As it has been doing annually since 2005, Spectrum Gaming Group released its annual list of the top trends in gaming – the most significant issues that regulators, operators and suppliers need to consider as they make plans for the coming year. Spectrum has long focused on the future of gaming. Spectrum has completed engagements in 41 US states and territories and in 48 countries on six continents, with clients that include 22 US state and territory governments, six national governments, 22 Native American entities, numerous gaming companies (national and international) of all sizes, suppliers, lotteries, financial institutions, developers, and other gaming-related entities.

This list (ordered alphabetically), with input from our global experts on the ground around the world, represents both the opportunities and challenges that will be most impactful to revenue, profitability and public policy.

The following lists our top 10 trends for 2022, in alphabetical order. As always, the list is not exhaustive but simply focuses on what we see as the most significant trends. The list was compiled by experts throughout the Spectrum Group of Companies, as well as by Complianza, our Sweden-based strategic partner.

1. “Responsible gaming” will advance its metamorphosis into “safer gaming,” which reflects far more than simply a change in labeling. This underscores a subtle shift in which operators and regulators are being prodded to take proactive steps to address and minimize problem gambling, underage gambling and related issues. This re-labeling also recognizes that as new technologies and new forms of wagering become widespread, efforts to address problem gambling must similarly evolve, and also sends out a message that gambling can be conducted safely within certain parameters.

2. A prominent and permanent impact of the global pandemic will be the continual, irreversible growth of cashless wagering, which will lead to the additional impacts of an increase in rated gaming play and overall revenue growth (due to enhanced convenience) while also providing opportunities to more effectively track micro and macro gaming spending patterns and trends.

3. Esports will increasingly integrate with both destination and regional casinos, and will create new opportunities for both commercial and tribal gaming operators. The number of esports events taking place at casinos and greater integration of esports wagering within the ecosystem of mainstream sports wagering will take place. Equipped with more data and via trial and error, casino operators, digital gaming companies and bookmakers will have increased visibility into the profit potential of esports and all the ways it can impact the bottom line, paving the way for mainstream acceptance.

4. European regulators will advance toward tougher regulation and a tighter operating environment, thus squeezing operating margins and prompting further consolidation across vendors, operators and affiliates, as well as greater automation of operations. While more European markets will open up to igaming, suppliers and operators focus will continue to increase their focus on entry and expansion in the US market. The combination of fewer marketing options and high tax rates will also have the unintended consequence of making the black market more attractive to European players.

5. In Australia, regulatory agencies in New South Wales, Victoria and Western Australia will face tremendous pressure to reform to effectively regulate the gaming industry. The Crown hearings in New South Wales and Victoria exposed significant violations of AML laws/regulations, compliance related matters and exposed failures in corporate governance. The hearings also showed that the regulatory process failed to maintain the strong integrity standards that are the foundation of the regulated gaming industry

6. In Japan, the collapse of plans for a potential integrated resort in Yokohama is not expected to be the only disappointment, especially since strongly pro-IR Prime Minister Yoshihide Suga has recently stepped down. Despite that, we expect the RFP process to continue.

7. Policymakers across North America will continue to pivot to authorizing igaming and ilottery as the most important emerging verticals, likely eclipsing sports betting, which has already enjoyed an extraordinary expansion since 2018. This change will be fueled by the recognition that igaming and ilottery are more profitable than sports betting, as well as by the recognition that so many states have already authorized sports betting. At the same time, sports-betting providers will continue to add casino offerings to their portfolio.

8. The global pandemic is prompting both existing and potential gaming markets throughout Asia to revise their gaming policies. The Philippines is expected to expand casinos to Boracay in seeking extra tax revenues, while Thailand may finally consider establishing integrated resorts to bolster its economy.

9. The political and legal battles between regulated and unregulated gaming, including skill-based slot machines, will expand to more states as the battle gains a higher public profile. The stakes will grow increasingly high, particularly as the installed base of unregulated games grows. States will also face legislative standoffs as to whether such unregulated games should be converted to licensed, taxed games as VLTs or through other regulated means. That, in itself, will not address – and could exacerbate – the challenge that such machines create for existing legal, regulated forms of gaming.

10. The tender process for renewal of the Macau gaming concessions in 2022 will likely be delayed due to the pandemic. Given recent central government pronouncements about Macau’s role in the development of Hengqin Island, investment in Macau and Hengqin Island infrastructure will be a requirement of obtaining a concession. Moreover, Macau will not return to pre-pandemic revenue levels until 2023 and VIP gaming revenues will continue to fall. Macau regulators are expected to become more aggressive to enforce Macau gaming laws and regulations.
About Spectrum Gaming Group: Spectrum Gaming Group is a non-partisan consultancy that specializes in the economics, regulation, and policy of legalized gambling worldwide. We have provided independent research and professional services to public- and private-sector clients since 1993. We bring a wide industry perspective to every engagement, having worked in 41 US states and territories and in 48 countries on six continents. Spectrum serves as Executive Director of the National Council of Legislators from Gaming States (NCLGS), a testament to the credibility, quality, and independence of its work.

Spectrum Group affiliates include:
SPECTRUMGAMING.COM 1-609-926-5100