Canadian Gaming Business Volume 18 No.1

Exploring new horizons As Alberta’s iGaming review continues, operators are turning eyes westward

Vol. 18 - No. 1 - Spring 2025

Keeping up with the Joneses How lottery corporations are moving forward amid stiff competition

What we do in the shadows Just how big is Canada’s grey market these days?

Snuneymuxw enters gaming space Why BC First Nation acquired two casinos from GCE in 2024

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E D I T O R’ S N O T E

EDITOR’S NOTE Hello and welcome to the first Canadian Gaming Business magazine of 2025.

There’s no such thing as a dull year in Canadian gaming, and 2024 proved that emphatically. We’ve done our best to cover all bases for you in one place.

A key focus is Alberta, which was one of the prevailing topics of conversation through the year.

As the provincial government takes its time to get its online gaming model right, operators are keenly waiting in the wings for more details to emerge. We spoke directly to executives at BetMGM and PointsBet for our cover story about the opportunity that lays at their door.

In another feature, we also chatted to various Albertan stakeholders about the

process in the province so far.

We’ve also taken a dive into Ontario, of course. Taking a look at the respective yearly reporting of iGaming Ontario and Ontario Lottery and Gaming Corporation paints a picture of how the province’s regulated market continues to boom as we close in on the three-year milestone. As for the grey market in Ontario and elsewhere, H2 Gambling Capital data shines some light on the size and makeup of unregulated gaming in Canada.

Other deep dives we’ve got for you include a look at how provincial lottery corporations moved to keep up with the pace in 2024, how iGaming regulation drives safer gambling innovation, why Toronto getting a WNBA team next year provides a big opportunity for sportsbooks, why a BC First Nation

is stepping into the world of casino operations, and how AI is driving payments into the future.

On a personal note, I’ll take a moment to say it’s great to be back as CGB magazine editor after a few years away. Kudos to my colleague and predecessor as editor, Charlie Horner, for setting a high bar.

Please dive in, and we hope you enjoy this issue of CGB. Who knows what developments we may be discussing by the time our next issue rolls around.

gale n i t h g i N m To

CanadianGamingBusiness.com

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Editor Tom Nightingale Editorial Team Andrew McCarron, Martyn Elliott, Chris Murphy, Craig Davies, Jessica Welman, Joe Streeter, Ted Menmuir, Ted OrmeClaye, Lucía Gando, Conor Porter, Viktor Kayed, Callum Williams, Danny Lee, Jessie Sale, Fernando Noodt, Isadora Marcante, Elisa Marcante, Justin Byers, Tom Nightingale, Christian Lee, Kieran O’Connor.

Sales Team Rasmus Sojmark, John Cook, Alyona Gromova, Conall McCabe, Jan Kowalczyk, Richard Deacon, Bob McFarland, Craig Brown, Juan Ospina, Brandon Ramirez, Ed Young.

Creative Lead | Design & Layout Jessica Camilleri

contents

The Canadian Gaming Business Magazine is brought to you by SBC - Sports Betting Community.

8 Turning eyes westward

BetMGM and PointsBet are among the operators waiting keenly in the wings as Alberta mulls its path towards a commercial online gaming market.

12 What we do in the shadows

Just how big is the existing unregulated grey market in Ontario and elsewhere? H2 Gambling Capital crunched the numbers for us.

16 Slow and furious

The gambling advertising regulations debate has arrived in Canada and looks set to stay for the long term.

26 Keeping up with the Joneses

Leaders from BCLC and AGLC know they must keep moving forward amid stiff competition in their respective provinces.

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Entering 30 Snuneymuxw: the gaming space The BC First Nation acquired two Vancouver Island casinos from Great Canadian Entertainment in 2024. Why, and what’s next?

Canadian affordability 39 Are checks coming?

In North America, the idea still feels like an unlikelihood, but developments in Europe give food for thought.

messaging in 42 RG multicultural Canada In a country like ours, with a multi-faceted player base, there’s no one-size-fits-all solution for getting the RG message across.

regulation drives 54 How safer gambling At New Horizons in Vancouver, operators and regulators discussed the benefits of collaborative oversight in Ontario and beyond.

All material is strictly copyrighted and all rights are reserved. No part of this publication may be reproduced in whole or in part without the written permission of Sports Betting Community Ltd. Although every effort has been made to ensure the accuracy of the information contained in this publication, Sports Betting Community Ltd cannot be held responsible for any errors it may contain. Sports Betting Community Ltd cannot be held responsible for the loss or damage of any material, solicited or unsolicited. The views of the publication are not necessarily the views of Sports Betting Community Ltd or those of the advertisers.

Produced and published by Sports Betting Community Ltd: Registered address: SBC, Riverbank House, 1 Putney Bridge Approach, London, SW6 3JD Tel: +44 (0) 161 367 1250. Email: sales@sbcgaming.com. Web: www.sbcgaming.com For daily news relating to the Canadian sports betting, casino and lottery business, please visit CanadianGamingBusiness.com.

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CGA COLUMN

There has been a lot of emotional discussion, but a glaring absence of facts, data, or understanding

Into the light Why regulated advertising is a tool for online gambling WORDS BY PAUL BURNS

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Spring 2025

CGA COLUMN

G

ambling is a legal and regulated entertainment choice for Canadians. We have had access to a wide array of gambling opportunities for more than three decades. With Ontario’s fully regulated marketplace for online gaming and sports wagering has come the highest levels of consumer protection in Canada.

In the two years since Ontario’s launch, nearly 90% of online gambling has moved into the regulated regime from unregulated sites, which had no requirements for consumer protection.

One of the privileges of obtaining a licence in Ontario is advertising. Advertising is a way for consumers to know who the licensed and regulated operators are, as they are entitled to use the iGaming Ontario (iGO) logo on their ads.

Canada’s gaming industry uses a wide array of integrated measures to support and disseminate information to enable players to make informed decisions and encourage safe play. Ontario’s regulatory standards outline more than 20 measures related to advertising, including prohibiting mass-marketing of bonuses or incentives and mandating problem gambling awareness training.

Operators in Ontario must: • Prominently promote and make available tools to support responsible play – i.e. time, wager, and loss limits, a range of time-out settings, and the ability to self-exclude.

• Provide 24-hour live customer support.

• Put out responsible gaming advertising to promote responsible gambling tools.

• Establish risk profiles and provide a mechanism for intervention for players exhibiting risky behaviour.

• Include the Ontario Connex 1-800 number in all TV ads, improving awareness and knowledge of problem gambling assistance programs.

The industry fully supports consumer protection measures that focus on youth and potentially vulnerable groups and has been diligent in ensuring advertising meets the current standards, proof of which is there were no violations in the first 30+ months of the market for allowing underage access to online gambling. It is nonsensical others may wish Bill C-218 hadn’t been passed, as what existed before kept

the activity hidden with no way of knowing what, if any, player protections were being offered.

There has been a lot of emotional discussion about gaming advertising, but a glaring absence of facts, data, or understanding of the evolution of Canadian online gaming, and why the actions Ontario took to regulate gaming were needed, welcomed, and worthy of applause.

In recognition of this absence, the Canadian Gaming Association (CGA) commissioned a research study from Media Radar/Vivvix in the summer of 2024. Here are some findings: • Online gambling has only represented 2% of all TV ad occurrences in 2021, 2022 and 2023.

• When compared to other key categories, online gambling represents an 8% share of total media ad spend.

• You are three times more likely to see an automotive or financial services ad than a gambling ad.

• Only 6% of NHL and 4% of NBA game ad occurrences were for online gambling • There was an overall 15% decrease in TV ad spend during the last third of 2023 vs. 2022 during peak sports programming.

The CGA also contracted Vancouver-based researcher Dr. Kahlil Philander, who has extensive experience in the gaming industry, to undertake a World Health Organization-recognized ‘rapid review’ of available academic literature on the impacts of online gambling advertising as they relate to responsible gambling policy.

The findings highlight a distinct trend: regulatory policies are evolving faster than the accompanying evidence base. As such, the authors cautioned that this misalignment may lead to regulations that overreach or are insufficiently nuanced, thus failing to address the subtleties of modern gambling advertising practices.

It is only through regulation that we can bring online gaming out of the shadows and into the light and ensure proper player protections are available, bets are fair, and activity is safe.

Advertising is one legal tool to help the industry do just that.

CanadianGamingBusiness.com

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COVER STORY

TURNING EYES WESTWARD WORDS BY TOM NIGHTINGALE

As Alberta mulls its path forwards towards online gaming, operators wait keenly in the wings.

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COVER STORY

I

t didn’t become a reality, but 2024 was the year that set the wheels in motion on the road to regulated commercial online gaming and betting in Alberta. Hopes that the timeline for launch could extend no further than early 2025 may have proven fanciful, but a second Canadian province opening its doors sometime this year remains a real possibility, if not a likelihood.

Minister of Service Alberta and Red Tape Reduction Dale Nally’s office told CGB in October that more time is needed to continue conversations with stakeholders and allow them more input on the model. Nally said at the Global Gaming Expo soon afterwards that he hopes to be back in Vegas at G2E 2025 talking about an open, competitive market.

The timeline may be uncertain and brakes may have been pumped for now, but the commitment remains.

“There was a growing concern about just how they were going to get everything done in the time required,” Canadian Gaming Association President and CEO Paul Burns tells CGB. “The government are making sure they can meet all the objectives they’re setting out for themselves. The timeline has paused but I don’t believe there’s any less commitment to getting this done. I just think there’s a very good commitment to getting it right.”

Operators recognize size of opportunity For numerous commercial operators with an existing presence in Ontario’s lucrative market, there is an understandable keen interest in how things proceed.

The topic of Albertan expansion was a regular one in companies’ earnings calls and other public addresses in 2024. From large-scale U.S. market players to made-inCanada brands, eyes are being cast towards Wild Rose Country.

The consensus is that the opportunity is a big one.

BetRivers’ owner Rush Street Interactive’s CEO Richard Schwartz noted Alberta has the highest per-capita spending on gaming in Canada, something echoed by Burns.

NorthStar Gaming’s CEO Michael Moskowitz pointed to a young average adult age. theScore Bet parent PENN Entertainment’s CEO Jay Snowden suggested that Alberta could quickly become a top four North American market for the company.

Canadian Gaming Business spoke to BetMGM VP of Canada, Scott Woodgate, and PointsBet Canada CEO Scott Vanderwel about the potential that an open market in Alberta would offer their companies.

“We’re very interested,” says Woodgate. “It’s a unique market and we look forward to meeting the demands of the Alberta customers and the province’s distinct sports and gaming culture.”

All-in on omnichannel potential While the exact expected makeup of an Alberta market isn’t known for sure, there have been suggestions that the province will replicate some of the basics seen in Ontario: numerous operators, perhaps even an uncapped number, and a twin-vertical model allowing for online casino as well as online sportsbook.

