According to a new study of the industry conducted by IBISWorld, fierce competition from other forms of gambling, including casinos, poker machines and online betting, has eroded the industry\’s revenue base to the point where many are forced to look for alternative sources of income.
Despite the glamour, small-time breeders, trainers and bookmakers find it difficult to carve out a viable niche and struggle to make a living.
“The industry revolves around a few professional trainers deriving the overwhelming majority of income from training fees and their share of prize money, versus a much larger number of mainly small, part-time, owner-trainers who struggle to survive financially,” said Jason Baker, IBISWorld General Manager.
“Since the early 1990s, the industry has had to contend with a huge increase in gambling options for the average punter – from gaming machines to new casinos, online gambling to sports betting.”
“As a result, there are more part-time bookmakers than ever before, and most no longer rely solely on bookmaking profits to make a crust – the returns just don\’t match the personal risk.”