Key Moments:
- Tax revenues from gaming activities topped €11.62 billion, representing a 3.62% year-on-year increase.
- Total gaming turnover advanced by 8.53%, with online gaming displaying significant double-digit growth.
- Over 18.7 million active online accounts were recorded in 2023, with 5.2 million new registrations.
Strong Financial Performance and Market Expansion
The latest ADM Blue Book for 2023 confirms the gaming industry’s role as a key pillar within Italy’s economy. Both land-based and online gaming channels reflected upward momentum, driving total turnover higher by 8.53%. The industry’s overall payout ratio improved to 86%, coinciding with a 9.76% rise in player winnings and a 1.60% uptick in net player spend. Tax revenues reached €11.62 billion, even as the overall tax burden eased to 7.87%, down from 8.24% the previous year, reflecting the growing share of online play subject to lower taxation.
Diverse Revenue Streams Across Gaming Segments
Gaming machines remained the industry’s cornerstone, generating 52.71% of all revenues, backed by €33.7 billion in turnover. Players collected more than €25 billion in winnings, and the net spend clocked in at €8.5 billion. Numerical games and lotteries contributed 32.82% of the revenue pool, with scratch cards and traditional lotteries making up 49.66%, Lotto 31.48%, and numerical totalizer games 18.86%. Meanwhile, sports betting and horse racing contributed 6.54%, while Bingo and online skill games added 7.92%.
| Segment | Turnover (€ billion) | Winnings (€ billion) | Net Spend (€ billion) | Revenue Share (%) |
|---|---|---|---|---|
| Gaming Machines | 33.7 | 25+ | 8.5 | 52.71 |
| Numerical Games & Lotteries | N/A | N/A | N/A | 32.82 |
| Sports Betting & Horse Racing | N/A | N/A | N/A | 6.54 |
| Bingo & Online Skill Games | N/A | N/A | N/A | 7.92 |
Segment Breakdown: Lotto, Lotteries, Sports Betting, and Bingo
Lotteries continued to attract significant interest, producing €11.8 billion in turnover and €8.7 billion in winnings, while the net spend hit €3.1 billion. The Lotto alone reported €7.7 billion in turnover and €5.4 billion in winnings, leaving €2.2 billion in net spend. Regionally, Lotto remained highly favored in Campania (over €1 billion), Lombardy (€1.2 billion), and Lazio (€738 million).
In sports and horse racing betting, fixed-odds offerings saw a highly positive performance with turnover of €25.6 billion, up 14.18%. The gains came primarily from sports and virtual bets. Conversely, totalizer games, including categories like national horse betting and V7, fell by 10.06%. The horse racing segment reported €417 million in turnover, with €335 million in winnings, and a net spend of about €82 million, accounting for less than 1% of the market.
Land-based Bingo generated over €900 million in turnover. Campania and Lazio led this vertical with over €230 million and around €190 million respectively, followed by Lombardy and Emilia-Romagna. On the online front, Bingo produced €250 million in turnover, with €186 million returned as winnings and a net spend of €63 million.
Shift in Land-Based and Online Gaming
With the reopening of physical venues, land-based gaming reported a 3.40% gain. Sports betting (+15.21%), horse racing (+8.52%), lotteries (+7.61%), and Lotto (+3.92%) showed the highest momentum. Gaming machines, despite being dominant, dipped slightly by 0.14%.
Online gaming experienced vibrant growth of 12.95%. Digital lotteries stood out with a 64.84% increase, while online sports betting and skill games edged up by 14.59% and 12.77%, respectively.
Growth in Online Accounts and Demographic Trends
Throughout 2023, there were more than 18.7 million active online gaming accounts, fueled by approximately 5.2 million new sign-ups. Individuals aged 18-24 were the most active in creating new accounts, while the 25-34 age group represented the largest contingent of active account holders. Gender-wise, men comprised a significant majority with 14.6 million accounts, contrasted with 4 million accounts owned by women, a pattern mirrored in new registrations.
Enforcement Actions Against Illegal Gambling
ADM increased its territorial monitoring, conducting 19,894 physical inspections and blocking 490 unauthorized online platforms. The territorial monitoring index landed at 19.89%. Although the number of sanctions rose by 36.25%, both assessment and collection amounts fell, extending a dynamic seen in the previous year.
Regional Analysis Highlights Leading Markets
Market size varied widely across Italy. Lombardy led with turnover surpassing €12.4 billion, powered by gaming machines, lotteries, and Lotto. Campania posted more than €7.3 billion, boosted by Lotto and exceptional Bingo activity. Lazio reported over €6.4 billion, thanks to strong performances in Lotto, lotteries, and Bingo. Emilia-Romagna exceeded €4 billion, with notable contributions from land-based gaming and Bingo. Veneto and Piedmont each registered more than €3.5 billion, primarily through machines and lotteries. In the southern regions, Sicily (€4.2 billion) and Apulia (€3 billion) also turned in significant numbers.
| Region | Turnover (€ billion) | Main Contributing Segments |
|---|---|---|
| Lombardy | 12.4+ | Machines, Lotteries, Lotto |
| Campania | 7.3+ | Lotto, Bingo |
| Lazio | 6.4+ | Lotto, Lotteries, Bingo |
| Emilia-Romagna | 4+ | Land-Based Gaming, Bingo |
| Veneto | 3.5+ | Machines, Lotteries |
| Piedmont | 3.5+ | Machines, Lotteries |
| Sicily | 4.2 | N/A |
| Apulia | 3 | N/A |
Industry Outlook and Future Opportunities
The ADM’s 2023 Blue Book underscores a resilient industry adept at balancing traditional and emerging verticals. While machines maintain their position as market leaders, sectors such as lotteries, Lotto, and sports betting are proving vital to the market’s ongoing expansion. Strong double-digit growth in online channels suggests digital offerings are poised for greater significance. Leading regions, including Lombardy, Campania, and Lazio, continue to consolidate their market leadership, illustrating the regional concentration of gaming activity in Italy.
- Author
Daniel Williams
