According to The Business Research Company, the global gambling market is expected to reach a value of around $565.4 billion, growing at an annual rate of 5.9% through 2022.
The online gambling industry is growing at an exponential rate due to the emergence of new technologies such as hybrid games, virtual reality (VR), and augmented reality (AR). Casino operators use these technologies to differentiate themselves from their competitors and succeed in this highly competitive industry.
Hybrid Games, Virtual Reality, and Augmented Reality
Casinos are introducing hybrid table games to attract customers and keep them engaged. Hybrid table games are a combination of online and land-based casino games where the ease and fast-paced experience of slot machines is combined with a live dealer on hand.
To attract more customers and enhance service quality, gambling companies are considering whether to adopt the latest gambling techniques such as skill-based casino offerings. Skill-based games are the games in which the skill of the player, rather than chance, is the dominant factor in affecting the outcome of the games. As future generations of gamers will increasingly be tech-savvy and accustomed to a more engaging and immersive gaming experience, gambling companies should install hybrid and skill-based offerings to attract new customers and to differentiate themselves from other companies.
The use of AR and VR technologies in gambling also increases the engagement of gamblers and enhances viewing experiences, which drives the demand for gambling services. The VR gambling market consists of sales of gambling services and related goods through VR-based online channels by entities that operate gambling facilities. Virtual reality (VR) is a technology that uses multi-projected environments to create realistic images, sounds, and other sensations in combination with physical properties that replicate the physical presence of a user in an imaginary environment. VR allows the players to experience a virtual casino, along with other players and machines.
Augmented reality (AR) is a technology that uses either a transparent screen or projection technology to overlay digital information or virtual images in the real world. It turns a physical environment into a digital interface by placing virtual objects in the real world. Most gamblers enjoy placing bets and playing games online, as it is easy and convenient, but they may lose the live experience of casinos. Casinos can use AR technology to improve the casino live gaming experience by combining virtual objects with the real world.
Key Segments of the Gambling Market
The gambling market is segmented by type into casino, lotteries, sports betting, and others. The lotteries segment was the largest segment of the gambling market in 2018 at 46% of the total share. This can be attributed to the high popularity of lotteries globally. The sports betting segment is expected to be the fastest-growing segment going forward, at an annual rate of 7%.
The casino, lotteries, sports betting, and others segments are further segmented by sales channel into offline gambling, online gambling, and VR gambling. Among these, in the casino segment, VR gambling will be the fastest growing to 2022, at an annual rate of more than 21.5%.
Regional Variations in the Gambling Industry
Asia-Pacific is the largest market for gambling, accounting for above 32% of the global total. It was followed by North America, Western Europe, and other regions. Going forward, Asia-Pacific and Africa will be the fastest growing regions in the gambling market, where growth will be at annual rates of nearly 8% each.
The large market size in Asia Pacific is supported by the gambling industry in such geographies as Macau, the only place where Chinese citizens can casino gamble legally, the Philippines, Malaysia, and South Korea. The lotteries market in China also contributes significantly to the size of Asia-Pacific’s gambling market.
This global gambling market research report from The Business Research Company is one of a new series of industry reports. It provides gambling industry analysis, gambling market overview, analysis and forecasts of market size and industry statistics, gambling market growth rates, market trends, market drivers, market restraints, market revenues, and gambling market shares.
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