Technavio, a research & advisory company, has published its report citing that the global betting market is estimated to grow to more than $150.5 billion over a period of five years. This begins in 2022 and ends in 2027. The growth will be majorly facilitated by the rising number of mobile application platforms and accelerated penetration of mobile devices, especially in low-income regions.
APAC has the maximum growth prediction, with the rate standing at 39% of the total global market. The growth momentum will be at a CAGR of 11.03%.
North America, mostly the US, follows APAC in the growth of the gambling market. The US does have regulations in place helping individual states to set up the market and govern them. There is a side, nonetheless, against legitimizing the gambling market. Keeping them on edge is the fact that the tax revenue is used to set up education facilities and help support responsible gambling activities.
Technavio has credited the estimated growth in the US to websites and applications over the Internet. As a matter of fact, it has encouraged vendors or operators to move their business into the digital sphere.
For instance, Lotto.com shifted its business to the Internet in 2021 by launching a platform in New Jersey. Before that, BetAmerica set up an online platform in 2020 for interested gamblers to bet on sports, specifically in Pennsylvania.
Technavio estimates that the growth in the desktop segment will be significant. Platforms are improving their websites for an enhanced experience. The gambling market is best experienced on the desktop because the tools and offerings are optimized accordingly. Not that the mobile platform is going to gain any less traction, but the fact remains that the desktop experience is much better.
Preference shifts to mobile to avail of the on-the-go functionality. Mobile application platforms are also driven by impulse behavior which is otherwise not often possible in the desktop experience.
However, having said that there is a chance that players will still move away from the desktop version of the gambling platform to its mobile application platform. This is evident by the steps taken by the vendors to direct their focus on mobile devices. They are expected to drive growth despite desktop platforms remaining in fashion.
A factor that is posing a challenge to the growth estimates is the security concern surrounding a user’s data. It brings along the element of credibility, which goes missing once the issue spreads like fire. Players begin leaving the platform. It is not always that they return for a few months. The issue has already caused trouble in discouraging players from joining a new platform any time soon.
A detailed report by Technavio can be downloaded from the official website to better review the numbers over a period of five years for different platforms – desktop and mobile – and different regions.