Wow I was so excited when I received my company and noted it was in the Travel & Leisure industry. I thought fan bloody tastic, I’ve worked in the travel industry for more than 20 years. The company is called Best of the Best PLC so I was feeling pumped, it doesn’t take much to motivate me. I went straight to their website and saw an image of a Porsche and a title Win Your Dream Car, this left me a little confused, I wasn’t expecting that from a company in the Travel & Leisure industry.
Best of the Best PLC is a spot the ball competition where you purchase tickets to enter the competition then mark the spot on an image where you think the ball has been digitally removed, if your chosen as the winner you could win your dream car, a winner is drawn every week. The business began in 1999 by its Founder and CEO William Hindmarsh and in 2006 became a UK registered company under the AIM (Alternate Investment Market, a sub-market of the London Stock Exchange).
As stated on the company’s website, ‘BOTB operates from seven UK and one international airport site and the Westfield shopping centre in West London.’ This is where the businesses began however it has significantly grown in popularity with its online operations, selling tickets from as low as £2. The success of this company has been because it has embraced the latest technologies and increased its marketing for its website and now an App. It’s online revenue more than doubled in 2015. Another reason for its success could be due to the companies Commercial Director Rupert Garson who has an accounting background and MBA.
At first I was really dubious about this business, I mean it’s gambling right? Well yes it is but there are Casinos around the world and lotto and I’ve participated in those several times (ah the memories of my time in Vegas come flooding back). As you can imagine, the biggest struggle for the company is trust, several people had seen the cars on display at the airports and would never buy a ticket, thinking yeah right I’d never win, they probably only draw on winner a year, who actually win these cars? To combat this they set up a YouTube site which films the winners getting a knock on their front door telling them they’ve won, here’s a summary of last years winners, BOTB 2016. These are also shared on their Facebook page, great marketing at a very low cost, however they have also significantly invested in marketing campaigns through digital mediums and TV in 2016! Quoted from their website ‘through the powers of social media, the walls of doubt surrounding the supercar giveaway company have started to crumble.’
The companies profits have grown and grown each year and they have even branched out overseas with their subsidiary companies so I’m sure their investors would be very happy. Their online revenue increased a further 40.6% last year to £7.06 million (2015: £5.02 million) – representing 70.5% of total revenue. What kind of investors are these people though, do they take advantage of those with gambling problems? Are they sinners in some peoples eyes? Here is a great article as the author Tariq Dennison talks about ethic vs vice stocks, ‘incredibly profitable sector that does not necessarily need economies of scale, but certainly depends on volume for high absolute profits’ in his 77 largest casino stocks by market cap 2017.
This company seems to change people’s lives, add value as mentioned in Martin’s study guide, and have continued to grow and adapt and embrace the changes to technology, each year looking into their business and coming up with fresh ideas. They have also been able to keep their Directors the same which creates trust and stability. I do believe though that rather than the travel and leisure industry it should be other amusement and recreation activities not elsewhere classified.