We see Alberta as not just another market, but as a critical region that can help shape our future

In Ontario, it’s the fomer that dominates, with casino games accounting for 86% of the betting activity and 75% of the GGR reported by iGaming Ontario as of October.

Whether those percentages would be similar in Alberta is conjecture at this point, but companies like BetMGM and PointsBet that have a strong presence across both verticals, sees a big cross-channel opportunity.

Woodgate adds that BetMGM sees the potential for Alberta to become a key omnichannel market in its North America-wide operation.

“Alberta is a key part of our growth strategy in Canada,” Vanderwel adds.

“We see Alberta as not just another market, but as a critical region that can help shape our future. Assuming iGaming is regulated alongside sports betting, we plan to offer a full casino product from day one.”

CanadianGamingBusiness.com

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COVER STORY

It’s a good-sized market with strong incomes, a young and growing population, a great hockey market. It checks a lot of boxes

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COVER STORY

Oilers’ run illustrates puck potential Meanwhile, another thing operators seem to agree on is that Alberta’s deeprooted sports culture is a big draw towards the market.

The province has a passionate and engaged sports community with a strong interest in the NFL south of the border and Canada’s lone NBA and MLB teams in Ontario. Then, of course, there are Alberta’s own major teams, spearheaded by the CFL’s Calgary Stampeders and Edmonton Elks and, of course, the NHL’s Edmonton Oilers and Calgary Flames.

In 2024, the Oilers’ run to the Stanley Cup Final underscored the size of the sports betting opportunity.

Edmonton was only the second Canadian team in the last decade to go all the way to the championship series, and they were Alberta’s first representative in the Final since the Oilers were last there in 2006.

The Oilers’ playoff progress precipitated the biggest rush of betting activity AGLC’s Play Alberta sportsbook has ever seen.

Commercial operators must have been watching, wishing they were able to jump into the action in the team’s home province.

“Alberta bettors are known for their deep-rooted loyalty to local teams,” Vanderwel notes. “In Ontario, we’ve seen a very diverse range of sports preferences, but Alberta has a strong focus on more traditional sports like hockey and football. So, our approach will be more targeted in these areas. We plan

to tailor our product offerings and marketing strategies to resonate with these preferences to ensure we feel authentic and relevant to Albertans.”

BetMGM is in a particularly interesting position when it comes to Alberta’s hockey potential, given it has struck prominent ambassadorial partnerships with Wayne Gretzky and Connor McDavid, perhaps the province’s two greatest sporting adopted sons.

“We’ve obviously gotten into business with a couple of guys from Alberta,” Woodgate remarks. “So, it’s fair to say we see the appeal. It’s a dynamic province. It’s a good-sized market with strong incomes, a young and growing population, and it’s a great hockey market. It checks a lot of boxes.”

Big questions still need answering Check a lot of boxes it may, but there’s a long way still to walk down the road. While we know there is a keenness from stakeholders both inside and outside Alberta to see a market open, there’s much more we don’t know.

Will the number of operators be capped? What will the regulatory standards be? How much will the licensing fees be? What about the tax rate? (Both Woodgate and Vanderwel voiced confidence that Alberta’s rate will sit no higher than Ontario’s 20%.) Will operators already licensed in Ontario have to go through all the same processes again, paying two sets of compliance fees or two sets of insurance, and so forth?

“Obviously, there’s a lot we don’t know at this point about the details behind regulation,” Woodgate acknowledged. “We need to see those details. A lot depends on things we don’t yet know.”

That is a serious consideration, of course. But it’s not a deterrent to those operators who see big potential in Alberta. Competition has thrived in Ontario’s market in the first years of it opening its doors. The likelihood seems to be that Alberta will be no different.

The path to fruition is proving long as stakeholders have their say and the Alberta government assesses its best path forward. But Vanderwel, like Burns at the CGA, is confident that due diligence will pay dividends.

“It took Ontario a great deal of time to get up and running, and there’s undoubtedly a lot of decisions to make for the Alberta government,” he added. “But, though there are different consumer preferences, they can be guided by what worked in Ontario.

That should allow them to move forward with confidence.”

“We didn’t really know what to expect in Ontario,” Woodgate concluded. “But one thing we learned is that the real competition starts once the regulated market is up and running and you can showcase your product and talk directly to your consumer.

“As in Ontario, every operator is going to be working fairly diligently to make sure they’re ready for when Alberta fires the starting gun. We’ll be no exception.”

CanadianGamingBusiness.com

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BY THE NUMBERS

WHAT WE DO IN THE SHADOWS An unregulated grey market continues to operate in Canadian gaming. But just how big is that slice?

WORDS BY TOM NIGHTINGALE

T

he unregulated market. The grey market. The offshore market. Call it what you will, but a sizeable chunk of online gaming activity in Canada continues to be done on platforms that do not have a licence to operate there.

This is nothing new, of course. Ontario now hosts more than 50 licensed and regulated iGaming and online betting operators. Some of those brands already boasted significant recognition and visibility by the time they officially came to market when the province opened its doors on April 4, 2022. Even now, after more than two years of lucrative licensed business, others choose to circumvent the licensing process.

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Spring 2025

In other provinces, the lottery corporations run the only government-sanctioned gambling platforms, but most of them frequently and openly acknowledge that business is being lost to unlicensed providers.

How the lotteries assess their own success varies. Alberta Gaming, Liquor and Cannabis (AGLC) published a statistic last year suggesting that its Play Alberta platform has captured around 45% of Alberta’s online gambling market. More recently, the Atlantic Lottery for clarity stated in its full-year report that its online gambling operations hold a 22% market share. Whether or not you take those numbers at face value, it’s clear that a huge amount of business goes elsewhere.

BY THE NUMBERS

So, what really does go on in the shadows?

Just how big is the grey market?

Ontario channelization may be even higher than thought

For many reasons, not least the inherent lack of clarity and information around unregulated gambling as well as the logistical difficulties of assessing where gambling dollars go, we’ll never know for sure. But there is plenty of market research dedicated to answering that question.

The core argument for and goal of regulating online gaming in Ontario was channelling as much activity as possible through regulated, licensed sites in order to achieve secondary aims of revenue capture, player protection, increased competition, and so forth.

Experts at H2 Gambling Capital shared with CGB online betting and gaming data from October 2024 about the apparent state of play across Canada.

On balance, you’d have to say the first two years of the province’s market were hugely successful in this regard. iGaming Ontario has vaunted an 86% channelization rate as of April 2024, and has publicly outlined that its goal is to achieve 90% within five years.

CanadianGamingBusiness.com

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BY THE NUMBERS

Ontario Online Market Share 17% 7%

63% 77%

Commercial Operators OLG Offshore dot com

2

3

20% 17%

The H2 data provided to CGB suggests that, with the help of the Ontario Lottery and Gaming Corporation (OLG), the province may already be there.

Per H2, as of the fiscal year ending March 2024 (FY24), total gross win across online betting and gaming in Ontario was $3.17 billion, of which $2.96 billion came through regulated sites including OLG’s platforms. That would represent a 93% regulated market, up from what H2 data suggests was 83% in FY23.

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20

20

24

including lottery. As commercial operators’ pooled market share increased from 63% to 77% from FY23 to FY24, the crown corporation’s slice thinned from 20% to 16%, although not to the same extent as the grey market (from 17% to 7%).

Alberta picture is mostly in greyscale So, that’s Ontario. What about the other provinces?

H2 projects that rate will be 95% in FY25.

Pre-regulation, offshore gambling made up more like 75%, although it’s worth bearing in mind that the total market itself was far smaller in terms of GGR ($1.02 billion in FY21 vs. $2.27 billion in FY23 and $3.17 billion in FY24).

In Québec, where Loto-Québec’s monopoly on regulated gaming has faced a high-profile campaign of opposition from the operator-led Québec Online Gaming Coalition, H2 pegs the lottery’s market share at 44% as of FY24.

H2’s analysis since FY21 suggests that has not wavered much over the last four years, constantly sitting between 42% and 46%.

H2’s data suggests that, accounting for the unregulated share, OLG holds around 16% of Ontario’s online gambling market, not

The British Columbia Lottery Corporation also holds close to half of the online gaming market in its province. However, its share has

BY THE NUMBERS

% Regulated, FY 2024 % Unregulated, FY 2024 80

Ontario regulated market (GGR in $m) Ontario unregulated market (GGR in $m) 4000

72

60

49 51

56

3672 2963

3000

44

1876

2000

40 28

1000

20 0

Alberta British Columbia Quebec

slid somewhat over the last few years, dipping from 59% in FY21 to 49% in FY24. This has come as the unregulated online gaming market has grown post-pandemic, although H2 also noted that the numbers reflect the fact that BCLC’s online business grew strongly in FY21 and has largely remained flat since.

Given the ongoing conversations around Alberta, the data from that province makes for particularly interesting reading. The data shown to CGB suggests that, contrary to the previous estimate of 45% cited by AGLC, in reality the grey market is more dominant in Alberta than it may appear.

Alberta launched regulated online casino towards the end of 2020 and has grown from a low base since then. While Play Alberta’s market capture has grown significantly since 2021, H2 found that the platform has never held more than 30% of the total online gambling market. As of FY24, it sits at 28%.

0

936

775 246

353

FY 2021

FY 2022

393 FY 2023

210

183

FY 2024

FY 2025

CGB was not shown data from the Atlantics or from the other prairie provinces, but Alberta’s lower market share was the clear outlier from the three lottery corporation-run provincial markets. There has been plenty of talk — including from AGLC itself — about the fact that Alberta has a robust and mature grey market.

Judging from H2’s data, it may be much larger than previous public estimates have suggested. There’s food for thought as the industry ponders what developments 2025 may bring.

Online betting and gaming data courtesy H2 Gambling Capital, October 2024, unless otherwise noted. Online betting and gaming includes sports betting, iCasino, online poker, and online bingo but not lottery. Regulated and unregulated market percentages were calculated by H2 using a mixture of reported regulated GGR and H2 forecast estimates, commercial operator reports, web traffic, affiliate traffic and search engine data.

CanadianGamingBusiness.com

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ADVERTISING

SLOW and FURIOUS The gambling advertising regulations debate has arrived in Canada and looks set to stay for the long term.

WORDS BY MARTYN ELLIOTT

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ADVERTISING

F

or now, “starring Jason Statham” remains the most dispiriting phrase in the English language, but that status seems to be changing. At least for those of us who work in the sports betting and iGaming industry.

The deflating words set to steal that unwanted status from the aging Razzies-adjacent action hero are, of course, “calls for a gambling advertising ban” or sometimes merely “calls for gambling advertising restrictions.”

They are phrases that are uncomfortably familiar to those in markets from Australia to Zimbabwe and from Norway to New Zealand.

The calls have been heard around the world and are usually followed by a circular debate that generates more heat than light.

