German channelisation sits at 77%, according to regulator-commissioned study
Report finds black market GGR came to almost €550m in 2024, as authority says fight against unlicensed sector is ongoing
A study commissioned by the German regulator has placed the channelisation rate in the market at 77.03%, with the body stating the fight against the black market is a “marathon”.
The GGL, which was formed following the re-regulation of Germany’s gambling market in 2021, tapped Blockchain Research Lab to conduct the report.
The study found that 22.97% of gambling, equating to GGR of €546.9m, was linked to the black market in 2024.
In comparison, GGR from the legal market in 2024 hit €1.8bn, per the report.
The 2024 figures showed growth compared to 2023, when GGR from the black market was €466.4m and the regulated arena was €1.6bn.
“The calculated increase primarily reflects the overall growth of the regulated sector, assuming a constant share of the unregulated market,” the report stated.
Other data from the study showed average losses per month per customer were €475 for those only using illegal sites and €358 for those only using licensed operators.
When asking participants which unlicensed operators they gamble with, Stake was mentioned the most, followed by Lottohelden and WooCasino.
As per EGM data, just 43.4% of gambling traffic in Germany comes via licensed operators in the European nation.
In a report published by the GGL last June, the regulator estimated the black market could have been worth between €500m and €600m in GGR in 2024.
On the most recent study, Ronald Benter, GGL CEO, said: “The scientifically calculated channelling rate confirms our previous assumptions about the size of the black market.
“The results support the fact-based regulatory approach within the framework of the 2021 Interstate Treaty on Gambling.
“We are in discussions with the states regarding the extent to which the results of this study may necessitate adjustments to the legal requirements. The fight against illegal online gambling is a marathon, not a sprint.”
This article includes insight from our data partner, EGM. A GGR-focused product launched earlier this year, delivering broader market coverage and data-led insight across the global gambling industry. Click here to find out more.