Online Gambling Market in the US 2016-2020
About Online Gambling
Online gambling refers to web-based gambling that includes casino, betting, and lottery games played on computing and mobile devices. Online gambling rules differ from country to country. In the US, the government has placed stringent regulations on online gambling, which varies from state to state. Vendors are also launching gambling apps for mobile devices to reach a larger audience.
Technavio’s analysts forecast the online gambling market in the US to grow at a CAGR of 51.71% during the period 2016-2020.
Covered in this report
The report covers the present scenario and the growth prospects of the online gambling market in the US for 2016-2020. To calculate the market size, the report considers the revenue generated from the legal online casino, betting, and lottery segments in the country.
The market is divided into the following segments based on device:
Technavio Announces the Publication of its Research Report – Online Gambling Market in the US 2016-2020
Technavio recognizes the following companies as the key players in the online gambling market in the US: 888 Holdings, Betfair Casino, Borgata Hotel Casino & Spa, and Dover Downs Gaming & Entertainment.
Other Prominent Vendors in the market are: BetAmerica, Betfair Online Casino, Delaware Park, Draft Kings, Fan duel, Golden Nugget Online Casino, Harrington Gaming online, Pala Casino, Real Gaming, Resorts Online Casino, TVG, twinspires, Watch and Wager, WorldWinner, and WSOP.
Commenting on the report, an analyst from Technavio’s team said: “One of the major trends in the online gambling market in the US is the business tactics adopted by vendors to attract players. Rewards such as loyalty points, discounts, and gift vouchers are no more attractive to the existing players and do not motivate prospective players. It is important that the vendors provide rewards and offers that are more personal and customized, based on the demographic and psychographic profiles of the players.”
According to the report, one of the key drivers for market growth will be popularity of online gambling. Online gambling extends the reach of the gambling games because it is web-based and does not require the physical presence of the players at the venue. The popularity of computing and mobile devices, especially among the younger generation, is the main reason for the extended reach of online gambling in the US. Mobile ads are one of the strongest mediums of advertising, which reaches the untapped group of the population that refrain from going to a casino or a bar where betting is allowed, and influence them to try online gambling. In the US, the average age of an individual visiting a casino is 45 years, whereas an average age of an online gambler is 34 years. The increasing presence of younger populatuion on the online gambling platforms will be one of the significant factors driving the growth of the market during the forecast period.
Further, the report states that the processing of customer payments through financial institutions remains a big challenge for the vendors. Until 2011, the federal government was liberal in targeting online gaming operators approaching patrons in the US. However, the implementation of the Unlawful Internet Gaming Enforcement Act of 2006, prohibits financial institutions and credit card processors from knowingly accepting payments related to a bet or a wager in an online gambling. Moreover, online gaming transactions have become the target of a federal investigation, which the financial institutions want to avoid. Thus, the restrictions on processing credit card transactions have made customer payments difficult from the online gaming accounts of the patrons. The issue can be resolved if the financial institutions and credit card processors reconsider their policies.
888 Holdings, Betfair Casino, Borgata Hotel Casino & Spa, Dover Downs Gaming & Entertainment, BetAmerica, Betfair Online Casino, Delaware Park, Draft Kings, Fan duel, Golden Nugget Online Casino, Harrington Gaming online, Pala Casino, Real Gaming, Resorts Online Casino, TVG, twinspires, Watch and Wager, WorldWinner, WSOP.