You know how it goes.

•

•

•

Step one: An alliance of addiction charities, people with experience of gambling harm, religious groups, academics, and well-funded — and often highly-effective — campaigners grab the attention of the press by making claims about the impact of gambling ads.

Step two: Politicians, sensing an opportunity for an easy win, start talking tough in a bid to show they are taking decisive action on a high-profile issue.

Step three: An alliance of sportsbook and iGaming operators, broadcasters and publishers who need the ad revenue, sports leagues and teams that benefit from sponsorship deals, some different academics and the occasional pro-gambling

•

politician argue fiercely against proposed changes.

Step four: Return to step one and despair as the debate becomes like one of Statham’s film franchises: repetitive, but increasingly loud and less nuanced.

All too often, the off-ramp from this circular debate has been seemingly tight advertising regulations that prevent licensed operators from promoting themselves effectively. Meanwhile, offshore competitors tend to continue to invest in SEO, social media, sports partnerships and affiliate programs without fear of sanction.

The challenge for the industry and government in Canada is to find a different ending by ensuring that the discussions conclude with a workable solution that benefits consumers.

A blank canvas The introduction of Bill S-269, the National Framework on Advertising for Sports Betting Act, by Sen. Marty Deacon represents an opportunity for that workable solution to be found.

It also represents a risk of a wholly impractical and overly-restrictive regime being introduced.

The proposed legislation (which at the time of writing is yet to be addressed by the House of Commons) generated plenty of impassioned, robust and informed debate during Senate Committee hearings, with industry representatives among those given the chance to state their case.

However, it remains a vague offering, providing little indication of what the framework would actually look like.

CanadianGamingBusiness.com

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ADVERTISING

Bill S-269 represents an opportunity for a workable solution to be found. It also represents a risk of an impractical and overlyrestrictive regime

There is an obvious example to follow. Ontario has a sensible regime that, while not perfect, has proven largely successful at both providing consumer protection and the freedom for brands to develop effective creative campaigns.

At a national level, the picture is complicated by other provinces not yet having established regulated commercial online gambling markets.

It’s perfectly reasonable for politicians to ask how the industry plans to minimize the visibility in other provinces of Ontario-licensed betting operators’ ads, particularly in-stadium displays and TV promotions during big games.

And it’s also perfectly reasonable for operators paying licence fees and taxes to the authorities in Ontario and working diligently to comply with the regulations to ask why their offshore counterparts are not subject to the same stipulations.

Although, who would enforce advertising restrictions for businesses that are technically based outside the jurisdiction of Canada’s legal system is a tough question to answer. Would the burden of responsibility rest solely on publishers, broadcasters and social media companies?

The answers to all those questions remain works in progress.

If those sorts of practical considerations made up the bulk of the discussion, everyone could be confident of a good outcome. However, proponents of a wider clampdown have instead chosen to try to make the focus of the debate about two other issues: the volume of ads and their link to levels of gambling disorders.

Anyone who has followed the news from international markets will be very familiar with the arguments, and there can be little doubt that they were convincing enough to influence lawmakers in markets such as Italy, Spain, Belgium and the Netherlands to tighten the rules.

In some cases, to such an extent that advertising at scale is essentially no longer possible.

Taken at face value, both of the arguments seem valid enough. But subject them to a little scrutiny and a different story emerges.

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Spring 2025

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ADVERTISING

It’s just ads, ads, ads. Isn’t it?

The idea that there are too many ads, particularly on television, is a useful one for those who want to see greater restrictions introduced to throw into any debate.

You will rarely meet anyone who admits to liking advertising of any sort — despite the fact that it remains highly effective in multiple industries — so leaning into that prevailing sentiment is an easy win in campaigning terms.

A study conducted for the Canadian Gaming Association shows that only 2% of TV adverts are for online gambling (see page 6 for further details), which can hardly be described as excessive.

However, once the idea that there are too many betting adverts has been planted in the minds of consumers, they inevitably notice when they see the TV spots and the claim becomes almost self-fulfilling. This quickly snowballs into a perception that gambling ads are more prevalent than automotive, financial services or nonsensical fragrance commercials, which can in turn build public support for tighter restrictions.

Sentiment and perception are powerful tools in debate. Often more powerful than facts.

Body of evidence While gripes about the volume of gambling ads on television are based largely on subjective judgements, the issue of player safety is, of course, a more serious matter.

From both a moral perspective and that of building sustainable long-term businesses, protecting players suffering from or at risk of developing gambling disorders has to be the industry’s top priority.

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Spring 2025

To make the right decisions on how to do that requires in-depth research. There’s no place for opinion or sentiment here; facts are what matter. Unfortunately, when it comes to the issue of whether advertising is a significant factor in driving gambling addiction, facts are in short supply.

This is a relatively young research discipline and, as such, it is hard to draw any concrete conclusions from the body of work published to date.

Many of the most eye-catching reports, such as the one published by the Lancet Public Health Commission, take a global view and findings are influenced as much by the state of play in nations which lack even basic guidelines as they are by practices in regulated markets.

While those findings can play a useful role in driving up global standards, it is not clear whether they are wholly relevant to the situation in Canada.

Taking decisions on the currently available evidence about the Canadian market carries with it a significant risk of heading down the wrong path. The industry should, however, welcome further independent research on the impact of gambling advertising on the public and react to it accordingly. And, in the meantime, the industry must take a safety-first approach to advertising that respects the consumer, promotes responsible play and does not provide openings for deserved criticism.

Prepare for a long, long debate, because experiences from regulated markets around the world demonstrate that the issue of advertising restrictions will never be settled in the minds of the industry’s critics.

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F E AT U R E

ALBERTA PLAYS THE WAITING GAME The province aims to offer regulated online gaming in 2025. Just when in 2025 remains uncertain.

WORDS BY JUSTIN BYERS

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Spring 2025

F E AT U R E

A

lberta is gearing up for the launch of an open gaming market that would provide major and boutique operators with potential access to one of North America’s most promising markets.

The province of approximately 4.8 million has a well-established gaming culture, keen sports fans, and has been a happy home for many businesses and industries over the years.

But, until a market does open, where does gaming in the province stand right now?

Over the last four years, Alberta Gaming, Liquor and Cannabis’ Play Alberta platform has been the province’s sole provider of regulated online wagering. AGLC has provided oversight for regulated gaming but its responsibilities will likely change as Minister for Service Alberta and Red Tape Reduction Dale Nally continues to assess the feasibility of creating an open model that also safeguards land-based casinos.

Alberta is certainly taking note of Ontario’s market, Brandon Aboultaif, Press Secretary for Minister Nally, confirmed to CGB earlier this year.

“It’s going to be very similar to Ontario because we’re following their model,” said Aboultaif. “As far as I’m concerned, they built the roadmap. We’ll massage it a little bit but it’s been inspired by the experience in Ontario.

It’s going to be an open and free market.”

Just when in 2025 it happens remains unclear.

Roadblocks for the greater good?

The looming launch of regulated wagering in Alberta comes after Minister Nally’s office pushed back the province’s projected late2024 or early-2025 timeline to streamline the regulatory framework that will be deployed across the region.

The delay was to ensure Alberta provided a gaming model that allows open and fair competition. The government has also stressed the need to hear from all stakeholders in its bid to launch a market that works for all, including existing landbased casinos and First Nations.

Despite the expectation of Alberta providing an open gaming model, unregulated sites are continuing to drive profits in the province, leading to concerns about how to convert users of those platforms into users of regulated and monitored gaming platforms.

Industry experts have raised concerns that a tax rate above Ontario’s 20% would negatively impact channelization compared to Ontario’s high success rate. According to an Ipsos survey in 2024, 86.4% of respondents who gambled online in Ontario over a three-month period wagered with a regulated operator.

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F E AT U R E

We need to ensure any steps taken complement the successes of our existing land-based gaming model

“We want to open our market to reduce the size and scope of the unregulated market, ensure that more of the money played in Alberta stays in Alberta and provide Albertans with more consumer choice,” said Nally.

now, this improved offering remains the only regulated one. Play Alberta plans to provide players on its app with casino, instant games, lottery and live dealer products in the first half of 2025.

Certainly, Alberta is aiming to bring players a catalogue of licensed operators in 2025. In the meantime, Play Alberta continues to grow in its own lane as the exclusive provider.

Bringing land-based industry into fold

Play Alberta makes its case According to data provided by H2 Gambling Capital (see page 12), much more than half of Alberta’s gaming market is held by unregulated sites. But Play Alberta is helping to showcase the region’s viability as a regulated market.

Since its launch in 2020, the platform has posted more than 313,000 registered player accounts with total bets for 2023-24 projected at approximately $5.4 billion. Net sales closed at $235 million for 2023, an increase of more than $42 million compared to the prior fiscal year.

It’s proven profitable for the province. The growing popularity of regulated wagering in Alberta has generated $1.5 billion in total gaming revenue for the province’s General Fund and government-backed programs and services.

The launch of Play Alberta’s first ever mobile app only stands to improve its own results, offering Albertans the kind of range of sports betting options and ease of use that bettors expect from commercial sportsbooks. For

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The iGaming debate has sparked some cannibalization concerns from land-based casinos across the region as open competition looms. The province’s government is taking steps to prevent such a situation by collaborating with First Nations to learn lessons from how Ontario has deployed regulated gaming.

First Nations are expected to receive a yet-to-be-determined portion of revenue from iGaming in Alberta, with charitable contributions also being considered. Alberta’s active retail gaming model offers Alberta charities, which receive approval from the AGLC based on certain criteria, funding through a slice of proceeds generated from slot machines and table games.

Alberta’s robust and deep-rooted First Nations gaming and charitable gaming history is one thing that defines its gambling landscape.

Six host First Nations casinos operate across the province on reserve land and are tethered to a designated licensed First Nation charity.

Ensuring these casinos and communities have a key role to play in the region’s regulated online gaming is crucial, something the government has repeatedly acknowledged.

F E AT U R E

Minister Nally has emphasized that Alberta’s gaming market will hold “economic reconciliation” with First Nations close to its heart.

“We need to ensure that any steps taken forward on online gaming complement the successes of our existing land-based gaming model,” he said last year.

Nally’s office confirmed to CGB as far back as early October that its consultations with First Nations including Treaty 6, 7, and 8 First Nations, which began last summer, had been completed.

Still, it remains unclear what the partnership between the government, First Nations, and a commercial online gaming market will look like.

CGB reached out to numerous casinos as well as AGLC for this story, but none provided comment.

For now, it’s wait and see Despite the slowed timeline, Alberta seems likely to see big change in 2025.

We already know that the province’s gaming market will not be completely regulated by the AGLC when its open, Ontario-style model goes live. Bill 16 recognized that the government has the authority to conduct and manage gaming separately and distinctly from AGLC, and Nally told attendees at the 2024 Canadian Gaming Summit that “we heard loud and clear” that operators would not want to work in a market conducted and managed by AGLC. Nally’s office has continued to meet stakeholders including traditional casino operators and Racing Entertainment Centre operators and it is this due diligence that was a main reason for pushing the timeline back later in 2025.

