The gambling industry, which is continuing to grow worldwide, is said to be worth over $450 billion, while in the United States alone the industry brings in yearly revenue of $50 billion. Its increasing growth has attracted plenty of companies to the market, which has brought with it startups looking to gain a foothold in the market.
In this article, we look at what sectors of the industry are undergoing change due to startups, what the future looks like for these new companies, and the new technologies they offer.
The Market Today
In the last couple of decades, the gambling industry has undergone a transformation. Services have moved from casinos and bookies to online applications and websites. Gamblers can now use their smart devices or laptops to gamble across a range of products, such as sports betting, and all of the games you’d typically find at an online casino in Canada. New users can sign up online and take advantage of offers like free spins or cashback, all from home, transforming the casino industry into one that is thriving digitally. This has opened the door to an advancement in technology that was previously unimaginable.
Of course, this isn’t to say that the casino industry hasn’t been making use of new technology in the past couple of years. For example, bookmakers and casinos use beacon technology, which allows companies to send notifications based on customers’ proximity to their stores as well as geolocator technology, which helps consumers find casinos or bookmakers in the surrounding area.
Startups Making Waves
What’s new is the focus on data analysis – not only looking at trends in the population but also what specific individuals like. With this information, developers are able to create bespoke, completely personalized offerings tailored to the wants and needs of very specific demographics. Sightline, a startup based in Las Vegas, has developed a suite of products that help gambling companies analyze these customers’ trends while also helping them manage their money. On the customer side of things, the company has also developed technology that allows gamblers to access faster funding options.
Another company helping casinos and bookmakers with their businesses is Syenap. Like Sightline, they’ve sought to help casinos using a range of platforms and technologies. For example, they offer systems that can track customer movement within buildings, which helps casinos determine which of their games are the most popular. This can help the casino manage the trends of their customers and what the casinos can do to influence these trends.
The company also offers completely integrated systems. These systems can allow a casino to see what’s affecting footfall on a particular day, or days, over the course of months or years. By way of example, they can analyze external factors like the weather to see how this affects business.
Startups in Sports Gambling
Over the Atlantic in Ireland, a young company founded by entrepreneur Oisin Walsh has created an application and website called Playnbrag. This brand essentially targets sports fans and offers players the chance to play fantasy sports for money. Players pick their favorite players each week, and if they perform favorably from week to week or over the course of a season, they can collect the winnings from their friends. The company has received funding from FasterCapital and brings with it new technology and new ideas to the sports gambling market.
According to Business Insider, $150 million in venture capital funding had been raised at the halfway point of 2023, so it’s clear that business is booming. Indeed, different projections estimate the casino and gambling industry to grow by hundreds of millions or even billions in the coming years. These startups are proving that there’s room to grow in the casino industry, and with the ever-increasing influence of artificial intelligence, the future of the casino industry is an exciting one.