iGaming Ontario’s Q3 Market Performance Report Shows Strong Growth in Online Gaming

The iGaming Ontario’s 2023-24 Q3 market report revealed that gamblers in Ontario placed bets totaling approximately $17.2 billion, generating a total gaming revenue of $658 million between Oct. 1, 2023, and Dec. 31, 2023. This significant figure marks a 21% increase in total handle and a 22% increase in total gaming revenue compared to Q2. The report also stated that there were 1.2 million active player accounts over the three-month period, with an average monthly spend of $186 per user.

Despite these impressive results, the figures do not include igaming revenue from the Ontario Lottery and Gaming Corporation (OLG), which operates its own iCasino and retail and online sports betting platform. OGL is expected to maintain 25%-30% of the online gaming market share despite increased competition from private operators.

The revenue breakdown shows that online casino games accounted for $13.7 billion of total wagers and $471 million of gaming revenue, while betting on sports, esports, proposition and novelty bets, as well as exchange betting, accounted for nearly $3.1 billion of total wagers and $171 million of gaming revenue. Peer-to-peer (P2P) poker accounted for $431 million of total wagers and $17 million of gaming revenue.

Ontario’s regulated iGaming market, which was launched on April 4, 2022, has imposed a roughly 20% annual tax rate on private operators, who also have to pay a $100,000 annual licensing fee to the Ontario government to run a commercial gaming site. Since its inception, the market has generated roughly $80.94 billion in total wagers and $3.15 billion in total gaming revenue.

As for sports betting revenue in the last three quarters (April 1, 2023-Dec. 31, 2023), it accounted for roughly $7 billion in total wagers and $427 million in total gaming revenue. In comparison to some of the top U.S. jurisdictions, Ontario’s sports betting market is lagging behind states like New York and New Jersey. However, it ranks as a top-five igaming jurisdiction in North America after New York, New Jersey, Michigan, and Pennsylvania, showing promising figures for its second year of operation.