In Germany, channelization for online slots is between 20%-40%. This is according to the latest estimates from online casino trade body DOCV or Deutscher Online Casinoverband.
Speaking at the “Beer of DOCV, Pretzels, and Policy” networking event during the ICE conference on January 21, Dirk Quermann shared key insights. He is the president of Germany’s online slots and casino group. Quermann told attendees that academics provided these estimates.
Mathias Dahms, president of DSWV, Germany’s online betting trade body, spoke alongside Dirk Quermann on the sports betting side. According to him, channelization for the vertical was around 60%-70%.
DSWV estimates that 29 online betting license holders operate in Germany. They collected a total of €7.3 billion (£6.1 billion / $7.7 billion) in stakes over the past year, with an estimated gross gaming revenue (GGR) of €1.1 billion.
From 2023, this represents a 4% rise in stakes. Nevertheless, stakes overall have dropped 15% since the 5.3% turnover tax was introduced in 2021.
According to Dahms, the body believes GGL or the Gemeinsame Glücksspielbehörde der Länder, betting regulator of Germany, has not recognized the scale of the black market and the problem it is causing for the sector locally.
Dahms told attendees that they have an increasing black market problem in Germany. They are quite sure the black market estimates of the GGL are far too low. So far, they believe GGL has yet to fully recognize the black market problem that affects their daily operations.
Back in July, the GGL reported it estimated the total gambling black market made up around 4% of the overall German market in its 2023 annual report. Yet, this included online betting, online slots and land-based German revenues.
The total gambling market for the year was €13.7 billion. At the time, GGL estimated that the black market generated between €400 million and €600 million in GGR during the period. The GGL said that of this sum, €3 billion was generated online.
