DJI Holdings receives go-ahead for mobile app trial

Chinese sports lottery products distributor DJI Holdings said its joint venture has received the authorisation to begin trial sales via mobile phones.

The group said that Qingdao Baifa Network Science Technology Service will begin the trial of the mobile app in Qingdao City in the Shandong Province, adding it hopes to extend sales in the other areas of the province.

DJI said the app will provide access to a number of sports betting games, lottery games and digital scratch cards, while the group will use its partnership with Manchester City and Arsenal to promote the product.

"I am delighted that, despite the continuing suspension of online sales of lottery products in China, we now have an opportunity to recommence sales in a new area and utilise both our unique soccer club resources and sales channel partners to maximise this opportunity," said group chief executive Darren Mercer.

The sale of lottery products online has been temporarily suspended by the Chinese government since 1 March, which has hit DJI’s revenue and profit.

"The popularity of lottery products based around soccer was growing in excess of 200% year-on-year prior to the suspension of online sales,” said Mercer.

“We believe that a full roll-out of the mobile app throughout Shandong, together with our unique positioning and promotional offers based on soccer, will quickly generate significant lottery revenues.”

DJI shares were down 2.59% to 47.00p at 1537 BST on Friday.