Online gambling is one of the most aggressively expanding industries around the world. The reasons are many. Some of them include the mobile boom, the COVID-19-inflicted public safety measures, and mobility restrictions, the ever-advancing quality of gaming products, and many more.
In the past few years, the US has somewhat hesitantly but steadily been moving towards a more liberalized digital wagering segment. Since the 2018 legalization of sports betting, a tremendous market has opened in front of the country’s online gaming operators. What lies ahead seems quite promising, so let us explore in more detail the meaning of this rapid market expansion for both players and operators.
The Most Popular US Online Gambling Formats
Although the online gambling industry in the US still has a long way to go, local players already offer an excellent variety of choices when it comes to digital wagering formats. At present, users can select among top-quality products, such as:
- Slots
- Table games
- Roulette
- Poker
- Craps
- Baccarat
- Blackjack
- Gameshows
- Scratch cards
- Horserace betting
- Sports betting
- Fantasy betting
- And more.
However, you need to consider two things. First, not all states where betting is legal actually allow online gambling as well, and second, some gaming formats might not be present in states where digital wagering is legalized. Therefore, always make sure to learn about the particular legislative frame.
The Numbers behind the Game
Before we continue to the essence of our review, let us first look at the numbers shown by some of the most recent statistics. The value of the online gambling market in 2020 was estimated at approximately $1,978.57 million. Its compound annual growth rate (CAGR) is projected to be around 17.32% in 2021-2026.
It is interesting to note here that – contrary to popular expectation – it is not Las Vegas that accounts for the largest US market share. In fact, the city of New Jersey holds the biggest portion of the country’s online gambling industry. On the other hand, the state of Pennsylvania also appears to be on the fast track to becoming the most rapidly developing digital betting US market. After all, it is the largest state to have legalized online wagering. However, having competition is good, because it raises the quality of the product, thus ultimately benefitting players.
Joining Forces: How Offline and Online Gambling Operators Can Thrive Together
To some, the growing market share of online casinos might raise a few concerns regarding a potential decline in the profitability of land-based operators. However, there is no real need to worry. We have been researching the buyer personas of online and offline players for quite a while now. Thus, we can safely conclude that – while there is indeed a certain crossover between the two groups – online casino players and land-based gambling enthusiasts are two different types of users.
What is more, brick-and-mortar casinos can only benefit from the increase in the number of new digital gamers. The reasons are many, but the potential positive impact is mostly because many casual players would not necessarily visit a land-based operator to gamble. However, being exposed to different kinds of online casino games, they might become interested in trying them at a brick-and-mortar establishment. This will naturally increase the number of land-based casino visitors.
Welcoming the New Type of Casino Player
As the online gambling industry segment is evolving, so is the user profile. US legislation is becoming more and more relaxed, thus increasing the popularity of digital wagering and slowly lifting the social stigma associated with betting.
More and more users of various backgrounds are becoming curious to find out what stands behind the flashy games and are willing to give the new experience a go. A large portion of them are not the typical land-based casino visitors, which makes the emerging buyer persona all the more vibrant and diverse. Thus, marketing and sales teams are forced to come up with new strategies to attract and retain the incoming generations of online players.
Furthermore, games are becoming more accessible thanks to mobile technologies and the Internet. Not long ago, people had to get out of their homes and offices to visit a brick-and-mortar casino. Some even had to travel out of state to be able to play. Nowadays, they do not even have to get up from the couch and can play in all kinds of circumstances. For example, you can spin the reels of your favorite slots while sitting in your dentist’s waiting room or standing in a line at the grocery store.
All of this makes online gambling incredibly convenient and cheap. Therefore, it attracts people from all walks of life who would have otherwise been unable to visit a physical establishment. Some of them include individuals with limited mobility, the elderly, single parents, etc.
Blockchain as a Catalyst
Blockchain has been the thing in recent years, and it is only natural that it is making its way across the iGaming industry at a fast pace. A growing number of online operators are offering cryptocurrency payments as part of their portfolios.
Yet, how is blockchain beneficial to the world of online betting? The reason is simple. This technology allows all wagers to be placed, processed, and stored in entirely transparent records across computer networks. In this manner, all information remains secure and verifiable, creating a high level of trust and safety for all involved parties. Therefore, many experts believe that the future of online gambling in the US and across the world is closely tied to the implementation of blockchain technologies in the industry. Further, some go as far as to predict that blockchain will be the driving force behind potential nation-wide legalization of digital wagering.