Norway’s Gambling Market Worth NOK43.7 Billion in 2017 - VIP Casino Bonus Bonus Offers, Free Spins + Casino Bonuses

Monday, July 16, 2018

Norway’s Gambling Market Worth NOK43.7 Billion in 2017

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Norway’s Gambling Market Worth NOK43.7 Billion in 2017

Norway’s regulated gambling market was worth NOK43.7 billion (approximately $5.4 billion/€4.6 billion) in 2017, figures released today by the country’s gambling regulator, Lotteri- og stiftelsestilsynet, show. Unregulated online gambling operations raked in net sales of between NOK2 billion and NOK2.2 billion last year, the Lottery Authority further pointed out in a publication from earlier today.

Norway’s regulated gambling market has grown 65.7% since 2012, the regulatory body’s figures showed. Here it is important to note that regulated gaming and betting services are only provided to Norwegian gamblers by two state-run operators – Norsk Tipping and Rikstoto.

Even though the monopoly model has been heavily criticized by European authorities and the gambling industry, as a whole, Norwegian lawmakers have repeatedly pointed out that the Scandinavian nation would stick to that model as they believe it provides the best possible protection to customers.

According to the Norwegian Lottery Authority, as many as 2.2 million people of the country’s overall population of 5.23 million (World Bank: 2016) gamble. Figures showed that about 62% of all Norwegian men and 54% of all Norwegian women participate in gambling activities.

Norsk Tipping’s Flax scratchcard brand and other number games were the highest grossing product last year, with gross revenue generated totaling NOK11.1 billion.

The Norwegian Lottery Authority also provided information about the number of problem gamblers in the country. According to the regulatory body’s latest report, there are 122,000 at risk or problem gamblers in Norway. The regulator believes that online casino and poker as well as online sports betting are the activities in which most of the country’s problem gamblers engage.

Norway’s Unregulated Market

Despite the current regulatory regime in Norway, gambling customers from the country are heavily targeted by unlicensed international companies. As mentioned above, the Norwegian Lottery Authority reported that net sales of up to NOK2.2 billion were generated last year from unregulated gambling operations. However, the size of Norway’s unregulated gambling market could actually be much larger as it is practically impossible to calculate the overall revenue all companies targeting Norwegian customers generate.

International operators were also found to have spent NOK866 million (approximately $107 million) last year on advertising their products on Norwegian television, up from NOK742 million in 2016.

Under Norway’s gambling regulations, Norsk Tipping and Rikstoto are the only two gambling entities allowed to advertise on television. However, international companies have been able to advertise their products for years by exploiting a loophole in these regulations by placing ads across television channels that broadcast from outside Norway.

That loophole could soon be closed as Norwegian lawmakers proposed the implementation of new rules that aimed at cracking down on unregulated gambling services provided to Norwegian gamblers. The proposed legislation also included provisions that would have a direct impact on foreign companies’ ability to advertise on Norwegian television.

The new rules were quickly approved by the Norwegian supreme legislature, the Storting, and were then sent for a review by the European Commission. The gambling legislation is now in a three-month standstill period and if the EC approves it or provides no comments on its, it could be implemented after September 5, 2018.

The post Norway’s Gambling Market Worth NOK43.7 Billion in 2017 appeared first on Casino News Daily.

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