Sports betting has never been as big as today and depending on your region you will be able to make your bets on sports in land based settings and online platforms. Digitalisation backed up by technological developments have contributed to online bookmakers being able to offer an enjoyable and safe betting experience to their customers.
The global sports betting market is responsible for a value of U$ 83.65 million in 2022 and is expected to keep on growing 10.3% until 2030. This makes the global sports betting market one of the most interesting industries when it comes to the numbers. In this article, we’ll give you an in-depth analysis of the global sports betting market and what has driven its success.
Main Drivers
The growth of the global sports betting market is mainly driven by the overall enhancement of the online infrastructure and the more flexible regulatory landscape of the gambling industry in many regions around the world. In addition, the widespread availability of sports events such as the World Cup Football, the Champions League, and the Olympic Games has attracted new users and positively influenced the demand for betting products. The integration of Artificial Intelligence and blockchain technologies will contribute to the prediction algorithms in software and boost the growth of the global sports betting market in the next decade. A further boost will depend on the developments of disposable income.
Technology is one of the most important drivers for today’s success of sports betting as an entertainment activity with advanced encryption protocols, optimised payment infrastructure, and the latest identity verification systems, making it possible that personal and financial data of registered customers is kept safe. Also, regulatory bodies and licensing authorities have contributed to the safety of the industry by coming up with responsible play policies, tools for age verification, and other measures to keep problem gambling as low as possible. This has made it possible to offer a regulated environment for sports betting, building trust, and confidence amongst players. With mobile optimised sites available globally, players can make their wagers anywhere and anytime, as long as they have access to the internet and credits.
Increasing Legalisation
The relaxation of governments around the world towards betting has made it possible to regulate betting activities across the globe. For many governments, legalising sports betting is a way to offer consumer protection from illicit websites, but it is also considered a lucrative opportunity that adds to the treasury department through gambling taxes. In most countries in the European Union, gambling is now legal, with more and more countries/regions in North and South America opting for the legalisation of sports betting. The United States, Canada, and LatAm are expected to contribute to the global growth of sports betting. Online casinos sites have yet not been legalised in many states in the US, but when this happens, this will lead to another boost of the iGaming market.
Regional Contributions
Still, Europe accounts for the largest market share for sports betting of over 35% in 2022. The region is expected to expand at nearly 10% until the year 2030. In most European countries, governments have a liberal approach towards gambling with some nations having legalised betting a long time ago. In the United Kingdom, sports betting was legalised in 1960 and is now home to one of most developed laws that allow legal sports betting. Stricter rules for advertisements have been announced though in the UK. The online sports betting segment has shown sizable growth across Europe owing to retail betting activities, reaching a market size of over US $ 40 billion until the year of 2030.
Asia is also likely to show growth at a percentage of 11% until 2030. The most significant factor contributing to the sports betting market development in Asia is the increasing percentage of the population getting access to different sports betting activities on the internet. Also, several countries in the region have started to legalise the gambling industry by either offering it to local citizens or opening the market for overseas players.
Related: Navigating The Sports Betting Landscape: Strategies For Success
eSports
Interestingly, eSports have highly contributed to the industry’s growth. This particular segment is expected to show a growth of 12% and stay one of the most dominant drivers. The growth of this category can also be attributed to the availability of mobile phones, live streaming, and increasing internet infrastructure worldwide. With multiplayer games and major eSports events organised in many countries around the world, eSports have grown to an important industry. The eSports betting segment currently has the highest growth rate of all categories and is set at a 14% growth rate until 2030. eSports will most likely have a major significant contribution in regions where the activity has not developed as much as in leading countries. eSports is particularly popular in Asia with Europe as a solid number two.
Technological Developments
Today, 60% of the population in the world enjoys internet access. The most important companies in the sports betting markets focus on their online offer rather than on offline products. This has led to operators developing high-end websites and coming up with a wide range of bonuses in order to get to a competitive edge in the market. Online gambling companies have been focusing on integrating technologies such as APIs to enhance functionalities and come up with a simplified user interface.
In addition, the main competitors on the market have been working together on product enhancements and the joint creation of new revenue streams. With the introduction of AI and machine learning algorithms, betting companies are better able to thoroughly analyse vast amounts of data as well as player stats and present a convincing base for players to use for their own activities. These also come up with more accurate odds and predictions as well as tailor-made bonuses, promotions, and other deals. Today’s world is data driven and this in particular makes a vast contribution to the game experience of players, giving them all the tools and data to make carefully based decisions.
Smartphones and mobile technology have of course also played a role in consumers getting access to sports betting products. Both mobile apps and responsive websites have made it easier than ever for enthusiasts to place bets anywhere and at any time. Sport book lobbies and other supporting pages such as the banking page have all been adapted to the growing group of mobile users. Faster internet connections and larger data packs have made it possible for players to have a smooth experience, enjoy the very best graphics and make it possible to make real-money wins.
Conclusion
In the ever evolving landscape of global sports betting, the industry has shown to be a lucrative and fun activity combining both real money gains and entertainment. Online sports betting has been a major driver for the industry, relying, or getting the most out of the power of the internet. Developments in terms of regulation and the introduction of advanced AI and other technologies in betting software has made it easier for bookmakers and other gambling websites to present prediction algorithms, helping the industry to target players, offering them high-end and smooth real-time platforms for betting.
The industry has grown in recent years, thanks to online betting in particular and an increasing number of regulatory bodies legalising sports betting. Amongst the different segments available, eSports have shown to be highly sought after, offering new opportunities for the betting industry. Online operators have been more than willing to include eSports in their lobby and have looked out for technological developments to be able to do so. This has even led to joint developments with stakeholders such as payment providers making it possible to streamline their solutions to offer players an A to Z solution.
