Gaming

Online gambling in 2024: what trends should the industry expect?

According to Statista, in 2020 the global online gambling market volume was USD 66.7 billion. According to forecasts, the market will reach a value of more than 92.9 billion USD in 2023. This is a good reason to look into the trends that go along with this development.

Many opinions are currently circulating regarding trends; we can therefore ask ourselves the following question: what is the current state of affairs and what are the really realistic trends? To answer this question, we recently held a webinar with two gambling industry experts: Philippe Joos, Head of Product at Napoleon Gaming & Casino, and Dave Pilgrim, Senior Product Manager at Sky Betting & Gaming.

In order to maintain and even grow their market share, online casinos and betting sites should keep an eye on these trends in 2024:

1. Cryptocurrencies

Cryptocurrencies, such as bitcoin, Ethereum, and Dogecoin, have long since ceased to be a subject reserved for specialists. They have the potential to be complementary to traditional currencies, or even, in some areas, replace them. However, when using it for their online offer, the companies concerned must pay attention to several elements.

An essential promise of cryptocurrencies is anonymity: it is impossible, or at least very difficult, to source a transaction carried out by this means of payment. It is therefore an ideal model for users who place great importance on anonymity in the context of their activities. This may be a big step for data protection, but a step in the wrong direction for online gambling.

In Germany, under the State treaty on gaming of chance, operators have an obligation to know the identity of their customers in order, in particular, to be able to intervene in the event of signs of addiction. These “Know your Customer” controls serve not only to protect users but also to prevent corruption in gambling.

Moreover, even if cryptocurrencies are becoming more and more successful, they have not yet really imposed themselves on the general public. Thus, online casinos and betting sites do not – yet – have an interest in integrating this means of payment into their application. Once they become more widespread, operators can then consider using cryptocurrencies in their application and find a way around the anonymity that comes with them.

2. Virtual reality and augmented reality

Here, too, one can see a strong trend in favor of new technologies. If ten years ago, users were content to play games on their laptops, their expectations of gambling applications have greatly increased. 3D graphics games and the use of one’s own avatar are just one example of what modern apps offer users.

Facebook/Meta’s announcement to create the Metaverse, in particular, has given impetus to this area and the immersive aspect of gaming will be favored. Some online games of chance have already adapted to the virtual reality trend: PokerStars Sport, for example, already offers a VR product. Gesture control, 3D avatars, and immediate reaction from other players bring the digital poker experience even closer to that experienced around a real table.

But even the trend toward VR and AR has its limits: the hardware needed to play, such as headsets and other peripherals, remains relatively expensive, which creates a very high barrier to entry. Ultimately, the goal is to bring online poker gaming to as many users as possible, without forcing them to purchase expensive equipment.

3. Esports betting

Online video gaming betting has been a game-changer for bookmakers, delivering a new data-driven customer experience, accurate betting, and more opportunities to bet in-game. Tom Warburton has already discussed, on our blog, the other advantages of this mode of betting.

However, experts Philippe Joos and Dave Pilgrim are skeptical that esports betting is a trend for 2022. During the pandemic, betting on online gaming such as FIFA has grown, while other genres, like DOTA 2, are clearly not seeing growing interest. Both came to the conclusion that betting on online games was only a substitute for betting on real sports during a time when these could not take place.

The forecasts having announced growth of bets on esports are therefore erroneous. According to a study conducted by Joos’ company, Napoleon Gaming & Casino, bettors place little trust in e-sports because the games are played on a computer and therefore seem easier to manipulate than in traditional sports. , although scandals related to “real” sport are commonplace. A lack of technical understanding of the technology could be the cause.

4. Connected personal objects

Connected watches are becoming more and more popular, whether for tracking physical fitness or for receiving messages directly on the wrist. They are also increasingly efficient. It’s no wonder, then, that these new devices have piqued the interest of the gaming industry. Operators such as Playtech already offer slot apps for Apple Watches.

The benefits for operators are obvious. A connected watch is even closer to the body, and therefore to the unconscious of users, than a smartphone; thus, an urge to play a small game can be satisfied more quickly. In addition, connected personal objects currently have a more compact design than telephones. On a small screen, players see only the information needed for the gaming and are therefore not distracted by a large number of buttons.

