May 18, 2024
Online Gambling and Betting Market

Online Gambling and Betting Market is Estimated to Witness High Growth Owing to Advancements in Gaming Technology

The global online gambling and betting market is experiencing steady growth due to the rising popularity of online casino, poker, lottery and sports betting. Advancements in gaming technology have transformed the gambling experience, allowing users to place bets remotely through their mobile phones and digital devices. The availability of lucrative jackpots, sports contests and fantasy gaming across various platforms is encouraging participation among millennial and Gen Z users.

Online gambling and betting involves placing wagers on casino games, poker tournaments, lottery drawings or sporting events through internet and mobile applications. Key forms of online betting include casino games such as blackjack, roulette and slot machines, sports betting on football, cricket and basketball matches, online lottery, bingo and poker. The convenience of accessing various betting options from any location and engaging gameplay is driving demand among recreational players. Rising internet and smartphone penetration along with developing payment infrastructure in emerging markets are expanding the customer base of online gambling platforms.

The Global Online Gambling and Betting Market is estimated to be valued at US$ 81.75 Bn in 2024 and is expected to exhibit a CAGR of 23% over the forecast period 2024 to 2031.

Key Takeaways

Key players operating in the online gambling and betting market are Pfizer Inc., Novartis AG, Bayer AG, Sanofi, F. Hoffmann-La Roche Ltd, Eli Lilly and Company, Merck KGaA, GSK plc., AbbVie Inc., Bristol-Myers Squibb Company, Regeneron Pharmaceuticals Inc., AstraZeneca, AbCellera Biologics Inc., Molecular Depot LLC, DAIICHI SANKYO COMPANY, LIMITED., Abbott, Biogen, Thermo Fisher Scientific, Inc., Cell Signaling Technology, Inc, Intas Pharmaceuticals Ltd., Avantor Inc., UCB S.A., Merus N.V., GENEXTGENOMICS.COM, Biogenuix.

Key opportunities in the Online Gambling And Betting Market Growth include growing penetration of high-speed internet and rising adoption of mobile betting apps in developing countries. Operators are launching dedicated apps and integrating advanced features like augmented reality, virtual reality and live streaming to enhance gaming experiences.

Technological advancements such as integration of blockchain, development of hyperscale betting platforms and cryptocurrency payments are fueling growth of the online gambling and betting industry. eSports and virtual betting on games/tournaments is a new avenue attracting younger audiences.

Market drivers

One of the key drivers for the online gambling and betting market is the liberalization of regulations in several countries. Favorable legislation permitting online gambling and sports betting is encouraging operators to expand their services internationally. Growing acceptance of gambling as a source of entertainment rather than an addiction is boosting the industry. Rising digital advertising and celebrity endorsements of betting brands are normalizing online wagering behaviors. Proliferation of high-speed internet access via smartphones is facilitating remote participation in gambling activities from any location.

Current challenges in Online Gambling and Betting Market

The online gambling and betting market faces various challenges like regulation, security and responsible gambling. Different countries have different laws regarding online gambling. Unclear laws in some regions create uncertainty for operators. Stringent regulations in major markets like US also limit growth opportunities.

Security is another major issue as online transactions involve exchange of sensitive financial and personal data. Hackers target operators for financial gains as well as to disrupt business. Maintaining cybersecurity requires heavy investment in technology and processes. Data privacy regulations like GDPR also increase compliance costs.

Responsible gambling is a rising concern area. While the online mode offers convenience and entertainment, it can also increase risks of gambling addiction. Operators need to adopt tools and policies for identifying and assisting at-risk users. They must educate customers on financial and mental health risks of excessive gambling. However, a balanced approach is needed to not undermine the enjoyment factor.

SWOT Analysis

Strength: Easy accessibility from anywhere; offers variety of betting options; personalized promotions attract users
Weakness: Regulations differ across regions; security and privacy risks from online transactions
Opportunity: Growing digitization and cashless payments expand addressable audience; emerging opportunities in esports and virtual/blockchain games betting
Threats: Over-regulation may curb business in some markets; competitive landscape with global operators

Geographical Regions

Europe accounts for the largest share in the online gambling and betting market currently. Countries like UK, Germany, Italy have legalized and well-regulated online gambling industries contributing majorly to the regional revenues. North America is also a significant market led by Canada while US presents strong growth opportunities with individual states legalizing activities.

Asia Pacific is the fastest growing regional market for online gambling driven by rising digitalization and disposable incomes in countries like China, India and Southeast Asia. While regulations differ widely across APAC, growing smartphone and internet penetration is helping expand the regional customer base for both domestic and international operators.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it