Dutch Gambling Market Records Significant Growth in 2023-2024

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October 14th, 2024
Back Dutch Gambling Market Records Significant Growth in 2023-2024

The Dutch gambling market has shown notable progress in recent years, particularly throughout 2023 and the beginning of 2024. According to the latest data released by the Dutch Gambling Authority (KSA), the total gross gaming result (GSR) for the legal gambling market climbed to €4 billion in 2023, reflecting a 21.2% increase compared to 2022’s figures. This rise is primarily attributed to the recovery of the land-based casino sector and the continued expansion of online gambling, which remains on a strong upward trajectory.

Land-Based Casinos See Recovery but Still Lag Behind Pre-COVID Levels

The land-based gambling sector experienced a resurgence in 2023 after years of struggling due to pandemic-related restrictions. For the first time since 2019, the sector was able to operate for a full year without any limitations, leading to a 19% increase in GSR for land-based casinos. Despite this growth, the GSR for this sector is still below the levels seen before the COVID-19 pandemic, as 2019 remains the benchmark for comparison. Slot machines and table games were the main drivers behind this rebound, contributing substantially to the overall growth of the market.

Online gambling has emerged as a key contributor to the Dutch gambling market’s growth. In the first half of 2024, the GSR from online gambling increased by 8%, rising from €696 million in the second half of 2023 to €752 million. Much of this growth was fueled by an increase in sports betting activity, boosted by major sporting events.

Casino games against the house, such as table games and slot machines, remained dominant in the online sector, accounting for 72% of the total GSR during the first six months of 2024. This trend aligns with previous forecasts, reinforcing the position of online gambling as a significant sector in the Dutch market.

In terms of market share, lotteries and casino games (both land-based and online) continue to dominate the Dutch gambling landscape. Lotteries accounted for 30% of the total GSR in 2023, with notable contributions from the National Postcode Lottery, Staatsloterij, and VriendenLoterij. Casino games, on the other hand, generated €2.4 billion in GSR, making up 61% of the market. Of this total, 45% came from online casino games, underscoring the strong performance of digital gambling platforms in the Netherlands.

Sports Betting Shows Modest Growth

Although sports betting remains the smallest segment in the Dutch gambling market, it did see some growth in 2023. The GSR for sports betting increased by 9.7%, rising from €318 million in 2022 to €349 million in 2023. A significant portion of this growth is attributed to online sports betting, which now represents 83% of the sports betting market, following its legalization in October 2021.

The number of online gambling accounts also grew throughout 2023 and into 2024, with an average of 1.07 million accounts active per month by early 2024. Despite this growth in accounts, the actual number of active players remained relatively stable, averaging around 455,000 each month. This discrepancy is partly due to individuals holding multiple gambling accounts across different platforms. By early 2024, approximately 5.4% of the Dutch adult population participated in online gambling, with the vast majority (95%) choosing licensed operators.

While the Dutch gambling market has experienced notable growth, players in the Netherlands still spend less on gambling than their European peers. In 2023, the average annual gambling expenditure per adult in the Netherlands stood at €272, up from €258 in 2022. However, this figure remains below the European Union average of €339 per person.

Online gamblers in the Netherlands spent an average of €158 per month during the first half of 2024, leading to a total expenditure of €946 over the six-month period. Young adults, particularly those aged 18-23, are an increasingly active segment of the online gambling market, accounting for 10.8% of the total GSR in the first half of 2024, up from 9.6% in the second half of 2023. Despite their increased participation, younger players tend to lose less money, with average monthly losses amounting to €55.

In 2023, the number of people receiving treatment for gambling addiction rose significantly. A total of 2,456 individuals sought treatment, reflecting a 28% increase compared to the previous year. However, it is worth noting that this rise in reported cases may partly be due to improved data collection from addiction treatment facilities. When only comparing figures from institutions that reported data in both 2022 and 2023, the increase is around 16%.

The Dutch gambling market continues to experience robust growth, particularly in the online gambling sector. While the land-based casino market has shown signs of recovery, it has yet to reach pre-pandemic levels. Online gambling, driven by casino games and sports betting, remains a key contributor to the overall market’s expansion. Although Dutch players spend less on gambling than the European average, the market is expected to continue its upward trajectory as participation grows across various demographics.

Source:

''State of affairs of the Dutch gambling market 2023-2024''kansspelautoriteit.nl, October 10, 2024.

“The sports betting sector remains the smallest, with a market share of 9% (of which 7% is online).”

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