The French legal sports betting market has experienced a significant decline during Euro 2024, while the illegal market has surged. According to the French Online Gaming Association (AFJEL), the legal market showed no growth compared to Euro 2021 and saw a substantial 25% decline from the 2022 World Cup figures. Despite the French national team reaching the semi-finals, the stakes fell far short of the National Gaming Authority’s (ANJ) predicted record of €1 billion, with actual figures coming in 50% lower. This decline has been attributed to the rise of illegal gambling activities within the country.
Stagnation and Decline in Legal Sports Betting
The legal sports betting market in France has faced several challenges during Euro 2024. Despite high expectations, the market stagnated, showing no growth compared to previous tournaments. The stakes remained stagnant compared to Euro 2021, and there was a significant 25% drop in stakes from the 2022 World Cup. These figures are particularly concerning given that the French national team reached the semi-finals, a performance that would typically boost betting activity.
The lack of growth and the continuous decline in the number of unique players suggest a shift towards the illegal market. The AFJEL reported that the actual stakes were 50% below ANJ’s forecast, amounting to approximately €500 million. This decline in the legal market is a worrying trend for the industry, as it indicates a loss of confidence among bettors.
In addition to the decline in stakes, the number of unique players also decreased by 5.3% in 2023. This decline further highlights the challenges faced by the legal sports betting market in France. The AFJEL has expressed concerns over these trends, emphasizing the need for effective measures to curb the growth of the illegal market.
Rise of the Illegal Gambling Market
In stark contrast to the legal market, the illegal gambling market in France has flourished during Euro 2024. For the first time since the regulated market’s establishment in 2010, the number of illegal players surpassed those in the legal market, reaching 4 million in 2023. This growth has been driven by illegal online casino sites offering sports betting on Euro 2024 without any regulatory oversight or player protection measures.
These platforms have attracted players with enticing odds and the absence of legal restrictions. The AFJEL has raised concerns over the impact of the illegal market on the legal sports betting sector. Nicolas Béraud, President of AFJEL, stated that the initial assessment of Euro 2024 reveals figures that contradict the supposed frenzy of online sports betting on the legal market.
Despite efforts by the ANJ to block illegal sites, these measures have proven ineffective. Unlicensed operators continue to act with complete impunity, further exacerbating the issue. The regulator’s actions have not been sufficient to curb the growth of the illegal market, leaving over 4 million players exposed to significant risks.
Challenges in Curbing Illegal Gambling
The rise of the illegal gambling market presents several challenges for the French authorities. One of the primary challenges is the ineffectiveness of current measures to block illegal sites. Despite efforts by the ANJ, unlicensed operators continue to thrive, attracting players with more attractive options and the absence of regulatory constraints.
The absence of a regulated online casino market in France and the high taxes imposed on legal operators are also contributing factors. These factors drive players towards illegal platforms, which offer more attractive options without the burden of taxes or regulatory constraints. The AFJEL has emphasized the need for more effective measures to address these challenges and protect players from the risks associated with illegal gambling.
The situation is further compounded by the lack of growth within the licensed market in 2022 and 2023. The AFJEL has reported a 5.3% decline in unique players, indicating a shift towards the illegal market. This trend is contrary to European trends and the digitalization of the sector, highlighting the need for urgent action to address the issue.
