Traditional gambling related companies have set their sights on the flourishing online social gaming world. One of these companies is that off IGT (International Game Technology) who recently acquired a major social casino developer maker called Double Down Interactive who feature casino-like games on Facebook.
The price tag for IGT was a reported $500 million which at the time caused quite a stir in both the social and real money gambling worlds. Many questioned if this price tag was worth the expected return on the investment.
Well IGT has just released their latest revenues which increased by 13% which was largely attributed to its social gaming unit that includes Double Down.
It is widely accepted that due to tough economic times in the U.S., IGT would have suffered revenue losses if not for their social gaming businesses. CEO of IGT was even quoted as admitting that their interactive business with Double Down featuring heavily had outperformed even their expectations.
IGT has managed to deliver some of their best slots offerings to Double Down Casino along with other popular games that are making them a hit with many Facebook players. They already have plans to release new titles in the coming months from its existing game library.
Chief Financial Officer of IGT, John Vandemore said he was delighted with their bookings per daily user are amongst the best on the Facebook platform.
CEO Hart pointed out that IGT believe that the most effective and quickest way to deliver new games to online players was to repurpose them from their existing library.
Overall IGT can be happy with their performance for the quarter as they posted a 13% revenue increase to reach $301.2 million. Their gross profits were also up by 8% to reach $178.2 million.
The social gaming sector and in particular the casino-based games are proving to be one of the most dynamic and interesting hot spots in online gambling. With online gambling legalization pending in the U.S. it is set only to grow from strength to strength as well as become an integral part of traditional gambling companies’ online offerings.
IGT are global leaders in the manufacture, design and development of gaming and network machine systems. They are also leaders in providing mobile solutions to global markets.
It is interesting to see that the once frowned upon social games are now aiding traditional real money gambling companies not only to weather the difficult economic times but even boost earnings and growth.
The online scratchcard industry is proving to be ahead if its competitors as developers have long since recognized the benefits of incorporating social themes into their scratchcard games. It is no surprise that other gambling formats are looking to the online scratchie for inspiration and adapting it for their own games.