Favourit is a social gaming and betting platform company focused on capturing customer data and capitalizing on emerging opportunities in the social technologies space driven by sports betting and gambling. The global online gambling industry is estimated to be worth over $30 billion annually, with social and mobile gambling representing major growth areas. Favourit aims to target new and existing customer segments in emerging markets by integrating sports betting with social and real-time content.

1. W
Toby
Simmons
CEO,
Favourit

2. W
!
SH*T
THE
GAME’S
ALREADY
CHANGED

3. W Favourit
is..
• B2B
and
B2C
social
be7ng
pla:orm
• Gaming
ad
network
• Drives
revenue
&
sAmulaAon
• Captures
&
capAalises
on
customer
data
• TipTracker
–
senAment
measurement
• Focus
on
the
social
technologies
space
driven
by
research
©
Favourit
Global
2013
Commercial
in
Confidence
©
Agility
InteracDve
2011

4. W Key
QuesDons
• “Social”
relevancy
&
issues
• Market
value
&
size
• Sport’s
hidden
opportunity
• Customer
behaviour
• Market
dominators
&
early
adopters
• Engagement
strategies
• Brilliant
&
compelling
summary
©
Favourit
Global
2013
Commercial
in
Confidence
©
Agility
InteracDve
2011

5. W Industry
Overview
• Compete
for
long
term
value
sustainable
growth
• ConsolidaAon
of
major
operators
Est.
Value
of
Social
Gambling
Industry
Morgan
Stanley
Bluepaper.
2012
• Online
gambling
industry
est.
at
US$30B
in
2013
and
mobile
contribuAng
US$4.5B
• Social
gambling
industry
esAmated
value
of
US$7B
by
2015
(Morgan
Stanley.
2012)
• Emerging
markets
such
as
Asia
and
LaAn
America
represent
major
growth
opportunity
for
early
engagement
via
virtual
product.
©
Favourit
Global
2013
Commercial
in
Confidence
©
Agility
InteracDve
2011

6. W Industry
Overview
• Emerging
markets
such
as
Asia
and
LaAn
Regional
Growth
in
Social
Gambling
America
represent
major
growth
Morgan
Stanley
Bluepaper.
2012
opportunity
for
early
engagement
via
virtual
product.
©
Favourit
Global
2013
Commercial
in
Confidence
©
Agility
InteracDve
2011

7. W Social
Relevance
• All
verAcals
-­‐
shopping,
travel,
raAngs,
chat,
photos…
share
trading.
• Global
rapid
growth
• Social
player
base
dwarfs
real
money
gambling
audience
1.5B
Users
of
Social
Networks
McKinsey
Report.
2012
• High
engagement
of
early
adopters
• Market
opportunity
is
today
for
next
5
–
10
years
to
leverage
sAckiest
customer
experience
©
Favourit
Global
2013
Commercial
in
Confidence
©
Agility
InteracDve
2011

8. W EvoluDon
It’s
not
all
about
today…
“It
turns
out
that
people
are
completely
okay
winning
virtual
currency
that
they
can
never
cash
out
…”
Sean
Ryan
Facebook
Director
of
Game
Partnerships.
2012.
©
Favourit
Global
2013
Commercial
in
Confidence
©
Agility
InteracDve
2011

9. W Product
Growth
• Casino
games,
driven
by
market
leaders
Zynga
have
been
the
catalyst
of
the
“social
Current
Product
Mix
in
Social
Gambling
gambling”
industry.
Morgan
Stanley
Bluepaper.
2012
• However,
the
emergence
of
“second
screen”
applicaAons
and
the
sAckiness
of
sport
content
has
created
a
valuable
opportunity
for
sports
be7ng
operators
to
target
content
and
user
groups
• Sports
be7ng
must
be
integrated
with
associated
content
such
as
stats,
live
scores,
commentary.
©
Favourit
Global
2013
Commercial
in
Confidence
©
Agility
InteracDve
2011

