Growth of the online gambling market has virtually come to a standstill

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NOS

NOS News•today, 07:41•Changed today, 08:29

• Bas de Vries

  Research Editor

• Bas de Vries

  Research Editor

The initially very rapid growth of the online gambling market is starting to level off. Over the whole of 2023, providers earned almost 1.4 billion euros gross; an increase of 28 percent compared to the previous year. But in the second half of the year, the amount only increased by 1 percent compared to the first six months of 2023.

This is evident from the latest monitoring report from the Gaming Authority (Ksa), the regulator of online gambling, which was legalized 2.5 years ago. According to the Ksa, the Dutch gambling market is now growing less strongly than in comparable countries.

Gambling companies now sponsor TV shows

The regulator does not provide an explanation for the leveling off in the report, but a spokesperson mentions the most likely reason for the partial advertising ban that came into effect on July 1, 2023. Since that date, gambling advertisements on the radio, on television, in magazines and in outdoor areas have been prohibited. The reason was the advertising offensive that has taken place since the legalization of the online gambling market in October 2021. The advertisements led to major irritation in the House of Representatives.

The rules will also be tightened in other areas later this year. For example, there will be a playing limit of 700 euros per provider (350 euros for young people aged 18 to 24) to better protect online gamblers against the risks of addiction and against large losses. If it is up to the House, it will be border even sharper.

Strikingly, the industry’s total advertising spend has not fallen since the ban. According to the Ksa spokesperson, the gambling companies have mainly shifted their released budgets: the gambling companies now sponsor programs on radio and TV more often.

Young people gamble more than older players

It is estimated that in the second half of 2023, more than 725,000 players were active at legal gambling providers, via 1.1 million different accounts. This means that 5 percent of the adult population gambled online during that period. By the way, not all of these people play every month; almost 450,000 Dutch people do. The most popular are the so-called casino games, such as blackjack, roulette and digital fruit machines.

Young adults are still more likely to gamble than older adults: although they make up 9.5 percent of the population, they play with 22 percent of accounts. On the other hand, they lose less money.

Lose an average of 1000 euros every six months

The vast majority of players lose quite a bit of money on this hobby, to be precise, an average of almost 1000 euros per six months. The Gaming Authority says it is still unable to say what the effect of legalization will be on the number of gambling addicts. According to experts, it takes years for players to ask for help.

What is clear is that the number of players who impose a ‘gambling freeze’ of at least six months continues to rise. Who registers in the so-called Cruks-register, cannot play anywhere during that period, not even in a physical casino. More than 66,000 people have currently chosen this option.