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The Indian gaming industry has seen tremendous growth opportunities over the last decade, but very few options were available to public investors. One new such opportunity is Bingo Nation (BLTO).
While basically in start-up mode, Bingo Nation has gotten a lot of media attention for an innovative new bingo related game. The question now is whether the company can crack the opportunity in the large Indian gaming sector?
Huge Indian Gaming Market
Back in 2014, the Indian gaming market was estimated at $28.9 billion concluding a fifth consecutive year of growth. The Indian casinos only accounted for 28% of the casino industry revenues that amounted to a massive $103.2 billion. The largest revenue share belongs to commercial casinos at $48.3 billion with another 27% or $27.9 million captured by lotteries. The industry has rebounded strong from the financial crisis lows where gambling revenues declined to $86.7 million.
The Indian Gaming Regulatory Act of 1988 (IGRA) gave state governments authority over tribal gaming requiring the negotiations agreements with states for Class III casino-style gaming activities. Previously, some states allowed minor levels of gambling on reservation lands such as bingo and other tribal related games.
In essence, the IGRA gave Indian tribes the rights to operate casinos with the goal of using the revenues to fund tribal government programs, provide for the general welfare of tribe members such as healthcare, and promote economic development within the tribes. In many states, the Indian casinos provided the only options for legal gambling.
Most of the tribal casinos have now become destinations with connected luxury hotels, golf courses and spas. A lot of the Indian casinos have expanded into entertainment facilities in attempt to replicate the amenities that attracted consumers to Las Vegas. The Indian casinos offer more affordable day trips or nights out for adults in many states.
