The US casino industry has witnessed significant growth in the last two decades thanks to the ongoing legalization and regulation of gambling-related activities. Michigan, Connecticut, Nevada, New Jersey, West Virginia, Delaware, and Pennsylvania have already legalized casino gaming and sports betting, with more set to join the bandwagon in the next few years. As a result, casino industry experts project that US casinos will average $21.8 billion in revenue by 2024.
This massive growth in the US gambling market is also driven by the rise of new technologies set to make casino games more accessible. For instance, while online casinos in New York city are yet to be legalized, technologies like VPN and other pertinent tools can allow residents to place wagers online through offshore betting sites.
Here are five trends shaping the future of the US gambling market in 2023 and beyond.
- Online gambling dominance
The continued growth of digital casinos is among the most prominent trends shaping the US gambling industry in 2023. With a huge number of states yet to legalize casino gaming, many US players are turning to online gambling. Additionally, online gambling offers players the convenience of accessing a broad range of casino games.
Online gambling significantly rose in popularity during lockdown and many players seem to have been stuck with it. The industry response to this gambling trend has been to heavily invest in the gaming infrastructure, including responsive web-based platforms and mobile applications. Additionally, the rise of virtual reality casinos, live dealer games, and blockchain-based platforms is set to ensure the continued dominance of online gambling in the US casino market.
- Esports betting to continue thriving
The global esports market is projected to hit the $1.62 billion mark in 2024, with North America being among the leading regions in revenue. In 2023, the US esports market is set to reach $871 million in revenue and it’s expected to show a 15.4% CAGR by 2027, resulting in a projected revenue volume of $1.44 billion.
After gaining traction in 2020, esports now has a deep-rooted customer base that also enjoys betting on these virtual sports. In fact, esports betting is the largest market segment in the US esports landscape, with a projected revenue of $554 million by the end of 2023.
Looking ahead to 2024 and beyond, esports betting is going to get bigger and better. Additionally, many industry experts understand that the key to continued growth in the US esports industry lies in developing successful relationships between casino operators and the general esports community.
- Artificial intelligence to boost industry legitimacy
Almost every American industry is reaping the huge benefits that artificial intelligence offers and the casino industry is no exception. AI and machine learning integration in online gambling platforms delivers everything from tailored gameplay to enhanced gambling experience.
Artificial intelligence is also continually improving the US gambling market by flagging suspicious activities to prevent fraudulent activities. That helps boost the legitimacy of online gambling platforms, as security is a major cause of concern for casino players.
- Stream betting to take root in the US
Gambling on streaming platforms took a major hit in 2022 after Twitch decided to ban streaming of gambling zones without a license. The ban came after a series of controversies related to popular streamers who admitted he scammed other hosts thousands of dollars.
Different streaming platforms have tried filling this hole, and stream betting is expected to take root in the coming years. Other operators in the US betting market have also launched immersive betting streaming platforms.
Streaming platform allows punters to wager on games through sportsbooks, offering statistical insights, integrated betting slips, and real-time game augmentations. The streams have integrated betting odds and the viewers can place their bets through the live video player.
- Virtual reality casinos may take off
Live dealer casinos have been a major step forward towards immersive gambling experience and virtual reality casinos seem to be the next major step in this evolution. Some US casinos have already started offering players the chance to join virtual tournaments in immersive VR environments. However, many operators are still in the infancy stage and offer few virtual reality real-money games.
While 32% of US gamers don’t foresee the continued application of virtual reality due to a lack of compatible content and hefty costs, that’s set to change in the coming years. Despite these challenges, VR headset users in the US will surpass 10% of the population in 2023. Additionally, the VR headset quality has significantly improved, which supports seamless VR gambling.
The US casino gaming industry generates almost $329 billion annually in economic activity, while creating over 1.8 million jobs. This gambling industry has witnessed a major shift over the last few years, powered by the top five trends that we’ve discussed above. These trends will also continue shaping the future of the US gambling market in 2024 and beyond.