Table of Contents
Executive Summary
-
- The market
- Value growth stalling as COVID hit
-
- Figure 1: Forecast of consumer expenditure on gambling (adjusted for COVID-19), 2014/15-2024/25*
- A third of all spending dropped on slots
-
- Figure 2: Consumer expenditure* on gambling, by product, 2014/15-2018/19**
- Venue closures pick up pace
-
- Figure 3: Licensed gambling premises, by activity, 2015-20
- The impact of COVID-19 on the gambling market
-
- Figure 4: Expected impact of COVID-19 on gambling, short-, medium- and long-term, 4 June 2020
- The consumer
- Just over half of Britons gamble
-
- Figure 5: Participation in gambling activities (all channels), March 2020
- High street still a key destination
-
- Figure 6: Methods of gambling, March 2020
- Mobile gambling makes itself at home
-
- Figure 7: Smartphone gambling habits, March 2020
- Gambling advertising drives brand choice
-
- Figure 8: Awareness of gambling advertising and promotion, March 2020
- Negative perceptions of promotion persist
-
- Figure 9: Attitudes towards gambling advertising and promotion, March 2020
- What we think
Impact of COVID-19 on Gambling
-
- Short-, medium- and long-term impact on the industry
-
- Figure 10: Expected impact of COVID-19 on gambling, short-, medium- and long-term, 4 June 2020
- Short-term
- Medium-term
- Long-term
- Opportunities and threats
- Recovery may be too slow for many venues
- Online operators can invest for success
- Regulators may need to go easy on retail
- Impact on the market
- Remote resilience limits overall losses
-
- Figure 11: Forecast of consumer expenditure on gambling (adjusted for COVID-19), 2014/15-2024/25*
- High street takes the heaviest hit
-
- Figure 12: Forecast of consumer expenditure on retail gambling (adjusted for COVID-19), 2014/15-2024/25*
- Online impact limited to loss of betting on sport
-
- Figure 13: Forecast of consumer expenditure on gambling online (adjusted for COVID-19), 2014/15-2024/25*
- Shifts in consumer behaviour
- Slump in spending power favours small-stake play
-
- Figure 14: Impact of COVID-19 on financial situation, 14-21 May 2020
- Spending moves online
- Impact on key consumer segments
-
- Figure 15: Participation in gambling activities, by age, March 2020
- Low-cost options needed to survive Millennials’ spending cuts
- Older players slower to return
- How a COVID-19 recession will reshape the market
- Leisure spending can be sustained by escapism
- Digitisation key to the COVID-safe gambling venue
- Impact on the marketing mix
- Advertising goes off air
- Battle for share to get brands back on the box
-
- Figure 16: Awareness of TV gambling advertising, by gambling activity, March 2020
- COVID-19: UK context
- Economic assumptions
Issues and Insights
-
- Clean bill of health can help retail segment bounce back
- The facts
- The implications
- COVID cuts put gambling sponsorships at risk
- The facts
- The implications
The Market – What You Need to Know
-
- Spending stalled ahead of COVID crisis
- Resilience online limits pandemic impact
- A third of all spending dropped on slots
- Premises closing at an increasing pace
Market Size and Forecast
-
- Growth grinding to a halt before COVID hit
-
- Figure 17: Consumer expenditure on gambling 2014/15-2018/19*
- Betting downturn ends remote segment’s winning streak
-
- Figure 18: Consumer expenditure on gambling, by channel, 2014/15-2018/19*
- Outlook in light of COVID-19
- Online resilience reduces impact of retail slump
-
- Figure 19: Forecast of consumer expenditure on gambling (adjusted for COVID-19), 2014/15-2024/25*
- Figure 20: Forecast of consumer expenditure on gambling online (adjusted for COVID-19), 2014/15-2024/25*
-
- Figure 21: Forecast of consumer expenditure on retail gambling (adjusted for COVID-19), 2014/15-2024/25*
- Forecast methodology
Market Segmentation
-
- A nation of slot feeders
-
