A new study released by TransUnion on Wednesday revealed young bettors are driving the growth in America’s gaming industry.
Key Takeaways
- Online sports betting was especially attractive to both Millennial and Gen Z bettors.
- Younger bettors are more likely to participate in gambling because of their higher risk acceptance.
- Debt payments are increasing quickly among young bettors.
The study focused on bettors who regularly risked at least $50 per month. While betting activity was up to 30% of consumers in Q2 2025, that number rose to 34% and 42% for Gen Z and Millennial bettors, respectively.
Both Gen Z and Millennial bettors increased their participation in online sports betting by 7% year-over-year.
Millennials increased their participation in online casino gaming by 7%, in retail casino and retail lottery by 9%, and in retail sports betting and online lottery by 11%.
Gen Z showed no change for online casino participation and decreases of 1% for retail lottery and retail sportsbook, 3% for online lottery, and 6% for retail casinos.
“We’ve seen that in prior editions,” said TransUnion senior director Declan Raines. “These particular demographics (Millennials and Gen Z), in particular within sportsbook, are hugely involved from a participation standpoint. So, it’s not a surprise to see that they continue to drive growth within the sector this year. They’d done that for the past two years, which we can confirm.”
Economic factors and challenges
One of the defining characteristics of younger generations is their higher level of risk acceptance compared to the older crowd.
The study also found that consumers with the highest percentage of mobile gaming usage were younger, urban-area individuals who rented housing units and did not have children. These consumers were also more likely to use cryptocurrency, which can be used at a variety of online gambling platforms.
“We used TransUnion’s marketing solutions to better understand the profile of regular bettors and a pattern of financial speculation emerged,” said Raines. “These segments were also more likely to invest for big payoffs in the stock market, go on adventure vacations, and make impulse purchases.”
TransUnion said the most predictive factor of consumers’ willingness to gamble was the availability of discretionary income. For example, payments such as loans and rent, the rising cost of living, and reduced confidence could influence whether bettors risk or save their money.
Monthly debt payments for Millennials and Gen Z consumers are up 20% and 27%, respectively. Those are well ahead of the rate of inflation (6%) and wage growth (8%).
Eyes on the future
The report finished by stating that gambling operators have the challenge of balancing short-term profits with long-term sustainability amid economic challenges.
“Operators must be sensitive to the precarious nature of bettors’ finances and utilize a robust responsible gaming platform to help protect them,” said Raines. “Such measures are especially popular among Gen Z bettors, who are on track to become the dominant consumer segment, spending more per capita than any other generation.”
