What Happen Now? iGaming Industry
COVID-19 Impact Insights
Numerous players are shifting to online gambling as-a-result of land-based gambling lockdown.
The global online gambling market is expected to grow from $58,960 million in 2019 to $92,860 million in 2023 at a rate of 12.0%.
The growth is mainly due to the COVID-19 outbreak and the lockdown measures to contain it, which made online gambling more accessible to gamblers.
“In terms of Covid-19, a lot of people who would only use retail were forced to try online (in all aspects of their lives) and are not going to return to going to betting shops, casinos or lottery retail outlets with the same frequency” (iGaming Business, 2021).
In the United Kingdom, Google search for ‘online casinos’ has hit an all-time high since the beginning of lockdown. Data collected from the Gambling Commission showed that in March, online virtual sports betting increased by 88 per cent and online poker by 53 per cent compared to the same month in 2019.
Similarly, The US-facing online social poker room Global Poker revealed a 43 per cent increase in the use of online poker sites in America since the nationwide lockdown and social distancing measures took effect.
In Australia, 67 per cent rise in online gambling during the first week of April alone, based on a sample of transactions made by 250,000 Australian consumers, following the recent shutdown of all non-essential services due to coronavirus.
As for the future of gaming in Asia, the Covid crisis has been described as a wake up call for casinos operating in the land-based space so perhaps we will see a convergence of land-based businesses moving to online play. Not all businesses will be able to weather the storm alone so it's likely we'll see more consolidation. And with a huge interest in eSports, maybe we’ll see more Asian operators offering betting eSports products in this market.
The behaviour of children and youth on the use of online media for gambling has increased during homestay amid the Covid-19 pandemic.(An AIESEC survey of more than 1,000 children and youth during the Covid-19 period from March to May 2020)
"The age range of 15-19 watched the most gambling advertisements at 47.4 per cent, while the channel that was viewed the most was Facebook at 76.53 per cent, followed by websites or applications to watch movies, music, playing games at 70.64 per cent and Line 32.50 per cent"
After seeing the online gambling ads, 13.24 per cent of children and youth start gambling. The five most common types of gambling activities were: fish shooting 31.68 per cent because they look different from gambling but have the opportunity to earn money, followed by lottery bets (19.80 per cent), slot games (17.82 per cent), baccarat (15.84 per cent), and sports betting (14.85 per cent).
Reasons Behind The Market Growth
01 High internet penetration and increasing use of mobile phones
among individuals for playing online games from their homes and public places are driving the market.
02 Modern technologies
contribute to the improvement of gambling services, which makes this activity even more attractive and accessible to users.
Virtual Reality and VR Headsets have gained a lot of popularity in recent years and are revolutionary addition to the world of online gambling. With VR, one can actually enter into a virtual casino and play all the games without having to travel.
03 Legalisation and cultural approval
Numerous countries are legalising online gambling since it offers a high rate of employment and helps in revenue generation.
04 Corporate sponsorships & Celebrity endorsements