10. W Sport..
• Passionate
customer
engagement
• Emerging
models
already
disrupt
–
fantasy
etc.
• Forums
&
communiAes
• Digital
media
&
content
distribuAon
• Rich
insigh:ul
stats
• Real
Ame
content
©
Favourit
Global
2013
Commercial
in
Confidence
©
Agility
InteracDve
2011

11. W Audience
&
Markets
• 180M
“social
gamblers”
EvoluDon
of
Gambling
Segments
Morgan
Stanley
Bluepaper.
2012
• Four
key
customer
segments:
– Online
gambling
(tradiAonal
punters)
– Paying
social
gambling
(key
target
of
Favourit)
– Social
gambling
(virtual
and
real
play
–
opp.
To
convert
via
Favourit)
– Social
gaming
(pure
free
play
–
long
term
conversion
target)
• TargeAng
emerging
segments
today
is
key
to
converAng
to
retail
punter
customers
in
Future
“retail
customers”
addiAon
to
offering
new
customer
=
our
focus
for
long
term
experience
to
exisAng
users
©
Favourit
Global
2013
Commercial
in
Confidence
©
Agility
InteracDve
2011

12. W Key
Behaviors
• ExisAng
technologies
provide
indicators:
Age
Segments
of
Social
Gambling
Morgan
Stanley
Bluepaper.
2012
– Peer
influence,
“I
told
you
so”
– MulA-­‐tasking
– PersonalizaAon
• Grown
up
with
Twiher
/
FB
etc.
• Gambling
sAll
discrete
and
hence
will
be
shared
anonymously
on
dedicated
networks
and
forums
©
Favourit
Global
2013
Commercial
in
Confidence
©
Agility
InteracDve
2011

13. W Long
Term
Value
BIG
Problem
©
Favourit
Global
2013
Commercial
in
Confidence
©
Agility
InteracDve
2011

14. W Deals
&
Investment
• IGT’s
US
$500M
acquisiAon
of
Double
Double
casino
(Duryee.
2012)
• Zynga’s
IPO
at
valuaAon
of
$7.7B
built
on
virtual
credit
sales
&
adverAsing
(Techcrunch)
• 888
Holdings
&
Gamesys
have
signed
deals
with
Facebook
to
run
real
money
gambling
games
via
the
pla:orm
(FT.com)
• 888
Holdings
acquisiAon
of
Mytopia
for
$24M
in
June
2010
• bWin’s
allocaAon
into
Win.com
of
$50M
• Key
consideraAon
as
an
operator
is
how
can
you
leapfrog
compeAAon?
– AcquisiAon
of
agile
startups?
– Major
investment
in
new
R&D
business
units?
©
Favourit
Global
2013
Commercial
in
Confidence
©
Agility
InteracDve
2011

15. W Major
Players
©
Favourit
Global
2013
Commercial
in
Confidence
©
Agility
InteracDve
2011

16. W Associated
VerDcals
• Social
share
trading
is
an
associated
verAcal
led
by
two
major
compeAtors:
– StockTwits
(raised
over
$8M)
– eToro
(raised
over
US$33M,
2M
users)
• Success
in
being
able
to
integrate
social
elements
around
tradiAonal
transacAon
model
(ie.
Buy
/
sell)
inc.
stats,
recommendaAons,
experts
etc.
• Key
consideraAons:
– If
share
trading
has
quickly
been
able
to
integrate
social
and
create
new
target
segment
user
experiences,
what
about
be7ng?
©
Favourit
Global
2013
Commercial
in
Confidence
©
Agility
InteracDve
2011

17. W Moving
Forward
• Social
is
here
–
massive
audience
• It’s
how
quickly
you
can
get
your
business
engaging
it
• Sport
provides
genuine
opportunity
• Open
pla:orms
/
technology
key
to
market
success
www.favourit.com
www.facebook.com/favourit.com