Press Releases
New study highlights benefits of liberal sports betting regulation for sports integrity, consumer protection and tax revenues
The International Betting Integrity Association (IBIA) has today launched ‘The Availability of Sports Betting Products: An Economic and Integrity Analysis’ study. The study has been prepared by H2 Gambling Capital, the leading authority regarding market data and intelligence on the gambling industry.
It analyses the comparative impact of restrictive and liberal market regulation of sports betting products on consumer protection, regulatory oversight, taxable revenue, market and sports integrity. It draws on sports betting operator data, IBIA alert data, and H2’s own market data, and was developed in partnership with: Instituto Brasileiro de Jogo Responsável, Canadian Gaming Association, Netherlands Online Gambling Association, and Responsible Wagering Australia.
The study’s central finding is that there is a strong correlation between the wide availability of sports betting products and the proportion of consumers who place bets with onshore regulated sports betting operators (known as the channelling rate), thereby reducing the risk of exposure to sports betting related fraud on unlicenced markets.
It also highlights specific betting markets that have a disproportionate impact on the market and the onshore channelling rate due to their size and popularity. This includes football, which dominates sports betting globally, and tennis, which is particularly strong in Europe. Products like ‘in-play’, ‘side markets’ (e.g. cards and corners) and ‘prop’ betting also have a very significant impact on channelling.
New data challenges the assumption that these markets represent a heightened risk of match-fixing related fraud, while demonstrating that restricting their availability via regulated onshore operators significantly increases the number of consumers using riskier unlicensed offshore operators.
Khalid Ali, CEO IBIA, said: “Whilst politically attractive, this study confirms that bet restrictions are a blunt and counterproductive instrument. They don’t prevent betting, they just drive it into the unregulated market where most of the problems with sports integrity arise. The conclusions are clear: if you want to protect consumers and sports from corrupters, while maximising tax revenues, then allowing a wide range of sports betting products is essential.”
David Henwood, Director at H2, added: “We always fall back on the data. There is much conjecture that one of the main reasons customers use offshore betting sites is because they offer a broader range of product than available onshore. The study findings reinforce that point of view. Limiting the choice of onshore bet types – including live in-play – is basically counter-productive. Instead, markets most successful in limiting offshore play – evidenced by a channelling rate of 90% plus – are the ones that have generally opened their onshore provision to
a broad product choice. There is much that can be learnt herein in terms of best practice regulation.”
The study details the growing global popularity of sports betting. In 2024, global sports betting is forecast to be worth $94bn in gross win, and reach approximately $132bn by 2028, with over 70% ($93bn) online. Just under half (47%) of all online sports bets are forecast to be placed in-play (or live) in 2024, rising to 51% by 2028.
It also compares the success of different regulatory approaches to managing this growing demand. It finds that jurisdictions that allow a wide range of betting products, such as Great Britain (97%), have a much higher onshore consumer channelling rate than countries that restrict access to important betting markets, like Portugal (79%; restricts football and tennis), Australia (75%; prohibits online in-play) and Germany (60%; restricts football, tennis and in-play).
Beyond protecting consumers from match-fixing related fraud, these depressed onshore channelling rates are shown to have significant implications on tax revenue and market oversight. For instance, the study forecasts that:
· Australia would gain an additional $1bn in incremental tax revenues, and Germany an additional $400m, over the next five years if they permitted online in-play betting markets.
· Germany and Portugal are predicted to have a combined loss offshore of around $750m in taxable revenues due to restricted access to the main football betting markets between 2024-28.
· The Netherlands would experience a $118m uplift of tax revenue over the next five years if it liberalised access to football side markets (e.g. cards and corners).
· Portugal would benefit from an extra $122m in tax revenue over the next five years if it permitted availability of ITF tennis betting products to align with Italy and Spain.
The study’s findings are important for policymakers to consider as new jurisdictions – notably in North and South America – consider how best to regulate their online sports betting markets. In Brazil, for example, a regulatory framework with high product availability is expected to have $34bn in onshore sports betting turnover, providing $2.8bn in GGR, by 2028.
The experience of Ontario is also instructive. Having broken away from the Canadian monopoly model and introduced a licensing system in 2022, Ontario’s onshore sports betting channelisation is expected to reach 92% in 2024. In contrast, the rest of Canada combined is forecast to have a rate of around 11% and to lose $2bn in taxable revenues between 2024-28.
CGS Events
The International Gaming Standards Association (IGSA) and CGS Events sign Cooperation Agreement to enrich future conferences
The International Gaming Standards Association (IGSA), one of the leading global authorities on gaming standards, announces a strategic collaboration with CGS Events, a leader in organizing gaming industry events in Latin America.
