A report conducted by Iovation has found that mobile transactions have grown at a yearly average of 95% since 2012 at online casinos.
Iovation’s 2019 Gambling Industry Report analysed trends and behaviour in the online gambling industry through collaborations and discussions with industry leaders and customers.
More than 518 million transactions were analysed from over 100 operators and platforms.
What were the Key Findings?
- Mobile transactions have grown at an average annual rate of 95% since 2012
- Game abuse and cheating shows signs of levelling out with a relatively small increase of 12%
- Credit card fraud on the increase with average annual growth of 39%
One of the key findings of the report was that mobile transactions have grown at an annual average rate of 95% from just 6% of overall online casino transactions in 2012 to 70% by 2018.
The figures also show that the percentage of online casino transactions from mobile devices has gone up from 62% in the year of 2017 to 70% in 2018.
Evidently, mobile technology and mobile gaming is continuing to expand throughout the online gambling industry.
Other Key Findings
The report also looked into fraudulent activities within the industry. Game abuse and cheating is still on the increase but is showings signs of levelling out.
Cheating was reported to have increased by 55% in 2017 but in the past year, the increase was relatively small at 12%.
However, credit card fraud is still a significant problem in the industry. The average annual growth of credit card fraud stands at 39% and has increased by 155% over the past five years.
Also, Iovation’s report noted major issues with self-exclusion schemes. Over 795,000 devices and more than 965,000 accounts which were associated with a self-exclusion report attempted to access online gambling.
These figures on self-exclusion indicate a growth of 73% since 2016.
As well as these findings, Iovation noted three key trends and challenges for the online gambling industry.
Changes in online gambling regulation in places such as India, the United States and Singapore brings opportunities to operators but also much fiercer competition.
Also, operators are under significantly increased regulatory scrutiny. Fines against operators have risen from £1.6 million in April 2017 to £18 million in April 2018.
The report also emphasised the need for convergence of fraud protection and authentication. The report noted that it’s important to fight fraud and protect customers across the entire life cycle without degrading the player experience.
Who Are Iovation?
Founded in 2004, Iovation is a TransUnion security company who believe the “internet should be a safe place for people to do business”.
They provide an online security and protection service to customers throughout the world which includes a world-class global fraud protection service.
On average, they block 900,000 fraud attempts daily and have protected a total of 42 billion transactions since their inception.
Iovation’s Gambling Industry Report will be available to attendees of the 2019 ICE London conference for those who would like to take a closer look.