Ontario’s online gambling market for private operators is thriving and the numbers back those claims. This week, iGaming Ontario posted its sector report which applies to the third quarter of the 2023-24 fiscal year. For the period between October 1 to December 31, 2023, the province handled CA$17.2 billion in wagers, which was a hefty 21% increase over Q2.
Nearly two years ago, the Heartland Province became the first Canadian jurisdiction to open its online gambling and sports betting market to outsider and third-party operators. The competitive market is separated from the Ontario Lottery and Gaming Corporation’s online offerings, and numbers from OLG’s iGaming business are not included in the report.
Market Expands into Q3
According to iGO, for Q3 of FY 2023-24, operators in the province combined for a total wagering volume of CA$17.2 billion or a 21% improvement over Q2 with CA$14.2 billion. However, this does not include promotional wagers or bonuses. These numbers were accumulated by a total of 49 operators and 72 gaming websites which were active throughout the quarter.
Revenue was increased in Q3. It was disclosed that operators and sites generated approximately CA$658 million in gaming revenue for the quarter. This was a solid increase of 22% over the prior three-month period. These numbers include cash wagers, rake fees, tournament fees, and other fees from all operators. Player winnings from cash bets are not featured in costs or other liabilities.
The report reveals that there are around 1.2 million player accounts online during Q3. Active accounts are those with cash or promotional betting activity during the quarter and do not represent unique players as users are allowed to have accounts with different operators. Estimations show that the average monthly spend per active player account was CA$186.
Additionally, the latest quarterly update also breaks down the most popular iGaming verticals in the province. For instance, casino games, such as slots, live and computer-based table games and peer-to-peer bingo amassed almost CA$13.7 billion or 79% of the total wagers for the quarter. They also accounted for CA$471 million or 71% of the total pre-tax gambling proceeds.
Meanwhile, betting on sports, eSports, proposition, novelty bets, and even exchange betting amounted to CA$3.1 billion or 18% of the total wagers. It delivered CA$171 million or 25% of the gaming revenue. Peer-to-peer poker was with the lowest volume with CA$431 million or 2.5% of the total betting activity and CA$17 million (2.5%) of the total revenue.
Searching for Self-Exclusion Program Partner
Last month, iGO announced its intention to find a centralized self-exclusion solution for a simplified process for users. It said it will kick off a request for proposals in early 2024. The selected bidder will be able to develop and introduce a centralized self-exclusion system that will integrate with all operator systems and will support players’ self-exclusion registration, renewal, and reinstatement.
Source: “iGaming Ontario’s FY 2023-24 Q3 Market Performance Report” iGaming Ontario, January 17, 2024
