[toc]May was a fantastic month for New Jersey’s online gambling industry.
A near record-setter, total online gambling revenue rose over 27 percent in May. New Jersey’s five online gaming operators tallied $21.1 million in online casino and poker revenue.
The May haul is the industry’s second-best month to date. It also marks the third consecutive month where online revenue eclipsed the $20 million mark.
May 2017 at a glance
May was a strong month for the industry. For the first time in its four-year history, New Jersey online gambling revenue increased from April to May.
New Jersey online operators were only several hundred thousand dollars away from besting March’s record.
May’s revenue report also highlighted a fundamental shift among the individual operators, as Borgata, the once-dominant brand in the market, slipped into last place. To be fair, Borgata’s May decline could stem from a major jackpot hitting.
Top line numbers
Here are the top line numbers from the New Jersey Division of Gaming Enforcement’s latest monthly revenue reports:
- Online casino revenue: $18,951,363
- Online poker revenue: $2,119,885
- Total online gaming revenue: $21,071,248
- Year to date online gambling revenue: $101,180,893
Total gaming and casino revenue PokerStars continued their year-over-year growth trends in May. Once again, online poker revenue declined sharply, as the launch of in the spring of 2016 inflated the numbers.
- Online poker: -17.54 percent
- Online casino: +35.61 percent
- Total revenue: +27.35 percent
As seen in the chart below, the New Jersey online gaming industry has yet to experience a year-over-year decline in any month.
Market share analysis: Resorts and Tropicana jockey for second place
With the Borgata drop-off, Golden Nugget’s market share is now over 28 percent.
Borgata did manage to briefly erode Golden Nugget’s market share advantage, which reached a then-high of 8.4 percent in March. The gap between the two casinos shrank to 5.6 percent in April, but now stands at 11.5 percent.
The best performance of the month was Tropicana. The Trop had its best month to date, hitting $4 million in online casino revenue.
Golden Nugget appears to be firmly in control of the number-one spot for the time being. However, the trail pack jockeynig for position as Borgata, Tropicana, Resorts, and Caesars are separated by just 2.4 percent.
Casino by casino analysis
Borgata the victim of a jackpot?
Borgata’s May numbers don’t really add up. After consecutive months over $4 million, Borgata posted its worse month since September 2016. It failed to eclipse $3.5 million in total online revenue for only the second time since October 2015.
If Borgata wasn’t victimized by a substantial seven-figure jackpot, the industry might have eclipsed it’s record-setting March numbers.
That being said, Borgata’s fall has been precipitous, and the notion that Borgata would generate the least amount of revenue of any operator in May 2017 would have been laughed at a year ago.
Golden Nugget flirts with a $6 million month
Golden Nugget continues to dominate the New Jersey market.
Online gaming revenue was just a shade under $6 million in May, marking the fourth consecutive month Golden Nugget has eclipsed $5 million. That feat is all the more impressive when you consider that no other online operator in the market has topped $5 million even once.
Tropicana consistently around $4 million
Tropicana passed the $4 million-mark for the first time in May, but the feat wasn’t much of a surprise. The casino was on the precipice of doing so in April and March.
More importantly for the Trop are the long-term trends. After over a year of consistently generating around $3 million in monthly revenue, it appears Tropicana is going to stay around $4 million for the foreseeable future.
Resorts posts its second-best month to date
Resorts is also a consistent $4 million/month online operator.
Surprisingly, Resorts and Tropicana both rose to the $4 million threshold in unison, and their rise also coincided with Golden Nugget’s ascent to over $5 million.
Resorts is getting a big assist from PokerStars, which generated nearly $1 million in May, bolstering Resorts solid online casino numbers.
Caesars slips to the bottom of the market
Caesars wasn’t at the bottom in May, but is more than likely bringing up the rear in the market. As noted above, the only reason Caesars probably managed to avoid the dubious distinction in May was due to a jackpot sinking Borgata’s numbers.
Still, Caesars is holding strong, consistently surpassing $3.5 million in monthly revenue, and as we saw only a few months back, Caesars is capable of eclipsing $4 million.
Historical look at iGaming revenue in NJ
Be sure to check our New Jersey iGaming revenue page for a detailed breakdown of online gambling revenue in the Garden State.