Until then, Nally and other government leaders in Alberta are adamant that they will continue working to create a framework that benefits Albertans, operators, and land-based casinos that are thriving in the region.

Players, casinos, First Nations, and other stakeholders will have to remain patient for a little while longer.

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Dan Keene, VP of Gaming at AGLC

LOTTERY

KEEPING UP WITH THE

JONESES

In an ever-evolving industry amid stiff competition, lottery corporations moved forward in 2024.

WORDS BY TOM NIGHTINGALE 26

Spring 2025

LOTTERY

E

very year is one of modernization and innovation in gaming. 2024 proved to be more so than most years for multiple lottery corporations in Canada.

On the eve of the NFL season, the lottery unveiled PROLINE, the new digitized retail sports betting solution that replaced the Sports Action sportsbook that had been operational for more than three decades.

Some of the most notable steps came out west. The British Columbia Lottery Corporation (BCLC) and Alberta Gaming, Liquor and Cannabis (AGLC) each proceeded on their own journeys to ensure their respective platforms ended 2024 and began 2025 on the front foot.

Brett Hanson tells CGB BCLC now has the “most modernized lottery platform in the world.” It was the first Canadian lottery to scrap paper slips and move to digital bet slips, QR codes, and new in-store checkout counters. In another Canadian lottery first, it will offer in-play retail betting, facilitated by integrating PROLINE into the crown corporation’s self-service terminals in its hospitality network locations.

In markets like BC and Alberta, crown corporations’ offerings may be the only regulated and licensed online gambling platforms in the province, but that does not mean they are not competing with others. Robust unregulated markets have been present across Canada for years and though those operators may not be under the oversight of regulation as they are in Ontario, they nonetheless continue to not only operate but innovate.

“Numerous gaming providers have existed in Alberta for decades,” AGLC VP of Gaming Dan Keene tells CGB. “Albertans are already participating, the market is already mature. There’s a lot out there.”

It’s against this backdrop that lottery corporations know they are fighting for market share, for customers’ attention and dollars. So, the great push forward continues.

“A journey of digital convergence” BCLC has embarked upon a wide-ranging modernization drive — what President and CEO Pat Davis terms “a journey of digital convergence” — to reflect the changing behaviours and intricacies of the Canadian market.

Its revamp has encompassed several big operational shifts to date. In June, the crown corp. completed the migration of its lottery infrastructure to a fully cloud-based lottery system powered by Intralot, and in September, it announced a new AI and Data Innovation Hub in collaboration with tech firm Future Anthem.

One of its biggest directly customer-facing changes came on the sports betting side, where BCLC has intrinsically tied together its retail and online operations.

When you make such wholesale changes to the mechanics of in-store betting, do you risk alienating some of your customer bases?

“This is kind of like ripping the band-aid off,” Hanson acknowledges. “We’re aware it’s a huge change and it’s going to take a lot of time for people to adapt to it, but we think the positives outweigh the negatives.”

BCLC also took the overhaul as an opportunity to deepen its retail sports betting offering from around half a dozen basic markets to well over 200. In short, its sportsbook now looks much more like what you would expect to see at any commercial sportsbook in North America.

Competing with the grey market And that is the crux of the issue provincial lottery corporations’ regulated online betting platforms have to compete with unlicensed and unregulated operators in the province. There is an assortment of riches for the customer, with multiple sportsbooks or online casinos at their fingertips.

“Competing with them is not the easiest thing to do,” admits Hanson, “but we’re doing our best to try and get there. We’re hoping to eventually be fully on par with some of the other books out there. There are things we’re not able to compete on, like promotions and inducements, so we can only focus on ourselves.”

“We know there are a lot of competitors out there and likely to be more in the future,” echoes AGLC’s Keene. “It’s about continuing to bring a responsible product to Albertans in a way that they feel is competitive and interesting for them.”

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LOTTERY

Competing is not the easiest thing to do, but we’re hoping to eventually be fully on par with some of the other sportsbooks

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LOTTERY

Like BCLC, AGLC took a big step in the second half of 2024, launching its very first Play Alberta app.

An overdue step? Perhaps, but better late than never.

“Play Alberta is still fairly young in its lifecycle and we’ve always had eyes on developing an app because it’s critical to the delivery of the product,” Keene says.

The new app is being rolled out in phases, purely as a mobile sportsbook at first, with online gaming offerings such as online casino, lottery, instant games and live dealer projected to be added in the first half of 2025.

In the meantime, on the iGaming side, Play Alberta’s website has added a range of new content, notably striking a deal to bring Aristocrat Interactive games to the site for the first time. “I don’t think it’s a stretch to say that our plans call for almost a doubling of game content, specifically slot content, on the site,” Keene suggests.

Local experience With their respective upgrades, particularly on the digital sports betting side, BCLC and AGLC now believe they have products and services that can rival even the most dominant and prominent commercial operators.

But the lottery corporations also know that as provincial operators, they have to make sure their customers are cared for. That not only means crucially providing a slate of accessible and impactful responsible gambling measures, but also giving bettors options to bet on local teams and tailoring offerings to cater to the provincial sports enthusiast.

As users would expect them to, both BCLC and AGLC offer a range of such markets. On the former’s platforms, you’ll find plenty of Vancouver Canucks and BC Lions action, as well as nearby U.S. teams like the Seattle Seahawks. Play Alberta, meanwhile, has made concerted efforts to position itself as the go-to sportsbook for the Edmonton Oilers and Calgary Flames.

That association with the teams their players care about goes beyond just bet markets and special offers. As lottery corporations compete with grey operators, it’s also about high visibility and prominent marketing. BCLC this year expanded its collaboration with Canucks Sports & Entertainment, and Play Alberta is now the front-of-jersey sponsor for both Alberta’s NHL teams.

“When your province has a rich sports history, you have to tap into that,” Keene adds. “We’re very proud of our local sponsorships.”

Unfazed by open market potential The steps AGLC took in 2024 were as notable for what was going on in the background as they were for their own specificities. Talk about exactly when and how Alberta may open an online gaming market similar to Ontario’s dominated much of the spring and summer before Minister Dale Nally’s office hit the pause button, pushing the timeline firmly back in 2025.

Still, it seems that some form of open market in Alberta is close to an inevitability. While there has been no such firm suggestion that similar may follow in BC, it’s a topic that may garner more attention in 2025.

While the potential for hard-hitting commercial competitors could be daunting to lottery corporations, Keene stresses that AGLC supports regulating iGaming if it means lost grey-market dollars can be captured for the benefit of the province. “We want to have the full market available in a safe way to Albertans,” he explains.

“Right now, we don’t have that.”

The kind of digital steps taken in 2024 certainly seem to have been made with one eye on what may be coming down the road.

“Of course, we’re monitoring what other provinces are doing with respect to gaming and what their commercial gaming might look like in the future,” concludes Hanson. “If the market eventually opens in BC, we’ll be ready to compete.”

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F I R S T N AT I O N S

Snuneymuxw First Nation: Entering the BC Gaming Space

BC First Nation acquired two Vancouver Island casinos in H2 2024 after years of mulling a step into gaming.

WORDS BY CONOR PORTER

O

ver the past 12 months, the Snuneymuxw First Nation in British Columbia has taken steps into casino ownership, entering definitive agreements with Great Canadian Entertainment for the acquisition of two casino resorts in the province.

These deals — Casino Nanaimo in June 2024 and Elements Casino Victoria in September 2024 — were orchestrated by Petroglyph Development Group (PDG), a wholly-owned corporation of the First Nation.

PDG’s CEO Ian Simpson tells CGB that Snuneymuxw had been “kicking the tires” on some potential gaming acquisitions for the past few years, but the possibility only really materialized in early 2024.

“It really came to a head at the beginning of the year when we engaged with Great Canadian 30

Spring 2025

Entertainment on the potential acquisition of Casino Nanaimo, meeting with their senior team and coming to the realization that Casino Nanaimo, right in our backyard, was available,” Simpson says.

The CEO also divulges that Snuneymuxw had been looking at assets elsewhere in BC and in other provinces before following up on the Nanaimo deal with the acquisition of Elements Casino Victoria a few months later.

Simpson notes that casino ownership had been the goal for Snuneymuxw and PDG since well before his time. The first real attempt took place around the 1990s with a concerted effort from Snuneymuxw’s leadership.

Although it didn’t work out at the time, or since, the CEO says gaming culture has always been ingrained within Snuneymuxw.

F I R S T N AT I O N S

“It’s certainly been a goal of previous leadership of Snuneymuxw and our elders to bring a casino under the ownership of Snuneymuxw. Gaming culture is very much part of the fabric of Snuneymuxw and there’s been a strong desire for many decades now for a casino to be owned by our nation.”

Upon the announcement of the Elements acquisition, Simpson said the casino would “unlock unprecedented economic potential for Snuneymuxw and PDG” and pave the way for “transformative growth in Snuneymuxw’s economy and the profits that PDG returns to our Nation”.

The PDG CEO explains that comes down to the profits the casino currently generates from its operations that will be available to grow its own business, including the casino operations, as well as return dividends to the nation.

“It’s going to be a pretty monumental task for us to take on these operations. They are essentially more than double the size of our organization here at PDG once we flip the switch and take control of these operations early in 2025.

“We have a lot of work between now and then, and a lot of work has gone into it over the last year to be ready for that.”

Simpson adds that the casino acquisitions will produce career opportunities for its members, as the two operations create almost 250 jobs. However, it doesn’t mean that the current staff at the casinos will be replaced.

“One of the main reasons we’ve struck a deal with Great Canadian is the teams that they’ve built at both of these operations.

We’re not looking to push anyone out of these jobs. They’ve got incredible teams in place at both of these casinos, they’re very well-oiled machines that are doing an incredible job at what they do.”

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F I R S T N AT I O N S

Gaming culture is very much part of the fabric of Snuneymuxw

Simpson has also recruited people with “decades of gaming experience” to assist with the operations, including people who have previously been employed

by Great Canadian.

“We’re managing to put together a very capable and experienced team of managers to supplement the incredible management that the operations themselves have, both Casino Nanaimo and Elements,” Simpson notes.

“Great Canadian has a very large admin staff that we’re not acquiring, but they have individual property employees we are acquiring. They have support staff above each individual property that we have coverage for during this transition period for the next couple of years. Beyond that, we’ll have to have those staff in place going forward.”

As part of the Nanaimo deal, the land on which the casino is located, a part of the Snuneymuxw xwsol’lexwel village, will be returned to the First Nation upon the acquisition’s closing.

It was of utmost importance for the First Nation to reacquire these sites, stresses Simpson.

