Fan Throwdown has begun to ramp up it’s fantasy sports payouts and freerolls in an effort to attract casual players. In a recent MGT conference call with investors, the company outlined some of their plans for the fantasy site. The CEO said MGT is in the process of changing the paradigm of daily fantasy sports. Fan Throwdown wants to have simple and easy to enter fantasy sports games that offer players a good chance of winning. MGT sees a huge market for what they call the casual fantasy sports player.
Ideas they have been tossing around include picking players by tiers instead of the traditional format, which lists every player in the NBA playing that night by salary. The theory is that it will be easier to attract players by making the games simpler to enter, without the need for tons of research. Recently, Fan Throwdown has introduced “Matrix” style games where everyone who enters gets some money back even if they come in last.
FTD has been offering 50/50 freerolls, where half the field wins $0.25 cents, and those have been a good source of signups for them. Despite the recent boost, it’s still considered a 4th or 5th tier daily fantasy site, lagging behind Fan Duel, Draft Kings, and Draft Street. While some of the new options and features on FTD have been solid moves, they will need to advertise and aggressively promote out the wazoo in order to gain market share. With NFL football winding down, look for traffic to drop off the table for several daily sites.
MGT is involved in many other areas of gaming and business. They have a pending lawsuit with various casinos relating to a slot machine patent. The lawsuit is the biggest feather in their cap, and Fan Throwdown remains a small piece of the pie. MGT wants to work with casinos in order to bring fantasy sports and other forms of online gaming to the market. They were disappointed New Jersey decided not to enter the legalized fantasy sports market, although MGT anticipates they will get a NJ online gaming license sometime in early 2014. One problem MGT has is that they are suing many of the big players in the casino game. Want to get a casino to do business with you? Probably shouldn’t sue them. After the lawsuit gets resolved, they may have some cash to burn on Fan Throwdown, which would be something to look out for.