Exploring the enigma impacting the realm of internet-based gambling

Friday, February 19, 2023
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In France, there has been a notable trend in the gambling industry. Surprisingly, English-speaking players have been playing less, but their betting amounts have increased. This paradox raises questions, particularly given the current circumstances. To understand this phenomenon, we need to examine the advancements in the sports betting and gambling sector. The rest of this article will delve into our analysis and provide explanations for this intriguing shift.

The development and growth of internet-based gambling

In 2014, the proportion of gamblers stood at 57.2%, which experienced a decline to 47.2% in 2019, indicating a significant decrease in market engagement. It is noteworthy, however, that the sports betting industry remains unaffected by this trend. Specifically, the sector witnessed an increase from 6.6% of players in 2014 to 11% in 2019.

"These avid gamers [...] account for a staggering 40% of the market share."

In France, there has been a significant increase in the number of online players. According to the OFDT, this rise is primarily attributed to the growing popularity of online sports betting in recent years. The statistics also reveal that young people are particularly drawn to online gaming. In fact, a study conducted by the OFDT shows that nearly half of online players are under the age of 35. This upward trend in online gaming is concerning as it can lead to issues of addiction and mental health. Additionally, controlling expenses and access to online games is often more challenging, which can result in financial problems. Therefore, it is crucial to raise awareness among the population about the risks associated with online gaming and to promote preventive measures and support for those facing difficulties. The authorities must also strengthen regulations in the online gaming sector to protect vulnerable players. Over the course of 5 years, there has been a doubling of growth in this area.

In fact, the stakes in sports betting have seen a significant increase of 2.8 times, whereas online stakes have multiplied by 4.6. The reason behind this surge can be attributed to the rise in player budget, which has witnessed a substantial growth of 12.5%. On average, individuals are now spending approximately $400 per year, which further contributes to the escalating popularity of online gambling.

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What is the best way to clarify this apparent contradiction?

The attractiveness of online gambling must be acknowledged. Billions of dollars in revenue are generated annually by professional sports. On the other hand, online gaming is experiencing continuous growth. Additionally, the consequences of marketing and communication efforts contribute to enhancing this appeal.

According to the OFDT, when we examine the players closely, we observe a significant increase in the number of individuals with gambling issues over a span of five years. Specifically, the percentage rises from 0.8 to 1.6. It is worth noting that these individuals can be categorized into two groups: those engaging in risky behavior by spending more money than they can afford, and those who exhibit excessive gambling tendencies bordering on addiction.

Over the course of five years, the sector has experienced significant growth, which can be attributed to the rise in excessive gamblers. These individuals, accounting for 6% of all gamblers or approximately 1.37 million people, play a crucial role in driving the market share, responsible for nearly 40% of it. As a result, the market turnover has doubled, providing a solid justification for the sector's clear expansion.

What consequences will the industry face and what measures will the ANJ implement to reduce the number of people affected by addiction? The future of gambling and games of chance, which are currently flourishing in the socio-economic context, is uncertain. The National Gaming Authority is taking steps to prevent addiction and ensure the well-being of its customers. Stay updated to find out more about the actions and impact of the ANJ on the industry.

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