[toc]The success of New Jersey’s online gaming industry is undeniable.
With two months to spare, New Jersey’s online gaming operators have already eclipsed 2016’s revenue total. It is also on pace to generate a quarter-billion-dollars in revenue in 2017.
In addition to bettering 2016’s total, the state also surpassed $200 million for the first time, on the back of eight straight months of at least $20 million in online gaming revenue. For the year, the state is averaging $20.4 million per month in gross gaming revenue.
Another significant achievement that New Jersey’s online operators can hang their hat on: Online revenue accounted for 10 percent of all casino revenue collected in October.
Top line online gambling numbers
Here are the top line numbers from the New Jersey Division of Gaming Enforcement’s latest monthly revenue reports:
- Online casino revenue: $18,633,480
- Online poker revenue: $1,934,145
- Total online gaming revenue: $20,567,625
- Year to date online gambling revenue: $204,238,121
- New Jersey online casinos collected $3.6 million in tax revenue in October.
Despite two major online tournament series during the month of October, online poker revenue was down close to 20 percent year-over-year.
Needless to say, that interstate agreement with Nevada and Delaware can’t start soon enough for NJ online poker operators, who are likely salivating for Pennsylvania to hop on board and further increase liquidity.
As much as online poker has struggled, online casino revenue continues to grow by leaps and bounds every month. October saw online casino revenue up over 30 percent for the second consecutive month. Even with online poker’s decline, total online gaming revenue rose by 23 percent for the month.
- Online poker: -19.07 percent
- Online casino: +30.52 percent
- Total revenue: +23.41 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.
Total casino revenue up over two percent
Through October, Atlantic City’s land-based casino revenue stands at $2.041 billion. That represents a slight, .3 percent, increase over the same period in 2016.
However, online gaming has grown by over 26 percent during the first 10 months of 2017. When we factor in online, total casino revenue has grown 2.2 percent compared to the same period from last year.
Bottom line: Not only is online gambling not cannibalizing land-based casino revenue (evidenced by the .3 percent growth in land-based revenue despite a casino closure) it’s padding those bottom lines of land-based casinos, increasing the industry’s growth.
Casino by casino analysis
Borgata maintains hold on number two spot
Borgata has tallied over $4 million for the third straight month, putting some daylight between itself and the rest of the pack trailing Golden Nugget.
Golden Nugget continues to shine
Golden Nugget extended its market share lead in October, as the casino and its sub-brands close in 30 percent market share.
Golden Nugget has now eclipsed $5 million in nine consecutive months, and eclipsed $6 million for the third time.
To put that in perspective, no other online operator has ever hit $5 million, let alone $6 million.
Tropicana continues to do its thing
- License holder: Tropicana
- Brands and sub-brands: Tropicana, Virgin
Tropicana continues to do yeoman like work in the market. The casinos hasn’t dipped below $3.4 million since February, with a high-water mark of $4 million, which the casino set in May.
Resorts remains consistent
- License Holder: Resorts AC
- Brands and sub-brands: Resorts, Mohegan Sun, PokerStars NJ
Resorts continues to be a model of consistency over the past five months:
- June: $3,678,622
- July: $3,750,529
- August: $3,524,344
- September: $3,589,922
- October: $3,476,923
The expected boost from the PokerStars NJSCOOP never materialized. YoY online poker revenue dropped from over $1 million to $782,000 in 2017.
Caesars back to the bottom of the pack
After eclipsing $4 million in August, Caesars has seen revenues shrink in September and now October.
Even though revenue is declining, Caesars is right in the mix with Resorts and Tropicana in terms of market share.
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.