The interactive betting and gaming sector is set to generate a global gross win of €26.7bn in 2013, an increase of 8,3% on 2012, which compares with 5.8% growth recorded by the land-based gambling sector during the same period, industry figures published H2 Gambling Capital reveal.
The igaming sector is set to account for 8.1% of all global gross gaming revenues generated by the gambling sector in 2013, a figure that is set to reach 11.3% by 2018, H2’s figures showed. That percentage is currently generated mainly by European markets, where interactive gambling has a penetration rate of 13.6% compared with just 4.1% for North America, although that differential between the two blocs is expected to narrow over the next few years as US regulation in particular could be set to deliver growth and new revenues for the sector.
The industry-wide figures also coincide with H2 data showing that Americans continued to spend US$2.6bn on offshore gaming sites in 2012, a figure picked up by the American Gaming Association at this week’s G2E event in Las Vegas to highlight the need for effective regulation of the iGaming sector stateside.
The release of the feature film ‘Runner, Runner’, a fictional account of how a bright maths student falls into the world of online poker complete with tails of super user accounts which will be familiar to many in the sector, coincides with the release of the H2 figures and the call from the AGA.
Geoff Freeman, president and chief executive of the AGA, commented, ‘’Runner, Runner’ is a fictional account of a lawless online poker world ruled by shady and unethical characters that sadly is not far from reality for millions of Americans who simply want to enjoy one of our favorite pastimes in a safe online environment. “Americans account for nearly 10% of the global online gaming marketplace at a time when the business is illegal in all but three American states. It is past time for policymakers to put necessary safeguards in place.”
Returning to the industry figures, H2 said it expected the industry to grow at a compound average growth rate of 9.7% to reach €42.3bn by 2018. Europe, the UK especially, and its regulated or regulating markets are expected to accounted for 48% of the sector’s gross win in the current year, followed by Asia a 27% and North America in third at 16%.
As long there is no prohibitory bolt ons to a Federal bill in the current session North America is expected to “regain its position as the largest interactive region with an expected wave of regulation crossing the region” H2 said.