The online casino market is experiencing fast growth. A December 2020 study on online casino gaming by Brandessence Market Research and Consulting Private Limited pegged the market at $45,837.26 million in 2019, a figure that is expected to grow to $77,420.56 million in 2026.
Guest author Fabio Duarte gives us more information about online casino gaming, how the market is expected to grow and what factors will contribute to that growth.
The biggest factors responsible for the rapid growth of the online casino market are increasing smartphone use, availability of cost-effective mobile betting apps, and increasing Internet penetration. The Internet Innovation Alliance points out in a report that 1.5 billion smartphones were purchased in 2016 and estimates that the smartphone penetration rate in the US will be 72.7% by 2021.
Developments in Technology
The global online gambling market will continue to grow because of developments in technology, an increase in the number of software providers, and easily available electronic gaming devices.
If you take a look at the UK gaming market, you will find that the majority of players prefer to play casino games on their smartphones and tablets. Online slots continue to be very popular with UK players who like to play while on the go.
Another factor responsible for the accelerated growth of the online gambling industry is the Covid-19 pandemic, which forced people to stay indoors and practise social distancing. People started demanding newer ways to amuse themselves and many got interested in casino gaming and online video games. eSports became very popular among sports enthusiasts who could no longer watch live sports events.
Favourable Online Gambling Laws
In 2018, the US Supreme Court struck down the Professional and Amateur Sports Protection Act, as a result of 21 US states including Pennsylvania, Iowa, and Colorado took positive steps towards legalizing sports betting. This means that US residents can now place sports bets legally at online sports betting services licensed and regulated at home.
Four US states have already approved online casinos during the last 10 years. New Jersey’s online gambling revenue is now $225 million per year and the state holds the biggest share of the US online gaming market. Delaware has so far generated $3 million from its online gambling sites.
Pennsylvania, which permitted online casino games in 2019 has already generated $33.9 million from its online casino industry and has the fastest-growing casino gaming market in the US. As for West Virginia, its online casinos generated more than $53 million in October 2020.
Another reason for the fast growth of the online gaming industry is the easy accessibility of online casino games. Apps like Telegram, Facebook, Viber, and Whatsapp, among others, have made it easier for consumers to access online casino games. One of the biggest advantages of these apps is that you can load them even on a slow Internet connection.
For example, many players prefer Telegram because of its progressive features. The messaging app has a bot that allows users to easily access casinos. Telegram serves as an intermediary, transferring signals between the online casino and its players.
Also, Telegram is popular for features such as availability, anonymity, zero advertising, and security. The messaging app has thus successfully connected two distinct worlds – casino gaming and mobile messaging.
Virtual Reality (VR) and Augmented Reality (AR)
Virtual Reality (VR) technology makes players feel as if they are really in a fictional world. It puts users in a three-dimensional environment and enables them to interact with the other objects in it.
On the other hand, Augmented Reality (AR) technology partially uses VR elements to fit three-dimensional objects into the user’s real environment. You need controllers and VR headsets to enjoy VR and AR environments.
Online casinos have successfully implemented VR and AR technologies to give players an immersive gaming environment. These technologies enable you to visit a land casino without having to leave home and are all set to revolutionize the world of online gambling.
We already have a few online casinos that offer VR rooms, but we may soon have fully VR or AR online casinos, a factor that will further accelerate online casino growth.
Bitcoin use and the increasing use of digital currencies including Bitcoin, Bitcoin Cash, Dogecoin, Litecoin, Ethereum, and others in online casinos have made things easier for players residing in grey jurisdictions.
Digital currencies enable players to quickly, securely, and anonymously fund their gaming accounts and withdraw winnings. Thanks to blockchain technology, casinos can allow players to gamble anonymously, something that will make them more popular than ever.
The online casino market will continue to experience exponential growth during the next five years due to the above factors.