The gambling industry has undergone a major shift, largely influenced by changing attitudes among Millennials and Generation Z. These younger generations, often referred to as digital natives, have grown up in a world dominated by technology.
Their constant exposure to digital platforms and online interactions has shaped distinct preferences in how they approach gambling, setting them apart from older generations.
In this article, we’ll explore these unique preferences in depth, discovering what appeals to Millennials and Gen Z in gambling—and what doesn’t—as they continue to influence the industry.
Generational Differences in Gambling Behaviour
Research into generational differences reveals distinct gambling behaviours among the 4 main groups:
- The Silent Generation
- Baby Boomers
- Millennials
- Gen Z
The Silent Generation and Baby Boomers are loyal to traditional casinos, enjoy taking risks, and prefer classic forms of entertainment. In contrast, Millennials and Gen Z focus on technology and avoid high-risk gambling. These younger generations favour online platforms and skill-based games.
Older generations typically spend more on gambling than Millennials and Gen Z, too. For example, Baby Boomers spend an average of $654.57 per trip to Las Vegas, while Millennials spend around $365.85.
Considering this, it is clear that casinos must reinvent themselves if they want to get their slice of the purchasing power of these generations.
The Generational Shift in Gambling Preferences
The analysis of gambling preferences for different generations shows that Millennials and Generation Z have completely different gambling patterns from Baby Boomers and Generation X.
So, how do social changes, economic conditions and cultures affect younger people’s interaction with gambling? Let’s explore their impact on Millennials and Generation X.
Millennials’ Attitude Towards Gambling
Recent studies show a very low proportion of Millennials spend their money on gambling compared to Baby Boomers and Generation X.
Studies show that Millennials spend significantly less on gambling than Baby Boomers and Generation X.
For example, data from the Las Vegas Convention and Visitors Authority in 2016 revealed that only 22% of Las Vegas visitors in 2015 were Millennials, and among them, only 4% cited gambling as their main reason for visiting. In contrast, 12% of Baby Boomers and 11% of Generation X visitors came for gambling.
Furthermore, a study found that sampled Millennials wagered for an average of 1.9 hours only during their visits, which was substantially less when compared to 3.3 hours wagered by sampled Boomers.
Generation Z: The Newest Players
Unfortunately for the gambling industry, Gen Z has even lower interest in it than Millennials. One reason for this is that the Gen Z demographic is native to the Internet.
As digital natives, they are tech-savvy and explore entertainment options beyond traditional gambling, often favouring social and competitive games like esports.
A recent survey on young adults’ gambling behaviours found that while Gen Z is open to betting, they prefer low-stakes and social-risk games, steering clear of high-risk gambling.
Their average spending per bet is also lower, largely due to limited disposable income and risk-aversion factor. This generation is still young and has yet to set their financial roots firmly, so Generation Z tends to spend carefully and is reluctant to gamble.
The Impact of Technology
As I mentioned earlier, younger generations have grown up with technology, which has influenced their choices of entertainment and the way they approach gambling.
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Internet sites, apps and social networks are now changing traditional gaming experiences and offering greater ways to engage and interact.
Overall, today’s technological advancement can be seen as both a threat and an opportunity for the gambling sector. In my opinion, technology must not be taken lightly if the sector wants to meet the specific needs of the younger generation.
Online Gambling Appeal, Social Media and Esports
By 2024, online gambling revenues are expected to be over $97 billion, and Millennials are expected to account for a good chunk of this growth.
However, with Millennials being most likely to try online gambling, their choice is inclined toward games of skill rather than games of chance, such as conventional pokies. Such a change reflects their generation’s upbringing in the culture of interactive video games.
This has led to the interest in esports betting over more traditional sports betting. Young adults might be more interested in placing bets on a Valorant match or any other popular, competitive FPS game over something like the Ascot races.
Furthermore, Millennials and Gen Z are more likely to bet using their mobile devices. Of course, what do you expect from a generation that values convenience?
However, while mobile gaming offers players increased gaming options, it also presents issues for conventional casinos in terms of attracting these demographics.
Similarly, I cannot overemphasise the role of social media. Both Gen Zs and Millennials are actively using platforms such as Instagram and TikTok. But these platforms are all about fun and entertainment or creating a community rather than promoting gambling.
This dynamic leads to a gap between the gambling operators’ marketing strategies and the platforms engaging most with younger audiences.
Changing Preferences: From Chance to Skill
One notable trend I must highlight is that the new generations tend to gamble on skill-based games as opposed to games of chance. This shift aligns with the growing culture of interactive and engaging entertainment.
As this trend persists, it is apparent that the gambling industry needs to reshape its products to suit these generations.
Millennials are especially inclined towards skill-based games. In fact, researchers have found that this group shows strong interest in poker and blackjack, which combine strategy and social interaction, rather than luck-based games like pokies. As a response, casinos are increasingly introducing skill-based gambling options.
Many casinos are now incorporating features like augmented reality and multiplayer options to create a more social, interactive gambling experience that appeals to the expectations of Millennials and Gen Z, embracing the latest in technology.
The Need for Industry Adaptation
To reach Millennials and Gen Z, the gambling industry must keep innovating and expand its offerings beyond gambling to include activities that encourage social interaction.
For instance, casinos that combine entertainment, dining, and other social experiences are more appealing to these younger audiences, who value experiences that offer more for their money. Marketing to these generations requires a shift from traditional approaches; Millennials and Gen Z are well-informed and expect honesty from brands.
They also prefer companies that support social causes, so it’s essential for gambling operators to emphasise responsible gaming and community support. To connect effectively, operators should use realistic themes, social media, and influencers to build a gaming community that resonates with younger players.
Finally, promoting gambling as an enjoyable leisure activity—rather than a way to make money—can help improve its image among these generations.
Conclusion: Betting on the Future
In conclusion, the changes in gambling approach over time presents both an opportunity and a threat to casinos. Change is inevitable, and we know that those who refuse to adapt to change end up getting caught unawares.
That is why my goal for the article is not to insight fear or discouragement in anyone. Instead, I aim to help casinos respond better to these drastic changes.
About the Author
Olivia Cox is recognised as Betkiwi’s expert in online casinos, pokies, and gambling regulations. She has a diploma in journalism from the Waikato Institute of Technology and extensive experience in the online casino industry.
Before joining BetKiwi, Olivia authored content for a major online casino, establishing herself as one of New Zealand’s leading casino specialists. Olivia reviews online casinos with a focus on bonuses, casino games, security, customer support, and responsible gaming practices.
She has expert knowledge of New Zealand’s gambling regulations and licensing, and is also closely following trends in online pokie games. Olivia is dedicated to staying updated on recent trends within the gaming industry, especially iGaming news and trends, making her insights indispensable to readers.