New data published by the European Gaming and Betting Association (EGBA) in partnership with H2 Gambling Capital suggests that the gross gaming revenue for the UK and EU-27 countries will experience a 23% decline from €98.6bn in 2019 to €75.9bn in 2020. The study also predicts a 7% increase in Europe’s online gambling revenue, rising from €24.5bn in 2019 to €26.3bn in 2020. This growth is expected despite a significant drop in online revenue during Q2, mainly due to the cancellation of major European sports events. However, the decline in land-based gambling revenue is projected to be substantial at 33%, decreasing from €74.1bn in 2019 to €49.6bn in 2020. This decline is primarily attributed to the closure of land-based establishments.
Looking ahead, the study anticipates the steady growth of Europe’s online gambling market, estimating an annual growth rate of approximately 7%. By 2025, online gambling is expected to account for 33.6% of Europe’s total gambling revenue. Mobile gambling is also projected to play an increasingly significant role, with mobile revenue expected to surpass desktop revenue for the first time in 2020, representing 45.6% of Europe’s online gambling revenue. By 2022, mobile gambling is predicted to reach 50.8% and is projected to hold a 58.2% share in 2025.
“Like many other sectors, Europe’s gambling sector has been negatively impacted by COVID-19; however, the growth trend of online gambling remains robust,” stated Maarten Haijer, secretary general of EGBA. He also highlighted the potential for growth in markets such as France, Germany, Italy, and Spain, where the online penetration of the total gambling market is still relatively low compared to other European countries.
In addition to the data, EGBA has provided detailed information about its member companies – bet365, Betsson Group, Entain, Kindred Group, and William Hill. The information includes customer details, market value, games, investment in sports, licensing, and regulatory compliance. Collectively, these members serve 16 million online customers, with an average customer win/return rate of 94.3%. The report also highlights the commitment of these operators to social responsibility. In the previous year, 37% of customers utilized at least one safer gambling tool, whereas in the current year, this figure has risen to 63%. The operators have also increased their efforts to promote safer gambling through direct interventions with customers, conducting 1.2 million interventions, which is a 50% increase from the previous year. Moreover, the members collectively achieved €5.6bn in online GGR and invested €340m in European sports through sponsorships (€107m) and streaming rights (€233m), marking a 56% increase from the previous year. In terms of regulatory compliance, the members have obtained a total of 145 online gambling licenses across 17 European countries and have closed 1.8m customer accounts due to concerns related to know-your-customer, fraud, anti-money laundering, and betting integrity/match fixing.
“We commend our members’ efforts in support of safer gambling and their significant investments in European sports,” Haijer affirmed.
