Victor Chandler
to Enter SA Online Gambling Market
May 13 - British sports betting company Victor Chandler, set to
expand into the South African market, revealed this week that it
regarded the potential in this country as "huge".
But Victor Chandler, chairperson of the Victor Chandler
International group, denied suggestions that with so much crime
already in this country the last thing South Africa needed right
now was a widespread gambling industry.
Chandler said, "We are not aiming at the bottom end of the
market. It is people with disposable income, obviously people
who have access to the internet and credit cards, that is the
market. We are looking at mainly the middle class, those with
money. We see ourselves as a form of entertainment.
"We have to dip our toes in the water and see what the potential
is. But we do believe it is huge there."
The move by the Victor Chandler organisation into South Africa
reflects a widespread opening up of gambling, benefiting from
the online facility.
"People are regulating, and this will happen in most countries,"
said Chandler. "Europe is already opening up.
"Why South Africa? We see a potential market, like Israel;
places that are badly served at the moment. All our operations
will be online, although we will also be opening a telephone
betting office in time."
Chandler refused to speculate on the number of jobs such an
organisation might create across South Africa.
"It will grow according to the demand. But key to that is the
internet penetration within society as a whole.
Trust
"The UK market shows what is possible as that factor grows. A
few years ago, nine percent had access to the internet, but now
that figure is 60 percent. That has changed our business.
"The past 18 months have seen a huge change in internet selling.
What people have had to adjust to (on the internet) is trusting
people with their credit card details. The breakthrough has come
in that respect in the past 18 months. And this growth has been
worldwide, from China to Europe and America. The Americans were
the first people who really trusted giving their credit card
details to faceless organisations.
"We hope this business will grow similarly in South Africa but
we have to put our services there and see what happens."
Chandler is based in Gibraltar and the group's operations
include a sports book, poker rooms and a casino. Chandler said
that the company would look at possible casino business in South
Africa, but at the moment the focus is on the online gambling
venture.
However, even Chandler admitted that South Africa was unlikely
to become a target for his company alone.
"Since the US market closed, we have seen a lot of US players
become a lot more competitive in market areas they had
previously not touched. I am sure all the companies in our
industry are looking at every territory worldwide."
Chandler hopes to come to South Africa in October, visiting
Durban, Johannesburg and Cape Town, as part of the company's
fact-finding mission. But his most recent association with this
country ended in tragedy.
He lost his best horse in South Africa when it caught pneumonia
and died during the journey from Cape Town to Durban for the
Durban Guineas race.
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