Friday, 16 March 2018: 9:50 AM
The gambling industry is an evolving marketplace, especially today’s gambling marketplace. With a multitude of different gaming mediums with potential revenue power, this paper aims to compare and contrast these mediums to pinpoint those who possess the greatest opportunity for success with millennials. There will be a brief literature review of the various gambling segments such as: lotteries, casinos, online poker, fantasy sports, and sports betting. Data gathered from various gambling platforms (such as Sage’s States Revenues from Gambling, the Casino City’s North American Gaming Almanac, Statista and Eilers & Krejcik Gaming) will explore the current status of each gambling segment. Using a series of panel regressions, the revenue potential for each gambling segment will be evaluated. The results will show that the revenue potential of lotteries and casinos have shown little or no growth potential. Online poker and fantasy sports have actually declined. This analysis will show that sports gambling is the most likely source of growth in gambling. The goal of this paper is to highlight how government in the U.S., state governments in particular, will have to change regulation of gambling activities so as to react to changes in the gambling market. The goals of the government will be (1) to increase revenue; (2) control consumption; and (3) to reduce the black market in sports gambling. In particular, who will operate sports gambling? Will private operators handle sports gambling as in Great Britain or will the lottery be the chief beneficiary of sports betting as in Spain?