Portugal’s online gambling industry continues its upward trajectory, setting a new revenue record of €261.8 million ($289.2 million) in the second quarter of 2024. This marks the eighth consecutive quarter of record-breaking revenue, slightly surpassing the previous high of €260.8 million ($288.75 million) recorded in Q1 2024.
The Q2 revenue also represents a 27.2% increase compared to the same period last year, according to data from the Serviço de Regulação e Inspeção de Jogos (SRIJ).
Online casinos remained the dominant force in Portugal’s gambling market, contributing €158.5 million ($175.48 million) to the total Q2 revenue. This figure reflects a 29.9% increase from €122.0 million ($135 million) in Q2 2023, though it is a slight decline from the €160.3 million generated in Q1 2024.
Portuguese players wagered a total of €4.37 billion ($4.84 billion) on online casino games during the quarter, which is 34.7% higher year-on-year and 0.4% above the Q1 2024 figures.
Slots were the most popular choice among players, accounting for 82.3% of all online casino wagers. French roulette and blackjack followed, representing 6.5% and 4.9% of the total spend, respectively, with the remaining amount spread across dice games and poker.
The sports betting sector also saw significant growth, with revenue reaching €103.3 million ($114.37 million), a 23.1% increase from Q2 2023 and a 2.8% rise from Q1 2024. Players spent €462.3 million ($511.84 million) on sports during the quarter, marking a 29.3% increase from the previous year. However, despite the start of the Euro 2024 football tournament towards the end of Q2, spending was 19.5% lower than in Q1.
Football remained the most popular sport for betting, making up 69.3% of all bets. Tennis and basketball accounted for 19.9% and 6.8% of the bets, respectively, with other sports comprising the remaining 4.1%.
The second quarter saw an overall surge in online gambling activity, with 287,600 new customers registering for accounts. However, 136,800 individuals opted to close their accounts during the same period. By the end of June, over 4.4 million consumers in Portugal held active online gambling accounts.
Self-exclusions also increased, with 47,300 consumers choosing to block themselves from gambling during Q2. This brought the total number of self-excluded players to 256,900 by the end of the quarter. Additionally, the SRIJ took action against illegal operators, issuing closure notifications to 38 websites deemed to be operating unlawfully in Portugal.
While the online sector thrives, Portugal’s land-based gambling industry experienced a decline in Q2, with total revenue falling 4.5% year-on-year to €63.7 million ($70.53 million). Physical slot machines, which accounted for 78.4% of all land-based revenue, saw a marginal increase of 0.8% to €50.0 million ($55.36 million).
However, revenue from casino-style and bingo games dropped by 19.9%, totaling €13.8 million ($15.28 million). The decline was particularly notable in baccarat, blackjack, and American roulette.
Despite the booming legal market, Portugal faces a significant challenge from illegal gambling operators. The Portuguese Online Gambling and Betting Association has warned of an “imminent danger to user safety” as the illegal market continues to attract players. A recent survey revealed that 41% of all Portuguese players use unlicensed platforms, with the figure rising to 52.1% among the 18-34 age group.
Licensed operators in Portugal are subject to high taxes, including an 8% turnover tax on sports betting and a 25% gross gaming revenue tax on online casinos, which may be driving players to unregulated alternatives. The association has previously taken legal action against social media influencers promoting illegal gambling sites, highlighting the ongoing struggle to protect the regulated market.
Original article: https://www.yogonet.com/international/noticias/2024/08/19/75877-portugals-online-gambling-revenue-reaches-new-heights-in-q2-illegal-market-poses-growing-threat
