There is hardly any industry that has been left unaffected by the strong wave of digital transformation on a global scale. Much of the driving force behind digitalization in various sectors has been providing a better customer experience, and it is safe to say that the gambling industry has been one of the sectors that care most about customer satisfaction.
The constantly increasing acceptance and popularity of online gambling have provided the gambling industry with a great opportunity. According to a recently published report, the global online gambling and betting sector is expected to grow to almost $95 billion by 2024, with a compound annual growth rate (CAGR) of 11% registered.
Considering the fact that only a year ago the US Supreme Court decided to officially liberalize the country’s sports betting sector by eliminating the limits imposed by the Professional and Amateur Sports Protection Act (PASPA), there are expectations that online sports betting will greatly contribute to the online gambling market’s growth and acceptance.
Gambling Operators Utilize Technology Development and New Realities to Get to New Audiences
The rapid digitalization of gambling has intensely affected the industry in its entirety. Before the beginning of the digital age, the gambling sector has been mostly dominated by land-based gaming operations.
Now, online gambling is providing players with the chance to gamble not only fro the comfort of their homes but from literally everywhere. An unprecedented number of gambling operators are going online, enabling mobile applications for their customers. Digitalization could turn out the best decision ever for operators, especially at a time when people spend more time on their phones and computers considering the global coronavirus pandemic situation.
Furthermore, advancements in technology have fuelled a rapid digitalization of literally every industry, including gambling. Some companies have managed to exploit the developments better than others, with the gambling industry being one of the best examples of global digitalization and the use of technology.
Speaking of technology, the latter has come a long way over the last ten years, with many more features available for mobile apps users. It is common for most people to have at least a couple of mobile devices, while device prices and mobile data usage costs marking a decline in the last few years. This new reality has been used by the gambling industry in the best possible way, opening up to new audiences that have been spending more time on their devices no matter if they are at work, at home or on the go.
Online Gambling Market Will Probably Increase Even More in the Years to Come
The Internet and smartphones have caused many changes in literally every industry and it is now very rare to find a business that does not have a digital footprint. The same applies to the gambling industry.
Back in 2012, mobile gambling marked a 75% increase and analysts predicted that the sector will rise by an additional 84% from 2013 to 2015. Currently, reports say that the number of bets placed via mobile devices reaches $100 billion, with more than 160 million people using their mobile devices to place bets on sports events, buy an online lottery ticket or play in a virtual casino.
All of this, combined with some other factors, has made it quite difficult for traditional high-street betting shops to retain their popularity among their customers and attract new customers into their venues. That is why the majority of gambling operators decided to go online and have been incorporating apps and technology into their betting shops and kiosks.
The further reduction in mobile-related costs and the expansion of gambling companies into developing markets are expected to see an increase in the number of people using mobile devices. This, combined with all technological developments, could mean that mobile gambling services are going to expand even more in the years to come, considering the increasing number of smart wearable devices on the market such as watches, bracelets, glasses, etc.
Digitalization of the Gambling Industry Affects Logistics, Too
The gradual digitalization of industries has posed new challenges to other sectors that have been seeing part of their services being diminished. With the massive increase registered in the gambling sector, it is no wonder that logistics have also suffered in the last 20 years.
Why is that so? One of the most obvious differences between land-based and online casinos is the fact online gambling companies do not need special materials or equipment to build the games they offer. Gambling software and apps development still has some logistical requirements but they are nowhere near the ones that are usual for the land-based sector.
Furthermore, many of the largest casinos on a global scale are parts of even larger leisure and entertainment complexes, which feature hotels, entertainment and dining venues, spas, concert halls, congress centres, etc. Such places undoubtedly require vast logistics options. However, the presence of modern casinos online has become bigger and the more digitalized the sector becomes, the fewer logistics is required.
Currently, much of the world’s entertainment industry is already based online, served either through data connection or wi-fi, with the technology becoming more and more crucial for the success of the online casino sector. The Internet and technology have become a major catalyst ensuring the quick evolution of the online gambling sector over the last 20 years. With the reliance on 4G and 5G networks, the opportunities for the gambling and gaming sector will rise even more in the next few years, which according to analysts, will probably make the situation for logistics even more complicated.
All of this could lead to major infrastructural challenges for logistics.