“It’s important to the nation for us to be reacquiring these sites by whatever means necessary. In this transaction, we’re paying market value for land that

was taken from us, which is bittersweet, but we’re really happy to be having it brought back to us.

“Over the last five years in particular, we’ve been very aggressive in reacquiring lands along our waterfront here in Snuneymuxw and off-reserve as well and throughout the Nanaimo waterfront. We have a few redevelopment and development projects ongoing in Nanaimo and have been just adding to that portfolio of our real estate assets that were former village sites.”

Could what has happened on Vancouver Island in 2024 between Great Canadian Entertainment and Snuneymuxw be replicated on First Nations land in other parts of Canada?

“Absolutely,” Simpson says. “I think what we’ve done in conjunction with Great Canadian Entertainment and the First Nations Finance Authority is kind of created a pathway that other nations that have strong governments and strong economic development groups could follow down and replicate that same path that we took to acquire other operations.

“Other nations in BC and even across Canada can follow that same path that we’ve gone down to acquire these gaming assets for the benefit of their own nations. I’m quite confident we’ll see that in the nottoo-distant future.”

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SPORTS BETTING

Expanding horizons with WNBA betting 34

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SPORTS BETTING

With a team coming to Toronto next year, the opportunities have never been greater.

WORDS BY CALLUM WILLIAMS

W

hile Vince Carter and DeMar DeRozan paved the way for Toronto to become a credible NBA city, Kawhi Leonard’s heroics in 2019 that led to the Raptors’ first NBA Championship were what lit the touchpaper for Canadian basketball.

Fast-forward five years, Toronto now has a future that includes both a men’s and women’s basketball team at the top level as the city became the latest to gain an expansion franchise in the WNBA. The Toronto Tempo will take part for the first time in the 2026 WNBA season, playing its games at the 8,500-seater Coca-Cola Coliseum.

Alongside the Golden State Valkyries in 2025 and a Portland franchise in 2026, the Canadian expansion exemplifies the growth the league has experienced in just the last year.

While the WNBA coming to Toronto is still a year away, there’s a big opportunity for sportsbooks here in the present to expand their WNBA offering, particularly for operators like Ontariolicensed Fitzdares.

Clive Harris, Trading Director at Fitzdares, Canada, says that with Toronto already boasting an impressive wide range litany of sports teams, the addition of a WNBA team will garner great attention from fans and bettors alike.

“We would genuinely be amazed if Toronto’s new WNBA team didn’t move the betting needle quite considerably when they join the league,” Harris says.

“With the team set to become the first WNBA team located outside the U.S. and the first located in Canada, we are firmly behind the excitement and hype.

“The presence of any local team always boosts fan engagement. With the team being heavily associated with the Raptors and the Leafs, under Maple Leaf Sports & Entertainment (MLSE), the team will likely attract much greater media attention too.

“Sports bettors, especially those who are familiar with the Raptors, will undoubtedly start to shift their betting eye across to markets that are not only new, but ones that offer betters a plethora of markets to bet on.”

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SPORTS BETTING

Riding the wave The last WNBA season saw a level of growth over the course of one year not seen since its formation in 1996. There were records set for ticket sales, attendances, and viewership, and betting volume also took a significant uptick.

ESPN Bet, reported a 150% increase in WNBA bets from the 2024 season compared to the previous year, with BetMGM’s betting volume on the league also more than doubling year-over-year.

There’s also the factor of the new incoming $2.2 billion broadcast rights agreement that will see WNBA coverage on ESPN and Amazon for the next 11 years, a testament to the intrigue surrounding women’s basketball in North America.

“Betting on the WNBA has seen a steady increase over the past few years, with the 2023-24 season in particular seeing notable growth,” Harris adds. “The WNBA’s rising profile, boosted by stars like Jackie Young, A’ja Wilson, and Breanna Stewart, has helped increase its audience, including bettors.

“More sportsbooks are offering markets for WNBA games, and with a growing number of fans watching games live or streaming them, the volume of betting has increased.”

The new Toronto franchise joining the league during a new growth period is not only going to be potentially profitable for owners MLSE, but also represents new marketing and sponsorship opportunities for incumbent betting operators in Canada.

Since the launch of the Ontario regulated online sports betting market, some of the largest industry players in North America rushed to recognize the potential of Canada’s most populated city, Toronto.

FanDuel and DraftKings moved to consolidate their U.S.-leading position in the market, while brands like BetMGM, PointsBet, and madein-Canada operator theScore Bet all inked partnership agreements with Toronto teams including the Raptors, Leafs, and Blue Jays.

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Coca-Cola Coliseum, the home stadium of the WNBA’s Toronto Tempo

Year-round engagement is a challenge However, while the offset calendar means there is never a lack of major sports to watch in Canada, all sports leagues have off-seasons. With no WNBA games from November until April, there is a challenge for betting operators to continue to engage with their customers around the league through the winter.

This forces operators like Harris and Fitzdares to get creative with marketing campaigns and offers that keep the bettor engaged during the off-season.

“In Canada, it’s been a great challenge trying to keep customers engaged all year round during sporting ‘downtime’,” acknowledges Harris. “In the UK, we have horse racing all year round that plugs in the gaps, but during these slower weeks in Canada, we can’t rely on this.

“As a result, we’re seeing more of a cyclical betting pattern with certain sports dominating during particular months. The MLB, NBA and

SPORTS BETTING

NFL are the big-ticket items, along with the NHL. We tend to see smaller stakes on the ice but do see a significant uptick when the Leafs play.

The NHL, in particular, has a deeply embedded presence in Canadian sporting culture.”

The other challenge for betting operators looking to provide WNBA markets and insights is to keep the league under the same spotlight as the big four North American major leagues.

While women’s sports leagues like the WNBA and National Women’s Soccer League (NWSL) have seen major growth over the past several years, they are still fighting for viewership and engagement with their respective NBA and Major League Soccer male counterparts, particularly when running against each other concurrently.

We would be amazed if Toronto’s new WNBA team didn’t move the betting needle quite considerably

But with young, emerging stars like Caitlin Clark and Angel Reese contributing a large part of the WNBA’s growth last season, in terms of betting volume, attendance and viewership figures across the board, the future of the league looks in safer hands than ever before.

Many doors are there to be opened On the team side, too, there is great potential.

For a new team like the Toronto franchise entering the league, there are multiple

avenues to generate revenue through betting sponsorships and interactive partnerships.

It’s mutually beneficial, as betting operators can benefit from a form of first-mover advantage by attaching their brand to a young team or league from the outset. In the long run, there’s a chance for certain sportsbooks to almost become synonymous with said team or league.

“We are in a privileged position to be able to watch the numbers and results around the WNBA rising every day and we have no doubt that things are only trending upwards from here,” adds Harris.

“North America has always been such a great advocate and so forward-thinking when women’s sport is involved – the NWSL being at the forefront of this revolution. We like to think we’re helping to lead the charge on our own frontier by driving betting interest in women’s sport.

“Men’s sport still dominates the betting landscape, but we are witnessing tangible growth, with significant increases in media coverage, television ratings, and social media presence, all of which are fuelling interest from a betting perspective.”

It’s clear the future is bright and the opportunities women’s sports leagues like the WNBA can bring in the betting world are dazzling. If they aren’t already, sportsbooks would do well to get on board.

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P L AY E R P R O T E C T I O N

ARE CANADIAN AFFORDABILITY CHECKS COMING? The initiative has begun to gather steam in Europe. What would be the ramifications of exploring it in Canada?

WORDS BY JESSICA WELMAN

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P L AY E R P R O T E C T I O N

It is becoming more common for regulations to directly mandate monitoring and intervention

F

or years, affordability checks have been like a boogie man for most markets. It lurks as a threat but it has yet to manifest into something operators and regulators have ever had to actually confront.

That is starting to change, though.

The UK Gambling Commission began a pilot program on affordability checks in August of last year. The government assures the program will implement

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a “light touch” in regards to assessing whether players or gambling responsibly or not, but for many the concept at all is a non-starter.

For now, the pilot is looking at users with £500 in deposits a month, but the plan is to drop the number to £150 next month.

In North America, the idea of affordability checks still feels unlikely, but these developments at least raise the

question of whether or not Canada will consider them in the future.

Privacy and politics pose challenges During a presentation as part of SBC’s Player Protection Day, Vixio Regulatory Intelligence’s Managing Editor Joe Ewens said it is an inevitability, but also conceded that the changes are far from imminent.

P L AY E R P R O T E C T I O N

“Some [customers] don’t like the idea of gambling operators being able to look into their personal finances. Also on a political front, in some jurisdictions, it’s crossed a political and ethical boundary around privacy and the right for people to spend their money as they wish,” he observed.

“So while we see the concept growing, it’s certain to remain a politically charged area for gambling regulation.”

In the meantime, it is not as though the issue of affordability isn’t top of mind for Canadian regulators.

There are currently measures in place in Ontario, for example, requiring operators to monitor customer behaviour and intervene when certain behavioural signs indicate there could be an issue. Focusing on markers of harm and behavioural triggers as opposed to pure financials is the way several jurisdictions have tried to address the problem so as to avoid the burden of affordability checks.

“We have already seen both third-party providers and operators themselves develop and implement monitoring systems that enable operators to evaluate the behavior of players and intervene based on behavioral triggers,” observed Vixio Chief Analyst James Kilsby.

“It’s been an obligation in the UK and several other European markets for several years but I do think what we are seeing as part of the trend is that it is becoming more common for regulations to directly mandate monitoring and intervention.”

Ontario enforces monitoring standards The Alcohol and Gaming Commission of Ontario (AGCO) is certainly paying attention to what operators are doing on that front.

They may not be deploying new programs and initiatives, but they are taking a particularly strong stance on enforcement.

In the U.S., VIP programs have largely gone unquestioned, but in Ontario, operators like PointsBet and Apollo Entertainment have paid six-figure fines for failing to meet the monitoring standards set forth in current regulations.

In many ways, these responses stem from the same motivation driving the affordability programs in the UK. “We want to tackle cases where customers have been able to gamble large amounts without any checks or support, where it was later identified that this led to significant harm,” UK Gambling Commission Director of Major Policy Projects Helen Rhodes said of the program.

“But we are proceeding cautiously to test whether and how financial risk assessments could be introduced in a way that supports high-spending customers in financial difficulties but also supports a frictionless customer journey for the vast majority of customers.”

Effects on customers worth considering This friction is the primary reason operators fear that affordability checks could run counter to their intended purpose.

In a 2023 survey conducted by SBC in tandem with IDnow, operators confirmed that customer friction is already a huge issue, particularly when it comes to sensitive information. More than half of respondents said the biggest drop-off in the onboarding process came when potential users were asked to submit documents related to personal financial information.

