While younger generations still dominate the US gambling market, a new TransUnion (TU) report found Baby Boomers and Gen X increased their betting engagement in the last quarter of 2024. Conversely, Millennials have been the core audience for gambling in recent years but saw their rates of participation drop somewhat last year.
TransUnion’s findings, highlighted in its Q1 2025 US Betting Report, reconfirm that the best predictor of gambling engagement is financial security, not generational belonging.
In the release accompanying the report, Declan Raines, head of TU’s gaming business, said operators should craft their strategies accordingly.
The demographic shift in betting activity serves as a good reminder that the best predictor of engagement is not age but rather increased earnings and liquidity. Those who have a sudden influx of disposable income are more likely to participate in betting, and operators should keep that in mind when developing their marketing strategies.
The report surveyed 3,000 US adults, 18 plus, concerning their participation in retail and online casino gambling and land-based and online sports betting. Third-party research provider Dynata conducted the research.
Boomers and Gen X offset Millenial engagement dip
Overall, TransUnion found that US betting activity increased slightly to 26% of consumers in the last quarter of 2024 compared to 24% in Q4 2023. Notably, the uptick followed a “significant” shift in generational participation, primarily among Millennials and Baby Boomers.
In recent years, Millennials have dominated all forms of US gambling, whether retail or online.
However, while TU’s latest report reconfirmed that dominance, the generation’s engagement in Q4 dropped 5% year-over-year (YOY) to 35%. Simultaneously, Baby Boomers and Gen Xers upped their involvement in the last quarter to 17% (+7%) and 23% (+4%) YOY, respectively. Meanwhile, Gen Z’s participation remained relatively static at 31%, a single percent drop from Q4 2023 results.
In an email to Bonus, Raines said Millennials’ declining engagement in Q4 is in line with broader consumer trends.
We saw a macro trend in Q4 across multiple industries where consumers reduced their discretionary spending. Gaming was not immune to this trend and given the propensity for Millennials to engage with betting at a much higher rate than other demographics the drop in participation is in line with macro consumer trends in Q4.
High-value players less active but more financially secure
In addition to the dip in Millennial participation, fewer high-value bettors partook in retail and online wagering as 2024 came to a close, the report found. TransUnion defines high-value bettors as those who deposit more than $500 monthly. In this case, the sought-after group’s engagement dropped by 8% at land-based operations and 9% online.
The report suggests these declines may be due to inflation’s impact on household finances and consumer purchasing power. TransUnion further offers that new gamblers are simply testing the waters with smaller deposits, while those willing to spend more are typically longer-term players.
However, Raines told Bonus that anticipated interest rate drops could also lead to easier access to capital. He said potential implications for the industry “include acquisitions and competition in the market from new entrants driven by capital availability.”
On a positive note, TU also found overall, high-value bettors displayed improved finances. Of this group, 54% reported good or better credit scores and middle-to-high income, 4% more than at the end of 2023. Further, those reporting low income and fair or poor credit fell to 4% from 7% YOY.
In general, bettors showed more financial resilience than those who opted to refrain from gambling. For example, over 50% of land-based and online participants reported earning a little or a lot more income in the past three months. Conversely, only 21% of bettors experience a similar financial boost.
Operators require vigilance to guard player health
Importantly, TransUnion’s latest report included several cautions. In particular, it noted 2024’s increased scrutiny by regulators and advocacy groups.
From the report:
Recent studies published by Northwestern and UCLA outlining the risks to personal finances among a subset of players served to elevate the pressure on gaming operators to implement reasonable procedures to identify and curb problem gaming. In response, the industry formed the Responsible Online Gaming Association (ROGA) to establish industry-wide responsible gaming standards and support research and education on safe practices.
Additionally, TransUnion noted its reports have “consistently” found that gamblers experience increased levels of financial volatility—both positive and negative—compared to non-bettors.
This volatility, TU argued, represents a “significant challenge for operators” relative to responsible gaming assessments. As a result, is imperative that operators “stay vigilant” to ensure the sustainability of their most active players’ financial health.
Said Raines:
As the industry matures, new tools have emerged to help operators assess players’ financial resilience and promote responsible gaming. Adopting these measures will help build on the significant investments made by the industry in responsible gaming to date as well as demonstrate good faith efforts to regulators and consumers while protecting profitability for operators in the long run.
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