Nevertheless, gambling applications on connected personal objects still remain a niche, because the best online casinos and betting sites are rather created for computers or smartphones. Besides watchOS and WearOS, there is still a multitude of proprietary operating systems that share the market. And even from a single manufacturer, the models differ a lot; some have a round screen, others a square screen, or a hybrid mechanical and digital screen.

5. Build community

Talking to your friends about the bets you have made and telling anecdotes about it is a real pleasure. You can therefore use this need for communication and build a community in your own virtual betting office. There are already examples:

• The online betting site Sky Betting has a ‘Request a Bet’ feature, whereby customers join together to create a bet and participate in a prize pool. Interest is however low on the part of users.
• Napoleon Gaming was recently purchased by the Superbet group, which has an excellent community product. Here, users can follow their friends’ bets, challenge them, leave comments, and more.
• A Betbull company product allows people (who do not know each other) to publicly display bets so that other people can bet on them. Pilgrim calls this model “betting with the herd”.

Although there are already a few models, betting communities are not successful in all countries. While such communities are particularly popular in Joos’ native Belgium, they are almost unknown in Pilgrim’s, England.

To operators of online betting sites who would like to launch a new feature in a new market, the two experts recommend starting by conducting a local study, among native speakers. It will thus be possible to know the concrete wishes of users in this territory. In this webinar, you can see how Applause has helped German gambling company Whow Gaming to do just that.

6. Micro bets

Making micro-bet consists of betting, not on the result of a sports meeting, but on certain short events which can occur during this meeting. Operators such as the American betting giant DraftKings launch “Micro Events” during a match, in which spectators can bet on their outcome. For example, during a basketball gaming, you can bet on a player and his baskets: “Will the next basket bring two or three points?” or “How many points in total will the player score?” “. It’s an AI that decides when a “micro-event” starts, based on the team’s rules and stats.

The investment is high for online betting operators, as new technologies like AI and machine learning have to be implemented here. It would therefore be good for them to look into these technologies before making a decision.

7. Improved design

A trend that all operators of online casinos and betting sites should take to heart is the growing demand from users for app design. We have already written a blog post discussing the key elements of a good online gambling application. Here are some examples:

• Do not just follow legal developments, but anticipate them well
• Create a modular technical stack in order to be able to activate or deactivate features as needed
• Make access to gaming offers as easy as possible for new users
• Allow users to filter betting offers and hide unattractive bets

According to Joos and Pilgrim, in order to differentiate its offer from that of many competitors, one must observe the legal requirements and implement them in its application. In addition, the localization of an international casino or betting offer must go beyond pure translation. It is crucial to understand the functioning of the local market as well as the future reception of the offer.

8. A safer gaming, known as “Safer Gambling”

As a result of new legal guidelines, such as the state gambling treaty which has just entered into force in Germany, more and more online casinos and betting sites focus on safer play. And this has its advantages: according to Joos, customers are more likely to use offers for which they are sure of the security of their data and that of their money. We can thus formulate this trend for 2024: sticking to what is strictly necessary in terms of security will not be enough.

Operators should, on the contrary, be aware of their responsibility and go further than the legal requirements: pop-up windows warning users after a certain playing time or narrower individual payment limits than those prescribed by the legislation can increase the reputation of the offer.

In any case, no one would want the application of the online casino games, or similar, for which he or she works to put others in danger.

9. Gaming offers from major entertainment companies

One trend that will most likely take hold over the next year is the gambling offerings of major entertainment companies like Disney, Netflix, and Amazon. At Disney, for example, people are already considering entering the gambling market and Netflix is ​​studying the options for offering video games that go hand in hand with its film offering. Amazon wants to extend its range of series and films to live football streaming; associated betting opportunities may also follow.

Operators of online casinos and betting sites should keep an eye on these trends. Thus, they will be able to adapt their offers when the time comes.

10. Betting in the United States

Could 2024 be the year online gambling really takes hold in the United States? More and more American states are legalizing betting and thus opening up the market to operators.

Until then, fantasy gaming had great potential in the United States. They have allowed Americans to play in a way that is not really that of gaming of chance: it is a paid game, thanks to which you can earn money.

These are customers with high conversion potential, who have already shown themselves ready and ready to pay to play – like in poker, where you place your money in a pot that the winner will win.