These days are particularly hectic for Paul Burns, who leads the Canadian Gaming Association. Given the current developments in the industry, it's easy to see why.Ontario sports betting market set to open in early April.
Recently, during a memorable outing in Hamilton, he had an epiphany about the reality of sports betting. While watching the Heritage Classic game at Tim Hortons Field with his daughter, he was struck by the conversations around him.
He noted, “From my seat in the stands, I could hear fans discussing the wagers they placed on the match.” Just before that thrilling event, the OLG unveiled a collaboration with the NHL, marking PROLINE as Canada's first official sportsbook for the league. It is currently the only avenue for legal single-game sports betting in the province.
However, this situation is set to evolve on April 4, the anticipated date for the launch of comprehensive, regulated online sports betting.Ontario online casino markets.
OntarioBets: In February, sports betting in New York reached a staggering $1.5 billion, making it the second-highest month ever recorded in the U.S. How has such news influenced your expectations for Ontario’s sports betting volumes?
Paul Burns: I believe the outcome will be fascinating to observe. Ontario might come close. There’s already a lot happening here. Many operators have been functioning within a gray area and will likely continue until they transition to the regulated market.
I prefer not to draw comparisons because the nuances of the Ontario market are unique. However, I do think we have the potential to compete robustly with New York. Several factors, including the sports calendar and the range of betting options available, will play a critical role in this. February had events like the Super Bowl and NFL playoffs, which are particularly lucrative for sportsbooks.
We will have to wait and see how many opportunities will arise for sports bettors. I’ve been informed that we could see 10 to 15 operators ready to go in the first month.
"I believe consumer choice is essential. In the upcoming month, people are going to want to explore various options.\"
Come Over from the Gray Side
OntarioBets: Do you think the new regulated market in Ontario will be appealing enough to attract gray market operators?
PB: Absolutely. We are already witnessing some of them obtaining licenses. The offerings will be appealing to both operators and consumers, creating an environment rich in choices and competition. The industry is actively seeking regulations, as it is preferred by the operators.
With companies alreadyapproved by the AGCO As more operators enter the application process, we can expect over 30 to be active in the market. Those currently in the gray area have established a strong customer following in Ontario and will be reluctant to relinquish their established client base.
OntarioBets: Have you identified any potential challenges, such as legal issues, that might cause delays in the launch scheduled for April 4?
PB: No. While speculators enjoy pondering various hypotheticals, all of that remains conjecture. The reality is that the government is progressing toward the launch, and numerous companies have made significant investments and established plans for the Ontario market. They have completed all preparations and are just awaiting April 4.
At this juncture, the government has no valid reason to hold back. Their intention is to advance, knowing that any delays mean revenue continues to exit the province. No one in Ontario benefits from postponement, and it’s clear the government understands this. There has been no indication suggesting any such delay will occur.
‘A Positive Indicator for the Industry’
OntarioBets: Therecent study by Deloitte (In a separate study, Deloitte estimated that legal single-event betting could lead to $28 billion in market wagers within five years of reform) revealing that among a sample of Canadian adults, only 19.2% were aware that we currently have a legal sports market. Were you surprised by that finding?
PB: I would argue that many individuals might not have realized it was illegal until now [chuckling], given how accessible betting has been and how much wagering occurred before legalization. Many sports enthusiasts are noticing an increase in discussions around sports betting.
"The study clearly indicated that a significant number of sports fans in Canada are keen to place bets on their favorite teams and events, which is a promising sign for the industry.\"
OntarioBets: What key takeaway emerged from the responsible advertising for iGaming webinar (hosted by IAB Canada and ThinkTV, featuring Burns, AGCO executives Brent McCurdy and Jay Welbourn, and iGaming Ontario's David Smith) last week?
PB: The key focus was on mass marketing strategies, specifically regarding incentives and bonuses. While these can still be offered, their promotion must be managed carefully. They cannot be included in widespread advertising campaigns. However, they can be highlighted on your own platform, especially when it comes to encouraging new players to create accounts. The goal is to minimize the presence of these incentives in mainstream ads. [According to the AGCO, bonuses and credits can still be communicated through direct marketing to those who have consented on the gaming site.]
The aim is to foster responsible gaming practices. Ontario will strike a reasonable balance in terms of what promotions can be advertised. There remains ample opportunity to market effectively. Ultimately, it will come down to the quality of the product, and gambling companies will need to market themselves accordingly. This adjustment to limit advertising incentives is a modest step, yet it is deliberate, and I believe companies will adapt well.
Fromdeereplanet.com
