iGB Intelligence reports iGB Market Monitor December 2018 - Page 12

Part 1: Spain – the state gives with one hand… the bookmaker-friendly fourth quarter of 2017 — more than 50% year-on-year monthly rises in through the trend line is at least similar to casino. GGY to below 40%, while the average figure for the past 13 months is more than 45%. Though still A similar trend of sports betting volatility disturbing an otherwise general move upwards can impressive, it does suggest a moderation in year- be seen from the quarterly GGY progression from on-year rises is taking place. the first quarter of 2016 onwards. The same pattern is displayed when the year- Active players and player losses on-year percentage change for the past six What will provide comfort to the regulators is quarters is looked at. Here it can be seen that the the degree to which online gambling appears to trend line is rising, from a circa 25% rise in the first be a relatively mass-market pastime. The active quarter of 2017 to the 35% mark by the second figures per month provide a picture of steadily quarter of this year. rising participation rates all the way up to the high achieved in June of 883,498, while the average The monthly breakdown figure for monthly actives for the past 12 months The same pattern of variable sports betting stands at 728,498. GGY figures and a steady growth of casino is The actives number gives us a chance to assess also evident in the month-by-month figures. The average player losses per month, as shown in most obvious outlier, though, comes with the last Chart 9. month of the survey, June, when GGY soared by As can be seen, the figures confirm the extent more than 190% year-on-year, a reflection of the of the bookmaker-friendly results in December World Cup taking place this year compared with of last year, when average player losses for the no summer tournament last year. month hit more than €93, compared with the The volatility is displayed to a greater extent by the year-on-year comparison seen in. average for the past 13 months of €72. Still the relative stability of these figures, The average year-on-year percentage rise over the past 13 months for sports betting is just over 37%. Meanwhile, casino’s monthly progression has alongside the growing number of actives per month, would suggest market sustainability. The figures also confirm Spain as one of the made steadier and more predictable progress, most progressive markets in Europe, even if total with June’s GGY of €20.2m coming close to the revenues remain relatively low. A quick regulated all-time record achieved in March this year, when market comparison (see Table 4) shows that the monthly total came to €20.6m. Spain’s per capita regulated market gambling The year-on-year comparison for the months spend figure is about €12, compared with €14 in in question is interesting. It shows a gradual France, where there is a much more restrictive decrease in the percentage year-on-year rise, regime in place. not surprising, perhaps, as the product reaches towards market maturity (see Chart 8 opposite). As can be seen, the trend line has shifted from Growth from here is likely, though whether that comes in the third quarter is debatable, given the strength of the second quarter. The average Table 4: European regulated market comparisons Country 2017 market GGR (€m) Pop. (m) Per capita online gambling spend (€) 2016 per capita GDP ($) Portugal 123 10.3 11.89 23,117 Denmark 448 5.73 78.18 61,582 Spain 561 46.6 12.03 32,405 France 962 66.9 14.38 42,568 Source: DGOJ iGaming Business Market Monitor • December 2018 9