TMR Report: Though the iGaming Market is Set to Grow, Barriers RemainPublished January 28, 2017 by Lee R
Mobile use dominates market adaptation, while some major geographical regions remain frontiers.
We all are aware that online gambling is expanding, but some recent research on the Worldwide Online Gambling and Betting Market spells out how and how much.
A report released last Tuesday predicts that with mergers and acquisitions as the primary driver, the market is set to expand up to 10.8 percent by 2024.
Consolidated Future Growth
Industry think tank Transparency Market Research TMR estimated in the report that the global iGaming market will reach US$96.89 billion by 2024 as a result of market consolidation brought on by the M and As.
Current Market Size
For 2016, the industry figure was determined to be US$42.63 billion.
Barriers to Player Entry
The firm implied that the market will have to diversify to remain open, as the “nature of the (current) market leaves very little scope for service differentiation which is currently restricting the entry for new players.”
Barriers to Operator Entry
In addition to attracting new players, TMR also expressed reservations about the current market’s ability to attract new operators for efficient and ultimately equitable expansion:
“...the policies and regulations surrounding online gambling and betting are also highly stringent in several regions, leaving little scope of growth for new entrants.”
The Mobile Trend
TMR confirmed the increasingly self-evident trend of online gambling and betting companies leaning towards smartphone gaming in designing user experience or adapting engagement as gamers continue to shift toward mobile play.
Stand-alone Mobile Gaming
TMR even went so far as to recommend “creating standalone gambling and betting portals for mobile users,” which would increase revenue by accelerating access speed acting as an increased convenience “from users that like to play or bet using their smartphone on the go, rather than having to access websites on PCs or kiosks.”
Other Growth Impacts
Other major forces impacting iGaming growth according to TMR include the widespread incorporation of VR and VR devices (good); and the “heavy weight” of regulatory pressure in North America, The Middle East, and Asia Pacific (bad).
The frowning of Muslim dominated nations on gambling will continue to restrict the Middle East for the most part; however, TMR predicts a lessening of the restrictions and policy towards online gambling in the US as “demand grow(s) and present(s) better tax return options to the states.”
In Light of Findings
The options that emerge in the US stand out as the most intriguing info to be revealed going forward.