German gambling market grows by 300 million euros

Posted December 20, 2019

Berlin, May 8, 2018 — The German gambling market is continuing to grow. In 2017, the German gaming market (lotteries, stakes, gaming machines and casinos) generated a gross gambling revenue of 13.5 billion euros which is a rise of 300 million euros in comparison with 2016. This equates to further biennial earnings of 1 billion euros compared with 2015. Most of the gambling segments gained from the overall positive economic development in Germany, but this varied from segment to segment.
These findings are part of the new report German Gambling Market Monitor 2018 published by Goldmedia Strategy Consulting.
Record growth from the betting segment, nevertheless, lotteries are under pressure
In 2017, gambling notched up the strongest level of growth of all of the gaming segments with a 17 per cent and in gross gambling revenue (wagers minus payouts) compared with 2016. As compared with 2015, the market has grown by 33 per cent in total. This positive trend is expected to continue. The upcoming 2018 FIFA World Cup in Russia will spark additional earnings growth for its 90+ sports betting operators that are active in the German marketplace. Furthermore, the dysfunctional regulatory policies that are still in effect in Germany are continuing to supply favourable working conditions which are encouraging further growth.
However, the German lottery section remains static and gross gambling revenue has fallen by 3 percent, primarily due to declining ticket sales from the highest grossing 6aus49 lottery game. Additionally, the lotteries are experiencing competitive competition from online lotteries working from Malta without a German licence.
Changes in the gaming machines section Gaming machines achieved yet another very profitable year, creating a gross gambling revenue of over 7 billion euros in 2017. However, significant structural changes on the market are impending after the introduction of new regulations. Stricter rules governing the total number of gaming halls as well as the minimum distance allowed between them may result in a considerable decline in the amount of gambling venues in the medium term. Though the gaming system operators have initiated over 1,000 legal event to stall the execution of these policies, the strong market growth that’s been seen in recent years has now come to a stop.