This cooperation agreement involves IGSA’s active participation in all conferences organized by CGS Events in the future. The collaboration aims to continue offering highly valuable knowledge and the best selection of speakers for C-Level participants. IGSA’s contribution will enrich CGS Events’ agendas by disseminating knowledge about international standards and norms in the global gaming industry, adding value to CGS’s Gaming Insights.
“I am very pleased that IGSA is collaborating with CGS Events and excited to speak at their high-quality conferences in Latin America,” said Mark Pace, President of IGSA. “This cooperation with CGS Events, and IGSA’s participation in these conferences, will allow us to share information about the standards and best practices that IGSA has already developed, and identify areas that could benefit from future standards.” Mr. Pace continued, saying: “I look forward to meeting and conversing with conference attendees from CGS, regulators, operators, and providers in the exciting and dynamic Latin American gambling market. I am convinced that IGSA’s existing standards can add tremendous value to this market, and that there will be many areas where collaboration can truly benefit the Latin American gambling industry, which is at the heart of IGSA’s mission.”
CGS Events is proud to partner with IGSA and looks forward to working together to provide the gaming community in Latin America with top-notch educational and enriching experiences.
Pragmatic Play, a leading content supplier to the iGaming industry, has signed its latest Latin American agreement, this time with leading operator bplay to solidify its position in the rapidly expanding Brazilian market.
The integration of Pragmatic Play’s award-winning products into the operator’s portfolio will allow bplay customers to enjoy a range of Slots, Live Casino and Virtual Sports content, including popular titles such as Gates of Olympus and Blackjack X.
In total, bplay will gain access to more than 300 Slot titles, market leading Virtual Sports titles, and award-winning Live Casino games as it looks to establish itself in the vibrant Brazilian market.
It is the latest deal signed by Pragmatic Play in Latin America, where it continues to grow its commercial presence, aligning with the company’s impressive growth strategy in the region.
Victor Arias, Vice President of Latin American Operations at ARRISE powering Pragmatic Play, said: “Partnering with bplay reinforces Pragmatic Play’s dedication to delivering unparalleled gaming experiences to players in key Latin American markets and highlights the success in growing its commercial footprint in Brazil.”
Leopoldo Saravi, Product Manager at bplay, added: “Partnering with Pragmatic Play marks an important step forward for us as we continue to provide leading entertainment to our players across the Brazilian iGaming landscape.
“Pragmatic Play’s ever-expanding portfolio already resonates highly amongst players on the continent, so adding its titles to our platform will increase our overall offering and helps us meet the evolving needs of our customer base.”
Quick Custom Intelligence (QCI), a pioneer in innovative data solutions, is thrilled to announce a strategic agreement that deepens our partnership with global hospitality and entertainment company Delaware North.
QCI Host – Elevating Data Intelligence for Delaware North and Beyond
The latest addition to the QCI platform, QCI Host, promises to usher in a new era of data-driven excellence for Delaware North’s gaming division. This state-of-the-art module will empower us to harness the full potential of Delaware North’s data, facilitating smarter decision-making, optimizing customer experiences, and driving innovation across their operations.
Tarese Brown, Vice President of Player Development for Delaware North’s gaming division, expressed her enthusiasm for this partnership: “We are truly excited about the expanded capabilities that QCI Host brings to our operations. QCI has been an invaluable partner in helping us unlock the power of data, and this latest addition takes our data intelligence to a whole new level. With QCI Host, we are better equipped to enhance the guest experience and drive strategic decisions that will shape the future of Delaware North’s gaming division.”
QCI Data Lake and Data Warehouse – The Foundation of Success
Central to QCI’s unparalleled offerings is our robust data lake and data warehouse, which provide the secure and data-curated environment on which the QCI platform is built. This solid foundation ensures the reliability, scalability, and security of the data-driven solutions we provide. Delaware North can confidently build upon this foundation for years to come.
Dr. Ralph Thomas, Chief Executive Officer of QCI, commented on the significance of this foundation: “At QCI, we believe that the strength of our solutions lies in the strength of our foundation. Our data lake and data warehouse are the bedrock upon which we create data-driven excellence. We’re thrilled to see Delaware North leverage this foundation to drive innovation and success in their gaming operations. This partnership exemplifies our commitment to delivering cutting-edge technology that empowers our clients. QCI remains dedicated to our mission of transforming data into actionable intelligence. We look forward to the continued success of our partnership with Delaware North and the limitless possibilities that lie ahead.”
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