Online gaming continues to grow in Europe

Online gambling in Europe generated 220,000 million euros in 2018, 11% more than in 2017. The USA market , in sixth position, represents 4.7% of the European share, a percentage that contrasts significantly with the 34.2% of the United Kingdom. What do we Europeans play the most and what does the future hold for the online modality in this new stage?

Mapa político de Europa.

Online gaming continues to grow within the European Union and already reports gross revenues of 220,000 million euros . What future do you predict for the sector in this decade with new challenges?©piviso/pixabay

Forecasts predict a promising future for the sector

Online gaming continues its expansion within the European Community and the European Economic Area: This has been announced by the European Betting and Gaming Association (EGBA) in itslast report referring to the year 2018.The European market accounts for 49.2% of global revenues from online gaming worldwide.

Gross revenue from the online modality generated a total of 220,000 million euros in 2018, with a market share of 23.2%. This represents anincrease of 11% over the previous year. Building on the growth rate seen in recent years, the report forecasts revenues by 2022 to reach €293 billion. On the other hand, net income, the report points out, reached 54,100 million euros. However, there is still a long way to go: offline gaming continues to account for the largest share, 76.8%, with revenues exceeding 735,000 million euros in the same year.

According to the report,sports betting and casino games are positioned as the most popular modes among players in Europe with odds of 42, 5% and 32.4%, respectively. Far behind are others such as the lottery (12.6%), poker (5%) or bingo (4.3%). Recently incorporated games in the world of iGaming such as eSports would fall within the remaining 3.2%.

In total,316,000 million bets were registered in the 28 member states during 2018. Sports betting accounted for a disbursement of 23,600 million euros, which which represents about 44% of the total generated by online gaming. Thanks to current technology, betting live on sporting events is the order of the day: they make up 63% of the income generated in this modality.

It is also evident that the web adaptation work being done by operators and providers is bearing fruit in adapting to a new reality. In 201843% of users used their mobile devices to play and bet online. 2021 is expected to mark a turning point in this trend: 52% will use the mobile for this purpose compared to 48%.

The USA market, with a 4.7% share, occupies a modest sixth place, close to countries such as Germany (11.1%), France (8.8%), Italy (8, 1%) and Sweden (5.2%). The UK market share makes clear thedeep-rooted gambling tradition in the country: 34.2%, a percentage that exceeds the markets of Germany, France , Italy and Sweden together, as well as the rest of the European countries combined without counting USA, Finland (4.1%) and Denmark (3.6%).

This is the online player profile in USA

According to theDGOJ report on online player in USA there were 1,476,385 active players in 2018, (81,436 more than in 2017), mostly men (83.25%).The players between 26 and 35 years old make up 34.08%, closely followed by the segments of 18-25 years old (29.17%) and 36-45 (21.66%). However, the average annual expenditure is higher in those between 36-45 years old (€697) and 46-55 years old (€569).

The gaming segment preferred by USA users issports betting (47.92%) and 16.55% combine these withcasino games (blackjack, slots, roulette, live and baccarat). As for the popularity of poker, it stands at 8.03%.

In case a regulation similar to that ofthe ban on cards in the United Kingdom, something that several USA civil society groups have already put on the table, a large percentage of players would have to look for an alternative payment method . And it is that70.93% used bank cards to deposit funds, behind electronic wallets (18.27%) and prepaid cards (8.65 %). For withdrawals, the distribution is somewhat more balanced: 44.40% by cards, 28.22% by transfer and 25% by ewallet.

Despite political uncertainty and apossible national regulation to limit advertising in the sector, the quarterly reports of the DGOJ for 2019 show an increase of net income from online gambling in USAfrom 229 million euros in 2013 to 699 million in 2018, a trend that, we predict, will continue along the same path.|| |77

Dos mapas de Europa con el estado jurídico del juego online en cada país en 2009 y 2019 respectivamente.

La situación jurídica del juego online ha visto un avance positivo en la gran mayoría de los países europeos. ¿Veremos pronto una legislación común europea que proteja a los intereses de los usuarios de forma equitativa? ©EGBA

European legislation for online gambling: yes or no?

The current legal map of online gambling in Europe looks very different from what it did 10 years:this economic activity has been regulated in all countries (with the exception of Slovenia), with only two states having a monopoly on the activity and three countries in the process legislative (Ireland, Slovakia and the Netherlands).

The EGBA proposesto integrate the online gaming sector within the Digital Single Market with a view to the European Union's commitment to strengthen it within its work by 2020. According to studies by the organization, Denmark is the only member state that has fully implemented the European Union's recommendations on consumer protection and responsible advertising.

The association maintains that the degree of user protection is not equitable within the European Union, since it depends on the member state in which they reside. This is due to thedisparity in national legislation regarding online gaming. Thus, for example, only 14 of these have excluded player registrations and only 13 require operators to use the +18 symbols in their advertisements.

“EGBA welcomes the commitment of the European Commission to make the single market work for the online consumer. More than 16.5 million Europeans gamble online but their rights are not protected by any European Union regulation. It is time to transfer the European Union's approach to the online gaming sector into the 21st century. The Commission should take action on the matter.”Maarten Haijer, Secretary General of the EGBA

Is it coming? a decade of changes for the sector at the legislative level?

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