Spain’s Online Gambling Revenue Grows 14.4% in Q3 Amid Eased Ad Restrictions
Spain’s Directorate General for Gambling Regulation (DGOJ) has reported a 14.4% year-on-year increase in online gross gaming revenue (GGR) for Q3 2024, reaching €348.1 million ($366.5 million). The growth follows the Supreme Court’s decision in April to relax marketing restrictions, which has spurred further investment and activity within the sector.
Casino Sector Leads Growth
The casino segment saw the largest gains, generating €188 million in GGR, representing 54% of the total online revenue. This marked a 17.3% year-on-year growth and a 9.5% increase from Q2. Significant contributors included blackjack revenue, up 49.4%, and slots, which grew 25.8%.
In contrast, sports betting GGR fell 6.6% quarter-on-quarter to €135.9 million, despite a 19.8% year-on-year increase. Pre-match betting declined by 24.3%, while in-play betting saw an 8.7% rise. Poker continued its downward trajectory, with GGR dropping 19.7% from Q2 and 23.5% year-on-year to €20.5 million. Bingo recorded modest growth of 0.7% quarter-on-quarter and 1.7% year-on-year, generating €3.7 million in GGR.
Marketing Spend Fuels Growth
Operators significantly ramped up marketing efforts, increasing expenditure by 9.7% quarter-on-quarter and 40.9% year-on-year to €131.7 million. Promotions accounted for €66.9 million, ads for €50.4 million, affiliate expenses for €13.2 million, and sponsorships for €1.3 million.
Relaxed ad restrictions allowed for the reintroduction of welcome bonuses and celebrity advertising, contributing to a 33.3% year-on-year rise in active gaming accounts, with an average of 1,443,615 active accounts per month. New accounts also surged, with a 42.4% increase to a monthly average of 153,181.
Industry Perspectives
Codere Online’s CEO, Aviv Sher, highlighted the positive market environment, citing increased player retention and loyalty rates. While welcome bonuses slightly impacted profit margins, they contributed to broader market growth in Q3.
With eased marketing regulations and rising player activity, Spain’s online gambling sector is well-positioned for sustained growth. Industry leaders and regulators will likely monitor the effects of these changes on player behavior and market dynamics in the coming quarters.
