The global pandemic seems like a distant dream – or better said, a nightmare – today. Looking at how things are going these days, it seems unbelievable that only a couple of years ago, we were living under restrictions and lockdowns, constantly afraid for our loved ones and ourselves. But not all the effects of the lockdowns were negative – at least not for certain industries in some areas. Did you know, for example, that the lockdowns were a veritable blessing for the South African online gambling market?
Gambling in South Africa
The South African gambling market mixes land-based options and online outlets. Land-based casino resorts are scattered across the country, offering various options, from gaming machines to table games and countless other entertainment options for the entire family. The South African lottery is incredibly popular, and so is betting on sports, especially horse racing, with several major tracks nationwide and a dedicated player base.
The country has a thriving online gambling scene despite its inadequate regulation. The National Gambling Act of 2004 has major holes in iGaming. There are ongoing proposals to complete it, but progress is slow in this area.
This didn’t stop online gambling, especially online sports betting, to see spectacular growth in the last few years.
The lockdowns boosted the iGaming industry.
Traditional entertainment options like theatres, casinos, and racetracks were unavailable during the pandemic. This helped their online counterparts grow exponentially. Instead of movie theatres, people flocked to streaming services. And instead of traditional casinos, people started relying more and more on online gambling outlets.
In South Africa, there was a notable shift from traditional gambling toward online gambling during and immediately after the pandemic. With most traditional gambling outlets unavailable, many players discovered the convenience of online casinos and betting sites. This growth never stopped, though.
More popular than the lottery
The recent South African sports betting growth has pushed the industry beyond the traditional market leader in the country: the state lottery. Sports betting has overtaken the lottery in terms of spending: the average South African spends around 4% more on it every year. And the popularity of online sports betting and the size of the market continues to grow.
Statistics show that there are currently around 4 million South Africans who participate in online gambling in one form or another. According to projections, this number will exceed 5.3 million by 2027, and the value of the market will grow by more than 8% each year.
The lockdowns changed many people’s habits, introducing concepts like working from home and virtual concerts. And they were a blessing for online gambling, introducing many players to the convenience and accessibility of online casinos and betting sites. This is especially true in South Africa, where they helped online betting overtake the traditional market leader, the national lottery.
