The Australian future of online gambling attracts the attention of many because of its boom, cementing its position as a significant player in the global market. As of 2024, Australia accounts for approximately 4% of the global online gambling revenue, placing it among the largest markets in the Asia-Pacific region, according to Gitnux Report.
While significant, Australia’s market is smaller than the United States ($69.5 billion revenue) or the United Kingdom ($18.6 billion).
The future of the gambling industry in Australia is estimated positively because of the highest participation rate, with 73% of its adult population having gambled at least once annually. In 2020, its national gaming expenditure, including gaming machines and casinos, reached around AU$16.67 billion.
This resulted in wagering expenditures of just over AU$ 4.5 billion, proving this relatively small market is poised for growth.
- The total projected revenue for 2024 is US$11.39 billion, with an annual growth rate (CAGR) of approximately 4.89% between 2024 and 2029.
- By 2029, the expected market size will be US$14.46 billion.
- Annually, each Australian gambler spends an average of $1,260.
- Australians lose around AU$25 billion annually (AU$7 billion in Victoria state) on any legal form of gaming.
6 Trends Shaping the Australian Future of Casino Industry
Cultural factors and emerging industry trends account for Australia’s future casino market’s exponential growth. 73% of Australian adults gamble annually, with a majority of 18- to 55-year-olds explicitly playing online casino games.
Modern technologies are increasing casino popularity alongside other forms of online gaming, assuring this industry a brighter future. Let’s explore the top six trends that influence the future of casinos in Australia.
#1. The Rise of Online Casino Games in Australia
Industry data indicates that Aussies prefer online casino games and table games like blackjack and roulette.
- In 2023, Australia’s online gaming machine market was valued at AU$2.4 billion. This market is expected to rise in the future.
- This figure is expected to grow at a compound annual growth rate (CAGR) of 8.2% between 2023 and 2028, reflecting Australians’ love of virtual slot machines.
- Table games like blackjack and roulette have also garnered immense popularity among Australian online casino enthusiasts. The table game market was valued at AU$1.8 billion in 2023 and is projected to experience a CAGR of 7.5% over the next five years, driven by increasing demand for skill-based games.
This data further solidifies the rise in the future of casinos in Australia. In 2018, it accounted for US$ 14 billion, US$ 30+ billion in 2022, plus US$ 37+ billion in 2023 of the overall gambling revenue. This revenue has increased steadily, projected at US$ 41+ by 2028.
#2. Aussies’ Craze with Online Pokies
Playing online pokies for fun or real money attracts Aussies with their vibrant graphics, innovative features, and allure of potential big wins. They offer numerous varieties, including free demos, real money versions, and free no-download instant options made in HTML5 technology for cross-platform playability, catering to various preferences and budgets.
- In 2022, $8.1 Billion was spent on pokies alone, a 22% increase from 2019.
While free online pokies provide risk-free options, Australians prefer playing real money pokies. For those who would like to try this Aussies craze, enjoy those pokies online for real money with free spins and bonus rounds from only trusted providers like Aristocrat, IGT, Microgaming, etc. These include:
- 5 Dragons: Created by Aristocrat, this high variance online pokie boasts a 95.17% RTP, 25 paylines. In 2019, a lucky Aussie won an AU$4.8 million jackpot on this pokie.
- Wheel of Fortune by IGT offers a 94% RTP, free spins, and 30 paylines with 2-5x multipliers, both accessible in a demo. A lucky Australian player walked away with an AU$7.2 million jackpot in 2021.
- Cleopatra: IGT’s 5-reel, 20-payline pokie offers a 95.8% RTP, 15 free spins triggered by 3+ sphinx scatters. In 2018, it awarded an Australian player an AU$6.3 million payout.
- More Chili by Aristocrat has 25 paylines, a 95.69% RTP, along with free spins, and bonus rounds. Real money versions are available from $0.25-50 pay up to $4000 in line payouts. It awarded an Aussie gamer an AU$5.1 million jackpot in 2020.
- Buffalo by Aristocrat is with a 94.85% RTP plus 1024 paylines. It features free spins multipliers alongside its iconic Buffalo symbols. An Australian player who won AU$ 8.4 million in 2022 triggered its recent jackpot payout.
#3. Casino VR Games
Virtual Reality (VR) — is one more trend in the future of casinos offering an immersive, captivating experience that blurs the lines between the virtual and real worlds. These innovative platforms employ VR headsets alongside advanced motion tracking, transporting players into a fully realized digital environment with lifelike graphics, spatial audio, and intuitive controls.
