The iGaming industry is experiencing remarkable growth. The global online gambling market was valued at around $70 billion in 2022. 

By the end of 2023, it was valued at $85.62 billion, reflecting a compound annual growth rate (CAGR) of 18.92%. 

Future estimates suggest the market could expand to $125.6 billion by 2027. Some projections even indicate it could soar to $583.69 billion by 2030.

Several factors are driving this growth. Increased internet accessibility, with around 64.6% of the global population using the internet, has allowed more people to participate in online gambling, particularly in developing regions. 

Regulatory changes are favoring legalization in various countries, creating a more favorable environment for operators to expand their user base. 

Additionally, technological advancements, such as live dealer games and the integration of AI and blockchain, are enhancing user experiences and attracting more players. 

Finally, cultural perceptions of gambling are shifting, with many viewing it as a form of entertainment, further increasing participation rates.

This guide explores the growth of the iGaming market, examining key factors and industry statistics.

What is the current size of the global iGaming market?

The iGaming vertical’s current projected value is $97 billion for 2024, according to Statista. This market is broad and regulated in several parts of the world, resulting in fast growth at an unbelievable pace.

How fast is the iGaming market growing?

The iGaming market is growing at an impressive rate of 13.29%, with its global value increasing from $85.62 billion in 2023 to a projected $97 billion in 2024.

Here are a couple of figures to show its growth progression:

Source: Statista

One can only expect the iGaming market to keep growing as we witness technological advancement daily, and this is one feature with a strong influence in the iGaming industry.

Which regions dominate the iGaming market?

Unfortunately, iGaming isn't warmly embraced in several parts of the world. Some regions have stricter regulations than others. However, in all these, certain areas are known to dominate the iGaming market, such as:

• Europe
• North America
• Asia Pacific
• Australia and New Zealand
• Central America

The image below illustrates the different regions and market share in the iGaming industry:

Europe 

Studies showed that Europe dominated the iGaming market share by 41% in 2022. Over time, this percentage has increased due to the legalization of online gambling in various European countries.

For example, in the United Kingdom, no laws currently prevent online gambling following the Gambling Act 2005. Instead, the Gambling Commission of Great Britain regulates such activities.

In this region, you also have one of the central iGaming licensing bodies, the Malta Gaming Authority. So, it's no surprise Europe dominates the online gambling industry.

North America

Online gambling is regulated in most parts of North America. Provinces like Ontario in Canada have legalized and regulated the iGaming niche, the same as Mexico.

Here's a breakdown of the iGaming market stats in this region:

• The North American online gambling market size was estimated at $13.08 billion in 2023.
• This market is projected to grow at a CAGR of 12.3% from 2024 to 2030.
• Canada dominates North America with 65% iGaming market share.

Source: Grandviewresearch and Statista

The United States iGaming market, however, is more complex. 

Asia Pacific 

The iGaming market is rapidly dominating the Asia Pacific. Although this region has a different regulatory framework, the growing popularity of eSports has resulted in some changes in recent years. 

For example, China has the largest number of eSports fans globally. In 2021, the country recorded over 169 million eSports enthusiasts. 

Source: WifiTalents

Australia and New Zealand 

In New Zealand, online gambling is pretty much restricted to lotto and racing boards. However, there are no policies against offshore gambling platforms.

A similar situation exists in Australia, where online casinos and poker are illegal. However, residents have access to online sports betting and lottery. Despite these restrictions, Australia and New Zealand have impressive stats in the iGaming niche. 

Here's a breakdown:

• 85% of Australians play games on their mobile devices, so easy access to sportsbooks and lottery tickets.
• The Australian iGaming industry was projected to generate $2.2 billion in revenue in 2023. 
• In New Zealand, the revenue in the online gambling market is projected to reach US$1.25bn in 2024.

Source: Statista

Central America 

Online gambling in Central America has been legal for a while. However, each country has its own exceptions. At the end of 2029, the online gambling market users in Central America are expected to increase 371.8k by 2029 due to online gambling-friendly policies. 

According to statistics:

• Users' penetration in the Central American online gambling market will increase by 2.6% in 2024 compared to the previous year.
• The Central American online gambling market is projected to reach $189.90m in 2024.
• The online sports betting market has a projected market volume of $98.19m by the end of 2024.

Besides the above-listed regions, other key jurisdictions dominating the global iGaming market include South America and Africa.

What are the key segments within the iGaming market?

The key segments of the iGaming markets are online casinos, sports betting, eSports, sweepstakes casinos, lotteries, and bingo.  

Let's cover each of the segments available to players:

Online Casinos

Online casinos provide virtual versions of traditional casino games in convenient, easy-to-play mobile models. The online casino industry is one of the most significant segments in the iGaming market. 

Here are some key statistics concerning online casinos growth and market size:

• In April 2024: The global market size of online casinos peaked at $305.8 billion
• Roughly two million workers are employed in around five thousand online casino establishments worldwide. 
• In 2029, the number of online casino users is expected to amount to $139.7 million.

Source: Statista

Sports Betting

Sports are undoubtedly the biggest form of entertainment in the world. It only makes sense that fans get to bet on their favorite teams in addition to watching these sports events. The sports industry has several fans, too.

According to research:

• Around 71% of youth between the ages of 18 and 24 are sports fans.
• The same applies to 61% of the population between the ages of 55 and older. 

As a result, sports betting has become one of the leading segments in the online gambling market. 

eSports Betting

ESports is a form of competitive video gaming. Like regular sports, fans follow these teams, watch matches, and place bets. These games are streamed live with millions of viewers worldwide, resulting in a billion-dollar gambling industry.

