Cash Offers Increased Business Potential

Published: Saturday, October 14, 2006 Online-Casinos.com

CASH OFFERS INCREASED BUSINESS POTENTIAL

UK alternative payments company sees good business ahead in the non-card holder sector

The British alternative payments company Ukcash sees opportunities in the new US financial restrictions on Internet gamblers, and says in a public statement that there now needs to be a fast re-focus on alternative systems and markets to combat falling US revenues.

"With a significant decline in stock prices, and predicted revenue shortfalls of up to 80 percent as US consumers are prevented from gambling online, Ukash says that the online gambling industry should grasp the huge opportunity to bolster European revenues through targeting non-cardholding players, with Ukash," the statement claims.

Justin Lunny, Director of Sales at Ukash, says that, "Credit card penetration in continental Europe in particular is far lower than the USA, and if you want to capitalise on the options, you need to harness the potential of the cash player."

Ukash is preparing to steer the growth of cash transactions for online sportsbook and gambling merchants, outside the States, through Europe. Ukash is currently trading in the UK, Ireland, Spain and Germany and Ukash vouchers will be available to purchase in The Netherlands, Belgium, Luxemburg, Turkey, Sweden, Switzerland, Austria, Poland, France, Italy, Romania and Greece by the end of 2006.

The company now has an FSA authorisation and license to operate as a regulated e-money issuer in the UK, offering a higher transaction limit of GBP 500 and "passporting" its regulated status to the 27 EEA Member States.

"Online gaming firms are going to have to ramp up their efforts in new world environments if they're going to bolster revenues." says Justin Lunny. "They'll need to adapt to the cultural payment habits of each country, particularly where there is a strong preference for using cash, if they want to tap into these lucrative markets."

Ukash is currently accepted online by a wide range of gaming and gambling sites including Ladbrokes, MiApuesta, Interwetten and 32Red. Ukash operates in accordance with local laws in each of the countries in which it trades, and vouchers are therefore not available on US soil.

Lunny says the voucher method is ideal for people who have credit or debit cards but don't wish to use them online, or those who do not hold payment cards at all, and vouchers are available from most UK stores where electronic mobile top-ups are sold.

Customers exchange cash for a Ukash voucher and then spend the value online at merchants displaying the Ukash payment brand. Every Ukash electronic voucher contains a secure and unique 19 digit code.

To spend Ukash the consumer simply enters their 19 digit code and value when asked for payment details during the check out process. The Ukash payment is authorised in real-time and if change is required a new Ukash 19 digit code is issued online to the customer.

Distribution agreements with leading providers such as PayPoint, ePay, Cash4Handy and Alphyra have made Ukash available from approaching 120 000 payment terminals located in convenience stores and other retail outlets across Europe.