$1,6 Billion Online Bingo Sales Expected
- Filed under: News
- Date: Aug 11,2009
Betting conglomerates William Hill, PartyGaming and 888 Holdings all expect sales from Internet Bingo to rapidly increase in Europe as the game expands this year. Following research conducted by H2 Gambling Capital, the results show that the revenue from online bingo is expected to grow by 20 per cent over the next two years, with a predicted growth of $1.6 billion in 2010.
Over the recent economic recession, bingo has been dubbed ‘recession-proof’ as the industry continues to experience a steady growth. Director of H2, Simon Holliday explained that the industry is the ‘least mature’ in the online gaming sector and therefore ‘any recessionary impacts are outweighed by its newness’. With new online bingo websites emerging into the market on a regular basis, Holliday argues that the industry is ‘supply-driven demand’ and the marketing campaigns surrounding these sites are assisting in directing customers to online bingo.
William Hill has seen a significant growth in online bingo, with an increase of 50 per cent in net revenue in the first half of the year. This figure is set to increase, with a further 50 per cent growth in 2010.
888 Holdings have a similar positive outlook on its online bingo offerings, expecting to generate around $100 million in annual revenue from bingo in the coming years, arguing that online bingo is beginning to match up to the demand for online poker.
Major online bingo contender, PartyGaming made huge strides in the online bingo industry last month when they purchased Cashcade – provider of huge bingo sites including Foxy Bingo – for a reported £95.9 million.
With the online bingo industry experiencing significant growth, the more traditional form of the game is recognisably struggling in the recession, with revenue slumping by an expected 17 per cent this year. Land based bingo has faced many challenges following the smoking ban and an increase in taxation which was introduced in April coinciding with the recession.
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