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SPAIN | Online Gaming 2019: Solid growth, less weight of bets, more penalties, more operators and many approvals in progress
Since last Friday we can now download the Activity Report 2019. A document that perfectly summarizes the activity carried out by the Spanish Regulator, the Dirección General de Ordenación de Juego (DGOJ) and which also provides valuable data related to the evolution of the sector. We highlight the elements of greatest interest, from the message by way of presentation by the Director of the institution, Juan Espinosa to the most relevant data on the market and the tasks carried out by the DGOJ in 2019.
Since last Friday we can now download the Activity Report 2019. A document that perfectly summarizes the activity carried out by the Spanish Regulator, the General Directorate for the Regulation of Gambling (DGOJ) and which also provides valuable data related to the evolution of the sector. We highlight the elements of greatest interest, from the message by way of presentation by the Director of the institution, Juan Espinosa to the most relevant data on the market and the tasks carried out by the DGOJ in 2019.
The document begins with a brilliant reflection by Juan Espinosa, the Director of the DGOJ, in which he emphasizes the greatest importance, if possible, of this type of content, which together with the Quarterly Reports and the Annual Report, in addition to giving a clear image of what happens in the online gaming sector in our country, serves to demonstrate the commitment to transparency in the functions of this public body, which in addition to reporting the main magnitudes generated by operators, includes among its functions those of issuing licenses, control companies, sanction them if required and establish institutional relations with other national and international organizations:
"A transparency tool to face the challenges of the future" (Juan Espinosa)
In this second section of the 2019 Activity Report, the competence structure is detailed, delimiting each one of the functions of the different administrations regarding the commercialization of games of chance. In addition to the obligation to have authorization from the state administration through the general and unique licenses issued by the DGOJ in the field of betting, casino games, poker, slot machines and bingo and competitions, it is highlighted that SELAE and ONCE for their part would be subject to activity reserve.
As for the regional competition, it is pointed out that it is focused on land-based gaming (casino games, Bingo, Gaming and Gambling Machines, betting, regional online games, regional lotteries and other traditional games).
In this third section we already enter the matter, showing the key figures in the annual calculation of Online Gambling: amounts played and the GGR ("Gross Gaming Revenue" or, for our understanding, the Margin of Play). In the data provided we can see in the data provided that all the gaming segments grow except for Bingo (-11%) and Contests. Poker is maintained and it is the slot machines (+ 20%) and Live Roulette (+ 25%) the games that grow the most and that make us speak of a growth compared to 2018 of 6.95%, which means to overcome the 747 million GGR.
Regarding the number of operators in 2019, we highlight the current license holders for each of these segments, indicating in brackets the number of operators in 2018
Betting 45 (37)
Poker 10 (11)
Casino 51 (41)
Bingo 4 (7)
And specifically, the table that shows the participation of the main games in the GGR would have the following distribution by product:
Live Match Bets 30.6%
Conventional match bets 18.7%
Slots 20.9%
Poker (Tournaments) 7.04%
Poker (Cash) 3.82%
Live Roulette 7.85%
Conventional Roulette: 4.64%
In this section, the activities carried out by the General Directorate of Gambling Management are analyzed. We will be able to observe important data on the situation of the sector; especially in the matter of licenses and the control and sanction mechanisms that the DGOJ has.
This is a section, for example, it takes stock of the market expansion process started in 2018, highlighting the 65 applications for singular licenses granted and that currently there are 141 general licenses granted and 264 singular licenses in force.
We can also see the actions carried out in the gaming regulatory framework, highlighting three relevant aspects related to the control work:
1) Surveillance, control and inspection of the state-wide game: materializing in 97 complaints received in 2019 compared to 69 in 2018
2) Homologation of technical gaming systems: 117 requests received (in 2018 there were only 25), of which 37 have resolved favorably and 89 are still ongoing.
3) Pursuit of illegal gaming: a notable increase in the pursuit of 1,318 non-operational websites at the end of 2019, from 117 in 2013. 196 websites closed in 2019.
In addition, the agreements and collaboration agreements with the authorities are indicated in the prevention and control of fraud and the defense of the integrity of the game and how the Information and Sanctioning Activity is carried out:
The significant growth of these files with respect to 2018 responds to the infringement for the violation of the subjective prohibition of participants in sports competitions to bet on such competitions.
234 sanctioning files (22 initiated by the Secretary of State for Finance and 212 by the DGOJ). And the sanctioning Resolutions amount to € 32,394,600, of which 9 with disqualification for 2 years and a resolution on file by the investigating body.
Also regarding Illegal Game Persecution, we highlight the increase in the intensity of this aspect by achieving that there are already 1318 non-operational websites at the end of 2019 (in 2013 they were 117) with a total of 196 websites closed in 2019.
Other aspects to highlight on the last pages of the report would be the following:
