Gaming and Vending Machines Manufacturing in Australia - Market Research Report (2013-2028)
Melbourne, Australia
Last Updated: August 2023
ANZSIC C2499bRevenue
$556.5m
Past 5-Year Growth
Profit
$XX.Xm
Employees
2,332
Businesses
92
Wages
$XXX.Xm
Gaming and Vending Machines Manufacturing in Australia industry analysis
Firms in the Gaming and Vending Machines Manufacturing industry produce machines have faced difficult trading conditions over the past few years. The industry encompasses gaming machine manufacturing, which accounts for over 90% of the industry's revenue, and vending machine manufacturing, which accounts for the remainder. Increasing government regulation and a steep decline in demand following the COVID-19 outbreak have limited growth in gaming machine manufacturing. Industry revenue is expected to decrease by an annualised 2.1% over the five years through 2023-24, to $556.5 million. Nonetheless, this trend includes an expected fall of 4.1% in 2023-24, as restrictions on venues with gaming machines fully ease and downstream demand recovers.
Trends and Insights
- Downstream demand collapsed during the pandemic, as pokies venues were shut for extended periods during lockdowns. As restrictions have eased, manufacturers have rebuilt their revenue and profit margins as reopened venues looked to upgrade their machines.
- Poker machines are very profitable machines that account for a growing share of overall revenue. Although regulations limit the number of machines allowed in Australia, machine upgrades and product innovations are a key source of industry-wide growth.
- Regulation heavily affects the level of downstream demand per state. New South Wales has a dominant share of the overall gaming machines in Australia, while Western Australia has very few. This trend is driven by the regulatory environment.
- Ainsworth and Aristocrat, two globally integrated pokies manufacturers dominate the industry. Government caps on the number of machines sold leave little room for manufacturers that lack the scale to invest in research and development.
Industry Overview
Market size and recent performance (2013-2028)
Industry revenue has declined at a CAGR of 2.1 % over the past five years, to reach an estimated $556.5m in 2023.
Trends and Insights
The regulatory environment limits the industry’s growth prospects
- Regulation is highly influential in shaping the performance of manufacturers, especially as concerns surrounding the social consequences of problem gambling. Regulations vary from state to state.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2024-2029)
Market size is projected to decline over the next five years.
Trends and Insights
Social attitudes are turning against pokies, prompting a likely tightening of regulations
- The number of gaming machines in Australia is projected to fall steadily over the next five years. Anti-gambling advocacy groups and rising public awareness about gambling addiction will likely mount pressure on officials to increase regulations for the industry.
Biggest companies in the Gaming and Vending Machines Manufacturing in Australia
| Company | Market Share (%)
2024 | Revenue ($short_0)
2024 |
|---|
There are no companies that hold a large enough market share in the Gaming and Vending Machines Manufacturing in Australia industry for IBISWorld to include in this product.
Products & Services Segmentation
Source: IBISWorld
Industry revenue is measured across several distinct product and services lines, including Poker machines, VLTs and electronic table games and Vending machines. Poker machines is the largest segment of the Gaming and Vending Machines Manufacturing in Australia.
Trends and Insights
Poker machines are highly profitable products that attract continuous upgrades
- Poker machines, also commonly referred to as slot machines or the pokies, are the most commonly used electronic gaming machines in Australia. They are also the industry's largest product segment.
- More insights available in the full report
Widen you competitive advantage with related industries
Competitors
- There are no industries to display.
Complementors
- Measurement and Other Scientific Equipment Manufacturing in Australia
- Computer and Electronic Office Equipment Manufacturing in Australia
- Communication Equipment Manufacturing in Australia
- Industrial Machinery Manufacturing in Australia
International industries
- Online Gambling Services in the US
Table of Contents
About this industry
Industry definition
Industry firms primarily manufacture gaming and vending machines. Gaming machines allow people to bet money on a game of chance that offers a potential return greater than the amount originally wagered. Vending machines are automated machines that dispense various packaged goods.
What's included in this industry?
Gaming machine manufacturingPoker machine manufacturingVending machine manufacturingCompanies
Purchase this report to view all major companies in this industry.
Related Terms
VIDEO LOTTERY TERMINAL (VLT)POKIESGAMINGELECTRONIC GAMING MACHINEIndustry Code
ANZSIC 2499 - Gaming and Vending Machines Manufacturing in Australia
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
Downstream demand collapsed during the pandemic, as pokies venues were shut for extended periods during lockdowns. As restrictions have eased, manufacturers have rebuilt thei...
