Is Online Gambling a Recession-Proof Industry?

Tweet

The odds are that you weren’t alive during the Great Depression in America. History says it was an absolutely horrible time, when millions upon millions of people lost their financial security and the entire country nearly came unraveled. Fortunately for the rest of the world at that time, the US didn’t have the presence it has today. But since you’re alive during this current economic crisis, you know full well the effects it is having, regardless of where you’re at in the world. The US slowly made its way to the top of the world’s economies by, basically, having many countries rely on their USD (the dollar: $). Although the world’s countries are partnered up in many ways, America was the headpin that, if struck hard enough with a heavy black ball of booming despair, would knock the others down in a nightmarish game of uber-bowling. So when the housing bubble burst and the Stock Market nearly bottomed out and the American economy shattered like a glass windshield in a high-speed collision, so too did other countries’ economies suffer a devastating blow. The pain was felt—and some are still feeling it—worldwide. And the fallout goes further than most initially recognize. Sure, your standard of living has taken a hit. You may even be broke and having to draw assistance. But think of those third-world nations’ citizens that rely on industrialized prominence for basic necessities like food, shelter and medicine. They’re in dire straits; and the rest of us are still trying to pick up the pieces. The world runs on money and, in a worst-case scenario, is backed up by fear. It’s as simple as that. If it ran on love, John Lennon would still be alive and would no longer have to spread that message. Many realize the key to life—or at least a sense of safety in it—is financial security. And this is why so many have fought so long to figure out ways to create a recession-proof business. What still sells when people can’t afford to buy anything? Answer that question for yourself and you’ll never want for money again. It’s rumored that only organized crime and entertainment (movies and music) continue to do well during times of economic downturn. But with the recent explosion of online gambling, we find that there’s yet another industry that, even if not confirmed recession “proof,” is still spitting in the face of conventional wisdom by managing to grow and expand at a steady rate. It’s seems hard to believe that people persistent on pinching their pennies would fund gambling. After all, this business is different from your basic supply-and-demand model. Gambling isn’t selling anything substantive enough for the touch; it’s promoting a dream, basically. Online poker rooms were the first to really explode a few years back. Some cite Chris Moneymaker’s win at the 2003 World Series of Poker as the launching pad for the poker madness that ensued and is still going strong. Chris was a relatively unknown online amateur player who took down an impressive field of poker professionals to claim a 2-million-dollar prize in Las Vegas. If that’s not hero material then I don’t know what is. Soon after the poker rooms started to explode, the online casinos were close behind with their magical games of play-me-anytime roulette, slots and the like. And if that wasn’t enough for the gambling types out there, here comes Johnny bookmaker with a slue of sports-betting sites for the hidden handicapper in us all. The Internet is like Christmas morning for the gambler. Anywhere you go online, there’s a site to be found. Whatever you’re into in terms of gaming, you’ll find it in droves. But that’s moot. We all know people love gambling. It’s been around for thousands of years. Here’s the real mystery. The land-based casinos are failing dramatically – all but those super-mega-ultra resorts that Wynn and Ho are building. Atlantic City is nearly under, and many more gambling cities around the world are mightily struggling. And just when you think it might be the gambling people are shunning, you remember that online venues are operating at all-time highs! So what is it about Internet casinos, poker rooms and sports-betting sites that make people gravitate toward them when they won’t touch a live venue with a ten-foot pole? Why is online gambling seeming to be recession-proof?