The gambling industry as a whole is set to grow at a CAGR of 4% between 2017 – 2013. This growth, according to research, is driven in part by increasing disposable income, easy access to gaming platforms, and high adoption.
However, comparing the two components of the gambling markets: land-based and online casinos, the global gambling market growth is driven primarily by the increasing penetration and adoption of online gaming.
As the fastest-growing segment of the gambling industry, online betting is projected to grow at a CAGR of 8.77% within the next several years, from 2019-2024 according to industry reports.
Today, the deployment of Artificial Intelligence (AI), chatbots, machine learning by online gambling platforms is expected to attract and retain new enthusiasts as these new technologies improve user experience.
Online gambling Review
While the online gambling segment is expected to continue on its upward trend, there are a couple of development within the industry which will make the most impact.
First off, the 2018 landmark judgment by the United States Supreme Court effectively opened up the U.S. to online betting. Before the Supreme court ruling, betting online in the U.S. was illegal.
However, the legislation for online betting only allows bookmakers in Nevada, Pennsylvania, and New Jersey to operate since they are the only states where online gambling is regulated. Pennsylvania became the fourth and largest state to regulate online betting, while New Jersey has the biggest market of online gambling enthusiasts.
The new legislation allows for several games including online poker, sports betting, online casinos and more.
Industry watchers expect once the new ruling comes into effect, for online gambling companies to move in and try to capture a chunk of the estimated $150 billion Americans illegally wager online annually.
Industry reports show that the Asian gambling market has overtaken North American. The Asian market has established itself as a leading region in the gambling industry; this is primarily as a result of the massive adoption of online gambling, the improving internet infrastructure in the area, plus many countries liberalizing gambling.
Online gambling outlook
Industry market research projects that between 2018-2023 the global online gambling market will generate CAGR of 9.7%. With the value doubling from 46 billion U.S. dollars to more than 94 billion U.S. dollars in 2024.
The live gaming segment is gaining traction and is expected to become a significant driver of growth for the industry. This forecast is based on user behavior, including most online gamblers’ preference to save time by wagering from the comfort of their homes instead of visiting brick and mortar casinos.
The online gambling market has shown over time that it is responsive to innovation and willing to adopt new technologies to enhance the user experience, which indicates that the industry will keep deploying innovative solutions to make itself attractive to gambling enthusiasts.
As a case in point, Unibet has successfully transformed itself into a mobile-first online gambling platform with a highly responsive and intuitive mobile app and live streaming tv that gives users the chance to play their favorite game, bet and watch over 40.000 sporting events all year round.
Chatbots, AI and machine learning are expected to impact the online gaming industry while Virtual Reality (VR) is gradually making its way into online casinos.
Finally, one can expect that in 2020 and going forward for online gambling to continue on its positive trend as many more U.S. states legalize online gambling. As internet penetration and infrastructure continue to improve and a growing awareness of online betting in South-East Asia, we expect more players to adopt playing online instead of visiting land-based casinos.