Industry predictions for 2021: mental health support and market consolidation

Ian Chuter, sports and gaming consultant

Regulation

2021 will see a balance restored following the gambling act review. Affordability and social responsibility have been the hot topics over the last few years. The balance between consumer protection and privacy laws has never been tested as much in recent years. The UK industry has been for decades looked upon with envy. When regulation goes too far the black market will thrive as we have seen in Sweden. The internet does not have any boundaries so it’s critical that the needs of the 99% are considered and support provided for the 1% that need it. However, the gambling review is welcomed so evidence-based decisions can be made and proper debate takes place that recognises privacy laws and consumer protection.

Mental health

In a post-furlough and Covid-free society, the true impact of 2020 will begin to surface. Employers’ duty of care will be tested to the limit once employees return to work. Loneliness and bereavement will be key drivers and it will be upon us all to give time in our work and social environments to help and care for those affected. Simple acts of kindness and “how are you” will become the norm. There are many firms demonstrating that they recognise this issue and are putting in excellent programmes to provide the support needed. I predict this is the start of a welcome change to the society that we live in.

Economic recovery

With debt levels running at £400bn and the cost of managing Covid nearing £300bn in the UK, 2021 will be the start of the long road to recovery. Taxes will have to be raised in smarter ways if the Conservative government is going to stick to their manifesto promise of the triple lock tax pledge. This will mean that firms will have to pay and the gambling sector has traditionally been a soft target so prepare for the worst.

Salvatore Marino, sales director, Stakelogic

Innovation

Operators and content providers will need to work harder in 2021 to get player’s attention and retain them successfully. Am sure 2021 will bring some new concepts into community player tournaments and content differentiation to help covering a bigger share of player needs and likes.

Market consolidation

With the great performances on casino and RNG-based games of 2020, the big operators will look to acquire the smaller operator to reach a more complex player segmentation.

Regulation across Europe

With Germany and the Netherlands finalising the local regulation, in 2021 we will see the main European markets being regulated, perhaps Russia after regulating the sportsbook vertical will move forward with new online casino regulation.

Differentiation

The pandemic taught the industry that standardisation strategy, even though in certain cases can be fruitful, is never the safest option. The industry will switch more and more into offering a differentiated product from casino RNG providers which are entering the live casino vertical and vice versa to mono-product operators that today are already planning to add other important verticals such as esports, sportsbook etc.