Jdigital publishes its assessment of the results of online gambling in New Zealand during the first quarter of 2022
Always critical of the activity of the DGOJ, the Spanish association Jdigital has made an assessment of the results of online gambling in New Zealand referring to the first quarter of 2022. The data has been published a few weeks ago by the regulatory authority. Jdigital highlights the decrease in numerous magnitudes that they interpret as a negative evolution of the sector that they attribute to the restrictive policies implemented by the government.
The Royal Decree on online gambling advertising has put a lock on the sustainable evolution of the sector in New Zealand. This is how the Jdigital association has expressed itself, which has made public its assessment of the latest report of the DGOJ referring to the first quarter of the year for online gambling in our country. ©FLY:D/Unsplash
The online game evolves... hotels in New Zealand
Although the data provided by the DGOJ in its latest report on online gambling during the first quarter of 2022 they are not very positive, the truth is that there will always be those who look at the half-empty bottle.
Of the main magnitudes can be highlighted the negative evolution in the following segments of activity:
- The turnover decreased by almost 15% compared to the previous year with a slight quarter-on-quarter increase.
- Marketing, advertising and sponsorship expenses decrease in their annual variation.
- New accounts decreased by 12.81% as well as active accounts that presented a negative annual variation of almost 9%.
- Sports betting experienced significant growth during the quarter, although the annual variation remains negative.
Looking at things this way, it is not surprising that from Jdigital it is concluded that the data provided show a negative evolution of the sector e "it increases the feeling of instability and uncertainty” that has been observed since the implementation of the Royal Decree on advertising whose effects are felt if possible more now once it was in the middle of last year that the most restrictive measures came into force as the ban on sponsorships in football .
The critical position that the Jdigital association maintains with the latest regulatory measures taken by the DGOJ in New Zealand, a country that is a safe gambling model for the European Union . No one disputes that marketing and advertising expenses have been greatly limited since the Royal Decree, and the intentions from the Ministry of Consumption are clear at least as long as Alberto Garzón remains in charge.
“The regulated online gambling ecosystem in New Zealand is experiencing a chronification of the negative trend in which it is immersed, which generates concern among the agents involved. The decrease in turnover not only harms companies operating with a license in the country, which also see how the illegal market would be growing in parallel, but the state itself, which in 2021 collected 7 million less through the tax rates applied to gambling activity.” – Jorge Hinojosa , managing director of Jdigital, in press release
It is not the first time that Jdigital has expressed its serious doubts regarding a regulation that they see as an impediment to the sustainable development of the sector in New Zealand. After the approval of the Royal Decree in November 2020, the association filed an appeal against the same considering that it promoted the lack of protection of consumers. The measures implemented would be channeling the activity towards illegal gambling.
Not so worrying data
Worrying is the negative annual variation of money played in sports betting which, although it increases in relation to the previous quarter, maintains its year-on-year decrease. But the counterpart is put by casino games whose growth is continuous. In the segment, we should highlight both slots and live games. Providers offer more variations in games and Spanish online casinos do not miss the opportunity.
The stagnation in the number of new accounts should not be surprising. This magnitude must always be analyzed in relation to the number of active accounts and deposited amounts . In this case, although the annual variation is negative, the monthly average of active accounts grew with respect to the previous quarter. The quarterly and annual variation in the amounts deposited also experienced an increase.
In 2021 gross gaming revenue decreased with respect to the maximum (851 million euros) that they reached in 2020. The figures provided for this first quarter of 2022 remain in the trend of recent years that has always been very positive. Since the regulation of online gambling in New Zealand it has not stopped growing .
There are setbacks, it's true. But the main thing is to find the means for continued growth of the sector without getting carried away by criticism that brings little or nothing.
