Internet gambling in New Jersey had a record month in August, with over $198 million in revenue. This marks the highest monthly result ever recorded in the state and a nearly 28% increase year-over-year. Despite this positive development, Atlantic City‘s land-based casinos continue to struggle with the aftereffects of the COVID-19 pandemic. According to figures from the New Jersey Division of Gaming Enforcement, physical casinos brought in $294 million in August, which, while up 4.9% year-over-year, is not enough to reach pre-pandemic levels. Six of the nine casinos won less from physical visitors than in August 2019. Including revenue from sports betting and online gambling, casinos, as well as the two racetracks that accept sports bets and their online partners, earned a total profit of over $555 million, a 4.4% increase year-over-year. However, due to the need to share this revenue with outside partners, casinos still consider revenue from physical visitors to be their core business. Only Borgata, Hard Rock and Ocean were able to collect more from physical visitors last month than in August 2019. Jane Bokunewicz, director of the Lloyd Levenson Institute at Stockton University, emphasized the increasing importance of internet gambling to Atlantic City’s gaming industry. She noted, “This important vertical integration has brought in over $190 million in four of the last eight months and contributes nearly half of Atlantic City operators’ gross gaming revenue.” Sports betting revenue totaled $62.7 million in August, down nearly 35%. Bokunewicz explained this as a statistical anomaly due to an exceptionally high comparable from August 2023. The data shows that the physical casinos performed at different rates: Borgata won $74.2 million, Hard Rock $55.3 million and Ocean $44 million, while Resorts struggled with a nearly 9% decline to $16.1 million. When including online and sports betting revenue, Borgata stood out with $125.5 million, Hard Rock with nearly $72 million and Golden Nugget with $69.7 million. Also interesting is that nearly $699 million in sports bets were placed in New Jersey in August, despite Freehold Raceway shutting down its sports betting operations in late July. This left Meadowlands Racetrack and Monmouth Park as the only horse racing tracks in the state offering sports betting.
– What factors contributed to the record-breaking online gambling revenue in New Jersey in August?
Table of Contents
New Jersey Online Gambling Sets Record, Atlantic City Land-Based Casinos Struggle to Recover
The online gambling industry in New Jersey has reached new heights, with a record-breaking $198 million in revenue in August, a staggering 28% increase year-over-year. This impressive feat marks the highest monthly revenue ever recorded in the state. However, despite this positive development, Atlantic City’s land-based casinos continue to grapple with the aftermath of the COVID-19 pandemic.
According to figures released by the New Jersey Division of Gaming Enforcement, physical casinos brought in $294 million in August, a 4.9% increase year-over-year. While this may seem like a promising trend, six of the nine casinos in Atlantic City still earned less from physical visitors than they did in August 2019. This highlights the ongoing struggle of these establishments to return to pre-pandemic levels.
When including revenue from sports betting and online gambling, casinos, as well as the two racetracks that accept sports bets and their online partners, earned a total profit of over $555 million in August, a 4.4% increase year-over-year. However, due to the need to share this revenue with outside partners, casinos still rely heavily on revenue from physical visitors as their core business.
Only three casinos, Borgata, Hard Rock, and Ocean, were able to collect more from physical visitors last month than they did in August 2019. This emphasizes the importance of online gambling and sports betting in propping up the gaming industry in Atlantic City.
The Rise of Online Gambling in New Jersey
Jane Bokunewicz, director of the Lloyd Levenson Institute at Stockton University, highlighted the growing significance of internet gambling to Atlantic City’s gaming industry. “This important vertical integration has brought in over $190 million in four of the last eight months and contributes nearly half of Atlantic City operators’ gross gaming revenue,” she noted.
The surge in online gambling revenue is a testament to the evolving gaming landscape in New Jersey. As more players turn to online platforms for convenience, entertainment, and accessibility, online gambling has become an essential component of the state’s gaming industry.
Sports Betting Revenue Sees Dip
While online gambling has reached new heights, sports betting revenue in New Jersey took a hit in August, totaling $62.7 million, a 35% decrease year-over-year. Bokunewicz attributed this decline to a statistical anomaly due to an exceptionally high comparable from August 2023.
Despite this temporary setback, sports betting remains a vital part of the gaming industry in New Jersey. As the sports calendar resumes with the start of the NFL season, sports betting revenue is expected to rebound and continue its upward trajectory.
The Future of Gaming in Atlantic City
As Atlantic City’s land-based casinos work to recover from the devastating impact of the pandemic, online gambling and sports betting will continue to play a critical role in the city’s gaming industry. The record-breaking revenue figures from August serve as a reminder of the transformative power of technology and innovation in the gaming sector.
As the gaming landscape continues to evolve, Atlantic City must adapt to changing consumer habits and preferences. By embracing online gambling and sports betting, casinos can diversify their revenue streams, attract new customers, and ensure a sustainable future for the city’s gaming industry.
Conclusion
New Jersey’s record-breaking online gambling revenue in August marks a significant milestone in the state’s gaming history. Despite the ongoing challenges faced by Atlantic City’s land-based casinos, the growth of online gambling and sports betting provides a beacon of hope for the industry’s future.
As the gaming industry continues to evolve, it is crucial for stakeholders to recognize the importance of innovation, adaptation, and diversification. By embracing new technologies and opportunities, Atlantic City can revitalize its gaming industry and emerge stronger than ever.
Key Statistics:
Online gambling revenue in New Jersey reached a record $198 million in August, a 28% increase year-over-year.
Physical casinos brought in $294 million in August, a 4.9% increase year-over-year.
Sports betting revenue totaled $62.7 million in August, a 35% decrease year-over-year.
Total gaming revenue in New Jersey reached over $555 million in August, a 4.4% increase year-over-year.
SEO Keywords: Online gambling, Atlantic City, sports betting, New Jersey Division of Gaming Enforcement, gaming industry, casino revenue, COVID-19, pandemic, Jane Bokunewicz, Lloyd Levenson Institute, Stockton University.
What are the key factors contributing to the rise of online gambling revenue in New Jersey?
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New Jersey Online Gambling Sets Record, Atlantic City Land-Based Casinos Struggle to Recover
The online gambling industry in New Jersey has reached new heights, with a record-breaking $198 million in revenue in August, a staggering 28% increase year-over-year. This impressive feat marks the highest monthly revenue ever recorded in the state. However, despite this positive development, Atlantic City’s land-based casinos continue to gr
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