While still in its early stages, this VR casino concept is already popular, with several real-world examples emerging in recent years. Many houses offer virtual reality pokies, allowing players to explore a virtual Las Vegas-style from their comfort.
VR pokies have garnered significant attention from Australian gamblers as they promise to revolutionize traditional experiences. Their features include:
- Fully immersive 3D environments: VR pokies offer players diverse new virtual worlds with stunning visuals and realistic sound effects, creating a sense of true immersion.
- Interactive gameplay mechanics: Players interact with pokie machines using intuitive hand gestures and motion controls, adding a new level of real casino-like engagement.
- Multiplayer functionality: Many casino VR games incorporate multiplayer elements, allowing players to interact with peers within virtual casino environments, fostering a sense of social connection.
- Enhanced bonus features: Developers leverage VR capabilities by introducing innovative bonus rounds or mini-games, offering players unique, engaging experiences.
- Customizable virtual environments: Players personalize their virtual casino surroundings, choosing from various themed environments with decorative elements tailoring experiences to individual preferences.
#4. The Next Level in the Future of Casino Industry: Cryptocurrency
Crypto allows players to play using cryptocurrencies like Bitcoin, Ethereum, and Litecoin, which have gained traction in Australia. They offer several advantages over traditional casinos, including enhanced anonymity, faster transactions, and lower fees, potentially shaping the future of casino gaming.
In Australia, they have become increasingly popular, catering to a tech-savvy demographic. They offer diverse game selections, including provably fair classics like blackjack, roulette, and baccarat, as well as various crypto-optimized pokies with live dealer options.
This trend is likely to continue as the casino future becomes increasingly intertwined with technological advancements.
#5. Social Gaming and Tournaments
Social tournaments are popular in Australia, offering players opportunities to experience interactive casino games without real money risks. They simulate this experience by allowing play using virtual currencies, earned through gameplay or purchased using real money.
Unique aspects include their ability to provide social tournaments, where players compete against each other for prizes, often including real cash payouts. Pragmatic Play, a leading industry content provider since 2015, thrives at social gaming, hosting regular tournaments for popular slots like Sweet Bonanza and Wolf Gold. This trend is expected to continue growing in the casino future, as developers find ways to leverage the social aspects of gaming to create even more engaging experiences.
💡 An Australian player won $137,500 in Pragmatic Play’s Sweet Bonanza social tournament in 2021 without risking any real money. In 2022, another Australian gamer bagged a $92,000 prize from a Wolf Gold social tournament hosted by this same provider.
#6. Mobile Casino Apps
Mobile device usage (65.89%) surpasses desktops (32.38%), while only 1.73% used tablets. This data underscores mobile technology dominance, causing businesses, including online casinos, to prioritize mobile accessibility.
- The convenience, portability, and ubiquity of smartphones and tablets have made mobile casino apps essential to the future of the casino industry.
- To meet this increasing demand, Australian online casinos have invested in developing high-quality mobile apps and mobile-friendly platforms.
- These apps feature numerous games, including pokies, table games, plus live dealer options, all optimized for mobile screens and touch interfaces.
Mobile casino apps feature additional benefits, including exclusive bonuses, push notifications for promotional updates, and the ability to play on the go.
Is There a Future for Online Gambling in Australia?
According to research conducted by Statista, approximately 54% of Australian men play hazardous games, compared to 49% of women. Both genders contribute significantly to this industry’s revenue stream as regular players. This raises interesting questions about the future of the gambling industry, particularly with the rise of new technologies and potential changes.
- On average, each Australian spent approximately AU$1,068 annually in 2020. This figure highlights this industry’s economic significance with the potential for future growth in online gambling.
- As demonstrated in this attached image, pokies account for the largest share of losses in Australia of AU$2.5+ billion annually since 2019, as Aussies most popular form of gambling. This overwhelming preference for pokies underscores the enduring appeal of these gaming machines, explaining why there are 200,000+ gaming machines in Australia.
- Other products, such as casino table games, wagering, and lotteries, account for significantly lower losses, ranging from AU$1 million to AU$1.4 billion per year. These figures further reinforce pokies’ dominance in Australia. With such diversity, Aussies’ online gambling future appears promising as her industry adapts to changing consumer preferences alongside technological advancements.
So What to Expect from Online Gambling in the Future?