“In theory, affordability checks are a potentially effective safer gambling tool, but they require a level of engagement from players. For those bettors unwilling to provide documents or who are wary of allowing a credit reference check, the chance to sign up with black market operators will become an attractive option,” SBC Content Director Ted Menmuir noted at the time.

In Canada, consumer credit reports already play a role for operators when it comes to compliance. In order to be in line with the Financial Transactions Reports Analysis Centre of Canada (FINTRAC), operators utilize thin credit reports from agencies like TransUnion or Equifax to verify customer identities.

For now, these checks fall into the “soft” category and do not impact someone’s credit score.

The UK program looks at elements of someone’s finances like bankruptcies and personal debt, which would qualify as a “hard” credit check in Canada. In other words, such an inquiry wouldn’t just be perceived by many users as invasive, it would potentially also have a negative effect on their credit score.

Improbable, but not impossible?

With so many fundamental differences in how credit is determined across the two countries, it would arguably be difficult to transplant the UK pilot program across the pond.

However, it would be naive to assume that it is impossible. As we have seen with advertising, there are lessons to learn from older markets. But, we’ve also seen that Ontario is an example of a group being proactive about player spending. Perhaps this particular boogie man’s bark might just be worse than its bite.

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PAY M E N T S

AN OPEN MIND ON OPEN BANKING 42

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PAY M E N T S

Open banking has been embraced by some gaming markets. But is the hype justified, and will Canada catch up?

WORDS BY TED ORME-CLAYE

I

n the UK finance sector, open banking is the talk of the town. This hype has certainly extended to the country’s gambling sector tool. The same can also be said of the U.S., where regulators and the industry are eagerly encouraging open banking adoption.

Typically, it’s been hard to say the same of Canada. Although open banking has a presence, the technology is not nearly as advanced as it is in the UK, U.S., Australia and the Nordics.

The perceived benefits it could bring to the gambling sector are as real in Canada as they are anywhere else, however. But is the hype in these other markets justified?

Courting customers and addressing affordability Open banking brings with it numerous benefits, such as the kind of instantaneous payments and flexibility that can prove a vital competitive advantage for betting platforms.

When a customer puts money into their account, they expect the cash to be accessible as soon as possible for them to place a bet. More importantly, when they get a win, they want that money back in their account as soon as possible.

Once Canada moves, it’ll be fast and widespread Open banking can enable this. As Liron Warhaftig, Vice President of Payments, Risk and Fraud Prevention at BetMGM, puts it, open banking’s benefits are simple to summarize — it all comes down to speed and control.

“Operators benefit from faster payments, which is always a win, and customers get more ownership over their own data and finances,” says Warhaftig.

“No one likes waiting around for their money to clear, and open banking shaves off that unnecessary lag. For operators, it’s about cutting friction and making the whole experience more seamless.

Customers? They get transparency and security without all the red tape.”

In the UK, the government and industry regulators have been keen to see greater adoption of open banking.

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Both the new Labour administration and its Conservative predecessor see open banking as vital to the country’s economic growth, and have encouraged development and adoption through legislation.

undertaking. Whilst product should always remain front and centre in an operator’s mind, payments considerations should also be factored in as a means of winning over customers.

argues. “Compared to Europe or the UK, it’s still in the early days. But once Canada moves, it’ll be fast and widespread. Right now, it’s about setting the regulatory groundwork before the market can fully take off.”

This enthusiasm is shared by the gambling regulator, the UK Gambling Commission (UKGC), which sees open banking as a solution to the longdebated topic of affordability in betting.

Operators like BetMGM are always looking at new ways to make the experience faster and safer for players, stresses Warhaftig.

Open banking, he says, “can really streamline payments, rescue fees and improve affordability checks, which let’s face it, is good for everyone.”

A common issue cited with open banking is also one of its most commonly cited benefits: what happens with customer data.

Some industry stakeholders share this optimism, but others are concerned that the expectation of what open banking can achieve may be at odds with what can realistically be achieved, a view that was expressed by some at SBC’s Payment Expert Summit in Lisbon in September 2024.

What’s Warhaftig’s two cents?

“Expectations are high, and rightfully so. Instant payments sound great on paper, but in reality, it’s about building the infrastructure to support that level of speed and reliability. It’s not impossible — just not instant either.

“It’ll be a climb, but with the right systems in place, operators can get there.

Affordability checks? That’s a trickier beast, but open banking certainly gives us better tools to tackle it.”

For BetMGM, the operator’s enthusiasm for open banking stems not just from the tech’s affordability potential but, more significantly, what it can offer customers. The U.S. sportsbook is one of several major players in Ontario, which stands out as one of the most competitive and highvalue markets in North America.

Setting oneself out from the crowd in such a tight space is a bit of an 44

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“If we can make deposits and withdrawals smoother without sacrificing security, that’s a win-win.”

If BetMGM’s perspective is anything to go by, many in the Canadian gaming space would be eager to reap the rewards of open banking. But is the Canadian financial ecosystem up to the task?

Can Canada catch up?

As well as being home to a large betting industry in Ontario, Canada also hosts an impressive financial sector. The Toronto Stock Exchange is one of the 10 largest by market cap in the world and fintechs are spread throughout the country — KOHO in Vancouver and Bitfarms and Nuvei in Montreal. Justin Trudeau’s government has also noted the extent of Canada’s tech industry, which has pumped millions into AI this year.

But, in spite of this, Canada has been lagging behind other countries regarding open banking adoption.

“Canada’s getting there but isn’t leading the charge yet,” Warhaftig

Data sharing is critical to how open banking functions, and is also the main reason many are hopeful the tech can be used for affordability purposes, to give a more complete view of a player.

However, this data can prove to be a double-edged sword, as Warhaftig acknowledges. Personalizing experiences and better serving customers is one thing, he says, but it can also present a challenge to operators in that it needs to be managed responsibility.

“There’s a line between using data to improve services and becoming too invasive. It’s all about balance — leveraging the data without eroding trust.”

The other aspect here is that some customers are increasingly protective of their data, understandably in today’s age of data leaks and fraud. Though operators may try to reason that they have a customer’s best interests in mind in the name of affordability when requesting data sharing, this could prove to be a hard sell.

Certainly, it’s a factor that operators across various developed markets in both Europe and North America are having to consider. In Canada, consumer cautiousness will be key to consider.

PAY M E N T S

If we can make deposits and withdrawals smoother without sacrificing security, that’s a win-win

“It’s going to be a bit of a climb,” Warhaftig notes.

“Canadians are cautious when it comes to their money — and rightfully so. It’s not about pushing the shiny new thing on them, it’s about showing them how it makes their life easier and their money safer.

Once they see those benefits firsthand, the adoption will follow. But you have to earn their trust first.”

Whilst Canada and its consumers may not be the early adopters of technology, open banking included, this does not mean that stakeholders, whether in

gaming or fintech, should assume that Canadians are stuck in the past.

In Warhaftig’s view, Canadians value security and convenience — two things that open banking can offer. Patience and education may be crucial characteristics for Canadian gaming operators waiting for open banking’s benefits to present themselves.

“The appetite is there, but they need to feel safe and in control before they jump on board.”

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RESPONSIBLE GAMBLING

RESPONSIBLE GAMBLING MESSAGING IN A MULTICULTURAL CANADA In a country like ours, with a multi-cultural and multi-faceted player base, there’s no one-size-fits-all RG solution.

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icy, Research and Strategy, OL G Aaron GlynWilliams, Director of Pol

Ryan McCarthy, Director of Pla yer Health, BCLC

WORDS BY TOM NIGHTINGALE

RESPONSIBLE GAMBLING

P

racticing responsible gambling is not only about getting the message out. It’s about ensuring that message lands with real impact and engages players by giving them the tools they need as individuals and as part of a cohort.

In a country like Canada, with a multi-cultural and multi-faceted player base, there’s no one-size-fits-all solution.

“When you’re dealing across multiple channels, you have to think about who you’re trying to reach, how you’re trying to reach them, are you reaching them in the right way with the right message in the right format at the right time?”

Ryan McCarthy, BCLC’s director of player health, told the audience at the 2024 Canadian Gaming Summit Player Protection Symposium.

Doing that, of course, is easier said than done for operators, whether they are lottery corporations working as the only regulated gaming platform in a province or one of dozens of licensed commercial brands in a saturated field like Ontario’s.

But there are numerous tools in the arsenal that can help operators deliver. One of those is understanding the nuanced requirements of the player base.

Speaking at the 2024 SBC Summit North America Player Protection Symposium, Aaron GlynWilliams, OLG’s director of policy, research and strategy, noted that OLG conducts a quarterly survey of its users. It’s all

about understanding who the users are, how they play, and what they need.

Just as the level of knowledge and comfort with online gaming differs by participants’ age, it can also vary by ethnicity or socio-economic factors.

GlynWilliams noted that a bulk of the under-35 cohort that makes up a core demographic for the lottery corporation consists of multiple ethnic minorities.

The OLG’s research has found that gamblers from certain ethnic backgrounds tend to have a lower understanding of gaming. The multicultural factor means that an advert or social media tagline that may resonate with one demographic may bypass others. Knowing how to effectively segment your audience and your marketing appropriately is key to the efficacy of responsible gambling communication.

“These days, you can be a lot smarter with your media buy in a way that allows you to craft those messages particularly for that audience,” added GlynWilliams. “The effective strategy has been to speak directly to players.

One-size-fits-all doesn’t work, it probably never did. Personalization is key, but it’s not easy to do.”

McCarthy explained that out west, the BCLC has worked on translating responsible gambling messaging into First Nations languages. But that’s not enough; the messages often need to be reworked at large in order to ensure they resonate with those populations and those cultures.

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RESPONSIBLE GAMBLING

We need to understand how to put out different types of messages for different audiences.

RG is for every single customer “We have worked with indigenous communities to translate some of the game theory, for instance, into First Nations languages,” McCarthy explained. “That’s a really fascinating process. But we’ve also learned that we now have to work with those communities and redevelop those resources.”

Collaboration, too, is a critical tool. Targeting and personalizing responsible gambling messaging is certainly not a single-stakeholder issue.

“It requires continuous evaluation and research,” said GlynWilliams, “and it also involves supporting the community organizations on the ground in your jurisdiction. You can have a great program as an operator but those supports in your community are where the really great work is done.”

That collaboration extends to competition, too.

Dr. Jennifer Shatley, executive director of the multi-operator Responsible Online Gaming Association (ROGA), noted alongside GlynWilliams that the founding members of ROGA have all pursued their own responsible gambling benchmarks. These are bigname commercial operators competing for market share across North America, but there is a recognition that when it comes to responsible gambling, there is a shared goal.

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“We and operators need to understand how to put out different types of messages for different audiences,” she said. “Responsible gambling is for every single customer.

The industry has progressed and RG has progressed, driving through research and best practices.”

responsible gambling as a distinct compliance program but as a component of their marketing and customer service work. To that end, GlynWilliams said that one of OLG’s primary goals has been to present its PlaySmart program as part of the wider player package.

