New Zealand Online Game Market on the Threshold of Explosive Growth
May 16, 2025

New Zealand Online Game Market on the Threshold of Explosive Growth

Reece Calderbank, Global Sales Director at Delasport, assesses the potential of the incoming regulatory framework for iGaming in New Zealand, which is set to go live in 2026. Calderbank outlines the size of the market and looks at some of the player preferences in the nation to help market entrants prepare for launch.

New Zealand’s iGaming sector stands at the threshold of a pivotal transformation. With regulatory reforms underway and significant market expansion on the horizon, the country is emerging as one of the promising new frontiers in the global online gambling space.

The anticipated changes don’t just signal compliance shifts, they lay the groundwork for sustainable growth, innovation, competitive entry, and opening doors for both local and international operators.

In this latest market report by global iGaming leader Delasport, we explore this evolving landscape in depth, examining the current regulatory environment, upcoming policy shifts, consumer behaviour trends, and the strategic opportunities tied to New Zealand’s accelerating momentum.

Current Gambling Market in New Zealand

New Zealand has a population of approximately 5.2 million people, with high internet and smartphone penetration supporting its digital industries. Internet penetration sits at over 93%, and mobile phone ownership exceeds 90%, making it an ideal environment for online gambling growth.

The gambling market (retail + online) in New Zealand is expected to generate US$ 3.11 billion in revenue in 2025 and is forecasted to expand at a 3.21% CAGR between 2025 and 2029, leading to an anticipated market volume of US$3.53 billion by 2029. The average revenue per user (ARPU) will hit US$1,144 in 2025, highlighting a significant player’s spending power. User penetration is anticipated to reach 40.8% in 2025, with an estimated 2.3 million users engaged in gambling activities by 2029.

New Zealand’s online casino market generated US$267.6 million in revenue in 2024 and is projected to reach USD 584.5 million by 2030, growing at a compound annual growth rate (CAGR) of 14% between 2025 and 2030. In 2024, desktops remained the leading device segment in terms of revenue, while mobile emerged as the most promising channel, expected to register the fastest growth throughout the forecast period.

Market Overview

Metric Value
Revenue (2025) US$3.11 billion
CAGR (2025–2029) 3.21%
ARPU (2025) US$1,144
User Penetration (2025) 40.8%
2029 Projected Market Size: US$3.53 billion
Online Casino Market (2024) US$267.6 million
Projected Online Casino Market (2030) US$584.5 million


The casino segment is the market leader, contributing over US$1.8 billion to the total. While desktop remains dominant in 2024, mobile is rapidly rising as the preferred access method.

Gambling Legislation in New Zealand

While traditional gambling in New Zealand has been regulated for decades under the Gambling Act 2003, the country is now on the brink of a major transformation in how it governs online casino gaming. Historically, New Zealand’s online gambling market has been dominated by offshore operators due to the absence of a domestic licensing regime for online casinos. However, this is set to change with the introduction of a robust regulatory framework scheduled to take effect in early 2026.

The new licensing regime will mark a significant milestone for the country’s digital gambling landscape. Under this framework, the New Zealand government will issue up to 15 online casino licenses through a competitive auction process, expected to begin in February 2026. Successful licensees will be permitted to begin operations by April 2026. Each license will be valid for three years, with a possibility for one renewal of up to five additional years.

The new regime aims to balance market liberalisation with strong consumer protection. Licensed operators will be subject to strict conditions, including mandatory harm minimisation protocols, robust age and identity verification systems, and compliance with advertising restrictions to prevent targeting vulnerable individuals.

The Department of Internal Affairs (DIA) manages gambling licensing, compliance and enforcement functions in order to achieve the purposes of the Gambling Act 2003, and it will continue to oversee the new framework, alongside the Gambling Commission which functions as an independent quasi-judicial body with powers equivalent to a Commission of Inquiry, responsible for casino licensing, overseeing appeals related to non-casino gambling decisions, advising ministers, and reviewing regulatory complaints, while exercising broad procedural discretion and authority.

Key compliance requirements include strict age verificationadvertising restrictions targeting minors, and penalties up to NZ$5 million (nearly US$3 million) for breaches. These reforms aim to create a safer, more transparent iGaming market while boosting local tax revenues and consumer protections.

Currently, fantasy sports and esports betting are not specifically regulated but may be addressed in future reforms, following international regulatory trends.

