IGaming industry expected to generate 29,3 billion in revenue in 2022
In the past decades, online casinos and other betting activities have become one of the Europeans’ favorite entertainment activities. The increased consumption of activities related to gambling can be explained in part due to technological advancements in our everyday life. Other factors catalyzing this increase include the banalisation of powerful devices, faster connectivity, and the flexibility of the banking institutions that have gone digital.
Today, many European countries have chosen to adopt a less restrictive approach. Opting for the implementation of new amendments and laws rather than prohibiting all betting activities. As long as the casinos hold valid licenses and ensure to implement all minors and players protection measures, they can operate under the supervision of the local gambling authorities.
Industry experts are predicting a gradual increase in revenue for the gambling industry in 2022, estimated to reach up to €29,3 Billion. An increase in revenue expected to have a positive impact on tax revenues within the European Union. The exponential growth recorded in the iGaming industry is rather unique and has no equal in other sectors of the world economy.
Is a 30% increase achievable in less than 5 years possible? (from 2018 to 2022)
According to official numbers reported by the site iGamingBussiness.com, European players alone have generated €22,2 Billion in revenue for 2018. The bulk of the revenue is essentially coming from sports betting with 42.5%, online casinos with 32.4% induced by new technologies such as Pay n Play, lottery with 12.6% followed by the rest of the betting activities such as poker and Bingo which cover 5% each or less.
Consistent with a recent forecast, this number is expected to significantly increase by 2022. With an average growth rate of 30%, the gambling industry will see its revenue reach €29,3 Billion in the next 2 years.
On the yearly scale, a breakdown published by the European Gaming and Betting Association (EGBA) predicts a 13.6% increase in 2020 reaching €25,7 Billion in revenue, followed by €27,4 Billion in 2021, and then finally €29,3 Billion in 2022.
Unexpected factors threatening to change the picture.
While looking at the above forecast, it is important to bear in mind that the above predictions and numbers have been calculated before the current economic situation in March 2020. The iGaming industry, as well as many other sectors of the world economy, are anticipating a negative impact on the revenue in the coming months.