Canadian Gambling Industry Thrives with Eye-Watering Revenues

Author:

Anastasia Petkov

|Published: July 3rd, 2024

Since the legalization of gambling in 1969, Canada's gambling industry has evolved into a diverse and lucrative market.

The advent of iGaming in the early 2000s accelerated this growth, offering players more options and contributing to impressive revenue figures.

Around six out of ten Canadians—approximately 23.36 million people — have gambled at least once in the past year.

Of these, over 19.3 million prefer online gambling, indicating a significant shift towards digital platforms.

Ontario: The Hub of iGaming

Ontario is the epicentre of Canada's iGaming industry, generating the highest revenue.

The launch of iGaming Ontario created a legal framework that allowed operators to enter the market quickly, resulting in explosive growth.

In Q4 2023 alone, Ontario's iGaming industry generated $658 million across 72 licensed websites, with around 1.2 million players contributing to this figure.

Spending Habits of Canadian Gamblers

Despite the industry's substantial revenue, individual spending on gambling is relatively modest.

Only 3% of gamblers spend more than $100 per month, while 43% spend no more than $20 monthly.

The average Canadian gambler spends around $6.75 per month, or $81 per year, on gambling activities.

Revenue from Different Gambling Forms

Bingo: Popular among the older generation, bingo continues to generate decent revenue, though specific Canadian statistics are scarce. The global bingo market is valued at approximately $2.66 billion.
Sports Betting: Legalized single-game betting in 2021 has boosted sports betting revenue. In Ontario, sports betting generated more than $1.48 billion between 2022 and 2023, surpassing initial estimates of $840 million.
Casinos: Both physical and online casinos have the highest earnings in the gambling sector. By the end of 2023, casino revenue was estimated to exceed $15 billion, with online gambling contributing around $13.7 billion.
Lottery: Lotteries have been popular since their inception in 1970. In 2022, lottery revenues reached nearly $10.43 billion, with Ontario leading at $4.65 billion, followed by Québec ($1.56 billion), British Columbia ($1.51 billion), and Alberta ($992 million).