ESPN Tests Casino Advertising Through Soccer Sponsorship

In-Running

ESPN agrees to provide advertising space to online casino

Sports betting company William Hill said Monday that it has reached an agreement with ESPN to sponsor Italian Serie A, Dutch Eredivisie and Russian Premier League soccer. The deal marks the most aggressive move to date by ESPN to cater to a sports book, and increases William Hill’s profile among U.S. consumers.

Under terms of the deal, William Hill will sponsor all ESPN television coverage of the three leagues. In addition, it will be the exclusive betting partner of ESPN’s upcoming ESPNsoccernet mobile application. It will also have banner advertising on the ESPNsoccernet website.

In striking the deal, ESPN is tip-toeing into the potentially lucrative arena of selling advertising and providing direct marketing links to people interested in opening online betting accounts with sportsbooks. Although soccer is a niche market, ESPN could eventually enter into similar advertising and sponsorship agreements for football, basketball and baseball coverage.

Based in England, William Hill purchased in April 2011 the Leroy’s and Cal-Neva chain of sports books for $39 million. That deal that is awaiting regulatory approval to be completed. With Leroy’s and Cal-Neva, William Hill will be positioned to compete in the domestic market for legal sports betting on mobile phones and iPads, if federal laws are overturned that make wagering in any state other than Nevada illegal.

Eventually, largely because of the innovations forged by Cantor Fitzgerald subsidiary Cantor Gaming, it is possible that sports fans will be able to conduct on-going prop betting at games they are attending (called In-Running). Cantor Fitzgerald is a Wall Street investment firm that was devastated by large losses to its workforce during the 9-11 Attacks. As a means of survival, the firm branched into proposition sports betting built on the same analytics platforms once used to manage its hedge funds. Today, it provides “in-running” bets for a growing number of Las Vegas casinos, and real-time proposition betting is the largest growing segment of Nevada’s annual sports bet handle.

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