Mobile Gambling Markets

Overview

- 3 Country Level Forecasts
- Successful Deployment Analysis
- Strategic Recommendations

This report provides a thorough examination of the mobile gambling market, appraising optimal models for deploying and marketing mobile gambling services.  It highlights the success of the Japan Racing Association (JRA) in developing a world-leading betting application as well as the dramatic adoption achieved by VODone’s mobile lottery service in China.

To this end, this report provides country level forecasts for both China and Japan, as well as for the UK, which continues to be the market leader in mobile casino services.  Key forecasts split by mobile casinos, mobile lotteries and mobile betting include:

• Number of users
• Average monthly wagers
• Total annual wagers
• Annual gross win

Table of Contents

Executive Summary

1. Drivers & Dynamics of Mobile Gambling

1.1 The Rise of Mobile Gambling
1.2 Mobile Gambling Drivers
1.2.1 The Dynamics of Mobile Gambling
Figure 1.1: Mobile Gambling - Selected Established & Emerging Drivers
i. Established Drivers
a. Convenience
b. Privacy
c. Ubiquity
ii. Emerging Drivers
a. The launch of the iPhone and the App Store
- The Impact of the App Store
- Apps & Gambling: Getting the Message Across
b. Apple allows Gambling Apps
c.  Improved User Interface
Figure 1.2: Touchscreen Smartphones, Touchscreen Featurephones - HTC Legend & LG Sentio
d. Smartphones are increasingly popular...
e. ...and Smartphones possess GPS
f. The Rise of M-Commerce/M-Banking
g. The World Cup
h. Mobile Internet Adoption is Increasing
i. Deregulation of Gambling Services (primarily Europe)
1.3 The Demographics of Mobile Gambling
1.4 Types of Games and Services
1.4.1 Casino Style Gambling
Table 2.1: Traditional Casino Games Popular with Online Gamblers
1.4.2 Lotteries
1.4.3 Sports Betting

2. The Evolution of Mobile Gambling Services

2.1 Developed Markets: Mobile Gambling After the iPhone
2.1.1 The App-Based Approach: Aiming for the Multitasking Generation
2.1.2 Content Discovery: Browser or Storefront?
i. Advantages of a Browser-Based Approach
a. Browser-Based Applications Have No Porting Costs
b. Browser-Based Apps Have No Memory Constraints
c. Browser-Based Apps/Content is Portable
ii. Disadvantages of a Browser-Based Approach
a. Browser-Based Services Require Connectivity
b. Browser-Based Applications Can Be Slow
c. Mobile Networks Will be Unable to Cope with a Browser-Based Model
d. Mobile Browsers Are Not Application Platforms
iii. The Rise of the Hybrid - Opportunities for Thin Clients
2.2 Emerging Markets: From Communication to Entertainment
2.2.1 Case Study: PhilWeb
2.3 Evolving Business Models
2.3.1 Trusted Brands or New Entrants - B2B vs D2C
i. B2B
Figure 2.1: B2B Value Chain, Mobile Gambling
a. Case Study: Spin 3
ii. D2C
b. Case Study: Probability
- Company Background
- Products & Services
c. Case Study: Betfair
- Company Background
- Products & Services
d. Case Study: Cellectivity
- Corporate Background
- Geographic Spread
- Key Clients and Strategic Partnerships
- High Level View of Offerings

3. The Opportunity for Mobile Gambling

3.1 Regulation - A Brief Overview
3.2 North America
3.2.1 Case Study: USA
i. Regulation
ii. Future Prospects
3.3 Latin America
i. Future Prospects
3.4 Western Europe
3.4.1 UK
i. Opportunities
3.4.2 Rest of Western Europe
i. Opportunities
a. Spain
b. France
c. Germany
3.5 Central & Eastern Europe
3.6 Far East & China
3.6.1 China
i. Overview
ii. Early Deployments
iii. VODone: The Leading Mobile Lottery
iv. Future Prospects
3.6.2 Japan
Figure 3.1: iPAT Access Via Mobile
Figure 3.2: Japan Horse Racing 2009: Total Wagers ($27.75 billion)
i. Future Prospects
3.6.3 South Korea
3.7 Indian Sub-Continent
3.8 Rest of Asia Pacific
3.9 Africa & Middle East

