Online Gambling Market to surpass $94 billion by 2024

A report has been published by Zion Market Research, titled Online Gambling & Betting Market by Game Form (Poker, Casino, Sports Betting, Bingo, Lottery, Horse Racing Betting, and Others) and by Component (Hardware, Software, and Service): Global Industry Perspective, Comprehensive Analysis and Forecast, 2017 – 2024”.

According to this report:

“Global online gambling & betting market expected to reach USD 94.4 billion globally by 2024, growing at a CAGR of around 10.9% between 2018 and 2024. Online gambling & betting is a form of gambling that is played by means of computer, mobile, laptop, and tablet through the internet.”

Online gambling and sports betting refers to gambling over the internet on a computer, smartphone or tablet. One of the reasons people prefer to gamble online rather than in a traditional casino is that, as long as it’s legal in their territory,  they can do it from anywhere in the world and at any time they choose.

There are many ways to gamble online, the most popular being sports betting, poker, slots, blackjack and roulette.

This article will analyze the report and outline some of its main findings.

Note: important members of the online gambling & betting market report are William Hill Plc, Betfred Ltd., Bet365 Group Ltd., 888 Holdings plc, Paddy Power Betfair Plc, The Betway Group, GVC Holdings Plc, The Stars Group, Rank Group, Fortuna Entertainment Group, Kindred Group, Hong Kong Jockey Club, mybet Holding, Playtech, and more.

Global And Regional Online Gambling

The report looks at data from the period between 2015 and 2017.  It also predicts the state of the online gambling market between 2018 and 2024, based on revenue. By doing so, it encourages thinking about what drives the market and how those factors will affect the industry over the coming days, months and years.  The report also looks at the opportunities that are arising in the online casino and betting industry on a global scale.

According to the report, the online casino and betting market is expected to grow thanks to legalization in nations such as the USA, the UK and a host of other European nations. For example, governments in Germany, the Netherlands and Russia, as well as other nations are raising the issue in an attempt to encourage interest in making online gambling legal.

One of the biggest drivers for the rise of online gambling across the world is the number of people using the internet. In 2015, 43.5% of the global population had access to the internet. In 2016, this number grew to 46% and it is expected to rise, mainly due to digitization in Asia. With this in mind, it is only natural to predict that the global online casino and betting industry will grow over the coming years.

New Technology

Interest in blockchain technology and cryptocurrency has increased dramatically over the last few years, adding further fuel to the claim that the online gambling market is expected to grow.

One of the reasons cryptocurrency is attractive to investors is that it has a number of exclusive benefits other funding methods do not possess. For example, using cryptocurrency for gambling is legal because there is no ‘real money’ involved in any of the transactions.

Bitcoin was the first cryptocurrency used by online casinos and betting companies to make payments. In early 2017, the total value of the cryptocurrency market was close to $18 billion. Over the next 5 years, this value is expected to increase; and with it, the number of online casinos accepting cryptocurrency as a payment method.

Another new technology contributing to the growth of online gambling is the adoption of virtual reality (VR). Online casinos are taking note of this technology because it can enhance the experience of gambling. At the time of this writing, online casinos have already created games exclusively for VR users, such as VR blackjack and VR roulette.

The number of VR shipments made in 2017 grew 25% compared to 2016. Considering that more and more platforms are adopting VR, it’s likely that VR will drive the growth of the online casino and betting industry.

Dividing The Markets

The global online gambling industry can be separated into three categories: hardware, software and service. Software is expected to dominate the market between now and 2024 due to the vast variety of payment options available to consumers.

The online gambling industry can also be separated by game type: poker, casino games, sports betting, horse racing, bingo, lottery and more. Of these game types, poker is expected to have the biggest share of the market over the forecast period.

Continental Share Of The Online Gambling Industry

Of all the regions included in the report, Europe is expected to hold the biggest share of the online casino and betting industry. 

This is mainly due to the legalization of online gambling across a host of European countries. The first country to legalize online gambling in Europe was the UK. in 2015, online gambling accounted for nearly 33% of the entire gambling industry. With online casinos increasing their revenues, this number is likely to increase. In 2017, revenue increased by around 10% compared to the figures in 2016. With the legalization of online gambling on the agenda for the European countries already listed, the overall market is anticipated to grow.

Asia Pacific is also expected to see much growth in the online casino and betting industry over this period. Online gambling is legal in Hong Kong, with sports betting, racing and lottery available. In Australia, there has been considerable growth. In 2012, around 16% of bets were made online. This number has grown to around 34%, mainly due to the rise of smartphones. Currently, 22% of Australians use their smartphone to make bets online, compared to only 5.5% in 2012.

Latin America will also begin to contribute substantially to the market. For example, Argentina has no laws regarding the governing of online gambling. Instead, it is regulated by the individual provinces across the country.

In Africa, the online sports betting market is expected to increase along with the development of payment systems in South Africa, Nigeria and Ghana.

All opinions expressed on USDR are those of the author and not necessarily those of US Daily Review.