Here is a summary of the future of the online gambling industry in Australia for the next 10 years:
- The future Australian online gambling market is projected to experience substantial growth in the coming years. Total market revenue is forecasted to reach AU$14.46 billion (US$10.24 billion) by 2029, up from AU$11.39 billion (US$8.07 billion) in 2024. This reflects a compound annual growth rate (CAGR) of approximately 4.89% between 2024 and 2029.
- The sports betting segment alone is anticipated to have a market volume of AU$13.82 billion (US$9.76 billion) in 2024.
- In the future, the Australian online gambling market is expected to reach a volume of AU$17.54 billion (by 2028), with an annual growth rate (CAGR 2024-2028) of 5.12%.
- In terms of user base, the number of players in Australia is projected to rise from 7.0 million in 2024 to 7.9 million by 2028, with user penetration estimated to be 21.2% in 2024.
- The average revenue per user (ARPU) will be AU$2,552 (US$1.80k) in 2024.
- Mobile technology is poised to play a crucial role in this growth, with 71.6% of internet traffic in Australia coming from mobile devices as of 2023.
- Emerging trends such as virtual reality slots, crypto casinos, and social gaming tournaments are anticipated to drive growth and attract new users.
The Future of Gambling Laws and Regulations in Australia
How will changes in regulations in the next few years affect the future of online gambling industry? Australia’s laws and regulations regarding the gaming industry are a complex yet evolving landscape. Each territory has rules governing various gambling forms, including online wagering.
- Victoria (Vic): Gambling Regulation Act 2003 is key in regulating and licensing gambling activities, including online sports betting, casino games, plus poker. VCGLR (Victorian Commission for Gambling & Liquor Regulation) oversees operations.
- New South Wales (NSW): Betting & Racing Act 1998 plus Gambling Legislation Amendment Act 2019 govern online wagering while ILGA (Independent Liquor & Gaming Authority) regulates.
- Queensland (Qld): Queensland’s Gambling Act 1982 plus Interactive (Player Protection) Act 1998 govern gaming. State’s Office of Liquor Gaming Regulation (OLGR) regulates.
- South Australia (SA): The Gambling Act 1988 plus IGA (Interactive Gambling Act) 2019 oversees all gaming activities.
- Tasmania (Tas): Tasmania’s laws are outlined in its Gaming Control Act 1993. TLGC regulates its operations.
In the near future, Australia’s gambling laws and regulations will change, particularly in the online sector. Key reforms will include:
- Establishment of a national regulatory framework: There are efforts to introduce a national approach to regulation, which would provide a more consistent, coordinated system across Australia. As former senator Nick Xenophon states, “We need a national approach to regulation, as the current state-by-state system is fragmented and ineffective.”
- Focus on consumer protection and responsibility: The future regulations of online gambling will be prioritized with more robust consumer protection measures to address the problem. As the Australian Gambling Research Centre report suggests, “the Australian government is considering introducing a national regulatory framework for online gambling, which would provide more consistent, coordinated consumer protection.”
- Potential bans on advertising: Parliament’s inquiry has recommended a comprehensive ban on advertising, including during sports broadcasts. Senator Sarah Hanson-Young echoes this, saying, “It’s the minister’s job to hold the gambling industry to account.”
- Cooperation between federal and state governments: Implementing gambling reforms in the future will require federal-state government collaborations. The communications minister, Michelle Rowland, noted, “Reforms require a degree of cooperation with the states.”
Q&A Section: The Future of Online Gambling in Australia
- What expected growth is suggested in the future of the online gambling industry in Australia?
Australia’s online gambling industry has recorded significant growth recently, reaching US$4.9 billion in 2023. IMARC suggests this revenue will reach US$8.5 by 2032, demonstrating a 6.2% (CAGR) annual increase.
- How Australia will cope with the problem of online gambling in the future?
It has been identified as a growing concern in Australia, with rising problem gambling rates causing adverse social financial consequences. Policymakers, alongside regulatory bodies, propose strengthening consumer protection measures to address the potential harms of unregulated, excessive wagering, particularly concerning the online gambling future.
- What is the future of online casinos?
The future of online casinos in Australia remains uncertain, with increased scrutiny suggesting potential regulatory changes. Some jurisdictions have embraced casino gaming, while others are cautious, prioritizing consumer protection to address concerns about possible societal impacts.
- What will be the most popular form of gambling in Australia?
Online casino gaming is Australia’s most popular form of gambling. While wagering recorded a $229.55 per capita expenditure, online gaming recorded $838.18.
