Internet Bingo to Become Billion Dollar a Year Business
The popularity of internet bingo in the UK and the expansion of bingo into European markets are expected to provide internet bingo operators with record profits. Research done by H2 Gambling Capital show that revenues generated by internet bingo are expected to grow 20% during the next two years. Gaming experts predict that revenue from internet bingo will total $1.6 billion dollars by 2010.
During the current global recession online bingo has been seen as ‘recession proof’ and profits continue to climb despite economic conditions. The internet version has proved to be more resilient than the land based version of the game. In the UK brick and mortar bingo clubs are closing at a rapid rate due to the effects of double taxation and a draconian smoking ban.
Simon Holliday, director of H2 Gambling Capital stated, “Online bingo is in such an early growth phase that any recessionary impacts are outweighed by its newness. This is often supply driven demand. It relates to availability and how heavily things are marketed.” UK bookmaking giant William Hill said they expect revenue from internet bingo and skill based games like backgammon to increase by 50% in 2010.
888 Holdings expects the annual revenue from internet bingo revenue to climb to $100 million dollars per year. 888 CEO Gigi Levy stated, “Online bingo should not be smaller than online poker” and predicted “about 50 to 100 percent a year growth” for internet bingo in new markets like Spain and Italy. In the meantime gaming experts predict a 17% decline in revenues from land based operations.
The astounding growth of internet bingo has spurred growth in the internet bingo industry. Many land based operators are turning to internet bingo to make up for declining profits from their land based operations. Marketing efforts will likely remain focused on women who account for 70% of all internet bingo players worldwide.
The entry of some land based bingo giants into the internet bingo market has spurred even more competition for new bingo players. Bingo sites are offering ever increasing bingo bonus and free play options. Sites are also offering players larger jackpots and free bingo bonuses and original games and promotions. Despite the ongoing global recession internet bingo has remained one of the few growth industries in a dismal global economy.
Who would have predicted ten years ago that internet bingo would become a billion dollar a year business?
By Anthony Wayne
http://www.bingointernet.org 2009 All rights Reserved.
No Comment