How did COVID-19 impact on online casinos in the world
As sociologists and economists continue to make predictions for life after the COVID-19 pandemic, the middle class is already faced with the unexpected economic challenges that the new disease has brought. And the poorer the country, the more painful the consequences for the middle class.
Today the epidemic has tied people’s hands even tighter: incomes have declined or frozen, the shopping opportunities have become smaller, and small and medium-sized businesses are calculating losses. Nonetheless, not all niches were affected by the epidemic. And some are even experiencing highs in terms of revenue and traffic.
Afloat: which areas remained “in the black”
As long as many people are forced to stay at home, as the WHO and the government ordered, the only “window to the world” remains the Internet. With it, users communicate each other, have fun, develop themselves… and work. Just look at these figures: in recent months, the number of visits to online resources has increased by 50-70%. At the same time, the commercial income of companies providing such resources increased 5 times.
And given the increased demand for online services, it’s logical to assume that companies of various Internet platforms will be in trend. And of course, online platforms will take advantage of this and will attract new users. What sources began to enjoy huge popularity:
- Online learning platforms and courses
- Online dating
- Adult industry
- Online games
- Online cinemas
Interest in cryptocurrency exchanges and trading platforms has also grown. And of course, this affects the traffic. In particular, on the traffic of online casinos.
The epidemic of gambling: changes in online casino traffic
As many people stayed home, online traffic quickly rushed up. All Internet resources felt change. Gambling platforms began to attract hundreds and thousands of new visitors. The boom in online casinos is also explained by the fact that many land-based casinos haunters have switched to online platforms. More players began to appear in poker rooms, at the same time, online poker tournaments are held more often. Some countries decided to take advantage of this: Belarus officially legalized the online casinos, and Armenia decided to wait with the prohibitions on gambling on the Internet yet.
According to some reports, the traffic of gambling resources increased by 10-15%. And in March, the traffic of online casinos and poker rooms surpassed even the highest jumps in the last three years. But a gradual decline is expected in April. Someone will just get tired of playing, and somewhere will be more stringent online gambling rules.
Where is the highest traffic?
If land-based casinos are faced with serious challenges, then online gambling allows them to level losses and equalize their position. However, much depends on the state and the rules for online gambling. And if some countries limit the work of an online resource, such as Latvia or Austria, then others regulate and establish new rules. In which countries are the most favorable conditions for the growth of gambling resources traffic:
No less positive dynamics in terms of growth is observed in the CIS countries, in particular Russia and Ukraine. But other countries, on the contrary, have greatly blocked the air of Internet platforms. A striking example is Latvia. This country, not only declared war on online gambling but also created a stalemate with jobs in this industry: many people have already lost their jobs. Anyway, as in other business areas. Georgia also stated that online casinos will be limited, and although in Armenia didn’t begin to close online casinos, the authorities say that it’s wrong and gambling resources should be banned.
High attendance, but low revenue?
While the attendance of online resources goes off scale, the financial aspect has not so positive changes. Especially for countries with an unstable dollar course. The situation looks like this: the price of oil is falling, and the dollar is growing, against the pandemic. This can provide good opportunities for those who receive income in dollars, but cause difficulties in costs. For example, on the gambling platforms of post-Soviet countries, players make deposits in rubles or hryvnias. But marketing costs are priced in dollars. And this causes problems.
Analysts from H2 Gambling Capital predict that global revenues of gambling operators may fall to the level of 2016. This is due to the closure of many operators, the restriction of the online casinos by the authorities and the crisis with dollars course. In general, the situation with the profitability of online gambling amid a pandemic is ambiguous. On the one hand, the dollar threatens the gaming industry with new losses. On the other hand, the operators of the top online casinos, like Queenofluck, note an increase in the number of players by 40%, and the number of bets by 20%. However, the gross income of operators remains at the same positions.
Coronavirus affected all areas of society. Including gambling, of course. And we can’t forget about many cases of speculation on pandemics and marketing strategies. Operators are trying to attract more new players. For instance, by a variety of tournaments, promotions. At the same time, some platforms increase the bonus program, others promise more opportunities for betting. And it works.
Interest in gambling has already skyrocketed due to the pandemic. People sit at home, many of them are bored, they try to distract themselves or even try to increase their income through online games. Especially if the casino offers interesting content and reasons for a good mood, like bonuses, for example. Some operators try to interest visitors more.
Casino content strategy
Affiliates take advantage of the epidemic. In particular, thanks to the keywords associated with the epidemic and thereby improve the ranking of their web resources. Affiliates play one of the key roles in promoting online platforms. But far from all operators will like the speculation strategy amid the crisis. Gaming Innovation Group has even developed special software to track the activities of affiliates.
An important factor was the theme of the games and the casinos. The fact is that with the isolation and disturbing events, people subconsciously look for something action-packed that would add adrenaline. Therefore, the developing games are aimed at plot, extraordinary and relevance today. Slots on the theme of the apocalypse, bacteria and viruses, blockades and other anti-utopian motifs are becoming more and more interesting. And this means that the classical approach is losing its relevance. Users come to online casinos for new experiences. And the game developers, as well as the casinos, have a new task: to create truly fascinating content. It’s worth noting that many have already succeeded.
Coronavirus launched a chain of irreversible changes in all areas of society. And many of them brought crisis consequences, in particular for the middle class. Some areas of the business were in severe stagnation with enormous losses. But some online platforms, on the contrary, have experienced a serious rise. Educational content, insurance, as well as adult and gambling industry turned out to be in the wake of popularity. Gambling deserves special attention. People want at least a little distraction from problems for a couple of gambling sessions.
Companies providing such entertainment also try to follow trends and increase their audience. Someone does this through a new marketing strategy, someone develops topical games, and someone uses the popularity of coronavirus queries to their advantage. Honest casinos increase their audience due to a thoughtful bonus program. An important factor is the attitude of the state to online gambling. And despite the growing popularity of online entertainment, online gambling is also going through hard times in some places.