Ontario has released the first batch of online gambling numbers following months of waiting, iGaming
Ontario operators took more than CAD $4.1 billion (USD $3.1 billion) during its first quarter, according to iGaming Ontario’s first quarterly market report released Thursday. The operators held 4% for CAD $162 million (USD $124.million) in sports betting revenue, but it is important to note the overall handle also includes online casinos, making comparisons to US sports betting markets difficult.
The quarter includes the April 4 Ontario sports betting launch date through June 30.
“Our aim is to be the best gaming jurisdiction in the world and these positive results are an early sign that we’re on our way,” iGO Board Chair Dave Forestell said in a release. “With a competitive revenue share rate and low barriers to entry, Ontario is an attractive igaming market with a strong player base.”
These numbers don’t include Ontario Lottery and Gaming Corporation figures (including ProLine+), which runs online gambling as well. Some of the gray market operators launched as regulated products either during the quarter or afterwards. Both of those would be additive to the bottom line in Ontario.
Ontario vs. US market performance
The lack of separation between sports betting and online gaming numbers makes US comparisons hard. Ontario would be the fifth largest state in the US, so expectations are high for the market.
While it is still in its infancy, the Ontario online gaming figures are quite low for comparable states. Michigan operators, for instance, generated $465.7 million during the second quarter with significantly fewer potential bettors.
The US markets are generally approximately a 75%–25% online gaming-sports betting revenue split.
|Market||Population||Q2 Sports Betting + iGaming Revenue (USD)|
|Ontario||14.6 million||$124.4 million|
|New Jersey||8.9 million||$557.2 million|
|Pennsylvania||12.8 million||$520.9 million|
|Michigan||10 million||$465.7 million|
|Connecticut||3.6 million||$93 million|
|West Virginia||1.8 million||$33.4 million|
|Delaware||1 million||$4.6 million|
Ontario data expansion
The overall online gaming handle was taken by 18 operators with 31 websites. The report does not include Ontario Lottery and Gaming‘s iGaming product.
There are 492,000 accounts with cash activity, but they are not unique users. The average monthly spend per player was $113, according to the report.
Future reports will be more detailed, as iGO said it plans to provide:
- Gaming product segments
- Player protections
- Player demographics
- Economic impact of the gaming industry
Ontario sports betting performance still unknown
Sportsbook operators were relatively quiet during the recent earnings report season.
The only operator to include handle was PointsBet, which took USD$11.2 million in bets during the quarter. That is .4% of the overall iGaming market in Ontario.
Operators such as DraftKings and BetMGM suggested they are on track for their modest market expectations. Multiple sources suggest bet365 is the dominant player in the market.
Ontario winding down gray market sports betting
Earlier this week, former gray market operator Sports Interaction went live, potentially signaling the province is nearing the end of potential migration candidates. Other former gray market operators include bet365 and Betway.
With that in mind, Ontario regulators are seeking discussion on its transition from the gray market. In a document on the Alcohol and Gaming Commission of Ontario‘s stakeholder portal, regulators suggest Oct. 31 as a day they will begin to enforce the new rules.
After that date, operators will need iGO registration to do business lawfully in the province.