Spain’s gambling market hits record revenue in second quarter
Spain’s gaming industry enjoyed increased patronage in the most recent quarter of this year, which allowed the industry to deliver remarkable performance and report one of the industry's most robust results since the outbreak of the COVID-19 pandemic. The gaming industry of the promising European market is surging, with the second quarter’s gross gaming revenue (GGR) hitting €312.6 million (US$333 million), up 2.52 per cent from the previous quarter and an impressive 55.06 per cent up from the corresponding quarter of last year.
This impressive increase in revenue follows a brief slump in early 2022, when year-on-year second quarter GGR had dipped 5.5 per cent year-over-year. The recent improvement owes mainly to two key sectors within the industry: casinos and sports betting. Taking the lead charge, casinos contributed €149.8 million (approx. US$159.6 million) to the GGR, which signifies the enduring significance of Spain’s physical gambling sector. It also revealed the profound impact of past COVID-19 restrictions on physical gaming establishments.
When it comes to sports betting segment, it also played a pivotal role by generating €133.3 million (approx. US$142 million), representing 42.64 per cent of the total GGR. This segment enjoyed a 2.07 per cent growth quarter-over-quarter and a staggering 118.9 per cent growth year-over-year. These figures are enough to prove that Spain’s gaming sector is experiencing a remarkable resurgence.
The aforementioned trends defy concerns that Spain’s traditional brick-&-mortar gambling venues are facing extinction, as the Spanish Association of Entrepreneurs of Game and Recreational Halls claimed in October last year.
Conventional sports betting grew 1.81 per cent, while live sports betting jumped 3.47 per cent from the previous quarter. Bets on horse racing notably spiked 22.67 per cent, although other odd bets experienced a slight decline of around 15 per cent.
In spite of Spain's reputation as a hotspot for prestigious poker tournaments, such as the European Poker Tour and the World Poker Tour, the country’s poker segment presented mixed results in the quarter under review. While it contributed €25.7 million (roughly US$27.38 million), comprising 8.4 per cent of the GGR, it witnessed a modest fall of 5.84 per cent compared to the previous quarter.
Unveiling intriguing insights into the gambling industry's marketing expenditures, Spain’s Directorate General for the Regulation of Gaming (DGOJ) has meanwhile revealed that a significant amount of €96.64 million (US$103 million) was spent on marketing, encompassing diverse components, including €12.29 million (US$13 million) on affiliate expenses, €1.22 million (US$1.3 million) on sponsorships, €48.96 million (US$52.16 million) on promotions, and €34.17 million (US$36.4 million) on advertisements.