Philippine billionaire Enrique Razon Jr. is officially placing his chips on the country’s booming online gambling sector, as Bloomberry Resorts launches its new digital gaming platform, MegaFUNalo, entering a space currently dominated by DigiPlus.
The move marks a significant shift for Bloomberry, traditionally known for its Solaire-branded integrated resorts in Metro Manila and a casino in Jeju, South Korea. With Philippine eGaming revenue now surpassing that of land-based casinos for the first time, according to the national regulator, Razon’s timing reflects a broader digital pivot in Asia’s second-largest gaming market.
MegaFUNalo went into soft launch mode recently, offering casino classics like baccarat, roulette, blackjack, and slots, alongside fairground-style and arcade games. In a bid to differentiate itself, the platform also features a library of free Viva-produced movies – including Koreanovelas – available to registered players.
Analysts see the value in Bloomberry’s push, but caution that the road to digital dominance won’t be easy. DigiPlus, formerly known as Leisure & Resorts World Corp., has a commanding lead, with over 40 million registered users as of 2024, double its 2023 total. The company has also secured a Brazilian license for sports betting and is setting up shop in Singapore to spearhead global expansion.
Competing with DigiPlus presents notable challenges, as the current market leader in the country has established a huge head start and a deeply engaged user base. To play catch-up, Bloomberry is reportedly spending PHP1 billion to PHP2 billion ($17.95 million to $35.88 million) per quarter on advertising and promotions alone. The company has already seen a spike in operating expenses tied to the app’s development and launch. Much of the spend is aimed at customer acquisition, a crucial battleground in the fight for market share.
MegaFUNalo’s layered approach, combining gaming and entertainment, gives Bloomberry a potentially unique edge in a crowded market. Focusing on broader engagement rather than just reskinning the same games the competition offers indicates a broader engagement strategy that may well pay off. Still, the challenges are considerable. DigiPlus has spent three years building its monthly active users from 800,000 in 2022 to 7.5 million by 1Q25, and more players – like Travellers International (under Alliance Global Group) and Hann Holdings – are preparing to enter the digital arena. Analysts warn the sector is quickly becoming saturated.
One potential headwind: Bloomberry is working with a third-party provider to develop the app under a revenue-sharing model, which could limit long-term profitability if the platform takes off. And while Razon told investors the online venture will diversify revenue, it may drag on earnings before turning profitable, likely sometime next year.
DigiPlus’ own rise may not be as effortless as it appears. Despite tripling its ad spend last year, the company still lost a small slice of gross gaming revenue market share, a sign that even incumbents are under pressure to sustain growth. Nevertheless, investors are optimistic. Bloomberry shares surged as much as 18.8 percent on the day of the soft launch announcement, outperforming Philippine blue chips and suggesting the market is willing to bet on Razon’s ability to replicate his land-based success in the digital sphere.
But in a sector where eyeballs are bought and user retention is a brutal game of incentives, jackpots, and brand loyalty, the true test for MegaFUNalo is only just beginning.
