[toc]New Jersey’s online casino industry may have gotten off to a slow start, but growth is now happening at a constant and staggering rate.
Four years in, no one seems to know where the ceiling is, or when the market will reach full maturity. But one thing is certain: at some point the significant year-over-year gains are going to come to an end.
That said, there’s a very good chance New Jersey’s online gaming operators will continue to experience solid growth for the foreseeable future… as long as they keep adding new content and products.
Keep introducing new slot and table game content
The amount of online casino content available in New Jersey is simply astonishing.
The number of unique online games at New Jersey online casinos is fast approaching 450 games. That doesn’t take into account the titles and games online casino operators have mothballed either.
There are just as many game options online as there are in any mega land-based casino.
Online operators are continually introducing fresh content. While content alone won’t offset New Jersey’s market limitations, fresh content will continue to drive growth.
Proliferation of live dealer tables
Live dealer games account for a significant percentage of revenue in the European online casino market. So, it’s not much of a surprise that live dealer games are quite popular at the New Jersey online casinos that offer them.
The cost is somewhat prohibitive. After all, live dealer games require an in-casino studio, and staff. However, if more states legalize online casino games and enter into interstate agreements, operators could run live dealer games in multiple states from a single studio.
Another option is to partner with a competitor to offset the studio costs. As it does with Betfair, Golden Nugget stated its willing to let other operators use their live dealer studio for a fee.
Considering their popularity, it’s more probable than not more operators will get into the live dealer business at some point in time.
DFS, esports, virtuals, and skill-based products
In July, Resorts launched a game called Fast Fantasy, an online DFS-inspired game.
Products like Fast Fantasy represent a new wave in the online casino space: hybrid games that blend elements of games of skill with traditional casino games.
It’s only a matter of time before skill-based games from GameCo, Konami, and Gamblit Gaming find their way into online casinos. Likewise, at some point someone will figure out how to monetize esports in a casino setting, and the likely vehicle will be online.
Another product that is already in the pipeline is virtual sports.
Virtual sports were supposed to make an appearance in New Jersey at the beginning of the year. Unfortunately, the launch of virtual sports products has been delayed, but could launch at any time.
These types of hybrid and non-traditional casino games will likely be of interest to existing online customers, as well as to a new demographics.
Online sports betting?
New Jersey’s online gaming operators could also see online revenue skyrocket if the state wins its upcoming appeal before the Supreme Court, whereby the highest court in the land would void the Professional and Amateur Sports Protection Act (PASPA) and pave the way for states to decide if they want to legalize sports betting.
New Jersey Division of Gaming Enforcement Director David Rebuck made his feelings very clear too. If the state wins its appeal, online is going to be a big component of sports betting.
In an interview with Global Gaming Business publisher Roger Gros from earlier this year, Rebuck said, sports betting is “ripe for online play.” “We [New Jersey] would definitely move in that area (online sports betting),” he added.
If New Jersey wins its case, and if the state allows online sports betting, online gaming revenue numbers will receive an immediate and impactful boost.