The online gambling and betting market has witnessed rapid growth over the past few years owing to the availability of numerous sports and casino games on desktop and mobile platforms. Online gambling involves betting on casino games such as poker, slots, blackjack and roulette through online and mobile applications. Gambling online provides convenience to players as they can access various games from any remote location and play at their own convenience. The market is further driven by the increasing adoption of smartphones and availability of advanced mobile gambling applications.
The global Online Gambling and Betting Market is estimated to be valued at US$ 70.96 Bn in 2023 and is expected to exhibit a CAGR of 13% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Opportunity:
Mobile devices have become an integral part of people’s daily lives, with users increasingly spending more time on their mobile applications. This has prompted gambling operators to develop advanced mobile applications optimized for various mobile platforms. The availability of feature-rich mobile applications offering both sports and casino games is attracting more users to indulge in m-gambling. Furthermore, applications are being integrated with engaging features like push notifications, game statistics and leaderboards to enhance the gaming experience. The growth of mobile gambling is expected to outpace desktop gambling over the forecast period, thus providing significant growth prospects for market players.
Porter’s Analysis
Threat of new entrants: The online gambling and betting market poses moderate threat of new entrants. Requirement of high initial capital investment and technical expertise make market entry difficult for new players. However, limited regulation in some regions provides opportunities.
Bargaining power of buyers: Bargaining power of buyers is high in this market. Availability of numerous operators provides buyers options to choose from. Brand loyalty is low as buyers frequently try different platforms.
Bargaining power of suppliers: Major suppliers are game designers, software developers and technology providers. Their bargaining power is moderate as large operators can develop games in-house or have tie-ups with multiple suppliers.
Threat of new substitutes: Threat of new substitutes is moderate. While online casino experience can be substituted with live casinos, there are no direct substitutes for online betting currently.
Competitive rivalry: Market is highly competitive with dominant global players and regional operators competing on basis of game variety, promotions, licenses and brand positioning.
SWOT Analysis
Strength: Wide game variety, global presence and strategic acquisitions by major players. Regulations allow operations in multiple countries.
Weakness: Regulatory risks in certain regions. Vulnerability to hacking and security issues. Dependence on few sport/casino games for majority of revenues.
Opportunity: Growth in digital payments and online entertainment. Potential of esports and virtual betting. Emerging markets welcoming regulated gambling.
Threats: Stiff taxes imposed by governments. Restrictions in some countries on religious/ethical grounds. Competition from unregulated operators.
Key Takeaways
The Global Online Gambling And Betting Market Size is expected to witness high growth over the forecast period supported by growing digitalization, rising disposable incomes and proliferation of mobile devices across regions. North America is the largest online gambling and betting market currently owing to legalization across states like New Jersey, Pennsylvania and relaxed regulations. Europe is the second largest and fastest growing market led by countries like UK and Germany with widespread acceptability and regulated markets.
Regional analysis: Asia Pacific is projected to showcase significant growth opportunities attributable to increasing internet penetration, adoption of smartphones and economic development of countries like China and India. While online gambling remains illegal in major APAC markets currently, relaxations in regulations are expected which will bolster future prospects.
Key players: Key players operating in the online gambling and betting market are MaritzCX Research LLC (Inmoment LLC), Adobe Inc., Medallia Inc., Oracle Corporation, Clarabridge, SAP SE, Sitecore, IBM Corporation, Zendesk, Avaya Inc., Open Text Corporation, Verint Systems Inc., and Tech Mahindra. Major operators focus on strategic mergers and acquisitions to expand portfolio and geographical footprint in high growth regions.
Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