“We see a lot of competition in this space and that helps things,” added GlynWilliams. “Operators have come into Ontario and raised the bar with their own responsible gambling programs. That’s something we can learn from and build from.”

“Make sure it’s integrated within the player experience. Make it fun, make it activating,” GlynWilliams stressed. “We’ve seen that passive approaches to responsible gambling see a decline in engagement. Finding the right time to present the tools and ensuring the messaging is right and effective to drive the results you want to see is an area where we as an industry need to get better.”

Technology certainly plays a role.

Just as every gaming operator with their finger on the pulse has learned to harness data and AI to provide customers with games, bonuses, and offers that will appeal to them, similar technology should be used for responsible gambling messaging to ensure it’s reaching the right people in the right ways at the right times.

“Technology is very useful to help personalize messages, interact with individuals, and make responsible gambling seamlessly integrated into the user experience,” noted Shatley, as well as to better track results and iterate processes.

On that note of a seamless integrated experience, Shatley stressed that operators shouldn’t think of

Ultimately, the experts acknowledge that evaluating the impact of individual components of a responsible gambling program and learning to target and disseminate messaging effectively is likely something that all operators have struggled with at one time, if they’re not struggling right now. Truly, it is always a work in progress “What I’m really heartened to see in the industry is that we’re actually talking about these more targeted approaches,” concluded McCarthy.

“And the more that we pull up those nuances, the more we can target our approaches and the better the results we will get.”

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F E AT U R E

ONTARIO:

A PLACE TO GROW The first two years of Ontario’s open gaming market have been a $5B revenue generator. How is 2025 looking?

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F E AT U R E

WORDS BY TOM NIGHTINGALE

P

ainting a full picture of regulated online gaming in Ontario is no easy feat, for many reasons.

But the numbers that emerged in 2024 illustrated things a bit more clearly.

GGR ahead of Michigan’s first two years and far ahead of NJ and PA. Ontario’s first year was slightly less profitable than Michigan’s first year, before its huge jump between year one and year two.

Due to a time discrepancy between iGaming Ontario (iGO) reporting its fiscal year 2023-24 (FY24) revenue numbers in April and the Ontario Lottery and Gaming Corporation (OLG) adding its own FY numbers to the mix six months later, there’s a delay in examining the full market.

It’s worth noting that there are many caveats to this comparison, of course.

For one, Ontario took a particularly welcoming approach in licensing dozens of operators right off the bat, unlike the slower rollout in other markets. For another, all three of the states mentioned are smaller than Ontario in terms of population.

Now, though, we can say with conviction that after just two years of open, regulated online gaming and betting in Ontario, the market was already a $5 billion business. Between the OLG and the dozens of iGOoverseen commercial operators, online gross gaming revenue jumped 54.5% between FY23 and FY24, from $1.96 billion to $3.03 billion.

Ontario sets electric pace in North America Ostensibly, that means that through its first two years, Ontario’s online gambling market was more lucrative for operators than other North American jurisdictions to offer both regulated online sports betting and iGaming were in their respective first 24 months.

An assessment of the publicly disclosed numbers from the three key U.S. iGaming/OSB states of Michigan, Pennsylvania and New Jersey shows that Ontario was around $600 million in

But even with mitigating factors in mind, it goes some way to illustrating the lightning pace and lucrative profitability that Ontario has seen.

Commercial market thriving on competition Ontario is home to 51 commercial operators running 83 online gaming or betting platforms as of the end of Q2 FY25, up from 47 and 71 in Q2 FY24.

The AGCO’s regulations stipulate that operators in Ontario cannot advertise sign-up bonuses or inducements, are restricted in the language and individuals they can use in marketing, and can only use athletes to explicitly advertise responsible gambling measures. One of the effects of this was that, unlike many U.S. online sports betting markets which inundate customers with offers, operators had to compete largely based on the quality and breadth of their products and services.

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Ontario’s rapid start, which included iGO online GGR and handle rising 71% and 78% respectively between years one and two, means it is “outpacing initial expectations,” as outlined by a report last summer from iGO and Deloitte.

As then-iGO Executive Director Martha Otton noted at the last Canadian Gaming Summit, while the revenue growth is impressive, “the bigger and better story is what gaming is doing for the broader economy.”

In its second year, the market was estimated to have sustained more than 15,000 full-time equivalent jobs across the province. All in all, the report found that the commercial market hit or nearly reached many of Deloitte’s year-five projections in its second year, such as government revenues (94%), direct jobs sustained (120%), total fulltime jobs sustained (92%), and GDP contributions (93%). Ontario’s 20% tax rate has reaped around $1 billion.

Otton noted last summer that while at some point those numbers will have to plateau, “to be frank, we’re not seeing the levelling-off yet.”

OLG standing its ground but losing share The biggest shortcoming of Ontario market revenue reporting is that iGO does not break down numbers by operator. So, other than snapshots provided by some individual brands, OLG is the only operator for whom we have a full official picture.

Amid the huge quantity and considerable quality of competition, OLG’s digital operations are holding their own. Over the first two years, OLG contributed $1.2 billion of Ontario’s $5 million GGR. Its online gaming revenue also grew year-over-year between FY23 and FY24, albeit modestly. The lottery corporation’s total gross revenue from digital channels was up 12% to $630 million, growth which was some way below the commercial market’s.

Still, taking all the public revenue numbers at face value, OLG held down 20.8% of Ontario regulated market GGR in FY24.

The bigger and better story is what gaming is doing for the broader economy

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F E AT U R E

Even accounting for the unregulated market, H2 Gambling Capital estimates OLG’s share at 16% as of the end of FY24, although that’s down from 20% last year.

How is 2025 shaping up?

The nature of the staggered reporting of official numbers in Ontario means that even as OLG completed the FY24 reporting, we already know how the first half of 2025 looked in the commercial market. From April 1 to Sept. 30, 2024, Ontarians placed more than $37 billion in wagers across all digital gaming, putting it well on track to eclipse the $63 billion taken in the whole of the last fiscal year. GGR stands at around $1.5 billion, around 62% of last year’s total. The most recent iGO quarterly report shows that the

commercial market continues to take big strides, even if the quarterly gains are flattening out somewhat.

As it was in the first two years, online casino very much remains the winning hand. Across H1 FY25, iGO’s reporting shows that online gaming including slots, table games and peer-topeer bingo accounted for a huge 85% of all online gaming handle and around 74% of GGR. We’ll know soon after it ends, in late April, how the third full year of the Ontario market shaped up compared to the first two, although it will likely take until October for OLG to complete the picture. Based on what’s come before and where we stand today, it seems the train will continue to roll full steam ahead.

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G

aming is a fiercely competitive industry for operators vying for revenue share and market leadership. But when it comes to safer gambling and player protection, it’s crucial to keep a shared goal in mind.

That was the core message of a panel at the New Horizons in Safer Gambling conference in October, when operators and regulators gathered to discuss the impacts of regulating gaming on responsible gambling, using Ontario’s commercial open market as a framing.

“Although we’re competing in a lot of ways, we all benefit from having healthy players,” said OLG’s VP of Community, Sustainability & Social Responsibility, Catherine Meade. “We 54

Spring 2025

need to talk about what customer behaviours lead us to intervene and what thresholds we’re using?

“No one really benefits from passing a player from one to the next. Who benefits — and, more importantly, who’s harmed — when we do it without working together? Of course, the answer to the latter is the player.”

“We may be fierce competitors in the field of business, fighting every day for customers and market share and the profitability and sustainability of our business, but when it comes to responsible gambling, I think we can all agree we’re on the same team,” added BetMGM’s Director of Responsible Gambling, Richard Taylor.

RESPONSIBLE GAMBLING

How iGaming regulation drives safer gambling innovation Operators, regulators discuss the benefits of collaborative oversight in Ontario and beyond.

WORDS BY TOM NIGHTINGALE

Defining and measuring goals While this panel took place in Vancouver, it centred largely on Ontario, given that the province conducts and operates the only regulated commercial online gaming market in the country.

A primary goal of opening Ontario’s doors and bringing online gaming under regulatory oversight was to bring the sizeable and mature grey market into the light so that players can be reached with safeguards and responsible gambling initiatives can be tracked.

“Regulating the industry at least provides the opportunity for those government goals and policies to reach the market,” noted Bruce

Caughill, Managing Director of Canada at Rush Street Interactive. “Otherwise, if you don’t regulate it, you have no opportunity.

“One of the biggest benefits of a regulated market is that the account-based requirement to participate means you know everybody and every transaction. You’re able to measure because you have that window… you’re able to touch those people in the unregulated market that were not otherwise touched from a responsible gaming perspective.”

Hodan Fourie, Director of Business Integrity and Financial Crime Risk at Flutter, added that the biggest risk to customers is the potential of winding up playing on an unregulated site. There, often, there is a stark lack of safeguards and accountability.

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RESPONSIBLE GAMBLING

Perfection is never really achieved in this area, but collaborative regulation helps us be better everywhere

Accountability is an important word here. As Taylor noted, while regulation itself can be a driver of competitive innovation, a good gaming regulator holds its operators accountable so that all are held to the same standards around player protection.

A good regulator draws from operators To that end, the Alcohol and Gaming Commission of Ontario’s regulatory standards and iGaming Ontario’s requirements stipulate several things, such as how celebrities and influencers can be used in marketing. Ontario also requires its licensed operators to spend a certain percentage of their gross gaming revenue on responsible gambling messaging.

Those requirements didn’t come around by accident, explained the panelists. They were the result of consultation with operators and, in many cases, a painstaking iterative process of application.

“In some jurisdictions, it can be ‘take it or leave it’ or actually just ‘take it, this is what you get,’” noted Taylor. “But there needs to be a level of trust between operators and regulators. Allow us to dazzle you and surprise you, because you may see something that is surprising and that might become a standard down the road.”

Certainly, in Ontario, the conductand-manage entity iGO knew that in

order to run the provincial gaming market to the best of its ability, it needed to draw upon operators’ expertise.

“We know that operators know their players much better than we do in the government world,” acknowledged iGO’s Director of Industry Programs and Monitoring, Catherine Jarmain. “So, we know we really need to do some serious listening to understand how we meet public policy objectives to not only attract players to the market, but keep them.

“Sometimes, something hasn’t been done before and you have to just try it, build in approaches to measure it as you go along, and then continuously improve.”

Applying Ontario’s lessons elsewhere

north of the border, helped by what Caughill called the “forward-looking work” of OLG and iGO, have yielded strong results elsewhere.

“Because we operate across many jurisdictions with various programs, we have seen this requirement for continuous improvement and evaluation,” Fourie explained. “We bring back those learnings and insights… that’s the key to playing in a standard, sustainable manner, and then you’re able to bring the customer along in the journey with you.”

