What is historical horse racing?
Historical horse racing allows players to place bets on past horse races through an electronic gaming terminal. These terminals use the results of previously run races to determine the outcome of the game. Players can view anonymized race data, such as jockeys, trainers, and odds, before placing bets. The system preserves the integrity of the race results while providing a unique and engaging experience for participants.
Benefits of introducing HHR
- Diversified revenue streams
HHR terminals generate substantial revenue by attracting a broader audience. This diversification reduces reliance on conventional lottery and horse race betting products and mitigates risks associated with market saturation or declining sales. - Enhanced player engagement
The interactive and dynamic nature of HHR terminals appeals to a younger demographic and tech-savvy players. By offering a more immersive gaming experience, Lotteries and Jockey Clubs can boost player retention and attract new participants. - Increased economic impact
HHR facilities stimulate local economies by creating jobs, generating additional tax revenue, and driving ancillary spending at nearby businesses. This economic benefit strengthens the case for HHR as a socially responsible addition to the lottery and horse racing ecosystem.
Synergy with existing lottery and horse racing operations
Lotteries and jockey clubs can leverage their existing infrastructure to seamlessly integrate HHR terminals. This synergy reduces operational costs and simplifies marketing efforts, as Lotteries and Jockey Clubs already have established trust and recognition among players.
HHR - A key revenue source for the horse racing industry
HHR is not only a potentially new source of revenues for lotteries but historically has been a vital source of revenue for the horse racing industry. HHR revenues support prize money, breeding programs and racetrack operations. This symbiotic relationship promotes the sustainability of an industry with deep cultural and historical roots.
At a time when horse racetracks are facing declining on-track handle, with declines for some of the most established racetracks reaching up to 32%, HHR offers a reliable and growing stream of income that helps sustain racing operations. Shifting consumer preferences and increased competition from other forms of gaming are putting undue pressure on the horse racing industry.
The revenue generated from HHR games offset the losses from declining pari-mutuel betting and provide critical funding for purses, track improvements and overall industry stability.
Since the introduction of HHR, Churchill Downs, the home of the Kentucky Derby has seen an average increase in purses of 71%, a key element in ensuring the long-term viability and continued investment in live racing at the heart of horse racing industry in the USA.
Extending this source of revenue to international horse racing markets promises to deliver similar results for the benefit of the horse racing industry.
Case study - Historical horse racing debuts in Malta: A global milestone
In a landmark move, in July 2024, National Lottery plc, a fully owned subsidiary of IZI Group, has launched the first-ever HHR installation outside the United States in Malta, through a strategic partnership with Exacta Services, Inc. This pioneering initiative marks a significant step in the global expansion of HHR, showcasing its potential as a versatile gaming solution.
The introduction of HHR in Malta highlights IZI Group’s commitment to innovation and diversifying entertainment options for players. Leveraging cutting-edge technology, HHR offers Maltese players an exciting gaming experience that blends the heritage of horse racing with modern digital convenience.
The HHR installation in Malta demonstrates cutting-edge innovation, operational excellence, and sustainability as well as offering a firsthand experience of the advanced capabilities and transformative impact of this groundbreaking product.
By setting new industry benchmarks, the installation highlights technological leadership and also fosters international collaboration, and potential.
It provides a fresh revenue stream for the lottery sector in Malta but also underscores the adaptability of HHR in meeting diverse regulatory and market demands, and sets a precedent for other jurisdictions considering similar expansions.
Understanding that historical horse racing represents a promising opportunity for its lottery business, IZI Group continues to build on its early success by diversifying its product portfolio in its bid to optimize its game offering and engage new audiences.
While still in its infancy, it is clear that HHR has the potential to become a valuable addition to the lottery and horse racing landscape. World leading game providers, including IGT, L&W and Novomatic AG, to mention the current list of game providers actively engaged in the HHR installation in Malta, are recognizing the HHR potential to redefine the gaming landscape. Their investments underscore confidence in HHR’s growth trajectory, positioning it as a key component in future gaming while fostering new levels of entertainment, player engagement, and market expansion.
For further information about the HHR installation in Malta, contact the IZI GROUP commercial department at: [email protected].
