Bolstering its new retail strategy, Tabcorp has announced a renewed partnership with the country’s second-largest operator, Australian Venue Co (AVC).
The negotiated five-year agreement, which commenced this month, will see over 100 pubs across AVC hosting TAB’s new retail wagering experience and Sky Racing, broadcasting more than 150k live races each year, alongside new products to drive increased engagement such as TAB Time, TAB Live and TAB’s Shout.
AVC will benefit from Tabcorp’s $50 million “investment in generosity” heralding capex into the look and feel of pubs, bringing enhanced odds screens and the new Next Gen betting terminals.
Tabcorp Chief Commercial & Media Officer Jarrod Villani says the new model is about bringing more people into local pubs, which is reinforced by the company’s half-year results, reporting in-venue turnover up 12 per cent.
“Together we’re looking forward to promoting TAB’s refreshed retail offering across their venues,” he remarks of the AVC partnership.
“The new model is working. To date, we’ve seen double digit, digital in venue turnover growth across our network.”
Villani reiterates the importance of pubs now, and into the future.
“Retail is at the heart of everything we are doing strategically at Tabcorp. We’re delivering a different proposition, injecting unprecedented levels of promotions and new initiatives into the network and that will only continue as part of this deal.”
AVC COO Craig Ellison says racing and sport have always played a role in making “a great pub” and believes the revised offering will not go unnoticed.
“Our customers will see a more engaging TAB and Sky Racing offer backed by real investment in the technology and in-venue experience.”
Tabcorp’s integrity services business, MAX, will expand its arrangement with AVC in NSW, Queensland, Victoria and South Australia as part of the agreement. The expanded role will be key to providing safe and compliant EGMs across the AVC stable.
Announced mid-2025 as a shake-up of the company’s retail wagering business to address the rising influence of online bookmakers such as Ladbrokes and Sportsbet, new chief executive Gillon McLachlan boded “it’s not just us that needs a change”.
But some in the pubs and clubs industries have baulked at the new agreement, many concerned about their profitability in the revised arrangement and potential liability, with the gaming giant stipulating venues would be liable for regulator penalties incurred on their premises.
The number of pubs in the new network has reached roughly 3,300 but is still 10 per cent shy of the previous total, with some major groups – such as ALH, Laundy Hotels and until now, AVC – thought to be negotiating individual terms, while some, such as the Comiskey Group, have opted out altogether.
A spokesperson for Tabcorp declined to provide any specifics on the contract forged with AVC.
