The Impact of COVID-19 on Gambling in Norway

The Norwegian National Lottery, Norway’s exclusive gambling authority, reported that during the COVID-19 outbreak, specific types of wagering were temporarily halted. This resulted in a reduction in risky conduct among participants, though this trend quickly reversed as games became accessible online again.

The report is separated into two periods, spanning from March to May and from May to July. It utilizes the Norwegian Lottery’s classification of player behavior, ranging from green (low risk) and yellow (medium risk) to red (high risk).

Following Norway’s implementation of confinement measures in response to the pandemic, operators expressed concern that individuals already susceptible to gambling issues might face heightened risk during this period of change and uncertainty.

Overall, it is evident that the lottery continues to hold a commanding position within the gambling market. In March, revenue experienced an increase, coinciding with the customary annual surge during Easter. This period featured more promotional offers and draws. Furthermore, an exceptionally large jackpot attracted an above-average number of participants.

The Norwegian Lottery maintains a positive outlook on the lottery’s dominance. They aspire for patrons to opt for this low-risk form of entertainment over higher-risk alternatives such as sports betting and casinos.

The emergence of the COVID-19 pandemic compelled the postponement of athletic leagues and contests, leaving sports wagering aficionados practically overnight without the chance to place bets on significant sporting events. The majority of bettors ceased wagering entirely during this period.

Norwegian betting firms indicated that they were hesitant to actively motivate sports bettors to engage in other games deemed higher risk, such as casino games.

Wagering on esports and Belarusian football lacked allure for those accustomed to placing bets on soccer and hockey. While some sports bettors interested in casino games did change their focus, many completely abandoned betting during the suspension of sporting events.

Online bingo games did not experience significant alterations in the initial stage, accompanied by a slight increase in digital scratch cards and online casinos. The number of participants in these categories rose, however, this growth was not considerably greater than the steady growth in online casinos in recent years. This growth undoubtedly could not compensate for the loss of sports betting and land-based slot machine players.

The land-based industry endured prolonged closures, particularly Multix and Belago gaming terminals in Norway, which were the favored products of the operator’s most devoted customer base.

Many customers participated across various categories, but a small proportion of customers solely played at physical terminals.

Although Norwegians were intrigued by whether these athletes would ultimately switch to online slots, they didn’t do so until three months later.

In the initial stage (March to May), the observed risk level shifted for the first time, with a considerable reduction in risk-taking. This was partly due to the closure of Multix and Belago gaming terminals, as many players on these terminals were categorized as “red” high-risk individuals.

Without sports betting, most bettors vanished entirely during this period.

In the second stage, by July, data indicated that gaming patterns began to revert to pre-lockdown levels as normalcy started to return.

Multix and Belago players were approaching pre-lockdown gaming levels, although social distancing regulations meant not all machines were operational.

As sports betting resumed, players followed suit, and betting patterns returned to pre-lockdown levels. There was an increase in “red” players during this time, coinciding with the Norwegian Elite Series and Premier League occurring simultaneously. This has since declined.

Online casinos also witnessed an increase in “red” players in July, which has since also decreased. Increased disposable income was perceived as a potential explanation for this phenomenon, consistent with feedback received from players.

Although the overall count of “red” participants initially decreased during the confinement period, it has now rebounded to its pre-confinement levels. This doesn’t necessarily imply that specific individuals or groups of players encountered heightened risk during the lockdown.

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