The iGaming Market industry in Ontario is experiencing unprecedented growth, with online casinos emerging as the dominant revenue driver, overshadowing traditional sports betting platforms. According to the latest report released by iGaming Ontario (iGO), the Canadian province’s online gaming market saw a staggering surge in revenue throughout 2023.
In the first quarter, covering the period from April 1 to June 30, record-breaking total iGaming revenues of $545 million were recorded, marking a substantial increase from $162 million during the same period last year. Q2 saw similarly significant numbers posted with revenues up 105% on the same period from the previous year. Most recently, iGO revealed the third quarter posted a further 21% increase in wagers over Q2. It’s clear the market continues to soar.
In 2022, according to the iGO report, 18 companies were in existence, operating 31 brands. By the end of 2023, the incredibly competitive market in Ontario saw 47 companies operating 72 gaming websites.
Ontario iGaming market generates huge profits
The growth of the iGaming market in Ontario has been significant. Furthermore, there has been a substantial increase in active player accounts, reaching approximately 920,000 in the first quarter and surpassing 1.2 million by the third quarter. The average monthly spend per account jumped to $197, reflecting a notable rise from $113 recorded during the same period last year, indicating a surge in consumer engagement with online gaming platforms.
That’s been driven by greater choice, new platforms and an increasing number of games. In Q1 alone, slots online Canada based players, betting on popular games like Big Bass Bonanza, Gold Rush Express, and Sugar Rush, contributed to nearly $11.6 billion of total wagers. Alongside live casino table games, such as poker which generated $350 million in bets and $15 million in gaming revenue, that equates to $392 million of gaming revenue.
By Q3 revenues were still growing, reaching approximately $488 million. A robust 22% increase compared to the previous quarter. In addition, the recent quarterly update provides insights into the most favored iGaming market categories in Ontario. Casino games, including slots, live and computer-based table games, and bingo, attracted nearly $10.1 billion in wagers, comprising 79% of the total for the quarter.
Comparatively, sports betting, eSports, proposition, novelty bets, and exchange betting accounted for $2.2 billion in wagers, representing 18% of the total. This segment yielded $126 million in gaming revenue, comprising 25% of the total revenue generated.
A Competitive, Evolving Sector
Since the inception of the regulated market in Ontario, a total of $35.6 billion has been wagered, with online casinos dominating the scene with $27.6 billion in wagers and $940 million in revenue. Sports betting, on the other hand, accounted for $7 billion in wagers and $433 million in revenue, while poker generated $992 million in wagers and $40 million in revenue.
The staggering revenues within the sector underscore the transformative impact of online casinos on Ontario’s iGaming landscape. It signals a paradigm shift in consumer behavior and preferences within the rapidly evolving industry.
