Wednesday May 23, 2012 : BRIGHT FUTURE FOR MOBILE AND SOCIAL GAMBLING
Latest Juniper study predicts revenues at $100 billion by 2017
The respected business information firm Juniper Research says that a surge in social gambling activity, along with the introduction of intrastate casino and lottery services in the US, will help push global annual wagers via mobile handsets and tablets to $100 billion by 2017, up from just under $20 billion last year.
In its latest study ‘Mobile Gambling: Casinos, Lotteries & Betting 2012-2017,’ Juniper highlights the dramatic increase in wagering that has occurred in UK-facing sportsbooks over the past year, with several already seeing around 20 percent of online wager occurring via mobile devices.
However, the report noted that while sports betting currently accounted for the largest share of mobile gambling, it would be overhauled by social internet casino gaming within five years.
According to report author Dr Windsor Holden, “Social gaming companies such as Zynga are seeking to move from play-for-fun casino games into real money gambling, while pureplay mobile casinos including Probability plc have begun to integrate with the Facebook mobile platform. In this way, consumers will be able to use their social networks to register for casino games, substantially increasing both the reach and engagement of such services.”
The Juniper report observes that the US remote gambling market has effectively been reopened following the 2011 decision by the US Department of Justice that the Wire Act applies only sporting betting.
In the wake of this verdict, a number of US states have either enacted legalization specifically permitting such services or – as in the case of Nevada – have begun a licensing procedure.
Other key findings from the report include:
* While mobile is currently viewed primarily as a retentive tool to increase brand value, the increasing number of mobile-only customers means it will gradually become an acquisitive channel.
* The increasing deployment of mobile wallets should offer a viable alternative to credit cards as a payment mechanism for mGamblers.