Online Casino Gaming to Push NJ Gambling Industry
2017 is setting up to be a stellar year for the gambling industry of New Jersey with casino gaming leading the way.
New Jersey is currently the top state in the US when it comes to online gambling. While online poker has yet to see significant growth, the online casino industry is booming and is expected to reach new heights for the year. The state should see $200 million or more in total earnings for this year, if estimates are correct.
New Gaming Projections for NJ
In an online gaming industry update for the United States, developed by Chris Grove of Online Poker Report and Adam Krejcik of Eilers & Krejcik Gaming, it has been projected that NJ will see an increase of more than $33 million this year which would be a year on year increase of around 17% if reached.
This estimate is not unreachable as 2016 resulted in close to $200 million in online gaming earnings. For 2016, the state earned just over $196 million which was more than 32% growth when compared to 2015 totals. Momentum has gained full speed for the state each year for the past few years as players continue to log online and enjoy their favorite casino games. By the fourth quarter of 2016, the state was averaging more than 33% growth which is an amazing number.
Included in the new developments and record numbers for the gaming industry of the state is the Golden Nugget. The land based gaming venue of Atlantic City was able to earn a new record for revenues earned as a single-license holder in the state. For January of this year, the casino earned more than $4.7 million!
Online Poker Not Doing So Great
While online casino numbers are astronomical, online poker gaming is not doing so hot. The reports suggest that the growth for the state will be produced by casino gaming and poker is actually expected to decline. For 2016, there was just over 11% uptick in the online poker vertical but this was only due to the fact that PokerStars began offering their services in the state that year. Before PokerStars began their operations in NJ, the state was seeing a sharp decline in online poker revenues. When you look at 2014 to 2015, the online poker revenues had fallen more than 18%.
When PokerStars first launched, it seemed promising for the state but seemingly after the new wore off, traffic dwindled and online poker was not seeing nice increases in earnings as they had before. This year, there does not seem to be another online poker operator on the horizon so changes should not be present.
When it comes to online casino gaming, the predictions are that as many as four new brands will launch this year. This could include MGM and TEN. However, this would involve licensing being obtained and the proper regulations followed by the operators before services could begin. It is believed that if new online casino operators are launched in the state then the market would be immediately impacted.
For now, online casino gaming is the dominate factor when it comes to gambling in the state. It will be interesting to watch as the year unfolds and what will come to pass as far as revenues and new operators are concerned. Will the state see new gaming options offered? Will New Jersey pass the $200 million mark by the end of the year? Only time will tell what will happen in New Jersey and how the online gambling industry will be affected, but no doubt it will be to the positive.