In the past few years, online gambling businesses have witnessed a significant boom. They’ve proven very resilient in turbulent times, mainly because they don’t rely on hospitality services to function. What’s more, if regulated in the right way the iGaming sector can be a meaningful force multiplier to local economies. This is one of the reasons why some countries are re-evaluating their stance on this form of entertainment. They are taking necessary steps to establish regulatory infrastructure and make the activity legal.
The market is so competitive and prolific that it has spawned dozens of review sites where players can get informed. These reviews are usually geo-specific, so for Greece, there is GamblingORB and their team does an in-depth analysis of online casinos that are available in that region. These are all valuable resources for old and new players who are looking to find a new operator, without spending cash just to try it out.
Here we will focus on online casinos in Nigeria, and talk about their massive financial success in the past few years.
Casino Market Value in Nigeria
Nigeria has one of the biggest casino markets on the continent. With a $2 billion market value, it ranks second, slightly behind South Africa’s market, and has an estimated worth of $2.1 billion (ZAR 30 billion). It also outclasses Kenya by a slight margin, as its annual revenue is approximately $1.8 billion (KES200 billion). It’s evident that Nigerians love to gamble, but operators have gone above and beyond to make casino games and sports betting as accessible as possible.
Mobile compatibility, digital payments, and frequent bonuses all contribute to an increase in user engagement. Online sports betting Nigeria sites have been particularly effective, as nearly a third of the population bets once per week. In fact, betting on sports is such a common hobby that Nigeria ranks among the top 10 gambling countries. So, let’s go over their spending habits.
How Much Do Nigerians Spend on Gambling
National Lottery Trust Fund has analyzed the gambling data and the results are quite surprising. The population of the country is around 213.4 million while daily spending on gambling is $975 million. Since around one-third of Nigerian citizens (around 65 million) are active gamblers that would mean that everyone spends close to $14 – $15 per day.
TGM has also conducted a survey that helps us better understand Nigerian gambling habits. The findings of this survey were quite interesting:
- 9% gambles every day
- 33% gamble a few times per week
- 11% once a week
- 20% a few times a month
Basically, Nigeria sport bet activities are a part of everyday lives for many who live here. This is in part thanks to a strong passion for sports, but also because online casinos and sportsbooks have become a global trend.
Impact on The Economy
This is a developing economy, and just like in other developing economies seeing a high gambling participation rate seems concerning. However, it’s important to remember that these businesses had a positive impact too. They create job opportunities, their revenue is taxed, and entertainment hubs are always appealing to tourists. All of these things add up and help boost the standard of living.
Of course, nobody is advocating to give these businesses free rein. Strict regulation and strong responsible gambling measures must be in place. If the sector is that profitable it’s in their interest to fund other projects or help centers. This again leads to more employment opportunities and improved education. The way things stand iGaming sector will continue to boom here.
Future of iGaming
The projected revenue for 2024 of online casinos in Nigeria is currently at $254.50 million. According to some estimates, the annual growth rate should be 6.34%, which means that by the end of 2028, the revenue should reach $325.40 million. This is a clear indicator that the gambling ecosystem is healthy and that these businesses have a high acceptance rate among the population. This statement is reflected in another estimate that the number of active users will ramp up by 1.7 million.
All in all, the market is poised for continuous expansion, and ready to embrace new trends that come its way. Once again, career opportunities like reviews, affiliate marketing, help centers, etc. will follow suit. This is a good thing for casino enthusiasts and experts if they are looking for a job.
Conclusion
The impressive growth rate of the iGaming industry can be a double-edged sword. It is a great boon to the economy but poses a threat if left unchecked. The UK and Malta have been successfully regulating this industry and set a good blueprint for the rest to follow. Of course, gamblers also have a responsibility to temper their impulses and if needed cut themselves off from this system through self-exclusion.
