Casino Management Systems Market - Growth, Trends, COVID-19 Impact, and Forecasts (2021 - 2026)

The casino management systems market is expected to grow at a CAGR of 12.97% over the forecast period (2021 - 2026). Due to the nationwide lockdown, people are staying home, and some are turning to the gaming platforms to pass the time. These platforms are attracting more than hundreds and thousands of new visitors in online traffic which has negatively affected the studied market.

• Casino management systems include software and hardware to track players, analyze behavior, cash, and accounting, security and surveillance, or a combination of these.
• The casinos require a comprehensive software and hardware system to keep track of operations and maintain a smooth flow throughout the working procedure. The primary purpose is to track players and analyze behavior, constant security, and surveillance. These are some of the functions which hold the utmost priority in the functioning of casinos.
• Over half of the leading casino companies globally are based in the US; therefore, it comes as no surprise that gambling is the popular past-time. Casinos make up the largest part of the commercial gaming segment, popular with U.S.-citizens and international tourists. In year 2019, commercial gaming in the U.S. generated approximately USD 41.28 billion in revenue.
• In the state of Goa, India, both land-based and water-based casinos are legal. The first casino in Goa opened in 1999, and there are now 15 of them, with five offshore in ships anchored on the MandoviRiver. With an estimated 15,000 guests daily, the Goangovernment earns around INR 1.35 billion (USD 22 million) in taxes from the business.
• In European countries, players tend towards more offline casino gaming. For instance, in 2019, offline gambling was the most popular way of gambling in Italy. According to the data, offline gamblers accounted for 18.3 of all respondents over the period considered. Conversely, only two percent of gamblers claimed to bet exclusively online in the selected year.
• Currently, the vendors in the market are expanding their online games solutions in order to sustain the pandemic and compensate the loss of revenue. Through this, vendors are diversifying portfolio of assets, product and services that uniquely position them to weather this crisis. For instance, in 2021, Scientific Games Corporation has expanded its portfolio of games developed under license from Hasbro, Inc. with the launch of its new feature-packed online slot game CLUEDO Cash Mystery.
• Additionally, according to Verizon's recent study, there has been a 115% increase in gaming usage in the United States alone, compared to a typical day before COVID-19. The online gaming platforms and live streaming services also continued to break their records for concurrent users throughout March and April.

Key Market Trends

Analytics Segment Occupies the Largest Market Share

• Casino operators have terabytes of data with them, which includes customer information. Analytics help the casino operators to maintain the customer database.
• Analytics today not only record customer database but have also evolved to segmenting customers based on profitability, to predict profitability, manipulate customer behavior with specific promotional offers, and market campaigns targeted at a specific segment of customers.
• With the use of predictive analytics, casinos can now graph a customer’s value and anticipate the customer’s behavior. With increasing investments in database warehousing technologies and due to the widespread adoption of loyalty cards, most customer transactions are tracked.
• With increased competition and more housings than before, casinos are laying heavy emphasis on analytics, to compete with one another and ensure they attract more consumers.
• With hundreds of casinos in the countries, it is very important for the casinos to use the data collected by them in a proper way as the competition is very fierce and customer retention is very tough. For instance, the United States alone consists of over 1900 casinos, which is a cut-throat competition and customer retention and new customer acquisition is only possible by using and analyzing customer data efficiently.

North America to Witness the Dominant Market Growth

• North America had a history of allowing many forms of gambling and a relatively high degree of tolerance for illegal gambling. This allowance has made casinos and gambling a popular mode of entertainment in the region since its inception in Europe 200 years ago.
• In United States, all offline and online U.S license and regulated casinos are required to have systems and procedures in place that can and will help players and gamblers getting help and assistance if they have any type of gambling-related problems. Offline or land-based casinos are huge in number in the USA, and it will only be casinos that are licensed and operated in the individual states that will be permitted to offer legal online gambling services to their customers.
• Further, any winnings over and above USD 1200 must be logged and reported to the tax authorities (the IRS) in USA by a casino; however, customers that are citizens of some other countries that are visiting a casino and win big will not be subject to having to pay tax on their winnings, due to treaties and agreements signed with those other countries by the U.S. Government.
• With the use of predictive analytics, casinos can now graph the customer’s value and anticipate the customer’s behavior. With increasing investments in database warehousing technologies and due to the widespread adoption of loyalty cards, most customer transactions are being tracked. With the increased competition and more housing than before, casinos are heavily emphasizing analytics to compete with one another and ensure they attract more consumers.
• In 2019, Century Casinos, Inc. agreed to acquire three casinos' operations (Isle Casino Cape Girardeau, Lady Luck Caruthersville and Mountaineer Casino, and Racetrack Resort) from Eldorado Resorts Inc. for USD 107.0 million. This acquisition will transform the company into a premier regional casino operator in the region.

Competitive Landscape

The casino management systems market comprises of global and regional players vying for attention in an increasingly competitive market place. The market is mildly concentrated and the emergence of regional CMS vendors and the deployment of flexible pricing schemes have also intensified the competitive rivalry. The major players in the market are International Game Technology PLC, Novomatic AG, Bally Technologies Inc., Konami Gaming Inc., among others.

• February 2021 - International Game Technology PLC has signed a four-year contract extension with the Kentucy lottery Corporation to continue providing its iLotteryplatform and mobile app and add engaging new IGT PlayLotterycontent to the Lottery’s existing digital game portfolio.

Reasons to Purchase this report:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support

This product will be delivered within 2 business days.