Why is the Popularity of Online Poker Declining?

Posted by Harry Kane on Friday, January 26, 2018

Everywhere you turn, there’s talk of sustained and pronounced growth in the online casino market. Not only did this growth sector enjoy record breaking success in 2016, for example, but it is also expanded to account for nearly 33% of the gambling industry as a whole.

The data recorded for the year ending March 2017 is equally impressive, although if we drill down deeper into this it’s possible to see some intriguing trends that highlight precisely where the market is heading.

One of the most interesting insights surrounds the popularity of online poker, which appears to have declined while the rest of the market has grown. In this post, we’ll explore this in further detail and ask why online poker is losing traction in the modern age?

A Look at the Numbers – Is Poker Really in Decline?

In terms of the basic numbers, the UK Gambling Commission (UKGC) has revealed that online poker £101 million (or $136 million) in the year ending March 2017. Surprisingly, this equated to just 5% of the online casino market’s gross gambling yield during this period, which amounted to £2.6 billion overall ($3.5 billion).

In comparative terms, the gulf between poker and other, online betting activities is stark and continuing to grow at a rapid rate. The increasingly popular online slot game niche generated $2.2 billion in revenues during the last financial year, for example, while sports betting also added an impressive $2.5 billion to the UK’s gambling industry.

So, despite a 10.1% year-on-year increase the market’s gross gambling yield, online poker is clearly playing a diminished role in driving this growth. It’s also likely that this classic game will become even less influential in the years ahead, as it continues to lose ground in an increasingly diverse and busy marketplace.

Why is Poker Being Marginalised in the Online Gambling Market?

With these stats in mind, it’s clear that the popularity of poker is in decline. Despite this, it’s far harder to determine why this should be the case, particularly when you consider that online and video poker represented the face of virtual casino gameplay 10 years ago. In fact, iterations such as Texas Hold ’em poker also blazed a trail in the field of social gaming back in 2007, so its fall from grace is difficult to understand when taken at face value.

One issue is the relatively skilled nature of poker, which has always created a barrier to entry for novice players. While the virtual nature of the online game and the inability to read the physical tells of opponents negates this to some degree, poker has always maintained a challenging aura and a distinct lack of opportunism that deters inexperienced players.

Casino operators have sought to challenge this perception, however, by blurring the lines between poker and more opportunistic games. Fast-fold poker was an early nod towards this strategy, as this simplified basic gameplay and made it easier for newcomers to grasp the fundamentals of poker strategy. Since then, operators have strived to create a more level playing field for skilled and inexperienced players, by banning tracking software and appointing random seats at cash tables during tournaments.

While these measures (along with the introduction of hybrid poker forms that incorporate video game narratives and characters) may have been well-intended, they’ve arguably placed poker into a state of limbo. After all, there remains a strong sense that poker still lacks the immersive gameplay and sense of opportunism to engage inexperienced players, while the dilution of classic formats has also been off-putting to skilled practitioners.

As a result, it is being eschewed by both demographics in favour of online casino staples such as blackjack, roulette and, more recently, slots.

The Spectre of Slot Games – How Has This Undermined the Growth of Poker?

The reference of slot games is particularly interesting, as they have taken the online gambling market by storm since 2007. In fact, these games have enjoyed treble digit growth during the last decade, thanks largely to the fact that they have been tailored to meet the demands of the modern player.

The UKGC’s recent report talks openly about these demands, which tend to focus around high-octane and immersive game narratives that offer large jackpots and transparent odds of success. Contemporary slots ticks all of these boxes, particularly with developers having created a library of games based on popular television programs, market leading video games and various pop-culture icons.

This has created an instant hook for new or inexperienced players who are looking to gamble for the first time, while it also lends itself to the type of exciting gameplay that is craved by gamers in the digital age.

Today’s slots also offer huge base and bonus game jackpots, creating a layered experience in which players can earn huge returns. In fact, a growing number of titles form part of a wider network that offer progressive jackpots, which can potentially reward players with seven figure prizes.

As if this is not enough, slots also boast a strong element of opportunism and outstanding return-to-player (RTP) rates, ranging from 90% (on high variance games) to 98% and above on certified slots. Each game will offer an advertised RTP rate in line with the gameplay and jackpot, creating a sense of transparency that allows both casual and serious players to manage their bankroll and estimate potential returns.

The Last Word

As we can see, these factors have conspired against online poker to gradually diminish its popularity in the digital age. More specifically, we’ve seen the online casino experience and slot games evolve at a rapid pace during the last 10 years, as they have continued to adapt to the various demands of players.

Online poker has failed to evolve at the same rate, making it increasingly irrelevant to an audience that boasts a rising number of casual players.

We should expect this trend to continue in the near-term, both in the UK market and similar entities across the globe. If poker is to rebound and re-emerge as a strong market force, it must first invest in refined and effective crossover-style experiences that appeal to newcomers while also retaining the core essence of this classic game.