Gambling investments have been object of a deep study developed by MECN, a consulting firm that has carried out a survey among a hundred investors and gambling companies. The results of this survey reflect the situation of their current and future investments. The main issue of this study is how state operators can still profit when the market situation is not the most optimal.
There are some points in which most investors and gambling companies seem to agree. These are the desire of state operators of engaging in other investments that don’t count for taxes or duties, and which can bring around a 50 percent of profits to the core business. Therefore, these companies are planning to offer lottery services to other lotteries and invest in technology providers. More than a half of the companies surveyed are sure that by increasing these alternative investments the core business will benefit greatly. They offer some examples of companies that have used this strategy, such as German WestLotto, or Norsk Tipping, whose dividends dramatically increased since they began to invest in alternative activities.
Doubtless, this trend will necessarily take us to a gradual privatization of state operators, as it happened in Greece or Turkey. Even the countries most reluctant to privatization, such as the United Kingdom, recently announced the privatization of its state operators this year.
