Poland's government saw a significant drop in gambling contribution during H-Covid.
The New Drops
The sports betting industry contributed a full 10% less at PLN343.4m (£70.7m/€781.m/$92.6m) for 2020's first six months, as a direct result of the severe curtailing of sporting events.
Q2 showed the worst damage, with total gambling and lottery tax contributions down 27% to PLN188.6m.
Leader STS Adapts
Polish sports betting operator association Graj Legalnie describes adaptation through consolidation for market leader STS, whose market share grew some 50%, for a 4% improvement improvement year-on-year on Q2 2019.
Second-placed Fortuna Entertainment saw market share drop some 7% to 25% of industry revenue, while H1's third place market finisher Forbet increased market share by 1% to 7%.
These results were followed by Betclic Everest Group Betclic LV and Betfan, with each accounting for 3% of second quarter revenue; with the remaining 9% was accounted for by E-Toto, Totolotek, Totalbet, Superbet, Ewinner, Pzbuk and Noblebet.
The Covid Factor
Graj Legalnie acknowledged the significant negative factor of Covid on sports betting, with the impact felt across a wide range of betting markets as a result of the sports shutdowns.
The offset in performance was exacerbated in Poland by a 12% turnover tax that Graj Legalnie ultimately diagnosed as “chronic unprofitability” in the country's sports betting sector at this point.
As for the future, the Covid impact is predicted to accelerated the online shift of the Poland sports betting industry, as indicated in early returns of bookmakers who are generating up to 85% of revenue online already.
The Covid impact is especially bitter for Poland, a relatively new market that was looking to turn the corner from a strong 2019 of turnover of PLN6.7 billion ($1.85 billion).
After Promising 2019
That tax revenue contribution topped out at some PLN800 million ($210.9 million), which represented a 28.8% increase over 2018, leaving only a grey market of some 60% to conquer in order to benefit more fully from online gambling.
But instead of gaining an estimated $1 billion from reeling in the grey market, Poland's coffers got hit with Covid.
The future benefits are still out there to be taken, when the shutdowns cease to be a factor or logistical threat to the market.