According to a recent study, the global online gambling market grew at a CAGR of 25.5% between 2012 and 2018, and it is expected to reach USD 600.7 billion by 2030. The report provides qualitative and quantitative analysis of the online gambling industry, focusing on the demand drivers and issues that the industry faces now. Regardless of the study data, we can say for sure that the number of brand new online casinos is on the rise as more and more people come to play casino games.
What’s Happening Now?
The online gambling industry is on the rise. So much so that we could end up looking back on 2011 and 2018 as the last time when the online industry made its mark in the global market. The rise of gambling over the years has not been so dramatic as to see the market grow this fast. Over the last few years, we have seen exponential growth in online gambling, and we are only looking at the past 3 years to see the current situation. However, the biggest growth in online gambling is still to come. It’s evident that the industry continues to grow, and so do the numbers.
According to the Newzoo Global Gaming Market 2021, the global gambling market grew by nearly 4% last year alone. The growth is not limited to just one country or region, as North America and Western Europe are also set to lead the charge. It has also contributed to the increased exposure and awareness of online gambling that’s spreading to all types of communities, people, and demographics. The global gambling market is expected to increase from $465.76 billion in 2020 to $516.03 billion in 2021 at a compound annual growth rate (CAGR) of 10.8%, according to the Research and Markets data.
The online gambling industry is rapidly evolving into something far beyond what we all expected it to be only a few years ago. In fact, much of what we once thought about online gambling has already proven to be wrong. The online gambling market has seen its fair share of ups and downs, with many players and businesses going through both. And this time round, the industry is seeing some new things that it has never seen before. As is the case with most new technologies, these changes in the online gambling market will also give rise to new challenges.
There has been a lot of interest in the gambling industry using the power of AI and machine learning to create better games and more innovative features that are driven by the consumer. For example, by collecting data on user behavior, casinos can better optimize game promotions to get more users to return. Casino players have a lot of fun with games and casino features. However, in the past few years, the gambling industry has turned its attention toward more traditional methods like the use of random number generators (RNG) and other solutions to help create the experience a gambler is accustomed to.
Gamification is becoming more prevalent in the casino industry. The technology gives gamblers a feel that they are part of the game and can dive deep into it to the fullest. While it is great to have a realistic environment to help gamblers to win money, it is also necessary to have a setting to help gamblers to learn new skills and have a great time and fun. This is actually where gamification comes into play. The solution allows gamblers to explore casino games from the inside and get the maximum out of their gambling.
Blockchain has the potential to revolutionize the way we handle transactions across all sectors of business. And it could, one day, impact our online gambling experience. You might be familiar with the technology as it’s widely used in the gambling industry. A smart contract, or “smart” payment, is what happens when money moves from one person to another on the blockchain. “In theory, any money transaction should be conducted in a much more frictionless way, but it doesn’t currently work like that. Smart contracts and blockchain technology are changing that,” says Anderson.
“Smart contracts are basically computer programs that are set up and run on a blockchain. It’s basically what happens when you make a bitcoin transaction. When a blockchain transaction goes through, all the parties involved know that all the steps in the process were done in a verified way.”
Because the blockchain is a record of every transaction, it can provide proof of authenticity and validity to all users involved in the process. According to Anderson, the blockchain could also help to establish a better method of auditing transactions and verifying the results. The potential for online gambling is particularly attractive. Because it’s all about trust, some of the issues around gambling fraud could be addressed using the blockchain.
Virtual Reality (VR)
Virtual reality has made a big impact on the technology and entertainment industry in recent years, with products ranging from the likes of the Oculus Rift to Google’s recently announced Daydream View. As VR technology matures, so will the ways in which it is used. This could include the use of VR technology to create more immersive experiences for online gambling.
“VR is now being used to provide more immersive games. For example, a VR game developed for the Oculus Rift uses 360-degree views of the environment to deliver a more authentic and exciting experience to the player,” says Anderson.
“But the technology is still very immature, particularly in the consumer market. While it has the potential to become a great marketing tool, consumers are currently reluctant to invest the money in the hardware.”
Gambling is going digital. But that doesn’t mean that the digital age will lead to the destruction of traditional casino gambling. In fact, some argue that digital betting has the potential to improve the customer experience, and the industry and help gambling operators thrive in an increasingly crowded online betting market. While this seems like a positive take on the future of online gambling, the technology behind these services is evolving at a pace that can be both exhilarating and terrifying. But there is nothing for you to be concerned or worried about. Modern technological solutions are expected to bring your gambling experience to a whole new level.