The Online Gambling Market is Predicted to Exceed $87.75 Billion by 2024
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The Online Gambling Market is Predicted to Exceed $87.75 Billion by 2024

The Online Gambling Market is Predicted to Exceed $87.75 Billion by 2024

GLOBE NEWSWIRE, New York, Feb. 24, 2020 -- Reportlinker.com recently released the report "Online Gambling Market - Growth, Trends and Forecast (2019 – 2024)

The online gambling market is expected to reach $87. 75 billion by 2024. That’s a compound annual growth rate (CAGR) of 8. 77%, between 2019 through 2024, and the pastime of online gambling crosses a wide spectrum of demographics. The fastest-growing sector during the forecast period is online betting.

What’s Driving the Growing Online Gambling Market

 

The innovations of French online gambling pioneer De Rohan Chabot, artificial intelligence, and machine learning have dominated the online gambling market. Likewise, the increasing number of women gambling in online casinos and the convenience of cashless forms of payment--such as credit cards, Payoneer and PayPal--during play are sure to give the online gambling market a boost during the forecast period.

 

Furthermore, online gambling operators are likely to expand the scope of their sport betting options offered by online casinos such as Paddy Power Betfair. This is a logical move after the Supreme Court legalized sports betting in the United States in 2018. That country-wide legalization is sure to further support the market’s growth. However, strict, state-by-state regulation of online gambling is also expected to impede the overall market growth rate. 

 

The online gambling market includes sports betting, slots and casino games, bingo, lottery, poker, and country-level gaming. The online gambling market can be further divided by the type of device, with bettors playing on either mobile or desktop. For example, some casinos even facilitate iPhone gameplay.

Online Betting Leads the Online Gambling Market


The online betting sector is dominated by the sports category, especially when it comes to events, such as the NFL Super Bowl and the FIFA World Cup and European Championships. Online betting is also wildly popular in sports such as greyhound and horse racing.

 

Another big trend is for online sports betting companies to sponsor various major league teams as a part of their marketing strategy and planned expansions.

 

For example, Caesars Entertainment’s sponsorship of the DC United soccer team applied their brand to the team’s jersey, as well as paving the way for Caesar’s sportsbook at Audi Field.

 

The Bwin brand, a trailblazer in online sports betting across Europe, also boosted their global profile with high-profile sponsorships. Bwin signed high-profile deals with the Real Madrid and AC Milan soccer teams. Likewise, during the 2018 World Cup, the GiG (Gaming Innovation Group) launched an innovative and advanced platform for sports betting for that event. In that way, GiG drove the online betting market forward.

 

North America: The Fastest Growing Market

 

Currently, online betting in the United States is mostly restricted to Nevada, Pennsylvania, and New Jersey. Only licensed bookmakers can operate legally, and these three states have commensurate laws in place to regulate online betting.

 

Pennsylvania is the third and largest state by population to legalize and regulate online gambling. The newly passed law in Pennsylvania allows for not only sports betting, but also online casinos, online poker, and more.

 

However, New Jersey remains the biggest market for regulated online gambling in the United States. This is due, in part, to New Jersey’s close proximity to New York City. There are quite a few sportsbooks and online sports betting apps in the state, but these must be based in a retail casino or racetrack.

 

Currently, Mexico has its gambling laws under review. Mexico’s goal is to regulate online gambling, aligning it with the rest of the country’s gambling industry. On the other hand, Canada is mostly an unregulated country when it comes to online gaming. Regulation is always the toughest thing to get right in any market, and the differences between US states and then again from country to country are vast. Nevertheless, it doesn’t seem to be stemming the growth of online gambling per se.

The Ever-Growing Competitive Landscape

 

Online gambling market leaders have focused on mergers and partnerships over the last few years. This is a strategy to increase both their market share and to improve margins.

 

For example, in Europe, BetFair PLC and Paddy Power PLC merged into Paddy Power-Betfair PLC, a new giant within the sector.

 

Likewise, Coral and Ladbrokes merged, forming Ladbrokes-Coral Group PLC. Furthermore, many online gambling companies rely on partnerships with third-party providers, such as Playtech, for software. However, some online gambling companies choose to build their own software platforms. For example, 888poker invested heavily to develop its own software and online gaming technology with the aim of becoming a freestanding platform, not reliant on third-party suppliers. 

 

One thing to note is that the major players in the online gambling market all provide very similar or nearly identical products and services. This inevitably has led to fierce competition, heavily focused on pricing and marketing, rather than differentiating their brands via uniqueness.


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