments. Besides esports, GG.Bet UK will also offer a wide range of markets on traditional forms of sports beloved by British bettors.
Why did the company decide to focus on esports betting in particular?
Esports betting is an extremely exciting market with huge potential. According to 360 Research Reports, the worldwide esports Betting market was valued at approximately $11.2bn in 2022. It's projected to reach around $24.19bn by 2028, with a steady CAGR (compound annual growth rate) of 13.7% throughout this period.
Growth forecasts for the UK cyber sports betting market are only slightly behind the global market, with growth expected to be 7-10% annually. Despite the constant growth in the industry, British esports bettors are in no rush to move onto new games and remain committed to their old favourites. For example, the UK has one of the largest fan bases for the Halo franchise, which is now 20 years old.
GG.Bet UK offers a specific esports betting experience and we believe that our esports betting product is the best in both the UK and the world
Brits love playing and watching Call of Duty games (such as Warzone, Black Ops, and Modern Warfare). Counter-Strike and League of Legends (LoL) also number among the most popular disciplines. It is also worth noting that this distribution differs greatly from global trends, but that’s what makes the challenge of introducing British audiences to new games all the more interesting.
However, we won't just be focusing on esports. We intend to offer our customers a highly competitive list of markets for traditional sports too. We provide markets for around 40 different sports, ranging from football to cricket and we think our sportsbook more than matches the betting giants.
Tell us about the esports market in the UK; what's different about it, why are you targeting it?
The UK is actively engaged in the development of esports and is well represented on the global arena. Since the 2015 League of Legends World Championship in London, the United Kingdom has regularly hosted events from various tournament operators.
For example, in May, the Mid-Season Invitational 2023 was held with a prize pool of $250,000, as well as the more modest Red Bull Solo Q: World Final. Of course, we can't talk about UK esports without mentioning Fnatic, which was founded in the UK. The UK also has teams playing LoL (winners of the 2011 World Championship as well as several S-Tier tournaments), CS:GO (British teams have won a total of nearly $6m), Dota 2, Rocket League, Hearthstone and over 10 other games!
Into The Breach is another team that deserves attention. They caused a major furore at the Blast Paris Major CS:GO tournament, shedding their underdog status during the playoffs and showing great ability against several Tier-1 teams.
Throughout the whole of the UK's esports history, there have been 34 teams playing LoL and 47 teams playing CS:GO - impressive figures, to be sure. All this means that we can safely say that the UK has a strong esports foundation and definitely has potential for a large fanbase.
How do you think the news of the White Paper will influence the esports betting market?
The UK Government has published a white paper on Gambling Reform, outlining its plans for gambling regulation in light of the review of the 2005 Gambling Act. It is important to note that the document itself has not yet become law, but represents an outline for one. The White Paper sets out a number of proposals aimed at improving consumer protection, including for those betting on esports. It states that esports has a significant appeal to children and young people.
Overall, the implementation of regulations limiting gambling sponsorship in esports competitions accessible to under-18s could lead to a more restricted and regulated esports betting market in the UK
Therefore, if these regulations are put in place, tournament organisers and publishers of popular esports games will be required to develop and enforce new rules that restrict or limit gambling sponsorships in competitions that minors can access.
This would likely have a direct impact on the visibility and promotion of gambling brands within the esports industry. Esports tournaments and streams may need to ensure that they do not feature gambling-related sponsorship or advertising. This, in turn, could affect the development of the esports industry in the UK since the industry will be limited in terms of how much funding it can attract from betting sponsors.
Overall, the implementation of regulations limiting gambling sponsorship in esports competitions accessible to under-18s could lead to a more restricted and regulated esports betting market in the UK. It may result in a decline in the visibility and promotion of gambling brands within the industry, as well as potential changes to the range of betting options available for esports events.
How do you differ from your competitors in the UK market?
GG.Bet UK offers a specific esports betting experience and we believe that our esports betting product is the best in both the UK and the world. The GG.Bet brand began as an esports project and was founded by esports fans. This spirit has by no means been lost; we watch matches, cheer for our favourite teams and work a lot with influencers in the industry.
The fact that we are so deeply immersed in the world of esports means that our brand can regularly add new features and continue to surprise bettors. For example, GG.Bet recently introduced new markets with statistics on each individual CS:GO player.
Customers can now bet on how many kills s1mple or ZywOo will get. We're currently working on the same thing for League of Legends. Moreover, we are constantly holding tournaments dedicated to esports events for our customers and we offer an extensive system of bonuses. We're sure that we'll be able to find British users who share our passion and love for esports.
What plans does the company have for the UK market?
Our main priority is to concentrate our efforts on supporting and developing the local esports community. It's important for us to be involved in creating a culture of esports betting, to study our audience's preferences and to identify demands that might only come to fruition in the future. GG.Bet is known for co-operating with content creators and sporting talents. I think this will continue in the British market, too. Watch this space.
