Ten predictions for gambling in 2018

The US independent research and consulting group Spectrum has published its annual assessment of the gambling industry and its direction of travel next year, commenting that “…2018 should prove to be the most significant as political, technological, demographic and regulatory changes converge in markets around the world.”

Spectrum Managing Director Michael Pollock listed the following major trends for 2018:

* Through legislative and/or judicial action, more states and tribes across the United States will look for ways to legalise sports betting, as well as i-gaming, while political struggles will ensue between those who seek federal oversight of sports betting vs. those who seek to keep all forms of gaming within the purview of state and tribal governments;

* Land casino gaming in Japan is expected to be legalised in 2018. A battle is then anticipated over the following one to two years between international operators and domestic corporations for one of the three anticipated licenses;

* Whilst Macau has generated much stronger GGR across the board this year, the crackdown on corruption in China will continue to provide challenges. New properties are scheduled to open in 2018;

* Gaming operators will focus on legalisation opportunities in the critical jurisdiction of Brazil, as up to 35 casinos could be authorised under new legislation;

* Skill-based gaming will ramp up, with new product offerings from both the traditional equipment suppliers and skill-based leaders Gamblit and GameCo;

* US states that have already legalised casinos will attempt various means to plug budget deficits, including the addition of retail gaming, i.e., electronic gaming devices in liquor-licensed establishments and truck stops;
* Online gaming in Europe will come under greater compliance pressure, leading to further consolidation of operation and supply, while affiliate marketing will endure greater scrutiny;

* A second major wave of new property openings (from small-scale to full integrated resorts) is expected in Asia (most notably Macau, South Korea, Philippines, Cambodia and Vietnam) in 2018. Spectrum does not foresee that the broader regional gaming market will become oversaturated as a result of these changes;

* Emerging markets in Africa, Asia and parts of Europe will look to the integrated-resort model as a means of growing their tourism industries and generating tax revenue;

* With its emergence from bankruptcy, Caesars Entertainment will become a renewed force in global gaming expansion and consolidation.