Intense Competition Spurs US IGaming Market to Break the $6bn Mark
Despite the prevalence of gambling across the United States, from the riverboat casinos in the south to the intense lights of Las Vegas, Nevada, online casino gaming is very new to the market. Given how the states operate, the industry has had to wait while each sets up a regulator and tax rates before any platform can jump into the market.
The states were much more pliable to the arrival of sports betting in stores and online. It took off like a rocket, and many expected for online casino gaming to follow suit after an understandable delay to craft a robust regulatory framework. While it hasn’t been adopted by as many states as sports betting, casino games are rapidly on the rise.
AGA Reports Surge for IGaming
Each quarter, the American Gaming Association releases their figures for traditional casino, sports betting, and iGaming (online casino gaming), with their Q3 2024 figures showing extensive growth for sports betting and iGaming. For sports betting, it was a 42.4 percent year-on-year climb to $3.24 billion in Q3 2024.
As for iGaming, another surge was recorded. The gross gambling revenue came in at 30.3 percent year-on-year for Q3 2024, coming in at $2.08 billion. For January to September, iGaming’s GGR clocks in a 27.2 percent upswing to hit $6.03 billion. Compared to sports betting’s $9.96 billion GGR over the period, iGaming is a fair bit back.
Yet, iGaming is far less prevalent across the United States than sports betting. Adding to this is that the sports betting bracket covers all formats of the activity, while iGaming is strictly covering online casino gaming. Traditional casinos amassed a massive $37.20 billion GGR over this window, which marks a 0.4 percent uptick.
Catalysts for Explosive Growth
So, how is the iGaming scene managing to gain so much traction in a comparatively smaller corner of the total market? Much of it comes down to how swiftly the regulated markets have become competitive. Major brands from the US and overseas have earned licenses and piled in with their very best offerings.
While including slots, live casino games, and RNG tables that have proven to be hits in more seasoned iGaming markets, in such a competitive space, it’s the welcome bonuses that become the subject of the most hard-fought battles. It’s these that work to win over would-be players, so they have to be competitive.
In response to this, many have turned away from the storied deposit match and free spins offers to giving what are essentially free bonuses to the players. A no-deposit bonus doesn’t tie the player in with real money and only requires them to make an account before they can explore the platform and experience it for themselves.
With these bonuses, there’s a chance to try out some of the most highly-regarded games going, working to advertise the entertainment value of iGaming better than any TV or banner ad ever could. Starburst, Rise of the Pharaohs, Age of the Gods, Book of Dead, and Irish Riches can all be played for free with a no-deposit bonus.
The success of this relatively young US iGaming industry is greatly down to how willingly competitive platforms have been upon breaking into the markets. As they continue to compete, players will get even better experiences and states will get to reap more taxes from the continued upticks in play.