4. Forecasts by Sector

4.1 Introduction
4.1.1 Quantifying Mobile Gambling: Wagers & Gross Win
4.1.2 General Prevalence
Figure 4.1: Gambling Commission Estimate of UK Mobile Gambling Prevalence, % Adult Adoption, June 2006-June 2010
4.2 Mobile Casinos
4.2.1 Mobile Phone Users Who Gamble Using Casino Type Services
Table 4.1: Percentage of Mobile Users Who Partake in Casino-type Gambling Services Split By UK & 8 Key Regions 2008-2015
Figure 4.2: Number of Mobile Users (m) Who Partake in Casino-type Gambling Services Split By UK & 8 Key Regions 2008-2015
Table 4.2: Number of Mobile Users (m) Who Partake in Casino-type Gambling Services Split By UK & 8 Key Regions 2008-2015
4.2.2 Mobile Casino Average Monthly Wager
Figure 4.3: Average Monthly Stake ($) Per User, Mobile Casino Services Split By UK & 7 Key Regions 2009-2015
Table 4.3: Average Monthly Stake ($) Per User, Mobile Casino Services Split By UK & 7 Key Regions 2009-2015
4.2.3 Total Mobile Casino Stakes
Figure 4.4: Total Annual Stakes ($m) Mobile Casino Services Split By UK & 8 Key Regions 2009-2015
Table 4.4: Total Annual Stakes ($m) Mobile Casino Services Split By UK & 8 Key Regions 2009-2015
4.2.4 Total Mobile Casino Gross Win
Figure 4.5: Total Mobile Casino Gross Win ($m) (Single-User) Split By UK & 8 Key Regions 2009-2015
Table 4.5: Total Mobile Casino Gross Win ($m) (Single-User) Split By UK & 8 Key Regions 2009-2015
4.3 Mobile Lotteries
4.3.1 The Market for Mobile Lottery Participation
i. Users Who Buy Lottery Tickets via Their Mobile Phone
Table 4.6: Percentage of Mobile Phone Users Who Play Lottery Games via Their Mobile Phone Split By UK, China, Japan & 8 Key Regions 2008-2015
Figure 4.6: Mobile Users (m) Who Take Part in Lotteries via Their Mobile Phone Split By UK, China, Japan & 8 Key Regions 2008-2015
Table 4.7: Mobile Users (m) Who Take Part in Lotteries via Their Mobile Phone Split By UK, China, Japan & 8 Key Regions 2008-2015
4.3.2 Mobile Lottery Average Monthly Wager
Figure 4.7: Average Monthly Wager ($) Per User, Mobile Lottery Services Split By UK, China, Japan & 8 Key Regions 2009-2015
Table 4.8: Average Monthly Wager ($) Per User, Mobile Lottery Services Split By UK, China, Japan & 8 Key Regions 2009-2015
4.3.3 Total Mobile Lottery Wagers
Figure 4.8: Total Wagers ($m), Mobile Lottery Services Split By UK, China, Japan & 8 Key Regions 2009-2015.
Table 4.9: Total Wagers ($m), Mobile Lottery Services Split By UK, China, Japan & 8 Key Regions 2009-2015
4.3.4 Total Mobile Lottery Gross Win
Figure 4.9: Total Mobile Lottery Gross Win ($m) Split By UK, China, Japan & 8 Key Regions 2009-2015
Table 4.10: Total Mobile Lottery Gross Win ($m) Split By UK, China, Japan & 8 Key Regions 2009-2015
4.4 Mobile Betting
Table 4.11: Percentage of Mobile Phone Users Who Engage in Betting via Their Mobile Phone Split By UK, China, Japan & 8 Key Regions 2008-2015
Figure 4.10: Mobile Users (m) Who Place Bets via Their Mobile Phone Split By UK, Japan & 8 Key Regions 2009-2015
Table 4.12: Mobile Users (m) Who Place Bets via Their Mobile Phone. UK, China, Japan & 8 Key Regions 2008-2015
4.4.1 Mobile Betting Average Monthly Wager
Figure 4.11: Average Monthly Wager ($) Per User, Mobile Betting Services Split By UK, Japan & 8 Key Regions 2009-2015
Table 4.13: Average Monthly Wager ($) Per User, Mobile Betting Services Split By UK, Japan and 8 Key Regions 2009-2015
4.4.2 Total Mobile Betting Wagers
Figure 4.12: Total Wagers ($m), Mobile Lottery Services Split By UK, Japan and by 8 Key Regions 2009-2015
Table 4.14: Total Wagers ($m), Mobile Lottery Services Split By UK, China, Japan & 8 Key Regions 2009-2015
4.4.3 Total Mobile Betting Gross Win
Figure 4.13: Total Mobile Betting Gross Win ($m) Split By UK, Japan & 8 Key Regions 2009-2015
Table 4.15: Total Mobile Betting Gross Win ($m) Split By UK, China, Japan & 8 Key Regions 2009-2015
4.5 Total Market for Mobile Gambling Services
4.5.1 Total Mobile Gambling Wagers
Figure 4.14: Total Wager ($m) on Mobile Gambling Services Split By Betting, Lottery & Casino 2009-2015
Table 4.16: Total Wager ($m) on Mobile Gambling Services Split By Betting, Lottery & Casino 2009-2015
Figure 4.15: Total Wager ($m) on Mobile Gambling Services Split By UK, China, Japan & 8 Key Regions 2009-2015
Table 4.17 Total Wager ($m) on Mobile Gambling Services Split By UK, China, Japan & 8 Key Regions 2009-2015
4.5.2 Total Mobile Gambling Gross Win
Figure 4.16: Total Gross Win ($m) on Mobile Gambling Services Split By Betting, Lottery & Casino 2009-2015
Table 4.18: Total Gross Win ($m) on Mobile Gambling Services Split By Betting, Lottery & Casino 2009-2015
Figure 4.17: Total Gross Win ($m) on Mobile Gambling Services Split By UK, China, Japan & 8 Key Regions 2009-2015
Table 4.19: Total Gross Win ($m) on Mobile Gambling Services Split By UK, China, Japan & 8 Key Regions 2009-2015

5. Hurdles to Deployment and Adoption

5.1 Introduction
Figure 5.1: Addressing Key Hurdles to Mobile Gambling
5.2 Trust
5.3 Processing of Payments
5.4 The User Interface
5.5 Data Cost
5.6 Industry Structure
5.7 Network Coverage
5.8 Acceptance
5.8.1 Problem Gambling
i. Gamcare
5.9 Age Verification

Glossary

Companies Referenced

O2, Apple, AT&T, Betfair, Bwin, Cellectivity, De Lotto, Digital Chocolate, eBay, Hong Kong Jockey Club, HTC, Japan Racing Association, Ladbrokes, LG, Managed Gaming Solutions, Mfuse, mobenga, Mobile Lottery LLC, Mobilkom Austria, Netplay, Orange, Paddy Power, PhilWeb, Playtech, Probability, Safaricom, Sky Bet, Sorteo Games, Spin3, TabCorp, Unibet, Verizon Wireless, Vodafone, VODone, William Hill, Zero36 Group.