The Gambling industry has one of the highest growth rates in the world. With around 115 billion US dollars of gross gaming yield for global casinos in 2016, it is forecasted to grow to 130 billion US dollars in 2019.
Online gambling takes a big chunk of the whole revenue. It grew with an exponential rate since it exploded on the market a few decades ago. To illustrate the rapid growth, in 2015 the industry had a volume of around 38 billion US dollars. It is forecasted to reach nearly 60 billion US dollars in 2020 and more than 74 billion by 2023 – numbers will almost double in 7 years.
Companies have to innovate to keep up with never-ending regulations, technology advancements, and customer demands.
A survey from Southern Cross University in 2013 conducted amongst more than 10,000 online casinos and players from 96 countries shows that about 37% of the players don’t trust the software and think that it has an on/off switch, which allows the casino to manipulate results. More than 90% of the respondents are in agreement that reputable independent third party reports on randomness and percentage payout are important to them.
More and more gamblers are moving from physical to online casinos and even though the gambling is amongst the highest regulated industries, the public is not aware of them and there is not enough transparency. As the survey shows, almost half (49.3% n=8904) of the participants are not aware of the regulations and “24.6% felt that it was either quite or very poorly regulated”.
Another report from the British Gambling Commission released in Feb 2018 shows that only 33% of all respondents think that gambling is fair and can be trusted. In addition, 41% believe that gambling is associated with criminal activity.
The British Gambling Commission recently published their Strategy 2018-2021 , which points out that trust and transparency are still the most prominent concerns in the internet gambling industry. In the UK, in 2008, 49% of the players betting on online casinos trusted that the house is not cheating. This number decreased to 34% in 2018. In the same time, 51% of the respondents gamble online.
So how can we turn the ship around, improve the casino’s reputation, and gain customers’ trust? Blockchain in gambling can ensure trust, transparency, and data integrity by providing an undeniable truth about the outcome of a game by utilizing cryptography, smart contracts, and underlying technologies. How can casinos benefit from that? Increasing trust amongst customers means:
More players betting in your casino
Happy customers and increased retention
Imagine how your numbers would look like if you can regain the trust of those who have doubts in your casino’s fairness? Trust is good for business and you can have it with integrating blockchain in gambling! So if you’d like to talk about opportunities and solutions, give us a shout. Let’s build something great together!