Esports games consist of a wide range of genres; however, there are two main types which are:

1. The simulation of real-life sports: FIFA, NBA, and MLS
2. Classic esports games: League of Legends, DOTA 2, and CS:GO.

In the past five years, the eSports betting market has experienced annual revenue growth, with China and the United States leading the market.

Lotteries and Bingos

Instead of going to physical outlets, players can conveniently participate in lotteries and play bingo games. The ease which this version offers has resulted in the growth of online lotteries and bingos in the iGaming niche.

Here's a brief stats on online lotteries and bongos in the United Kingdom:

• Between April 2022 to March 2023, the National Lottery ticket sales totaled £8.2 billion.
• This sales records an increase of 1.1% compared to the previous year's sales.

Source: Gambling Commission 

Social Casinos

Social casinos are free-to-play online gaming platforms with casino-style games. These casinos are not technically classified as real-money gambling sites, as virtual currencies are used in place of cash. 

However, social casinos are another segment within the iGaming industry with wide market reach. According to Statista, the global gross revenue of this niche is projected to be at $7.5 billion in 2026.

How does mobile gaming contribute to the market size?

Mobile gaming is the primary driver of the iGaming market's growth. Smart devices offer a global reach that a land-based gambling platform can't achieve. 

From one mobile, you can visit multiple iGaming markets, from online casinos to sportsbooks, without leaving the comfort of your home. 

Here are some key statistics:

• Smartphone user growth: Projected to increase by 1.7 billion (+37.98%) between 2024 and 2029
• Internet accessibility:some text
  • USA: 94.6% of the population
  • UK: 98% of the population
  • Canada: 94% of the population

Source: Statista, Forbes

This implies that all these populations, depending on the region's gambling laws, have easy access to one form of iGaming niche.

What is the market share of major iGaming operators?

Although the global iGaming market is relatively fragmented, certain operators are known to be major stakeholders. As of 2022, these operators comprise about 22.6% of the market share. Here's a list of the top 5 iGaming operators that fall and their market shares:

How does regulation impact market size?

Regulations affect the iGaming market size in two ways. One, these laws could determine market access (which brands operate) or restrict gambling activities entirely. Over the years, there have been more friendly online gambling laws in several parts of the world.

For example, the United States has seen many new markets due to the legalization of online gambling in certain states. Ontario is no different, becoming the first province in Canada to have regulated online gambling. As a result, the iGaming market size in these regions is rapidly growing, unlike years back when online gambling was prohibited.

Overall, regulations are so sensitive that, once implemented wrongly, they can close off opportunities and lead to market losses. However, these policies are mostly executed by regulatory bodies to protect players.

What role does marketing play in the iGaming market?

Creating salable content is an essential standard across all industries, including iGaming. In this niche, marketing serves the following purposes:

• Marketing helps drive revenue and return on investment (ROI) in the iGaming market. Promotions like welcome bonuses, loyalty rewards, and free spins motivate players to fund their gaming accounts, thereby bringing positive growth to the casino's revenue. 
• Marketing also helps keep players engaged through bonuses and deal promotions. With the right marketing tools, new players are converted to regulars on the platform.

• Effective iGaming marketing helps build trust between the brand and users. Players will only feel secure when they have full access to information about a platform. This information is often made available through marketing. 

How do online gambling operators market iGaming offers?

A successful iGaming market strategy relies heavily on multiple channels. Here are some common marketing approaches:

• Social Media Marketing: Gambling operators run organic and paid advertising on Facebook and X (Twitter).

• Partnership with Affiliate Sites: These sites write articles to promote the casino program and bonuses, and in turn, they earn commissions from players who sign up directly on their sites.
• Influencer Partnership: Another way gambling operators market offers is through influencer partnerships. Through these partnerships, you get to see top celebrities and stars affiliated with certain gambling operators.
• Retargeting: Reaching out to existing players or potential customers is another effective marketing strategy that is employed by gambling operators. 

• Email Marketing: This approach directly informs players of new promotions via email. However, such promotional emails can only be sent to players who have previously signed up on the platform.
• Pay-Per-Click Advertising: Most iGaming operators utilize pay-per-click ads to get gambling traffic. These advertisements are often shown on search engine result pages and social media like Facebook.

• Search Engine Optimization (SEO): Most online gambling operators conduct search engine optimization to help them appear on the first page of search engine results. 
• Display Advertising: This is where ad networks like Blockchain-Ads shine best, allowing operators to run ads without regulatory issues.

How to Optimize Your iGaming Campaign with Blockchain-Ads

Blockchain-Ads are an advanced iGaming advertising network that allows casino operators and affiliates to target relevant players. This marketing tool focuses on players in the blockchain sphere based on their crypto activities.

As an operator, Blockchain-Ads allows you to identify and segment audiences based on engagement. This gets better as the ads support advanced audience targeting. 

So, by optimizing the blockchain ads, you can boast increased ROI, as the marketing tool is perfect for both traditional and crypto audience targeting.

Popular brands that have run iGaming campaigns using Blockchain-Ads include:

• Bet365
• Betonline
• Fair Spin

What are the future projections for the iGaming market?

As you can see from our analysis, the iGaming market has been on an upward trend for the past few years. With factors like mobile gaming, ease of online payments, and the introduction of crypto and blockchain technology, the market currently has several growth opportunities. 

According to Statista's prediction, the iGaming market revenue is expected to reach a CAGR of 6.47% between 2024 and 2029. This means that the iGaming market will hit a market volume milestone of US$132.90bn by 2029. 

So, in the upcoming years, the iGaming market is expected to experience continued growth with a wide reach across several parts of the world.