“Perfection is never really achieved in this area,” acknowledged Taylor. “But collaborative regulation helps us be better everywhere.”

It’s not a one-way street, either.

Flutter, BetMGM, and Rush Street are all multi-jurisdictional gaming operators with a deep footprint in multiple other jurisdictions, including numerous states in the U.S. market.

Jarmain, the only panelist sitting firmly on the other side of the fence between operator and regulator, noted that the multi-jurisdictional factor can also work in the reverse.

None may be as welcoming as Ontario in terms of the sheer number of licensed gaming operators, but every regulated market has its own nuances, its own goals and procedures and policies, and its own requirements of licensees.

“We’re now conducting and managing 50-plus operators with experience all over the world,” Jarmain noted. “We’ve had the opportunity to learn a lot from their experiences, what has worked elsewhere, what has maybe not worked. Sometimes, innovation just requires some creative thinking.”

Just because the landscape is different, though, doesn’t mean that lessons and learnings from Ontario can’t be applied elsewhere. Fourie, Taylor, and Caughill all noted that things they have done

The message from Ontario is clear: when regulatory oversight is collaborative, safer gambling innovation abounds.

CanadianGamingBusiness.com

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EVENTS

A NEW ERA for the Canadian Gaming Summit Reflecting on two years of SBC leading Canada’s premier industry event.

WORDS BY ELLIS DAVIS

CanadianGamingBusiness.com

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ack in 2022, SBC was preparing for what would be its first official venture into the Canadian events space.

MediaEdge Communications handed the reins to SBC, marking the start of an exciting new chapter for the event.

In true SBC fashion, we wanted to host an event that would be the key gathering spot for Canada’s local scene and for global brands eager to expand there. But with the well-established Canadian Gaming Summit already filling that role, we decided to take a different approach.

In the two years since, SBC has been on a journey of expansion, leaving no stone unturned in the effort to bring in new industry talent and add even more value with expanded educational content and networking.

Rather than reinvent the wheel, we acquired the event, aiming to grow it even further and add those signature SBC touches that make our events so loved by the industry.

In June 2022, after 25 successful years, the Canadian Gaming Association (CGA) and 60

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Long story short, we did just that.

As SBC gears up for its third edition of the Canadian Gaming Summit, set for June 17–19, 2025, at the Metro Toronto Convention Centre, we thought it’d be a good time to reflect on the past years and share some of the event’s major highlights since SBC took the lead.

EVENTS

More popular than ever

Casting the net wide

In just one year, SBC reported a doubling in attendance bringing a total of 2,000 delegates to the 2023 edition of the event.

SBCs’ new approach to the Canadian Gaming Summit could be felt across every area of the summit.

The 2024 edition continued this rise, with 3,000 industry professionals in attendance — a clear sign of the industry’s enthusiasm for this reimagined event and Canada’s growing significance on the global stage. After all, the acquisition was made strategically during an exciting time, with Ontario’s market officially launching on April 4, 2022.

Apart from the more elaborate show floor, we rolled out an expanded educational program with seven specialized tracks across two stages, covering everything from compliance to affiliation. In 2024, attendees got access to 46 panels, packing in over 35 hours of valuable insights.

Since then, the Canadian gaming industry has evolved significantly. The Canadian Gaming Summit has looked to stay ahead of the curve.

The 2023 edition of the Canadian Gaming Summit also introduced the ‘Player Protection Symposium,’ a limited-capacity, specialized conference focused on providing the industry with a strong foundation for player protection.

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EVENTS

In addition to educational sessions and networking with safer gambling experts, the symposium featured a unique athlete perspective, thanks to appearances from former NHL goaltender and Director of the National Hockey League Alumni Association Glenn Healy in 2023 and former NHL player Luke Gazdic in 2024. Their insights offered attendees valuable perspectives on player well-being and the importance of responsible gaming within the sports community, adding a compelling layer to the conversation.

Hearing from the industry’s best With an expanded conference scope, came an expanded lineup of industry specialists willing to take the stage and share their experience. In 2024, the event welcomed a recordbreaking lineup of 150 speakers.

Session highlights included a panel discussion featuring crown corporation leaders Pat Davis (President & CEO of BCLC), Jean-François Bergeron (President & CEO of LotoQuébec), and Patrick Daigle (President & CEO of Atlantic Lottery Corporation), moderated by Will Hill (Executive Director, Canadian Lottery Coalition). Titled The Crown Corps Speak: Competition, Enforcement, and Growth in Canadian Gaming, the session’s popularity confirmed SBC’s choice to expand the focus beyond Ontario, opening up the conversation to what’s next for Canada across the country.

To expand the conversation beyond the Ontario Model, another key addition was made to the event: the Crown Corporation Lounge. Located on the show floor, it offered delegates a unique chance to connect directly with representatives from BCLC, OLG, AGLC, MBLL, ALC, LGS, and Loto-Québec.

Alberta’s journey toward a regulated online gaming market stole the spotlight at that Canadian Gaming Summit. In a crowded session, Dale Nally, Minister of Service Alberta and Red Tape Reduction, announced that Alberta will follow Ontario’s open-market model, inviting numerous operators to be part of the province’s gaming landscape.

Canadian Gaming Summit 2025 on the horizon In just two years, SBC’s ownership has effectively built on the strong foundation laid by its predecessors, further establishing the event as a vital platform for growth, knowledge sharing, and networking within the Canadian market.

With the 2025 edition of the Canadian Gaming Summit just around the corner, one thing is certain: it’s going to be bigger, bolder, and better than ever before.

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Pay by bank for iGaming:

Boost conversion, loyalty, and trust For operators, offering innovative and secure payment solutions is key to success.

WORDS BY DAVE ROE

T

he Canadian iGaming market is expanding rapidly, with provinces such as Ontario leading the way in regulated online gaming and Alberta preparing to launch its regulated market soon. This surge in regulated gaming options has attracted players, increasing the demand for secure, fast, and user-friendly payment solutions.

For iGaming and sports betting operators, offering innovative payment methods is crucial to engaging and retaining players.

Among the payment solutions shaping the future of iGaming, pay by bank solutions stand out as a preferred choice. Options such as INTERAC® and Instant Bank Transfer allow users to make payments

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directly from their bank account, offering a seamless alternative to traditional methods such as credit cards.

For companies such as Paramount Commerce, pay by bank solutions are designed to support iGaming and sports betting merchants by delivering exceptional customer experiences that are efficient, secure, and scalable.

Optimizing Conversion & Reducing Friction With pay by bank solutions, iGaming operators can offer a seamless payment experience, significantly enhancing player retention and increasing conversion.

Dave Roe is Chief Operating Officer at Paramount Commerce.

PAY M E N T S

Personalized payment experiences increasingly influence user satisfaction, loyalty, and brand trust • Broader Market Reach: Traditional payment methods, such as credit cards, present hurdles for many users. Some players find themselves restricted by low credit card acceptance rates or prefer not to use credit cards due to personal spending preferences. Pay by bank solutions open access to a wider audience, reaching all Canadian bank accounts.

• Lower Fees For Consumers: Credit card processing fees can be substantial, cutting into business profits and impacting overall operational costs. By contrast, pay by bank solutions offer lower transaction fees, making it more affordable for operators to process payments and, as a result, reducing costs for end users.

• Enhanced Features Or Engagement: Paramount Commerce’s pay by bank solutions come with features designed for the fast-paced nature of iGaming and sports betting. In-game deposits and oneclick payments offer an intuitive experience that keeps players engaged, minimizes interruption, and bolsters loyalty. These features can significantly impact firsttime customer conversions, ensuring that marketing investments bring in lasting, active customers.

• Streamlined User Experience: Traditional payments can require card details, additional logins, and tedious authentication, which may lead to

frustration and drop-offs. Pay by bank solutions simplify this process, allowing players to initiate transactions using their bank’s authentication, no extra steps or account creation is needed. This streamlined experience results in higher conversion rates and reduces friction at critical moments in the customer journey.

Building Loyalty Through Personalization Personalized payment experiences increasingly influence user satisfaction, loyalty, and brand trust. By creating a payment flow that reflects the player’s preferred setup, Paramount Commerce’s solutions go beyond mere functionality.

• Enhanced Customer Trust With Co-Branding: Paramount Commerce offers co-branded payment experiences where operators can maintain their brand presence during the payment process.

This consistency boosts user trust, as players feel reassured by the familiar interface. By incorporating the operator’s logo, Paramount Commerce reduces drop-offs and increases the likelihood of repeat transactions.

• Dark Mode Option For Brand Consistency: Recognizing that many users prefer dark mode, Paramount Commerce enables merchants to integrate a dark mode option that matches their platform’s theme. This feature ensures a visually appealing experience, reducing friction for users and aligning with operators’ light or dark themes for a seamless look and feel.

• Remember The Preferred Bank: Paramount Commerce’s pay by bank solutions also remember users’ preferred banks. Returning players can enjoy a quicker, personalized experience without the need to select their bank every time.

This saves time and makes the payment process more convenient, fostering customer loyalty and providing operators with a powerful tool for retention.

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PAY M E N T S

Earning Trust with Reliable Security Security is essential in any online transaction, and pay by bank solutions offer robust measures that comply with stringent regulatory standards.

• Secure Transactions: Pay by bank solutions, such as those offered by Paramount Commerce, provide a secure alternative for online transactions by leveraging bank transfers. By tapping into the bank’s established security infrastructure, Paramount Commerce enhances security with robust protocols such as encryption, multi-factor authentication, and real-time fraud detection. Additionally, consumers can take advantage of biometric 66

Spring 2025

authentication, where available, for an extra layer of protection.

• Machine Learning-Backed Risk Management: Additionally, Paramount Commerce uses machine learning algorithms to detect and prevent fraud. This approach not only enhances security but also allows transactions to proceed with minimal delays, maintaining a smooth user experience.

• Proactive Security: In contrast to credit cards, which still face challenges such as fraud and data breaches despite their security measures, pay by bank solutions prioritize transparency and security. Paramount Commerce does not store any bank account information, ensuring customer privacy and reducing the risk of data breaches. This protects against

financial losses but also enhances the customer experience, fostering trust and loyalty in an increasingly digital economy.

Customer experience, underpinned by seamless, personalized, and secure payments, is a crucial growth driver in Canada’s iGaming industry. With the power of pay by bank solutions, Paramount Commerce is redefining the payment experience, addressing traditional challenges, and elevating user satisfaction.

Now is the time for iGaming operators to evaluate their payment strategies, integrating solutions that not only meet today’s needs but also support the long-term growth of their businesses.

JUNE 17-19, 2025

METRO TORONTO CONVENTION CENTRE TORONTO

CANADA’S

PREMIER GAMING & BETTING EVENT 3,000+ DELEGATES

150

SPEAKERS

75+

EXHIBITORS

#CANADIANGAMINGSUMMIT