European gambling revenue down by a quarter year-on-year

The report forecasts annual gross gambling revenue from the EU-27 plus the UK of €75.9bn.
The report forecasts annual gross gambling revenue from the EU-27 plus the UK of €75.9bn.

Revenue across the continent as a whole is set to close the year down by 23 per cent due to the impact of the Covid-19 pandemic.

Europe.- Total European gambling revenue for 2020 is set to come in 23 per cent down against 2019 according to new data from the European Gaming and Betting Association.

The figures, compiled with H2 Gambling Capital, show the scale of the impact of the Covid-19 pandemic on the industry across the continent.

The report estimates that gross gaming revenue for the EU-27 plus the UK will close the year at €75.9bn, down from €98.6bn in 2019. 

However, online gambling revenue is predicted to close the year up by 7 per cent compared to 2019. Online revenue is forecast to reach €26.3bn, up from €24.5bn last year.

The overall increase in online gaming revenue comes despite the major impact on online sports betting caused by the cancellation of sporting events in Q2.

The Land-based sector fared less well. Revenue is expected to drop 33 per cent to €49.6bn, down from €74.1bn GGR in 2019, due to the impact of Covid-19 lockdown and curfews on casinos, betting shops and gaming halls across Europe.

The report predicts the growth of online gambling in Europe to continue at the same rate over the next four years and to account for 33.6 per cent of all gambling revenue in Europe by 2025.

Mobile play is expected to represent 45.6 per cent of online gross gaming revenue in 2020, to overtake desktop by 2022 and to account for 58.2 per cent of online revenue by 2025.

Maarten Haijer, secretary general of EGBA, said: “Like many other sectors, Europe’s gambling sector has taken a hit from Covid-19 this year but the growth trend of online continues to be strong.

“There is also still lots of room for growth in markets like France, Germany, Italy, and Spain, where the online penetration of the total gambling market is still relatively low compared to other European countries.”

The EGBA has published detailed information from its members – bet365, Betsson Group, Entain, Kindred Group, and William Hill – including data about customers, market value, games, investment in sports, licensing and regulatory compliance.

Together, its members have 16 million online customers and had online GGR of €5.6bn. 

The body said operators carried out 1.2 million direct interventions with customers to promote safer gambling, up by 50% from 2019, and that 63 per cent of their customers used at least one safer gambling tool.

The operators invested €340m in European sports via sponsorships (€107m) and streaming rights (€233m), an increase of 56 per cent from 2019.

The EGBA has voiced support for the European Commission’s proposal for pan-European Digital Services Act as it continues to press for standardised safeguards for gaming customers across the European Union.

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coronavirus finance results