The number of people playing online games has grown from a tiny market to a billion-dollar industry projected to exceed 74 billion by 2023. According to this report published in ResearchAndMarkets.com, the few changes in the law that have been implemented recently have allowed players more freedom. Both online casinos and land based casinos have benefited from freer regulation; however, there are many factors contributing to the rise in online gambling.
Market dynamics for online gambling
Internet apps have made it easier for consumers to access cool online platforms that help promote the demand in the gambling market. The largest vendors are constantly investing in online technology to create some of the most realistic games for players. AR and VR technology have also been instrumental in developing gaming features such as live gaming and overlays that give players a more realistic and engaging experience.
There is a growing number of online casinos across the globe, thanks to a growing demand by a new gambling market that is characterized by individuals who feel more comfortable playing from home rather than visiting a casino. This natural evolution will result in major investments in technology to create more lasting impressions among players.
Key vendor analysis
The U.S. online gambling market is only a small fraction of a bigger global market that involves large vendors who have had years to refine their unique value and are well-placed to compete with big American casinos. Some Parts of Western Europe have very high demand for online gambling; however, markets such as India and the U.S. are only in the nascent stage as far as developing their platforms.
Casinos in the states are already expanding to new markets within the boarders, but this is partly influenced by legislation, and obviously, vendors prefer to operate from states with fewer restrictions. The main elements when setting up successful online casinos seems to be the platform type, offerings, and premises. Technology has contributed immensely in the sharp increase in products and services, and this is expected to boost revenues in the entire online gambling market.
Current market dynamics
At the moment, we have a number of growth enablers that have contributed to this huge market:
- Increasing number of casinos worldwide
- The gamification of online gambling
- Large investments in online strategy
The obvious market restraints for most of the country are:
- Legal issues
- Ethical concerns
Gambling is highly addictive, and has led to financial ruin for many people, which makes it a sensitive issue in the home. A rise in online gambling is expected to have a downside, but vendors are counting on their ability to get people hooked to the games.
The rate at which technologies such as augmented reality and virtual reality are being pursued means that gaming industries will have the ability to create very compelling experiences for players. Naturally, this leads to higher demand from consumers, and higher betting on e-sports. The popularity of digital currency also creates more possibilities for gambling with real money.
Casino advertising has also contributed to the increase in the number of people doing online gambling. While it’s true that TV advertising has been slowing down in some markets, it still holds some value and has been influential in promoting gambling to some extent. Simple membership leads to an increase in membership; and of course for the millions who are only slightly curious about it and want to give it a try, someone is bound to enjoy gambling based solely on the experience provided online.
Conclusion
Improvements in network connections across the developing world means that more people are going to be popping into these online gambling platforms to see what the fuss is all about; and this is good news for the industry in general. But for the U.S., the legal aspect and a poor perception of gambling have for a long time held back the entire industry. Many of the people who gamble online are likely to check into a gambling site many times in one day – something they would have been unable to do in a real casino.
The casino industry is closely affected by increases of decreases in per capita income and other economic factors such as dual-income households which supports the rise in spending particularly with regard to ‘innovative variants’ such as online gambling. Mobile apps also make it easier to gamble, and they can target younger audiences with enhanced visuals, VR, and other interesting technologies.
