Published on: December 13, 2024, 10:57h.
Last updated on: December 13, 2024, 10:57h.
Recently, the Auditor General of Ontario released a report praising the Ontario Lottery and Gaming Corporation for adapting successfully to the competitive igaming market in Ontario since it opened in 2022.
The Ontario Lottery and Gaming Corporation had to adjust its business strategies to remain competitive when the commercial igaming market was introduced in 2022. Currently, there are 50 licensed operators in Ontario, including major brands such as FanDuel, BetMGM, and DraftKings.
Casino and Sports Betting Revenue Increase
According to OLG spokesperson Tony Bitonti, “OLG has experienced substantial growth in the digital business, surpassing expected market share. Customer trust in our brand is crucial in such a competitive environment.”
OLG operates in three main sectors – lottery (retail), land-based gaming (overseeing gaming at various facilities), and digital gaming (iCasino, iLottery, and iSports).
In fiscal year 2023-24, OLG reported a total gross online casino and sports betting revenue of $630 million, up from $561 million in 2022-23.
Canadian Gaming Market Share Statistics
The private gaming market in Ontario, excluding OLG, saw $64 billion in total wagers in FY 2023-24, generating $2.4 billion in gaming revenue.
According to H2 Gambling Capital, commercial operators in Ontario hold a 78% market share, while OLG has 16%, and offshore platforms maintain 5%.
H2 uses various data sources to estimate market size and growth rates in regulated markets where official data is not available.
H2: Leading Market Share Holders
Recent data from H2 Gambling Capital shows bet365 leading with a 15% market share in FY 2024, followed by FanDuel (13%) and Betano (9%). Other major players include Super Group (8%), BetMGM, Entain, and BetRivers (7% each).
The Auditor General, Shelley Spence, released the annual report as a follow-up to recommendations made to OLG in 2022 to enhance competitiveness in the new market.
Implementing Recommendations
As of Nov. 15, 2024, OLG had fully implemented 32% (17) of the recommended actions and were in the process of implementing 38% (20).
Implemented recommendations include the introduction of new igaming casino products, expansion of live game offerings, assessing staffing numbers, separating casino operator fees in financial reporting, and integrating self-exclusion programs.
New Casino Product Development
OLG developed a strategy in 2023 to introduce new products and games regularly. They have introduced 80 new games between February 1, 2024, and April 30, 2024.
OLG is exploring options for new product offerings and considering joining a national network or keeping products region-specific, with implementation expected by April 2025.
Leveling the Playing Field
OLG’s Chief Gaming Officer Dave Pridmore acknowledged the challenges of the competitive market, stating that it has forced OLG to rethink its operations and product offerings. He emphasized the importance of adhering to the same rules in a level playing field.
OLG appreciates the recommendations from the Auditor General and remains committed to implementing the suggestions for continuous improvement.