Regulatory Framework Table

Regulatory Element Description Impact
Licensing Framework 15 licenses auctioned by 2026 Formalizes market entry; enhances consumer protection
Regulatory Authorities DIA, Gambling Commission Ensures regulatory compliance and oversight
Taxation 12% offshore gambling duty+ 15% GST + problem gambling levy (around 1%) Generates public revenue; aligns with fiscal policy
Compliance Requirements Age verification, advertising restrictions Protects minors and vulnerable groups
Penalties for Breach Up to NZ$5 million (~US$3M) Utilized as a deterrent to regulatory violations

Gambling Advertising in New Zealand

With upcoming regulatory changes, gambling advertising in New Zealand is set to undergo significant tightening. Licensed operators will be prohibited from targeting minors and must ensure that all marketing communications are factually accurate and not misleading.

The proposed reforms include:

  • A ban on gambling advertisements directed at individuals under the age of 18
  • Restrictions on the timing and placement of ads, particularly online and across social media platforms
  • A requirement for all marketing materials to display responsible gambling messages

These changes align with broader international trends, as seen in jurisdictions such as the UK and Australia, where regulators are working to reduce gambling-related harm while preserving a controlled environment for licensed operators to advertise responsibly.

Taxes on Gambling in New Zealand

In 2024, the New Zealand government introduced a 12% gambling tax on Gross Gaming Revenue (GGR). This tax is in addition to the standard 15% Goods and Services Tax (GST).

Operators will also be required to contribute to a problem gambling levy (around 1%), which will fund initiatives aimed at reducing gambling harm across the country.  In New Zealand, gambling winnings are tax-free unless classified as income from a business activity.

Popular Sports in New Zealand

Sports betting is a significant part of the iGaming market in New Zealand. Rugby, unsurprisingly, is the most popular sport, with major national and international events such as the 2027 Rugby World Cup – are expected to drive significant betting activity.

Cricket in New Zealand is experiencing a renaissance, characterized by innovative broadcasting strategies and a balance between traditional and modern formats. As a result, a significant 45.5% of cricket enthusiasts fall within the 25–34 age bracket, followed by 26.8% aged 18–24, indicating a youthful and engaged audience.

As of last year, football has overtaken rugby as the most played team sport in New Zealand, with over 170,000 registered players. The sport’s popularity is expected to grow further, particularly with the men’s national team qualifying for the 2026 FIFA World Cup – their first appearance in 16 years.

Other major sports include:

  • Basketball (NBA)
  • Horse Racing
  • Esports and Niche Sports: Esports and other non-traditional sports are also seeing increased viewership, driven by digital platforms, and the appeal to tech-savvy audiences.

Popular Casino Games in New Zealand

According to reports, approximately 80% of New Zealand residents engage in some form of gambling. In fact, four out of every five New Zealanders have tried online casino games. Kiwis’ favourite game is the slots, which they fondly call pokies. Research suggests that roughly 90% of New Zealand gamblers play slot games during each online casino visit. Popular slot themes include local cultural motifs, adventure, fantasy, and sports.

Other favourites include:

  • Blackjack
  • Roulette
  • Poker
  • Live Dealer Games

In Short

New Zealand’s iGaming market is poised for a transformative boom, thanks to forthcoming regulation, increased consumer protection, and a tech-savvy population ready for immersive online gambling experiences. With a projected revenue of US$3.11 billion by 2029, a regulated online casino sector opening in 2026, and technological innovations like crypto and live dealer games gaining traction, the future is very promising.

However, operators must prepare for a tightly regulated environment where compliance, responsible gambling, and smart advertising strategies will be key to success. Those who adapt quickly, embrace innovation, and form strategic partnerships will be best positioned to thrive in this emerging, competitive landscape.

Key Takeaways

  • Projected Growth: New Zealand’s gambling market is expected to reach US$3.11 billion this year, with a continuous growth of 3.21% CAGR from 2025 to 2029.
  • Regulatory Reforms: A new licensing regime will introduce 15 online casino licenses by 2026, formalizing the market and enhancing player protection.
  • High ARPUAverage Revenue Per User (ARPU) will hit US$1,144 by 2025, reflecting strong player spending power.
  • Mobile and Crypto Dominance: The players predominantly use mobile devices, and crypto payment methods like Bitcoin and Ethereum are rapidly gaining popularity.
  • Advertising Tightening: New restrictions will protect minors and impose penalties up to NZ$5 million (nearly US$3 million) for regulatory breaches.

Opportunities for Entrants: New licenses present major growth opportunities, particularly for operators investing in AI, AR/VR, and crypto gaming solutions

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