One of leading consulting companies, H2 Gambling, has recently made a report on the betting industry. The report was entitled “Opportunities for the developer of online games on the regulated market of internet betting with real money.” Of course, the most important point was the volume of internet betting market, and, thus, to provide some new opportunities for earning potential for different developers of internet betting.
Despite the fact that the purpose referred to above is paramount, yet the actual figures for solvency, or more exactly on the profitability of gambling on the Internet around the world is much more important for the understanding of the financial status of internet betting at the moment.
Let us look at the figures provided by this consulting company. The industry of internet betting with real money already generates, without deduction of costs, up to $30 billion at the global level. It does not include the lottery and online poker. The largest markets are the United Kingdom and Europe – they hold up to 56% of the entire industry. But Australia has also got a nice potential in the field of online gambling thanks to australian pokies online, which are well-known not only in Australia but also around the globe.
Since it is not clear what is going on in the market of betting in the US now, while legalization is not over, the consulting company has tried to predict the potential of online gambling of the US market. If it all goes according to current expectations, after the launch of online gambling for money, the United States are to earn a little more than $8 billion in this business until 2017, which is about 30% of the world market of betting. And of course, there is expected a gradual increase in the market and gain up to the world’s number one position.
In addition, the consulting company has evaluated the possible pace of convergence of games for real money with social casino applications in the coming years. In 2013, the figure was $32 billion, while in 2016 the profitability of the online casinos that have a direct connection with the ones in social networks, reached the expected $40 billion. Social networking is still not used to the full in the betting industry. Therefore, even novices in developing gambling for social networks may outstrip existing casinos thanks to monetizing games on the social network.
The report says that the developers of online games with real money earn about 7-15% of the total profits of their games. What it is still between 30 and 40 times more at this time than developers of games for social networking are able to monetize, until the game for real money in social networks is prohibited.
