Posted on: June 17, 2022, 08:57h.
Last updated on: June 17, 2022, 09:13h.
Canada’s decision last year to open its betting and gambling markets proved to be a smart move. However, Ontario, which expected to be the market leader, is finding it has competition from other provinces.
As soon as Canada began discussing the possibility of offering an expanded sports betting market, Ontario was ready to jump in. It’s the largest province in Canada, with a population of almost 15 million, so it thought it would be the largest betting and gambling market.
As Canada’s gambling industry evolves, Ontario hasn’t quite taken the lead it expected. Online gambling and betting are on the rise. But other provinces are receiving more attention.
Trepidation in Ontario
Ontario waded into the online gambling and betting spaces in April. In contrast to most other provinces, which gave control of gambling to their respective lottery operators, Ontario opened its market to private entities.
There are now over 20 gaming operators in Ontario, and the province is doing well with its market. However, not as well as other parts of the country. The area known as Atlantic Canada is enjoying more traffic, according to a recent survey.
Atlantic Canada consists of four provinces – New Brunswick, Newfoundland and Labrador, Nova Scotia, and Prince Edward Island. Their combined population, around 2.5 million, is far less than that of Ontario.
Global research company Ipsos recently conducted a limited survey across Canada. It found that Atlantic Canada has the highest percentage of online gamblers and bettors out of all of the provinces.
The Atlantic Canada region has a penetration of 41%. Both Ontario and British Columbia follow with 33%. Quebec is next, with 26%, and Albert and Manitoba/Saskatchewan have 24% and 22%, respectively.
Additionally, Atlantic Canada residents are more prone to sign up for online gambling and betting accounts. The average there is 4.7. This is true in Ontario, as well, where the province operates its own OLG.ca betting platform. However, there is a much narrower margin.
In Ontario, private operators account for 25% of the registrations. OLG.ca has attracted 23%.
Despite the higher percentage of registrations in Atlantic Canada, the lottery-led model there and in other provinces isn’t proving overly successful. 56% of bettors and gamblers across the country still prefer to use private operators. Only 44% wager through the provincial government sites.
Quebec is the exception. Its Lotoquebec.com operator controls 57% of the market.
Private Operators Offer Better Deals
The reason for the greater attraction to private operators stems from enticements. The Ipsos survey found that most people preferred the odds, payouts, and range of activities private operators offer. The government-led sites, however, came up short.
For example, 36% of the respondents said that private operators offer the best odds and payouts. Only 12%, however, felt the government sites prevailed in the category. Notably, 43% said both types of operators offered comparable deals.
From the beginning, single-game betting was offered in British Columbia, Ontario, and New Brunswick. In addition, Newfoundland and Labrador and Prince Edward Island also began offering the activity. Alberta, like Ontario, followed suit and provided a market for third-party operators to enter.
Similar to the Northwest Territories and Saskatchewan, Yukon, Nunavut legalized single-game betting at retail outlets in November. Nova Scotia was the last province to allow its residents to wager on sports.