iGaming Industry Growth: Key Statistics and Trends

iGaming Industry Growth Statistics

The iGaming market’s growth trajectory highlights its robust expansion:

• Market Value: The global iGaming market was valued at approximately $70 billion in 2022, surging to $85.62 billion by the end of 2023. It is projected to reach $97 billion by 2024 and potentially $125.6 billion by 2027.
• Growth Rate: The compound annual growth rate (CAGR) stood at 18.92% from 2022 to 2023. From 2024 to 2029, the CAGR is expected to stabilize at 6.47%, reflecting steady and sustainable expansion.
• Online Gambling User Base Growth: By 2028, the number of online gambling users is anticipated to hit 243.2 million, climbing to 290.5 million by 2029.
• Revenue Projections: Revenue forecasts suggest the market could surpass $195.12 billion by 2031, fueled by rising consumer interest and innovative platforms.

Key Segment Milestones

Online Casinos

The online casino segment has solidified its position as a critical driver within the iGaming industry. In 2023, the global online casino market was valued at $17.13 billion, and it is projected to grow at an impressive CAGR of 12.4%. By 2030, this market is expected to more than double, reaching $38.66 billion, underscoring its rapid and sustained expansion.

When examined as part of the wider casinos and online gambling market, the figures become even more striking. The total market value is estimated at $296.31 billion in 2024, with projections pointing to a CAGR of 14.1%, potentially reaching a monumental $1,107.22 billion by 2034. These trends illustrate the pivotal role online casinos play in shaping the iGaming landscape.

• North America: The U.S. online gambling market, a significant contributor to the online casino segment, was valued at $12.1 billion in 2023. It is expected to grow to $27 billion by 2032, driven by advancements in regulation and technology.
• Asia Pacific: Predicted to experience the fastest growth, with a CAGR exceeding 13% from 2024 to 2030, fueled by rising internet accessibility and smartphone adoption.
• Europe: A dominant force in the iGaming market, benefiting from well-regulated frameworks in countries like the UK, which continues to set industry standards.

The typical online casino player is around 34 years old, representing a generation comfortable with technology and digital interactions. While male players historically dominated the market, the gender gap is narrowing, as more women engage with online casino platforms, diversifying the player base

Sports Betting

Sports betting remains one of the fastest-growing segments within the iGaming industry. The global sports betting market was valued at $83.65 billion in 2022, and it is projected to grow at a CAGR of 10.3% from 2023 to 2030, reaching an impressive $182.12 billion by 2030.

The online sports betting market, specifically, is gaining significant traction. In 2022, it was worth $36.5 billion and is expected to grow at a remarkable CAGR of 14.2%, reaching $116.7 billion by 2032. This robust growth underscores the sector’s transition to digital platforms and the increasing preference for online betting experiences.

The popularity of online sports betting platforms continues to surge, with 127.8 million users engaging through apps and websites in 2022. This user base is projected to grow to 156.9 million by 2025, reflecting the global shift toward digital and mobile betting solutions.

eSports and Lotteries

The eSports betting market has become a dynamic force within the iGaming industry, showcasing remarkable growth potential. In 2023, the market was valued at $12 billion and is projected to expand at a compound annual growth rate (CAGR) of 13.7% from 2023 to 2028, reaching an estimated $24.19 billion by the end of this period. This impressive trajectory is fueled by the rapid rise of competitive gaming, which has captured the attention of millions of fans worldwide. Increased internet accessibility has also played a pivotal role, enabling more users to participate in eSports betting. The integration of live streaming platforms like Twitch and YouTube Gaming has further enhanced engagement, creating an immersive experience that attracts both casual viewers and dedicated bettors. The eSports audience is predominantly younger, with a strong connection to digital platforms and gaming culture, making it an increasingly appealing demographic for iGaming operators aiming to expand their reach.

The lottery segment, a longstanding staple of gaming, continues to hold a significant position in the online gambling market. The global online lottery market was valued at $7.8 billion in 2022 and is expected to grow at a CAGR of 8.7%, reaching $14.5 billion by 2030. The overall lottery market size was estimated at $120.5 billion in 2024 and is projected to climb to $167.8 billion by 2030, with a CAGR of 5.7%. Growth in this segment is largely driven by the convenience offered by online platforms, which have replaced traditional physical tickets with accessible and user-friendly digital solutions. Increased smartphone penetration and improved internet connectivity have further expanded the market, especially in regions like Asia-Pacific, which accounted for 39.73% of the market’s revenue in 2024. Enhanced security measures, such as advanced encryption and secure payment systems, have bolstered consumer trust in online lotteries.

Drivers of iGaming Growth

Technological Innovations

Technology remains at the forefront of the iGaming sector, driving innovation and improving user experience.

In 2023, artificial intelligence (AI) and machine learning were integrated into 40% of iGaming platforms, allowing operators to offer personalized experiences, predictive analytics for tailored recommendations, and dynamic odds in betting. AI has also improved fraud detection and responsible gambling mechanisms, fostering greater trust among users.

Blockchain technology has significantly impacted the industry, with approximately 60% of Bitcoin transactions in 2023 tied to iGaming activities. Blockchain enhances transparency and security, addressing user concerns about fairness and fraud. Operators are also leveraging blockchain for smart contracts, instant payouts, and decentralized gaming ecosystems, offering players unparalleled trust and convenience.

Mobile iGaming Trends

The dominance of mobile gaming has reshaped the iGaming landscape, contributing 60% of the industry’s total revenue in 2023. Mobile-first platforms offer enhanced accessibility, enabling players to engage in gaming anytime, anywhere. Research shows that mobile platforms boast a 25% higher retention rate than desktop counterparts, attributed to user-friendly interfaces and seamless integration with apps.

Popular gaming apps are designed to support high-speed gaming, live betting, and in-app notifications, keeping players engaged in real time. As smartphone penetration continues to grow globally, particularly in emerging markets like Asia-Pacific and Africa, the mobile gaming segment is expected to see even greater growth.

Regulatory Expansion

The iGaming industry benefits significantly from evolving regulatory landscapes. In 2023, six new countries implemented regulatory frameworks, unlocking over 20 million potential users. Key regions such as Latin America, parts of Asia, and Africa have embraced regulatory reforms, creating opportunities for operators to expand their reach.

Regulations ensure fair play, consumer protection, and transparency, boosting player trust. In established markets like Europe and North America, robust licensing frameworks have set benchmarks for newer entrants. For example, states like New Jersey and Pennsylvania in the U.S. have seen revenue booms following regulatory legalization.

Shifting Perceptions

iGaming is increasingly viewed as a form of entertainment rather than solely gambling. In 2023, 55% of users identified entertainment value as their primary reason for engaging with the sector. Millennials and Gen Z users dominate the player base, preferring gamification features such as missions, achievements, and loyalty rewards.

The social aspect of gaming, coupled with enhanced visuals and immersive experiences, has shifted the perception of iGaming from a niche activity to a mainstream entertainment option.

Future Trends in iGaming

Gamification and Personalization

Gamification continues to revolutionize user engagement, with 35% of operators introducing gamified elements like tiered loyalty programs and interactive challenges in 2023. These features encourage long-term player retention and cater to the competitive spirit of younger audiences. Additionally, AI-driven personalization has allowed platforms to tailor gaming experiences to individual preferences, providing dynamic content and targeted promotions.

Cryptocurrency and Blockchain Evolution

Cryptocurrencies and blockchain technology are shaping the future of iGaming. In 2023, 15% of operators integrated blockchain solutions to enhance transparency and user trust. Decentralized platforms and the introduction of NFT rewards offer innovative ways to attract and retain players, while cryptocurrencies simplify cross-border transactions and reduce operational costs.