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2013-2022) and forecast (2023-2028)
- Employees, including historical (2013-2022) and forecast (2023-2028)
- Businesses, including historical (2013-2022) and forecast (2023-2028)
- Profit, including historical (2013-2023)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
Poker machines are very profitable machines that account for a growing share of overall revenue. Although regulations limit the number of machines allowed in Australia, machi...
In this chapter
- Products & Services
- Major Markets
- International Trade
Key metrics
- Largest market segment and value in 2023
- Product innovation level
- Total imports, level and trend
- Total exports, level and trend
- Trade Balance
Charts
- Products & services segmentation in 2023
- Major market segmentation in 2023
- International trade, including imports by country and exports by country
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
- Recent trends in import and export volumes, country of origin or destination, and expected future trends
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
Regulation heavily affects the level of downstream demand per state. New South Wales has a dominant share of the overall gaming machines in Australia, while Western Australia...
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each region
- Share of population compared to establishments in each region in 2023
Tables
- Number and share of establishments in each region in 2023
- Number and share of revenue each region accounts for in 2023
- Number and share of wages each region accounts for in 2023
- Number and share of employees in each region in 2023
Detailed analysis
- Geographic spread of the industry across Asia Pacific, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
Ainsworth and Aristocrat, two globally integrated pokies manufacturers dominate the industry. Government caps on the number of machines sold leave little room for manufacture...
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2018-2023
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
Aristocrat Leisure has refocused on its core markets in Australia and the US. This trend has led to a growing investment in research and development, launching a series of ne...
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2019 through 2023
- Major companies in the industry, including market share, revenue, profit and profit margin in 2023
Detailed analysis
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
Demand from casinos is on the rise, which is set to benefit the industry in 2023-24. Higher demand from casinos means that manufacturers are likely to benefit from an uptick ...
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2013-2028)
- Assistance historical data and forecast (2013-2028)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
Profit margins are rebounding from the pandemic downturn. As pokies venues reopen, many downstream markets are seeking machine upgrades to improve the performance of their ma...
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2023
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2023
- Investment vs. share of economy
Data tables
- Cash Flow & Debt Service Ratios (2013-2028)
- Revenue per Employee (2013-2028)
- Revenue per Enterprise (2013-2028)
- Employees per Establishment (2013-2028)
- Employees per Enterprise (2013-2028)
- Average Wage (2013-2028)
- Wages/Revenue (2013-2028)
- Establishments per Enterprise (2013-2028)
- IVA/Revenue (2013-2028)
- Imports/Demand (2013-2028)
- Exports/Revenue (2013-2028)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2013-2028)
- IVA (2013-2028)
- Establishments (2013-2028)
- Enterprises (2013-2028)
- Employment (2013-2028)
- Exports (2013-2028)
- Imports (2013-2028)
- Wages (2013-2028)
Methodology
How are IBISWorld reports created?
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in Australia include:
- Australian Bureau of Statistics
- Australian Taxation Office
- Australian Securities & Investments Commission
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
Learn more about our methodology and data sourcing on the Help Center.
Frequently Asked Questions
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Gaming and Vending Machines Manufacturing industry in Australia in 2024?
The market size of the Gaming and Vending Machines Manufacturing industry in Australia is $556.5m in 2024.
How many businesses are there in the Gaming and Vending Machines Manufacturing in Australia industry in 2023?
There are 92 businesses in the Gaming and Vending Machines Manufacturing industry in Australia, which has declined at a CAGR of 0.0 % between 2018 and 2023.
Has the Gaming and Vending Machines Manufacturing industry in Australia grown or declined over the past 5 years?
The market size of the Gaming and Vending Machines Manufacturing industry in Australia has been declining at a CAGR of 2.1 % between 2018 and 2023.
What is the forecast growth of the Gaming and Vending Machines Manufacturing industry in Australia over the next 5 years?
Over the next five years, the Gaming and Vending Machines Manufacturing industry in Australia is expected to decline.
What does the Gaming and Vending Machines Manufacturing in Australia include?
Gaming machine manufacturing and Poker machine manufacturing are part of the Gaming and Vending Machines Manufacturing industry.
How competitive is the Gaming and Vending Machines Manufacturing industry in Australia?
The level of competition is high and steady in the Gaming and Vending Machines Manufacturing industry in Australia.
