TG Talk - Will DFS take off in France?

TG Talk - Will DFS take off in France?

Thursday, September 1, 2016 Posted by Andy McCarron
Real money DFS launched in France with Winamax but is there a viable market for it?

Following Winamax becoming the first operator to launch real money DFS in France, and with sportsbook operator France Pari reportedly having applied for a licence too, Totally Gaming asks...is it a worthwhile market?

Bragi Ægisson, Fanaments Director

“I believe the French market is a very good fit for DFS. I think we will see a lot of the locally regulated companies partner up with DFS operators and suppliers. That is certainly something we at Fanaments are looking into.

“There is good tradition for sports betting and poker, which is always a good sign for DFS.

France has large fan base of "DFS friendly" sports, such as football and basketball. In addition the France market is perfect for trying out new game verticals, such as cycling, handball and rugby.”

Shergul Arshad, Mondogoal CEO

“The French market has some issues regarding taxation. There have been recent breakthroughs that seem to allow DFS, but with 10% of the net being assessed as a tax, for any operator to stay in business, there will need to be 20% "rake" or charging French participants in larger pools a 10% fee on top of their base entry fee.

“There's fervent fan passion around the national football team and in some key domestic markets for Ligue 1.  There's no doubt that DFS (and by S I really just mean Soccer) has a chance to be massive in France as well as the rest of the world.”

Trev Keane, Founder of Sportego and FanFeud

“The most interesting aspect of the DFS France announcement by Winamax was the recognition by the French regulator that DFS is a game of skill. That they beat France Pari to the punch suggests they will have rivals, however my view on DFS in France is that the same challenges that exist in UK will operate across the channel.

“The sportsbook arena is very competitive and if DFS operates outside of this then they will struggle with marketing spend. DFS from a Sportego perspective is an engagement and activation tool; one that works in conjunction with brands, football clubs and betting companies. That the official Ligue 1 fantasy game, admittedly season long, has less than 4,000 players suggests that the public remain to be convinced on fantasy as a whole and it remains to be seen if DFS is a viable alternative to poker/sportsbook or a customer acquisition tool for product upselling.

“ I think Winamax will open the door but just how far it opens remains to be seen.”

Valery Bollier, Oulala CEO

''The French market is now open to DFS. This is, of course, excellent news however it is only the first step since DFS is currently treated as a sports betting activity. In order to allow the French market to grow, the ARJEL would need to create a specific legal frame for DFS, in order to adapt the French taxation to our specific business model.

Right now, only a few operators such as Winamax and France Pari, who have a French sports betting licence, have positioned themselves in the DFS market. However, in the short term, I do not believe that any international DFS operator will enter the French market in B2C, purely due to financial reasons. The licence is far too expensive for a new market with low volumes and taxation “like a sports betting operator” does not allow us to have a profitable flow of activity.

Nonetheless, I am very optimistic on a long term basis. The ARJEL team has a deep knowledge of our market and I have absolutely no doubt that they will find a way to raise the appeal of the French market for DFS operators.''
 

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