Marginal quarterly decline recorded in gambling in Spain

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Spain’s national gambling regulator, the Directorate General for the Regulation of Games of Chancereleased industry figures for the second quarter of 2022.

Casino games lead the way

For the three months ended June 30, 2022, licensed gaming operators in Spain recorded a gross gaming revenue (GGR) of €203.95 million ($206.6 million) to post a marginal decline of 0.3% from the prior quarter and a decline of 5.6% from the respective three-month period in 2021.

Spread across verticals, Casino with €117.2 million ($108.7 million) accounted for the largest share of the total, 57.4%, followed by sports betting with €60.9 million ($61.7 million) representing 29.9% of the total.

Poker was the other vertical with a double-digit share, 11.1% of the total, with €22.5 million ($22.8 million), while bingo added another 1.6%, 3.4 million euros ($3.4 million) in GGR. Fantasy contests represented just €10,000 ($10,100) registering just under half a percent.

Of all the segments, only Casino recorded growth, of 5.6% on a sequential basis and 17.3% year-on-year, driven by slot machine operations which increased by 23% compared to the same three-month period in 2021 and live roulette with an increase of 15.4%.

The sports betting segment fell 6.7% from the previous quarter and 33.8% year-on-year. Internal vertical dynamics showed single event betting jumped 15.2%, while live betting fell 23.1% on a sequential basis. Horse trading increased by 172.6% while other betting markets fell by 36%.

Poker and bingo generated declines from the previous quarter of 7.9% and 6.6%, and increases of 10.8% and 2.7%, respectively, from the second quarter of 2021.

Poker’s decline comes from 8.3% less for tournaments and 6.99% less for cash games while on a sequential basis, these two posted increases of 6.3% and 21.34%, respectively.

Reduced marketing costs

The quarterly results were obtained with less expenses compared to the previous quarter and the second quarter of 2021. The operators spent 89.6 million euros on the marketing of their products and services (90.8 million dollars), i.e. 4.8% lower than the previous quarter and 30.2% lower than the respective period in 2021.

Of the total, licensees spent €49.5 million ($50.1 million) on promotions, €31.9 million ($32.3 million) in advertising, 7.9 million euros ($8 million) on affiliate services and €380,000 ($385,000) on sponsorships. Promotional costs, when broken down, showed €21.5 million ($21.8 million) in prize money and 28 million euros ($28.3 million) in other promotions.

Ad spend in the quarter was down 7.4% from the prior quarter of 2022 and 48.3% from ad spend in the second quarter of 2021; affiliate and promotion expenses also decreased 11.6% and 1.3% sequentially.

The quarter saw player deposits increase by 0.6% despite the number of monthly active gaming accounts decreasing by 2.4% to 996,149 from the previous count, with new accounts decreasing by 5.5%.


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