As Coronavirus takes hold of a majority of the world, the rising number of cases in Africa has seen the government and army officials reacting quickly to contain the virus.
But with the sudden closure of many businesses for the foreseeable future, many are wondering just how much damage the virus could do to the gambling industry in 2020?
The Number Of Cases In South Africa
Though the Coronavirus is now in a total of 50 countries up until recently it looked as though South Africa or the African region was vastly unaffected by the virus. However, with a total of over 4000 cases so far in the north and the south, there are signs that the spread of this virus is far from over.
As these cases continue o rise however, the government have done more to contain the virus beginning with the restrictions on travelling and asking residents to stay home. This is a technique that we have seen take place all over the world and is proving useful.
The Closure Of Casinos
As part of these preliminary changes to prevent the spread, there have been a number of businesses that have had to close. Casinos are of course no exception. One of the first major casino chains to be hit by the virus was Sun International casinos.
This is because they have a number of casinos in Latin America. Due to the current situation there the were forced to close for the foreseeable future.
This is a huge loss of revenue for the business and has led to many wondering just how much of an effect Covid-19 will have on the future of gambling in South Africa and whether or not the industry will be able to recover.
The Impact Of Covid-19
As several brick and mortar casinos continue to close their doors during this outbreak, this has already had a huge effect on the revenue generated by casinos and online gambling.
However, with more people spending time at home, there are many calling on the government to do more to encourage the use of fully licenced new online casinos for online entertainment.
As online gambling continues to gain popularity in South Africa during this time, this is the perfect opening for several businesses to benefit. Though it can take time to obtain licences in the area, we may well see a rise in fully licenced online casinos during this ongoing time of uncertainty.
However, with the World Health Organisation still collecting data about the virus, many are unsure as to how long the lockdown will last.
The Lack Of Advertising
During this time of uncertainty, it is also important to note that the South African government has ordered for all adverts promoting betting or gambling to be taken off the air.
Though this may not seem like much of a change, this is a huge loss of revenue for not just individual casinos but also advertisers. Due to the popularity of this industry in the country, this is a huge amount of revenue that is lost as well as the amount of footfall falling dramatically.
However, with many itching to get outside once again, we could see the market recover much faster than many are expecting, particularly when live sports and other events begin to get up and running.
Whether you are in lockdown at this time or you are still able to continue with your everyday life, the effects of Covid- 19 are being felt around the world, with no signs of slowing down, but how will it continue to affect the economy?