Regulated Moves: PokerStars to PA, Posts Galactic Guarantee in Europe
It was a big week for PokerStars. The world's leading online poker provider made several moves over the course of the week, with two in particular standing out as the company seeks to further establish itself on the regulatory front.
First, PokerStars found a partner in Pennsylvania and appears poised to get a second foothold down in the U.S., following up the New Jersey online poker room it's had running for over two years now.
Second, PokerStars Europe — the shared liquidity market PokerStars has taken advantage of between Portugal, Spain and France — will be introduced to a new Galactic Series that will serve as a sort of localized World Championship of Online Poker.
PokerStars in Pennsylvania
The hotly anticipated Pennsylvania regulated online poker market, announced in late October 2017, will have the world's most recognizable poker brand fighting for market share.
That was the news coming out last Friday, as PokerStars announced in a press release they'd reached an agreement with Mount Airy Casino Resort, an establishment located a couple of hours north of Philadelphia.
According to OnlinePokerReport, Mount Airy is one of the smaller venues in terms of market share despite boasting 1,800 slot machines and 700 tables games. It had about a six percent market share in 2017.
Despite lacking the brand power of some rivals like Harrah's and Parx, Mount Airy now looks to be in a good position after coming to an agreement with PokerStars, which can leverage it's leading worldwide brand to Mount Airy's benefit. In addition to online poker, PokerStars will launch a PA casino online and potentially sports betting products for Mount Airy.
"In partnership with Mount Airy Casino Resort, we believe we're well positioned to capitalize on opportunities in the Commonwealth by bringing our world leading offerings to Pennsylvania players."
"As one of Pennsylvania's leaders in entertainment, offering internet sports wagering and gaming and partnering with The Stars Group is the obvious next step for us to continue diversifying our casino offerings," said Vincent Jordan, Mount Airy's VP of marketing and gaming operations. "Introducing internet gaming through The Stars Group will provide compelling opportunities for our customers, particularly our younger customers, who are ready to experience the next gaming challenge."
For PokerStars, it's an important second step in the U.S. after launching in New Jersey in 2016.
PokerStars NJ was widely expected to take market dominance but does not currently hold the top spot in the state, as WSOP.com's seven-day average for traffic is more than double that of PokerStars NJ at the time of writing, according to PokerScout. However, WSOP.com has an edge with the ability to take advantage of the multi-state shared liquidity pool.
If PokerStars can add a leading room in Pennsylvania, with its population of 12.8 million surpassing the 9 million in New Jersey, it could close the gap if the state eventually joins the shared liquidity pool.
"We're excited to take this next step as The Stars Group looks to broaden its presence in the United States," said Matt Primeaux of The Stars Group. "In partnership with Mount Airy Casino Resort, we believe we're well positioned to capitalize on opportunities in the Commonwealth by bringing our world leading offerings to Pennsylvania players."
PokerStars in Europe
With September on the horizon, it's almost time for the biggest event in online poker, the WCOOP. This year's schedule, featuring tiered buy-ins and $116 million in guarantees, is hotly anticipated by players the world over.
Players in markets where they're able to access the dot-com player pool, that is. Those who play in the fenced-in European markets of Portugal, Spain and France may have shared liquidity, but it appears they will not be able to participate in WCOOP.
Enter the Galactic Series.
PokerStars announced yesterday that PokerStars Europe will host the new Galactic Series, sporting 186 total events and €15 million in guarantees. The series will run Aug. 26 through Sept. 13 and boast the biggest guarantees yet held in the nascent shared liquidity market, including the biggest single tournament yet in the Main Event.
Though the exact schedule isn't available yet, with 186 events, it seems likely the series will feature tiered buy-ins similar to WCOOP, with players of all bankroll levels able to participate.
PokerStars continues to undergo a transition wherein more and more of its business comes in regulatory markets. According to OPR, this has resulted in a year-over-year drop in active unique players as the company has ceased operations in places like Australia and Colombia.
More deals with locally regulated partners and more fostering of fenced-in markets with series like the Galactic will be necessary for the company to make up those losses.
The Stars Group owns a majority shareholding in iBus Media.
