The Future of the Biggest Gambling Markets in the World
The gambling scenes across the globe have been growing nonstop over the past few years. By 2023, experts are foretelling that gambling activity will reach over $525 billion.
The impressive growth of this industry is all down to the general public’s increasing interest in gambling and casinos, as we have seen the immense popularity of iGaming sites, online casinos and esports, along with all the cutting-edge technology equipped. Online casinos specifically have been growing in popularity due to how convenient they are, especially after the COVID-19 pandemic hit and everyone has been forced to stay home for the most part.
At the moment, aside from Macau, North America and Europe are two of the biggest gambling markets in the world. They generate much more revenue than other markets globally, as well as catering to large audiences across their respective continents. As such, the North American market will see a near 15% CAGR from the years 2020 up until 2025.
The European Market
Europe in itself has some pretty impressive markets. The biggest ones in the continent are Finland, the UK, Italy and Spain as online poker and sports betting dominate the scene in the local gambling markets. The EU made up approximately 49% of the world’s gambling market back in 2018. It is a highly competitive marketspace, and this growth will not be stopping anytime soon.
A lot of US states are starting to legalise iGaming and sports betting, hence providing opportunities for European operators and suppliers to expand into the United States and make good use of the market. It is expected that the European iGaming market will be growing by about 7% on a yearly basis. This means that by 2025, it can account for more than 33% of the international gambling revenue.
Taking a deep-dive on one of the largest markets within Europe itself, Finland is accounts for a considerable amount of this revenue. The Finnish population spends about 2 billion euros on casino games every year. For a population of just above 5 million, this is a pretty impressive amount. The country’s people also tend to gravitate towards online casino a lot more than land-based ones.
Online gambling and iGaming has seen quite some success across Finland, as the country has operators licenced in the United Kingdom and Malta. Finland’s government has a state-owned monopoly over the gaming industry. Three betting firms were merged together to create Veikkaus Oy, and this was done to make sure that all profits from gambling are provided fairly to everyone 53% of these profits are given to the Ministry of Education, with 43% going to the Ministry of Social Affairs and Health, and the rest of the 4% given to the Ministry of Agriculture.
And despite the fact that the country does not have the most popular gambling market across Europe, Finland is still a massive contributor to the EU market, which in turn pushes other countries across Europe to do the same.
The North American Market
- United States of America:
The North American market is quite successful, however it is also divided. iGaming in the market provides many options for global and regional players, with the biggest corporations in the market now focusing on acquiring other firms and merging with them.
The reasons behind all this is to establish a larger standing and reinforce presence in the market. North American casinos are now seeking to provide more and more options to players, with mergers and takeovers looking like the best ways to move forward and succeed in the market.
The most popular type of gambling in this market is sports betting, as is the case for most markets around the world. The most popular events are the likes of the FIFA World Cup and the European Championships. Football and horse racing are also the most in-demand options.
What has pushed this industry forward is the increasing amount of sports leagues that have been gaining popularity. Players in the market have been focusing on integration with local sportsbooks, as well as establishing a larger presence and shifting focus onto fantasy sports as well. This also presents some hope for the Canadian gambling scene, which we will touch on below.
The North American market is mostly made up of Canada and the USA. In Canada, the Canadian Gaming Commission is the regulatory body that supervises the Canadian gambling scene. Despite this, iGaming is generally unregulated in the country, still. Each individual province is responsible of imposing its own laws.
The Canadian Gaming Association has mentioned that the country generates approximately CAD 1 billion from the unregulated iGaming industry. This revenue is scattered between sports betting, poker and casino. The CGA also states that more than 85% of Canadian adults have practiced one or more types of gambling.