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Rivalry has revealed ambitious plans to enter the B2B segment in 2024, aiming to tap into new revenue streams and expand its market reach. 

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In a letter addressed to shareholders, Rivalry CEO and co-founder Steven Salz laid out the firm’s key priorities and initiatives for the year ahead.

“We are committed to pursuing strategic and well-measured investments in key areas of our business, positioning Rivalry for sustained growth throughout 2024 and beyond,” he said.

“Our objectives are designed to maintain and accelerate our momentum towards profitability,” he added.

When presenting its Q3 2023 results, Rivalry said it was on track to reach profitability in H1 2024. 

2024 plans 

One of the core strategies outlined by Salz is the release of more first-party games in 2024.

Salz also stressed that Rivalry’s original casino games have already demonstrated their appeal to the under-30 demographic and have proven to be a significant revenue driver. 

“We believe this will open up B2B licensing opportunities and create a new revenue stream for our business,” Salz said. 

In addition to focusing on new game releases and B2B opportunities, Rivalry is prioritising product innovation. 

The company plans to introduce new proprietary releases and enhancements across its product suite, including sportsbook and casino offerings. 

These innovations are aimed at driving usage of higher-margin verticals and increasing overall player engagement.

“Our vision for online betting is challenging conventional norms in a long-standing industry. We are disruptors, stepping on nicely manicured lawns by seeing the future of online gambling and creating it.”
Rivalry CEO Steven Salz

Moreover, Salz mentioned that Rivalry plans to double down on player retention initiatives, with a focus on gamification and loyalty programmes.

Geographic expansion is also on the agenda, with the company aiming to grow its Total Addressable Market (TAM) by entering new markets.

Finally, Rivalry is investing further in the traditional sports segment, which has grown by 60% since 2022,“demonstrating the success of our brand among Gen Z broadly and enabling us to continue broadening our TAM”, Salz said. 

Not just esports

Reflecting on Rivalry’s evolution, Salz said the firm exited 2023 with the “strongest customer KPIs” in its history, while its esports expertise “no longer solely defines” the business.

The CEO noted that while esports was once the firm’s cornerstone, the company has evolved into a multifaceted gaming platform. 

Salz highlighted that Rivalry’s betting handle increased 127% to $338.1m in the first three quarters of 2023, revenue increased 70% to $29.2m, and gross profit was up 175% to $13.2m compared to the first nine months of 2022, while marketing spend decreased by 8%.

As Rivalry’s portfolio diversified, casino gaming has emerged as a dominant category, comprising nearly half of all wagers in 2023.

“Our vision for online betting is challenging conventional norms in a long-standing industry. We are disruptors, stepping on nicely manicured lawns by seeing the future of online gambling and creating it,” Salz stressed.

“The next generation is just getting started on their customer journey, and we are poised to own it,” he concluded.

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