- Figure 22: Consumer expenditure* on gambling, by product, 2014/15-2018/19
- Remote revenues pile up in gaming machines segment
-
- Figure 23: Consumer expenditure* on gaming machines/slots, by channel, 2014/15-2018/19**
- National Lottery bursts back into growth
-
- Figure 24: Consumer expenditure* on lottery games, by segment, 2014/15-2018/19**
-
- Figure 25: National Lottery sales, by channel, 2015/16-2019/20*
-
- Figure 26: National Lottery sales, by segment, 2015/16-2019/20*
- Absence of sport hits betting business
-
- Figure 27: Consumer expenditure* on betting, by channel, 2014/15-2018/19
-
- Figure 28: Consumer expenditure* on betting, by product, 2018/19**
- Casino gaming holds out for high rollers’ return
-
- Figure 29: Consumer expenditure* on casino gaming, by channel, 2014/15-2018/19**
- Older players expected to delay bingo club return
-
- Figure 30: Consumer expenditure* on bingo, by channel, 2014/15-2018/19
Market Drivers
-
- Venue closures pick up pace
-
- Figure 31: Licensed gambling premises, by activity, 2015-20
- 5G to create new mobile gambling opportunities – and threats
-
- Figure 32: Awareness and knowledge of 5G mobile networks, by generation, January 2020
- Lockdown trials more restrictive regulatory regime
- Responsibility focus to stay online
-
- Figure 33: Patterns of gambling reported by clients of the GamCare problem gambling service, 2014/15-2018/19
Companies and Brands – What You Need to Know
-
- Balance of power set to shift
- Getting creative in response to COVID
- Competition and launch campaign drive up adspend
Market Share
-
- Market leaders face biggest retail risk
-
- Figure 34: UK revenues of leading gambling operators, 2019
Launch Activity and Innovation
-
- Sitcoms to simulations: Operators respond to coronavirus
- National Lottery tender process faces delay
- New venue concept expands casino offer
- New eSports betting products stay close to home
Advertising and Marketing Activity
-
- Competitive context drives adspend increase
-
- Figure 35: Main monitored media advertising spend of UK gambling operators, by segment, 2017-19
- Large audiences and soft focus behind TV appeal
-
- Figure 36: Main monitored media advertising spend of UK gambling operators, by channel, 2017-19
- Nielsen Ad Intel coverage
The Consumer – What You Need to Know
-
- A small majority of Britons gamble
- High street still an important gambling destination
- Handsets handy in all locations
- Advertising fights the battle for market share
- Promotions struggle against negative perceptions
Gambling Activities
-
- Lottery games lead sports betting
-
- Figure 37: Participation in gambling activities (all channels), March 2020
- Gamblers like what they know
-
- Figure 38: Gambling activity repertoires, March 2020
Methods of Gambling
-
- Retail can ready itself for post-pandemic revival
-
- Figure 39: Methods of gambling, March 2020
- Majority of remote gamblers stake via smartphone
-
- Figure 40: Devices used to gamble online, March 2020
Smartphone Gambling
-
- Mobility important both in and outside the home
-
- Figure 41: Smartphone gambling habits, March 2020
- Small screens limit enjoyment
-
- Figure 42: Smartphone gambling experiences, March 2020
- Time limits can appeal to more mobile players
-
- Figure 43: Technology trend drivers, by locations used to gamble via smartphone, March 2020
Gambling Promotion
-
- Advertising preaches to the converted
-
- Figure 44: Awareness of gambling advertising and promotion, March 2020
- TV blackout to hit brand visibility
-
- Figure 45: Most-seen gambling advertising and promotional channels, March 2020
- Advertising attitudes a barrier to volume growth
-
- Figure 46: Attitudes towards gambling advertising and promotion, March 2020
Appendix – Data Sources, Abbreviation and Supporting Information
-
- Data sources
- Abbreviations
- Consumer research methodology
Back to top