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The South African Gambling Industry in South Africa 2015

  • July 2015
  • 87 pages
  • Who Owns Whom
Report ID: 3343859


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South African Gambling Industry: This report focuses on the South African gambling industry, which generated an estimated R21.8bn in Gross Gambling Revenue (GGR) in 2013/2014. The sector, which includes sports betting, Limited Payout Machines (LPMs) and bingo, is dominated by the casino sector which currently contributes more than 75% to total GGR. As industry players paid R2.26bn in gambling taxes and levies in the last financial year and the entire sector has to date employed over 160,000 people, the gambling sector is an important one for the economy of the country.

Challenges and Opportunities: Although overall GGR increased by 4.3% in 2013/2014, stakeholders are concerned at the marked decrease from the 13.6% increase that was experienced during 2012/2013. Worsening economic conditions and the resultant decrease in disposable income, as well as proposed regulatory changes are expected to negatively affect future revenue. The competition offered by illegal gambling modes such as fah-fee, dog racing and particularly online gambling, continues to be a matter of concern. At the same time, advances in technology have resulted in an increase in online sports betting and the growth in popularity of LPMs and electronic bingo terminals (EBTs)

Report Coverage:
The report on the South African Gambling sector describes the current conditions, the challenges facing local role players and factors influencing the success of the industry. The report also profiles 15 companies active in the sector, including market leader Sun International Ltd which derived almost R8.5bn of its 2014 revenue from its casinos, Galaxy Bingo, which owns the licensing rights for its subsidiaries’ gambling venues, and Gold Circle Racing & Gaming Group, which operates a network of 122 betting outlets.

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