How Much Is the Online Casino Industry Worth?

Jan 22

How Much Is the Online Casino Industry Worth?

The first online casino emerged in 1994, and ever since, the popularity of this type of casinos has immensely increased. As they become more reputable and endow players with secure transactions, more and more countries choose to legalize online gambling, further fueling the growth of online casinos.

Albeit not as popular as their land-based counterpart, the ever-expanding offer of online casinos might lead to them becoming a go-to option for every player out there, and it is only a matter of time before they overtake the land-based casinos in terms of generated revenue. Before that happens, however, let’s focus on the present and see how much revenue they generate and how it has increased over the years.

Online Casinos and Their Revenue

Nowadays, there are plenty of ways to gamble online. Two most popular ones include sports betting and online casinos. In 2017, the United Kingdom’s gambling industry generated an estimated revenue of £4.5 billion a year. Most of the generated revenue is attributed to video slots, £1.6 billion to be precise, while table games account for only £377 million of the total revenue generated by online casinos in the UK.

On a larger scale, and during the same year, the global gambling market was estimated at $47.5 billion by the end of 2017. In 2011, the industry was estimated at around $30 billion, and it has steadily increased over time. From 2016 to 2017, the revenue generated by online casinos increased by 20%. Now, one may think that 20% is not insanely high growth, but 20% of almost $48 billion is a lot of money. In more recent years, the number only continued to grow, and 2018 has seen revenue of $51.2 billion while the estimated income for 2019 and 2020 stands at $55.19 and $59.79 billion respectively.

Why Are They So Popular?

It is true that the atmosphere cannot compare with that of a land-based casino, but as technology improves, so does the player’s experience. Virtual reality that is being introduced to online casinos and players can even introduce playing with actual people as dealers.

However, the biggest reason for the popularity of online casinos is their accessibility. Instead of having to visit a casino, players can play their favourite game anytime and anywhere. With the advancement in technology, you can play casino games even on your mobile phone, so you are not bound by either a location or working hours of a casino.