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Jun
16th

Bingo Beating the Recession

In the UK, the offices of PriceWaterhouseCoopers International Ltd. have reported that the online gaming industry, which includes internet bingo, is outperforming any other leisure industry during the current global recession. The report states that online gaming revenues declined 5% last year a much smaller decline than that suffered by other leisure oriented industries. PriceWaterhouseCoopers is one of the largest and oldest professional services firms and enjoys a stellar reputation in the business world.

The report states that in the UK the national smoking ban has done more harm to the bingo and gaming industry than the recession. The report also says that bingo is the least cyclical form of gaming and that past damage done to the industry by the smoking ban and double taxation has left bingo less vulnerable to the effects of the global recession. David Trunkfield the Head of Gaming for PriceWaterhouseCoopers’ stated, “More habitual, lower ticket forms of neighbourhood gaming will perform better than impulsive purchases such as scratch cards or high stakes betting. Small stakes gaming such as bingo, lotteries and AWPs may well outperform the downturn. It appears likely that betting and casinos will be impacted more by the recession than bingo, which may benefit from the resilience of its target demographic.’

Trunkfield predicts that bingo revenues will decline by 0 to 3% in 2009 making bingo the least affected form of gaming. Trunkfield also notes that a large portion of bingo players are pensioners and not subject to fluctuations in income or concerns about job security. Trunkfield said, “In addition, the key target demographic may be insulated from the downturn by pension income and their disposable income should benefit from anticipated falls in the inflation rate for food and utility bills.”

The report notes that during the last recession casino gaming was hit particularly hard and expects the same results during the current recession. The recession has been a boon of sorts for online bingo. Many in the UK are looking for inexpensive home based entertainment and internet bingo games are a prefect fit. Fierce competition in the online bingo industry has benefited online bingo players in the form of bigger jackpots, more player perks, and better deposit and sign up bonuses. Despite the recession online bingo is still a growth industry.